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A longtime associate of storied Las Vegas mobster Moe Dalitz has become a major backer of the campaign for Proposition B, the so-called pension reform measure that has been a key talking point for San Diego city councilman Carl DeMaio in his campaign for mayor.

Backed by lame duck mayor Jerry Sanders and big contributions from the local business and real estate establishment--as well as by Republican District Attorney Bonnie Dumanis and fomer GOP Assemblyman Nathan Fletcher, also both running for mayor--the measure is opposed by labor unions and Bob Filner, the Democratic congressman and mayoral candidate.

According to a May 14th filing with the city clerk, Irwin Molasky and his Molasky Group of companies gave $5,000 to the "Comprehensive Pension Reform for San Diego" committee on April 17.

Molasky is one of the last two surviving members of the so-called DRAM group that formerly controlled North County's once infamous La Costa resort, where gangsters from across the country hung out during the 1960s, '70s and '80s.

As we reported last June:

"[Molasky] is the man who helped build a greater part of Las Vegas with millions of dollars from Jimmy Hoffa’s mobbed-up Teamsters’ pension fund.

"Along with his close friend and business partner, the legendary Moe Dalitz, an early associate of Detroit’s notorious Purple Gang — high school dropouts who built their fortune on murder, hijacking, and rum-running during Prohibition — he built Paradise Development, a firm that prospered mightly during the heyday of the Vegas mob."

Including previous contributions of $5,000 on September 13 and $2,000 on December 14 of last year from Molasky's Paradise Development, the Las Vegas real estate magnate has given at least $12,000 to Prop B, according to disclosure filings.

Molasky is building a new $223.4 million FBI headquarters building off the I-805 freeway near Sorrento Valley which is to be leased to the federal General Services Administration

The project was delayed by a dispute between Molasky and a neighboring property owner, who last year sued the Las Vegas resident over a driveway easement.

The case was settled out of court last summer for an undisclosed sum that several inside sources said was in the high seven figures; the FBI complex is currently under construction.

During that litigation, Molasky turned to the city council office of DeMaio for assistance, and Molasky, family members, and employees contributed at least $3500 to DeMaio's campaign for mayor.

DeMaio was present, along with a contingent of federal officials, at the FBI facility's groundbreaking last October.

On January 3 of this year, Molasky's daughter Beth, who works for the family's development firm, gave DeMaio's mayoral effort an additional $500.

Molasky and Union-Tribune owner Douglas F. Manchester, who is backing DeMaio and Prop B, have also shared the same lobbyist: Paul Robinson of the downtown law firm Hecht Solberg Robinson Goldberg & Bagley.

Manchester's Grand del Mar resort, within the city limits of San Diego, has been the subject of a drawn-out land use and environmental regulatory battle with city hall that has yet to be concluded.

According to a March 23 filing with the office of San Diego's city clerk, Manchester contributed $25,000 to Prop B on March 7.

85 and ailing, Molasky has long been a major financial backer of Democratic Sen. Harry Reid of Nevada, though the Las Vegas developer has also given to some GOP candidates in past years.

Moe Dalitz was 89 when he died on August 31, 1989.

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monaghan May 30, 2012 @ 11 a.m.

You digress, Potter, in the interest of journalistic even-handedness, from mob-related money going to the campaign of Carl DeMaio (is that an Italian name?) and to kill off promised pensions for public workers, Prop B on the June ballot. It's a lot for an ordinary mortal to digest.

For me, the other takeaway from this shocking story is that both the hotelier-owner of the Union-Tribune AND the federal government are consorting with longtime mob-associated developer Irwin Molasky to build stuff -- most ironically, that new FBI headquarters in Sorrento Valley. Is this a new version of 'the American dream?"

I have figured out that I'm voting for Bob Filner for Mayor because he's honest, qualified and smart-not-slick. Also I've decided to vote No on Prop B because it is unfair to public employees whose lifetime retirement nest-eggs will become 401Ks subject to the whims (and management fees) of Wall Street.


Zorro1 May 30, 2012 @ 11:40 a.m.

Nothing's changed. If you are a mob associate of any kind, you just figure you can buy your way into whatever you want from the city. It makes perfect sense that even his daughter, Beth Molasky, would contribute as well.

It's sickening that ANYONE who started their career with mob money is now building an FBI building. What is wrong with this picture? I know....San Diego is in the picture. That's so sad.

Wouldn't it be so good for San Diego to have their OWN talent building the new FBI building -- something to be proud of for all San Diegans.


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