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<![CDATA[LA Metro]]>

Phil Washington’s FAA Nomination Derailed by LA Metro Whistleblower Who Had Been Vilified by Los Angeles Officials, Press

March 26, 2023 by Jennifer Van Laar Leave a Comment

On Saturday evening the news broke that Phil Washington, Joe Biden’s nominee to head the Federal Aviation Administration, had withdrawn his name. As we covered, White House sources blamed the withdrawal on “Republican attacks,” and many focused on Washington’s miserable performance in confirmation hearings as an additional reason for Washington’s withdrawal. While Washington’s aviation knowledge is indeed lacking (to put it mildly) and he’s clearly not competent for the role, the nomination wasn’t withdrawn because Phil Washington suddenly realized he wasn’t qualified for the job. The nomination was withdrawn because Phil Washington knew that his former employee, Jennifer Loew, who’d blown the whistle on the pay-to-play, $8,000/call sexual harassment hotline contract at LA Metro, was ready to testify before the Senate about Washington’s role in the scandal and about other corruption she witnessed while Washington was CEO Of LA Metro.

READ: Biden Taps Head of LA Metro to Lead Transportation Transition Team, Despite Two Ongoing Federal Criminal Investigations

Loew, who received a $625,000 settlement from LA County for retaliation, brought evidence to the press that the LA Metro’s no-bid sexual harassment hotline contract had been improperly awarded to a crony of powerful LA County Supervisor Sheila Kuehl, and was purposely structured to be awarded in chunks worth less than $500,000 so the full Metro board wouldn’t have to vote on it. Loew had earlier raised alarms through LA Metro, telling internal investigators that Washington told her to pay at least one bill through the purchase order process usually used for office supplies so that Kuehl would owe him a political favor, and that the sole source, no-bid contract was wasteful and apparently awarded only because the recipient was the best friend of Kuehl, who also sits on the LA Metro board. Instead of looking into her concerns about both the awarding process and contract administration, investigators shared all of the information with Washington and Loew was retaliated against.

READ: FBI, LA County Sheriff Raid Home of Sup. Sheila Kuehl, County Hall of Administration, LA Metro HQ in Public Corruption Investigation

In September 2020 parts of Loew’s story were published, first by Bill Melugin, who was then with Fox’s Los Angeles affiliate, and Cece Woods of The Current Report. As usually happens in Los Angeles, for the most part the story was referred to as a conspiracy theory or baseless partisan attack, if it was mentioned at all in mainstream sources, even though there isn’t a single Republican elected to partisan office in the city or county. (The one remaining Republican is on the Board of Supervisors, but that’s a nonpartisan seat.) It wasn’t until search warrants were executed at five locations simultaneously in the early morning hours of September 14, 2022 that the s**t really hit the fan.

It’s precious to hear Sheila Kuehl moan about “harassment.” She really shouldn’t have given this on-camera interview while she was so upset. She says LA Times tipped her off to the warrant last wk and county Inspector General told her about it yesterday🧐 https://t.co/fu6rqqRi9t

— Jennifer Van Laar (@jenvanlaar) September 14, 2022

In an interview given as the warrant was being executed, then-Supervisor Sheila Kuehl reacted in a live interview on Fox LA, blasting Loew. When asked what the warrant was about, Kuehl referred to Loew as having an “obsession” with the contract:

My belief is that it’s based on this old obsession by the Metro employee that some contract was let out at my behest with which I had nothing to do. I didn’t even know about the contract. So it’s all based on a very slim thread, and it’s clearly harassment.

In an article at LAIst, Kuehl stuck with the same theme:

Kuehl said the investigation was sparked by “a disgruntled employee at Metro who was let go, who became obsessed” with Metro’s contract with Peace Over Violence. The former employee “claimed I had something to do with the contract, which is completely false,” Kuehl said. “It didn’t even come to the [Metro] board, it was so small.”

About six weeks later, right before the election, the LA Times published a joint hit piece, aimed at both Loew and then-Sheriff Alex Villanueva. The headline “Inside L.A. County sheriff’s dubious corruption probe of Sheila Kuehl, another watchdog” lets readers know exactly where they’re going with the piece — by “another watchdog” they’re referring to Kuehl’s friend Patti Giggans, also named in the search warrant, who is Kuehl’s appointee to the Citizens Oversight Commission.

A Times review of the case found it is based on the testimony of just one person, a former Metro employee named Jennifer Loew, who brought her bribery complaint to at least four law enforcement agencies, but found a receptive audience only at the Sheriff’s Department. The Times found no evidence to support Loew’s allegation.

Oh, well, let’s just stop there, if The Times found no evidence…

The story went on to characterize Loew as an irrational, vindictive person who had anger problems.

The hotline was overseen by Loew, she and Giggans said. Peace Over Violence routinely competes for contracts, Giggans said, and would have done so for this one if Metro had asked.

“We followed all her rules,” Giggans said of Loew. “Then she turned on us.”By 2019, Loew was running into disciplinary trouble on the job, records show. Multiple subordinates complained that she “engaged in abusive, humiliating or demeaning conduct,” according to court papers filed by Metro’s inspector general.

An internal investigation concluded that Loew had done nothing illegal, but was “intimidating” to staff. A county attorney told her in a letter that Metro would “not tolerate conduct of this nature.”

Giggans claims that they would have bid on it had they been asked but that Metro loved their ideas and just gave them the contract without asking for competitive bids.

Giggans worked informally with Metro on an ad strategy and slogan: “It’s Off Limits.” Giggans then told the agency that if it wanted more help, the nonprofit would need to be paid, she said in an interview. Peace Over Violence received $105,000 for consulting on the anti-harassment campaign in 2015 and 2016, purchase orders show.

“Purchase orders show,” the Times writes, referring to invoices Loew questioned Washington about, and which Loew was ordered to pay so Washington would be in Kuehl’s good graces.

The consulting work turned into something larger after three Metro board members — Supervisor Mike Antonovich, Los Angeles Mayor Eric Garcetti and Kuehl — instructed staff to curtail harassment in part by hiring an outside group to offer victims “non-law enforcement support.”

Peace Over Violence proposed a 24-hour hotline for $160,000 a year. Metro “loved the idea” and didn’t invite any other groups to bid, Giggans said.

However, a July 2016 email from Giggans to representatives from both Kuehl’s and Garcetti’s office — not Metro — shows that it was Garcetti’s office who came up with the “initial idea for METRO to do more.”

July 28, 2016 email between LA Metro, Sheila Kuehl’s office, and then-LA Mayor Eric Garcetti’s office regarding no-bid contract for Peace Over Violence sexual harassment hotline.

That email also references the difficulty Giggans was having in getting the initial $75,000 invoice paid, and Giggans asks for assistance in getting the bill paid.

And, a February 2016 email from Giggans to one of her employees after a call with Alex Wiggans, Stephanie LaRue, and Glen Becerra of Metro, and “Madeline who is from Sheila Kuehl’s office” saying, “We were told to be generous in our budgeting. They will pay us to do this. It’s an expansion.”

Adam Loew has been in touch with several Senate offices about the corruption his wife uncovered at Metro, and if released from her non-disclosure agreement in the retaliation settlement Jennifer Loew was willing to travel to Washington to testify before Congress about this issue and other instances of nepotism, retaliation, and corruption, according to information given to RedState on background. The office of Eric Garcetti, former Mayor of Los Angeles who is now Ambassador to India, was directly involved in this instance of alleged corruption, as shown in the emails above, and in others. Washington’s right-hand man Alex Wiggins would not be any help, as he’s currently in hot water in New Orleans, where he bounced to after facing several employment investigations in Los Angeles. So, it looks like two things are in play here: Washington didn’t want to be humiliated by these hearings on Capitol Hill even more than he already has, and the Biden administration exhausted their political goodwill by getting Eric Garcetti confirmed.

It’s not often that a politician or corrupt bureaucrat actually gets what they deserve, but it’s nice to see it when it happens.

Filed Under: <![CDATA[Eric Garcetti]]>, <![CDATA[FAA]]>, <![CDATA[LA Metro]]>, <![CDATA[Phil Washington]]>, <![CDATA[Sheila Kuehl]]>, <![CDATA[Ted Cruz]]>, News, Red State

BREAKING: FAA Nominee Phil Washington Withdraws His Nomination

March 25, 2023 by Jennifer Van Laar Leave a Comment

Phil Washington, Joe Biden’s embattled nominee to head the Federal Administration Aviation, has withdrawn his nomination, sources told Reuters Saturday evening.

One of the sources, a White House official, told Reuters that “an onslaught of unfounded Republican attacks on Mr Washington’s service and experience irresponsibly delayed this process, threatened unnecessary procedural hurdles on the Senate floor, and ultimately have led him to withdraw his nomination today.”

Reuters’ piece went on to describe issues with Washington, a veteran, not having a waiver “from rules requiring civilian leadership to head the FAA” and questions about Washington’s competency and experience as obstacles, as well as a threat by Republicans to “use parliamentary tactics to object to Washington’s lack of a waiver.”

They didn’t refer to Washington’s miserable performance when questioned by Sen. Ted Budd (R-NC) in which he went 0-for-7 on aviation policy, though.

Biden Nominee for FAA Chief Goes 0-for-7 on Aviation Policy Quiz by @SenTedBuddNC

Yikes.

pic.twitter.com/dHhAF3MyEj

— Chief Nerd (@TheChiefNerd) March 3, 2023

Nor did they refer to the exchange between Washington and Sen. Ted Cruz (R-TX) in which it’s quite possible that Washington committed perjury by claiming that a contract at the center of a pay-to-play criminal investigation in California in which Washington is “materially involved” was already in force before Washington became head of LA Metro.

While the LA Metro corruption investigation was known by the committee, and the execution of a search warrant at former LA County Supervisor Sheila Kuehl’s home was covered in the media, the fact that Washington’s name was prominently featured in the search warrant and that the whistleblower had given investigators information that Washington himself okayed the payments even after ethical questions were raised was brought to the national attention by RedState prior to the beginning of Washington’s hearing.

During Wednesday’s proceedings, Cruz detailed his issues with Washington’s nomination. After mentioning the issues with experience and competence, Cruz went into specifics about Washington’s criminal investigation problem:

“Unfortunately, the problems with Mr. Washington’s nomination don’t end with his lack of aviation experience. There are also serious concerns regarding outstanding allegations that Mr. Washington engaged in misconduct during his time as the head of the Los Angeles Metro. He has been named in multiple search warrants in an ongoing criminal public corruption investigation, and he’s been the subject of multiple whistleblower complaints.

One search warrant was executed just last September, not very long ago. It contained allegations that Mr. Washington pushed forward lucrative no-bid contracts to a politically-connected nonprofit to run a sexual harassment hotline that was hardly ever used, and that he did so in order to stay in the good graces of a powerful politician on LA Metro’s board. The allegations are the kind of local corruption sadly we see far too often across this country, in both parties.

“But a whistleblower who exposed the details of this alleged pay-to-play contracting scheme claims to have been retaliated against by Mr. Washington. After Mr. Washington left the LA Metro the agency settled these claims with the whistleblower for $625,000. I practiced law for a long time. you did as well. A $625,000 check is not a nuisance check. It’s not a “go away” check. It’s indicative that there’s a real there, there. Whistleblowers don’t get settlements for more than a half a million dollars if their claim is baseless.”

And, Cruz revealed that the criminal investigation in California is not expected to be complete for months, that Washington is alleged to have pushed through the contract to keep in the “good graces” of a powerful county supervisor, and that the White House hadn’t even asked the California Attorney General’s office for any details or timeline information on the investigation.

“Even more amazing, when my staff spoke with the California Attorney General’s office, the AG’s office told us that at the time they spoke they were not aware of anybody from the White House, from the FBI, or from the Senate who had even contacted them to ask about Mr. Washington’s ongoing involvement in the investigation. That’s truly stunning. That is, frankly, just not caring.

“It’s inexplicable to me that a president, that a White House would choose to nominate someone who is materially involved in a current ongoing public corruption investigation. Just imagine how damaging it would be to the FAA if Mr. Washington were confirmed and then months later he were to find himself indicted for public corruption. That would do real damage to an agency that needs serious trust in leadership.”

Something tells me that Mr. Washington did not want to see the whistleblower called to testify before the Senate, and that now-Ambassador to India Eric Garcetti didn’t want to see that either, since his office was also “materially involved” in the award of the corrupt contract.

Trending on RedState Video

Filed Under: <![CDATA[Eric Garcetti]]>, <![CDATA[FAA]]>, <![CDATA[LA Metro]]>, <![CDATA[Phil Washington]]>, <![CDATA[Ted Cruz]]>, News, Red State

UPDATE: CA AG Bonta Confirms Sheila Kuehl Criminal Investigation Is Ongoing – and Phil Washington Is ‘Materially Involved’

March 23, 2023 by Jennifer Van Laar Leave a Comment

Many of us in the Los Angeles area have been wondering what’s going on with the investigation into now former LA County Supervisor Sheila Kuehl and the no-bid contract to her friend Patti Giggans’ nonprofit, Peace Over Violence, for a sexual harassment hotline at LA Metro since the investigation was taken over by Attorney General Rob Bonta’s office.

We’ve received an update from perhaps one of the most unlikely places: from Capitol Hill, and from Sen. Ted Cruz (R-TX).

Readers will recall that one prominent name in the search warrants executed last September at Kuehl and Giggans’ residences and offices, and the office of LA Metro, was Phil Washington, former head of LA Metro. A whistleblower alleged that when she pointed out the waste in the contract, that Washington told her to go ahead with the payments anyway because he was doing it as a favor for Kuehl. Many news outlets glossed over that part, and Kuehl herself disparaged the whistleblower.

Most of the Los Angeles press also threw the whistleblower under the bus; just four days before the November election (in which they endorsed Robert Luna for Sheriff, who eventually ousted the incumbent Alex Villanueva) the Los Angeles Times published a two-fer hit piece, attacking both Villanueva and the whistleblower, whom they named. They even noted that the whistleblower had reached a $625,000 settlement with the county and was under an NDA, so she couldn’t defend herself, but attacked her anyway.

While Washington told the New York Times in December that the allegations had been “debunked” and reiterated on Wednesday that he had “nothing to hide,” during Tuesday’s proceedings Cruz gave an impassioned opposition to Washington’s nomination and gave an update on the status.

Cruz said:

“Unfortunately, the problems with Mr. Washington’s nomination don’t end with his lack of aviation experience. There are also serious concerns regarding outstanding allegations that Mr. Washington engaged in misconduct during his time as the head of the Los Angeles Metro. He has been named in multiple search warrants in an ongoing criminal public corruption investigation, and he’s been the subject of multiple whistleblower complaints.

One search warrant was executed just last September, not very long ago. It contained allegations that Mr. Washington pushed forward lucrative no-bid contracts to a politically-connected nonprofit to run a sexual harassment hotline that was hardly ever used, and that he did so in order to stay in the good graces of a powerful politician on LA Metro’s board. The allegations are the kind of local corruption sadly we see far too often across this country, in both parties.

But a whistleblower who exposed the details of this alleged pay-to-play contracting scheme claims to have been retaliated against by Mr. Washington. After Mr. Washington left the LA Metro the agency settled these claims with the whistleblower for $625,000. I practiced law for a long time. you did as well. A $625,000 check is not a nuisance check. It’s not a “go away” check. It’s indicative that there’s a real there, there. Whistleblowers don’t get settlements for more than a half a million dollars if their claim is baseless.

Cruz submitted a letter back on March 1 requesting that Biden withdraw the nomination due to these and other concerns, but (not surprisingly) Biden ignored it. On Wednesday, it was announced that the Senate is delaying consideration of Washington’s nomination.

Now, onto the status of the Kuehl/Washington investigation. Cruz said that the week before the confirmation hearings began his staff called the California Attorney General’s office to inquire about the status of the supposedly “debunked” investigation (emphasis mine):

Despite Mr. Washington’s insistence that he’s done nothing wrong, the Attorney General’s office stated, number one, that there is an ongoing criminal investigation into this public corruption scheme; number two, that Mr. Washington has a, quote, material involvement in the case, and number three, that the investigation is months from being completed.

Well, that’s encouraging. Perhaps since one of the people named isn’t a retired “legendary” legislator who likely has dirt on everyone (Kuehl), and is under the spotlight of Republicans in Washington, both Bonta and Gavin Newsom will be forced to actually investigate instead of sweeping it under the rug.

And lest those in Washington think this is just a partisan investigation, Cruz reminded them:

It’s important to note that the law enforcement officers involved in this investigation, from the LA County Sheriff to the California Attorney General, are all Democrats. There’s no issue of partisan targeting. there’s no Republican who has it out for Phil Washington. This is a Democrat sheriff and a Democrat attorney general in California who are investigating Mr. Washington right now for public corruption.

Even worse, Bonta’s office admitted that the inquiry from Cruz’s staff was the first inquiry they’d had about Washington’s involvement in the investigation:

Even more amazing, when my staff spoke with the California Attorney General’s office, the AG’s office told us that at the time they spoke they were not aware of anybody from the White House, from the FBI, or from the Senate who had even contacted them to ask about Mr. Washington’s ongoing involvement in the investigation. That’s truly stunning. That is, frankly, just not caring.

It’s inexplicable to me that a president, that a White House would choose to nominate someone who is materially involved in a current ongoing public corruption investigation. Just imagine how damaging it would be to the FAA if Mr. Washington were confirmed and then months later he were to find himself indicted for public corruption. That would do real damage to an agency that needs serious trust in leadership.

While stunning things happen in Washington daily, perhaps even hourly, this is, as Cruz says, truly stunning. We know that the Democrats in Washington don’t want to be told something they’ll have to deny knowing, and that’s likely why they didn’t call. And there’s no doubt that Biden has talked to Newsom about this at the very least, because local investigative journalist Cece Woods reports that when the search warrants were executed in September 2022, Biden was given copies by the Secret Service and wasn’t happy:

Washington-based sources tell The Current Report [that] President Biden, after reviewing the documents, immediately ordered an investigation into why the FBI was not involved in the raids.

The FBI was involved, but since Villanueva was there they couldn’t just hide evidence as Biden likely hoped.

Just how big is this investigation? Well, as Cruz noted, municipalities aren’t in the habit of just handing out $625,000 settlements for employment lawsuits, so that’s one indication. There’s also the likelihood that this whistleblower or others know about much more than just this one $800,000 no-bid contract, especially given the reaction by the local power players who were named in the warrant. Washington is a critical piece of this incident, as described by Cruz and also in the search warrant, which can be read below. And, as we will highlight in an upcoming piece, this recently-confirmed Ambassador to India Eric Garcetti’s office was heavily involved, with Patti Giggans of Peace Over Violence writing to Garcetti’s LA Metro Deputy, Dan Rodman: “Thank you, Dan, for that initial idea for METRO to do more.”

Transparency Signed MTA SW Redacted by Jennifer Van Laar on Scribd

Filed Under: <![CDATA[FAA]]>, <![CDATA[Joe Biden]]>, <![CDATA[LA Metro]]>, <![CDATA[Phil Washington]]>, <![CDATA[Rob Bonta]]>, <![CDATA[Sheila Kuehl]]>, <![CDATA[Ted Cruz]]>, News, Red State

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