Prosecutors showed video of former chief of staff to D.C. Councilman Jim Graham collecting cash from a member of the taxicab industry as lawyers argued Tuesday over how much time the ex-aide should spend behind bars.
Prosecutors are seeking a sentence of 14 months for Ted Loza — the top end of the sentencing guidelines. Loza’s attorneys are asking for probation, noting that although Loza has admitted to accepting more than $7,000 in cash, plus trips, limousine rides and meals, he did not commit bribery.
In February, Loza pleaded guilty to two felony charges of accepting illegal payments and a misdemeanor for making a false statement on a D.C. government financial disclosure form.
Prosecutors said Loza was a key figure in helping his conspirators attempt to capture the District’s taxicab market and his actions were tantamount to accepting a bribe.
“The defendant’s offenses of conviction did not occur in a vacuum,” Assistant Attorney John Crabb Jr. wrote in a sentencing memorandum.
Prosecutors played video showing Loza, 45, accepting an envelope containing $1,000 in cash.
“What do you want me to do?” Loza asks before answering his own question. “I’ll talk to Graham. And I can call you back later on.”
Eleven days later, Graham introduced the requested legislation, which would limit the number of taxicab licenses that would be issued while making an exception for the conspirators’ company.
The sentencing hearing will resume Wednesday. A date for the sentencing has not been scheduled.
Graham has not been charged with any crime and has repeatedly denied any wrongdoing.
Graham was one of more than 110 supporters who wrote the U.S. District Judge Paul L. Friedman on behalf of Loza.
“It is no exaggeration to state that [Loza] had profound impact on D.C. services relating to immigration, generally, and to the Latino community in particular,” Graham wrote. “Of course, his contribution extended as well to all the residents of our ward and city.”
Loza was arrested in September 2009 after a two-year investigation that resulted in the arrest of 39 people. Leon J. Swain Jr., former head of the D.C. commission, helped law enforcement officials after he told authorities that taxicab members tried to bribe him. Swain, a former D.C. police officer, went undercover for the FBI. Over the course of a year, taxi industry members gave him about $250,000 in bribes.
The conspirators formed a company, and Loza planned to join the company after leaving Graham’s office, prosecutors said.
At the same time, as chief of staff for Graham, Loza worked to limit the issuance of the taxicab licenses with an exception that would benefit the company.
Four of Loza’s co-conspirators have pleaded guilty and face between nearly six years and nine years.
Information from the Associated Press was used in this report.
