Bay Area/ San Francisco

Bay Area Entrepreneurs Admit to Bribing Vallejo City Official in Marijuana Grow-Op Scheme

AI Assisted Icon
Published on January 11, 2024
Bay Area Entrepreneurs Admit to Bribing Vallejo City Official in Marijuana Grow-Op SchemeSource: United States District Court Eastern District of California Website

In a stark turn of affairs, two Bay Area entrepreneurs have admitted to their roles in a bribery scheme, offering a wad of cash to a city official in exchange for some bureaucracy-bending favors. Steven Chu, 41, hailing from San Bruno, and Ben Guan, 36, of San Francisco, acknowledged their involvement in the conspiracy before a federal judge, according to the U.S. Attorney's Office.

Chu and Guan, as detailed by the Department of Justice, found themselves up against the wall when inspectors flagged their supposedly unlicensed marijuana grow-op with a handful of violations back in July 2020. Not ready to roll over, the pair decided that greasing the palm of a Vallejo building inspector would make their problems go away.

The payoffs seemed to work, temporarily. Handing over approximately $27,000 on six separate occasions, Chu and Guan aimed to sweep their legal issues under the proverbial rug. However, the building inspector they attempted to bribe was secretly cooperating with law enforcement, recording their interactions as part of an undercover FBI operation.

The wheels of justice are now turning as the duo could find themselves behind bars for up to five years, alongside a hefty $250,000 fine, for their unsavory actions. U.S. District Judge Daniel J. Calabretta is set to dole out their sentences on May 2 this year, but the final judgment will rest on a mix of guidelines and variables, as pointed out by U.S. Attorney Phillip A. Talbert. Chu and Guan await their fate, with the court's discretion to consider all statutory factors before slamming down the hammer of justice.