Olds’ bid to remain trustee splits Kamehameha Schools

Janeen-Ann Olds was CEO of Sandwich Isles Communications during the years its founder stole millions of dollars in federal funding. She either knew Al Hee was raiding the subsidies to pay for crazy things like his kids’ college tuition and weekly massages for himself — which is bad — or she didn’t know that was going on right under her nose — which isn’t good, especially for a CEO.

Olds has served as a Kamehameha Schools trustee for the last five years at a salary of $124,500. Her term is ending, and she has applied for a second term. Though no one is accusing her of malfeasance, a growing number of alumni are opposing her reappointment.

Toni Lee, an alumna who was a leader in the uprising that transformed the leadership of Kamehameha Schools 15 years ago, went to talk with Olds on Monday.

“I wanted to give her the chance to withdraw her papers, to ask her that respectfully,” Lee said. “I wanted to tell her what the tenor was on the streets, and that it was only going to get bigger.

“She said to me, ‘I haven’t been charged’ and I said, ‘I realize that.’ But in the meantime, this is not a good thing for you and not a good thing for Kamehameha.” Olds told Lee she would think about it, but they haven’t been in contact since then.

On Tuesday, former Kamehameha Schools trustee Douglas Ing submitted a letter to the Probate Court, which is responsible for selecting trustees, asking the court to deny Olds’ petition for reappointment. The letter was signed by Kamehameha alumni William Blaisdell, Kamani Kuala‘au, Kristin Pratt, Tina Maragos and David Alama.

“Sandwich Isles is a private company with a very peculiar business model — it feeds off the federal tax trough. It exists only because of its outrageous federal subsidies. It likely has very little earned income. It is not a business model that can provide Kamehameha Schools any kind of guidance, insight or expertise, nor would the Trust Estate desire such,” the letter said.

“Given the serious difficulties facing Sandwich Isles, the reported curtailment of federal subsidies, and the fact that its owner has been convicted of felony tax evasion charges, it is also hard to imagine that (Olds) will have either the time or commitment necessary to serve as a trustee,” the letter continued.

The four other Kamehameha Schools trustees submitted a letter to the court expressing a vote of confidence in Olds — with reservations.

Olds wrote an email response Saturday to concerns over her reappointment:

“Both Sandwich Isles Communications and Kamehameha Schools have experienced challenging times. No organization involved with an important mission is immune from controversy, and during those times, it’s especially important to maintain a strong focus on the organization’s mission and to have individuals willing to persevere and navigate through those difficult times. In my view, the true test of one’s character is how they overcome their challenges.

“I am unfortunately being judged based upon my association, not my merits. On the other hand, there are other alumni and community members who have shared that they hope I am able to continue in my role as a Trustee with Kamehameha Schools. They have adopted a longer-term view and do not see the current issues with Sandwich Isles Communications as a distraction.”

Kamehameha Schools has an endowment valued at $11 billion and serves 48,000 students. The school, founded in 1887, has a rich history, deep alumni connections and the kind of fierce pride that comes from rising up after many challenges.

Lee has also written a letter to the court and is gathering signatures. She worries that the troubles at Olds’ company will reflect poorly on the school. “I told her, ‘All the good work that you’ve done, nobody is going to remember that. What does anyone remember about the seven trustees who were removed? Who remembers the good things they did? Take the high road,’” Lee said. “We’re not asking her to step down. Just withdraw her papers.”

Reach Lee Cataluna at 529-4315 or lcataluna@staradvertiser.com.