The investigations follow news reports from the Bay Citizen and California Watch, which identified questionable transactions between companies and non-profit organizations with ties to district officials.
Two board members of the Sequoia Healthcare District in Redwood City are under investigation. Gerald Shefren reportedly voted to approve a district grant for a non-profit organization that employed his wife. Arthur Faro reportedly held stocks in two banks that had ties to the healthcare district.
The commission may also open a case against the president of Washington Township Health Care District’s board, Michael Wallace. Mr. Wallace is chairman of the board of Fremont Bank, which received more than $1.2 million in fees in the past 10 years from the Washington healthcare district, according to the report. Mr. Wallace has service on the healthcare district’s board since 1990.
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