California Sues To Recoup Funds Stolen From LA Black Churches

LOS ANGELES (CBS) — The state of California is trying to recover hundreds of thousands of dollars ripped off from local African-American churches.

The state has sued four companies and four individuals in the computer kiosk leasing scheme.

KNX 1070’s Jon Baird reports two people already serving prison sentences in Michigan have been named in connection with the case.

The lawsuit says back in 2006 the defendants persuaded 33 African-American churches to enter into expensive leases for shoddy computers housed in wooden cabinets, promising that advertisers would pick up the tab.

When the churches failed to make the payments themselves, the leasing companies sued to collect the money.

A Rancho Cucamonga couple who allegedly pitched the deals to the churches could not be reached for comment.

(©2010 CBS Local Media, a division of CBS Radio Inc. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed. Wire services contributed to this report.)


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