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DWP trusts paid for steak dinners, trips to Hawaii, Las Vegas, audits find
Two nonprofit trusts created by the Los Angeles Department of Water and Power and financed with more than $40 million from ratepayers paid millions to vendors without competitive bids, overpaid top managers and let them charge personal travel, gasoline and other items without filing expense reports, city audits released Thursday showed.
In five years, a handful of trust employees charged more than $660,000 to their publicly financed credit cards for things such as steak dinners and trips to Las Vegas, Hawaii and New Orleans, City Controller Ron Galperin said.
However, Galperin said, auditors did not find evidence of criminal wrongdoing.
One top administrator, who was making about $220,000 a year, used his trust-issued card for more than $30,000 worth of gas between 2010 and 2014, city auditors found.
The release of the audits ended a more than year-long political and legal battle waged against the city by the nonprofits' top administrators — particularly Brian D'Arcy, head of the city-owned utility's largest employees' union — to keep detailed spending records secret.
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