Investigation Clears Sanitary District Employees

The Orange County district attorney’s office has cleared two directors and two former employees of the now defunct Capistrano Beach Sanitary District after investigating allegations of mismanagement and improper spending of public funds.

Deputy Dist. Atty. Sheila Hanson said her nearly yearlong probe found no evidence of wrongdoing by directors William Morison and Donald Simpkin, former general manager Benton Price and district employee Harry Weinroth.

“We did do an extensive investigation and found no evidence that any crime occurred,” Hanson said Wednesday.

The men had maintained from the start that the charges, made by another water district official, were unfounded.

“There was no concern on my part to begin with since I knew I had done nothing wrong,” Morison said Wednesday. “But accusations are made very easily. Unfortunately, the accusations are often what people remember, not the exonerations.”

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The allegations were made nearly a year ago by Bonnie Rae Streeter, a current director of the Capistrano Beach Water District. The water district is a new agency formed on Jan. 1, 1995, when the Capistrano Beach Sanitary District consolidated with the Capistrano Beach County Water District.

In a letter to the district attorney’s office, Streeter had alleged that the men misappropriated at least $6,000 in district funds by purchasing personal items such as computer equipment for their private use. She had also accused Simpkin of falsifying insurance forms and collecting refunds.

Simpkin, who has been on the various water and sewer boards for nearly 17 years, said Wednesday he was happy to put the issue behind him.

“I’m certainly very happy to receive an all-clear from the district attorney’s office,” said Simpkin, a San Clemente resident who is currently the board president.

Price, a Fallbrook resident who was a consultant acting as general manager of the sewer district in 1992-93, could not be reached for comment. He had been accused by Streeter of buying computer equipment with district funds and falsely billing the district for work never performed.

Steven C. DeBaun, an attorney for the district, said he believes the matter is closed.

“The D.A. appears to have closed the books. There is nothing more to investigate,” said DeBaun, who was notified this week by letter that the subjects of the probe had been cleared.

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Morison, however, said he is considering filing charges of defamation of character against Streeter, who could not be reached for comment.

“What she did was an egregious act of civic irresponsibility,” said Morison, who is also a current member of the water district board. “As an elected official, she should know better.”

The Capistrano Beach Water District serves about 5,200 customers in the Capistrano Beach area of Dana Point, throughout Dana Point Harbor and a small portion of San Clemente.