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LA County supervisors vote to investigate fraud claims in historic $4 billion settlement
Topline:
The Los Angeles County Board of Supervisors voted unanimously Tuesday to investigate fraud allegations tied to civil claims under AB 218, a law that extended the statute of limitations for survivors of childhood sexual abuse to sue their abuser.
Why now: It comes as the county’s $4 billion settlement with the first round of those claims is under new scrutiny. A recent L.A. Times investigation alleged a law firm paid plaintiffs to join sex abuse lawsuits against the county — including with fabricated claims. A majority of the allegations are focused around a law firm called DTLA Law Group, which has denied any wrongdoing.
About the motion: The vote directs the County Counsel to investigate alleged misconduct by legal representatives, including with the potential of referrals to the California State Bar, and review the settlement agreement. The motion also kickstarts the creation of a fraud hotline specifically for AB 218 claims. A report back should come in 14 days.
The backstory: Earlier this year, the Board of Supervisors approved the largest settlement in county history to go to about 11,000 people who said the abuse happened decades ago while they were children in the county’s care.
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