Foundation Sues To Block Projects Tainted By LA Corruption Probe

HOLLYWOOD, CA — The AIDS Healthcare Foundation filed a lawsuit Tuesday attempting to block several housing developments tied to two councilmen embroiled in a pay-to-play corruption scandal. The lawsuit argues that an array of permits tied to Councilmen Jose Huizar and Mitch Englander could have been obtained through illegal bribes and must be thoroughly investigated.

Englander previously pleaded guilty to taking cash bribes from a businessman and attempting to prevent investigators from discovering it. Huizar, who has been suspended from the council, was indicted Thursday by a federal grand jury on 34 counts alleging he masterminded a scheme in which developers were shaken down for cash bribes and campaign donations in exchange for his help getting high-rise projects through the city's approval process. Huizar has denied the allegations.

“It goes back several years,” AHF President Michael Weinstein said over the phone. “These developers come in, give campaign contributions and lobbying money, and in the case of Huizar and Englander, cash in the garbage bag. If you want to get rid of the weeds, you have to pull them out by the root. This is a systemic problem, you can’t just look at these cases that involved direct bribery to Huizar that we know of, we have to look at all the ones he presided over.”

Huizar served as chairman of the Planning and Land Use Management (PLUM) committee, of which Englander was a member. Prosecutors have charged Huizar with wire fraud, bribery and money laundering. The indictment claims Huizar used his power to give special treatment to real estate developers who showered him with gifts, escorts, and bribes totaling over $1.5 million.

Weinstein noted that frequently, Huizar and Englander faced virtually no opposition to projects they greenlit. “At one point, [they] were two of the three on that committee,” he said. “The two of them could have pretty much enacted any project that came before them. Usually when PLUM approves something, the council pretty much rubber stamps it.”

AHF’s lawsuit argues the corrupted permits will “change the face of Los Angeles,” noting the extreme disruption that will be caused if the luxury developments are built.

“The policies that we’re talking about, in terms of this big money from the developers, has caused the homelessness crisis, affordable housing, and gentrification,” Weinstein said. “We’re not doing it purely from the point of view of good government, we’re looking at it in terms of the community."

AHF has filed multiple unsuccessful lawsuits related to prospective developments in the past. In November 2019, a judge dismissed their lawsuit against four Hollywood developments they claimed violated anti-discrimination housing laws.

Last week, the organization appealed the case to the Supreme Court.

“Part of what we’re trying to do is spotlight that a lot of these cases that we’ve had in the past, have been based upon the fact that the process was corrupted,” Weinstein said. “But the courts did not side with us. Now there’s living proof of it. But our agenda is advocacy and organizing, we’re not deterred by defeats. This is a long-term struggle for the future of Los Angeles.”