SF District Attorney

District Attorney Chesa Boudin Announces Charges Against Former Public Works Official Gerald Sanguinetti for Failing to Disclose over a Quarter Million Dollars in Income

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Sara Yousuf, (415) 603-9696 / Sara.Yousuf@sfgov.org  

San Francisco – Today, San Francisco District Attorney Chesa Boudin announced today that Gerald “Jerry” Sanguinetti, a former Bureau Manager for San Francisco Public Works, was arrested on five felony charges for Perjury in violation of Penal Code section 118(a), and two misdemeanor charges for Failure to File Financial Disclosure Statements in violation of San Francisco Campaign and Governmental Conduct Code section 3.1-102(a). The felony charges stem from Mr. Sanguinetti’s alleged failure to disclose over a quarter of a million dollars in outside income on required financial disclosure statements. The misdemeanor charges arise from his alleged failure to file these statements altogether for 2018 and 2019.

“Public employees must serve the public, not use their position for their own financial gain,” said District Attorney Boudin. “Failing to disclose financial conflicts of interests while profiting at the city’s expense violates public trust. When public employees break the law, my administration will hold them accountable. No one in San Francisco is above the law.”

Designated public employees are required to disclose their outside sources of income, business investments, and spouse’s income each year on a Form 700 Statement of Economic Interest, which they must attest to under penalty of perjury. From 2013 to 2019, Mr. Sanguinetti is alleged to have failed to disclose his interest in or income from “SDL Merchandising,” a company which did business with Public Works and was nominally owned by Mr. Sanguinetti’s wife, Gina.

Financial and business records obtained over the course of a nine-month investigation by the District Attorney’s office show that SDL Merchandising received $262,946.73 in payments from sub-accounts of the non-profit organization San Francisco Parks Alliance. Public Works employees made payments from the sub-accounts of San Francisco Parks Alliance for the purchase of custom-made shirts, caps, and other items.

According to witnesses, the Public Works purchases from SDL Merchandising were “no-bid,” and cost significantly more than other vendors’ quotes. Public Works employees were allegedly told to rely on SDL Merchandising for purchasing t-shirts and other merchandise, and one employee’s attempt at obtaining comparison quotes from other vendors, revealed that SDL Merchandising charged twice the price other vendors quoted. When that employee then sought to replace SDL Merchandising with a new vendor, a supervisor allegedly indicated that “the Director wouldn’t like that,” referring to former Public Works Director Mohammed Nuru.

Bank and business records confirmed $262,946.73 in payments invoiced by Gina Sanguinetti to Public Works for merchandise. These payments were approved by Public Works employees including former Public Works Director Mohammed Nuru, issued by checks from the Parks Alliance, and deposited into four different bank accounts controlled solely by Gerald and Gina Sanguinetti.

Despite the influx of over a quarter million dollars into his and his spouse’s bank accounts between 2013 and 2019, Mr. Sanguinetti is alleged to have repeatedly stated, under penalty of perjury, on his annual financial disclosures that he had “no reportable interests” and failed to disclose this income. He is alleged to have failed altogether to file two required financial disclosure statements for 2018 and 2019.

Mr. Sanguinetti was arrested today by District Attorney Investigators (“DAI”), with assistance from San Mateo Police Department Officers. The San Francisco District Attorney’s Office’s Public Integrity Task Force investigated this case and it. It is being prosecuted by the San Francisco District Attorney’s Office’s Special Prosecutions Unit.

Mr. Sanguinetti’s arraignment is scheduled for August 9th at 1:30 pm.