Court Strikes Down Agreement Based Upon City Misconduct; Former Mayor Sentenced to 16 Months, Another Awaits Trial

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Court strikes down agreement based upon city misconduct; Former Mayor Sentenced to 16 Months, Another Awaits Trial

According to court documents, when Randy Wang undertook developing a mixed-use condominium/shopping center in Temple City, California, under a development agreement entered into with the Temple City Redevelopment Association, the agreement included a provision that if the project was not finished by a set date, the City could take the property (with an estimated equity of at least $10 million) essentially for nothing. The recession nulling the probability of funding the project, the City filed suit against Wang, seeking to take over title to the property.

Wang defended the action by claiming his consent was procured by fraud and that the City was guilty of unclean hands in having hindered development of the project because Wang refused to pay bribes demanded from him by City Council members and others.

Construction law firm Monteleone & McCrory LLP represented Wang and, under the firm’s tutelage, the alleged bribery attempts were reported to the Los Angeles County District Attorney’s office, who eventually indicted four persons, including the current and past mayors of the City. (Case number BC 389 055)

The Court has since entered a judgment declaring the development agreement illegal and void, freeing Mr. Wang from any threat of the loss of his property.

Today, former Temple City Mayor Judy Wong was sentenced to 16 months in state prison. She pleaded no contest in May to 10 counts of bribery, perjury and solicitation to commit bribery. Wong surrendered to the Court. She will be required to pay $16,700 in restitution to developer Randy Wang, as well as additional fines. Los Angeles County Superior Court Judge Patricia Schnegg denied a request from Wong’s attorney seeking probation.

Another former Temple City Mayor, Cathrine Wilson, is charged with three counts of bribery and perjury and is due back in Court on November 8. Wilson’s campaign treasurer Scott Carwile, who earlier pleaded guity to one felony count of perjury, is awaiting sentencing.

About Monteleone & McCrory
Monteleone & McCrory is a full-service law firm that handles commercial and business litigation, with a national reputation in the construction industry. For more than 50 years, the firm has been involved in landmark projects, achieving record-breaking verdicts and settlements and representing clients in cases that have shaped the legal landscape. For additional information, please visit http://www.mmlawyers.com.

Contact:
Patrick J. Duffy, III
Email: duffy(at)mmlawyers(dot)com
Ph: (213) 612-9900
or
Megan M. Mandeville
Email: mandeville(at)mmlawyers(dot)com
Ph: (213) 612-9900

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Megan Mandeville
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