Orange Council to Sue Ex-Planner in Conflict Case : Litigation: Former Commissioner Don Greek is accused of allowing his engineering firms to take $104,000 in city contracts while he was in public office.

In what may be an unprecedented action, the Orange City Council voted Wednesday to sue former Planning Commissioner Don Greek, who allegedly ignored conflict-of-interest warnings and allowed his engineering firms to accept at least $104,000 in city contracts while he was a public official.

The district attorney’s office is now reviewing a criminal complaint against Greek, who resigned from the commission in August to run for City Council in the Nov. 6 election. On Wednesday, Greek said he “didn’t know anything about” the council’s action and declined to comment on it.

However, Greek said the conflict-of-interest allegations are politically motivated and are intended to force him out of the council race.

“Obviously, this won’t be resolved until after the election, and by then it won’t make any difference,” Greek said. “It’s an attempt to intimidate me not to run for office and an attempt to discredit me.”

The council’s 5-0 vote, taken after two closed sessions Wednesday, calls for filing a civil lawsuit to recover funds paid to DGA Consultants Inc. and Don Greek & Associates while Greek was a planning commissioner. Greek is a civil engineer and part owner of both firms.

Mayor Don E. Smith would say only that “after conferring with outside counsel, (the city attorney) finds that a cause of action exists to recover monies from Mr. Don Greek.”

Councilwoman Joanne Coontz, an opponent of Greek in the upcoming election, denied that the council action was based on a political vendetta and noted that the vote was unanimous.

“We’re taking action in line with our fiduciary responsibilities as council members,” Coontz said.

The amount of money to be sought through the suit is undetermined, Smith said. However, documents now being reviewed by the district attorney’s office show that Greek’s firms did at least $104,000 worth of business with the city between 1986 and 1990. Greek was appointed to the Planning Commission in 1983, but information about contracts issued between 1983 and 1986 has not been released by the city.

Robert Corrado, special counsel to the City Council, said his firm will search city files for those contracts and documents before filing the lawsuit next week. The City Council hired the Fullerton law firm of Corrado & Newton to handle matters related to the Greek case.

Local political activist Shirley Grindle, author of Orange County’s conflict-of-interest law, said the case is the first of its kind in the county.

“I have never heard of any city or county taking action on this kind of violation where a former official has done business with the jurisdiction,” said Grindle, whose complaint against Greek prompted the district attorney’s office to review the matter. “I’m sure that this is a first.”

In 1986, then-City Atty. Gene R. Minshew warned Greek in a letter that the payments to his engineering firms could be considered improper under a state conflict-of-interest code. The code says that state, county and city employees and officers “shall not be financially interested in any contract made by them in their official capacity or by any body or board of which they are members.”

“You and I have talked twice about this matter,” Minshew wrote. “I have a feeling that you may not be giving the matter the attention it deserves.”

Greek has said he doesn’t remember receiving the letter or discussing the matter with Minshew.