SANTA ANA (CBSLA.com) — Authorities have charged a Westminster police officer on federal loan-sharking charges, according to the FBI.
A Fountain Valley man — a business owner — was also arrested as part of the alleged operation.
Anthony Duong Donner, 28, of Westminster, a patrol officer with the Westminster Police Department, is currently on administrative leave, according to FBI spokeswoman Laura Eimiller.
Donner’s co-defendant was identified as Kevin Khanh Tuan Do, 38, of Fountain Valley.
Do owns Do’s Construction and Design in Westminster, Eimiller said.
The two were arrested Friday on a federal complaint alleging they collected loan repayments by extortion, Eimiller said.
Donner is accused of using his job as a police officer to enforce collections on loans issued by Do.
The FBI said their case centers on a business owner’s allegation that he received a $170,000 loan from Do and made payments at a rate of 5 percent a month and 60 percent annually.
The business owner, known in the complaint as H.L., said he re-paid $168,000 of interest alone with none of the payments going to the principal, the complaint alleges.
When H.L. fell behind on payments, Do allegedly told Donner to use “police enforcement actions” against the man and his business.
The two could face up to 20 years in federal prison and a fine of $250,000.
Donner and Do made their first appearance in court Friday and were released on bond. They were ordered to return to court Sept. 20 for a preliminary hearing.
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