Mohammed Nuru

Former director, SF Department of Public Works

Role: The Fixer

Nuru served as a senior city official for decades, including nine years as Department of Public Works director. During that time, he conducted a series of long-running schemes leveraging his control over city coffers to get bribes and kickbacks from businesses who wanted to contract with San Francisco, the U.S. attorney alleged.

Beginning in 2008, Nuru had a corrupt relationship with SF-based contractor Walter Wong. Nuru accepted envelopes of cash, totaling up to $5,000 at a time, from Wong. Even more valuable, prosecutors say Wong paid for over $260,000 worth of construction labor and materials at Nuru’s vacation ranch in Colusa County. In exchange, the Public Works boss helped Wong secure lucrative city contracts by making sure the requests were structured to give the developer an advantage over his competitors. Prosecutors also said Nuru fed Wong insider information to give him a leg up.

But Nuru’s corruption didn’t stop there. Employees from Recology, which has a monopoly on collecting San Francisco’s waste, allegedly bribed Nuru for years so he’d support its rate hikes. The Public Works director also admitted to taking bribes from other people, including people running engineering and construction businesses, all of whom sought to leverage Nuru’s considerable influence for their own profit.

Even Mayor London Breed was caught up in Nuru’s whirlwind. After it came to light that Nuru paid for more than $5,500 in car repairs and a rental car for Breed, the Ethics Commission fined her over $8,000. Breed said she briefly dated Nuru over two decades ago. She was not criminally charged.

Where are they now?

Nuru ultimately pleaded guilty to a federal fraud charge. Last August, he was sentenced to seven years in prison and is currently incarcerated at a federal prison in Santa Barbara County with a release date set for December 2028.

Wing Lok “Walter” Wong

Owner of Wong Construction Co. and Other Companies

Role: The Expediter

Prosecutors say Wong coordinated corrupt misconduct across multiple city departments, on top of bribing Nuru, as detailed above. In total, the businessman cheated the city’s competitive processes to obtain $1.45 million in 10 different contracts from Public Works, the SF Public Utilities Commission and the City Administrator’s Office, according to court records. Those arrangements included conspiring with then-Department of Building Inspection Director Tom Hui to influence the work on a now-infamous development at 555 Fulton St., according to the city attorney.

Hui essentially empowered Wong to run portions of his department by hiring Wong’s allies into key city jobs, Mission Local reported. Hui stepped down, but has not faced criminal charges.

Where are they now?

Wong pleaded guilty to federal fraud and money laundering charges, agreeing to cooperate with prosecutors. He also agreed to pay San Francisco $1.7 million in a settlement over his numerous corrupt contracts.

He has not yet been sentenced for his convictions, but he and his companies were suspended as city vendors, and he no longer does business with the city as a permit expediter.

Nick Bovis

Owner of Lefty O'Doul's 

Role: The Crooked Restaurateur

Prosecutors say Bovis wanted to make sure he won a bid to lease restaurant space in San Francisco International Airport in 2018, so he enlisted the help of Nuru. Over the years, court records show Bovis had bribed Nuru with free meals and entertainment, plus thousands in appliances for the Public Works chief’s ranch, in exchange for assistance obtaining contracts from the city. Nuru expected that if Bovis won the airport contract, he’d send kickbacks his way as thanks for securing the profitable location, prosecutors said.

The pair decided that their best shot at winning the bid was to bribe an influential Airport Commission member. In a recorded call with a confidential government source, Bovis explained that Nuru instructed him to give $5,000 to the commissioner, according to court records. During the call, Bovis said that Nuru told him, “If you give me like $5,000 bucks cash for her […] I'll get it taken care of.”

Bovis ultimately failed in his attempts to bribe commissioner Linda Crayton, who was later named as the target of the scheme by the Controller’s Office. She resigned and did not face criminal charges.

London Breed, when she was still a supervisor in 2015, improperly asked Bovis to pay $1,250 toward the cost of her Pride Parade float, according to the SF Ethics Commission. That payment violated campaign finance rules, and Breed failed to report it, the commission found. It fined Breed $12,000 over the breach.

Where are they now?

In May 2020, Bovis pleaded guilty to federal fraud charges for attempting to bribe city officials. As part of his agreement, the restaurateur promised to cooperate with federal officials, delaying his sentencing until his work with prosecutors ends.

Recology

San Francisco’s waste collection conglomerate

Role: The Garbage Monopoly

Recology has had a monopoly on San Francisco’s garbage collection for decades. But local law requires the company to get city approval to raise the rates paid by residential customers.

As a result, a small handful of city officials have immense control over the profits that the garbage giant can earn from its SF routes. John Porter, the company’s then-vice president running its San Francisco operations, recognized that.

“Mohammed is the Director of the DPW who ultimately signs off on our rates. Needless to say, keeping him happy is important,” Porter wrote about Nuru in an email, according to court filings.

To keep Nuru happy, from 2014 to 2020, Recology directed over $1 million to what prosecutors described as a “slush fund.” According to city reports, the deposits totaled approximately $150,000 annually and were funneled into accounts at the San Francisco Parks Alliance, which has not been charged with a crime.

Paul Giusti, Recology’s government relations manager at the time, was in charge of many of those payments, and Porter, his boss, signed off on at least some of them, prosecutors alleged.

Recology also gave $60,000 each year from 2016 to 2019 to the Lefty O'Doul's Foundation for Kids, a baseball charity. But instead of the cash going to support underprivileged children, it paid for Nuru's annual Department of Public Works holiday parties. The faulty foundation was headed by none other than Bovis, the restaurateur.

The company also bought Nuru expensive steak dinners, paid for a New York hotel room and delivered free soil to his private ranch property, according to Nuru’s plea agreement. In return, the Public Works chief used his official position to help Recology’s business as opportunities arose, according to the filing.

A city investigation later found that Recology got away with overcharging San Franciscans by nearly $100 million during Nuru’s tenure.

Where are they now?

The U.S. attorney charged three Recology subsidiaries with conspiracy to commit fraud. In exchange for deferring the prosecution, the company admitted its long-running bribery schemes and agreed to pay $36 million in criminal penalties. It also agreed to repay customers roughly $100 million.

Porter has pleaded not guilty to bribery and money laundering charges. His case is ongoing.

Giusti pleaded guilty to bribery charges and agreed to cooperate with investigators. He hasn’t been sentenced. 

Recology is still San Francisco’s garbage company. It raised its rates at the beginning of 2023.

The Asphalt Plant

Role: The Waterfront Project

A group of San Francisco businessmen wanted to win a Department of Public Works contract to operate an asphalt plant on land owned by the Port of San Francisco. So beginning in 2016, prosecutors say the trio began bribing the man who could help greenlight the project: Nuru.

Balmore Hernandez was a longtime Public Works employee before he left to form his own company called Azul Works, which received numerous contracts from San Francisco. His cronies were Alan Varela and William Gilmartin III, who together ran ProVen Management, a construction and engineering firm, according to court filings.

As was often the case, the bribery scheme centered on improvements to Nuru’s vacation ranch home. For two years, Hernandez sent crews and materials out to work on the property, to the tune of over $250,000 in benefits. Nuru, of course, didn’t pay a dime for the work. Instead, Hernandez was compensated in city contracts, prosecutors alleged.

In 2017, while Azul Works had a crew working at Nuru’s ranch, Hernandez texted the Public Works boss, “Bring me some blessings. I need some jobs,” according to the criminal complaint.

Meanwhile, Gilmartin, Nuru and Hernandez discussed the asphalt plant contract process over lavish dinners. Gilmartin footed the bills, which eventually added up to $20,000. Varela and Gilmartin also gave Nuru a John Deere tractor—for his ranch, of course—worth $40,000.

Where are they now?

Alan Varela pleaded guilty to conspiring to commit fraud. He was sentenced to 24 months in prison and fined $127,000, while his company was suspended as a city vendor. He’s currently incarcerated in Sacramento County and is set to be released in May.

Gilmartin and Hernandez both pleaded guilty to conspiring to commit fraud and are cooperating with federal investigators. Neither have been sentenced.

Florence Kong

Owner of SFR Recovery and Kwan Wo Ironworks

Role: The Lavish Gifter

Kong was grateful to Nuru for helping her land a contract with San Francisco for disposing of construction debris at her recycling plant. The former member of the SF Immigrant Rights Commission was so grateful, in fact, that she gave the Public Works chief a $37,000 Rolex watch—just one of the many gifts that the millionaire showered upon Nuru as bribes for his work on her behalf, prosecutors alleged.

When FBI agents came knocking to ask about the bribes, prosecutors say Kong repeatedly lied about her improper payments. 

Where are they now?

Kong eventually pleaded guilty to bribery and making false statements to federal agents. She was sentenced to one year of incarceration and fined $95,000. She was released from prison last year. Her two companies were suspended as city vendors.

Zhang Li

Owner of multiple property companies

Role: The International Billionaire

Zhang is the billionaire owner of a Chinese real estate company called R&F Properties. He’s been accused of participating in a scheme to bribe public officials over five years. It’s his company that developed the 555 Fulton St. property that lay at the center of Walter Wong’s corrupt influence over city employees, according to a city report.

Though Zhang was not named in Nuru’s initial federal court filings, the San Francisco Chronicle reported that he was the unnamed developer who provided the Public Works head with pricey hotel stays and expensive wine.

Where are they now?

Zhang was recently arrested in London and is fighting extradition to the U.S.

Sandra Zuniga

Former director, SF Mayor’s Office of Neighborhood Services

Role: The Girlfriend

Zuniga started dating Nuru in 2009, a year after she began working for the city. As Nuru’s girlfriend, prosecutors said she spent years laundering his bribes. She was the one who originally bought the couple's vacation ranch that was the center of so much alleged malfeasance, court records show.

Zuniga would deposit ill-gotten checks from Nuru’s associates, then use the cash to pay for the mortgage on the ranch and various construction bills. Permit expediter Walter Wong also once paid for the couple to travel to Santiago, Chile, and put them up at the Ritz-Carlton, according to court filings.

Where are they now?

She pleaded guilty to conspiring to commit money laundering and is cooperating with federal investigators under a plea agreement.

Gerald "Jerry" Sanguinetti

Former bureau manager, SF Public Works Department

Role: The Rip Off

San Francisco’s Public Works Department had a go-to company to buy merchandise like shirts and caps—SDL Merchandising. The trouble is, that company was owned by the wife of one of the department’s bureau managers—Sanguinetti.

One city employee realized that SDL was charging twice the rates of its competitors and tried to replace it with a new vendor, prosecutors said. But their supervisor stopped them, saying that the top boss, Nuru, “wouldn’t like that.” Meanwhile, payments for the overpriced gear came out of the slush fund at the Parks Alliance that had been filled by Recology and other companies.

Where are they now?

The San Francisco District Attorney’s Office accused Sanguinetti of failing to disclose over a quarter million in outside income on his financial disclosure statements filed with the city.

He was convicted for failing to file financial disclosure forms and sentenced to one day in county jail, one year of probation and a $10,000 fine, according to the office.

Bernard Curran

Former senior inspector, SF Department of Building Inspection

Role: The Inspector for Sale

Bernard Curran was a senior building inspector who padded his city salary with bribes. Prosecutors say much of that money came from one local real estate developer, unnamed in court filings, who regularly paid Curran cash rewards for finishing final inspections on the developer’s projects. 

In 2017, the developer gave Curran a $260,000 loan so the inspector could pay down his mortgage and refinance at a better rate. Curran paid most of the cash back, but the developer forgave $30,000 of the loan. The official later admitted that he understood the debt forgiveness was an improper reward for the inspections he’d done, and would continue to do, for the developer, according to prosecutors.

Though Curran’s case has not been linked to Nuru’s, it shows that corruption was part of a larger culture within the city, extending beyond the Public Works boss’s circle.

Where are they now?

Curran pleaded guilty to accepting bribes and will be sentenced in March.

Rodrigo Santos

Owner of Santos & Urrutia Associates

Role: The Check Casher

Rodrigo Santos was another permit expediter who improperly influenced Curran. Santos, who years before was appointed to the city’s Building Inspection Commission by then-Mayor Willie Brown and became commission president under his successor Gavin Newsom, ran a company that helped clients obtain building permits. Santos had 13 clients give donations to a nonprofit athletic organization that Curran supported, knowing that would curry favor with the inspector. In some cases, Santos gave the donation checks directly to Curran, ensuring he knew exactly which client was giving to his favorite charity, officials alleged.

Separately, Santos regularly stole checks his clients wrote out to the city, instead depositing them in his personal bank account. Over seven years, about 445 checks worth more than $775,000 wound up in his pocket instead of city coffers, according to prosecutors. 

Where are they now?

Santos pleaded guilty this month to multiple fraud charges, evading taxes and falsifying records in a federal investigation. He’s yet to be sentenced, but agreed to pay more than $1 million in restitution to his victims.

Harlan Kelly, Jr. 

Former general manager, SF Public Utilities Commission

Role: The Sewer Steward

Harlan Kelly was a powerful man in San Francisco. During his career working for the city, Kelly was responsible for spending billions of taxpayer dollars to improve the city’s water, sewer and power systems. That’s not to mention the fact that his wife, Naomi Kelly, was the city administrator, the highest non-elected position in the city.

Walter Wong, the permit expediter and construction executive, wanted Kelly to help his business ventures, including the award of a multimillion dollar contract from the city to convert streetlights to LED technology, prosecutors alleged. While Wong was hoping to win the bid on the LED contract, he paid for the Kelly family to take a vacation to China. Shortly after the bidding ended, Wong completed extensive repairs on Kelly’s home at a substantial discount, according to court filings.

All told, Wong did $90,000 worth of construction on the Kelly’s home in the Sunset, Mission Local reported.

In return for these benefits, Kelly hand-delivered confidential city documents related to the LED project to Wong, prosecutors alleged. When Wong was running behind submitting his bid for the LED job, Kelly used his official position to delay the submission deadline, according to the criminal complaint.

Where are they now?

Kelly has not been convicted, and his trial is set to begin in June.

Kelly’s wife, Naomi, resigned her position but has not been charged with a crime.

Victor Makras

Owner of Makras Real Estate

Role: The Real Estate Mogul

Makras is a local real estate broker with close ties to some of San Francisco’s most influential politicians. Over the years, he also served on a slew of city commissions including the Port Commission, Police Commission, Public Utilities Commission and Retirement Board.

Prosecutors say Harlan Kelly teamed up with Makras to commit bank fraud. 

The public utilities manager had previously taken out a $715,000 loan from an investment company Makras managed to pay for his home and two other properties. 

Later, prosecutors allege, Makras submitted inaccurate financial documents making it look like Kelly owed more than he really did. Using Markas’s misleading documentation, Kelly was able to obtain a $1.3 million refinance loan from Quicken Loans at a lower interest rate than he would have been able to receive without the fraudulent figures, according to the criminal complaint.

Where are they now?

Makras was tried and convicted of making false statements to a bank and bank fraud. He was sentenced to three years probation and fined $15,200. The city's Ethics Commission also accused him of violating conflict-of-interest rules. If the allegations are upheld, he could face $240,000 in fines.

During sentencing, former mayors Willie Brown and Art Agnos both wrote letters to the judge asking for leniency on Makras’ behalf.