UPDATE: Estate Financial investors fighting back
March 18, 2008
Investors, builders and attorneys squeezed into a large, sunny conference room at a beautiful, ocean-side hotel earlier this week to talk about something most found unpleasant: How they were going to recoup millions of unaccounted-for dollars placed with Paso Robles lender Estate Financial.
(See previous UncoveredSLO.com article, “Hard money lending schemes creating fiscal chaos, devastating SLO County investors,” March 14 on this site.)
There were more than 200 people at the hastily-called meeting, many from San Luis Obispo County, and most around or well into their retirement years. The meeting was organized by Ron Cooper, a Los Angeles County contractor, to attempt unifying concerns and potential action of varied interests. A series of speakers representing contractors, other borrowers, and investors told of problems and posed solutions.
“I was blown away by all the people,” Cooper said following the meeting. “The point of my presentation was to show that my records and books are open, so why in God’s name are Karen Guths ‘s (Estate Financial’s president) records and books not open.”
Cooper and those investors in his project who attended the meeting agreed to give Guth 48 hours to produce names of other investors in his development. Then, the group plans to ask the SLO District Attorney’s Office to step in. If the District Attorney refuses to take action, the group’s strategy is to talk to the state Attorney General.
“I don’t care about putting Karen Guth or her son (Joshua Yaguda) in jail,” Cooper added. “I just care about getting my money back.”
Estate Financial Vice President Joshua Yaguda sat near the front of the meeting wearing sunglasses, silently declining comment when invited.
EDITOR’S NOTE: Investors, builders and others who believe they have been exploited by questionable hard money lending practices are welcome to use the comment section of this post and the previous post to communicate and connect.
Tags:, EFI, Estate Financial