Las Vegas Sun

March 28, 2024

Malone provides proof of collateral for bond

SUN STAFF AND WIRE REPORTS

Former Clark County Commissioner Lance Malone remains free today after providing proof to a federal magistrate in San Diego that he had the assets to cover a $240,000 bond.

Malone, charged in a federal political corruption case in San Diego, appeared before U.S. Magistrate Nita Stormes with his attorney, Jerome DePalma, this morning to prove he had the assets to pledge as collateral for his release.

Stormes warned Malone last week that he would be jailed unless he did so.

DePalma said that his client had provided most of the information that Stormes requested at a hearing Thursday but still needed to turn over a title report and an appraisal on his Las Vegas home at today's hearing.

Malone demonstrated Tuesday that the equity in his home and his sports utility vehicle together were worth $240,000, and Stormes lowered the bond to reflect his assets.

Malone was indicted along with strip club owner Michael Galardi and others Aug. 28 on charges that they made illegal campaign contributions to three San Diego city councilmen to influence them to loosen restrictions on adult businesses.

Malone has pleaded not guilty to charges of wire fraud, extortion and racketeering in the case.

Galardi, who owns Cheetahs, Leopard Lounge and Jaguars in Las Vegas and Cheetahs in San Diego, originally pleaded not guilty to the same charges, but has since pleaded guilty to one count of conspiracy to commit wire fraud. He has also agreed to testify for prosecutors in the case.

Malone and Galardi are both reported to be targets of a parallel political corruption investigation in Las Vegas, but no indictments or charges have been released in that case.

The Las Vegas investigation became public after Galardi's clubs and office were raided on May 14, the same day that the San Diego councilmen's offices were searched by authorities.

Clark County Commission Chairwoman Mary Kincaid-Chauncey, former commissioners Erin Kenny and Dario Hererra, and former Las Vegas City Councilman Michael McDonald are all alleged targets or subjects in the investigation that has been going on for more than two years.

Kenny has reportedly told friends and supporters that she is working with authorities.

In San Diego, three city councilmen are accused of accepting illegal payments from Galardi, Malone, and the manager of Cheetahs San Diego, John D'Intino, in order to change a law that restricted dancers and customers from touching at strip clubs. The matter never made it onto the agenda of a council committee that reviews proposed laws.

All three councilmen, Charles Lewis, Michael Zucchet and Ralph Inzunza, have maintained their innocence.

A "no touch" ordinance similar to San Diego's was considered and initially passed by the Clark County Commission last year before being repealed.

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