Wednesday, May 30, 2007

Corporate Welfare CORRUPTION in La


Casting a pall over one of the few sectors of growth in Louisiana's struggling economy, federal investigators have opened a wide-ranging probe into possible abuse of generous tax credits offered by the state to lure film productions.

FBI agents have been in California in recent weeks to interview people in the production end of the film business, according to a source familiar with the probe. An East Feliciana Parish economic development official said he has been questioned by federal agents regarding the state's film office.

Meanwhile, a former state official has filed a whistleblower lawsuit alleging that his former boss at the Department of Economic Development took bribes from a New Orleans film production firm in exchange for steering more tax credits toward the company.