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LOS ANGELES COUNTY : Probe Ordered of Failed Fund-Raising Operation

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The Board of Supervisors ordered an investigation Tuesday into a disastrous fund-raising operation organized by county health department employees who used $726,000 in public funds but failed to raise any money.

Board members charged that officials of the Department of Health Services failed to adequately supervise the employees assigned to work for the Foundation for Health Services, a nonprofit corporation established by the county to raise funds for public hospitals. In three years of operation, the foundation’s only fund-raising event lost $16,640.

Last week, the board voted to cancel its contract with the foundation. On Tuesday, health department officials announced that they have reassigned foundation employees to regular positions at Rancho Los Amigos Medical Center.

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