Lawsuit accuses PB Companies principals of fraud and deception

June 22, 2016
Oak Knoll Homes

Oak Knoll Homes

Editor’s Note: The lawsuit by Jonathan and Crystal Westbay against PB Companies, Alder Partners, Ryan Petetit and Russ Sheppell is at the bottom of this article.


PB Companies principals engaged in fraud and deception in order to lure a Nipomo man to invest in their companies and provide access to his property, a lawsuit filed last week alleges.

The suit, filed by Nipomo resident Jonathan Westbay and his sister, alleges that PB Companies principles John Belsher and Ryan Petetit deceived Westbay into investing money in a development project they never finished, failed to abide by an agreement to develop a property owned by Westbay, and damaged Westbay’s’ property.

“Throughout his tenancy on the property, Petetit punched and kicked several holes in the walls in the property and caused damage to several other areas as a result of numerous drunken tirades,” the lawsuit says.

Belsher, 62, and Petetit, 30, are involved in more than a dozen proposed projects that once completed, they say, will be worth more than $300 million.

Belsher and Petetit have secured money for their projects from banks, hard money lenders and private investors, according to county records. In some cases, investors have been promised rates of return between 20 to 50 percent, according to an email from Petetit to several potential investors. However, none of their projects have ever been completed.

John Belsher and Ryan Petetit

John Belsher and Ryan Petetit

In Dec. 2012, Belsher and Petetit asked Westbay to invest $25,000 in a 26-home proposed development in Templeton then known as Toad Creek; it has since been renamed Oak Knoll Homes.

In a promissory note Belsher emailed Westbay, Belsher claimed Westbay would get his principal and 20 percent interest returned within 90 days. However, PB Companies has yet to return Westbay’s investment into Toad Creek, the lawsuit alleges.

Additionally, several subcontractors who worked on the Toad Creek development said they have not been fully paid. Multiple lawsuits and mechanics liens have been filed against the developers for failure to pay contractor and investors as contracted, according to county and court documents.

Four people affiliated with PB Companies told CalCoastNews that San Luis Obispo County Supervisor Adam Hill works as a paid consultant for the development company. Hill identifies himself on a statement of information filed with the state as the “managing member” of San Luis Consulting, one of 33 limited liability corporations tied to PB Companies.

While attempting to woo Westbay, Petetit bragged that he was working with Hill, Westbay told CalCoastNews.

Adam Hill speaking at a groundbreaking ceremony for a PB Companies project.

Adam Hill speaking at a groundbreaking ceremony for a PB Companies project.

Nevertheless, Hill has repeatedly denied that he has worked for the developers, asserting on state financial reporting documents that he is paid to do writing and editing for a publishing company.

Westbay’s suit, filed by attorney Michael McMahon with the Paso Robles firm of Carmel & Naccasha, says Petetit approached Westbay in 2011 regarding plans to build a four-unit housing development in Arroyo Grande. Petetit asked Westbay to purchase a property with one home already built on it, and later Petetit promised to return $15,000 of $20,000 in closing costs. The remaining $5,000 would buy Westbay a 10 percent profit when the project was finished.

However, construction on the proposed three homes was never started, Westbay said.

In May 2015, Westbay signed a purchase agreement with Alder Partners, an LLC owned by Belsher, Petetit and PB Company investor Russ Sheppell. In the agreement, Belsher, Petetit and Sheppell agree to purchase Westbay’s Arroyo Grande property within 12 months, which they failed to accomplish, Westbay said.

Even though the developers failed to start construction on the additional three homes, Petetit asked to rent the existing home for his own residence, Westbay said.

Petetit, PB Companies and Sheppell, wrote checks to cover the rent, but $27,000 in checks bounced, the lawsuit says.

Multiple calls to Belsher and Petetit’s office went unanswered.

Westbay and his sister Crystal Westbay are asking the court to assist them in evicting PB Company employees and Petetit’s family from their Arroyo Grande property, return of their investments, payment for damages and court costs.

In the past few years, the Belsher and Petetit team has been accused of breach of contract, commingling investor funds, operating a Ponzi scheme and not compensating contractors. In addition, Petetit is currently facing five felony charges for reportedly choking a girlfriend and smashing her head through a window.

Following Petetit’s arrest, Belsher changed the name of PB Companies several times and announced a separation from Petetit. However, both men continue to work out of the same office.

Jonathan Westbay, who at one time considered Petetit a friend, said there are many people involved with Petetit and Belsher who were never paid for their services or investments.

“I know there are many people who have been physically or financially abused by these tyrants,” Westbay said. “I know that you might feel afraid to speak up or that your voice may not be heard. My answer to you is that you do have a voice and you do deserve to be heard. Only you can make a difference.”

Jonathan Westbay Complaint (FILED) by CalCoastNews



John Belsize’s mind must of gone soft? Or he is broke?


Wow. They are connected to what LEO agencies refer to as the most corrupt city on the west coast. The two of them are crooks, no if ands or buts. Only criminals get sued repeatedly. Only criminals find themselves being criminally prosecuted. Al Capone was connected. Some of the most infamous white collar criminals in the US were connected, like Kelly Gearheart. By the way Kelly had his teeth all pounded out of his head in prison. Now he can’t bit down. This is what is coming for Ryan and John in prison.

Kaiser Bill

I am sure Belsher will demand a special health diet in prison, teeth knocked our not.


Typical CCN crap. Petitit and Belsher are the most of upstanding of citizens and committed to the betterment of the community as attested to by the City of SLO. Like many others I could name, they are much better connected at City Hall than you or I could ever hope to be. Why does Aurignac continue to have complaints against his illegal activities I know to have been filed completely unknown to the city? “Mommmmmyyyyyyy!” Until there is consistency by the city any action is selective enforcement. Petite and Belsher will make the city responsible for the success of their projects as that was what they were told at the chamber mixer. If anything, they have a valid claim in that they did not get a gift of city owned property for their development.

what the

Sounds like Dee Torres. Puke…

the situation

Considering P and B have few friends left, I assume this is Belsher, Petetit, Hill/Torres, or one of the few PB employees that still believe the company is legit and are brainwashed into thinking these crooks are straight. Hey Obispan, why do you keep using Petetit and Belsher’s name together? I THOUGHT PETETIT STEPPED DOWN AS CEO OF THE COMPANY IN NOVEMBER 2015!?!?! Your statement definitely affirms the hypothesis that P and B are still working together and are as thick as thieves


Ryan has not steered far from his roots – living near the corner of Alder and Fair Oaks. The house is a dump. But his mother bragged that Baby Ryan was worth million$. Ha!

If I remember right,his Dad was not too kind to his mother.Hmmm…

Ryan has used his salesman skills on many people, but it seems to me, the two who have been duped the biggest are Belsher & Sheppell. Wake up you fools!


Well Petetit likes his houses just like his women…objects you can kick and punch whenever you tie one on. A real man’s man.

What do you thin Dee…you like a man can beat women? Are you proud that you and your husband are associated with this loser??? YOU SHOULDN’T BE!


It will be a glorious day for SLO County residents when Dan Carpenter is voted in to replace Adam Hill as District 3 Supervisor on Tuesday, November 8.


Sorry but the glorious day will be the day Dan takes office, November 8th will be the day Hill starts his final damage creating days. Can you imagine the harm he will do once he knows he will be out, and the tantrums the Mrs will do in their final days?

Karen Velie

CCN reporters will be on the Dave Congalton Show on KVEC at 3 p.m. today to discuss this issue. Turn your radio dial to 920 AM.


Is anyone surprised? Adam Hill is a complete Douche Bag. Him and the Mrs.

Why people in the south county would vote the bully back in is beyond me. Probably the same fools that are going to vote for CrookedlyingHillary.


Currently Mr Ogden is too distracted to be paying attention to his law practice or associates. More secrets coming out of the closet in 3, 2, 1…


It’s funny how the botched trib article (did he read the lawsuit?) asked Roy Ogden to comment about this B&P lawsuit, because Roy is or was Adam and Dee’s Lawyer.

What would he know unless……..