Fresno, Calif. – Dennis Falaschi, the 78-year-old ex-general manager of a public water district in Fresno and Merced Counties, has pleaded guilty to conspiracy to take federally owned water and filing a false tax return, according to U.S. Attorney Phillip A. Talbert.
From 1992 to 2015, Falaschi was at the helm of the Public Water District (PWD), which sold water to over 38,000 acres of farmland. The PWD obtained water by purchasing it from the federal government and collecting drainage water from farms, blending it with fresh water before reuse.
According to court records, Falaschi learned that water from the Delta-Mendota Canal was leaking into a canal owned by the then-president of PWD’s board. He arranged for the modification of an old standpipe, allowing him to control the flow of federal water on demand. The value of the stolen water is estimated at over $1.5 million.
Additionally, Falaschi engaged in private water sales from 2011 to 2016, receiving payments for water sourced outside PWD. He failed to report this income on his 2016 tax return.
This investigation was conducted by the U.S. Department of the Interior’s Office of Inspector General, IRS Criminal Investigation, and FBI. Assistant U.S. Attorneys Joseph Barton and Henry Carbajal III are prosecuting the case.
Falaschi is scheduled for sentencing on September 16, 2024, facing up to five years in prison and a $250,000 fine for the water theft conspiracy, and three years and a $100,000 fine for the tax charge.
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Key Facts
- State: California
- Agency: DOJ USAO
- Category: Public Corruption|Fraud & Financial Crimes
- Source: Official Source ↗
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