Local News

SEVEN BEAUMONT CITY OFFICIALS ACCUSED OF EMBEZZLING $43,000.000

Prosecutors Tuesday filed embezzlement charges against the former Beaumont city manager, finance director and other officials, alleging that they siphoned as much as $43 million from city coffers over the past three decades. As a result of a yearlong public corruption investigation, six officials were arrested Tuesday: Former City Manager Alan Kapanicas, former Police Chief Frank Coe, former Public Works Director Deepak Moorjani, former City Attorney Joseph Aklufi, former Economic Development Director David William Dillon, and former Finance Director William Aylward. A seventh suspect, former City Planner Ernest Egger, is expected to turn himself in today.
All seven suspects have been charged with felonies, but Aylward and Kapanicas, a Palm Desert resident, face the heaviest allegations — 33 felony charges each, including embezzlement by a public official, misappropriation of public funds, and criminal conspiracy. Authorities say the suspects used their positions as city officials to funnel tax dollars into their own private companies.


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