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One judge approves sale of Kealohas’ home; another reschedules their fraud trial

Dan Nakaso
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Former Honolulu Police Chief Louis Kealoha and his wife, Katherine, a former deputy city prosecutor, walk toward the Federal Courthouse on Friday. They did not appear in court today as two separate federal cases proceeded.

A federal judge on Wednesday approved the sale of the Mariners Cove home belonging to former Honolulu Police Chief Louis Kealoha and his wife, former city deputy prosecutor Katherine Kealoha.

Less than an hour later, another federal judge set an Oct. 21 trial date for the Kealohas on bank fraud charges.

The couple did not attend either hearing in U.S. District Court.

Judge J. Michael Seabright approved the sale of their home today after a buyer offered $1.3 million in cash.

Hawaii Central Federal Credit Union had sued for foreclosure, claiming that the Kealohas stopped paying off their mortgage.

After approving the sale of the home, Seabright postponed a request by the Kealoha’s attorneys that the couple be reimbursed for association fees and costs for services such as landscaping and their water bills.

Soon after that hearing, Judge Richard L. Puglisi scheduled the Kealoha’s bank fraud trial for Oct. 21.

The Kealohas were scheduled to stand trial on bank fraud charges last November, but the trial was rescheduled for June after Katherine Kealoha was diagnosed with an undisclosed form of cancer and began seeking immediate treatment.

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