Rudy Montiel and $400 Lunches: KCET Follows Shocking Money Trail of Recently Canned Chief of L.A. Housing Authority, And Others

By Mars Melnicoff Wed., Mar. 23 2011 at 2:00 PM

Updated after the jump: SoCal Connected Executive Producer weighs in on early feedback, possible government reactions.

Yummy, taxpayer dollars are so tender and juicy.

The Housing Authority of the City of Los Angeles (HACLA) is a billion dollar agency responsible for providing shelter for L.A.'s most vulnerable residents - and as uncovered by KCET's SoCal Connected: also responsible for using taxpayer dollars on yummy $400 lunches and lavish shopping sprees.

That's just the teaser -- tomorrow SoCal Connected will be reporting what they uncovered after six months of document scouring:

Rudolf Montiel, who enjoyed his position as Chief Executive of the Housing Authority a bit too much, was fired Monday night amidst these and other allegations.

"Show me the Money...The Junketeer," this week's SoCal Connected episode, takes a look at what Montiel enjoyed at taxpayer expense while receiving an employment package worth $450,000 plus bonuses.

Wow, he must have been having some FUN. And, they say, he was not alone.

With Laurel Erickson reporting, this has the promise of being juicy: she has been a familiar face on L.A. news for over three decades -- and not the face you want to see if you have something to hide. Erickson plays hard-ball.

Here she will bring to light years of abuse, waste and fraud: all the things L.A. can't afford now, more than ever, in it's $47 million deficit.

SoCal Connected is going to show us the money trail. Where is public money that is supposed to be helping L.A.'s poorest people being spent?

According to SoCal Connected:

At the center of the controversy is the housing agency's chief executive, Rudolf "Rudy" Montiel, just relieved of his job and put on administrative leave, who received an employment package worth $450,000 with bonuses.
Our exclusive investigation talks with insiders who describe Montiel as a man prone to paranoia, who managed the agency by using fear as a weapon. That management style seems to be costing taxpayers hundreds of thousands of dollars in lawsuits as you will see in our story.

When we spoke to Senator Chuck Grassley (R-IA), senior member of the Committee on Finance, about our investigation into Rudy Montiel, Grassley told SoCal Connected,"How outrageous that is...He's probably doing better than a drug kingpin."

Update: Bret Marcus, Executive Producer for SoCal Connected, and Senior Vice President of KCET tells L.A. Weekly that the expose is already getting significant reactions:

"This week's edition of "Show Me The Money" -- which we're calling the Junketeer --has already gotten reaction from Washington. The ranking member of the Senate Finance Committee -- Chuck Grassley --has just directed HUD [U.S. Department of Housing and Urban Development] to begin an investigation into the Los Angeles Housing Authority, which will no doubt include Rudy Monteil's compensation package as well as spending by the HACLA staff."

Here's the preview of what will air on KCET tomorrow at 6:30p.m. and 9:30p.m:

Contact Mars Melnicoff at mmelnicoff@laweekly.com / follow @marsmelnicoff

Tags:

Housing Authority of the City of Los Angeles, Laurel Erickson, Mars Melnicoff, Rudy Montiel, SoCal Connected

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D Stefano

Montiel did not act alone! LOMOD, an INVESTMENT company, purchased the senior/disabled 200 (approx) unit bldg where i live. Next step was turning us into Section 8 residents,allowing who knows how many millions of Hud Dollars into his conniving hands.Then LOMOD is somehow a part of and calls itself a part of HACLA, and with the help of MAYOR VILLARAIGOSA, LOMOD became a NON-PROFIT? No money was spent on my bldg for over a year while this group of criminals and thieves were threating themselves to the money, THE PEOPLE'S TAX DOLLARS, that was to be used for the section city housing bldgs and units. The Mayor and Montiel were social butterflies, you can search to find out about this... and how much of that HUD money did Villaraigosa get for pulling the strings to include LOMOD as a recipient of Federal housing funds by getting to that non-profit status. Viaraigosa distanced himself after Montiel was busted and said something like he didn't approve of what Montiel did. HOW ABOUT YOU MAYOR??? You most certainly don't have a salary that affords you a mansion in Hancock Park where Los Angeles' OLD MONEY is, not to mention how white and racist the area is, I know because I grew up on block away from where the area of mansions begins. At that time, only white Christians were allowed in the private schools and country club there. So why would Villaraigosa even WANT to live there? A small man trying to prove he measures up, but he stole MY Section 8 money with the others for over a year. These people committed so many felonies on so many different levels it's just mind boggling how corrupt Los Angeles is to sweet it all under the carpet and just get rid of the outsider who came to town to run his scam, as he had done in Texas. He's also a free man with an enormous severance package instead of a life behind bars, along with the rest of them, OUR ELECTED OFFICIAL INCLUDED! When I hear that Villaraigosa thinks he will shut down our OCCUPATION of City Hall, he'd better think twice because I'll go to the ends of the earth to expose this criminal if he goes against the people he has stolen from and gotten away with it... so far... so far as he let's us exercise our Constitutional Rights to Occupy without interruption. If he thinks there are problems with maintenance of the property, nobody is stopping the maintenance from happening. There is room for the tents to move into different areas as theirs are 'maintained'... or whatever!!! HANDS OFF VILLARAIGOSA!!! You've done enough harm to the people already... back off!!!

drops1

Any follow up on this story. What happend with the investigation?Why cant the state strip him of his cash,and trow him in jail!

D Stefano

because they're all corrupt, so investigating others will also shed light on themselves

Deborah Hyatt DeStefano

When are the conspirators going to be investigated and tried? These are major felons. Why is Montiel a free man? Why is LOMOD still a non-profit org under the guise as a subsidiary of HACLA when in fact it is an investment company... FOR PROFIT! I think the mayor can give you the details on this little nasty maneuver. Dig them all out and make them pay for their crimes, just as are all people of this city and country. THEY are literally getting away with these crimes. Time for L.A. to stop sweeping the 90% most important details under the carpet. Ask any tenant of any HACLA bldg., we can tell you quite a bit about THESE criminals.

Decent American

I work for HACLA. Rudy has FIRED the last 3 Senior Fraud Investigators in a row when they got too close to his corruption. He rarely puts in more than 4 or 5 hours PER WEEK! His security director, Scott Butler just got a $50,000 sports car, approved by Rudy and paid for by HACLA. Complaints about the fraud and abuse go nowhere. I'm glad he's gone, but the board of Commissioners are even more rotten.

HACLAWATCHER

Please tell anyone you may know who works for HACLA or their contractors to watch and be prepared to report any waste, fraud or abuse to the proper authorities. So far HUD and HUD OIG have covered these things up for years so lets wait to see if there are other investigators assigned!