By FRED SHUSTER
Disgraced former Los Angeles Deputy Mayor Raymond Chan was sentenced on Friday, Oct. 12, to 12 years in federal prison for acting as the intermediary in convicted ex-Councilmember José Huizar’s $1.5 million City Hall pay-to-play scheme with downtown high-rise developers.
Chan, 68, of Monterey Park worked for the city for more than three decades, much of it at the Department of Building and Safety, where he became general manager. In 2016, he was hired by then-Mayor Eric Garcetti to serve as deputy mayor over economic development, supervising the Planning Department, Building and Safety, and other city agencies.
He was convicted in Los Angeles federal court in March of all 12 felony counts he faced: one count of conspiracy to violate the RICO Act, seven counts of honest services wire fraud, three counts of bribery and one count of making false statements to a federal government agency.
U.S. District Judge John Walter ordered Chan to pay $752,457 in restitution to the city of Los Angeles. Chan must self-surrender to the U.S. Bureau of Prisons no later than Jan. 6 to begin his prison sentence, the judge said.
Evidence showed Chan was a key member of the so-called Council District 14 enterprise, a conspiracy in which Huizar — assisted by others —unlawfully used his office to give favorable treatment to wealthy developers in exchange for at least $1.5 million in cash bribes and other illicit benefits.
Chan acted as the intermediary who orchestrated bribes to Huizar from developers, lining his own pockets with at least $750,000 in the process. A letter to the court from the City Attorney’s Office said that “the reputational damage Mr. Chan caused (to local government) is deep and not easily overcome.”
Federal prosecutors said that while Huizar “may have been the face of the pay-to-play scheme, (Chan) was the brains that devised some of the most sophisticated aspects” of the conspiracy.
For example, Chan arranged what prosecutors called “the single largest bribe payment obtained in the scheme” — the secret funneling of $600,000 from a billionaire real estate developer which Huizar used to confidentially settle a pending sexual harassment lawsuit from a former staffer.
Structured by Chan, the bribe “was shrouded in layers of concealment,” according to court papers.
Huizar, 56, pleaded guilty in January 2023 to accepting bribes from downtown developers and cheating on his taxes, and was sentenced to a 13-year federal prison term. He was ordered to surrender to begin his sentence no later than noon Monday.
U.S. Attorney Martin Estrada said Friday that Chan “abused his public office and sought to deepen the corruption of city politics for the benefit of his own business interests.”
Estrada said in a statement that Chan’s sentence “sends a message to the public and City Hall alike that our government should not be for sale and those that undermine our democracy through pay-to-play schemes will be prosecuted to the fullest extent of the law.”
Members and associates of the bribery scheme included lobbyists, consultants and other city officials and staffers, who sought to personally enrich themselves and their families and associates in exchange for official acts.
They included George Esparza, Huizar’s former special assistant, real estate development consultant George Chiang, political fundraiser Justin Jangwoo Kim, and lobbyist Morrie Goldman, among others. Each pleaded guilty and agreed to cooperate with the government’s investigation.
Before Huizar pleaded guilty to federal charges, he and Chan were scheduled to go on trial together. A mistrial was declared in Chan’s first trial last year due to a defense attorney’s medical emergency.
Related links
13 years in federal prison for ex-LA Councilman José Huizar in pay-to-play corruption case
Tearing the fabric of municipal trust: A guide to corruption cases in Los Angeles City Hall
A guide to corruption cases in LA City Hall: now, it’s Mark Ridley-Thomas
Quick guide to corruption allegations and other scandals gnarling the scene at LA City Hall
With City Hall embroiled in scandal, major bribery cases against officials loom over Los Angeles