Saturday

08-16-2025 Vol 2054

Harlan Kelly Appeals Corruption Conviction in San Francisco Scandal

Harlan Kelly, the former chief of the San Francisco Public Utilities Commission, is gearing up for an appeal, seeking to overturn his 2023 conviction linked to a wide-ranging corruption scandal that has rocked San Francisco politics.

Kelly was convicted of multiple federal fraud and conspiracy charges in a trial that captivated the public interest, leading to a sentence of four years in federal prison.

The case stems from a significant FBI investigation that began making headlines in 2020, revealing a vast network of corruption within the city’s political framework.

This investigation was sparked by the indictment of former Public Works director Mohammed Nuru, who faced charges for accepting bribes in exchange for facilitating favorable conditions for contractors bidding on city projects.

As the fallout continued, multiple city officials and contractors were implicated, including Sandra Zuniga, who led the Mayor’s Office Fix-It Team, and Tom Hui, the former director of the Department of Building Inspection.

The scandal not only affected public officials but also had personal repercussions for Kelly, as his wife, Naomi Kelly, was forced to resign from her position as city administrator, although she was not charged in connection with the scandal.

Central to the investigation was Walter Wong, a construction contractor with deep ties to San Francisco’s political scene, who faced accusations of bribing various city officials.

While many key figures in the scandal, including Wong and Nuru, opted to plead guilty to charges brought forth by federal authorities, Kelly has consistently asserted his innocence throughout the legal proceedings.

During his trial, federal prosecutors painted a picture of corruption by alleging that Wong began bribing Kelly as early as 2013, claiming he provided significant discounts for home repairs and luxurious gifts, including lavish hotel stays and a costly meal during a trip to China in 2016.

Evidence presented at the trial included a text message Kelly sent to Wong that read, “I owe you big time!!!” following a home improvement project, suggesting a quid pro quo arrangement that benefited Wong’s companies in securing city contracts.

Prosecutors detailed instances where Kelly allegedly urged his staff to purchase lights from one of Wong’s firms for a holiday display and provided insider information to Wong regarding bidding for contracts to convert streetlights to LED bulbs.

Furthermore, the prosecution highlighted Kelly’s involvement in a separate scheme, wherein he was accused of conspiring with real estate investor Victor Makras to furnish false statements to secure a $1.3 million loan.

Ultimately, the jury found Kelly guilty on six charges, including conspiracy to commit honest services wire fraud and multiple counts of bank fraud, although he was acquitted of two additional charges of honest services wire fraud.

In March 2024, following the conviction, Kelly was sentenced to four years in a federal prison, a verdict that he promptly appealed just days later.

As the appeal process progresses, Kelly’s case is set to be submitted to the 9th Circuit Court of Appeals. The court had initially planned to hold oral arguments on the case but later decided to evaluate the appeal based solely on the briefs submitted by both federal prosecutors and Kelly’s legal representation.

The judges expressed confidence that the facts and legal arguments presented would be adequate for their decision-making process, indicating that oral arguments were unnecessary in this instance.

Details surrounding Kelly’s appeal strategy remain shrouded in mystery, particularly after the court appointed litigator Steven Kalar to represent him, following Kelly’s claims that he could no longer afford his original defense attorney, Brian Getz.

Kalar has not provided any comment regarding the appeal as of late, keeping the specifics of the strategy under wraps.

In the original trial, defense arguments primarily focused on discrediting the testimony of Walter Wong, suggesting that his cooperation with the government in exchange for a reduced sentence raised questions about his credibility.

The defense contended that the apparent gifts and favors exchanged between Wong and Kelly were merely reflective of friendship, distinguishing them from the more overt corrupt practices attributed to other individuals in the scandal.

As the appeal moves forward, all eyes will be on the developments within the 9th Circuit and the potential ramifications for Harlan Kelly and the broader implications for San Francisco’s political landscape.

image source from:kqed

Abigail Harper