LA DA investigating several firms for possible false sex abuse claims

Los Angeles County District Attorney Nathan J. Hochman said Wednesday that Downtown LA Law is "one of the law firms" being "aggressively" investigated over allegations attorneys paid people to file false juvenile sexual abuse claims against the county, leading to a $4 billion settlement.

Last month, an additional $828 million settlement was reached for over 400 claimed survivors who said they were abused at county probation facilities for juvenile offenders.

Hochman said his office is implementing a fraud hotline for claimants who willingly confess to lying about their case, which will not alleviate prosecution against them entirely, but will be a consideration factor.

This hotline will not apply to attorneys and law firms, Hochman said.

"If you come to us first, and you truthfully, fully cooperate in this investigation, then your statements will not be used against you in any criminal prosecution against you. ... That is our commitment," Hochman said.

"Now, this does not apply to any lawyer. It does not apply to any law firm. It does not apply to anyone who assisted a lawyer or law firm. It does not apply to any medical provider or professional involved with this. This offer is only to ... the claimants or plaintiffs in these lawsuits. And we are encouraging you, strongly, before we come and get you."

The matter stems from a $4 billion settlement the county agreed to pay this year for roughly 11,000 victims who said they were abused as minors in Los Angeles County's at the now-closed MacLaren Hall foster care facility, with claims dating back to 1959. The deal was approved by the county's Board of Supervisors in April without any discovery. Jane Doe 1 et al. v. County of Los Angeles 21STCV20949 (L.A. Super. Ct., filed June 3, 2021).

Downtown LA Law has declined to issue any statement since it denied involvement in alleged fraudulent misconduct in an Oct. 16 Los Angeles Times article.

A Times report accused the prominent personal injury firm of inducing people to file claims for abuse they never suffered.

A clerk at the firm's Los Angeles headquarters who answered a phone call Wednesday directed media inquiries to a marketing email. The firm did not respond to two messages sent to that address before press deadline.

In reference to the landmark settlement, Hochman said that "a huge number of these claims are valid claims. ... But it sadly attracted fraudsters." He described those "fraudsters" as people who "never suffered sexual abuse at the hands of Los Angeles County" and saw the settlement as an opportunity to seek "free" money.

"And not only did the claimants get involved with this ... every one of these claimants has an attorney that's representing them," Hochman added.

"With respect to these fraudsters - and we estimate that there are a significant number of fraudsters involved - we're going to go after them aggressively. We're going to go after them to put them behind bars. We're going to go after them to send a message to any potential fraudulent claimants in the future, including the lawyers and law firms, that if you want to try and rip off Los Angeles County ... and rip off sex abuse survivors, you will be arrested, you will be prosecuted and you will be punished," Hochman said.

During questioning at Wednesday's press conference, Hochman said he was aware of Downtown LA Law's alleged role in the misconduct but declined to disclose further details about any attorney "fraudsters" or how false claims are being identified. He cited the early stages of the investigation as the primary reason.

"They are one of the law firms we are focusing on, but we're not limiting it to just the Downtown LA Law Group. Any law firm that submitted any claimant - if that claimant turns out to be fraudulent - we will take a very strong and thorough look at how that fraudulent claim came to be."

While the exact number of plaintiffs represented by Downtown LA Law in the settlement remains unclear, media reports suggest it is more than 2,000.

California's Assembly Bill 218, enacted in 2020, lifted the statute of limitations for childhood sexual abuse claims and allowed survivors to file civil lawsuits that were previously time-barred. Thousands of alleged victims in Los Angeles County came forward in the following years, which built the foundation of what is now among the largest sexual abuse resolutions ever reached with a U.S. public entity.

Lawsuits in the $4 billion settlement stemming from the now-closed MacLaren Hall foster care facility are assigned to Superior Court Judge Elaine Lu.

Lawsuits stemming from Camp Joseph Scott and other county-run facilities are assigned to Superior Court Judge Lawrence P. Riff. Jane BP1-B Doe et al. V Doe et al., 22STCV25961 (L.A. Super. Ct., filed Aug. 11, 2022).

Lawsuits stemming from alleged abuses in private foster homes are assigned to Superior Court Judge Laura A. Seigle. T.H. v. Doe 1 et al., 21STCV22707 (L.A. Super. Ct., filed June 17, 2021).