{"id":49569,"date":"2022-04-25T18:44:54","date_gmt":"2022-04-26T01:44:54","guid":{"rendered":"https:\/\/cjnotebook.com\/?p=49569"},"modified":"2022-04-25T18:48:23","modified_gmt":"2022-04-26T01:48:23","slug":"49569-2","status":"publish","type":"post","link":"https:\/\/cjnotebook.com\/?p=49569","title":{"rendered":"L.A. Water and Power Former Manager Sentenced to Prison for Accepting Bribes"},"content":{"rendered":"

LOS ANGELES<\/strong><\/span><\/p>\n

\"\"The former general manager of the Los Angeles Department of Water and Power was sentenced Monday to six years in prison for accepting bribes, officials stated.<\/span><\/p>\n

\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 David H. Wright bribed a\u00a0 lawyer in exchange for his official action to secure a three-year, $30 million no-bid Water and Power contract for the lawyer\u2019s company.<\/span><\/p>\n

\u00a0 \u00a0Wright, 62, of Riverside, was sentenced by U.S. District Court Judge Stanley Blumenfeld Jr.<\/span><\/p>\n

\"\"The judge described Wright\u2019s conduct as \u201cegregious\u201d because Wright \u2013 while a public servant \u2013 executed an \u201celaborate and sophisticated criminal scheme\u201d that was motivated by \u201cpure greed.\u201d<\/span><\/p>\n

\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 Wright, who is the first defendant to be sentenced in the Water and Power corruption cases, pleaded guilty on Jan. 25, 2022, to one count of bribery.<\/span><\/p>\n

\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 Wright served as Water and Power\u2019s general manager from September 2016 until July 2019, when he resigned at the direction of the mayor of Los Angeles.<\/span>\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0<\/span><\/p>\n

\"woman<\/p>\n

\u00a0 \u201cAs the leader of the nation\u2019s largest municipal utility, David Wright embarked on a campaign of corruption, including pushing through a no-bid $30 million contract for a company from which he had secretly accepted a lucrative job offer,\u201d said United States Attorney Tracy L. Wilkison. \u201cThis ongoing criminal case has placed a spotlight on public corruption that harmed ratepayers while benefiting dishonest officials and unscrupulous lawyers.\u201d<\/span><\/p>\n

\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 \u201cThis case is especially significant given the corruption that was rooted in the highest level of city government,\u201d said Kristi K. Johnson, the Assistant Director in Charge of the FBI\u2019s Los Angeles Field Office. \u201cThis investigation highlighted the lack of oversight for a $30 million contract and the inexcusable silencing of whistleblowers, amounting to a gross misuse of Mr. Wright\u2019s position and a violation of the public\u2019s trust.\u00a0 The FBI encourages those with information about corruption to speak up and hold accountable public officials whose conduct erodes trust in government.\u201d<\/span><\/p>\n

\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 \"\" During 2016 and 2017, Wright developed a relationship with Paul O. Paradis, 58, of Scottsdale, Arizona, a lawyer appointed by the Los Angeles City Attorney\u2019s Office to represent Water and Power in a lawsuit<\/span><\/p>\n

According to the lawsuit, the department blamed the vendor of its billing system for the misbilling of hundreds of thousands of ratepayers. <\/span><\/p>\n

Paradis and his New York-based law firm also held a $6 million Water and Power contract to provide project management services in connection with the department\u2019s remediation of the faulty billing system.<\/span><\/p>\n

\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 By early 2017, Wright and Paradis agreed that \u2013 in exchange for Wright\u2019s support of a \u201cno-bid\u201d $30 million contract for Paradis\u2019s downtown Los Angeles-based company Aventador Utility Services LLC \u2014 Paradis would give Wright a $1 million-per-year job as Aventador\u2019s CEO and a luxury company car once Wright retired from Water and Power.<\/span><\/p>\n

\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 \"\" In exchange, Wright lobbied members of the Water and Power board of directors to vote in favor of the contract for Aventador, whose company name was taken from a model of a Lamborghini sports car. <\/span><\/p>\n

At the time it approved the $30 million no-bid contract in June 2017, the Water and Power board was not informed of Wright\u2019s illegal agreement with Paradis to take a lucrative job as Aventador\u2019s CEO upon retiring from Water and Power.<\/span><\/p>\n

\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 After the awarding of the contract, through early 2019, Wright continued to collaborate with Paradis to build and market Aventador and to seek additional lucrative business opportunities for it \u2014 and thus for Wright and Paradis \u2014 both inside and outside Water and Power. <\/span><\/p>\n

\"\"Despite being a public official, Wright used his position as LADWP\u2019s general manager to advertise Aventador’s services at industry events and in meetings and discussions with other industry officials and executives.<\/span><\/p>\n

\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 By March 2019, Paradis had been forced to resign from his role as special counsel to the City Attorney\u2019s Office. <\/span><\/p>\n

Around this time, the LADWP board voted to terminate Aventador\u2019s contract, but it agreed to retain the company\u2019s services if Paradis sold his stake in the company and disavowed any interest in the company, which Paradis purported to do. <\/span><\/p>\n

In late March 2019, after Paradis sold the company to an employee, Aventador officially changed its name to Ardent Cyber Solutions LLC.<\/span><\/p>\n

\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 In late March 2019, after Paradis had begun covertly cooperating with the FBI, Wright met with Paradis at Wright\u2019s home and directed Paradis to destroy their incriminating text messages and emails from Wright\u2019s cell phone and Apple iCloud account and to take back an Aventador laptop and wipe it clean. <\/span><\/p>\n

Wright told Paradis that he had already gone through his office at Water and Power and destroyed all incriminating physical evidence.<\/span><\/p>\n

\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 In April 2019, Wright used his position to urge the Water and Power board to support a new cybersecurity contract to Ardent for more than $10 million. <\/span><\/p>\n

Wright again did not inform the board of another secret arrangement with Paradis, which by then included their agreement that Wright would receive a \u201csubstantial sign-on bonus\u201d of $600,000 or $1.2 million, as well as an increase in his ownership of their company, in addition to a previously agreed-to $1 million annual salary and luxury car.<\/span><\/p>\n

Paradis pleaded guilty on January 28 to a federal bribery charge for accepting an illicit kickback of nearly $2.2 million for getting another attorney to purportedly represent his ratepayer client in a collusive lawsuit against Water and Power related to the billing debacle. <\/span><\/p>\n

Paradis is cooperating with the ongoing investigation into the collusive litigation and corruption at Water and Power. Paradis is scheduled to be sentenced on July 19.<\/span><\/p>\n

\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 David F. Alexander, 54, of Arcadia, Water and Power\u2019s former chief information security officer, and its former chief cyber-risk officer, pleaded guilty on February 8 to one felony count of making false statements to federal investigators probing corruption in the department. <\/span><\/p>\n

Alexander\u2019s sentencing hearing is scheduled for June 7.<\/span><\/p>\n

\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 Thomas H. Peters, 56, of Pacific Palisades, the former chief of the Civil Litigation Branch of the Los Angeles City Attorney\u2019s Office, pleaded guilty on April 5 to one count of aiding and abetting extortion. <\/span><\/p>\n

Peters threatened to fire a plaintiffs\u2019 attorney from a lucrative special counsel job with the city unless the attorney paid a substantial extortion demand from a former employee who was threatening to expose the city\u2019s collusive litigation over its faulty water-and-power billing system. <\/span><\/p>\n

Peters, who is also cooperating with the ongoing investigation, is scheduled to be sentenced on August 2.<\/span><\/p>\n

\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 The FBI is investigating this matter.\u00a0<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"

LOS ANGELES The former general manager of the Los Angeles Department of Water and Power was sentenced Monday to six years in prison for accepting bribes, officials stated. \u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 David H. Wright…<\/p>\n","protected":false},"author":1,"featured_media":49570,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[3255],"tags":[],"class_list":["post-49569","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-federal-court"],"yoast_head":"\nL.A. 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