Fernando De Leon

  • Former San Antonio official Fernando De Leon faces federal charges in alleged bribery scheme

    Fernando De Leon, assistant director of land development for the city of San AntonioIn March 2010, San Antonio police detectives and FBI agents visited the city’s Planning and Development Services Department, the place where real estate projects go to live or die based on whether the necessary permits are approved.

    One of the officials who signed off on those permits was Fernando De León, the department’s friendly, soft-spoken assistant director. Investigators headed to his office. De León wasn’t there, but they seized his computer and files. City Manager Sheryl Sculley later fired him, but De León wasn’t arrested.

    Until last week.

    A federal indictment made public Thursday sheds light on the case against De León:

    Longtime readers of the Express-News might remember some of the details we had discovered about the case through public records and lots of digging:

  • Authorities were scrutinizing De León and a permit-expediting company called Rapid Permit Services. Federal officials subpoenaed records at Pape-Dawson Engineers Inc., one of the largest engineering firms in town, to gather information about Rapid Permit Services and possibly others. Pape-Dawson was not the target of the inquiry;
  • Rapid Permit Services got a plum job at the Rim, an 800-acre shopping center;
  • De León reviewed and approved some of the paperwork for the Rim that had been filed by Rapid Permit Services;
  • De León’s sister and possibly his mother were tied to Rapid Permit Services;
  • At Pape-Dawson, the point of contact for Rapid Permit Services was a project manager named Oscar Rodriguez.
  • For the first time, the indictment lays out the actual allegations against De León, and describes how he is accused of teaming up with Rodriguez to defraud Pape-Dawson and the firm’s clients.

    Check out the most recent story here, and if you want to learn more, here are past posts about the case.

  • Reporter’s notebook: Tips for putting together the pieces of a puzzling, complex story

    Jigsaw puzzleOn March 26, City Hall reporter Josh Baugh got an adrenaline-pumping tip: FBI agents had seized files at the office of Fernando De León, a city official who reviewed permits for real estate development in San Antonio.

    The tip sparked a frantic series of phone calls that afternoon as Josh and I tried to figure out what was going on. Authorities said they couldn’t discuss many details — there was still an active investigation, and De León hadn’t been charged with a crime. It was an understandable response, but we had to tell readers what was happening at a city department funded by their tax dollars and permit fees.

    Trying to find answers in a story like this is like working on a jigsaw puzzle, only you have to go out and interview people and dig up records to find the missing pieces. And even then, you’re only going to see part of the picture. But after a lot of work, here’s the gist of what we know today:

  • Authorities are scrutinizing at least two players: De León and a permit-expediting company called Rapid Permit Services. Federal officials subpoenaed records last year at Pape-Dawson Engineers Inc., one of the largest engineering firms in town, to gather information about Rapid Permit Services and possibly others. Pape-Dawson is not the target of the inquiry;
  • Rapid Permit Services got a plum job at the Rim, an 800-acre shopping center;
  • De León reviewed and approved some of the paperwork for the Rim that had been filed by Rapid Permit Services;
  • De León’s sister and possibly one other family member are tied to Rapid Permit Services.
  • There’s certainly far more to this story, but it’s a start. If you’re digging into a murky topic like this for a blog or news organization, here are a few tips that can help you find the missing pieces of the puzzle:

  • Follow the bread crumbs: Knowledgeable people and pertinent documents can lead you to more people and more documents. For example, once we learned about Rapid Permit Services, we turned to the Texas Secretary of State’s office. That’s where companies file incorporation papers. For a small fee, you can search those records online, and look up pdf files of the original documents:

    Incorporation papers for Rapid Permit Services by John Tedesco

    These records lead to other people and records — in this case, the name of Rebeca Lopez, who turned out to be De León’s sister. Keep following the bread crumbs and see where the lead.

  • Request the licensing file: When you’re backgrounding someone and learn the person works in a profession that requires a professional license — such as an engineering license — contact the state agency that regulates that profession, and request a copy of the person’s licensing file. The records in the file are usually public and contain things like the license application, educational history and any reprimands. De León is an engineer, and the Texas Board of Professional Engineers quickly provided us with a pdf of De León’s complete file. His license application listed an address in Laredo that proved to be pertinent.
  • Connect the dots: In many investigative stories, you’re trying to find connections between people and organizations. In our case, the goal was to find connections between De León and Rapid Permit Services. As we examined documents and interviewed people, we kept track of every name, date, phone number, address, and other tidbits. Then we saw where the information intersected.

    When De León applied for his engineering license, he listed an address in Laredo. That turned out to be a key piece of information — in another document tied to Rapid Permit Services, that same address was mentioned. A woman named Marcela Alicia Marquez had filed an assumed name certificate with the county to register Rapid Permit Services as a proprietorship, and she listed the address in Laredo:

    Assumed Name Certificate for Rapid Permit Services by John Tedesco

    She could be related to De León — and we might have missed that connection if we hadn’t typed in every address we came across.

  • Build a chronology: Plug all the dates you find into a chronology, and interesting angles might emerge. Rapid Permit Services was incorporated around the same time the Rim was being developed. Was the firm specifically created to get a piece of the pie at the Rim?

    Who knows? It could be another piece of the puzzle.

  • (Photo credit: liza31337)

  • Using LucidChart to connect the dots between people and organizations

    Ties between Rapid Permit Services and Fernando De Leon

    When City Hall reporter Josh Baugh and I worked on this story about fired city official Fernando De León, Josh found a nice online tool to help us connect the dots.

    LucidChart lets you create flow charts and organizational trees that you can share with your colleagues and publish when you’re done. Here’s the chart we made for our most recent story.

    It’s a quick and easy tool featured on Lifehacker. Our chart helped me explain to graphic artist Mike Fisher what our story was about visually, which resulted in a simplified version that ran in the paper.

    Thankfully, our chart wasn’t as complicated as this bad boy.

  • Firm tied to San Antonio official landed plum job at the Rim shopping center

    Fernando De Leon, assistant director of land development for the city of San AntonioCity hall reporter Josh Baugh and I learned a few more scraps of information about fired city employee Fernando De León; the permit company owned by his sister; and possible reasons why the FBI and police are investigating them.

    First, some background:

    On March 26 — a lazy, Friday afternoon in the newsroom — Josh got a tip that FBI agents were at the city’s “One Stop” center. The tipster said the FBI was carting out files from Fernando De León office, and leading him away in handcuffs.

    The One Stop center is a spacious city building that feels more like a trendy art museum than a staid government building. It’s the home of the city’s Planning and Development Services Department. Developers and builders visit the One Stop center to apply for permits to develop land, construct new buildings, and renovate existing structures. De León, an assistant director at Development Services, was one of many employees who reviewed those plans.

    I know De León. The last time I saw him was a month or so earlier, when I visited his colleague’s office for a story about the cracked retaining wall at the Hills of Rivermist. In the newsroom, I was walking by Josh’s desk and saw De León’s picture on the computer. “What’s up with Fernando?” I asked. Josh told me about the tip.

    I think my exact words at that point were: “Holy shit.”

    I offered to help find out what was going on and called Development Services. A receptionist answered. I asked for De León. He was unavailable. I asked for his boss, Roderick Sanchez. He was unavailable, too. I said I heard there were guys in suits over there and asked what they were doing. She blurted “Oh, my God,” and said she couldn’t talk about it.

    I got my stuff and started running out to my car to head to Development Services. Josh caught up with me and said it was too late — the FBI had been there earlier that day and had left. So now we had some catching up to do to find out what had happened. It was about 5 p.m., and we had a few hours to go before deadline.

  • FBI examined records at Pape-Dawson Engineers in probe of permit company

    Fernando De Leon, assistant director of land development for the city of San AntonioLast week, FBI agents and white-collar crime police detectives questioned Fernando De León, a city official in San Antonio who oversaw the permitting process for real estate development.

    We published a story today with more details:

    Federal authorities subpoenaed records last year at Pape-Dawson Engineers Inc., the largest engineering firm in San Antonio, as part of an investigation of permitting practices at the city’s Planning and Development Services department.

    Two sources familiar with the inquiry said Pape-Dawson Engineers is not the target of the investigation. FBI agents appear to be focused on Rapid Permit Services Inc., a small company that Pape-Dawson had hired in the past to file development plans with the city.

    Records and interviews show Rapid Permit Services is owned by Rebeca De León Lopez, who is the sister of Fernando De León, an assistant director of land development at the city who was questioned Friday by the FBI.

    Federal agents and white-collar crime police detectives seized De León’s computer and files from his office Friday at the Development Services “One Stop” Center at 1901 S. Alamo St. That same day, City Manager Sheryl Sculley placed De León on administrative leave.

    Asked about the FBI inquiry, engineer Gene Dawson Jr., a well-known figure in the real estate industry, responded by e-mail to the San Antonio Express-News, stating: “Pape-Dawson confirms that we did meet with the FBI last summer, but due to the ongoing investigation, we have no further comment.”

    You can check out this pdf of the incorporation papers of Rapid Permit Services, which were filed about 10 months before De León was promoted to assistant director at the city in July 2006. The city also has a flow chart on its Web page showing the employees who worked for De León and their duties.

  • FBI and police quiz San Antonio official who oversaw land development

    Fernando De Leon, assistant director of land development for the city of San AntonioFor longtime observers of local politics, the terms “City Hall” and “FBI” conjure memories of a bribery investigation that snared former city councilmen Enrique Martin and John Sanders.

    On Friday, FBI agents and San Antonio white-collar crime detectives showed up at the city’s Planning and Development Services department and seized a computer and files belonging to Fernando De León, an assistant director in charge of issuing land development permits. Authorities later questioned De León for several hours that same day at police headquarters downtown. De León was not arrested and he was released after the interview.

    WOAI’s Brian Collister reported in February that San Antonio police were investigating building inspectors in the same city department. The inspectors check residential and commercial structures, and inspect things like electrical systems and plumbing. If the building isn’t up to code, the inspector is supposed to tag the flaw and the owner is supposed to fix it. The city is investigating whether inspectors took money to sign off on work that wasn’t up to city code.

    Friday’s development added a new wrinkle to this story — it was the first sign that the FBI is investigating the city department. And De León oversaw land development, not building inspections. His name is tied to hundreds, if not thousands, of development plans that govern things like lot densities of subdivisions and tree preservation requirements. De León held an important position in a city that is grappling with the growing pains of urban sprawl. Here’s the city’s description of his responsibilities:

    The Land Development Division is involved with the review and approval process of Master Development Plans (MDPs), Plats, Tree Preservation, Infrastructure, Traffic Impact Analysis (TIAs), and Zoning. The Construction and the Environmental Inspectors assist the Division in the field. The Land Development Division serves as staff to the Planning Commission, Zoning Commission and Board of Adjustments.

    District Attorney Susan Reed said investigators are examining “irregularities in the permitting process” that De León oversaw.

    I last bumped into De León in February when I was at Development Services covering the retaining wall collapse at the Hills of Rivermist. He’s a friendly, soft-spoken guy.

    How did the FBI and San Antonio police team up? It appears they were initially conducting separate investigations of Development Services:

    Officials said city and federal investigators “crossed paths” during two separate investigations of the department. The city got involved in October, when the Office of Municipal Integrity received a complaint about the four building inspectors.

    When that office determined it was a criminal matter, it turned the case over to the city manager’s office, which in turn handed it over to the Police Department, officials said.

    Meanwhile, federal authorities were quietly conducting their own inquiry. …

    “We did cross paths,” [Police Chief William] McManus said. “We partnered up.”

    Here’s a time line of events in the investigation that have been made public so far. I’ll add more events as we learn more.