CALIFORNIA BRIEFS: First steel mill in 50 years opened in state

MOJAVE

First steel mill in 50 years opened in state

On Wednesday, state officials joined local leaders and private sector partners to celebrate the groundbreaking of Pacific Steel’s 500,000-square-foot Mojave Micro Mill, the first steel mill to be built in California in more than 50 years.

In addition to being one of the cleanest mills in the world, this project is also expected to catalyze job opportunities and economic development throughout the Kern County region. Nearly 700 jobs are expected to be created, including electricians, millwrights, welders, computer systems operators, and specialists in automation, controls, and robotics.

“Projects like the Mojave Micro Mill show how we can grow our regional economies while simultaneously taking action on climate and improving public health—all key pillars of California Jobs First,” Gov. Newsom said. “In California, we are doubling down on innovative technologies to create jobs and ensure our roads, bridges, and hospitals are built with cleaner materials made right here in California.”

OAKLAND

AG demands answers on veterans and spouses fired by Trump Administration

California Attorney General Rob Bonta, along with a coalition of state attorneys general, sent Freedom of Information Act (FOIA) requests to the U.S. Office of Personnel Management (OPM) and the Office of Management and Budget (OMB), demanding information on how many veterans and their spouses have been fired as part of the Trump Administration’s mass terminations of federal employees.  The federal government is the largest employer of veterans nationwide, with service members comprising approximately 30% of the federal workforce.

“We won’t let the President’s ruthless decision to fire employees, including many U.S. veterans and their spouses, go unchecked,” said Attorney General Bonta. “Not only is this decision shortsighted, but it has caused turmoil across states nationwide by disrupting critical services and impacting the households of U.S. veterans and their families.  Our veterans have risked their lives for our safety and freedom, and they deserve better. That’s why I, along with attorneys general nationwide, are demanding answers from the Trump Administration on this decision.” 

The FOIA requests seek documents and data identifying how many veterans and their spouses have been terminated since January 20, 2025, as part of the administration’s sweeping workforce cuts. Specifically, the attorneys general are requesting:

• The number of terminated federal employees entitled to veterans’ preference in employment.
• Data on terminations of federal employees who are veterans or spouses of veterans.
• Any correspondence related to the impact of these terminations, particularly in relation to the implementation of Executive Orders 14210 and 14217, which direct large-scale workforce reductions.

Attorney General Bonta joins the attorneys general of Arizona, Maryland, Minnesota, New Mexico, New York, Rhode Island, and Washington in submitting these requests.

SACRAMENTO

DeMaio introduces “End Reckless Release of Criminals Act”

Assemblyman Carl DeMaio is introducing legislation (AB 22 and companion ACA-10) that will enact the “End Reckless Release of Criminals Act.” DeMaio seeks to keep Californians protected from dangerous criminals being released from state prison by repealing a controversial “early release” program voters were deceived into approving under Prop 57.

“California voters sent a strong message with the landslide approval of Prop 36 that they want to reverse the crime wave hitting our state. While Prop. 36’s reforms allow police and prosecutors to once again arrest and prosecute criminals, we must ensure that criminals are required to serve their sentences. That’s why I’m proposing the “Stop Reckless Release of Criminals Act” to end the early release of criminals. My proposal also ends the release of sexually violent predators into residential communities. I urge bipartisan passage of AB 22—a common-sense law to help us fight crime and keep Californians safe,” states DeMaio.

Key Provisions of AB 22:

• Ends Early Release: Repeals Prop 57 and ends the practice of good behavior credits being awarded to prisoners by the Department of Corrections and Rehabilitation for early release.
• Improves Sex Offender Registry: Repeals SB 145 (2020), which nullified enforcement of the Sex Offender Registration Act for those who commit offenses involving a minor if the age gap is no more than 10 years. Under SB 145, state law would allow a sex predator to avoid the sex offender registry even if he molested a child as young as age 14.
• Bans Placement of SVPs in Residential Areas: Prohibits placement of a sexually violent predator on conditional release in a residential area.

SACRAMENTO

CFCA joins fight against California’s heavy diesel emission standards

The California Fuels and Convenience Alliance (CFCA) joined a multi-state coalition of businesses and associations in a lawsuit filed against the U.S. Environmental Protection Agency challenging its recent decision rubber-stamping California’s latest emission standards.

“California’s new heavy diesel emission standards will raise costs for everyone, said Elizabeth Graham, Chief Executive Officer of the California Fuels and Convenience Alliance. “These increasingly stringent standards will make it much more costly for trucking companies to replace their fleets, which we all depend on for a continual supply of food, fuel, and other essential commodities. And this isn’t just a California issue; it’s affecting businesses across the country because Congress has enabled California to federalize its air emission standards.”

Under the Clean Air Act, the EPA sets baseline vehicle emission standards and preempts the states from setting their own emission standards. But the Clean Air Act allows California (and only California) to set its own standards for emissions without any meaningful oversight by the federal government; the Act requires only that the EPA issue a "waiver,” allowing California to enforce standards of its choosing. The Clean Air Act then requires states to adopt either the EPA’s standards or California’s standards in order to comply with the Act. To date, 17 states and the District of Columbia have implemented standards chosen by California into their federally enforceable state implementation plans.

Joining the California Fuels and Convenience Alliance are H.R., Ewell, Inc., the Western States Trucking Association, the California Asphalt Pavement Association, the New York Construction Materials Association, Inc., and the Associated General Contractors of New York State LLC.

SAN DIEGO

Ballots mailed for District 1 special primary election

Over 370,000 ballots are on their way to registered voters in the County of San Diego’s First Supervisorial District for the April 8 special primary election.

Registered voters should receive their ballot the week of Monday, March 10. Some voters may receive theirs this weekend. The official ballot packet will also include an “I Voted” sticker.

The person elected will fill the district’s vacant seat for the remainder of the current term that ends in January 2029. If no candidate receives a majority vote at the April 8 election, the top two vote-getters will move on to the special general election on July 1. Only those who live in the district can vote in the election.

District 1 runs from the Pacific Ocean to the Otay and San Miguel mountains in the east and from Barrio Logan in the north to the U.S./Mexico international border on the south. The district includes the cities of Chula Vista, Imperial Beach, National City, and some communities within the City of San Diego, including Barrio Logan, East Village, Golden Hill, and more. It also includes the unincorporated areas of Bonita, East Otay Mesa, Lincoln Acres, Sunnyside, and La Presa.

FRESNO

Washington Unified School District to pay $17,000 in EEOC age discrimination charge

The Washington Unified School District, located in Fresno, Calif., settled a federal charge of age discrimination filed with the U.S. Equal Employment Opportunity Commission (EEOC) for $17,000 and other injunctive relief, the federal agency announced today.

An EEOC charge of discrimination was filed in April 2022, alleging that the employee was denied reasonable accommodation, subjected to different terms and conditions of employment, and finally discharged because of age and disability. The EEOC investigated the allegations and found reasonable cause to believe the Washington Unified School District had violated the Age Discrimination in Employment Act (ADEA), when it denied equal terms and conditions of employment and discharged a math teacher due to the employee’s age, 65.

Without admitting liability, the Washington Unified School District entered into a conciliation agreement with the EEOC. The school district agreed to pay $17,000 to the impacted individual, provide a neutral letter of reference, and provide training to supervisors and managers on the ADEA and complaint handling. Additionally, the school district will post a notice to all employees about the resolution of this charge and their rights under federal anti-discrimination law. The EEOC will monitor compliance with this agreement.

“Employees should be provided equal opportunity in employment based on merit, not on their age,” said Armando Hernandez, director of the EEOC’s Fresno local office. “We commend Washington Unified School District for resolving this charge and putting in place measures that will benefit employees throughout the school district.”

RIVERSIDE

San Bernardino Church Pastor and ex-political candidate arrested

A pastor at a San Bernardino church and one-time political candidate for the San Bernardino City Council has been arrested on an 11-count federal grand jury indictment alleging he committed several con jobs targeting long-time friends and a nonprofit corporation tied to another church, swindling them out of a total of more than $230,000, the Justice Department announced today.

Terrance Owens Elliott, 60, a.k.a. “Tony Elliott,” of Crestline, is charged with 11 counts of wire fraud.

Elliott was arrested Thursday and is scheduled to be arraigned this afternoon in United States District Court in Riverside.

The family trust

According to the indictment that a grand jury returned February 26, from October 2019 to February 2023, Elliott – representing himself as working in the San Bernardino city government and being involved with the San Bernardino Police Department – defrauded several long-time friends out of approximately $150,263 by convincing one friend – identified in the indictment as “M.C” – to put her inheritance money into a trust for her own benefit. Elliott convinced this victim to allow him to establish and administer that trust, claiming that she would lose her Medicare and Social Security benefits if she directly received the inheritance.

Elliott prepared a trust agreement that appointed himself as a co-trustee. The trust provided that its money was to be used for the M.C.’s financial needs during her lifetime and permitted that her funeral expenses were to be paid from the trust with any remaining property being passed to her children upon her death.

Elliott then opened a bank account in the trust’s name listing only himself as a trustee and gave the bank a fraudulently modified copy of the trust agreement that purported that he had the sole power to make payments from the trust’s bank account.

He then wrote checks and made online transfers to a church – identified in the indictment as “Church A” – that weren’t permitted under the trust agreement. He also used the money from that trust’s bank account to purchase postal money orders that were used to pay the church’s rent. Elliott further used the account to pay for his personal expenses, including the repair of a Chevrolet truck, Nike sneakers, a piano, clothing, and an extended warranty for a motorcycle.

Elliott also obtained access to M.C.’s account at a different bank to make approximately $27,164 in unauthorized transfers of some of her monthly Social Security payments to the church.

When the victim’s family asked Elliott about the trust account or asked for bank statements, he lulled them into compliance by getting upset and telling them that everything was under control.

When M.C. died, Elliott tricked another victim – identified as “W.H.” – into paying approximately $8,615 for the victim’s funeral expenses, falsely claiming that he needed authorization from a judge before money in the trust bank account could be released.

Through this scheme, Elliott defrauded four victims – including M.C. and W.H. – out of at least approximately $150,263.

The corporation

In a separate scheme, from June 2021 to February 2023, Elliott advised victim W.H. on selling a house when renters occupied the property. After W.H. sold the house, Elliott called him and suggested the victim’s corporation loan M.C.’s trust $65,000, falsely claiming this would help the victim to avoid having to pay a capital gains tax from the house’s sale.

Elliott prepared a loan contract between a corporation W.H. had set up and M.C.’s trust, which they signed. Elliott told W.H. that Elliott would transfer $65,000 from the corporation to the trust account and that the trust would repay the loan with 10% annual interest. Elliott convinced the victim to give him several signed blank checks from the bank account of W.H.’s corporation.

Instead of honoring the contract, Elliott used one of the blank checks to make an unauthorized transfer to Church A – without W.H.’s knowledge or consent. Although Elliott ultimately transferred $49,000 to the trust, he never repaid any part of the $65,000 loan. Instead, he spent the bulk of the money on his own personal expenses.

Nonprofit litigation

Finally, from September 2018 to June 2021, Elliott used his relationships with Church B and its board of directors to help manage the church’s litigation expenses and other costs involving a different church – identified in the indictment as “Church B” and a nonprofit.

Elliott lied to the nonprofit and Church B’s board of directors that the nonprofit owed money to W.H.’s corporation for services rendered related to litigation against them. He caused the nonprofit to issue approximately 32 checks to W.H.’s corporation, which Elliott later deposited in a corporation-related bank account that Elliott controlled.

Elliott did not use the money from the checks for the nonprofit’s benefit and defrauded it out of approximately $23,300.

In total, Elliott allegedly caused his victims approximately $238,563 in losses.

If convicted, Elliott would face a statutory maximum sentence of 20 years in federal prison for each count.

FRESNO

Bakersfield man charged with laser strikes of police helicopter

Brett Curtis Hair, 22, of Bakersfield, was arrested on Friday for aiming the beam of a laser pointer at an aircraft, Acting U.S. Attorney Michele Beckwith announced.

According to the indictment, on Sept. 11, 2024, Hair aimed the beam of a laser pointer at a Kern County Sheriff’s Office helicopter (Air One).

According to the Federal Aviation Administration (FAA), laser exposure can result in visual impairment and therefore poses a serious hazard to the safe operation of an aircraft. In 2024, the FAA received 12,840 reports of laser strikes from pilots.

If convicted, Hair faces a maximum statutory penalty of five years in prison and a $250,000 fine.

SAN DIEGO

Former vice president of pharmaceutical company admits to insider trading

George Demos, then-vice president at San Diego-based Acadia Pharmaceuticals Inc., pleaded guilty in federal court today to illegally selling 60,000 company shares, thus avoiding a $1.3 million loss by acting on insider knowledge about the labeling process for a prescription drug with the Food and Drug Administration (FDA).

Demos, 64, a medical doctor who was the Vice President of Drug Safety and Pharmacovigilance and member of the drug label team at publicly-traded Acadia, admitted that he was able to avoid the loss by dumping his shares just two hours before negative news about the labeling process became public.

Through his positions, Demos had access to material information belonging to Acadia, including the drug approval and labeling process with the FDA, before the information was released to the investing public. As an employee of Acadia, Demos was subject to an insider trading policy that prohibited trading in company stock on the basis of material nonpublic information.

As of 2021, Acadia’s only fully FDA-approved pharmaceutical product was Pimavanserin, sold under the brand name Nuplazid, for the treatment of Parkinson’s disease psychosis. Demos admitted that in 2020, he learned inside information that Acadia had applied for FDA approval for the expansion of the label for Nuplazid to treat dementia-related psychosis. Expanding the label was expected to generate significant revenue for Acadia because it would allow the drug to treat a larger patient population.

Demos also admitted, however, that in March 2021, he learned additional inside information that discussions with the FDA had stalled, indicating a problem with the label. Acting on that inside information, Demos sold more than 60,000 shares of Acadia for $2,833,856.15 - less than two hours before Acadia issued a press release announcing deficiencies in its drug application with the FDA, preventing labeling discussions. Demos admitted that based on the inside information, he sold his Acadia stock for $46.61 per share, avoiding the 45 percent drop in stock price, to $25.02, that occurred the next day after the press release was issued to the public. Through this illegal trading, Demos avoided a loss of $1,313,263.

As part of his plea, Demos agreed to forfeit $1,313,263 – the loss he avoided through his insider trading. Demos is scheduled to be sentenced on May 30, 2025, at 9 a.m. before U.S. District Judge Robert Huie.

SAN DIEGO

Colombian national charged with narco-terrorism in superseding indictment

Geovany Andres Rojas, 43, a suspected cocaine trafficker also known as Araña, was indicted by a federal grand jury today in a superseding Indictment with a new count of Narco-Terrorism.

Rojas was previously charged with one count of International Conspiracy to Distribute Cocaine. In that charge, Rojas is alleged to have agreed, in Colombia, Ecuador, and elsewhere, to distribute cocaine knowing that it would be unlawfully imported into the United States. Today, the United States added a second charge of Narco-Terrorism that alleges that Rojas knowingly and intentionally provided anything of pecuniary value to persons and organizations he knew were engaged in terrorist activity and terrorism.

This prosecution is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) Strike Force Initiative, which provides for the establishment of permanent multi-agency task force teams that work side-by-side in the same location. This co-located model enables agents from different agencies to collaborate on intelligence-driven, multi-jurisdictional operations to disrupt and dismantle the most significant drug traffickers, money launderers, gangs, and transnational criminal organizations.

- Arturo Bojorquez, abojorquez@ivpressonline.com