09:37 AM PST on Monday, January 18, 2010

By DUG BEGLEY
The Press-Enterprise

Special Section: San Jacinto Probe

San Jacinto officials — some now indicted in a sweeping corruption probe — approved permits for a developer also ensnared by the criminal charges, leading county transportation officials to spend thousands more to acquire land for a major regional route, court documents and officials confirmed.

Stephen Holgate, a local developer and one of 15 people indicted in a sweeping campaign corruption probe, was given permits in 2006 to develop property that city and transportation officials knew was part of the planned Mid-County Parkway.

The route one day will connect San Jacinto and Interstate 215 in Perris.

The parkway is considered the artery that will pump millions of dollars into San Jacinto by jumpstarting commercial development, city leaders have said. But construction is not expected to start until 2014.

Mention of the parkway and nearby commercial developments are sprinkled throughout more than 3,800 pages of grand jury transcripts, covering 129 witnesses and 25 days of testimony.

Prosecutors allege Holgate and other developers laundered cash through campaign coffers — notably Jim A