FOR IMMEDIATE RELEASE

FORMER BEXARMET GM PLEADS GUILTY TO ILLEGAL WIRETAPS

San Antonio, Texas: September 11, 2009:

This afternoon former Bexar Metropolitan Water District General Manager Gil Olivares, 47, entered guilty pleas to two counts of Unlawful Interception, a second degree felony, in front of 187th District Judge Raymond Angelini.

The State’s indictment alleged that contemporaneous with the initiation of legislative oversight and a criminal investigation by the District Attorney’s Office, Gil Olivares, in his capacity as General Manager of BexarMet ordered the wiretapping of employees’ phones. In his plea today Olivares plead guilty to approving the interception and recording of two employees’ phones. This case arose out of an investigation into illegal campaign contributions to candidates for the BexarMet Board of Directors. The scope of the investigation widened when several current and former BexarMet employees informed the District Attorney’s investigators of the existence of the illegally intercepted recordings of employees’ phones that had been personally approved by Olivares. Further investigation revealed that these phone conversations were being recorded without the knowledge of BexarMet’s Human Resource Manager or its General Counsel.

Olivares was indicted on four counts of Unlawful Interception of Wire, Oral or Electronic Communication and additional counts of Official Oppression, Fiduciary Misapplication and Abuse of Office.

The plea agreement calls for a $1,500 fine on each of the two counts to which he pled guilty. The length of the sentence will be determined by Judge Raymond Angelini. Olivares is subject to the full range of punishment, two to twenty years in prison, for these second degree felonies. As part of the plea agreement the other cases will be taken in consideration by Judge Angelini at sentencing. Additionally, Olivares agreed to fully cooperate and provide truthful information as to all transactions and acts known to him in regards to the State’s investigation into BexarMet and Timothy J. Connally.

For more information, contact Adriana Biggs, Chief, White Collar Crime at 335-2404.