Wealthy Businessman Linked to New Orleans Mayor Indicted on Federal Corruption Charges

by Xara Aziz
Paul Murphy/WWL Louisiana

A convicted tax fraudster and his building inspection company were indicted on Friday on new federal corruption charges, which directly implicate New Orleans Mayor LaToya Cantrell in a conspiracy, according to a WWLTV report. Businessman Randy Farrell faces a 25-count indictment, including charges of fraud and conspiracy to commit fraud with “Public Official 1,” who is clearly referenced as Cantrell, though her name is not explicitly mentioned. According to former federal prosecutor Matt Chester, this effectively makes Cantrell an unindicted co-conspirator.

Farrell’s attorney, Rick Simmons, issued a statement denying any wrongdoing by Farrell or his company, IECI & Associates, accusing federal prosecutors of misusing information Farrell provided after his earlier guilty plea for tax fraud.

The indictment details how Farrell allegedly purchased over $9,200 in gifts for Cantrell, including tickets to the New Orleans Saints’ 2019 NFC Championship Game, an upscale lunch at Ruth’s Chris Steakhouse, and a new iPhone. Prosecutors claim that, in return, Cantrell had a city official fired who was investigating Farrell for misconduct.

The indictment also reveals a large-scale permitting fraud scheme involving unsafe electrical work at multiple properties. Farrell is accused of using licensed electricians to secure permits for jobs that were actually performed by unlicensed workers. The properties where this occurred are named in the indictment, highlighting the threat to public safety. Chester noted that while the safety concerns are significant, the corruption allegations involving city officials will likely dominate the headlines.

In addition to implicating Cantrell, the indictment alleges that Farrell also bought gifts for “Public Official 2,” identified as Chief Administrative Officer Gilbert Montano, the mayor’s top deputy. These gifts included tickets to the 2020 College Football National Championship Game, for which Farrell allegedly paid $3,600.

A trove of text messages between Farrell and his business partner, convicted felon Fouad Zeton, a friend of Cantrell, is central to the indictment. The messages show that after buying the mayor gifts, Farrell pushed for the firing of Jennifer Cecil, the deputy director of Safety and Permits, who was investigating his fraudulent permits. After Cantrell attended the lunch at Ruth’s Chris, Cecil was fired, and Farrell texted Zeton, exclaiming, “The b—- is gone!” Zeton then reportedly texted Cantrell to thank her for resolving the safety and permits issue.

Farrell’s attorney claims the lunch at Ruth’s Chris was simply a birthday celebration for Zeton and his nephews, with Cantrell as a guest, and denied that it was a bribe. The defense asserts that Farrell was merely exercising his First Amendment right to complain about the dysfunctional Safety and Permits Department.

Montano, who was also implicated in two criminal counts, expressed surprise at the allegations and stated that while he had attended the National Championship Game in a suite, he never accepted gifts in exchange for favors.

“It’s discouraging. You know, you spend all these years trying to fix and make something better,” Montano told the publication. “And to be in the same conversation that I would sell my integrity and my hard work and all my ethics for tickets? Tickets are not worth, any kind of controversy associated with this.”

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