Hews Media Group-Community News has learned that in August, Downey Patriot Publisher Jennifer DeKay, with the assistance of the Norwalk Chamber of Commerce Executive Director Vivian Hansen, again attempted to illegitimately obtain the lucrative Norwalk legal advertising adjudication for Ms. DeKay’s newspaper.
By law, cities must place their legal notices, often running $40,000 to $50,000 per year, in the city adjudicated paper.
Ms. Hansen could be guilty of misusing Norwalk taxpayer funds in the attempt to obtain that adjudication.
Interestingly, Ms. DeKay’s San Diego- based law firm failed to show up in court for the August date.
We contacted the law firm and its lawyer Michael L. Kirby of Kirby Noonan Lance & Hoge. We said this was Ms. DeKay’s second attempt for her illegitimate adjudication.
Mr. Kirby was surprised to learn that Ms. DeKay attempted to obtain the adjudication three years ago, perjuring herself in the process.
First Attempt
In March 2012, Ms. DeKay “purchased” the Chamber’s newspaper, The Norwalk Business Call, for $1,500.
Ms. Hansen was executive director and Joe Derthick was Chamber President at the time. Our investigation found that then-Mayor Cheri Kelly and Councilman Mike Mendez were in on the purchase process.
Read investigative story click here.
The Call had basically ceased publication, which made it ineligible for adjudication.
Despite that, Ms. DeKay, one week after she bought the Call, published a notice in her paper stating her company was applying for the Norwalk adjudication using the Call’s name.
Ms. DeKay claimed in the notice that she had published the newspaper for three years, her office was in Norwalk — listed as the Chamber’s address — and that the paper had a “verifiable” list of paid subscribers.
For a city the size of Norwalk, Ms. DeKay needed the list to contain at least 300 subscribers, which the Call did not have.
The notice was signed under the penalty of perjury.
In reality, Ms. DeKay only had published the Call once, which Ms. Hansen, Mr. Derthick, Ms. Kelly, and some of the Chamber Board members also knew.
We learned of the false adjudication attempt, filed a motion to vacate in Los Angeles Superior Court, and won the case.
Ms. DeKay’s paper was subsequently declared ineligible, and its adjudication was vacated.
That did not deter Ms. DeKay and Ms. Hansen. Both were determined to adjudicate the newspaper. The Chamber, according to the purchase agreement, would receive an additional $1,500 from Ms. DeKay once the paper was adjudicated.
Using Chamber Address
When Ms. DeKay first bought the Call, Ms. Hansen had allowed Ms. DeKay to use the Chamber’s address as her own business address. Having an address in the city is one of the requirements to become adjudicated.
After Ms. DeKay lost her first attempt to become adjudicated, Ms. Hansen, with the knowledge of high-ranking members on the Norwalk Chamber board, allowed Ms. DeKay and her reporter, Eric Pierce, to retain the office and list the Chamber’s address (12040 Foster) as Ms. DeKay’s business address so she could continue her attempt to obtain the legal adjudication.
Yet an examination of the Chamber’s financial statements from January 2013 to March 2015, obtained via a public records request, does not show rental income from Ms. DeKay.
No entries are related to rental income on any of the statements.
Misusing Public Funds
More egregiously, the office arrangement is being granted even though the Chamber does not own the building and pays rent monthly from its only bank account.
That is where Ms. Hansen allegedly is misusing public funds, allowing Ms. DeKay – and her for-profit company – usage of the office address inside a non-profit company, while not charging Ms. DeKay rent.
The Chamber receives a $3,150 monthly subsidy check, funded by Norwalk taxpayers, from the city of Norwalk, which is co-mingled with other monies in the Chamber’s bank account.
When Ms. Hansen issues a check for the Chamber’s rent from the bank account, the funds are co-mingled, making it impossible to separate city money from other money.
Given that the Norwalk Chamber receives a $3,150 monthly check from the city of Norwalk, that the Chamber pays rent for the building using that money, and that the Chamber does not charge Ms. DeKay rent, Ms. Hansen could be guilty of misusing public funds in an attempt to help Ms. DeKay obtain the adjudication.
Another Attempt
Now Ms. DeKay and her attorney have set a new court date in January in yet another questionable attempt to obtain adjudication, an attempt that could land Ms. DeKay, Ms. Hansen, and the Chamber in legal hot water.
When Ms. DeKay’s attorneys appear in court, they will have to follow through with the claim that Ms. DeKay has an office inside the Norwalk Chamber; she cannot obtain the adjudication without the office address.
Mr. Hews may be contacted at loscerritosnews.net
