Calif. Officials Freeze Housing Developer’s Money During Probe
LOS ANGELES (AP) — Two top California officials have frozen almost $150,000 of campaign contributions given to them from a housing developer accused of defrauding government agencies.
The Los Angeles Times reports Thursday that state Treasurer Bill Lockyer and Controller John Chiang set the cash aside as a federal probe is carried out into Advanced Development and Investment Inc., which has built dozens of taxpayer-funded apartment complexes.
The firm is under investigation after prosecutors received allegations it had submitted fraudulent statements and may have built substandard housing.
Lockyer and Chiang sit on a panel that awarded millions of dollars in tax credits to the firm.
Advanced Development lawyers say their clients did nothing wrong.
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