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Thursday, March 28, 2024

Justice Department intervenes in complaint against Los Angeles, alleging fraudulent use of HUD funds

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WASHINGTON (Legal Newsline) — The U.S. Department of Justice announced Aug. 1 that it has filed a complaint to intervene against the city of Los Angeles and the CRA/LA (formerly the Community Redevelopment Agency of the city of Los Angeles) alleging the fraudulent securing of millions of dollars in housing grants from the U.S. Department of Housing and Urban Development (HUD).

“Despite the federal government investing hundreds of millions of dollars in Los Angeles to create housing for everyone, the city of Los Angeles instead created housing only for some,” said acting U.S. attorney Sandra R. Brown for the Central District of California. “For 17 years, the city falsely certified it had complied with federal law and covered up its repeated disregard of historic and important civil rights laws.”

According to allegations, the city certified its compliance with federal accessibility laws yet failed to actually take steps to ensure compliance. Despite the federal funding, the city allegedly approved design and construction of buildings that are inaccessible to people with disabilities.


“The complaint filed yesterday underscores the department’s commitment to ensure that people with disabilities are provided equal access to federally-funded public housing, as required by law,” said acting assistant attorney general Chad A. Readler of the Justice Department’s Civil Division.

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