Casino Owner Charged With Bribing Mayor

A casino owner appeared in federal court Monday on charges he tried to bribe Huntington Park’s mayor with gifts and cash in meetings taped by the FBI with the mayor’s cooperation.

Harry Hwang, owner of L.A. Casino in Huntington Park, gave Mayor Richard Loya $5,000 in cash to send Loya and his wife on a cruise to Italy, according to an FBI agent’s affidavit.

Hwang, taped during a series of meetings by a concealed microphone worn by Loya, offered to launder campaign contributions to the mayor through tenants at a mini-mall he operates, saying he had done this for a former councilman, court records show.

When he learned Loya did not plan on a lengthy political career and was considering going on a cruise, Hwang offered to pay for the vacation and give him cash, saying he had done this as well for a former councilman, according to the affidavit of Special Agent L.J. Connolly, who listened to tapes of the conversations.

Outside the Bonaventure Hotel on Aug. 10, federal agents videotaped Hwang as he gave Loya a white envelope with $4,000 in $100 and $20 bills, court records show. Shortly afterward, Hwang handed over the other $1,000 at another meeting, according to the affidavit.

Hwang wanted Loya’s support for a proposed $66-million entertainment and retail complex in Huntington Park and his vote for the city to forgive a $40,000 debt owed by the casino.

Prosecutors say Hwang, 49, of Hancock Park, faces up to 10 years and a $250,000 fine if convicted of the bribery charge. He could face more charges. “He told the mayor he had done similar things in the past, including paying off public officials,” said Daniel Shallman, assistant U.S. attorney.

Shallman, of the public corruption unit, said that the investigation is ongoing and that he cannot comment on whether current or former elected officials are part of the probe. Hwang was arrested Thursday, and his bail was set Monday at $50,000.

His attorney, Brian Hennigan, said his client maintains his innocence. His family members said outside court that the allegations were the result of a misunderstanding.

Loya, who spent three months working at the direction of the FBI, said he went to authorities and wore the microphone because it was his civic duty. “We raise our right hand and swear to uphold the Constitution of the United States as elected officials,” he said. “It was the right thing to do.”

The mayor contacted the FBI on June 10 after Hwang offered to help him in return for his support, court records show.

Loya and Hwang met July 2 at the Pacific Dining Car, where the mayor told Hwang he could not support the development, the affidavit said. Hwang gave Loya a Cartier pen set and then offered to make him property manager for the development after he leaves the council, officials said. Eight days later, at the Greystone Cafe on Wilshire Boulevard, he made the offer to launder political contributions.

Loya even recorded his colleagues for the FBI. He wore a microphone to a July 19 meeting at his City Hall office, which included City Council members, Hwang and representatives from a Korean firm that was supporting the development, according to an affidavit.

An unsuspecting Hwang was arrested by FBI agents at the Greystone Cafe, where he was waiting to meet with Loya.

The charges against Hwang add to Huntington Park’s political choppy waters, where the Los Angeles County district attorney is investigating whether Councilwoman Linda Luz Guevara resides in the city.