Community Corner

Consumer Advocate to Disband in Wake of Grand Jury Probe

UCAN, noted for advocacy on ratepayer and fuel issues, is subject of federal investigation in response to internal complaints.

The San Diego-based Utility Consumers Action Network, which for decades has provided information on utilities and gas prices, is dissolving in response to a subpoena from a federal grand jury related to allegations of embezzlement, the organization has announced.

On its website, UCAN said allegations of embezzlement, the use of private bank accounts for hiding money, failure to comply with state audit requirements, engaging in unlicensed legal activities and entering into illegal contracts have been lodged against its senior management.

"However, no evidence confirming such allegations was provided by those lodging allegations, nor discovered by any of the professionals retained by UCAN's board," according to UCAN.

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The subpoena was delivered Feb. 22.

Board members retained lawyers last year in response to lawsuits threatened by staffers, according to the statement. Filing an intention to dissolve with the court would help resolve its legal issues, UCAN said.

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UCAN said it would continue its work as a ratepayer advocate while it is dissolved. The UCAN website is a popular source of information on gas prices.

 

– City News Service


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