Paso Robles lender Linda Kennedy in jail

July 24, 2012

Linda Kennedy

Former Paso Robles lender Linda Ann Kennedy of 21st Century Financial in Paso Robles is slated to be arraigned today on four felony counts in the San Luis Obispo County Superior Court.

Kennedy, 49, allegedly swindled more than 1,000 investors out of millions in a lending scheme involving hard money. In August 2007, when she closed the firm, the company held a $100 million real estate portfolio.

Hard money lenders specialize in short term, high interest construction loans that are often used as bridges to help a developer finish a project. Loans are based on the value of the underlying asset rather then the borrower’s credit rating. These kinds of loans are primarily funded through private investors.

Following an extensive four-year investigation by the California Department of Corporations and the San Luis Obispo County District Attorney’s office, Kennedy was arrested on July 16 in Tennessee. She was later extradited back to California and booked into the San Luis Obispo County Jail with no bail.

The district attorney’s office charged Kennedy with four felony counts and ten special allegations related to fraudulent practices in the offer and sale of securities involving “hard money” loans in real estate projects located primarily in San Luis Obispo County in a criminal complaint filed in March 2012.

The San Luis Obispo County Superior Court has  frozen her personal assets, including real estate, bank accounts, all other financial accounts, vehicles and any and all other things of value, whether the assets have been specifically listed or identified or not. The court orders prohibit anyone from selling or secreting these assets.

In Feb. 2011, Kennedy returned to Paso Robles for a short time after fleeing to Costa Rico in 2009.


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fat chance

What happens to the people that used to work for her? Were they in on the fraud also?


Ana di Plosis

So, Mr./Ms. Moderator, please explain why any comment that does not violate CCN’s guidelines would be “Hidden due to low comment rating.” I simply expressed my opinion that Mitt Romney, like Linda Kennedy, is also due for an arraignment, based on what he did to wreck so many American companies and lives as CEO of Ban Capital. I thought that this website was supposed to be a thoroughfare of ideas from all perspectives. I’m getting the impression that CCN stands for Conservative Censorship News.


I don’t mind receiving more “down thumbs” than “up thumbs”–I would be surprised to find consensus on presidential matters–but I find it discouraging/disillusioning that a moderator would take sides on a debatable topic and decide to hide a comment simply because it’s “unpopular.”


moderator

Please see “about comment voting” link on the sidebar.

Software CCN subscibes to takes care of this

We are too busy to be spending time handling thumbs


Ana di Plosis

Moderator: Thanks for the clarification.


blondehare

Ana.. You helped me a great deal today. Thank you.. You are very right on this topic. They are doing a censorship due to how unpopular Obama is here. I am sure you can write what you like. I vote thumbs up..


atownresident

Ana you are getting thumbs down because your posts have nothing to do with Linda Kennedy. I don’t come to this site to read about Romney v Obama but local information. There are plenty of other sites to discuss that. Many of us have been hurt by Kennedy, Gearhart, Guth, Miller, Heritage Oaks etc and want information. I don’t believe Bain Capital was involved with the massive amount of fraud that has occurred here in SLO County. If CCN posts an article about Romney then rant away!


Ana di Plosis

“Many of us have been hurt by Kennedy, Gearhart, Guth, Miller, Heritage Oaks etc and want information.” My sympathies go out to you and anyone else who has ever been taken advantage of by Linda Kennedy or any other person, including the thousands of American employees who lost their jobs when Bain Capital, headed by Romney, assumed control of their companies. Step back from this local abuse of power/trust and multiply it by a million and you’ll have an idea of what Romney did for 24 years @ Bain and what many of us fear he would do if elected POTUS. My comparison/connection is apt and I stand by it, regardless of the number of “thumbs-down” I receive.


doggin

Im gonna play dumb here because I don’t know the details nor do I care to read about Bain and Romney. That being said a Mega corporate merger to boost profits which a corporation is bound by law to do for its share holders causes lots of lost jobs indeed, Bad news, both sides do it and will continue to do it till the end of time or mankind which ever comes first. It’s also a far cry from blatant lies and ripping off ones life savings like Hurst, Gearheart and the rest of the scum in this county did and are still doing.


R.Hodin

Kudos to the District Attorney’s office for the arraignment. Please keep it up.


Ana di Plosis

If Romney is so dedicated to economic recovery, why won’t he lay out his plan so the American people can judge for themselves whether all of his company-killing, job-outsourcing experience @ Bain Capital makes him any more qualified than Obama to run the country? Lest we forget, it was a conservative named George Bush who saddled Obama with this economic burden on day one of his job in office. Lest we forget, Bill Clinton handed George a 230 billion dollar surplus along with the White House keys back in ’01. The USA is in this quagmire due to REPUBLICAN mismanagement of our tax dollars over BUSH’s eight years in office. Since then, what ideas/plans have REPUBLICANS come up with (besides slashing funding) to spur an recovery? NADA. What has Romney offered? NADA. How have REPUBLICANS assisted Obama over the past three and a half years in any way whatsoever? They have obstructed and stonewalled almost every one of his efforts. More to the point: what is your solution to our economic woes, CITIZEN? Lay it out for us, since Romney appears to be unable or unwilling to do so. What do you have up your sleeve that no Nobel Prize-winning economist does not?


Citizen

Ana, Romney has laid out a plan. Read it http://www.mittromney.com/sites/default/files/shared/BelieveInAmerica-PlanForJobsAndEconomicGrowth-Full.pdf.


How can I argue economics with you when you have no real information, but only “talking points” from the Obama side. If you think that Charles Krugman and his Keynesian theory of economics is correct, then you had better read about John Keynes theory. Mr. Krugman says the stimulus package that Obama tried, didn’t work because it wasn’t big enough. So, what’s big enough. Do we start selling off property to China to finance this giant stimulus? Krugman is busy covering his backside; he has already been proven wrong.


Do you even know what monetizing means? It means that we are printing unsecured paper money to prop up the economy. Eventually, this will make the “dollar” worthless. It will take two or three of these devalued dollars to buy a head of lettuce. Read up on the Federal Reserve and how they are artificially propping up the economy with low interest rates and monetization of the debt.


My solution? We need to elect people to office who understand business and economics and who are dedicated to the US and our economic system and will do the things necessary to stimulate economic growth. Mitt Romney has the best chance of doing this for the country.


Do you actually think that Obama’s policies have worked? Is he leading the country forward, or is he hopelessly dividing the country into rich vs. poor, government vs. business, regulation vs. freedom. If Obama is right, then why are we on the brink of economic collapse? Or didn’t you know that?


I said before, don’t believe me, do the research yourself and come to your own conclusions.


Ana di Plosis

Citizen,


I just read Romney’s introductory letter. Two points caught my eye.


1). “We can count here the binge of borrowing and spending that set off worldwide alarms about the creditworthiness of the United States and led to Standard & Poor’s unprecedented downgrade of

our nation’s sovereign credit rating.”


The first “binge of borrowing” occurred under Bush, when Wall Street teetered on the brink of economic collapse in October 2008. Obama, following FDR’s example, realized that you must SPEND YOUR WAY OUT OF A DEPRESSION. Also, unless I’m mistaken, the Federal Reserve does not do the bidding of the POTUS. Their decision to monetize was their own, and it preceded Obama’s inauguration. We’ve been hugely indebted to China for many, many years.


2). “We can also count the vast expansion of costly and cumbersome regulation of sectors of the economy, ranging from energy to finance to health care.”


LOL!!! Government regulation of the finance sector is costly? We’ve seen what happens when Wall Street isn’t regulated closely enough: Main Street suffers. Furthermore, Wall Street is up to the same old shenanigans and getting away with it. When there’s NO governmental oversight of the exalted “free-enterprise” system, the fat cats get fatter and the little cats go hungry. Falling wages and shrinking benefits for everyone except the top 1%. So glad Bush and co. gave them a tax break, even though we had (and still have) two wars to fund.


We don’t need to regulate the energy sector? Sure, let big oil run the show, and forget about pursuing alternate energy sources. Yes, Solyndra was a costly investment of taxpayer dollars, but so was NASA for decades before we put a man on the moon. Remember all those rockets exploding on the launch pad? The American people paid for those failed experiments. At least Obama has tried. What have all of the other Republicans EVER done to solve our oil-addiction crisis? It’s running out, you know.


The health care sector doesn’t need government regulation? Then why did Romney enact Romneycare in MA? It’s the blueprint for Obamacare. And the Congressional Budget Office just reaffirmed that the ACA will save the country BILLIONS of dollars over the long haul. Dismantling it would be a huge mistake on so many levels. I can’t wait for Romney to attack it in the debates. Right back at ya, Mitt. How’s Romneycare working in MA? Any chance of repealing it there? Didn’t think so. Next topic.


So, citizen, I’ll continue to plow through Romney’s BS, but don’t expect me or anyone else to buy it. He made his millions by firing American workers and outsourcing their jobs, not by creating American jobs or starting any “INNOVATIVE” companies of his own. And he’s being completely secretive about what he actually did as CEO of Bain Capital because he knows that the TRUTH of what he did will be completely unpalatable for voters in states like PA and OH, where they’ve seen hundreds of thousands of jobs outsourced over the past decade. If Romeny can’t carry those states, he has no chance of winning. As it is, the Electoral Map looks pretty grim for him anyway. Of course, you already knew that.


Moderator

Derail, everyone back on the track “Linda Kennedy in jail”

Further electioneering will be binned without warning.


blondehare

Ana . Amen.. You said it all. GOP .. are stuck on what they will always believe in and we have so many in this area.. sickens me.. Yes he should do what every president has done show his tax records..They want to stop Rommy care.. They are simply trying to make sure their money is safe.. Poor get taxed. Rich have deductions.How many people here are in the 1 %. many think they are.. Rommy is a criminal.. and has broken laws and more will be revealed.. believe me..


The Gimlet Eye

blondhare, I agree that we all should be all over this stuff and watching criminal activity very carefully.


However, I disagree that it’s just the GOP. That’s a VERY simplistic and naive assumption.


This type of criminality knows no boundaries or labels. I don’t see any substantive difference between the GOP and the D’s.


I do see substantive differences between them and the Libertarians.


At any rate, try reconsidering that idea. You never know where it might lead.


blondehare

Ana .. I want to know you.. People who see the truth are the people I need in my life.I think what you wrote is perfect and used it on my FB page.. Please say hello if you have a FB..


Ana di Plosis

blondehare: Thanks for the moral support! Most of my opinions get thrashed on this website, so it’s good to know that there are a few like-minded people around. I would love to “friend” you on FB, but my position in the community requires that I remain anonymous. Thanks for understanding!


blondehare

Your opinions are valid.. You just live in an area which is very racist.. Remember that.I will look forward to your future postings. . Stay honest and stand your ground. There are more like minded then you think.. Just hard to find. I actually had to stop 3 friendships due to Affordable act care..One lady said she never watches the news or reads about politics. She did not care when I said it is Rommy Care.. I only wish I could write as well as you do.

I understand..


Ana di Plosis

Hang in there, blondeshare. You’ve been through a great deal/ordeal with this whole Linda Kennedy case. Well done! I think this thread is just about played out, so I’ll see you on another thread soon!


pasoparent5

Anonymous? Ana di Plosis, judging from your past posts you’re an English teacher at the middle school or high school level.


The Gimlet Eye

Ana di Plosis, your concerns are well taken.


The only area in which I differ with you is in this sharp distinction between D’s and R’s. I am convinced that that is naught but an illusion.


The ruling elite PRETENDS to offer us candidates from the two parties who ALLEGEDLY differ, but in reality, THEY DO NOT! Neither of them is any good or intends to do what is best for the country.


What they DO intend to do is serve the interests of the power elite.


And what are those interests?


>Keep creating money out of nothing, backed by nothing.

>Fan the fires of war and phony patriotism, and keep the present wars going for all that they are worth.

>Tighten the noose of fascism around our necks by finishing their police state which rules us.


All this talk of Obama vs. Romney is a waste of energy and time.


As I said, Kennedy is a small-time local manifestation of the same giant looting scheme going on all over the world perpetrated by the power elite.


OnTheOtherHand

I do agree with your views on the lack of differences between the major parties and the corruption of both. It is a pity that I find your solutions (as posted in other threads on this site) to be unworkably simplistic and flawed. I am somewhat sympathetic as I used to be an advocate of Libertarian philosophies generally, but the economic end of Libertarianism would end up creating a mess as bad as the one we are in right now.


The Gimlet Eye

Why did you give up Libertarianism?


Did you find Keynesianism to make more sense than Austrian economics?


Did you not find “bubbles” suspicious?


Do you think fiat government money is better than sound money?


Do you think fractional reserve banking is better than regular banking?


Do you think that the FED is good for the economy?


Do you think Paul Krugman knows more about economics than Ludwig von Mises or Murray Rothbard?


Do you think “collectivism” is better than Liberty?


The questions are endless, but space forbids.


I’m curious about your experiences with Libertarianism, your knowledge of Austrian economics, what your reading have consisted of, what you know about human action, thymology, marginal utility, free markets, sound money, banking, etc.


SLOBIRD

Talking about morals, at least Romney did it honestly and with his money vs on the taxpayers dollar. President Obama’s first term worked out well for his donors who got special access and taxpayer money for their failed ventures. It hasn’t worked as well for the 23 million Americans struggling for work in the worst economic recovery our country has ever had. Examples: Monday he attended a fundraiser where Steve Wesley (financier who helped arange Solalydra Loan) and Matt Rogers (former engergy dept advisor on the Solalydra loan) were at a $35,800 per person fundraiser. Then we have Mr. Khosla who has made $474,534 in mostly Democratic campaign donations, owns 27% of Gevo the company that just sold bio-fuels to our military at $59 a gallons. And the list goes on about all the favors given to donors. For sure we should not talk about Romney;s moral compass when we voted for change, tansparency, and openness from Obama. He is the most immoral President in our history! We should have known, look where he came from.


R.Hodin

The debt incurred in a takeover is usually underwritten by a bank. And is insured by the Federal Govt. So, yes, there is taxpayer money involved in Romney’s work.


blondehare

SLOBIRD.. Wrong.


Booty JuJu

Do the math. For national high pro cases white collar crime desn’t pay, but for the rest it can pay very well.


blondehare

private investors ? Who were they.. To me there seems to be people involved who are not listed.. Who did she swindle . I want to know more.


danika

Blondshare, getting involved can protect everyone’s mothers…


blondehare

I am so involved you have no idea.. Believe me.. I have government investigators here and it will be taken care of. 4 years of non stop hard work has paid off and hopefully the people who hurt my mother , justice will be served and hope to see it in this paper..Thank you for your support.


BeenThereDoneThat

It’s taken a LOT of patience here on the central coast but all the money b.s. from years past is now catching up to the players and the players are starting to fall like domino’s here in the last year.


Cindy

It sure has taken a great deal of patience, in fact I wasn’t aware that they were actually investigating her. Perhaps she wasn’t fully aware either especially after she visited Paso Robles without incident?


Regardless, one can only assume that she managed to “stash” her ill gotten profits during the early day’s while she was living it up in Costa Rica. Somebody needs to check her passport to see if she headed over to the British VI, the Isle of Mann in England or Belize. If so, she stay’s in prison until she divulges the location and access to the off shore accounts.


I’m curious to know the content (value) of the current impounds.


zaphod
R.Hodin

Plenty of players still under the sheets. Can you hear their knees knockin’ ?


Ana di Plosis

Good work, SLO DA. Now when will Romney be arraigned?


Slowerfaster

That’s what I was thinking.


The Gimlet Eye

This has been a question for some people. I’m surprised that you didn’t put in any links. Anyway, it is a topic for discussion. The following is a soft ball article:


Island tax havens factor into Romney’s business success

Offshore dealings like those of the Republican presidential candidate trouble many, but they’re legal.


http://www.latimes.com/business/la-na-mittoffshore17dec17,0,2757442,full.story


The Gimlet Eye

A much darker assessment of Romney:


Will voting Republican at the next election bring real change to the USA?


http://www.darkpolitricks.com/2012/07/does-anyone-really-think-voting-for-mitt-romney-will-bring-real-change-to-the-usa/


Ana di Plosis

TGE: Thanks for those two very good links. I especially liked this line: “If you think the highest rung of the career ladder is serving burgers at McDonalds, get used to it.” Brings back memories of my teen years. It seems like no matter who wins in November, the American people will continue to lose. Obama has not been a friend to public education–my pet peeve–but Romney has not articulated his vision for pulling the US out of its quagmire, economically, militarily, domestically or otherwise.


The Gimlet Eye

Ana di Plosis, your concerns are totally legitimate. This is a valid comparison.


Again, the question: why would we expect that Romney would be any different from Obama, Bush, or Clinton? I simply don’t buy into the idea that there is ANY substantive difference between any of them.


They are all of the same evil ilk sponsored by the criminal bankers, the MIC (Military-Industrial Complex), and other industrialists who really call the shots in this world.


It doesn’t matter who wins, Obama or Romney. Either one of them will continue to create money out of nothing, start news wars, and gobble up little defenseless countries around the globe, while robbing us of our freedoms at home.


We are in the grip of “crony collectivism,” a horrifying, criminal, fascist political system which will destroy everything in its path until it is terminated.


Mrs. Kennedy is a local, small manifestation of the same, wider, phenomenon. I totally agree.


Ana di Plosis

Hey down-thumbers: how is what Kennedy did @ 21st Century Financial is so different from what Romney did @ Bain? Just because it may have been “legal” does not mean it was “moral.” If what he did was on the up-and-up, why won’t he release his last 12 years of tax returns like his father did when he ran for governor way back when? Hmmm. Just the sort of “free-enterprise” entrepreneur we need to run our economy now, eh?


R.Hodin

Just a reflection of the sort of government transparency we can expect from a Romney administration.


Go ahead, prove me right & give it a thumbs down.


Citizen

You don’t get it. Keep reading the economic reports. We are in serious trouble as a country; we are monetizing our money supply. Obama’s reliance on Keynesian theory advisors cannot work because we no longer have the conditions that Keynes set forth. Borrowing money for stimulus packages is not Keynesian. His theory was that a country during good times would save the money to be used as a stimulus during bad times. Obama is simply following the path of the European countries that are now in serious economic trouble.


It doesn’t matter if Romney was part of outsourcing with Bain Capital. It doesn’t matter if he doesn’t turn over 20 years of income tax reports. Without Romney and people who are dedicated to economic recovery, increases in manufacturing, and jobs, we are doomed.


But don’t believe me, do the research and find out for yourself.


The Gimlet Eye

“do”


hotdog

You say Romney is for jobs? Where would you get an idea like that? He kills jobs here at home.


Citizen

Romney is not President yet. You must be talking about Obama.