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Former LA Deputy Mayor Raymond Chan gets prison time for bribery

Former Los Angeles Deputy Mayor Raymond Chan was sentenced on Friday to 12 years in federal prison for aiding a bribery scheme involving developers led by former Councilman José Huizar.

The former deputy mayor of economic development was sentenced for his role in the sprawling City Hall corruption case, the Los Angeles Times reported.

Chan was the last defendant to go on trial in the pay-to-play scheme known as “Casino Loyale” because of Huizar’s frequent jaunts to Las Vegas.

For his role in the public corruption scandal, U.S. District Court Judge John Walter gave him 12 years behind bars, saying that “corruption at any level will not be tolerated.” He also ordered Chan to pay $752,457 in restitution to the city.

Chan is set to begin serving his sentence on Jan. 6.

Chan, who had served as general manager of the Department of Building and Safety, was convicted at retrial in March on a dozen federal counts, including racketeering conspiracy, bribery, honest services fraud and other charges for helping Huizar take bribes from developers.

The charges focused on money and other benefits provided by real estate developers with projects in Huizar’s former district in Downtown L.A.

Prosecutors said Chan solicited and accepted more than $750,000 in bribe money for himself and facilitated more than $1 million in graft to Huizar.

“Chan abused his public office and sought to deepen the corruption of city politics for the benefit of his own business interests,” U.S. Atty. Martin Estrada said in a statement. 

The sentence, Estrada added, “sends a message to the public and City Hall alike that our government should not be for sale and those that undermine our democracy through pay-to-play schemes will be prosecuted to the fullest extent of the law.”

Chan, 68, told the judge he took “full responsibility” and called this “the most challenging time of my life.”

“I’m here just pleading for your mercy,” Chan said.

Huizar admitted last year he pocketed bribes and other benefits from Downtown developers, including gambling chips at casinos, flights on private jets, campaign contributions, luxury hotel stays, concert tickets and services from prostitutes.

Early this year, the 55-year-old Huizar, who represented the city’s 14th District for nearly two decades, pleaded guilty to bribery and tax evasion. He was sentenced to 13 years in prison and ordered to begin serving time no later than Oct. 7.

During Chan’s trial, prosecutors portrayed him as a crucial link between Huizar, who wielded huge power over Downtown development projects, and Chinese real estate developers. Chan had worked for the city for more than 30 years.

In one instance, prosecutors said Chan helped Huizar secretly settle a sexual harassment lawsuit filed by a former aide.

His attorney, Michael Freedman, argued that his client didn’t deserve a sentence “anywhere close” to that of Huizar.  Chan’s defense team requested less than three years.

“This wasn’t Mr. Chan’s enterprise,” Freedman told the judge. “This was obviously Mr. Huizar’s enterprise.”

Billionaire Wei Huang, owner of China-based Shen Zhen New World I, provided Huizar with $600,000 in collateral that allowed Huizar to secure a bank loan and pay off the aide, prosecutors said.

Last month, Huang was on the lam when a federal appeals court upheld his company’s conviction for public corruption in L.A.

A three-judge panel of the U.S. 9th Circuit Court of Appeals ruled there was ample evidence to support the firm’s conviction for bribing Huizar with more than $1.5 million in cash, gambling trips and escorts in exchange for his support of a proposed Downtown hotel project.

— Dana Bartholomew

Read more

  • Ex-LA Deputy Mayor Ray Chan found guilty in developer bribery scheme
  • Court upholds conviction of developer in Huizar bribery scheme

The post Former LA Deputy Mayor Raymond Chan gets prison time for bribery appeared first on The Real Deal.

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  • 08 October 2024
  • The Real Deal
  • Uncategorized
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