Sam Downing

Conflict of Interest   

Fine: $5,000

FPPC No. 12/158

Respondent, Sam Downing, was named President/Chief Executive Officer (“CEO”) of Salinas Valley Memorial Hospital (“SVMH”) in 1985 and held that position until his retirement on or about April 30, 2011. As the CEO of SVMH, Respondent was a public official, as defined in Section 82048 of the Political Reform Act, and was a designated employee in the Conflict of Interest Code for SVMH. In this matter, Respondent violated the conflict of interest provisions of the Act when he executed a contract to waive the security amount to the Federal Deposit Insurance Corporation limits of $100,000, for the benefit of First Capital Bank, in which he knew, or had reason to know, he had a financial interest, in violation of Government Code Section 87100 (1 count). Additionally, Respondent violated the financial disclosure requirements of the Act by failing to disclose his $50,000 interest in First Capital Bank on his 2007 Annual Statement of Economic Interests in violation of Government Code Sections 87300 and 87302, subdivision (b) (1 count).