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The Honolulu Advertiser

Posted on: Thursday, January 20, 2005

Engineering firm raided in funds probe

By Peter Boylan
Advertiser Staff Writer

Honolulu police raided a downtown engineering firm Tuesday, arresting its chief executive and vice president on suspicion of using company assets to reimburse employees and other individuals for campaign contributions they made to former Mayor Jeremy Harris.

In the late-morning raid, police confiscated computers and records from the offices of Wilson Okamoto Corp. on South Beretania Street.

Gary Okamoto, the CEO, was arrested there.

Myron Okubo, company vice president, surrendered to police Tuesday afternoon.

Dale Lee, an attorney representing both men, declined to comment about the arrests. His clients were released without being charged.

The raid was part of an ongoing investigation by the city prosecutor's office into allegations of illegal contributions made to Harris' campaign.

Okamoto and Okubo were arrested on suspicion of racketeering, money laundering, monopolization, illegal use of a business and making contributions in a false name.

The state's Campaign Spending Commission began looking into allegations that Okamoto laundered money to funnel to the Harris campaign, said Bob Watada, commission chairman. Watada said the commission has completed an extensive investigation into Wilson Okamoto Corp.

"We thought we were done with Gary Okamoto until we got wind of something else," Watada said yesterday.

In October 2003, Okamoto was ordered to pay a $44,500 fine for making illegal donations to the campaigns of Harris, former Gov. Ben Cayetano, former City Councilman Arnold Morgado, former Maui Mayor James "Kimo" Apana and former Lt. Gov. Mazie Hirono.

In the past three years, dozens of engineers, architects and others have been prosecuted on illegal campaign donation charges.

Most were fined and given the chance to have their cases dropped, although Circuit Judge Steven Alm handed down two 10-day jail terms in November 2004 to an architect and a contractor.

Harris, whose term ended last month, has not been charged with any crime and his lawyers have repeatedly denied that he did anything wrong.

Reach Peter Boylan at pboylan@honoluluadvertiser.com or 535-8110.