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Updated Wednesday, June 21, 2006

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Judge views audit as no help in deciding suit

A Superior Court judge Tuesday tentatively dismissed the lawsuit pitting two quarreling factions within the Sheriff's Council, and found that a recent audit of the group had no substantial benefit.

Judge James Brown is set to make his ruling final at a court hearing today, and he may modify his preliminary order or change his mind.

However, if the finding holds, it would have to be seen as a loss for the council's four past presidents, who had accused acting President Helen Jepsen of financial misappropriation.

The past presidents - Alan Cavaletto, Dale Grimm, James Petrovich and Charles Pira - last year sued Jepsen and won an audit of the nonprofit group, which has raised millions for the Sheriff's Department but now lies in tatters.

The audit revealed sloppiness in accounting at the organization during several years, but showed no blatant misappropriation.

The past presidents have filed a motion asking that Brown dismiss the case, declare them the prevailing party and charge attorneys fees and the total cost of the audit to the council.

Brown tentatively dismissed the case, but indicated he would deny the other requests.

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“Plaintiffs have not achieved their litigation objectives here, or prevailed on a practical level,” Brown wrote in his tentative finding. “...Plaintiffs' allegations concerning the conduct of the defendants, including alleged misappropriation and wrongdoing by Ms. Jepsen have not been adjudicated. Plaintiffs have not conferred a substantial benefit to the Council.”

Pete Bezek, Jepsen's attorney, said his client wants transparency in the council's past and future financial dealings.

“We are encouraged by the court's ruling,” Bezek said. “But still believe it's in the best interest of the council to get to the bottom line, so the council can restore its reputation, and so can my client.”

Brigham Ricks, attorney for the past presidents, predicted that the litigation would continue and that the judge's order might change after today's hearing.

Even if it doesn't, Ricks argued that the lawsuit was worthwhile. Ricks mentioned a current investigation into the council by the state Attorney General's Office and the revelations of possibly improper self-dealing in the audit.

“All of those things are a substantial benefit to the council,” Ricks said. “If there was no audit all of these skeletons in the closet would have stayed in the closet.”

Quarreling within the council has played a role in the current race for sheriff.

Incumbent Jim Anderson last year cut ties with the organization, saying the group's goals had been undermined by infighting.

His opponent in the November election, Lompoc Police Chief Bill Brown, has criticized Anderson for allegedly abandoning the organization in its time of need.

The Attorney General's Office has been investigating the council for several months, according to court documents.

Teresa Schilling, spokeswoman for the Attorney General's office, has acknowledged an investigation into the council was under way, but declined further comment.

Quintin Cushner can be reached at 739-2217 or qcushner@ lompocrecord.com.

June 21, 2006


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