News

Former San Diego Mayor Lost $1 Billion Over Gambling; Must Undergo Treatment For 'Addiction'

By Staff Writer | February 14, 2013 09:13 PM EST

Former Mayor Lost $1 Billion Over Gambling in San Diego
(Photo : Flickr)

Maureen O'Connor, the former San Diego mayor and fast-food heiress acknowledged in federal court of draining $2 million from her late husband's charitable foundation to fund her addiction to video poker and lost $1 billion over the course of a decade.

O'Connor is now facing charges of money laundering and she pleaded not guilty as part of a deal with federal prosecutors that will defer the charges for two years as she works to repay the debt.

Like Us on Facebook

According to a news release from U.S. Attorney Laura E. Duffy O'Connor must also pay state and federal income taxes on the more than $1 billion she won gambling between 2000 and 2009 and undergo treatment for her "addiction." And she lost most of it gambling in San Diego, Las Vegas and Atlantic City.

The government by early 2008 said, O'Conner had "incurred large, outstanding gambling debts at a number of different casinos. Prosecutors said it was between September 2008 and March 2009 when O'Conner' drained the foundation of its assets. She admits to taking the money however maintains that it was "loans" that she intended to repay.

Eugene Iredale, attorney for O'Conner stated that his client had severe health problems, including a brain tumor that led to her gambling addiction, according to NBC.

O'Conner after serving eight years on city council became the first female mayor of San Diego. She was married to Jack-in-the-Box founder Robert O. Peterson from 1977 until his death in 1994. Her estate was worth $40 to $50 million at one point.

Featured

Editorial 10.31.14 | 07:12AM EDT

K-Pop Mixtape: Halloween Thrills And Chills

Here is our playlist of some of the strangest and creepiest videos in K-Pop, just in time for your Halloween celebrations.

Oversea Event 10.31.14 | 06:57AM EDT

B.A.P Will Go Up Against One Direction & 5 Seconds Of Summer For MTV EMA Worldwide Act Award

B.A.P is representing Korea and Japan for the MTV EMA Worldwide Act Award and are up against some pretty serious competition. Voting is open now and will run through November 8.

Editorial 10.30.14 | 07:55AM EDT

Big Three Korean Entertainment Companies Going Up Against Each Other In November

Korea's top three record labels YG, SM, and JYP will turn up the pressure this November with high profile comebacks and debuts.

Editorial 10.29.14 | 06:52PM EDT

YG Entertainment's Latest 'Who's Next?' Teaser Offers Several Tantalizing Options

A second teaser image from YG Entertainment is calling on fans to guess which of the company's artists will be the next to release new music. Who could it be? Let's weigh our options.

KpopStarz Is Looking For Enthusiastic Entertainment Contributors Reach Millions On The Web.
Real Time Analytics