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Grand Jury Seeks Counsel of Its Own : Bankruptcy: Request for independent help in fiscal probe is opposed by district attorney’s office.

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TIMES STAFF WRITERS

The Orange County Grand Jury went to court Thursday seeking permission to hire independent counsel to assist the panel with its investigation into the county’s bankruptcy crisis, according to county sources.

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The grand jury’s request was opposed by the district attorney’s office, sources said.

The hearing, which took place in the Santa Ana Courthouse before Presiding Superior Court Judge James L. Smith, was ordered closed and confidential. No decision was made on the grand jury’s request.

Officials from the grand jury, district attorney’s office and the county counsel’s office declined to comment on Thursday’s hearing.

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Although the grand jury’s proceedings are secret, it is widely known that the 19-member panel is looking into the financial and governmental implications of the bankruptcy as part of its government watchdog role.

Additionally, the district attorney’s office is bringing criminal cases regarding the bankruptcy to the panel. On May 16, the grand jury returned a six-count indictment against former assistant treasurer Matthew Raabe.

It was not immediately clear why the district attorney opposed the jury’s request Thursday.

For the past several weeks, the grand jury has been considering hiring its own legal counsel to help out with the civil investigation of the Orange County bankruptcy, according to sources familiar with the grand jury.

The panel divided into committees and one committee was given the task of interviewing prospective lawyers. Among those contacted was former California Atty. Gen. John K. Van de Kamp.

“I can tell you I have not been asked to do it at this point,” Van de Kamp said at the time.

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When the grand jury isn’t hearing the criminal case presented by the district attorney, it conducts its civil investigation. The district attorney is unable to elaborate or answer legal questions posed by grand jurors about information heard from a criminal witness that may pertain to the civil investigation, the sources said.

The sources added that some grand jurors want legal advice about what the panel can publish in official reports and generally what sort of legal authority the panel has to delve into certain areas of official conduct.

Under the law, a grand jury can ask the presiding judge of the Superior Court or the California attorney general to provide special legal counsel.

At the time the panel began interviewing, no official request had been made to the court or the attorney general.

Last month, the Board of Supervisors extended the term by the grand jury by six months to allow the panel to continue its probe into the bankruptcy debacle. To assist the investigation, the panel hired Kroll Associates--a nationally renowned corporate consulting and detective firm.

Times staff writer Anna Cekola contributed to this report.

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