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The Honolulu Advertiser

Posted at 11:24 a.m., Friday, June 4, 2004

No-contest plea on campaign contributions

By Johnny Brannon
Advertiser Staff Writer

A former chairman of the University of Hawai'i Board of Regents and the head of one of the state’s largest engineering firms pleaded no contest today to misdemeanor charges of steering illegal campaign contributions to Mayor Jeremy Harris.

Donald Kim and Russell Figueiroa were fined $4,000 each by District Court Judge Bert Ayabe but were granted a deferred acceptance of the pleas, which could clear their criminal records if they aren’t charged with new offenses.

Kim served as a UH regent from 1997 to 2001, including two years as chairman, and was also chairman of R.M. Towill Corp. Figueiroa is the company’s president.

Each defendant was charged with making a campaign contribution under a false name and with exceeding the legal donation limit.

Prosecutors said "a substantial amount of cash" from the company was illegally funneled to Harris’ campaign committee, but declined to specify how much. Harris has not been charged with wrongdoing.

To obtain the no-contest pleas, prosecutors agreed to drop misdemeanor charges against seven others who allegedly played a role in the illegal donations, including Big Island deputy county clerk Jay Mende and two family members.

The state Campaign Spending Commission is conducting a separate probe of Towill and its associates, scrutinizing donations to Harris and other politicians.

Prosecutors launched a criminal investigation of several companies more than two years ago, after the commission raised concerns about Harris’ fundraising.

Several defendants linked to other firms have pleaded guilty, or no contest, to misdemeanors or felonies and were fined; the commission has fined dozens of others.

But no criminal cases have gone to trial, and no defendants have gone to jail. Investigators have sought to establish a connection between campaign contributions and the awarding of government contracts, but have filed no charges that allege such a link.

R.M. Towill has long been a major engineering contractor on large city and state construction projects. Harris’ attorney has repeatedly denied that the mayor played any role in steering contracts to campaign contributors, and has blasted the criminal probe as a witch-hunt meant to sabotage Harris’ political career.

Harris was a candidate for governor in 2002 but dropped out of the race after the investigation began.

Former Towill president Richard Towill was indicted by federal and state grand juries in 1975 and 1977 in relation to alleged illegal campaign contributions to former Mayor Frank Fasi. Towill was acquitted in the federal case, and state charges against him and Fasi were later dropped.

Reach Johnny Brannon at jbrannon@honoluluadvertiser.com or 525-8070.