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* Opponents fear project sits on earthquake fault

* City says it has ordered more tests

* Developer of Hollywood towers calls allegations “baseless”

By Tim Reid

LOS ANGELES, Aug 7 (Reuters) – Opponents of a project to

build two skyscrapers in Hollywood on Wednesday accused the city

of Los Angeles, and the building developers, of conspiring to

hide their concerns about an earthquake fault that may run

underneath the site.

Citing emails and internal documents they received from Los

Angeles City Hall through California’s Public Records Act, the

group claims that city building safety officials and developers

of the Millennium Hollywood project discussed last year the

possibility that an active earthquake fault ran under the site.

The group, led by environmental attorney Robert Silverstein,

also accuses the developers, Millennium Partners, of conducting

a geological earthquake study in November last year, and then

failing to include the study in a subsequent Environmental

Impact Report.

The $664 million Millennium Hollywood project includes

construction of two high-rise towers that would dwarf the

landmark Capitol Records building. It would add more than a

million square feet of office, hotel and retail space to

Hollywood.

The project was approved by the Los Angeles City Council

last month and is supported by the city Mayor Eric Garcetti. But

opponents object to the radical change it will mean for the

Hollywood skyline, and claim it is dangerous because the

nine-mile Hollywood Fault runs through the area.

“The Hollywood Fault is considered active and appears to

exist in the vicinity of the subject,” a Los Angeles Department

of Building and Safety Official wrote in a letter to a city

planning official, according to one internal letter.

The letter, dated May 23, 2012, was one of several internal

communications provided by Silverstein, acting for a coalition

of 40 community groups that oppose the project.

Silverstein also released an email exchange between a city

official and an attorney for the developers in which they

discussed a 2010 California state survey that showed a fault

could run under the project site.

“These are smoking gun emails,” Silverstein said. “The city

and developer have been claiming that no evidence shows an

earthquake fault across the property.”

One problem is that nobody knows for certain exactly where

the Hollywood Fault lies. A state survey to properly map it is

not due to be completed until the end of this year.

Luke Zamperini, from the Los Angeles Department of Building

and Safety, denied Silverstein’s allegations.

“No one is trying to hide anything,” he said. “We have seen

no evidence that the project is on the fault. But if it is, they

will have to move it.”

The city has asked the developers to conduct further

geological tests and will review the results of the state survey

when it’s complete.

Millennium Partners, the developers, say they did their own

geological testing and found no evidence of the fault underneath

the site.

In a statement, Philip Aarons, founding partner of

Millennium Partners, called Silverstein’s allegations

“baseless.”

“We have agreed to do further subsoil investigations,” he

said. “We are 100 percent committed to building a safe project.”

(Reporting by Tim Reid; Editing by Ronald Grover and Lisa

Shumaker)