CommentsBCK FILE--Politics is big business -- and the impact of hefty campaign contributions on policy is problematic, whether the issue is meaningful gun control, environmental policy or closer to home, approval for development projects.
Developer Samuel Leung now faces charges of making illegal campaign contributions to local politicians in his quest for zoning amendments for the $72-million, 325-unit Sea Breeze apartment complex in Harbor Gateway. Leung has been charged with one felony count of conspiracy to commit campaign money laundering and one felony count of offering to bribe a legislator.
In order to circumvent Federal Election Law, Leung has allegedly funnelled money through more than 1,000 donors in the amount of over $600,000 while his project was under review, according to the Los Angeles Times. Federal Election Commission Contribution limits prohibit contributions in the name of another person and no person may willingly make or accept such contributions.
According to prosecutors, Leung and his secretary, Sofia David, also charged with conspiring with one felony count of conspiring to commit campaign money laundering, enlisted family members, employees, and others to funnel contributions to local politicians as part of an effort to have an empty lot on Sepulveda Boulevard rezoned for so that Leung could build Sea Breeze.
Back in 2015, Mayor Eric Garcetti and the City Council were already supporting rezoning from manufacturing to residential. The complaint issued by the LA District Attorney’s office connects donations from Leung and associates to PACs that supported a number of politicians who could influence the rezoning approval, including Mayor Garcetti, City Council members Joe Buscaino, Mitchell Englander, Jose Huizar, Gil Cedillo, and Nury Martinez; former state Assemblyman Warren Furutani, and LA County Supervisor Janice Hahn.
Hahn was serving a the Harbor Gateway council representative when Leung first proposed the Sea Breeze project and Leung (and associates) contributed to the politician’s campaigns for council, lieutenant governor, Congress, and to her office holder account. Leung continued the contributions to the tune of $94,700 plus to Buscaino once Hahn left to serve in Congress. The councilman supported the project and right before the Council vote on Sea Breeze in 2015, he co-chaired a fundraiser for Nury Martinez, who received $7,700 from donors associated with Leung.
The campaign finance stream connected to Leung relied on employees and contracts, including handymen, landscapers, and others, often contributed on the same day and in five-figure sums over the years in question.
Leung could face up to almost 5 years in prison if he is convicted; David could also face a sentence.
The shell game of funneling campaign donations through associates is punishable by prison, yet the upside seemed to outweigh any risk of getting caught. Politicians who need full campaign coffers in order to run for office and those who need political connections to forward their businesses form a symbiotic relationship, even when politicians just look the other way, ignoring the source. Enforcement of campaign finance law is one way to break pay for play; the other would be substantive campaign finance reform at all levels.
(Beth Cone Kramer is a professional writer living in the Los Angeles area. She covers Resistance Watch and other major issues for CityWatch.)
-cw