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Sunday, December 30, 2018
OHA CFO: We Keep Trustees in the Dark About LLCs
By Andrew Walden @ 9:06 PM :: 4545 Views :: Ethics, OHA

OHA CFO: We Keep Trustees in the Dark About LLCs

by Andrew Walden

At the tail end of a 403 page document dump filed November 30, 2018 in Walden v Hiilei Aloha LLC, etal (with yours truly as plaintiff), attorneys attempting to conceal the financial information of OHA’s LLCs included this nugget from OHA’s Chief Financial Officer: 

DECLARATION OF DAVID LAEHA

I, DAVID LAEHA, do hereby declare:

1. I am an employee of the State of Hawaii and the Chief Financial Officer of the Office of Hawaiian Affairs ("OHA").

2. I am also a Manager of Hi'ilei Aloha, LLC ("Hi'ilei"), Ho'okele Pono LLC (''Ho'okele Pono''), and Hi'ipaka LLC ("Hi'ipaka") (collectively, the "Respondents").

3. This Declaration is in support of Respondents' Supplemental Briefing.

4. As a matter of practice, the Managers restrict the Office of Hawaiian Affairs' ("OHA") access to the information of the Respondents so as to reserve managerial powers in the Managers, as contemplated in Respondents' operating agreements. Managers have explicitly limited OHA's access to information, and reserved their right to continue to do so….

Since Laeha and the other OHA-appointed “Managers” of OHA’s LLCs are top executives of OHA, “limit OHA’s access to information” in practice means OHA administration limits OHA Trustees' access to LLC information and will continue to do so.

Friend of the Court briefs supporting Walden's position were submitted to the Court November 2 by Tax Foundation Hawaii and the Civil Beat Law Center. 

Rather than getting on with the case, the LLCs are wasting even more OHA beneficiary dollars to litigate in defense of an anti-transparency policy which runs directly against the interests of OHA beneficiaries.  Attorney Anna Elento-Sneed, representing Hiilei Aloha, Hookele Pono, and Hiipaka, is now attempting to force the recusal of First Circuit Court Judge Jeffrey Crabtree in a hearing set for January 11, 2019.

---30--- 

PDF: Declaration of David Laeha

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