L.A. Council Backs School Audit
Tensions between City Hall and the Los Angeles Unified School District broke out into the open Tuesday, with Mayor Antonio Villaraigosa calling for a municipal audit of the school system and Superintendent Roy Romer describing the initiative as a “political campaign.” The City Council voted 12-0 to endorse City Controller Laura Chick’s bid to carry out an $800,000 audit of the LAUSD, one which would be paid for by the school system and focus on district spending, the Daily Breeze reported. But Romer said Chick is trying to accomplish her goals through a barrage of press conferences and releases and argued the district is already making strides by improving test scores.
Allergan-Inamed Deal to Close Next Month
Irvine-based Allergan Inc., maker of the Botox anti-wrinkle treatment, agreed to buy Santa Barbara-based Inamed Corp., which last week ended an agreement to be acquired by Medicis Pharmaceutical Corp., for $3.42 billion in cash and stock. Inamed shareholders would get either $84 in cash or 0.85 Allergan share per Inamed share, or an equivalent combination of stock and cash. Forty-five percent of the deal would be in cash and 55 percent in stock. The deal is expected to close in January, Bloomberg News reported.
Non-profits Panel Puts Getty on Probation
The Council on Foundations, the main industry group for the nation’s non-profits, said Tuesday that it has placed the J. Paul Getty Trust on probation for 60 days after the trust failed to turn over all the information requested for an investigation into its financial practices. The council began its inquiry in June, spurred by reports in the Los Angeles Times that the Getty’s chief executive, Barry Munitz, had spent the trust’s money on lavish pay, travel and perks. The Getty did not turn over any records requested by the council until this month, trust officials acknowledged. The Getty’s probation was the first ever imposed by the council, acting under a new ethics policy adopted last year.
Buena Vista Fined in Price-Fixing Case
France’s antitrust regulator on Tuesday slapped a $17.2 million fine on Buena Vista Home Entertainment Inc., a unit of The Walt Disney Co., and three French retailers for fixing home-video prices between 1995 and 1998, the Associated Press reported. The antitrust watchdog said the four companies were guilty of “particularly serious infractions.” Buena Vista Home Entertainment was fined $3.7 million, Carrefour SA $6.8 million, Casino Guichard-Perrachon SA $3.8 million and Selection Disc Organisation SA $2.9 million.
Electricity From Edison to Cost More
A hike in the price of natural gas used to generate electricity is forcing Southern California Edison to raise rates for some customers starting next month. The first increase of 6 percent will kick in Jan. 1, followed by another 6 percent jump in February. In November, rates will rise an additional 3 percent. Edison territory covers much of Los Angeles County outside the city of L.A., including the Santa Clarita and Antelope valleys, as well as Ventura County. Tier-one and tier-two residential electricity users those who use the least electricity in their homes won’t see an increase in bills, the Associated Press reported.
County Tightens Enforcement in Political Races
The county Board of Supervisors voted Tuesday to strengthen the county’s campaign finance law, giving Registrar-Recorder Conny McCormack the authority to levy fines up to $5,000 per violation. The amended ordinance prohibits the Board of Supervisors, district attorney, sheriff, assessor and other officeholders in schools, community college and special districts from accepting more than $1,000 per donor and soliciting or accepting donations from registered lobbyists, the Daily News of Los Angeles reported. Before politicians are fined, McCormack will notify them of a violation and set a hearing date for them to challenge the fine. No one will be fined if they return a contribution within 30 days of becoming aware of a violation.
