The owner of a
Fontana trucking company testified Thursday that she regularly delivered
cash payments to a former executive with San Bernardino County's landfill
operator.
When Patricia
Hernandez took over as president of the Daniel Hernandez Trucking Company in
1995, she said she was instructed by her terminally ill husband to pay money
to Kenneth James Walsh, then vice president of Norcal Waste Inc.
If she failed to
pay, Hernandez said, she believed the company would lose its contract to
haul dirt and compact trash at the landfill.
The payments,
which Hernandez, 61, said she delivered in cash sums as large as $4,000
several times between 1996 and 1998, are part of the damages that the county
is pursuing in its civil case against 10 defendants - who include businesses
and former county officials - accused of defrauding the county of millions
of dollars. The trial is in its fifth day in Ventura County Superior Court.
County officials
say Walsh and two former county administrators, James Hlawek and Harry Mays,
conspired to steer approval of a contract to privatize landfill operations
to Norcal. The contract was worth hundreds of millions of dollars, according
to the officials.
Leonard Gumport,
an attorney representing the county in the civil suit, accused the three of
extracting money from the subcontractor, for whom the Norcal contract
accounted for as much as 90 percent of its earnings. County taxpayers were
essentially billed for kickbacks that went through the trucking company to
Walsh, Mays and Hlawek, he alleged.
Hernandez said
she paid Walsh $2 for every truckload the company delivered. She did not
recall the total amount but acknowledged about $210,000 worth of checks made
out to cash that she said had gone to Walsh.
Hernandez also
said she gave Walsh two checks made out to Mays' company, Bio-Reclamation
Technologies, so her company could deduct the expenses as consulting fees.
But she said she was told by Walsh to pay in cash; otherwise the contract
would be in jeopardy.
Defense lawyer
Randall Waier, who represents Mays, Bio-Reclamation Technologies and Walsh,
questioned whether Hernandez would consider the payments to Walsh gifts.
"I guess you
could call them gifts," she said with a dry laugh.
Later, when
Gumport asked for clarification, she replied, "They were kickbacks."
Earlier,
ex-county Supervisor Jerry Eaves concluded his testimony, answering
questions about a landfill-related $90 million bond issue that the Board of
Supervisors had approved.
The trial
continues today.