{"id":722162,"date":"2026-06-23T23:58:11","date_gmt":"2026-06-23T23:58:11","guid":{"rendered":"https:\/\/www.newsbeep.com\/us\/722162\/"},"modified":"2026-06-23T23:58:11","modified_gmt":"2026-06-23T23:58:11","slug":"former-s-f-official-violated-ethics-rules-city-audit-finds","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/us\/722162\/","title":{"rendered":"Former S.F. official violated ethics rules, city audit finds\u00a0"},"content":{"rendered":"<p class=\"wp-block-paragraph\">Former San Francisco official Tajel Shah systematically bypassed ethics rules, according to a <a href=\"https:\/\/t.e2ma.net\/click\/swotvnb\/od38gobg\/olhlu3p\" rel=\"nofollow noopener\" target=\"_blank\">new investigation jointly published<\/a> Tuesday by the offices of the controller and city attorney.\u00a0<\/p>\n<p class=\"wp-block-paragraph\">Shah, who served as the city\u2019s chief assistant treasurer from 2017 until 2025, bypassed the city\u2019s procurement policies to steer a $7 million contract toward a friend\u2019s software company, Mechanical Orchard, in 2023 and 2024, according to the investigation.\u00a0<\/p>\n<p class=\"wp-block-paragraph\">The allegations were made public last year when the <a href=\"https:\/\/sfstandard.com\/2025\/09\/25\/san-francisco-treasurer-business-taxes-whistlerblower\/\" rel=\"nofollow noopener\" target=\"_blank\">San Francisco Standard<\/a> published details of a whistleblower report about Shah and her relationship with Mechanical Orchard\u2019s then-chief revenue officer, Roque Versace. Shah was placed on paid leave the same day the article was published, and left the job two months later.\u00a0<\/p>\n<p class=\"wp-block-paragraph\">According to the city investigation, Shah bypassed a competitive process by hiring Mechanical Orchard to conduct a $65,000 \u201cdiscovery project\u201d to assess feasibility and expected costs associated with updating the city\u2019s business tax system.<\/p>\n<p class=\"wp-block-paragraph\">Following the discovery project, Mechanical Orchard was one of several companies up for the $7 million city contract to revamp the business tax software, and ultimately won \u201cdue to the improper interference of Shah,\u201d the city investigation reads.\u00a0<\/p>\n<p class=\"wp-block-paragraph\">Both the San Francisco Standard article and the city investigation detail another conflict of interest: Ratio PBC, a subcontractor that worked with Mechanical Orchard on the discovery project, subsequently hired Shah\u2019s niece.\u00a0\u00a0<\/p>\n<p class=\"wp-block-paragraph\">\u201cPreventing bias, favoritism, and the misuse of public funds requires every individual to recognize their ethical responsibility to speak up against wrongdoing \u2014 and that needs to happen in an environment where transparency and collective accountability are non-negotiable in every part of our government,\u201d said Controller Greg Wagner, in a press release. \u201cThe findings point to an effort to undermine the integrity of the procurement process, and underscore why organizational culture and professional competency are our strongest lines of defense.\u201d<\/p>\n<p class=\"wp-block-paragraph\">The city investigation details several ways in which Shah gave Mechanical Orchard\u2019s bid an unfair advantage: Shah shared information unavailable to other bidders, did not require staff to verify the company\u2019s minimum qualifications, altered the scoring method to improve Mechanical Orchard\u2019s ranking, and added additional unsubstantiated costs to competing bids to inaccurately portray competing bidders as more expensive.\u00a0<\/p>\n<p class=\"wp-block-paragraph\">Shah also failed to disclose the relationship between herself and Mechanical Orchard\u2019s Chief Revenue Officer, and \u201cunderstated her role and involvement\u201d with the bidding process.\u00a0<\/p>\n<p class=\"wp-block-paragraph\">The city investigation noted that the Office of the Treasurer and Tax Collector had an organizational structure that contributed to a lack of checks and balances. Shah purportedly had a management style \u201clargely defined by intimidation\u201d and oversaw most of the department\u2019s operational teams, including the HR team, which \u201cdiscouraged staff from bringing concerns about Shah to HR.\u201d\u00a0<\/p>\n<p class=\"wp-block-paragraph\">Mechanical Orchards withdrew from negotiating the software contract the day before the San Francisco Standard first published the allegations about Shah\u2019s relationship with the firm.\u00a0<\/p>\n<p class=\"wp-block-paragraph\">Roque Versace is no longer working at Mechanical Orchard, according to his <a href=\"https:\/\/www.linkedin.com\/in\/roqueversace\/\" rel=\"nofollow noopener\" target=\"_blank\">LinkedIn profile<\/a>, which indicates that he left in January 2025 to work at a software company in London.<\/p>\n<p class=\"wp-block-paragraph\">Shah is no longer working at the Office of the Treasurer and Tax Collector; she was \u201creleased\u201d from that position on November 21, 2025, according to the Controller\u2019s Office.\u00a0\u00a0<\/p>\n<p class=\"wp-block-paragraph\">The original contract for that business tax software update will be closed. According to the press release from the Controller\u2019s Office, The Officer of the Treasurer and Tax Collector is \u201ccommitted to restarting the process with proper procedures in place and in a fair and transparent, competitive process.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"Former San Francisco official Tajel Shah systematically bypassed ethics rules, according to a new investigation jointly published Tuesday&hellip;\n","protected":false},"author":2,"featured_media":645687,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[40],"tags":[28,158],"class_list":["post-722162","post","type-post","status-publish","format-standard","has-post-thumbnail","category-entrepreneurship","tag-business","tag-entrepreneurship"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts\/722162","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/comments?post=722162"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts\/722162\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/media\/645687"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/media?parent=722162"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/categories?post=722162"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/tags?post=722162"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}