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Prosecuting
Mr. Curtis - or is it Persecuting?
Posted
by CotoBlogzz | 05/26/2009 8:30 PM
PCM General Manager Milt Johns, taking exception to
the coverage by Orange County Register of the recent
exile of United Mutual Director Michael Curtis from
his own community, documents his displeasure at the OC
Register's reporter and documents the rationale
for barring Mr. Curtis from certain areas of the
community in a memorandum to the United Mutual Board
dated May 21, 2009 - (click here
for pdf facsimile).
"United
Director Michael Curtis has once again sent out a
viral e-mail, which has been editorialized and
published by the OC Register, accusing PCM and the
corporation Boards of wrongdoing, apparently
precipitated by barring him from PCM's offices on the
second floor", reads in part the note.
Then accuses Mr. Curtis of having
provided the OC Register reporter privileged
information, which some argue is the Community's
infamous Incentive Plan - click
here for copy of alleged smoking gun. However, as
far as we can ascertain, the alleged privileged
information is the same one Mr. Curtis discusses
during the February 2009 Board Meeting
In the Memorandum, Mr. Johns makes certain assertions, such
as:
1. PCM will not
longer reply to a certain OC Register reporter
“due to her biased reporting that results in
articles based on self-serving accusations and
misrepresentations
2. Over
the past nine months, “employees
have made multiple complaints to PCM…
they are serious allegations, and PCM had no
choice but to insure the safety of their employees by
separating them from Mr. Curtis.”
3. “It
is a common belief of American institutions that
incentive plans contribute to the savings, ingenuity,
and productivity that improve companies, big and
small.
Signed, By
the following United Board Members: Lloyd Foster,
Bevan Strom, Linda Wilson, Paul Vogel, John Dalis,
Maxine Mcintosh, Arlene Miller, Gail McNulty, Marty
Rubin, Marv Rosenhaft
Needless
to say, Mr. Johns' memorandum raises more questions
than answers, so we take our questions to the United
Board and PCM's Public Relations personnel. The
questions posed to the board are as follows:
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A.
You may recall that last year OCR/Globe
reporter Cheryl Walker remarked that “"Never,
ever, in the years I have been here, has the
PCM staff, or any group from the boards, gone
over our heads to the Register to try to
control editorial content in the Globe or the
web." , however, Laguna Woods resident
Joe Fschler rebutted
Ms. Walkers remarks saying:
“This was a definite attempt by the
President of the Third Laguna Hills Mutual to
control the editorial content in the Globe and
also threaten our constitutional right of
Freedom of Speech”
So,
is PCM trying to control OCR’s
editorial content or not?
If the OCR coverage makes everyone
uncomfortable, do Mr. Johns assertions in this
case carry any weight?
Also, as you may know, we have been following the Laguna
Woods community for some time giving PCM and
the various boards an opportunity to comment
on anything we publish.
Given that we have been unable to
engage neither PCM, nor the boards, based on
the aforementioned memorandum, can we conclude
that the CotoBuzz Journal coverage of the same
issues is not misleading as the OCR’s
according to Mr. Johns, and solely fact-based?
B. As
you may know, in a separate case,
when PCM employees felt threatened by a
73-year
old resident, a restraining order was
filed.
Over the past nine months, has PCM kept the United
Mutual board informed of potential liability
over Mr. Curtis
threatening behavior toward PCM
employees?
If so, can you supply verifiable
evidence? If so, the board would the board
having not done anything, can it be viewed as
dereliction of duty?
If not, why is it that a restraining order was
not filed against Mr. Curtis by PCM as done
with Ms. Skogen?
Does
it follow then that Mr. Curtis is less
intimidating to PCM employees than Ms. Skogen?
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Whom
or what are most you afraid of? |
 |
 |
| Lou
Skogen - A Restraining
Order filed against her |
Michale
Curtis - Exiled from certain
areas in the community |
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C. The
incentive plan is a tougher issue and Mr.
Johns’ defense is less then compelling:
“The auditors did not see me do it,
therefore corruption does not exist”
argument carries little weight in the current
environment where corruption is rampant in the
public and private sectors.
Further, we have published letters from
residents discrediting Mr. Johns’ assertions
contained in the references “Setting the
Record Straight Document”.
For reference, we have copies of documents
turned in to the
IRS from a resident whistleblower who
thinks something is wrong with the finances in
the community.
As you know, this is also a serious
issue, as the IRS may not be too kind to those
who file baseless complaints.
Additionally, we have documents from
other whistleblowers who have approached HUD
for similar reasons.
Given that Mr. Johns asserts
that the incentive plan was approved by
United Board Members: Lloyd Foster, Bevan
Strom, Linda Wilson, Paul Vogel, John Dalis,
Maxine Mcintosh, Arlene Miller, Gail McNulty,
Marty Rubin, Marv Rosenhaft.
Can you confirm this is so and provide
us with verifiable evidence so that indeed the
record can be set straight?
Please
note that we continue to receive
correspondence surrounding the matter of Mr.
Curtis, such as the letter to the editor
(CotoBuzz Journal) tentatively titled, How
to recognize a cheater – which
includes a video clip of a board meeting
depicting Mr. Curtis being heckled.
The video clip clearly shows a board
more concerned with whether the information
Mr. Curtis is using is or is not privileged,
rather than the more substantive fiduciary
duty he is trying to address
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We also followed up
with Mr. Curtis to make sure that we understood other
assertions made by Mr. Curtis - Although we received a
line by line response, we only include the most
pertinent material below:
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I'm not accusing the boards of wrong
doing with respect to the $5.4M PCM reports
they secretly skimmed from our
treasuries. As PCM reported, boards had
no knowledge. Milt is purposely
misleading you here"
I have never
made accusations that the Boards "have
engaged in illegal and secret bonus
plans." Never. What I have
said is the Boards have failed to do their fiduciary
duty to investigate what happened and get our
money returned. The other portions of my
allegations are not false. The Boards
and PCM are certainly blocking my access to
records. PCM has certainly engaged in
illegal and secret skimming of our funds, and
board members and PCM have certainly continued
to try to defame me. I have made NO
"false accusations" as Milt says -
NONE! Milt is making these false
statements to protect himself and PCM
I did NOT
say that it was the "Board's decision to
block" my access to the 2nd floor.
Look at last Monday's memo; it was from
"Laguna Woods Village" (i.e. not any
one of our corporations - actually,
a non-entity) and clearly states this was
a PCM business decision. The memo
actually implies the Boards had nothing
to do with the decision. Milt again
misleads you. I want to know why is was
not on a PCM letterhead.
Milt just
can't help but mislead you ... e.g.
"The United Board has consistently
provided Mr. Curtis with many documents he has
requested." How many is "many"?
That's not providing me with all the documents
I have requested. I have not asked for
personnel records - only information on
accounting books and records. PCM and
the Board have blocked most
every request.
I have no
doubt "PCM staff" have felt
threatened. If you have something to
hide, then someone digging into records and
asking detailed questions is a threat to
you. Now, Milt only has "female PCM
staff members" surrounding him, and
naturally, they want to protect their boss and
their job. We all know I am
assertive. I feel I am equally
assertive towards all PCM employees and Board
members. As part of the management
of a $93M annual business; I expect
complete and honest answers to questions, I
expect professional and timely responses to
inquiries, I expect access to records "of
every kind", and I expect fellow
board members to act in such a way that
reflects the serious
responsibilities they have as a fiduciary.
Our homes are big investments that I
want to protect, along with keeping our
monthly assessments down as much as possible,
ensure our funds are used properly, and
residents are protected.
But, Directors cater to PCM and
accept everything they say
... like the story of the Pied
Piper ... following along behind to be
eventually lost..
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| Mr.
Curtis response to Mr. Johns Memorandum to the
United Board |
Conclusion:
Our conclusion to the United Board as we asked board members
to comment is
Perhaps the bigger question is: Why is it that all of the issues surrounding the community
seem to not only involve PCM, but also controlled by
PCM?
Why is it that PCM employees seat on any board?
That in itself is an apparent conflict of
interest.
Why is it that PCM dictates what can or cannot be done in the
community? Take the Ultimatum
delivered to the Third Mutual board by PCM, for instance.
In other words, who is in charge in word and deed,
of the decision-making process anent management
of the association affairs?
On a related matter, we are covering the recently launched
initiative to recall certain United Board directors.
We estimate that in matter of hours, close to 30% of
the required signatures have been certified, perhaps
indicating that residents are not too happy with the Board nor PCM, or is there another plausible explanation?
Further,
since United Director Maxine McIntosh has blocked our
email address, we will be force to editorialize –
something along the lines of: “Is
itn ot counter-productive for a community to spend so
much on Public Relations when boards simply cut the
press off because they do not like
to answer the tough questions, such as Ms. Maxine
McIntosh?”
No
response from anyone, except from board President
Lloyd Foster who simply responded with "jodyf"
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Comments.
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