Medical marijuana growers arrested
A former Atascadero resident and two medical marijuana growers were arrested for having a better than expected crop. The growers, licensed to produce 9.4 pounds of marijuana, were arrested by Oregon...
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Author: Karen Velie
First Bank of San Luis Obispo out of the woods?
First Bank of San Luis Obispo, a small local bank under the umbrella of Pacific Capital Bankcorp, has been having a rough time lately, with federal regulators demanding they come up with sufficient capital or face a possible...
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Judge won’t allow Dan De Vaul’s appeal
Superior Court Judge Michael Duffy disagreed with Dan De Vaul’s lawyers’ arguments that misconduct by Judge John Trice had tainted the jury. Due to Trice’s fear of something becoming public, the...
Read MorePasolivo: How much is the ranch really worth?
Editor’s note: This is the second and final article in a series of stories examining how the development of Pasolivo olive ranch was funded through Estate Financial Inc. and how the San Luis Obispo County Superior Court-controlled asset is being managed by the wife of a convicted Ponzi scheme operator.
By KAREN VELIE
Shortly after the District Attorney’s office filed 26 felony charges of fraud against Estate Financial Inc. (EFI) principals Joshua Yaguda and Karen Guth, they froze the pair’s personal assets, and put Yaguda’s wife at the helm of the Pasolivo olive ranch.
Read MoreWhere does Settle live?
By KAREN VELIE
During the past four months, police and fire have responded to a San Luis Obispo house owned by City Councilman Allen Settle at least three times. The visits, prompted by complaints about noise, suspicious activities and an illegal fire, have some facing a sensitive question.
The question is: Who really lives in the house?
Read MoreEstate Financial principals plead guilty to all charges
By KAREN VELIE
The North County mother-and-son team who ran Estate Financial Inc. have been convicted of fraudulently selling securities without the proper licenses, lying to investors, and stealing or destroying property worth $3.2 million.
Estate Financial owners Karen Guth and her son, Joshua Yaguda, pleaded guilty today in the San Luis Obispo Superior Court to 26 felony counts and five enhancements.
Read MoreCounty sex scandal reveals misdeeds
By KAREN VELIE
In addition to detailing the improper relationship Gail Wilcox engaged in with a sheriff union negotiator, the recently released investigative report commissioned by the San Luis Obispo County Board of Supervisors unveils how government leaders conspired to hide “corruption” from the public.
In an e-mail, made public in the report, former County Administrator David Edge offers Wilcox, his second in command, suggestions on how to protect herself from the possible ramifications of her affair with a married union representative she was negotiating against. Edge laments that if the media discovers the conflict of interest it will be labeled corruption.
Read MoreWilcox’s Mr. X unveiled
By KAREN VELIE
The much-anticipated County investigative report reveals Gail Wilcox was terminated due to an affair with the married Executive Director of the Deputy Deputy’s association Tony Perry.
The brief relationship coincided with the early 2009 negotiations between the County and the association. Perry negotiated for the association while Wilcox acted as chief labor negotiator for the county.
Read MoreWilcox’s person X still a mystery
Attorneys continued to battle over the release of the investigation report that led to the firing of Assistant County Administrator Gail Wilcox in court earlier today.
Judge Barry LaBarbera said he needed time to read the report before moving forword with a decision, and depending on how fast he reads, the identity of person X could be released later today
“I need to make a knowing, balanced decision,” LaBarbera said. “I am in a quandary here.”
Read MoreState investigation of public works scandal nearing end
By KAREN VELIE
(EDITORS’ NOTE: Following CalCoastNews’ continuing investigations into the alleged theft of public funds by county workers, concerned employees have come forward with allegations that millions in public monies have been stolen and threats of retaliation repeated.)
State investigators continue to investigate claims a few high ranking public works employees have absconded with public funds and used San Luis Obispo County contracts and equipment to personally enrich themselves, a handful of county employees said. County officials claim the investigation is expected to end soon.
Read MoreWilcox to fight release of investigation report
Attorney David Warren announced he plans to apply for an order to block all or part of the investigative report that led supervisors to terminate Assistant Administrative Officer Gail Wilcox, according to County Counsel Warren Jensen.
Findings from the investigation resulted in the San Luis Obispo County Board of Supervisors’ decision to fire Wilcox under allegations she violated her duty to maintain exemplary behavior and to avoid conflicts of interest due to a personal relationship. County officials have remained silent regarding the mystery person’s identity. Though insiders claim the report is “shocking and salacious.”
Read MoreSheriff candidate allegedly cheated on test
By KAREN VELIE
Former police officers have charged that sheriff candidate Ian Parkinson’s brother provided him the answers to sergeant promotion essay questions in 2001.
Police officers, vying for one open sergeant position, answered three essay questions designed to test their writing and leadership abilities. For applicants, the essay questions, a multiple choice written exam, and an oral test offered not only a chance at a promotion, but also a pay raise.
Read MoreCounty employees accused of theft of public funds
By KAREN VELIE
County officials continue to threaten whistleblowers while the state has mounted an investigation into the theft of county resources by at least two employees, according to inside county sources.
A handful of county employees, who claim they are tired of threats of retaliation by their supervisors, have provided details to CalCoastNews of how Road Maintenance and Operations Manager Randy Ghezzi and Road Maintenance Supervisor Max Keller have used public funds for personal gain.
Sources outline a long list of alleged misappropriations such as supervisors instructing county employees to do carpentry work at the Ghezzi and Keller homes while on the county clock. County employees also describe Keller and Ghezzi commandeering county equipment such as welders, mowers, backhoes, trucks, and trailers for personal gain.
Read MoreUPDATE: Additional allegations surface against local charity
By KAREN VELIE
Amidst a flurry of questions about how local attorney Eric Parkinson disperses donations earmarked for the needy, his supporters have changed their stories repeatedly to dispute allegations of misappropriations while a reporter in Sri Lanka voices new allegations.
Last week, CalCoastNews reported that Parkinson took out more than 60 percent of monies donated to the VeAhavta nonprofit, a Sri Lanka orphanage and senior care facility Parkinson manages from San Luis Obispo, before sending the remaining monies to a self-declared cleric alleged to have defrauded donors from throughout the world.
Read MoreHFI’s Jay Miller forced into bankruptcy
By KAREN VELIE
Several investors in Hurst Financial Inc’s (HFI) hard money lending schemes thrust HFI President Jay Miller into involuntary Chapter 7 bankruptcy citing Miller’s failure to repay loans he personally guaranteed.
Before their meltdown a little more than a year ago, HFI’s key players’ lifestyles were reminiscent of Fitzgerald’s Jay Gatsby: lavish parties, exotic cars, and high rolling excursions in their monogrammed private aircrafts. Investors claim Miller and his associates used construction monies to live the high life, while paying interest from one account to fund another in an alleged Ponzi scheme.
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