UN4LA CORRUPTION ROUND-UP 2021

Corruption is rampant in LA.  Over the past two years LA residents have seen the US Department of Justice (DOJ) hand down numerous indictments alleging criminal conduct by elected officials, along with others in their orbit.  A number of the accused have pled guilty.   One former LA City councilmember has been doing time in a federal prison.  And the beat goes on.  Yet another LA City councilmember was indicted in October.  In November a lawyer who had worked for the LA City Attorney’s Office signed a plea deal that could have far-reaching consequences. 

No one could blame LA residents for being overwhelmed by these developments.  The steady stream of indictments and the number of players involved makes it hard to keep track of everything that’s going on.  So UN4LA presents its 2021 Corruption Round-Up, in the hope that we can untangle some of the threads and clarify some of the issues.

The following list of misdeeds, some acknowledged, some only alleged, may be a depressing read, but our goal is not to encourage cynicism.  The system is imperfect, but the system is working.  Law enforcement agencies and community groups have been working diligently to investigate and expose corruption.  The media has been reporting allegations of misconduct by public officials.  Now it’s up to you.  Your job is to demand that elected officials adhere to the highest standards, and then to make sure that they’re held accountable.  UN4LA hopes that you’ll join us in the fight for honest and responsive government that truly serves the people.

LADWP Billing Scandal

The long and twisted saga of the DWP billing scandal continues to unfold.  You probably haven’t forgotten the agency’s disastrous roll-out of its new billing system back in 2013, where customers were mistakenly overcharged by thousands of dollars and no one seemed able to straighten the mess out.  Many lawsuits were filed.  To wrap everything up quickly, the City agreed to the settlement of a class action filed by a Van Nuys man, Antwon Jones, which conveniently blocked other lawsuits from going forward. 

Unfortunately, the attorney who originally represented Jones didn’t tell his client that he was also working for the City Attorney’s Office, and that the lawsuit was a sham.  That attorney, Paul Paradis, signed a plea deal in November in which he admitted to bribery and laid out the details of a series of complex, interlocking scams which implicate at least one former member of the City Attorney’s Office, a former General Manager of the DWP, and a former member of the DWP Board. 

Attorney Agrees to Plead Guilty to Bribery in Kickback Scheme Tied to DWP Billing Case

This would all appear to make City Attorney Mike Feuer look pretty bad.  But Feuer denies he was involved in any wrongdoing, and is pressing ahead with his campaign to become LA’s next mayor.  This should be interesting, since he’s currently under investigation by the State Bar, and will probably have to answer a lot of questions about this situation on the campaign trail.  In an effort to unravel this sordid mess, the court appointed a Special Master to investigate and prepare a report.  Unfortunately, the Special Master wasn’t able to come to a conclusion about Feuer’s involvement, because notes taken by a chief deputy were destroyed and Feuer apparently was suffering from severe memory loss when he was deposed.  He repeated the sentence “I do not recall” over 60 times in the course of the deposition.

Mike Feuer Under State Bar Investigation According to Bar Documents and Sources

Mayor Eric Garcetti

While some might question whether it falls under the label “corruption”, the sexual harassment scandal involving a former aide to Mayor Eric Garcetti raises important questions about accountability within the Mayor’s office, in addition to undermining Garcetti’s personal credibility.  LAPD Officer Matt Garza has sued the City of LA, charging that Garcetti aide Rick Jacobs made repeated inappropriate sexual advances and that the Mayor failed to do anything about it.  Garcetti has denied any knowledge of inappropriate behavior by Jacobs, but a number of people have come forward with statements that appear to confirm Garza’s allegations.  What’s more, they say the Mayor knew about Jacob’s behavior and did nothing. 

Eric Garcetti’s Top Aide Was a Serial Harasser, According to Multiple Accusers

LA City Councilmember Mark Ridley-Thomas

Prominent figures on LA’s political scene expressed shock when the DOJ handed down a 20-count indictment of LA City Councilmember Mark Ridley-Thomas, but actually people had been asking for a while how his son had landed in a cushy position at USC.  Sebastian Ridley-Thomas had been a member of the State Assembly before resigning in 2017 after allegations that he was guilty of sexual harassment.  It seemed like an incredible stroke of luck that he should then snag a faculty appointment at USC, along with a full scholarship to grad school.  Maybe not so lucky after all.  The DOJ alleges that, while he was serving on the LA Board of Supervisors, Mark Ridley-Thomas conspired with the Dean of USC’s School of Social Work to get Sebastian the job and the scholarship, in return for steering County contracts to the school. 

Mark Ridley-Thomas denies any wrongdoing, but has been suspended from the LA City Council.

Mark Ridley-Thomas Charged Along with Former University Dean in Grand Jury Indictment

Former LA City Councilmember Jose Huizar

It would take more space than we have here to go into the lengthy list of allegations against former LA City Councilmember Jose Huizar, so we’ll try to stick with the greatest hits.  In June 2020, the DOJ filed a complaint against Huizar alleging that he was part of a criminal pay-to-play scheme, whereby developers offered money in return for the Councilmember’s help in getting project approvals.  The charges include bribery, extortion and money laundering.  According to the DOJ, Huizar agreed to accept at least $1.5 million in illegal benefits.

Huizar is no longer on the City Council, but denies any wrongdoing, and in a court filing earlier this year his lawyers claimed that the DOJ is guilty of overreaching.  According to Huizar’s lawyers, the Councilmember only engaged in activities that were a routine part of promoting development.  They say his actions did not meet the threshold for prosecution under federal law.

Huizar Seeks to Gut Corruption Case, Says Alleged $1.5 Million in Gifts Were Not Bribes

Former Deputy Mayor Raymond Chan

In addition to the charges filed against Huizar, the DOJ also alleged that real estate consultant Raymond Chan was involved in the pay-to-play scheme that allowed developers to secure project approvals.  Chan was formerly one of Garcetti’s top deputies, and also served as General Manager of the Los Angeles Department of Building and Safety.  Prosecutors allege that he arranged indirect bribes for city officials, using their family members to channel illicit funds.  Chan insists he did nothing wrong.  His case is scheduled to go to trial in May 2022.

‘Indirect Bribes’ Went to Family Members of Officials in City Hall Corruption Case

Guilty Pleas

In the course of their investigation of pay-to-play corruption at LA City Hall, the DOJ obtained guilty pleas from the following persons:

  • Real estate appraiser Justin Kim pled guilty to one count of bribery.  Kim acknowledged that he played a part in arranging a $500,000 payment by a developer to avert a challenge to one of the developer’s projects. 

  • George Chiang, a real estate consultant, agreed to plead guilty to violating the Racketeer Influenced and Corrupt Organization (RICO) Act.  According to the plea deal, Chiang was part of a conspiracy in which developers bribed public officials to obtain project approvals.

  • One of Jose Huizar’s former staffers, George Esparza, also pled guilty to a racketeering charge as a result of his role in the same pay-to-play scheme.

  • Lobbyist Morrie Goldman signed a plea deal where he admitted to helping a client obtain favors from Huizar in exchange for campaign donations. 

 

But the City of LA isn’t the only municipality where public officials have faced allegations of wrongdoing.  In the past year both Inglewood and Compton have been roiled by charges that elected officials violated the law….

 

Inglewood Treasurer Files Lawsuit Claiming Retaliation

Wanda Brown has served as Treasurer for the City of Inglewood for over 30 years, but she claims her salary was slashed and her staff were locked out of their offices after she started raising questions about the City’s financial health.  One of the issues she brought up involved an alleged overpayment of $77,000 to a contractor.  Brown has filed a lawsuit against the City, and seeks $10 million in damages.  Mayor James Butts and the members of the City Council claim they have done nothing wrong. 

Inglewood Treasurer Files $10 Million Claim against City, Mayor and Council

Compton City Councilmember Isaac Galvan

In August of this year the LA County District Attorney’s Office charged Compton City Councilmember Isaac Galvan and five other people with conspiring to commit election fraud.  According to the complaint, Galvan and Jace Dawson, a former candidate for the council seat, conspired with four other people in a scheme to cast votes illegally.  Galvan beat runner-up Andre Spicer by one vote.  Galvan has also been charged with attempting to bribe an employee of the registrar’s office while votes were being counted on election night. 

Compton Residents Call on City Councilman Accused of Election Fraud to Resign

 

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