Capriotti’s takes over court cafe from partners linked to HOA probe

Courthouse regulars got a big surprise last week with their morning coffee.

The Courthouse Cafe, a fixture on the first floor of the Regional Justice Center, was replaced over the New Year's weekend with a Capriotti's Sandwich Shop.

But as it turns out, the Cafe's assignment of the county lease to Capriotti's was no surprise to authorities.

Las Vegas police kept a close eye on the deal, which was quietly approved by the County Commission on Dec. 21, because the Courthouse Cafe's partners have been linked to the FBI's well-publicized investigation into fraud and corruption within valley homeowners associations.

No charges have been filed in the investigation, which became public in September 2008 with a sweeping FBI raid. But Justice Department prosecutors from Washington -- including one with the Public Integrity Section, an elite corruption-fighting unit -- recently took control of the case from the Nevada U.S. attorney's office.

County records list longtime lawyer David Amesbury, who is married to Chief Deputy District Attorney Victoria Villegas, as the Cafe's managing partner. The other two equity partners are former police Lt. Ben Kim, who has strong political ties within the Asian-American community, and prominent businessman Leon Benzer. The three men each have a one-third interest in the company, records show.

Over the years, Amesbury has represented some of the homeowners associations under scrutiny in the FBI investigation, police said.

In the HOA raid, FBI agents searched Benzer's home and his Silver Lining Construction company, along with a property management company run by Kim's wife, Lisa Nicklin Kim.

Agents have been investigating whether individuals were planted on HOA boards to funnel business stemming from construction defect lawsuits to certain attorneys and construction companies.

Police and FBI agents also are conducting a separate bank fraud investigation, in part linked to the Cafe's finances, that has focused on Ben Kim's activities. Las Vegas Review-Journal columnist John L. Smith has reported that Amesbury is cooperating with authorities.

The Courthouse Cafe, also known as Cafe@RJC, began serving the public in January 2006, a few months after the 17-story Regional Justice Center opened its doors. The Cafe's partners signed a 10-year lease with the county.

Amesbury said the restaurant wasn't turning a profit, and he was glad to be able to assign the lease to Capriotti's.

"It's a better fit for the county," said Amesbury, who would not discuss details of the deal.

He said a sandwich shop and coffee bar is more appealing to the public than a full-service restaurant because patrons often look for just a quick bite to eat at the courthouse.

Both Amesbury and his defense lawyer, Frank Cremen, would not discuss the criminal investigations involving Amesbury and his partners.

Ashley Morris, the president and CEO of the Las Vegas-based Capriotti's Sandwich Shop Inc., said he knows nothing about the investigations. He said that Amesbury first approached him about taking over the lease a year ago and that the deal just recently became appealing to his company.

Morris formed a separate company, Courthouse Caps LLC, to broker the deal.

"We jumped at the opportunity to be part of a great county building," said Morris, who has 28 sandwich shops in Las Vegas and a total of 70 nationwide. "We see a lot of room for improvement."

Morris declined to discuss the specifics of the deal, which allows Capriotti's to take over the lease until 2016. The county has the option of renewing the lease until 2025.

Former Nevada Attorney General George Chanos is listed on state records as the sole director of Capriotti's Sandwich Shop Inc.

Contact Jeff German at jgerman@reviewjournal. com or 702-380-8135 or read more courts coverage at lvlegalnews.com.