Loza, Graham's Chief of Staff, Arrested

Ted Loza, the chief of staff for Ward One D.C. Councilman Jim Graham, has been arrested and indicted on bribery charges for promoting taxicab legislation in exchange for cash.

The indictment unsealed Thursday in federal court says Loza took bribes from an unidentified person in the taxicab industry. According to court papers, that person provided "cash, the use of vehicles and trips."

In exchange, Loza agreed to help promote a limit on the number of D.C. taxicab licenses. Later, the person sought an exception for hybrid taxi cab vehicles.

Graham is chairman of the Committee on Public Works and Transportation with oversight of the D.C. Taxicab Commission.

Loza, 44, faced a judge around 6 p.m. Thursday.

He is accused of taking at least $1,500 in cash in exchange for influencing taxi cab legislation. All of it was caught on tape by the FBI, according to court documents.

According to the indictment, Loza took the money from a person described in the indictment as someone involved in "long standing and corrupt efforts to limit the number of taxi cab licenses and to create an exemption to that limitation."

According to the indictment, Loza said he was taking the money because he needed it.

Late Thursday afternoon, the FBI left Jim Graham's suite of offices at the Wilson Building with several boxes. Agents spent hours going through the office space used by Loza.

Sources say agents also searched Loza's home and another office in the Wilson Building.

Graham said he learned of the investigation not from the FBI, but from Loza himself. Graham says he is baffled by the charges since Loza had little to do with taxi cab legislation.

"Mr. Loza has never spoken to me, to my recollection, about any taxi cab bill," Graham told FOX 5. "He may have been-- again I want to see the indictment-- he may have been in meetings where it was discussed, but I recall no situation where Mr. Loza asked me to do anything for him what so ever."

According to the indictment, the FBI has Loza on tape accepting a bribe. It reads, in part:

Individual 1: I have something, I have something for you.

Loza: I'm, I'm just happy to see you all the time.

Individual 1: Yeah, I know. It's for you.

(Individual 1 handed an envelope containing $1,000 in cash to Loza)

Loza: What is this for, though? Just a gift? A Father's Day gift?

Individual 1: Yes, sir.

Loza: What do you want me to do? What do you want me, I'll talk to (public official 1) and I can call you back later on---

Individual 1: Okay.

Jim Graham says he has done nothing wrong and will cooperate fully with the FBI and the U.S. Attorney's office.

"Absolutely, absolutely I have had no engagement with any illegal or unethical behaviors," said Graham.

No charges have been filed against Council Member Jim Graham.
Cameras we rolling at a Metro board meeting on Thursday when Graham excused himself after learning his chief of staff was arrested at home and was in the custody of federal agents.

After Loza was released from custody, his attorney would not give details about the case.

"We fully believe that once the evidence is put in front of a jury that he will be be completely vindicated," said Pleasant Brodnax, Loza's attorney.

Graham told FOX 5 he was placing Loza on paid administrative leave.

"I never had a conversation with Teddy Loza where he came to me and said, 'Will you do this, will you do that,'" Graham said on Thursday.

Mayor Adrian Fenty said Thursday afternoon he had not spoken with Graham about the allegations.

"No, not about this particular matter. I will continue to talk to him about a number of other issues," Fenty said.

The judge ordered Loza to turn in his passport and not to leave the D.C. area until his next court hearing. Loza's attorney says it won't be long before he is able to knock down all the allegations against his client.
 

LINK: READ THE INDICTMENT

Councilmember Graham letter to constituents following Loza arrest:

Dear Friends,

I was deeply upset and deeply saddened to learn that Ted Loza was arrested yesterday by the FBI on charges of taking a bribe.
As my constituents, I want you to know --
I have not personally engaged in any illegal behavior or activity.
What Teddy allegedly did in no way influenced any action I took on legislation. Indeed, Teddy generally is not involved, nor is he consulted on legislative matters which are instead handled by myself and our committee staff.
As I said to FBI agents yesterday, I will fully cooperate with their investigation bringing forth all of the information relevant and needed.
I have placed Teddy on administrative leave effective yesterday, with pay, until there are further developments. Teddy--like all of us-is entitled to a presumption of innocence until proven guilty.
If you have concerns or questions, please let me know--as always--by using this direct email address for me.

Sincerely, Councilmember Jim Graham  

______________________________

Council Chairman Vincent C. Gray issued the following statement