May 2009  

We do not make jokes, we simply watch the LA Times, the Orange County Register and CID/HOA board of directors and report the facts


Laguna Third Mutual's President Queries Answered

Which  wolf will you  feed today?

 Posted by CotoBlogzz  |   05/06/2009  9:00 AM |  

Have you heard the story about an old man who keeps struggling with two  constantly fighting wolves? The first wolf represents truth, the second represents evil.  When he is asked which wolf will eventually win, he responds, "the one I feed"

Reacting to the piece  Katie Wins, Moore et al: 0, McDaniel 2, published by the CotoBuzz Journal April 23, 2009, Mr. Michael Curtis, member of the Laguna Woods Village United board of directors, asks the board to do the right thing.   Any two board members can call a special meeting.  Third should call a special meeting, consider the costs and bad press they will be facing for the next 1-2 years, put their collective hat in their hand, and reinstate Katie”.  Mr. Curtis summarizes  in part, his argument for re-instating Ms. McDaniel as follows”

  •      "The path you're on serves no real purpose. 

  •      The path you're on will cost a huge amount of money.

  •      The path you're on will be a constant distraction to the board and community.

  •      Moore, Muennichow, and Souza are up for reelection this year - potential big changes anyway.

  •      Because Katie was removed "without cause", she is eligible to run for a seat this coming September"

 Promptly, the President of the Third Mutual Carol Moore responded thanking Mr. Curtis and asking clarifying questions,  as follows:

"It appears you want to save the community money and to protect our homeowners. We appreciate your interest. I would like your help in this endeavor. Could you clarify a few issues for the rest of us whom you feel do not understand the issues as well as you? Your help will be appreciated.

    1. Whether a director of a board in this community is a member of Third Mutual or not, do you believe there is any effect if that director takes an action that might affect not only that director's board, but the members of the other mutuals?    (a yes or no answer will help, but if you would care to explain, please feel free). 

    2. Do you feel a director of any board can take an action that can affect that director's board without the knowledge of the other board members? (please explain) 

    3. What is your personal feeling regarding fiduciary duty, i.e. what do you feel it implies? (please explain) 

   4. If discussions which have been deemed confidential, take place during a closed session meeting, what is your opinion regarding that information? I.e. what is your personal feeling regarding confidentiality? 

Thank you for your help with this matter. I look forward to your response."


Questions posed by to Mr. Curtis by Ms. Moore

To add social context to Ms. Moore questions  given that these seemed to be directly related to handling of confidential information, we followed up and asked Ms. Moore and certain majority board members the following:

You may recall that some 12-16 months ago Third Mutual president Jim Matson initiated censure procedures as a result of a letter sent to Globe's Director's Corner asking for a new property management agreement, a forensic audit request and,  request for accountability.  The censure was reportedly handled in executive session, then copies supplied to the Residents Voice, causing  great furor in the community- is this the type of handling of confidential information you refer to?

Then there were statements made in the Positive Solutions campaign literature last year that must had to come from discussions in closed board sessions.  Specifically discussion about whether to remove either Milt or PCM.  It is understood that Ms Cynthia Conners and Mary Robertson  were involved - on the other hand, apparently Ms. Robertson now seems to be cheer-leading efforts on behalf of Milt an PCM - radical change, but does involve the handling of confidential information as well. It is also widely speculated that Ms. Conners still  maintains communication with the  boards.

You of course know that Ms. Robertson was  at the courthouse with Cris Trapp when judge Horn heard the arguments over the McDaniel Vs. Third Mutual case, and after the session she conferred at length with O'Brien (new Third legal counsel) and Trapp.  What type of official business if any, does Ms. Robertson have with O'Brien and Trapp, given that she has no formal connection to the board.  Is this also an illustration of the confidential information you refer to?.  As for the response to the question of fiduciary duty, we expect to rely heavily on the information we have received from Mr. Paul Loghrey.

Questions we asked Third Mutual President Ms. Moore

Mr. Loghrey's Fiduciary duty illustration


Mr. Loghrey's  illustration - Which wolf will you feed today?

Although we did not get a response from Ms. Moore, Third Mutual director Carol Skydell did not like the fact that we addressed our questions only to certain member of the board.  The only plausible conclusion we can reach is that Ms. Skydell does not want to be associated with either the majority or the minority.  That way she can argue that she is on either side.


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