Congress has cut federal funding for public media — a $3.4 million loss for LAist. We count on readers like you to protect our nonprofit newsroom. Become a monthly member and sustain local journalism.
Former LADWP employee charged with embezzling $4 million
A former employee with the Los Angeles Department of Water and Power has been charged with embezzling more that $4 million in public funds over nearly 20 years
(
Photo by Michael Chen via Flickr Creative Commons
)
A former employee with the Los Angeles Department of Water and Power has been charged with embezzling more that $4 million in public funds over nearly 20 years, the L.A. County District Attorney's Office announced Thursday.
Thatcus Carl "T.C." Richard, 64, of Moreno Valley was arrested Wednesday and is charged with 27 felony counts that include conflict of interest, public officer crime and embezzlement.
The former audio-visual technician acted as Contract Administrator in a small business unit, where roughly 140 agreements and purchase orders were made between LADWP and four outside AV vendors, according to an LADWP statement.
Those companies were actually established by Richard's close friends at his request. They would then subcontract with Top Line Communications, a company owned by Richard.
Support for LAist comes from
The total amount paid to those companies was approximately $4.4 million, according to LADWP.
According to LADWP, the L.A. City Controller's office received a complaint in 2012 alleging Richard was using department equipment and resources for personal gain.
LADWP's own Office of Special Investigations pursued the complaint, followed by a probe by the L.A. District Attorney's Office.
"The suspected criminal activity was discovered through the vigilance of the Controller's office and the DWP's security services division and reported to law enforcement," said Mayor Eric Garcetti.
"The perpetrator should be fully prosecuted, and every effort will be made to recover the money that was stolen by this former employee."
LADWP General Manager Marcie Edwards said, "Any employee who violates the public trust and defrauds the DWP and our customer owners should be prosecuted to the fullest extent of the law."
She added the agency has taken steps to detect and prevent similar fraud from happening.
Support for LAist comes from
As a result of the investigation, the utility will review all contracts initiated by small business units over the last five years, conduct contract administrator training, verify that vendors doing business with LADWP are legitimate, and revise its conflict of interest disclosure process.
Prosecutors recommended Richard's bail be set at $1.2 million.
Richard is scheduled for arraignment next week. If convicted, he faces up to 20 years in state prison.
An earlier version of this story stated Richard was charged with 29 counts, not 27. KPCC regrets the error.
This story has been updated.
As Editor-in-Chief of our newsroom, I’m extremely proud of the work our top-notch journalists are doing here at LAist. We’re doing more hard-hitting watchdog journalism than ever before — powerful reporting on the economy, elections, climate and the homelessness crisis that is making a difference in your lives. At the same time, it’s never been more difficult to maintain a paywall-free, independent news source that informs, inspires, and engages everyone.
Simply put, we cannot do this essential work without your help. Federal funding for public media has been clawed back by Congress and that means LAist has lost $3.4 million in federal funding over the next two years. So we’re asking for your help. LAist has been there for you and we’re asking you to be here for us.
We rely on donations from readers like you to stay independent, which keeps our nonprofit newsroom strong and accountable to you.
No matter where you stand on the political spectrum, press freedom is at the core of keeping our nation free and fair. And as the landscape of free press changes, LAist will remain a voice you know and trust, but the amount of reader support we receive will help determine how strong of a newsroom we are going forward to cover the important news from our community.
Please take action today to support your trusted source for local news with a donation that makes sense for your budget.
Thank you for your generous support and believing in independent news.
Chip in now to fund your local journalism
(
LAist
)
Trending on LAist
-
With less to prove than LA, the city is becoming a center of impressive culinary creativity. -
Nearly 470 sections of guardrailing were stolen in the last fiscal year in L.A. and Ventura counties.
-
Monarch butterflies are on a path to extinction, but there is a way to support them — and maybe see them in your own yard — by planting milkweed.
-
With California voters facing a decision on redistricting this November, Surf City is poised to join the brewing battle over Congressional voting districts.
-
The drug dealer, the last of five defendants to plead guilty to federal charges linked to the 'Friends' actor’s death, will face a maximum sentence of 65 years in prison.
-
The weather’s been a little different lately, with humidity, isolated rain and wind gusts throughout much of Southern California. What’s causing the late-summer bout of gray?
Best of LAist