BREA : D.A. Probes Possible Conflict of Interest

The district attorney’s office is investigating whether City Councilman Ron Isles violated conflict-of-interest laws when he voted on a development project owned by his business partner.

“There is an investigation pending regarding the Redevelopment Agency and some complaints regarding the possibility there may be some conflict of interest,” said Deputy Dist. Atty. Jim Mulgrew. “That transaction (involving Isles and his partner) is something we are looking into.”

Mulgrew said that his office received several complaints from citizens after the City Council last week shut down negotiations with McBride Development Co. after Isles revealed that he was a business partner of the owner of the company, Don McBride. Isles was not a partner in McBride Development Co., but he and McBride together financed at least two city projects in the early 1980s.

According to state law, it is a criminal offense for public officials to vote on matters in which they have a financial interest.

Last March, McBride was granted the exclusive right to negotiate with the city for the development of a 7.5-acre site on Brea Boulevard. Although no agreements had been signed, McBride said he had spent more than $100,000 on developing the site into a commercial center.

Isles said that no conflict existed because he sold his interest in the property and only remains a partner with McBride “in record.” Further, he said that he does not have any ties to the current project so he would not benefit from it.

Nevertheless, the council acted to stop negotiations because a “potential conflict of interest” existed, a city attorney said.

City Manager Frank Benest said city officials were aware that the district attorney’s office had made inquiries, adding that the city promptly took action after learning about the situation.

The city is currently lining up talks with another company to develop the Brea Boulevard site, Benest said.