SEDC Violates Law, Granting Smith $100, 350 Severance Pay

October 14, 2008

San Diego, CA - After the court’s order of delaying the severance payment of Southeastern Economic Development Corporation (SEDC)’s former president severance payment, a citizen activist still pursued that the agency’s board violated the law.

Ian Trowbridge, citizen activist, asserted that SEDC board has violated the state’s opening meetings law through approving Smith’s severance package behind closed doors on July 23.

During the said closed-door meeting, the agency’s board has approved Carolyn Smith’s severance pay of $100, 350.

It can be recalled that on October 6, the court has issued a temporary restraining order, sought by Trowbridge, ordering the delay of Smith’s said severance payment.

Trowbridge’s attorney seconded and stated that the right legal remedy for such unethical practice is an open meeting that will be conducted by the board, to determine Smith’s severance.

Smith was fired in July due to issues of large unquestionable bonuses, which accounts to $800, 000 that she approved for herself and her staff.

Furthermore, auditors have also disclosed that compensation policies at the agency amounted to fraud.

SEDC is a quasi-independent nonprofit agency generated by San Diego City to guide redevelopment in 7.2 square miles east of downtown.