The government is asking a federal court for permission to sell the Hawaii Kai home of retired Honolulu Police Chief Louis Kealoha and his deputy prosecutor wife, Katherine Kealoha.

Federal prosecutors say they have worked out an agreement with Hawaii Central Federal Credit Union to sell the Kealohas’ Mariners Cove property. The Kealohas and their civil lawyer, Kevin Sumida, oppose the agreement.

Government lawyers put a block on the sale or transfer of the property in October after a federal grand jury returned an indictment accusing the Kealohas of lying on multiple loan applications, including the one for the mortgage on their home. The Kealohas are scheduled to stand trial on bank fraud charges in November.

The indictment lists the home as a proceed of the charged crimes and, therefore, subject to forfeiture upon conviction.

If the court approves the sale, distribution of the proceeds won’t be made until after the conclusion of the criminal case against the Kealohas.

Prosecutors have said HCFCU’s claim on the property has priority over the government’s claim and that they want to see the credit union collect all of the money the Kealohas owe on the home.

HCFCU holds a $1.04 million mortgage on the property, which the Kealohas bought in August 2013 for $1.23 million. The credit union filed for foreclosure in February, claiming that the Kealohas are in default and, as of late January, owed $1,037,837 in principal, interest and accumulated late fees.

Sumida in March asked the court to lift the government’s freeze on the property so the Kealohas could sell the property. He said if the home is sold at a distressed price in foreclosure, there would not be enough money to pay off HCFCU’s mortgage and the mortgage he secured from the Kealohas to guarantee payment of his attorney fees. U.S. Magistrate Judge Richard L. Puglisi denied Sumida’s request.

The FBI said the Kealohas’ monthly mortgage payment on their home is $4,816 but that they have not made a payment since September. As of the end of last month, the Kealohas owed $1,053,999 in principal, accrued interest and accumulated late charges. According to the latest Hono­lulu property tax records, the property’s tax-­assessed value is $1,382,200.

Also Tuesday, the Hawaii County Fire Department said Battalion Chief Jesse Michael Ebersole has been placed on paid leave after he was charged with conspiring with Katherine Kealoha to lie to a federal grand jury about their relationship.

Ebersole was Kealoha’s boyfriend, and she spent more than $20,000 on him, using money from a second mortgage she and her husband obtained illegally and money she stole from her grandmother, according to a federal court document filed Monday.

The Fire Department said Ebersole is a 25-year veteran of the department. He was promoted April 1 to battalion chief of the Emergency Medical Services Bureau.

“During his career he was directly involved with the savings of many lives,” the department said in a news release.