S.D. Council Denies Legal Aid for Ex-Officials
Tuesday, May 13, 2008
Updated 5:40 p.m.
San Diego's city council has decided taxpayers won't foot the legal bills of four former city officials accused of fraud in connection with the city's pension scandal. Council members voted to delay a decision about defense of former City Manager Michael Uberuaga.
In April, the Securities and Exchange Commission filed civil charges of making "false and misleading financial statements" in 2002 and 2003. The officials allegedly fattened their own pensions without a way to pay for it.
State law requires the city defend its former employees in legal cases — that is, except in cases of fraud.
City councilmembers Toni Atkins and Donna Frye recused themselves from voting to avoid a perceived conflict of interest, since they're getting their own legal help from the city.