Los Angeles, US Housing Fraud Settlement Finalized by Judge (2)

US prosecutors and Los Angeles saw approval of a $38 million settlement in the government’s 13-year False Claims Act suit alleging that the city failed to comply with disability requirements in housing supported by federal funds.

The settlement is fair, adequate, and reasonable despite whistleblower Mei Ling’s objection to the deal, Judge Philip S. Gutierrez of the US District Court for the Central District of California said in a Thursday order. The government faced an “onerous” task to establish its claims against Los Angeles at trial, which weighs in favor of approving the settlement, Gutierrez said. “The government’s barriers of ...