On October 4, former Los Angeles Deputy Mayor Raymond She Wah Chan was sentenced to 12 years in federal prison for his role in a corruption scheme that involved soliciting and accepting over $750,000 in bribes. Additionally, he was implicated in helping real estate developers bribe former Los Angeles City Council member José Huizar with more than $1 million.
At the sentencing, U.S. District Judge John F. Walter ordered the 68-year-old Monterey Park resident to pay $752,457 in restitution to the city of Los Angeles, as announced by the U.S. Attorney’s Office for the Central District of California.
Following a 12-day trial, a jury convicted Chan on March 27 on all 12 felony counts, which included conspiracy to violate the Racketeer Influenced and Corrupt Organizations (RICO) Act, seven counts of wire fraud, three counts of federal program bribery, and one count of making false statements to a federal agency.
U.S. Attorney Martin Estrada remarked, “Raymond Chan has exacerbated the corruption in Los Angeles politics for personal gain. Today’s ruling sends a clear message that our government should not be for sale, and those who undermine our democracy with pay-to-play schemes will face the full force of the law.”
Adding to this, Akil Davis, assistant director of the FBI’s Los Angeles office, emphasized, “Today’s verdict is a reminder that corruption deprives communities of the honest government services they deserve. The negative impact of public corruption is not just economic; it also erodes public confidence in government and elected officials. The FBI remains committed to targeting those who exploit their wealth and influence for corrupt purposes.”
Chan’s misconduct was particularly egregious as he aided Chinese real estate developers in bribing then-Councilmember Huizar, which compromised the approval process for city real estate projects. Huizar oversaw the Planning and Land Use Management (PLUM) Committee at the time, which was responsible for all significant commercial and residential developments in Los Angeles.
According to a press release from the U.S. Attorney’s Office, Chan and Huizar were instrumental in creating and operating the so-called “CD-14 Enterprise.” This group manipulated the city’s real estate approval processes to solicit bribes from developers. Chan was a pivotal figure in directing the operations of this enterprise, exploiting his public office and connections with affluent foreign developers eager to invest in the city. As a result of these corrupt practices, Chan, Huizar, and other public officials reaped nearly $2 million in economic benefits.
To facilitate this scheme, Chan established and led a clandestine business partnership with real estate consultant George Chiang. During his tenure as General Manager of the Los Angeles Department of Building and Safety and Deputy Mayor, he secured a lucrative consulting agreement with the Shenzhen Hazens Group, a Chinese developer. As part of this arrangement, Chan solicited and accepted substantial bribes to influence and pressure city officials, including Huizar, in favor of Hazens’ luxury hotel redevelopment project in downtown Los Angeles.
