'For the good of the city': Maryland governor calls on Baltimore mayor to resign after FBI raids
Maryland Gov. Larry Hogan called on Baltimore Mayor Catherine Pugh to resign after FBI and IRS agents raided two of her homes and City Hall in a scandal over the sale of her "Healthy Holly" children's books.
"Mayor Pugh has lost the public trust," Hogan, a Republican, said in a statement. "She is clearly not fit to lead. For the good of the city, Mayor Pugh must resign."
Pugh, a Democrat, went on indefinite paid leave this month for what her office said were health issues.
Five of her staffers are also on paid leave.
The probe began after Hogan, responding to newspaper reports, called on the office of the state prosecutor to begin a criminal investigation into the allegations of wrongdoing that he called "deeply disturbing."
FBI spokesman Dave Fitz said multiple agents were “executing court-authorized search warrants” at “both residences and City Hall.”
Agents were also gathering evidence at a third location, an adult training center Pugh once ran, The Baltimore Sun reported.
The mayor’s spokesman, James Bentley, said he had no immediate comment on the raids.
Pugh is being investigated by the Maryland Office of the State Prosecutor over the sales of her children's book to organizations doing business with the city and to the University of Maryland Medical System, where Pugh is a member of the volunteer board of directors.
The medical system paid Pugh more than $500,000 for copies of the books while she served on its board, according to the Sun. The books are aimed at promoting exercise and good diet.
Other groups, such as health insurer Kaiser Permanente, bought books at a time when the city's spending board, where Pugh sits and which she controls, awarded the company a $48 million contract to provide health insurance to city employees, the Sun reported.
After initially calling the inquiries into the medical center sales a "witch hunt," Pugh apologized for the "regrettable mistake," resigned from its board and returned the money.