Allegedly doctored documents and illegal pay lead to criminal corruption indictments

The first criminal indictments for corruption involving Gov. Lou Leon Guerrero’s administration were handed down today by the grand jury in the Superior Court of Guam. Two cabinet members and two mayors were indicted in two separate cases, one involving theft charges for illegal pay to a director, and the other involving the tampering of records and official misconduct in the issuance of sanitary permits to public schools.

There now are men under indictment for crimes alleged to have been committed while members of Gov. Lou Leon Guerrero’s cabinet. Former governor’s policy advisor Adrian Cruz was indicted late last month for crimes against a boy that allegedly happened May 26. He resigned June 10, the day he was arrested and released from jail.

 

’Doctored documents that endangered students’

Guam Department of Public Health and Social Services director Arthur San Agustin has been charged with Tampering with Public Records, a felony, and two misdemeanor charges of Obstructing Governmental Functions and Officials Misconduct, with special allegations of Crimes Against the Community, which carries an enhancement penalty upon conviction. Charged with him in the case is longtime Division of Environmental Health administrator Masatomo “Tom” Nadeau, who faces the lesser misdemeanor charges.

According to the indictment, Mr. San Agustin, on June 30, 2021, tampered with sanitary permits issued to Simon Sanchez High School, George Washington High School, and Southern High School “in that he knowingly, with intent to defraud or injure, make a false entry in, or false alteration of, any record, document or thing belonging to , or received or kept by, the government for information or record.”

”The Office of the Attorney General today initiated prosecutions against multiple Government of Guam officials pertaining to the alleged wrongful issuance of sanitary permits allegedly endangering DOE students, teachers, staff, visitors and general public at multiple government of Guam public schools,” a news release from the Office of the Attorney General of Guam states. “We allege that sanitary permits were approved by responsible government officials without any inspections as required by Guam law on numerous occasions.”

All defendants, the attorney general reminds, are presumed innocent until proven guilty.

According to the indictment, Mr. Nadeau “intentionally obstructed, impaired, or perverted the administration of law or other governmental function by breach of official duty,” in violation of the law. The grand jury also has accused him of official misconduct, “in that, with intent to benefit himself or another person or to deprive another person of a benefit, he knowingly refrained from performing a duty which is imposed upon him by law or is clearly inherent in the nature of his office.”

 

‘Illegal payments to unqualified director’

“The Office of the Attorney General today initiated prosecutions against multiple Government of Guam officials pertaining to the alleged improper expenditures of government funds in paying an interim executive manager for a position that he was not qualified to hold,” a news release from the OAG states. “We allege that Richard Ibanez was not qualified to be paid a taxpayer funded salary for the top management position because he did not have the requisite college degree, and that other officials knew & furthered that illegal action.”

Richard Ybanez has been the interim executive manager of the Guam Regional Transit Authority since the first Leon Guerrero administration.

Mr. Ybanez, along with the three members of the GRTA board of directors – including Agat Mayor Kevin Susuico and Inalåhan Mayor Anthony Chargualaf – were all indicted for a number of felonies and misdemeanors, all with the Crimes Against the Community enhancement.

“The Attorney General is by law required to, and is committed to enforcing Guam’s laws and in rooting out waste, fraud and abuse,” the OAG news release states. “All public officials have a fiduciary duty to the public to expend funds as required by law. Officials are appointed and paid to important positions to protect taxpayer monies. No one can be treated above the law.”

Over the past two years, several sources of information have told reporters they have reported the issue of Mr. Ybanez’s employment to the media and to the previous attorney general.

The crimes alleged in the Ybanez indictment include Theft by Deception, Conspiracy for Misapplication of Entrusted Funds, Misapplication of Entrusted Funds, Tampering with Public Records, and Official Misconduct.

The documents provided by the OAG to the media do not include the related documents indicating whether warrants of arrest have been issued, or a summons to appear before a judge for a pleading of guilty or innocence.

Sources indicate other corruption investigations are ongoing.

This is a developing story.