DWP Official Pleads Not Guilty To Fraud Charges
LOS ANGELES (CBS) — A Department of Water and Power plumbing supervisor pleaded not guilty on Friday to charges alleging that he and two others were involved in a plot to divert public funds.
Los Angeles Superior Court Judge Hilleri G. Merritt ordered Anthony Mark Carone, 49, to remain jailed in lieu of $1.5 million bail pending his next court appearance Nov. 8.
Carone is charged along with Akbar Fonooni, 55, who worked for the DWP as a fire protection engineer, and Troy Mitchell Holt, 45.
The three are accused of one count each of conflict of interest and misappropriation of public funds and two counts of conspiracy to commit a crime.
The criminal complaint, filed this week, alleges that the crimes occurred between July 2003 and December 2009.
At a late afternoon hearing, attorney Vicki Podberesky told Merritt that Carone is a veteran DWP employee and father of two children and is "not going anywhere." She asked for his bail to be lowered to $400,000.
Deputy District Attorney Gary Nielsen countered that Carone had been an "insider...who could control where DWP money was spent."
Outside court, Nielsen said Carone and Fonooni allegedly spent $3 million using so-called "P cards" — purchase cards from the DWP that are similar to credit cards — to buy items at mark-up prices from companies set up by Carone and Holt.
"We don't know how much was actually delivered to the DWP," Nielsen said after the hearing.
Fonooni is believed to be outside the United States, while Holt is still awaiting arraignment.
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