Former New Orleans inspector pleads not guilty in federal fraud case

Disclaimer: All persons are presumed innocent until proven guilty.

NEW ORLEANS ( WGNO ) — Former city inspector Randy Farrell plead not guilty in federal court to a 25-count federal indictment accusing him of wire fraud, conspiracy to commit wire fraud and honest services fraud.

Walking out of federal court, Farrell spoke to the media, proclaiming his innocence and explaining there are two sides to the story. His company, IECI, previously conducted inspections for the city of New Orleans.

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Farrell is accused of using unlicensed electricians to perform work, then approving it under the ruse that licensed electricians did the work. Prosecutors accuse him of allegedly bribing "Public Official Number One," who is believed to be Mayor LaToya Cantrell , in order to get her to fire a city employee who found out what was going on.

Farrell says the government has it all wrong and that there are holes in their case.

"We have done over a thousand inspections in the city of New Orleans, proud to say we have done them and don't have complaints. I'm just very mad to say this has come to this. We are not going to fight on the steps, but there will be more when we go to court. Do your investigation there is a lot more to the people pointing fingers and they have three fingers pointing back at them," said Farrell

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"There may be additional evidence and information that would be something that he or the attorney would view. He can start cooperating with the United States government and give information against other people higher up on the food chain, including public official number one, which would be ostensibly the mayor," said WGNO legal analyst Cliff Cardone.

In court, it came up that Farrell spoke with a witness in the indictment, causing the judge to say going forward, he can only speak to those in the indictment if it involves business.

If found guilty, Farrell could face 20 years and a $250,000 fine. His bond has been set at $5,000.

Farrell is due back in court for a pre-trial hearing on Dec. 5. The trial is scheduled to begin on Dec. 16.

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