Dismissal of Kenoi theft case is denied

The criminal trial of Hawaii County Mayor Billy Kenoi will go forward after a judge refused to throw out charges, including felony theft, stemming from his alleged misuse of his county credit card.

Oahu Circuit Judge Dexter Del Rosario denied four motions to dismiss the indictment charging Kenoi in March with theft, tampering with government records and making a false statement under oath.

Oral arguments were made in Hilo Circuit Court on Friday afternoon on various motions by the defense and Hawaii County.

The judge denied the motion to dismiss the indictment based on the argument that the attorney general’s office deliberately leaked information to the media. He said the defense has not provided information that identifies the sources of the alleged leak, only theory.

He said it would need “to rise to the level of outrageous government conduct” for it to lead to a dismissal of an indictment.

Kenoi nodded and mouthed, “Thank you,” to the judge.

Kenoi has admitted to paying back $31,000 in unauthorized personal expenses charged on his purchasing card or pCard, including charges for liquor, lavish dining and travel from 2009 until 2015. The mayor’s total expenditures on the card amounted to $129,000.

The prosecution has narrowed its focus to 15 pCard transactions. The indictment covers a period from 2011 to 2015.

County Deputy Corporation Counsel Steven Strauss also argued to preserve attorney-client privilege on behalf of county employees by withholding 40 emails between them, the mayor and his office.

The judge said he will rule whether penal procedure has been followed. He said it’s not intended to be “for fishing” and must meet the tests of relevancy and admissibility.

Deputy Attorney General Michelle Puu replied: “This is not fishing … because we are very specific,” referring to the 40 emails on a privilege list.

The judge ordered the county to turn over the documents to him for his inspection, and said that he will later rule on their admissibility in trial.

During arguments, it was revealed that Kenoi may have had personal financial woes.

Kenoi’s attorney Todd Eddins objected to the state’s plan to call a witness to testify about Kenoi and his family’s low funds, and questioned the value of such information.

Deputy Attorney General Kevin Takata told the judge: “The lack of available funds is an explanation of why the county pCard was used.”

But Eddins questioned why someone in debt would donate $22,848 to Aloha United Way.

Kenoi raised that point when he spoke at a Japanese Chamber of Commerce &Industry of Hawaii meeting on the day of his indictment in March 2015.

The judge did not exclude the witness.

Eddins attempted to have testimony on the mayor’s accomplishments allowed at trial, saying, “This whole case is centered on Mayor Kenoi’s building, nurturing and strengthening relations, including in D.C.”

Takata responded: “This is blatant, unabashed appeal to jury nullification. We’re now going out and drinking and dining with staff members? If the mayor didn’t go out drinking and dining with staff, much would not have been accomplished?”

The judge said he shares Takata’s concerns.

They also argued about whether the mayor was allowed to purchase alcohol with the pCard, with Eddins arguing it was not a complete prohibition.

“It’s not an opportunity to purchase wherever and whenever,” Takata said, adding that one accepted use would be for dignitaries.

Del Rosario also found there was no grand jury counsel misconduct as alleged by Kenoi attorney Rick Sing.