Ex-MTA Buyer Accused of Taking Kickbacks
A former assistant buyer for the Metropolitan Transportation Authority was accused Tuesday of violating the state’s conflict-of-interest law by accepting thousands of dollars in cash kickbacks from a businessman who received about $400,000 in MTA contracts.
The state Fair Political Practices Commission alleged that Rudy R. Regalado, who left the MTA late last year, received the cash from the owner of three companies that supplied fire extinguishers, helmets, safety equipment and services to the agency.
In a 59-page complaint, the commission alleged that Regalado “received cash kickbacks in exchange for purchase orders and other contracts” for businesses owned by John Raymond Park.
State law prohibits public officials from making, participating in making or using their official position to influence a decision in which they have a financial interest.
From February 1994 to March 1996, the FPPC alleged, Regalado awarded purchase orders or authorized change orders for the purchase of goods or services from Park.
Regalado was accused of 113 violations of the state’s conflict of interest law because he allegedly received the kickbacks from Park in 1994 and 1995 and awarded the MTA contracts to Park’s businesses.
FPPC attorney Mark T. Morodomi said Regalado received thousands of dollars, but less than $10,000, from Park. The maximum fine for the civil violations is $226,000.
Regalado and his attorney could not be reached for comment. Nor could Park, who was served with the complaint at Tehachapi State Prison, Morodomi said.
Park operated three companies--P&P; Fire Protection, Safety Alliance Fire Protection and Sure Shot Safety Supplies--based in Cerritos and La Mirada. The firms sold and serviced fire extinguishers and provided safety goggles, helmets and other equipment to the MTA.
Regalado worked for the MTA and one of its predecessors, the Southern California Rapid Transit District, for 16 years, before he left the agency in December.
The Regalado matter is the latest corruption case involving the MTA, which oversees construction of the massive Metro Rail subway project and operates three rail lines and the nation’s second largest bus system.
Former MTA insurance chief Abdoul Sesay was sentenced to federal prison for accepting bribes in exchange for awarding contracts. Insurance contractor John D. McAllister and consultant Gilda A. DeSmith also were sentenced to federal prison for paying the bribes to Sesay.
Jeannie I. Johnson, a former acting controller of the MTA, was convicted of mail fraud in a separate matter and was sentenced to federal prison.
In addition, federal investigators, along with the MTA inspector general’s office, are engaged in a wide-ranging probe of Los Angeles Councilman Richard Alatorre’s financial affairs, including his role as an MTA board member.
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