Fleishman-Hillard & the controversy on overbilling the Los Angeles Department of Water and Power/External Links

In late 2003, Fleishman-Hillard's Los Angeles office was embroiled in controversy over the firm's $3 million PR contract with the Los Angeles Department of Water and Power (DWP). In April 2005, Fleishman-Hillard agreed to pay $5.7 million to settle the lawsuit brought against it by the city of Los Angeles.

These links relate to the article Fleishman-Hillard & the controversy on overbilling the Los Angeles Department of Water and Power.

External links

Articles By Dowie

• Doug Dowie, "Walk in His Shoes: Convicted of Overbilling the L.A. DWP, Doug Dowie Shares His Experience", Lawdragon, April 3, 2007.

General Articles

• Anita Chabria, "ANALYSIS: 'Pay-to-play' political deals could cost PR public's trust", PR Week, March 1, 2004.
• Anita Chabria"Fleishman-Hillard opts out of three LA government contracts", PR Week, April 21, 2004.
• Douglas Quenqua, "Fleishman unit to help clients work with government", PR Week, July 12. 2004.
• Reporter sees F-H code violation, O'Dwyers PR Daily, May 6, 2004.
• Ralph Frammolino and Ted Rohrlich, "PR Firm Routinely Overbilled DWP, Former Employees Say," Los Angeles Times, July 15, 2004.
• "Dept. of Waste and Power", Editorial, Los Angeles Times, 14 July 2004.
• Ted Rohrlich and Ralph Frammolino, "L.A. Plans to Sue PR Firm Over DWP Bills: City officials react to allegations that Fleishman-Hillard defrauded the utility", Los Angeles Times, July 16, 2004.
• Ted Rohrlich, Ralph Frammolino and Patrick McGreevy, "PR Exec Placed on Paid Leave: Fleishman-Hillard, accused of falsely billing the DWP, removes the former head of its L.A. office. Los Angeles sues the company", Los Angeles Times, July 17, 2004.
• "PR Flap Showers Criticism on the DWP", (letters to the editor) Los Angeles Times, July 18, 2004.
• "Dowie sent home as L.A. Attorney plans fraud suit against Fleishman-Hillard, The Holmes Report, July 19, 2004.
• "Firm accused of overcharging LA agency puts executive on leave", Associated Press, July 17, 2004.
• Noam N. Levey, "Acting Head of DWP Resigns; Mayor seeks a 'change of direction,' but says it has nothing to do with allegations related to a PR firm's contract", Los Angeles Times, July 21, 2004
• Noam N. Levey, "PR Firm Billing Inquiry Expands; Alleged overcharging of DWP has L.A. officials scrutinizing Fleishman's work for port, airports", Los Angeles Times, July 23, 2004.
• David Streitfeld, "PR Firm in Billing Probe Failed to Take Own Advice; Fleishman-Hillard delayed doing damage control as L.A. inquiries grew, observers say", Los Angeles Times, July 26, 2004.
• "Public relations firm accused in LA issues new ethics rules", Associated Press, July 29, 2004
• "Graham outlines F-H reforms", O'Dwyers PR Daily, July 29, 2004.
• John Graham, "Important message", O'Dwyers PR Daily, July 29, 2004.
• Anita Chabria, "Chick turns down Fleishman bill for its port work", PR Week, August 9, 2004. (Subscriber access only).
• Noam N. Levey and Patrick McGreevy, "Corruption Probe Seeks Hahn E-Mails; Federal investigators demand computer messages from the mayor and his top staff", Los Angeles Times, August 13, 2004.
• Amnada Bronstad, "Controller Looks At Subcontracts For DWP Work", Los Angeles Business Journal, August 9, 2004. (Pay per view).
• Anita Chabria, "Subcontractor for Fleishman caught up in LA imbroglio", PR Week, August 16, 2004. (Subscriber access only).
• John N. Frank, "Fleishman to help PepsiCo highlight healthy products", PR Week, August 9, 2004.(Subscriber access only).
• Anita Chabria, "LA adds Dowie, two more deals to Fleishman lawsuit", PR Week, September 20, 2004. (Subscriber access only).
• Thom Weidlich, "ANALYSIS The Agency Business : PR firms look to PACs to add structure to political donations," PR Week (sub. req'd.), October 11, 2004.
• Patrick McGreevy, "Publicist Wants City Suit Against Him Dismissed; Executive denies telling workers to overbill L.A., and calls the legal action frivolous. Controller Chick's audit of the firm's work is due soon", Los Angeles Times, November 13, 2004. (Sub req?d).
• "Audit claims Fleishman-Hillard overbilled LA by more than $4 million", St Lois Times Dispatch, November 16, 2004. (This is a syndicated Associated Press story).
• Patrick McGreevy, "L.A. Utility Overbilled by $4.2 Million, Audit Says," Los Angeles Times, November 17, 2004.
• David Zahniser, "Documents detail relationship between city, PR firm?, Copley News Service, November 17, 2004.
• Noam N. Levey, "Firm Billed DWP for Work Tied to Hahn; Records show publicists had long meetings with the mayor's deputies. He denies impropriety", Los Angeles Times, November 18, 2004. (Sub req?d)
• New Age Media Concepts, "Post details: Fleishman-Hillard Accused of Overbilling to the Tune of $4 Million", Media release, November 19, 2004.
• Noam N. Levey, "Firm's Efforts for Hahn Sizable; Fleishman was paid by L.A. utility, but worked closely with mayor's staff to hone his image]", Los Angeles Times, November 19, 2004.
• Noam N. Levey, "Mayor's Use of PR Firm Criticized; L.A. leaders want Hahn to pay for work billed to the Department of Water and Power", Los Angeles Times, November 20, 2004.
• Anita Chabria, "LA Audit reports $4.2M in overbillings by Fleishman", PR Week, November 22, 2004. (Sub req?d).
• Julia Hood, "Fleishman?s situation in LA is a problem the entire PR industry will need to overcome", PR Week, November 22, 2004.
• Mathew Creamer, "[Fleishman wages own PR battle over charges in L.A.; Ready for court; city claims it was overbilled $4.2M]", Advertising Age, November 22, 2004.
• "F-H hits audit report, admits mistakes", O?Dwyer?s PR Daily, November 24, 2004. (sub req?d)
• James Nash, "Hahn's P.R. freebie: Taxpayers foot the bill to showcase mayor", Los Angeles Daily News, Novenber 28, 2004.
• James Nash, "DWP deaf to '02 alarm: Agency auditors issued warning", Los Angeles Daily News, December 2, 2004.
• Richard S. Kline, "DWP got money's worth in P.R. contract: Fleishmann-Hillard helped agency through deregulation, energy crisis", Los Angeles Daily News, December 2, 2004.
• Noam N. Levey, "Villaraigosa Attacks Hahn Over PR Billing", Los Angeles Times, December 10, 2004. (Registration req'd).
• Richard S. Kline, "Fleishman-Hillard Defends Its DWP Work", Los Angeles Times, December 12, 2004. (Registration req'd).
• Patrick McGreevy, "Firm Seeks to Move Lawsuit; Fleishman-Hillard cites fear of biased jurors in plea to transfer case to Ventura County", Los Angeles Times, December 18, 2004. (Registration req'd).
• "F-H fears biased jury", O'Dwyers PR Daily, December 20, 2004.
• "PR company accused of bilking Los Angeles wants new venue for trial", KESQ 3 News, December 21, 2004. (This is an Associated Press story).
• Rick Orlov, "'Frankly, I'm getting a little tired': Hahn says investigations are taking much too long", L.A. Daily News, December 27, 2004.
• "Year Ends With Questions Surrounding City Hall: Hahn Seeks Re-Election In 2005", NBC TV 4 (Los Angeles), December 29, 2004.
• James Nash, "Touted 'Green Power' running out of steam", L.A. Daily News, January 5, 2005.
• "One year late?: Will 2005 deliver on 2004's false promise of accountability?, Los Angeles Daily News, December 31, 2004.
• James Nash, "DWP saw overbilling", Los Angeles Daily News, January 1, 2005.
• Noam N. Levey, "Magazine 'Awed' by Chick's Scrutiny of DWP Billing", Los Angeles Times, January 3, 2005. (Registration required)
• "Zine Seeks Disclosure of Agency Audits", Los Angeles Times, January 4, 2005. (Registration required)
• "Fleishman-Hillard executives who had LA account depart PR firm", San Jose Mercury, January 6, 2005. (This is an Associated Press story).
• "Green(back) power", L.A. Daily News, January 7, 2005.
• "Former Fleishman-Hillard Exec Indicted", KABC TV Los Angeles, January 13, 2004.
• Ralph Frammolino and Ted Rohrlich, "PR Executive Indicted in 'Pay to Play' Probe", Los Angeles Times, January 14, 2005.
• Patrick McGreevy, "PR Firm Gets Final Notice on Bills: L.A. Controller Chick gives Fleishman-Hillard 10 days to justify $533,000 in disputed charges before she urges council to reject them", Los Angeles Times, January 19, 2005.
• Patrick McGreevy, "Venue Change Is OKd in PR Billing Case", Los Angeles Times, January 20, 2005.
• James Nash and Rick Orlov, "Thousands raised for Hahn defense:Rivals say mayor fears probe", L.A. Daily News, January 20, 2005.
• "Image problems: Fleishman-Hillard can't seem to spin its way out of a bad reputation in L.A.", L.A. Daily News, January 23, 2005.
• Amanda Bronstadt, "Charges Seen as Way to Widen Probe", Los Angeles Business Journal, January 24, 2005.
• Beth Barrett, "More city PR bills padded: Account involves Hahn press aide", L.A. Daily News, January 23, 2005.
• Rick Orlov, "Chick memo rips mayor: Challengers get Hahn assessment", L.A. Daily News, February 04, 2005.
• Amanda Bronstad, "Fleishman’s Woes in L.A. Unlikely to Garner Much Attention From Its Multinational Parent", Los Angeles Business Journal, February 7, 2005.
• Ted Rohrlich, "Another Indictment Is Expected in PR Billing Probe", Los Angeles Times, April 12, 2005.
• Jeffrey Anderson, "The Ghosts of Dan Carvin: Paying the price for mishandling fat legal bills", L.A. Weekly, April 15-21, 2005.
• Anita Chabria, "Fleishman settles with LA for $5.7 million, releases memo," PR Week (sub. req'd.), April 19, 2005.
• "PR Firm Settles Los Angeles Suit for $5.7M," Associated Press, April 20, 2005.
• "Councilman Seeks Scrutiny of Settlement", Los Angeles Times, April 21, 2005.
• David Zahniser, "Are trinkets given to Port of L.A. officials gifts or graft?: One official calls such items part of a "suck-up culture," but others say they aid business relationships", Daily Breeze, May 10, 2005. (This is a Copley News Service story).
• "City Accepts $5.7 Million to Settle PR Billing Suit", Los Angeles Times, May 18, 2005.
• Noam N. Levey, "Hahn Was Unable to Connect With City: The understated son who inherited a magical family name becomes the first one-term mayor of Los Angeles since the Great Depression", KTLA, May 18, 2005. (This is a syndicated Los Angeles Times report).
• Ted Rohrlich and Ralph Frammolino, "Former PR Official Indicted in DWP Overbilling Probe", Los Angeles Times, June 3, 2005.
• "Former Fleishman-Hillard executive charged in billing scandal surrenders", MercuryNews.com, June 4, 2005. (This is an Associated Press story).
• "Ex-PR firm executive pleads innocent in alleged LA billing scam", MercuryNews.com, June 6, 2005. (This is an Associated Press story).
• Amanda Bronstad, "Update: Former Fleishman-Hillard Executive Sugerman Pleads Guilty", Los Angeles Business Journal, June 9, 2005.
• Ted Rohrlich and Ralph Frammolino, "PR Exec Pleads Guilty in Phony Billing Scheme", Los Angeles Times, June 9, 2005.
• "Ex-Fleishman-Hillard executive pleads guilty in LA billing scam", San Jose Mercury News, July 11, 2005. (This is an Associated Press story).
• Beth Barrett, "Fraud defendant wants lie-detector test admitted", L.A. Daily News, August 19, 2005.
• "LA judge bars former PR chief's polygraph test from trial", The Mercury News, October 14, 2005. (This is an Associated Press story).
• Anita Chabria, "Former Fleishman executives' LA trial facing 2006 delay", PR Week, October 21, 2005. (Sub req'd).
• "Trial delayed for two former PR execs charged in LA billing scam", The Mercury News, October 25, 2005.
• Jean Guccione, "2 Accused of Billing Fraud Go on Trial: Prosecutors say the men bilked L.A. taxpayers out of about $325,000. They are the first to be prosecuted in a state and U.S. 'pay-to-play' probe", Los Angeles Times, April 3, 2006.
• Jean Guccione, "U.S. Lays Out Case Against Ex-Fleishman-Hillard Exec", Los Angeles Times, April 6, 2006.
• Edvard Pettersson, "Ex-Fleishman-Hillard official used LA as 'cash cow,' prosecutor says", Bloomberg, April 7, 2006.
• Jean Guccione, "Billing Trial Opens With Statements: Ex-Fleishman-Hillard executives overbilled DWP for thousands of hours, prosecutor says. They were unaware of problems, defense says", Los Angeles Times, April 7, 2006.
• Beth Barrett, "DWP exec doubted bills", Los Angeles Daily News, April 8, 2006.
• Jean Guccione, "Shaken by PR Firm's Bill for Martini", Los Angeles Times, April 8, 2006.
• Jean Guccione, "Executive Describes Padding PR Bills: Ex-Fleishman-Hillard vice president testifies she was told to overbill the DWP by her boss, defendant John Stodder", Los Angeles Times, April 12, 2006.
• John Spano, "DWP Overbilling Case Witness Admits Making Misstatements During Probe: A former employee of Fleishman-Hillard sticks to her basic story that the firm padded its bills", Los Angeles Times, April 13, 2006.
• John Spano,"Another Worker Indicts Executive in Billing Case: Following her boss to the stand, she testifies that Fleishman-Hillard's John Stodder issued instructions to falsify firm's DWP invoices", Los Angeles Times, April 15, 2006.
• John Spano, "Judge Rules Witness `Hostile': The rare move gives prosecutors in PR overbilling case more latitude in questioning", Los Angeles Times, April 19, 2006.
• "Former LA PR executive says he was ordered to overbill clients", The Mercury News, April 27, 2006. (This is an Associated Press story).
• Beth Barrett, "VP warned he'd reveal overbilling: Muir denies 'blackmailing'", LA Daily News, April 27, 2006.
• John Spano, "Ex-PR Exec Testifies He Falsely Billed: Steven Sugerman says a defendant so directed him. Defense lawyer cites prosecution deal", Los Angeles Times, April 28, 2006.
• John Spano, "Jurors See Deposition by Former PR Exec", Los Angeles Times, April 29, 2006.
• Randi Schmelzer, "Sugarman directs testimony squarely at Dowie", PR Week, May 1, 2006. (Sub req'd).
• John Spano, "Dowie Rests Fraudulent Billings Case Without Taking the Stand", Los Angeles Times, May 3, 2006.
• John Spano, "Final Arguments Expected Today in Billings Trial: The case against two ex-Fleishman-Hillard executives accused of overbilling PR clients is expected to go to the jury Friday", Los Angeles Times, May 4, 2006.
• John Spano, "Both Sides Make Final Pitch to Jurors in the Dowie Trial", Los Angeles Times, May 5, 2006.
• Randi Schmelzer , "Colorful closing arguments as Dowie verdict looms", PR Week"", May 7, 2006. (Sub req'd).
• John Spano, "Dowie's Civil Case Is Dealt a Blow: A judge tentatively rules the ex-executive failed to prove he was wrongly fired from PR firm", Los Angeles Times, May 9, 2006.
• John Spano, "Dowie, Aide Guilty on All Counts in Bill Scam", Los Angeles Times, May 17, 2006.
• John Spano, "Juror Describes Dowie as Arrogant: A panelist says the PR exec thought there was no way he'd be caught in the overbilling scheme", Los Angeles Times, May 18, 2006.
• "Former PR Executive Sentenced In Wire Fraud Case", CBS 2, September 18, 2006. (This is an Associated Press story).
• Patrick McGreevy, "City Hall overbilling case comes to a close: A former subcontractor of Fleishman-Hillard agrees to pay $1million to settle claims it couldn't substantiate invoices it submitted", Los Angeles Times, November 9, 2006.
• John Spano, "Judge delays Dowie's sentencing in fraud case: Judge will let the defense challenge the method of calculating the length of the PR executive's term", Los Angeles Times, January 9, 2007.
• Rick Orlov, "Convicted PR exec sues old employer", LA Daily News, February 15, 2007.
• Randi Schmelzer, "Dowie files suit against Fleishman", O'Dwyers PR Daily, February 16, 2007. (Sub req'd).
• "Dowie sues for legal fees from Fleishman Hillard", Los Angeles Times, February 17, 2007.
• "For the Record", Los Angeles Times, February 22, 2007. (This is a correction to clarify that Dowie was convicted on charges of "involving $500,000 in overbilling" not $6 million as mentioned in an earlier article).
• Kevin Roderick, "Dowie and Stodder can stay home", LA Observed, June 20, 2007.
• Joe Mozingo, "Convicted PR executive is free on bond: PR executive convicted of defrauding L.A. taxpayers wins another reprieve from starting his 31/2-year sentence", Los Angeles Times, June 22, 2007.
• David Ferrell, "Schwarzenegger Elevates Former Mayor Hahn: Judge Jimmy's 'rehabilitation' is now complete", LA Weekly, November 25, 2008.

City of Los Angeles audit reports and documentation

• Office of the City Controller, "Financial and Compliance Contract Audit of Fleishman-Hillard, Inc.", Media Release, City of Los Angeles, November 16, 2004.
• Office of the City Controller, "Contract Compliance Audit of Caraway Group, Inc., a Subcontractor of Fleishman-Hillard, Inc.", City of Los Angeles, November 16, 2004.
• Office of the City Controller, "Audit Of Fleishman-Hillard, Inc. - Billing Reports", City of Los Angeles, November 16, 2004. (From this page pdfs of the Fleishman-Hillard monthly billing sheets can be downloaded).

Grand Jury Indictment

• "John Stodder Grand Jury Indictment", January 13, 2005. (The file is a 1mb pdf).