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City, Housing Complex Owner Settle Bias Suit

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Racheting its total cost to about $4 million, the city of Pasadena settled its federal lawsuit Wednesday against the owner of the largest low-income housing complex in the community by agreeing pay his $850,000 attorney bill.

The settlement ends five years of litigation by the city against King’s Villages owner Thomas Pottemeyer and clears him of the city’s allegations that he discriminated against African Americans in tenant selection at his 313-unit-complex.

Pasadena Mayor William Paparian said the lawsuit was worth pursuing and led to change at King’s Villages, but added that a settlement was in the best interests of the citizens of Pasadena.

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Pottemeyer’s attorney, Stephen C. Johnson, said his client was pleased with the settlement. “Mr. Pottemeyer has been completely exonerated,” Johnson said. As part of the settlement, Pottemeyer has agreed not to countersue the city.

City officials conceded that they faced the prospect of defeat since July when an arbiter ruled that the city had failed to prove any discrimination by Pottemeyer against African Americans.

The city’s case focused on allegations that between 1989 and 1991 Pottemeyer systemically discriminated against potential African American tenants in favor of Latinos.

An arbiter agreed with Pottemeyer that the increasing number of Latinos at the complex was a reflection of the city’s changing demographics.

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