Arizona Politics

Lake Comments on Apparent Hobbs Scandal, 'Always Knew She Was Unethical'

Governor Katie Hobbs (D-AZ) is facing serious allegations after evidence has suggested her involvement in a 'pay-for-play' scheme with Sunshine Residential Homes. This potential scandal, which could have far-reaching implications for the state, has drawn the attention of her former rival for Governor, now running to represent Arizona in the Senate, Kari Lake (R). Lake, not surprised by the allegations, expressed her concerns during a recent appearance on NewsMax's Chris Salcedo Show, but did not expect Attorney General Kris Mayes to investigate Gov. Hobbs properly.

For additional context, last week, the Arizona Republic reported on how the Arizona Department of Child Safety (DCS) approved 60% more for what Sunshine Residential Homes, a foster care facility, charges to care for each child in its program per day, which increased since Gov. Hobbs took office amidst pay cuts to other facilities.

Where the suspicion comes in is the fact that Sunshine Residential Homes' CEO is Simon Kottoor, who sat on Hobbs' inaugural committee and personally donated to the Governor's campaign. Sunshine Residential Homes also donated to the campaign.

Maricopa County Attorney Rachel Mitchell, a prominent Republican figure, and the Arizona Auditor General initiated the investigation. However, over the weekend, AG Mayes, a key player in the state's legal system, took over the criminal probe, effectively halting the separate investigations.

"It would not be appropriate or in the best interest of the state to conduct parallel investigations into the same matter. Furthermore, a separate process conducted by the MCAO could jeopardize the integrity of the criminal investigation that my office will now proceed with," Mayes told Mitchell.

Lake posted the clip discussing the investigation to X (formerly Twitter), where she said, "We've always known @KatieHobbs was unethical. She abused her power as Secretary of State & ran her own election for Governor. If @KrisMayes does an actual investigation of this pay-to-play scheme instead of the cover-up, we all expect, I'd bet it's the tip of the iceberg on the corruption coming out of Hobbs' office."

Grayson Bakich

Grayson Bakich is a Florida and Arizona legislative correspondent for The Floridian and Cactus Politics, specializing in national and state-level politics. With three years' experience covering federal Florida, and Arizona politics, they have been cited by NewsBreak, SGT Report, Lucianne.com, and Cause Action. Email: grayson@dnm.news

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