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Big Island firefighter indicted for lying about affair with Katherine Kealoha

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Another twist in the corruption case against Louis and Katherine Kealoha.

Court documents show Katherine spent more than $20,000 on airfare and hotel rooms for her alleged secret boyfriend, Jesse Michael Ebersole, a fire fighter on the Big Island. Money she allegedly stole from two possible sources: her grandmother or a mortgage she and her husband, former-Honolulu Police Chief Louis Kealoha got by allegedly lying on their loan application.

According to court documents filed Monday, Ebersole met Kealoha at a conference in 2009. His name came up during the FBI's investigation into where Katherine's money was going. Before his first court appearance, Ebersole's accused of calling Katherine, and she supposedly told him not to disclose their relationship status. Ebersole told a federal grand jury three times "we're just friends," adding he had no idea why his name appeared on her credit card statements.

"There's a conspiracy to cover this up and obstruct justice, which is what my clients say she did to them," said attorney Michael Green who represents the Taitos, two children for whom Katherine Kealoha was a trustee. Green said she may have used the money meant for them for Ebersole.

Green said there's more people at fault, including a lawyer, known as "attorney 3" in the court papers.

"It's unclear from what I've read so far, particularly the indictment, whether he knowingly assisted in the obstruction, or whether he was just used as a lawyer to walk him into the grand jury not knowing that he was going to lie," said another attorney, Alexander Silver, who represents Katherine's grandmother.

The investigation into Katherine and Louis Kealoha began with allegations they framed her uncle for the theft of a mailbox. For many court appearances, the couple showed a united front by holding hands and wearing matching "aloha wear." 

Green now questions if Louis will stay loyal moving forward.

"If he's still holding hands with her and wearing lei when they come out of court the next time, I want to know what medication he's on," Green said. "This is crazy."

Island News reached out to Katherine Kealoha's lawyer but she declined to comment. 

Ebersole is expected in court Thursday.

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