HANO ex-consultant admits taking bribes
Company paid him $45,000, officials say
Thursday, November 16, 2006
West Bank bureau
A former consultant to the Housing Authority of New Orleans pleaded guilty to bribery, federal officials announced Wednesday.
James Lozano, 54, of Atlanta, pleaded guilty to bribery in connection with the use of federal funds, according to a press release from U.S. Attorney Jim Letten, Special Agent in Charge James Bernazzani of the New Orleans FBI office and Special Agent in Charge Thomas Luke of the Department of Housing and Urban Development's inspector general's office.
Lozano was a HANO consultant for the construction of the Fischer Senior Housing Village in Algiers. Federal officials say Lozano was paid about $45,000 in bribes to influence HANO to pay invoices to a construction company that had been in a dispute with the housing agency.
Lozano faces up to 10 years in prison and a $250,000 fine. Sentencing is scheduled for Feb. 13.
According to court documents, the construction company, which was not named, would receive money from HANO after it submitted payments for portions of the project that it completed and an architect inspected the work.
HANO hired Columbia Highlands, the consulting firm Lozano worked for, to try to clear the impasse when a conflict arose between the construction company and the architect.
The owner of the construction company and Lozano came to an agreement under which the company would send bribes to Lozano using third parties to hide the source of the funds, according to court documents.