Source: Probe into LA city attorney includes review of wife

LOS ANGELES - A federal probe of Los Angeles City Attorney Rocky Delgadillo includes a review of whether his wife paid taxes on the income earned from her consulting firm, according to sources familiar with the case. The disclosure, cited by anonymous sources in a Los Angeles Times story on Tuesday night, came one day the San Francisco Chronicle reported the FBI had launched a criminal investigation of Delgadillo. The FBI declined to comment on the matter. Last year Michelle Delgadillo's consulting business C.R.D. Inc. had failed to file state tax returns and operated for years without a required city tax registration certificate, according to the Times. The state Franchise Tax Board suspended the business in 2005 for not filing returns. Now FBI agents have expressed interest in at least two firms that hired C.R.D. _... [read full story]