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WeHo News and local activists have obtained the second packet of documents pertaining to election-eve charges of city credit card misuse requested by the Los Angeles County District Attorney’s Bureau of Fraud and Corruption prosecutions Public Integrity Division’s inquiry, and the pattern of investigations seems to have focused sharply – on an unintended target.
On March 4, pointing to records dated March–December 2010 showing over $13,000 spent on employee lunches and meals – 19 of which were purchased at the priciest restaurants in West Hollywood by incumbent Mayor and candidate John Heilman’s deputy Fran Solomon – John D’Amico called for an internal city investigation into "scratch my back dollars.”
That internal investigation became an LA DA “inquiry,” the step taken to determine if the charges bear an investigation, into what appeared to be widespread use of the city’s “petty cash” credit card for tens of thousands of dollars per year in food purchased at many of the priciest restaurants in town.
The city stepped forward to explain that all the purchases targeted had been approved through a system that requires the charges go through several hands.
The initial request cast a huge net designed to detect patterns for further inquiry.
The second net focused on one City Council member and a slew of restaurant bills at the most expensive places in town.
The council member, now-Mayor John Duran, was a fervent supporter of the John D’Amico candidacy, that responsible for bringing this alleged excessive “spending to the public’s attention.
The District attorney asked the city for extensive documentation for “any and all of Mr. Duran’s expense from 2008 through 2010; his Expense Registrations forms for the same period; any and all sales draft receipts documenting Mr. Duran’s expenditures 2008-2010; and any and all city council meetings wherein John Duran reported on meetings attended at city expense for that same period of time.
John Duran and John D'Amico campaigning. Photo by WeHo News.
Furthermore, the DA wanted to view any and all sales drafts/receipts for a long list of meal and food purchases between 2008 and 2010 totaling in excess of $75,000.
In addition, any and all monthly credit card statements on which then-employee Kathryn Kreitzman described the expenditure type.
Finally, Assistant City Manager Joan English’s credit card shows nearly $2,000 in meals at posh places like SoHo House (where she spent $446.92).
The DA wants to spend time with those receipts as well.
In addition to the records requested by the DA, public records requests by former-council candidate Scott Schmidt and activist Ed Buck show that Fran Solomon’s lunch spending on the city’s dime stopped (her boss took her out once) in the original article’s aftermath.
Spending on dining plummeted, apparently due to calls from council members Jeffrey Prang and D’Amico, who called it excessive at a time when WeHo is not hiring essential help.
Mr. Duran defended his expenditures - his name crops up more often than any other single council member after the late-Sal Guarriello’s passing – by pointing out his flexibility as a self-employed person.
“No one else on the council has the flexibility to set their own schedule; they all work for someone else,” he said.
“That leaves me able to schedule the time necessary to represent the city’s interests out of town,” he said.
He also said he found it convenient to handle official city business with commissioners, board members and the like over a meal, “killing two birds with one stone,” he said.
He felt confident that, given his expenses received a vetting from the finance department, he stood squarely within the law on his expenditures.
Mr. Prang is not so sanguine, however. “There is no reason for us to be buying so many people – employees especially – so much food,” he said.
“We are holding off on hiring much-needed code compliance officers because of a tight budget and we’re spending hundreds of thousands of dollars a year on parties and the tens of thousands a year on meals.”
The DA making the inquiry, David Demerjian, told WeHo News that his office was still “wading through and collating” the vast store of receipts he received from the City Clerk.
“We won’t really know anything about whether to proceed further for months,” he said.
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