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Officials in Allentown say a recent FBI raid of Allentown City Hall should not slow the dramatic economic development that is occurring in its downtown.

But it could be a different scenario in Reading, where an FBI raid of City Hall could hurt a nascent recovery in a downtown that does not have the enticing tax incentives enjoyed by Allentown.

Regardless, an ongoing federal probe centered on construction contracts issued by municipal officials in the two cities is heating up. There is speculation that the FBI is looking into a potential connection between the awarding of city contracts and political contributions – and people are watching.

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(via Brian Pedersen of lvb.com)