Following Three Bells Winery money trail helps explain why DA, FBI are interested in Estate

April 3, 2008

By KAREN VELIE and DANIEL BLACKBURN

Angry investors wondering where their money went after funding Estate Financial of Paso Robles may be on the road to an eventual explanation.

Whether that translates into returns for those who have put money into Estate is yet to be learned. What is known is that millions of investor dollars have apparently been misappropriated, misspent, or misdirected, according to an investigation by UncoveredSLO.com.

Now, law enforcement investigators from the San Luis Obispo County District Attorney’s office and the FBI have finally entered the picture with a “preliminary inquiry” into a growing litany of fraud allegations leveled by an ever-widening group of individuals. Joint interviews with investors are being conducted by the two agencies, according to some who have shared information.

Deputy District Attorney Steve VonDohlen confirmed the interviews: “We are talking to some of the plaintiffs, and the FBI,” he said this week. “It’s a preliminary inquiry. We are mindful that some of these complainants are well over 65 years of age. There may, or may not be, criminal wrongdoing here.”

Criminal or not, many of the financial transactions of Estate Financial principals Karen Guth, her son, Joshua Yaguda, and others with access to the lending company’s money, are interesting if confusing. As a result, the money trail often becomes tangled. (Information for this article was gathered from court documents, interviews with investors and lenders alike, and a variety of informed sources. Guth declined comment when contacted by telephone Thursday.)

Trying to answer questions about how money moved once it was invested with Guth, UncoveredSLO.com focused on the funding and construction of Three Bells Winery in Paso Robles. The probe discovered critical inconsistencies in many documents; identical names buried within a potpourri of limited liability companies; and questionable use of Estate Financial funds intended for development of the Paso Robles winery.

In 2006, Estate Financial President Guth and her vice president, Yaguda, under the name Third Press Partners LLC, and Al D’Amico, as Signature Homes LLC, became financially equal partners in Three Bells LLC. An operating agreement between the three holds Guth and Yaguda responsible for day-to-day management and record keeping of the winery project.

Three Bells LLC borrowed $3,665,720 from Estate Financial to construct the winery. Of that total amount, Estate Financial doled out approximately $1.4 million for actual building and other facility construction.

D’Amico allegedly snagged more than $1.2 million for his own personal use. Guth filed bankruptcy, claiming $6,199,929 in liabilities on the project and noting her failure, as an owner of the winery, to stay current on her loan payments.

“The question is, how you can foreclose on a property for $6 million when the construction loan was for $3.7 million, and the actual construction cost was only $1.5 million?” wondered one involved party who asked to remain unnamed.

Three Bells LLC filed a lawsuit June 18, 2007, against its non-managing partner, Signature Homes LLC; D’Amico individually; and D’Amico’s Town and Country Landscaping LLC, alleging fraud, intentional misrepresentation, conversion, breach of fiduciary duty, and imposition of constructive trust. The latter allegation suggested that D’Amico used his position as construction manager to rent equipment, purchase sod, and hire supervisors for property other than the winery.

“Yes, I am involved in both sides of the lawsuit, not as myself, but as separate entities. It’s a legal thing,” D’Amico said, responding to UncoveredSLO.com’s questions about why he would sue himself for fraud. He then added, “The case has been dismissed by mutual parties.”

A subsequent check of county records, however, shows the lawsuit has not been dismissed, and a case management conference is scheduled May 7 in San Luis Obispo County Superior Court.

D’Amico and Guth continue to work together on other projects despite their mutual, intertwining litigation. On August 1, Guth signed over six deeds of trusts to D’Amico valued at approximately $77,000 each.

“That was reimbursement for money she (Guth) owed me for out of pocket expenses,” D’Amico said.

D’Amico contends the loan for the winery project was never properly funded.

“What happened to the money is the million-dollar question,” D’Amico said. “She (Guth) foreclosed on herself. She will own the property in a month or two and I will be out of the picture.”

Guth allegedly sent a letter to a number of investors placing the blame for the demise of the winery investment on D’Amico’s shoulders.

“I lent the money to Estate Financial and she is responsible to live up to her promises,” said one winery investor. “The money lost to D’Amico has nothing to do with me.”

Information obtained by UncoveredSLO.com suggests Guth knew her hard money lending business was in trouble back in 2004, long before the downturn in the market. Investors and contractors claim projects, funded from as early as 2002, have not been finished due to alleged mismanagement of funds.

Even so, Guth continued at the time, and to this day, to seek investors, primarily seniors, with the lure of high interest on property secured loans — without disclosing the company’s financial woes. On her Web site, Guth touts interest payments of 11 to 13 percent, though most investors claim they are no longer receiving any interest payments.

“If she is running a business and knows she is having financial problems, I think she would have to tell people,” said investor John Childers. “A person robs a grocery store, they go to jail that day. Guth robs millions from the elderly and nothing happens. She is continuing to get money from the elderly.”

Hard money loans are based on the value of the underlying asset rather than borrowers’ credit rating. It works if the lender finances no more than 60 to 70 percent of the project, secures licensed appraisals, and makes payments as the work progresses. Numerous investors claim Guth failed to follow through on these promises.

“If she had followed these rules, she would not be in trouble,” Childers said. “It’s a good business, but if people get greedy, it goes to hell. She made the loan to value, not an appraisal by a licensed appraiser.”

A San Diego investment firm in 2004 failed to disclose information regarding investments, and used new investment capital to pay off existing investors, which resulted in the U.S. Securities and Exchange Commission filing an emergency action to halt the ongoing fraud. Authorities froze finances and set up a receivership.

(Editor’s note: Contact information should be included in comments if individuals want to share information in more detail.)

Where else to look for help:

Call Rene Esquarel, California Department of Real Estate, 559-445-5009, touch “O” when recording comes on, and ask operator to connect you.

(See initial UncoveredSLO.com article on Estate Financial and its investors.)


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Stefan

By: Anonymous on 4/4/08

DewDog,


You answered the issue more clearly. My point is that if there are 15 homes in a subdivision, there might a 1 low income housing requirenment and the loss of value on it must be spread out to the rest of the homes. If one's money is invested in the low income housing unit, the others must compensate for it or the loan must be structured accordingly. I don't know how Karen spread out the laons. She could explain it. It would be extremely unfair to the investor to pay for the others.

By: Anonymous on 4/4/08

Wow

Within a project only a percentage of the homes are designated as low income or work force housing and they are deed restricted for I beleive 30 years. There is a formula that dictates their value and rental value. These figures are determined monthly by the county. The other houses are not affected in value by these deed restricted properties and can be sold or ented for whatever the market will demand. The only thing that may have affected these other homes is that the developer probably increased their initial sales price to recoup the loss that was had on the affordable/work force houses.

By: Anonymous on 4/4/08

I personally have $710,000 invested in Estate Financial. My Uncle has 1 million and my sons have another $250,000 each. I would like to know about any meetings so that we may attend. I have tried to stay calm, but this just gets worse. When I received a payoff, I was asked to reinvest in a project that was already not paying. I think that they think we are fools.

By: Anonymous on 4/4/08

In defense of Estate financial, it is true that many homes can not be sold because of market conditions. On the other hand, many of the projects could not be sold because they are unfinished. The question remains, why were they not finished? Simple. Money borrowed for projects was not in their respective accounts. So, it caused needles delays, accumulating interest charges and other associated expenses such as taxes fees etc. There were projects that could have been sold long before the realestate downturn. Estate Financial improperly diverted funds to its own projects (or who knows where) instead of projects that were financed. Karen Guth regularly took her fees reagrdless what other bills had to be paid. Karen G and Jashua Y entered into several joint ventures that EFI financed and overencumbered. Often, in the best of economic circumstances, the money borrowed on these joint ventures was in excess of what the value would be once completed. When interest and other costs are added, the only way to extricate from these projects was to file BC. The investors on these projects will have to take a small percenatge of what was put in. Karen Guth and Jashua Yaguda took their fees upfront so they are sitting on it as we speak. They can prove it othervise if they wish. Until than, "where did the money go"? Karen Guth blames the economy and her joint venture partners, but the fact remains. Who signed those checks to any of the subs (existing or non existing) it was not the builder or joint venturer. But who knows, they may forged her signature on many of the unaccounted money like the Vinery.

I think Karen Guth and Co. must open its ledgers to all of its investors and return much of their ill-gotten gains from this operation.

She stated in February 18 that projects will resume construction in 30 days. Well, so far no actin has taken place other than hiding in their office not responding to investors, rudely asking some to leave when questions come up that need answers. Sorry, so far nothing is resolved. Why was Ron Cooper's project not funded as their agreement called for. Now there is dirt for the investors. Natuarlly, values eveporated, so less money will be coming forward.

Estate also made sure that they control all projects through the controlling ownership or entity with 51% vote. If they want to come clean on many of the projects, they give up their ownership or controlling interest in those projects so builder/investors can get togather and finish them even if it resultsin a loss for now. Karen Guth's plan along with her managment expertise will further place investor's money in jepordy. All money that comes in is being consumed by costs managmnt fees insurance taxes adn legal fees. Likely, their legal fees is the largest as more and more lawsuits are being filed. Who covers those costs? Karen Guth and Jashua Yaguda individually? I don't beleive so. Its the investors moneythat is being used for their defense. The other important question to Estate Financial. Do they carry business insurance? if not why not? It would be another irrisponsible behavior. I think EF should inform its investors if they have proper coverage. Investors deserve honest answers. So,Please Karen and Josh, for once be honest.


Stefan

By: Anonymous on 4/4/08

whereismymoney;


When a subdivision is approved with inclusionary low income housing requirenment, the designated house for low income must be sold at a price that results from a formula dictated by many factors. However, the balance of the project must equally share the lesser value. In this case, Karen may not have done anything wrong. You should get the same percentage back as the rest of the homes. If not, Estate Financial must make up the difference. Good luck

By: Anonymous on 4/4/08

I think a plan is in the works for a meeting. The 51% hostile takeover is a great idea

By: Anonymous on 4/4/08

We need an investor meeting ASAP. If we can't find a venue for a large group, how about meeting on individual loan projects. At least that would be a start and maybe we could take some projects away from Estate Financial. All we need is a 51% majority to terminate our loan agreement with them. Then we could start foreclosure proceedings on some of the more decent projects. Karen would have no more control.

By: Anonymous on 4/4/08

I will be on the Dave Congalton Show tonight (Friday) at 5 p.m. to discuss this story. Tune your radio to Kvec 920 AM or live stream at 920kvec.com.

By: Anonymous on 4/4/08

Attn: Ron Cooper and or John Childress

I am an investor on LOT #19 Oak Grove /Fetyko Atascadero

The house needs $35,000 more to complete and the loan amount was $306,750 and I am told by others that the house can not be SOLD for more than $265,000 because it is a designated low income property as a condition of getting the project approved with the City of Atascadero.

None of my loan documentation says anything about this. This is mail fraud? Something went terribly wrong here and no one at EFI will tell me anything.

I am ready for legal action now.

How can we join forces to take action on this together?

Can we do a class action suit?

By: Anonymous on 4/4/08

Karen Guth, I know your watching this. You should log on here and explain your actions to everybody. I damand an explanation.

By: Anonymous on 4/4/08

Hi WOW,

I think she is certified.

By: Anonymous on 4/4/08

I posted the article for everyone to read it again. There too many incosistnacy what she said at that time and of course the numbers. I will be pointing them out later as time allows. She either doesn't know what she is talking about, a certified misspeaker (there is a better word for it), or just dillusional


Stefan

By: Anonymous on 4/4/08

Karen & Dan- Thanks for all the investigative work you have been doing. What happend with the funding for the winery in very telling. I suspect it's not a whole lot different with other unfinished (and funded) projects.You have really broke this open for us.

By: Anonymous on 4/4/08

Its been in discussion to set up a website for people involved in this fiasco. There is a main problem; privacy. Karen Guth monitors every commentsso until a mechanism can be figured for privacy it will not be easy.

It is on the table and for surewillhappen

By: Anonymous on 4/4/08

I urge you to read this article again. (link below)


I also am not involved with EF.


It is interesting to see Guth is attached to 4 of the 5 failed projects listed in the article. Why her projects are the ones that fail is very suspect.


I see it as Guth borrowing money to fund her own projects, not paying it back and charging fees to do so.


Good gig if yo can pull it off.


http://www.sanluisobispo.com/news/local/story/285


Stefan

By: Anonymous on 4/4/08

What you people need is some sort of registry to find and keep track of each other. Amongst the lot of you, surely someone could set up a website or email list for disseminating information. My only caveat is to guard, to the extent possible, the info you share on the site, as no doubt both sides will be able to look at it.


(I don't have a dog in this fight. Only a suggestion to channel the energy into something positive).

By: Anonymous on 4/4/08

Isn't Guth trying to get people to sign in to form yet more LLC's?


I am considering purchasing a failed project, but will not if it hurts investors.

By: Anonymous on 4/4/08

wake up,


Well, lets look at things on the bright side. Mr. D'Amica can afford a mistress, because of Guth and Co. My wife have to work and I can't afford a mistress. Is there any justice in that?

"Just kidding"

By: Anonymous on 4/4/08

Karen Guth and Co. f…d with one person too many.

By: Anonymous on 4/4/08

My wife and I are sure the only way to deal with this is the DA. We hear that Mr. Damico is married and has a girl friend (the house keeper)I guess he gave her money. If his wife dosen't know she will soon. It shows his character.

By: Anonymous on 4/4/08

Please, no KNOCK KNOCK on her home. It can backfire legally. No one should even talk about intimidation or violance. That would not only complicate things but would be extremely counterproductive. No vigilante even if many of us have those thoughts. We all been ripped off, however actions are in progress. There is no running away from the law. Also, there will be meetings sooner than later. There are some who are working on it to make sure we all get what we want Number one, money and legal action. So, just spread the word and have a little patience. I know its difficult.

By: Anonymous on 4/4/08

If Karen won't talk to anyone at her office maybe a knock on the door at home might work:


8530 Vineyard Dr.

Paso Robles, CA

By: Anonymous on 4/4/08

The thing about this that is so exasperating is that it isn't that Guth didn't know how to manage. She clearly tells us exactly how it should be managed and assures the investors that she is doing so. ie: progress payments to the contractors, appraisals, site inspections, etc. Apparently she did none of this and didn't care what happend once she had our money. This is way beyond unethical and over the top (non violent) criminal.


Stefan

By: Anonymous on 4/4/08

I hear people are working on getting a meeting together and some groups are organizing. Many investors still don't know about this site yet and the papers haven't carried it. Everyone should start calling all the press.

By: Anonymous on 4/4/08

Andrea


If they want to redeem themselves, they just have to come clean with everyone.Steeling Christmas is no big deal!. How about stealing retirees funds, childrens education funds, peoples livelihood etc. We can all go withouta christmas three. We just put up an Olive three from her Olive grove.

By: Anonymous on 4/4/08

This woman needs to do some good deeds right away to redeem herself in a time where the perception of her seems so very crooked. If she doesn't stand up to at least some of her promises, she'll never look legitimate in the court room. Currently, she appears to have no integrity just greed. Courts don't favor that. It'll be interesting to see if she can give back on any of her current promised I.O.U.s. Does anyone have anything good at all to say about her and her son? Or are they really as aweful as they sound? I'm feel like this is the town of Whoville and they are the Grinches that stole Christmas. OMG!!!

By: Anonymous on 4/4/08

We aren't just caught in cyber space. There are agencies watching. The DA's office and the FBI monitor this site.

By: Anonymous on 4/4/08

Help or Hinder,


Since Estate controls 51% of voting shares, they must approve any sale. So far they have denied short sale even wasofered according to Rin Cooper. Should they accepta short sale, it would mean an immediate write off of value and reduction in their fees from the funds.As you can see, they've dened investors their rightful money even if it was less than origially invested. Each passing days, the value of the funds is diminishing as fees taxes mait. and other cost eatsinto the money. Again, Karen Guth and Jshua Yaguda taking adventage of investors who were suposedly "qualified investors" as the law requires. I assume most people have no clu what they've signed onto when they gave checks to the. Many don't even have their paperwork in order from Estate. Imagine, you walk on the street, someone walks up to you offers a nice return for a few hunderd housand dollars. He/she assures you that they are very honest and reputable business people, you just have to trust them. Well, what would you do?Call the cops or just kick them in the groin. In this case, investrs were duped by sweet talk high yield assurances etc with the cover of a State License. Now, calls are not returned and the ones that take the time to visit their office are rudely being asked toleave when serious questions being raised. The day of reckoning is near. They don't have to wait till judgement day after life. That would be too easy anyway, provided their is any soulleft within them. So, for now, we must talk to the authorities and any outlets that willing to listen. How about some national exposure? I thiink it can be arranged. No more deals for these thiefs, no matter how many local social connection they can count on.


Lets get them.

By: Anonymous on 4/3/08

ARE YOU LISTENING TO 'WOW FEDS? ARE YOU? CALLING ALL AGENCIES, CALLING ALL AGENCIES!!! IS ANY AGENCY LISTENING or ARE WE JUST IN CYBERSPACE???

By: Anonymous on 4/3/08

help or hinder

This is usually a good thing for the individual investors. It gives control back to them. The main problem is coming up with funds to finish an incomplete structure. An LLC is usually formed and then the investors can decide if they want to sell the project right away or hang on to it. They are responsible for paying back taxes, insurance and possibly some liens.(most liens are usually wiped out though). I'm just not sure what happens to the fund because Karen controls their vote.


Stefan

By: Anonymous on 4/3/08

On her website, she clearly states that each project is funded in a certain time. Acording to builders, the money was not forthcoming upon request for payments. That is the main reason many of the projects not finished andunmarketable for years. She collected her fees and interest on all loans even if the money was never there. Now, both builders and investors are out of luck or rather money. She knew she had money flow problemsfor years, while diverting funds to her/his ventures that clearly indicate a massive fraud. How in the world can she account for all the extra money spent on the vinery when there is not much to show for. she can blame thw whole world including D'Amico, the fact remains; she took the money both in feesinterst and mngt charges. Now, investors will be holding the bag. To add insult to injury, Karen G. states that the value of the fund have not been writen off. That is so absurd. This way, she can collect fees based on the value of the fund before any money wouldbe used to either finishing other unfinished projects, paying interest or returning principal to investors. She had the audacity to claim thatinterstpayments willresume in the 3rd qtr.There will be nothing left by than as she is either close doors, indictedor just simply flee the country. The pain and suffering she and josh caused is inmeasurable. At the same time she can stil live the life of luxory. Not her victims. We all must come after her and josh, chasingthem out of the countywill not do justice.

By: Anonymous on 4/3/08

Refering to remarks made in the March 18th article…..Okay, so let me get this straight. Back in 4-07 Karen purchases a property via Viana Development with investor's money for 1.38 million. First, who are these investors????? Does anybody know if they are individual investors or are they the poor Fund people who don't have a voice in what she does? (example – she sells one Fund property and then buys this one – with no redemption to the Fund investors – god knows she has a list of people wanting to withdraw their money!) Does anyone know if the Fund owns 51% of this property? Second, she knows she is having money problems yet she makes this loan so she can collect money in her pocket for the points/fees of 180,000.00 Is this REAL? There is a LTV of 65% yet who appraised the property – Karen herself? What the h?????? What do others predict the future outcome of this property will be? Foreclosure and then even more fees for Karen? I'm considering buying a voodoo doll and hexing the h@$## out of anyone involved with this scam!

By: Anonymous on 4/3/08

I can't believe my eyes. This story is mind boggeling. What in the hell did Guth think she was doing with the investors money? And who is this scitzophenic D'Amico? The guy sued himself for fraud through the vale of LLC's? Geeez.

By: Anonymous on 4/3/08

Can someone tell me if purchasing one of the "foreclosed" properties from Estate, helps or hurts investors and who approves the sale?

By: Anonymous on 4/3/08

Great Idea HotDog.

By: Anonymous on 4/3/08

Good idea watcher. The FBI can come to the meeting and get everyones names. We can also appoint a group to collect everyones names and identify the partners of the projects.

By: Anonymous on 4/3/08

I'll be watching for the next meeting. I agree that the Tribune owes us and should put it in the paper so that the investors who don't know about this site and don't listen to KVEC radio can find us. We should ask all the papers in the county to help us by posting a small story and the meeting place/date/time.


Stefan

By: Anonymous on 4/3/08

Lot of folks screaming for relief. That's OK but we need to put the energy to work for us. In the past a couple folks have offered to gather info on the victims so we can start putting together a group instead of a bunch of individuals.

I invite those folks to step forward again, offer their email and phone number if they have the time to collect the data and organize this group. Remember: "the whole is greater than the sum of the parts".

Another slant could be those in geographical areas meet up, share info on an informal basis and then all come to the mongo meeting. So those in Paso meet up, Atasc meet up, SLO meet up etc. In this way a bunch of junky stuff can be worked out, new strategies brainstormed, documents compared with loan numbers etc. Perhaps each group might want to have a rep present their collective feelings to the larger group. I bring all this up because 300 (or even 5) people can make a mess of a meeting without any prior work on the issues.

Is there anyone out there who doesn't want:clarity, answers, safety-and their money back? Consequences for malfeasance is up to others (DA, DRE etc). If so let's focus on being effective, and not an out of control lynch mob. Collectively we have power, otherwise much less.

Anyone new to this blog or the others under the other two stories should read them and cull the information from those who offered to be contacts for this effort.

There is no time to lose-start organizing! Future blogs could at least contain the town of residence and if you think any of these concepts make sense-or if you have other ideas.

By: Anonymous on 4/3/08

Your not alone Alice.

By: Anonymous on 4/3/08

S..C..E..A..M..I..N..G..

More

By: Anonymous on 4/3/08

It's absolutely unbelieveable that Guth gave investor funds to D'Amico who used the funds for his own projects and the sued himself for fraud! So much for talking me into letting Guth use my name for another LLC.

By: Anonymous on 4/3/08

Uncovered, Thank You so much. You have done a great job staying on top of this for all of us. I am truly appreciative.

By: Anonymous on 4/3/08

I WANT MY MONEY BACK..


S…C… R E A M

Those *&&))^$#@!@#$%^&(_)(*&

By: Anonymous on 4/3/08

There are many projects that weren't built or completed. That means the money went somewhere. There is money out there and assets to foreclose on. We just need help to pin it all down and unity. It possible to salvage this mess with the right people at the helm. We need a game plan.

By: Anonymous on 4/3/08

We need to get together. I agree that this next meeting could be upwards of 300 people. I hope KVEC announces the meeting and maybe the tribune puts it in the paper. Speaking of the Tribune, if they had reported this correctly in the first place some of us wouldn't be so bad off right now. The Tribune owes us.

By: Anonymous on 4/3/08

I would love to be the one to pick them up.


Stefan

By: Anonymous on 4/3/08

I know of 4 people who are going to prison. One of them is the Atascadero City Manager.Great Job Uncovered..

By: Anonymous on 4/3/08

We can invite her to a meeting but I doubt that she will show up. She'll probably send her son again. He is in this jus as deep as she is. I know of three people (at least) that ar going to prison.

By: Anonymous on 4/3/08

Anyone know if the Vet's hall is available? It can hold a lot of people, has good parking and is easy to find. I would suggest that any legal people, DRE people and others who know about the maze of bs (the loan industry runs us through) attend to cut the wheat from the chaff. Perhaps the DA would show up-to do his job of investigating crime and protecting the people who MAY have gotten ripped off.

And of course our dear UncoveredSLO folks should be there. They are uncovering information daily. They need your tips, and contributions, to stay in the game with us. Where would we be without them; their articles and this venue to communicate with each other?

Together we are growing stronger. Those who wish to visit EF should; demand some answers, get in their face. The allegations are very serious and many people are facing a bleak future if the dire predictions are true.

By: Anonymous on 4/3/08

GD I knew there was more phony balogna to all this.I want Karen Guth's a–. Anyplace except the bedroom.

By: Anonymous on 4/3/08

I've heard that the investigators, the FBI and DA's office, are having difficulty identifying all of the investors with EF. I might suggest that you contact them so that it may be easier for them to put their case together and hopefully prosecution.

By: Anonymous on 4/3/08

NEXT MEETING. I think its time for another meeting. I live in LA. Don't know SLO very well. Can someone please suggest a place. We could have over 300 people.


I'm suggesting Monday April 14th.


I suggest a panel type of meeting where we have 2 builders, 2-3 investors and invite Karen Guth to attend. Also perhaps Roger Fredrickson, Esq. would sit on the panel.


The panel would speak briefly and then respond to questions written on cards.


By: Anonymous on 4/3/08

Don,


What are you talking about? Intelectually bankrupt? How can D'Amico be intelectually bankrupt? One can only be bankrupt if there was something. There was nothing and there is nothing. They took us for a ride.

I have a few more suprises for Karen and Josh and whoever involved with this ongoing rape. I am livid. I knew there was more to the story and this article confirms it. I have more to come.

Passport will not be enough. Once the FBI get their grip on this operation, their own personal stuff will be seized and all those who are part of it. Bankruptcy court will not help them, it just adds more problem for them because of Bankruptcy fraud involvenment. They haven't seen anything yet.

By: Anonymous on 4/3/08

D'Amico sure is intellectually bankrupt. I can't believe he said such rediculous things to uncoveredSLO! But I'm sure he did!

By: Anonymous on 4/3/08

If the DA or Feds don't grab them quick they will take their passports and everyones money and run. It's far worse than I thought it was. just look at all this intentional fraud and payoff's.

By: Anonymous on 4/3/08

Ripped off;

Let the system work. Please!!!!!11


Stefan

By: Anonymous on 4/3/08

I'm personaly going to send D'Amico some lipstick. And I'm sending Karen the Atascadero female cops to pick up Karen.

By: Anonymous on 4/3/08

When and where is our next meeting going to be? I missed the first one and have been watching to see what will happen next. Are there any plans?

By: Anonymous on 4/3/08

The reason the age matters here is because the elderly are supposed to be protected. They are often easy targets and have pention money saved to live on. They have no means of ever replacing money that is lost to predators. The elderly are often left devistated and unable to work.

By: Anonymous on 4/3/08

Three Cheers to the DA. It's about time he steps up and does something. He was starting to look like a real "wimp". Thanks to uncovered it looks like they have managed to launch a second FBI investigation in just 10 weeks!

By: Anonymous on 4/3/08

No No, No!!!!!!!!!

No cutting of tounges. We need answers first. Than its not our business.

By: Anonymous on 4/3/08

Its called; hush money or to shut up. Yeh, there is more to this than meets the eye.

Boy oh boy!! That passport must be handy by now!

By: Anonymous on 4/3/08

How discusting. Jail is too good for those lying, cheating, thieves. They have been trying to open additional LLC's with the investors names that they screwed. They claim it's the only way to get any money back. Someone should cut her tounge out.

By: Anonymous on 4/3/08

Al D'Amico actually sued himself for fraud! he say's, "Its just a legal thing"! Yeah right. Lets see so he and Karen open all these LLC's and then foreclose on themselves and sue back and forth for fraud. I wonder what sort of "out of pocket expenses" she gave him the $462,000 for. Yes it's time for prison.

By: Anonymous on 4/3/08

This not the only fully funded project went unfinished. There is more to come. Time to pack.

By: Anonymous on 4/3/08

Why does the age of the victims matter?

By: Anonymous on 4/3/08

Looks like EF may have internal "cancer"-the partners are starting to speak up. Appears Karen Guth has no morals whatsoever and will do whatever it takes to get everyone's money. This type of criminal that steals with a pen instead of a gun is almost the worse of the two. The poor guy with the gun probably needs the money to feed his family or buy drugs. Karen Guth appears to be the worse of them all stealing for her own personal gain and greed. Clean a cell out, I hope there will be a new visitor with all of the other crooks.


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