Posted Jan. 21, 2011 – 6:20 p.m.

By Marla Schevker, Beverly Hills Courier

Los Angeles Superior Court Judge Kathryn Solorzano ruled today to lessen former BHUSD Director of Facilities and Planning Karen Christiansen’s bail from $2 million to $200,000 after a bail hearing in which friends attorney Howard Fulfrost and Beverly Hills resident Elizabeth Chait testified on Christiansen’s behalf.

Fulfrost, former BHUSD attorney and husband to a senior executive of Christiansen’s company Strategic Concepts’ Tim Morneau, testified Christiansen had been living in their extra bedroom. Fulfrost said both himself and Morneau considered her to be a part of the family. She has her own room, puts her own clothes away and leaves her stuff in the bathroom and shower, Fulfrost testified.

Chait, who was a PTA president from 2003 to 2005 and chairperson of the Beverly Hills Unified School District Service Learning Advisory Board for approximately nine years, was clearly distraught when she took the stand to testify on Christiansen’s behalf.

“I am so upset by the character assassination taking place in this courtroom,” she testified, turning to point her finger alternately at District Attorneys Juliet Schmidt and Max Huntsman. “Especially by you two (district attorneys).”

Chait said all of Christiansen’s friends were in Beverly Hills. Although Schmidt claimed Christiansen would be a flight risk because of her lack of ties to the community, Chait and Christiansen’s attorney Philip Kaufler alleged Christiansen has no money and therefore could not go anywhere.

“She has nowhere else to go,” Chait said. “She has no money, she’s borrowing money from us. Where is she to go?”

Solorzano said she believed a $2 million bail to be too high. Any money that goes towards Christiansen’s bail is subject to Penal Code 1275, in which the DA must determine the money is not coming from any funds Christiansen allegedly stole or earned unfairly from the district.

Solorzano also ruled that she will not lower Christiansen’s bail significantly and give her an ankle bracelet to ensure she will not flee. This is not a DUI case, Solorzano said. A $200,000 bail will give her friends incentive to keep Christiansen from fleeing, Solorzano explained.

The preliminary hearing for Christiansen and former BHUSD Superintendent Jeffery Hubbard will continue on to Monday. Although the prosecution has presented all of their witnesses, Solorzano stated she needed time to review previous case law regarding conflict of interest. In a preliminary hearing it is customary for the prosecution to show there is enough evidence to go to trial. The defense on Monday will try to persuade the court to allow its witnesses to contradict the prosecution’s showing.

The District Attorneys filed an amended complaint Tuesday, charging Hubbard with two counts of misappropriation of funds and Christiansen with four counts of conflict of interest. This amended complaint took Christiansen off both misappropriation charges and removed one conflict of interest charge.

Salvatore Ciulla, attorney for Hubbard, has argued that the Board actually approved the stipend and increase in auto allowance, even though they may not have been aware of the action.

Attorney’s for Christiansen have argued that her work does not fall under the Conflict of Interest code because she was neither an employee nor district official at the time she is accused of making contracts that would be of financial benefit to her. However, the prosecution has argued as a consultant during 2006, that she held the same duties as when she was the director of planning and facilities. They claim she had the same influence over board members and therefore was able to benefit from the recommendations she made to the board.

Hubbard, who is now Superintendent of the Newport Mesa Unified School District, is charged with two counts of misappropriation of funds, one in September of 2005 where he allegedly increased Christiansen’s car allowance and the other in February of 2006 where he allegedly gave her a $20,000 stipend.

Christiansen is accused of having brokered contracts with outside vendors for financial gain while performing duties as director of planning and facilities for the BHUSD. She was a major planner and proponent of the Measure E bond and allegedly used her position as director of planning and facilities to broker a contract for Strategic Concepts to become the program and project manager, for which she received $2 million before her contract was terminated.

The preliminary hearing will continue Monday in the Airport Court branch of the Los Angeles Superior Court.


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