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Insomniac says it expects CEO to be arrested in Coliseum scandal

March 22, 2012 |  2:14 pm

Insomniac statement regarding Coliseum arrests A second company with ties to the Los Angeles Coliseum said Thursday they anticipate that their chief executive will be arrested by investigators from the District Attorney's Office.

The statement suggests that Insomniac Events CEO Pasquale Rotella has been indicted, but is out of town on business. He making plans to return quickly to deal with the matter. He would become the fourth person to be arrested in connection to alleged malfeasance involving Coliseum management and rave or event companies they did business with.

On Thursday morning, authorities arrested Patrick Lynch, the former longtime general manager of the Coliseum and the companion Sports Arena, at his home in Torrance. Todd DeStefano, former events manager at the Coliseum, was arrested at a friend's home in Venice. Authorities also arrested Reza Gerami, chief executive of the rave promotion company Go Ventures, at his home in Malibu.

Gary Jay Kaufman, attorney for Insomniac Events, issued a statement saying that although the D.A.'s office is looking to arrest Rotella, he is innocent.

"Pasquale Rotella has always acted lawfully and appropriately with respect to all of his dealings with the Coliseum. Any allegations of wrongdoing on the part of Mr. Rotella by the District Attorney are completely baseless and flat-out wrong, both on the law and on the facts," Kaufman said.

Kaufman said Insomniac's actions were transparent and approved by Lynch and his staff.

"Any charges against Mr. Rotella are clearly politically motivated and publicity driven," Kaufman said.

The Coliseum and Insomniac came under scrutiny following the overdose death of a 15-year-old girl following a June 2010 concert.

In the ensuing months, citing state records and interviews, The Times reported that firms owned by DeStefano, the events manager, had been paid at least $1.8 million from two rave producers –Insomniac and Go Ventures -- and a number of other companies that did business with the stadium, all while he helped regulate them in his government job -- an arrangement Lynch approved, despite state laws that generally prohibit such side dealings.

The District Attorney's Office has not disclosed the nature of the allegations against those arrested.

The Coliseum has become mired in charges of conflicts of interest, spending irregularities and loose accounting that have eroded its fiscal foundation and all but bankrupted its future as one of the nation's most-storied public landmarks.


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