Gran Plaza developer arrested in L.A.

LOS ANGELES — The developer of the Gran Plaza outlet center in Calexico was arrested Wednesday morning in connection to federal bribery charges related to business dealings in the city of Los Angeles.

According to a statement released by the U.S. Department of Justice, Arman Gabaee allegedly paid monthly bribes to a Los Angeles County employee over the course of six years, and submitted offers to purchase a residence in Santa Rosa for that employee for more than $1 million in exchange for obtaining a $45 million lease from the county.

The criminal complaint filed by federal prosecutors allege Gabaee paid the employee $1,000 or more a month in exchange for leases, non-public information and other benefits.

The complaint states the main goal of the alleged bribes was to get the county to enter into a 10-year, $45 million lease to rent space for the Department of Public Social Services and other county departments at one of his properties.

Federal Bureau of Investigation agents arrested Gabaee at his residence and charged him with one count of bribery.

According to the information released by DOJ, the employee said to have received the bribes had “significant autonomy to contractually bound the county” and is now working in cooperation with the FBI.

“Business leaders who use their wealth and influence to corrupt our government are a scourge on our community,” U.S. Attorney Nicola T. Hanna said. “No one, no matter how prominent or wealthy, is above the law.”

Although the alleged crimes did not occur in Imperial Valley, the arrest of Gabaee could thwart the expansion and improvement projects for Gran Plaza.

Last year, Imperial County and the City of Calexico applied for a $3 million grant from the U.S. Economic Development Administration to fund infrastructure improvements along the right of way along West Second Street in Calexico.

The planned improvements included upgrades to its sewer system, storm drain system, improvements to the water system, surfacing improvements and underground utilities. Also, the developer had sought a $5 million loan from the state’s Community Development Block Grant — Over the Counter Program in order to enclose the shopping center.

As of Friday evening, the Imperial Valley Press couldn’t verify whether the EDA grant or the loan had been approved.