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Katherine Kealoha has resigned as deputy prosecutor with the City and County of Honolulu, the city announced Monday.
She and her husband, former Honolulu Police Chief Louis Kealoha, are fighting federal charges in what could become one of the biggest public corruption trials in state history.
They are accused of ripping off financial institutions, family members and others to underwrite a high-flying lifestyle.
The Kealohas, who controlled more than 30 separate bank accounts at various financial institutions, face two trials over various matters.
They are scheduled to stand trial in U.S. District Court in November on bank fraud charges and in March with four former members of the Honolulu Police Department’s Criminal Intelligence Unit on charges that they framed a Kealoha relative with stealing their mailbox. The trial will also involves charges accusing Katherine Kealoha of stealing money from her grandmother and uncle.
Kealoha was formally placed on unpaid leave in October and had been on voluntary unpaid leave before that.
Monday’s announcement came in a one-line news release from the city Department of the Prosecuting Attorney. Asked for further comment, the department’s spokesman, Brooks Baehr, said it would be the only information the office would release Monday.
Kealoha worked in the department from 1993 to 2001.
From 2001 to 2006 she ran a solo law practice in Honolulu working on criminal defense, personal injury and family law cases.
In 2006 she returned to work as a deputy prosecuting attorney until 2008, when she was appointed director of the state Office of Environmental and Quality Control before returning as a deputy prosecutor in 2010.
In 2009 she was part of the Pacific Century Fellows Program, whose goal is to develop leaders with a greater awareness and sensitivity to the people and institutions of Hawaii.
That’s where she met high-ranking Hawaii County firefighter Jesse Ebersole, with whom she allegedly carried on an affair. He is accused of lying to a federal grand jury about the affair and feigning ignorance when asked about cash and airfare she allegedly give him.
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