On Monday, instead of spending time to address the foreclosure crisis that is particularly catastrophic in his Sacramento-area district, Rep. Dan Lungren (R-Calif.) was raising money seven hours south in Newport Beach at a luncheon hosted by prominent Southern California real estate interests—not one of which was a constituent of his.
In particular, housing interests were well represented at the event, and the Congressman took money from mortgage brokers, real estate agents, and foreclosure services alike, filling his campaign coffers with the money of those who have profited from the underwater mortgages of California homeowners.
Some of the most notable figures that Lungren met with include:
- Dale Dykema, CEO and founder of TD Services, a company that describes itself as one of the nation’s largest and most successful foreclosure processing firms.
- David Bahnsen, Senior VP at Morgan Stanley, a firm that recently settled a case out of court for allegedly misleading homeowners over home mortgage aid, as well as another one for false reporting of risk on credit default swaps.
- Wealthy Southern California real estate developers Doy Henley and Frank Jao.
- Influential lobbyists Marshall Linn and Paul Glaab, who have extensively represented the real estate and development industry.
It’s no secret that Lungren and real estate interests have had a cozy relationship, and the industry has rewarded him with over $517,000 in campaign contributions, making this his most heavily relied-on industry, according to the Center for Responsive Politics.
Lungren faces a tough general election, and spending time raising money hours away from his own district may make constituents wonder if he’s working for them in Washington, D.C.—or for his special interest friends in Los Angeles.