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City Council Member Lian Resigns Following Moonlighting Accusations

City Council Member Lian Resigns Following Moonlighting Accusations
City Council member Caroline Lian resigns following D.C. ethics investigation. NBC News 4 YouTube screen capture.

The breaking news story seemed tailor made for Washington, D.C. – not Falls Church, Virginia.

The Deputy Director of Buildings for the nation’s capital had been fined $25,000 for moonlighting as a risk management director with Freddie Mac while on the D.C. Government’s $175,000 a-year dime. 

In a pandemic era twist, the fine was issued when it was discovered that the administrator’s “telework” schedule provided an opportunity for working the two jobs undetected and remotely for an extended period.

But, the shocker came with just who that Deputy Director was: Falls Church City Council member Caroline Lian, serving on the Little City’s Council since Jan. 1.

On X, yesterday evening, News 4 D.C. reporter Mark Seagraves posted: “Deputy director of DC Dept of Buildings resigns after being fined $25,000 for secretly having a second job with Fannie Mae and serving as a council member for the city of Falls Church while on DC government time.”

Turns out, he was supposed to say Freddie Mac.

Then, this morning the City of Falls Church’s Communications Office announced that Council member Lian had “resigned her council seat effective today, August 8, 2024.” Lian’s City Council term had been set to run until Dec. 1, 2025.

“Ms. Lian’s council resignation follows an article in The Washington Post published Aug.7, describing a finding by the District of Columbia’s Board of Ethics and Government Accountability Office, that Ms. Lian had not properly reported outside employment, resulting in her resignation from the District,” a City of Falls Church press release said. 

“The Post article prompted the City to review Ms. Lian’s most recent annual Financial Disclosure, known as “Virginia State and Local Statement of Economic Interests.”  

“Upon review, the City discovered that the former council member listed only Freddie Mac as her employer and did not disclose her employment relationship with the District of Columbia. Following procedures set forth by state code, the City has relayed this information to the Commonwealth’s Attorney for investigation,” said Mary Catherine Chase, spokesperson for the City of Falls Church.” 

Prior to resigning, Lian spoke yesterday with The Falls Church News-Press. According to a News-Press article posted yesterday evening at 8:45 p.m., Lian was “hit with the fine last week. She told the News-Press in an exclusive interview last night that the matter resulted from a ‘clerical error’ on a disclosure form that has been corrected, concerning the fact she also worked for Freddie Mac and on the F.C. City Council. She said she’s resigned her position with the D.C. Department of Buildings as a result of what she called a 'very petty' action against her. ‘I’ve corrected the form, paid the fine, and now I am moving on,’ she said." 

After sleeping on it last night, however, City Council member Lian threw in the towel.

According to The Washington Post, “...While [Lian] did disclose her public position as a Falls Church legislator, [the ethics report] found that on more than 10 occasions [she] attended to city council business and meetings on D.C. work days without logging time off. She also underreported her compensation as a council member, which Lian told investigators was an error that she has since corrected.”

“According to the negotiated settlement,” the Post reported, “Lian worked a hybrid work schedule at DOB, typically coming into the office on Mondays and Fridays while teleworking Tuesdays, Wednesdays and Thursdays.

At Freddie Mac, she also worked a hybrid schedule — the opposite one, in which she came into the office on Tuesdays, Wednesdays and Thursdays, according to the BEGA.”

Council Member Lian’s City of Falls Church Biographical Backgrounder

As of press time, the City's biographical backgrounder for Council member Lian reads:

Caroline Lian

Council Member Caroline Lian is serving her first term on the Falls Church City Council. She and her husband, Andrew, moved to Falls Church in 2006 and have two sons currently attending Falls Church City Public Schools. 

Caroline is a naturalized citizen who immigrated from Indonesia to Northern Virginia in 1979. She attended the University of Virginia and holds a Bachelor of Arts in Biology. 

Caroline has over twenty-six years of professional work experience. She started her career in Financial Services at Ernst & Young Consulting in 1995 and moved to investment banking with JP Morgan. From 2008 – 2011 she worked for the District of Columbia Government as Chief Operating Officer for the Office of the Chief Technology Officer (OCTO) and DC Public Schools (DCPS). 

After government service she worked for private equity and consulting firms taking leadership roles executing mergers, integrations, and product development. Since 2015 Caroline has worked in the affordable housing markets to develop and launch national lending programs targeted at increasing homeownership rates for low to middle income homebuyers. 

In the Falls Church City community Caroline enjoys serving our schools as a room parent, coach, and events volunteer. She is a member of the FCCPS Elementary PTA, Mary Ellen Henderson PTA, and a supporter of the Falls Church Education Foundation. She is a member of the Greater Falls Church Chamber of Commerce. 

Prior to her term on City Council she served fifteen consecutive years as a Board Member for a nonprofit supporting youth and career mentorship, a DC public charter school, and an affordable housing nonprofit. 

Term: January 1, 2022 – December 31, 2025 

Memberships

Budget and Finance Committee Liaison to: 

Human Services Advisory Council (Civic) Greater Falls Church Chamber of Commerce 

Regional Organizations

Northern Virginia Regional Commission (Alternate) Metropolitan Washington Council of Governments (MWCOG) 

Board of Directors MWCOG Food and Agriculture Regional member Policy Committee


By Christopher Jones