Documents obtained by KIRO 7 Eyewitness News show that when Police Chief Brame was chief of detectives, he and other top police officials decided not to pursue an insurance fraud case against Corpuz in 1998. Three years later Corpuz promoted Brame to chief.

Recently unsealed court records reveal that police declared a two- or three-block a "no-arrest" zone for Corpuz's son, who had a history of troubles with the law. The zone applied to the homes of the city manager and the son's aunt, according to sworn testimony by a police captain.

The FBI and the U.S. attorney's office have joined the Washington State Patrol in probing why Brame, 44, rose through the ranks despite rape and domestic violence accusations, an investigation that includes the possibility of criminal activity or negligence.

The Washington Association of Sheriffs and Police Chiefs is conducting a separate administrative investigation into Brame's hiring and promotion.

City government has been in turmoil since he fatally wounded his estranged 35-year-old wife, Crystal, and then committed suicide April 26 in Gig Harbor.

"We have to begin to move toward recovery," Tacoma Mayor Bill Baarsma said.

The State Patrol needs full cooperation from city officials for its criminal investigation into "matters associated with the murder-suicide" of the Brames, Attorney General Christine O. Gregoire told Tacoma officials in a letter Tuesday.

Gregoire said the city attorney's office has refused to release information on Brame because of attorney-client privilege, a rule that lawyers must keep matters secret unless the client permits them to speak.

She asked the City Council to release the city's lawyers from that duty, saying "unique considerations apply."

"To ensure a thorough, objective review of the situation," Gregoire wrote, all relevant information should be made available, including exchanges involving the city attorney's office.

Council members voted 7 to 1 Tuesday night to retain special counsel to advise them on the request. Council member Mike Lonergan indicated the panel likely would consider the issue again next Tuesday.

The Seattle Times reported that Safeco insurance officials felt they had a solid fraud case against Corpuz's wife, as well as the city manager's signature on a questionable claim form stemming from a break-in at their home in January 1997.

According to a police report, Corpuz and his wife Lynda showed investigators -- including the police chief at the time, Philip Arreola -- losses amounting to $1,700 in jewelry, cash and liquor.

Less than a week later, however, both signed a notarized Safeco claim for losses totaling $15,000, including a $6,000 coin collection, thousands in stereo, camera and video gear, a $900 set of golf clubs and several Indian carvings worth $2,700.

One police officer who later saw the list questioned how a burglar could carry it all. Sgt. Darrel Larsen recalled seeing a set of expensive golf clubs at the house and no signs of a missing stereo. Officer John Walsh said a coin collection Lynda Corpuz originally told him was worth $50 had been listed at $6,000.

A Safeco claims adjuster became suspicious after spotting an altered $7,100 receipt from an electronics store and learned Lynda Corpuz had put the items on layaway but never bought them and got her deposit back.

When confronted, Lynda Corpuz said she paid with a check and gave Safeco a carbon copy of a check but was unable to produce the original.

"This evidence makes our misrepresentation case rock solid," wrote Karen Cobb, a Safeco investigator.

Brame referred Safeco's complaint to Arreola in mid-1998 but there was no investigation. In addition, police alerted Corpuz.

After failing to get anywhere with Brame, Safeco officials told officials in the Pierce County prosecutor's office that unless there was an investigation, they would make their case public, said Bill Garrison, an investigator for the prosecutor.

Safeco also wanted an investigation into police conduct in the case, Garrison said.

Eventually, the case was referred to Kitsap County prosecutor Russell Hauge, who is now heading the probe by the state law enforcement panel.

Hauge did not file charges but referred Lynda Corpuz to a diversion program for first-time felons and she later agreed to pay nearly $30,000 in restitution and costs.

He told The Times he believed he could have brought a charge against the city manager but was not confident he could win a conviction.

"We had a real solid case against Lynda Corpuz, but we knew that all she was going to say was that her husband had nothing to do with it," Hauge said.

Hauge is now leading a task force investigating Brame's career at the request of the City Council.