Despite the Navajo Nation Department of Justice advising government staff not to testify about a failed, multimillion-dollar housing project — one employee broke ranks earlier this week.
So far, the tribe’s controller, Sean McCabe, has been the sole witness out of a dozen or so to comply with the Budget and Finance Committee’s subpoenas. After taking an oath and being sworn in, McCabe took a moment to explain why.
“My intention today is not to undermine a DOJ advisement. My intention is to fulfill my professional duties as a certified public accountant,” said McCabe, stressing, “I know what I probably should say and shouldn’t say.”
Yet, McCabe remained cautious on Wednesday.
“I’m here to answer questions for the council today,” he reiterated. “I would have hoped that legal counsel was here to step in if I needed it — if I was breaching any client-attorney privilege, but it doesn’t appear that they are.”
During his hours-long testimony, McCabe believed the $24 million from the American Rescue Plan Act earmarked for the ZenniHome housing initiative is “a completely unallowable cost.” He went even further to claim that there’s “very significant risk” for the Nation to pay it back.
McCabe also alleged that another subpoenaed witness Jorge “George” Cordova, who had business ties to the now-liquidated ZenniHome, stood to reap a “success fee” — should the contract be awarded.
Budget and Finance Committee Vice Chair Carl Slater asked him whether Cordova’s so-called success fee would also be distributed to unnamed tribal officials.
“Allegedly,” replied McCabe.
The ZenniHome hearing is scheduled to wrap up next week.
