Property owners who received an $850,000 loan from the Carson Redevelopment Agency must return the money because they acquiesced to the mayor's demand for a $75,000 bribe, the Second District Court of Appeal has ruled.
The property owners contended the court did not have to void the loan agreement because the corrupt public official did not have a direct interest in the agreement. They also argued that the court should consider remedies other than disgorgement of the $850,000. The court expressed sympathy to the property owners, but said that legal precedent and public policy mandated the case's outcome.
"A public contract obtained through an extortion payment is not valid, and no one should believe that it is valid. A bright line rule is …

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