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Scam Diego Entries for December, 2007

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29 Newspeople, Some of Paper's Best, Take U-T Buyout

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According to a reliable source, 29 people in the Union-Tribune newsroom took the voluntary buyout abruptly offered by the company Dec. 3. The U-T wanted 43 out; if that's still the plan, 14 people will get the involuntary boot, probably …

Sanders's Ethics Chief Voted for Benefits IRS Found"Failures"

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Mayor Jerry Sanders keeps talking about his commitment to pension reform, but actions by underlings belie his promises. For example, the Internal Revenue Service recently concluded that one of many failures by the City pension system was its granting of …

Copley Selling Casa del Zorro in Borrego, Wants Sale by End of Year

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Copley Press is selling Casa del Zorro, its resort facility in Borrego Springs, confirms Judy Meier, top executive of the Borrego Sun, a Copley-owned newspaper. She was referred to me by Hal Fuson, the company chief operating officer. The buyer …

SDCERS Does Mea Culpa Over 14 IRS Violations, but DROP and Purchase of Service Credits Still Not Before the Agency

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The San Diego City Employees' Retirement System (SDCERS) today (Dec. 21) admitted to multiple violations in a settlement with the Internal Revenue System (IRS). However, the federal tax agency did not rule on the controversial DROP and Purchase of Service …

Does U-T Know $128,000 from $20 Million? Obviously Not

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The husband says to his wife, "Darling, to hang this picture, I want to put in this screw. You could help by bringing me the screw driver." The yellow rag newspaper reports, "The husband shouted at his wife, 'Screw you.'" …

Is Bell Retiring from U-T? Rumor Makes Sense

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The Union-Tribune is a chaotic place now. Involuntary layoffs loom as others who took the voluntary package are packing to depart before yearend. One rumor zooming around the newsroom makes sense: that Gene Bell, president of the Union-Tribune, is retiring. …

Attorney General Says No Criminal Charges Should Be Filed in Long-Running Billing Practices

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The attorney general's office said December 12 that no criminal charges should be filed over longstanding billing practices in the city attorney's office. In 2004, a then-deputy city attorney charged that certain agencies of San Diego government were being charged …

New Study Shows Topside Inequities in City Bureaucrat Retirements

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The city attorney's office released a draft version today (Dec. 14) outlining the full burden of the pension deficits facing San Diego taxpayers. The study shows that 417 current retirees have present value pension benefits of a million dollars or …

Goldstone To Reopen 2005 Certified Audit

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Jay M. Goldstone, the City's chief operating officer and head bean counter, on Thursday relented and said he would reopen the 2005 City audit and clearly state how much in illegal benefits the pension system had paid out in excess …

SDCERS' Independent Fiduciary Counsel Resigns

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Harvey L. Leiderman and his San Francisco-based law firm, ReedSmith, have resigned as independent fiduciary counsel to the San Diego City Employees' Retirement System. "I am not at liberty to disclose the reason we voluntarily resigned," says Leiderman. "It's important …

Former Charger Pleads Guilty To Making False Loan Applications, Evading Taxes

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Former San Diego Charger Benjamin Leon Coleman (Ben Coleman), 36, pleaded guilty today (Dec. 13) to submitting phony loan applications, using a false social security number, identity theft, and tax evasion. The U.S. Attorney's office prosecuted the case. Between mid-2005 …

Will Baseball's Bottom Line Suffer from Substance Revelations? No

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The reports on widespread usage of performance enhancing substances in pro baseball came out today (Dec. 13). Several former Padres are mentioned, including Benito Santiago,Gary Sheffield, Ron Villone, Kevin Brown and the late Ken Caminiti. (The players' alleged offenses did …

Ronne Froman Now Senior VP at General Atomics

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Ronne Froman, the retired Navy admiral who abruptly quit as Mayor Jerry Sanders's top aide last June, has been named senior vice president of the energy group for defense contractor General Atomics. It was announced in the December issue of …

Biogen Idec Can't Find Buyer; Stock Plummets

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Biotech Biogen Idec (the Idec is the San Diego part of the company), which put itself up for sale two months ago, announced after today's close (December 12) that it couldn't find a buyer. The stock plunged 28 percent to …

Blackwater Proponents Lose in Landslides

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Potrero citizens voted overwhelmingly Tuesday (Dec. 11) to oust five members of the community planning board who had supported the attempt by mercenary firm Blackwater Worldwide to put a training camp in the little town in far East County. The …

Anti-Blackwater Activist Says Votes Going Strongly Against Mercenary Supporters

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"It's a blowout -- 2-1 or 3-1," says Raymond Lutz, an admittedly biased anti-Blackwater activist whom I reached at the Registrar of Voters just after the voting closed tonight (Dec. 11). Five members of the Potrero community planning group who …

Accounting Firm Pays $1 Million for Letting Its Employee Inflate Ligand Pharmaceuticals' Sales

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Deloitte & Touche, one of the Big Four accounting firms, has paid $1 million to settle charges that it permitted an employee it knew was an inferior accountant handle the books of San Diego biotech Ligand Pharmaceuticals. The story was …

314 City Retirees Getting $1 Million or More

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The city attorney's office is putting together a study for San Diego taxpayers showing just what a burden the pension obligations are. Among other things, the office has calculated that 314 current retirees are enjoying retirements with the present value …

Federal Agency Charges Former City Auditing Firm with Fraud

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The Securities and Exchange Commission today (December 11), settled a civil fraud action against Thomas J. Saiz and his accounting firm, La Mesa's Calderon, Jaham & Osborn, for helping to cook the books in City bond offerings of 2002 and …

Losers in Moores Case To Seek Review

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Pat Meyer, San Diego attorney who handled the case in which Padres majority owner John Moores was recently vindicated in the Peregrine fraud case, on the grounds that he purportedly did not know of the fraud, said this morning, "Our …

Charges Against Moores Dismissed in Civil Suit

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Padres' majority owner John Moores, who dumped $650 million of Peregrine System stock -- almost all he controlled -- before the company collapsed in fraud, was granted a motion for summary adjudication in a San Diego case, Bains vs. Moores. …

City Admits Error, To Include Information on Pension Overpayments in Documents

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Mayor Jerry Sanders today (Dec. 5) said that the City will disclose information on the more than $8 million of payments to 102 retired employees in violation of Internal Revenue Service rules. The disclosure will be made in an attachment …

U-T's Bungled Buyout Will Probably Lead to Best People Leaving

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In all probability, beginning tomorrow morning (Dec. 5), the best and brightest people in the Union-Tribune newsroom will line up to get first crack at ending their careers. The reason is the abysmal, hurry-up way in which the buyout was …

City's Outside Accounting Firm Told to Restate 2005 Financial Results

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City Attorney Mike Aguirre today (Dec.3) told the accounting firm of Macias, Gini & O'Donnell to issue a corrected City 2005 financial statement. The City's report, certified in October, did not disclose that more than $8 million in pension overpayments …

U-T Announces Massive Buyout Plan

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Merry Christmas to all. The Union-Tribune today (Dec. 3) announced a plan to reduce the staff significantly -- a total of 43 in the newsroom alone, along with other employees throughout the company. The plan is called "voluntary separation program," …

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