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Tribal chairman surrenders to face allegations of bribery

City News Service • October 24, 2009

RIVERSIDE — Soboba Band of Luiseno Indians Chairman Robert Salgado surrendered to authorities Friday after being indicted on federal charges of accepting more than $250,000 in bribes from tribal vendors and concealing income from the Internal Revenue Service.


Salgado, 67, was notified that he was named in a 36-count indictment returned last week, according to the U.S. Attorney's Office.

Salgado surrendered at U.S. District Court in Riverside.

He made a brief court appearance and had his bail set at $150,000.

Salgado, who was expected to be released late Friday, is due back in court Nov. 2 for arraignment, said Thom Mrozek, spokesman for the U.S. Attorney's Office.

Late Friday afternoon, Salgado released a statement through his attorney.

“As the U.S. Attorney's press release states, these are allegations, and Chairman Salgado has come to court today to clear them up,” Robert Davis said.

Mrozek said the investigation into Salgado began two years ago, but would not say what information led to the probe.

“We've done a thorough analysis of the case,” Mrozek said.

The indictment alleges that Salgado conspired to solicit and accept bribes from four vendors in exchange for them obtaining contracts with the tribe or being allowed to keep existing contracts.

According to court papers, the four vendors paid bribes to Salgado in the form of cash, payments to his creditors and checks payable to a company that Salgado established.

The indictment also alleges that the four vendors who paid bribes were involved in real estate purchases made by the tribe, had construction projects at the tribe's casino and on the reservation and provided services at the casino.

“Defendant Salgado informed vendors that to obtain or keep contracts with or involving the Soboba Band, the vendors would have to make payments to him,” according to the 20-page indictment.

Court papers state that at times, Salgado directed vendors to make checks payable to R.J.'s Wood Service, a company he established.

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Salgado was indicted on one count of conspiracy and 29 counts of bribery outlining payments totaling more than $250,000.


The indictment also includes six counts of filing false tax returns for the years 2001 through 2006, with each count alleging that his true income was in excess of the figures reported to the IRS.

One vendor, Abbas Shilleh, the owner of California Parking Services Inc. — which provides valet parking at the Soboba Casino — was named in two of the bribery counts in the indictment.

Shilleh, 46, a resident of Diamond Bar, was expected to surrender to authorities Monday.

Prosecutors said Salgado had the authority to sign contracts on behalf of the band and had substantial influence over its business dealings.

According to the U.S. Attorney's Office, the conspiracy charge carries a maximum penalty of five years in prison, while the bribery counts each have a maximum sentence of 10 years in prison. The tax charges carry a maximum of three years.

The indictment outlines each payment Salgado is alleged to have asked for between 1999 and 2009.

On Dec. 20, 1999 — the first payment listed in the indictment — a vendor allegedly made a $1,000 payment to Salgado in a check made out to R.J.'s Wood Service.

The last payment listed on the indictment, from July 6, was for $2,500 cash, according to the court papers.

On Nov. 10, 2006, a vendor allegedly gave Salgado seven checks totaling $39,843 to pay personal bills for Salgado or his wife.

The indictment states that on Dec. 9, 2004, a vendor paid Salgado about $40,000 in checks made out to the defendant's creditors and on Dec. 17, 2004, one check for $5,000 was given by that same vendor for tickets to a boxing match.

Shilleh is accused of giving Salgado a check for $15,000 on Dec. 26, 2006, and two other checks totaling $35,000, on Jan. 17, 2007, court papers state.

The indictment also states that Salgado filed false joint income tax returns that claimed he and his wife made $146,114 in 2001; $141,125 in 2002; $164,169 in 2003; $205,107 in 2004; $208,928 in 2005 and $280,770 in 2006.

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