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Group Files Ethics Complaint Against California Rep. Richardson

June 18, 2008 2:05 p.m. EST

Kris Alingod - AHN News Writer

Washington, D.C. (AHN) - A non-profit watchdog group has filed an ethics complaint against Rep. Laura Richardson (D-CA), who has been plagued by negative publicity for defaulting on payments for three homes in California.

Citizens for Responsibility and Ethics in Washington (CREW) filed the complaint with the House Committee on Standards of Official Conduct on Wednesday. The group said in a statement it wanted the panel to investigate whether Richardson "accepted a loan in violation of the House gift rule, failed to properly report a loan on her financial disclosure statements, and engaged in conduct that does not reflect creditably on the House by loaning her campaign money at a time when she was in default on her mortgage."

Richardson's home in Sacramento was sold at a foreclosure auction last month to real estate broker James York. She had purchased the three-bedroom house for $535,000 with no down payment and a subprime mortgage in January 2007. Richardson's lender, Washington Mutual Bank, issued York a letter to rescind the sale early this month.

Richardson, who was elected in August 2007 to replace the late Rep. Juanita Millender-McDonald, is in danger of losing two other homes, one in Long Beach and another in San Pedro.

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