Lawyer Alleges City Atty. Donor Deal
A lawyer who is a political donor to Los Angeles City Atty. Rocky Delgadillo contends in a recent letter that one of Delgadillo's top deputies offered to waive about $696,500 that the donor's client owes on a city loan.
Lance Robbins, who has been repeatedly accused by the city of operating slum buildings, wrote the letter to Delgadillo's deputy to acknowledge the offer.
A Delgadillo representative on Wednesday flatly denied that any settlement offer was made. And, hours after The Times inquired about the issue, city officials announced that the city attorney's office went to court to file a foreclosure action on the loan for the Lido apartments in Hollywood.
"This office made no settlement offer, and the city has been sued by borrower," said Jonathan Diamond, a spokesman for Delgadillo.
The city once described Robbins in a lawsuit as "one of Los Angeles' most notorious landlords." Between 1984 and 2000, the city filed 54 criminal and civil charges against him for 17 buildings that allegedly had serious health and safety violations -- the most actions against any landlord in the 25-year history of the city's Slum Housing Task Force.
Delgadillo has accepted $16,600 in political contributions from Robbins, his businesses, partners, relatives and associates to pay for campaigns and political expenses.
The Times reported in October that Delgadillo settled a city lawsuit against Robbins in 2002 for $1 million, even though the city originally said it was owed $3 million for delinquent utility bills.
Delgadillo denied that the 2002 settlement was a favor to a political supporter.
Robbins has a financial interest in the Lido, a 100-unit apartment building at 6500 Yucca St. He also serves as an attorney for principal owner Santa Rosa Marathon Corp. and the firm's president, Craig Dennis.
Dennis was notified by the city Housing Department on Sept. 7 that his firm was in default on $1.8 million in principal and $1.7 million in interest from three loans made to fix up the apartment building.
The five-story building, originally a hotel in the 1920s, is a Hollywood landmark. Its lobby was pictured on the Eagles' album "Hotel California."
The loans were made by the city Housing Department in exchange for a promise by Santa Rosa Marathon Corp. to provide apartments for tenants with low and moderate incomes.
The payment was due Sept. 1, according to the letter from Lynn Hansen, assistant general manager of the Housing Department.
- Robbins Makes Plea to Keep Real Estate License - Courts: Ex-Valley legislator tells judge he shouldn't be deprived of livelihood over political corruption case. Attorney for state disagrees. Jan 29, 1994
- Robbins Pleads Guilty to Loan Fraud Charges Nov 03, 1992
- Bank Chief Says Robbins Received Imprudent Loans - Politics: Independence chairman says firm's ex-president granted 'not kosher' credit to state senator. Nov 09, 1991
