Armanino McKenna Suit Settled

Per this link, Armanino has agreed to settle for $3.325 million.

Don’t be too excited, though.  This won’t even begin to make anyone whole.  Expect a check for very little and let it serve as a reminder of just how badly we were fleeced.

It’s not a goose egg, but the check coming back to the Robie household probably won’t even cover the cost of our Thanksgiving turkey.

This is in no way diminishes the outstanding efforts of Theodore H.D. Jones, Jeanie Kayser-Jones, and Robert Frost, who fought this battle on our behalf.

Please comment if/when you receive a check.

And in the meantime, “Be passionate about your profession.”

armanino

Coco Times Weighs In

Dear Media,

With the exception of Dan Noyes, where have you been and what took you so long?  This is a big story and deserves your attention.

Regards,

The Robie Family

STORY HERE:

http://www.contracostatimes.com/news/ci_26181046/local-investment-fund-accused-defrauding-investors-out-700

The Rich Get Richer

I need to vent.

Remember Len Epstein and Phil Tagami?

No?  They’re the guys who got a primo piece of property from Walter in exchange for $10.00.  The property was valued at $13,000,000.  That’s $13 million.

This post might jog your memory:

Austin Val Verde

Turns out Tagami is behind the blight you see while driving across the Bay Bridge.  And he’s making MILLIONS doing so.

http://www.sfchronicle.com/bayarea/article/Giant-Bay-Bridge-billboards-light-up-debate-in-5329284.php?t=de8c86e56a3c100abe#/0 

Thanks Walter.  Thanks for taking all of our money.  And thanks for making sure that the ultra-wealthy, people like Epstein and Phil Tagami, could have some of our money.

Thank you for listening.  I wish I felt better, but I don’t.

Do you?

KGO Story on Walter & Kelly’s Sentencing

LINK —> click HERE

Without Dan Noyes, we wouldn’t be on the map.

Ng’s Didn’t Want Us To Talk

Didn’t have time to post this earlier today.  In a move that surprised absolutely nobody, Walter & Kelly’s attorneys filed this document in an attempt to gag us lowly investors.

Heaven forbid someone actually told the court the truth about these slimeballs  😉

Here’s a link to the filing:

Defendant Walter Ng’s And Kelly Ng’s Statement Regarding Investor Testimony

Breaking News

Walter gets sentenced to 5 years of probation.

Kelly sentenced to 18 months in prison.

Sound off.

Another Failed Investment Gone Awry

I believe we discussed this one years ago…

For those who don’t read the Bonner County Daily Bee every day, check this out:

LINK

This summons lists Barney, Wells, MF ’08, Pensco Trust and RE Loans.

 

Who is Frank Largusa?

In the recent comments section, you’ll find a comment by Just Do It pasting a letter in support of Kelly by a guy named Frank Largusa.  Who is Mr. Largusa?

Well, he’s the President of a company named Semano in Hayward:

Semano Inc. was incorporated in May of 1993 and was primarily formed to serve the demanding needs of the semoconductor industry relating to technical anodizing.  The forming partners have over 30 years of collective experience in the anodizing processing and business relating to the semiconductor industry.

Semano Inc. has designed a facility that includes a dedicated line for anodizing, selective nickel plating and chemical cleaning components, gas distribution plates, and etch.

What’s his deal?

Maybe he’s a friend of Kelly’s.  Maybe Semano has some REL/B-4 money…who knows.  Why he’d want to associate with a criminal like Kelly is beyond our understanding.  But since he’s not with us, he’s against us.  Consider emailing or calling Bengie Barretto to request a meeting with Frank.

Semano Inc. 

31757 Knapp St.
Hayward, CA. 94544
Phone: 510-489-2360      Fax: 510-489-4247 

Name                                      Title                                                         Email 

Frank Largusa             President                           flargusa@semanoinc.com

Hans Sellge                VP/Engineering                     hsellge@semanoinc.com

Jose Dacorro               Production Mgr                     jdacorro@semanoinc.com

Harrison Pham            Q.A. Manager                      hpham@semanoinc.com

Bengie Barretto           Scheduling                         bbarretto@semanoinc.com

Maggie Jimenez          Shipping/Receiving                mjimenez@semanoinc.com

Department of Justice Letter Update and Commentary

Well, today the Robie household received its USDOJ Victim Notification System letter that we discussed on this site just a few days ago.

Here’s the gist:

“The government has [charged] defendants Walter Ng and Kelly Ng with the crime of Structuring Transactions for the Purpose of Evading a Reporting Requirement.”

  • That’s the best they could do?  Evading a reporting requirement?  This is nothing like tripping up Al Capone on an income tax issue.  This feels a lot more like giving Walter and Kelly a jaywalking ticket.

“The defendants are scheduled for arraignment on November 6, 2013, at 9:30 AM, before Magistrate Judge Kandis Westmore in Courtroom 4, 3rd Floor, 1301 Clay Street, Oakland, CA.”

  • Okay…tell us more….

The government and defense counsel for the Ngs have reached a resolution to these charges and anticipate that the defendants will plead guilty on November 6, 2013, at 1:30 PM, before District Judge Phyllis Hamilton in Courtroom 3, 3rd Floor, 1301 Clay Street, Oakland, CA.”

  • This doesn’t bode well for the investors.  A “resolution” has been reached.  Why let these guys off easy?  This has the aroma of a skunk’s rear end.

“The government provides this notice to you because you may have been an investor in RE Loans, LLC and/or Mortgage Fund 08, LLC.  Victims of all crimes under federal investigation are entitled to service under the Victims’ Rights and Restitution Act (VRRA), including notification of court events.  However, because you were not directly and proximately harmed as a result of the structuring-related conduct charged in the filed criminal Information, you are not covered under the Crime Victims’ Rights Act.

  • Huh?

“With regard to restitution, the government does not expect to recover any loss amounts in this case.”

Capture

  • The picture above about sums it up.  Et tu, Brute?  Would anyone else supposedly put in place to help us like to cave like a house of cards and do nothing to help those who need — and DESERVE — the help?

“In any event, we will continue to provide you with notifications and services unless you tell us not to.”

  • Gee, thanks.

“Because of the Court’s schedule, hearing dates could change on very short notice.  If you plan on attending, you may want to call the Victim Notification System (VNS) Call Center or check the website to confirm the date and time.  Please note, there is a 24-hour delay in information transferred to the website.”

  • The phone number to call is 1-866-365-4968
  • No, we cannot bill the call to the Ngs

“Separate from the charges filed by the U.S. Attorney’s Office; please note that the Securities and Exchange Commission has charged Walter and Kelly Ng by Complaint with fraud-related securities violations for their activities involving RE Loans and Mortgage Fund 08.”

  • Finally some good news in an otherwise bleak letter from the government.
  • It’s not our Victim Witness Specialist Yvette Baird’s fault that it seems like these thieves are getting off scott-free.  She’s just doing her job.  The real blame lies with the folks WAY up the food chain.
  • We matter.  There are A LOT of us.  We’ve all been stolen from, duped, lied to, taken advantage of and, in some cases, had our lives upended, detoured and even ruined.  All because of the Ngs and now they’re essentially getting away with it without ever having to pay the true piper.  This isn’t right.  This isn’t justice.  This is injustice, and it’s far from the American way.  Our government has failed us.  The DOJ, the SEC, the California Attorney General, the FBI.  Everyone.  It’s fucking preposterous and every official, whether elected or appointed, should be ashamed.

 

 

 

Jail Time Coming for Walter & Kelly?

Dan Noyes on Ng’s Fate:

The charging document, “the United States of America versus Walter Ng and Kelly Ng,” says they, in effect, looted the funds by making repeated cash withdrawals. The Ng’s are charged with “structuring transactions for the purpose of evading a reporting requirement;” 11 counts for Walter, 20 for Kelly. Each count carries a possible 10 years in prison and a $500,000 fine.

Quick math:

  • Walter 11×10 = 110 years, $500,000 fine
  • Kelly 20×10 = 200 years, $500,000 fine

May they live that long to serve out their potential prison terms….

Where’s Bruce, we ask?

Courtesty KGO

Courtesty KGO

While many of us are beyond the age when a tax write off is helpful, it may provide solace for some.  John Robie’s message to everyone who got ripped off:  KEEP UP THE FIGHT.  Anyone who invested in RE Loans, RE Reno, or Mortgage Fund ’08 needs each and every one of you to stay strong and keep the pressure on.  Kudos to Brown and Bernard Wittenburg, amongst many others, for their efforts.

Finally, thanks to Dan Noyes for being the only reporter in the NATION who has stayed on top of this story.

http://abclocal.go.com/kgo/video?id=9273735&pid=9273730

Faces of Failure

Where’s Mackinac These Days?

Faces of Failure

Faces of Failure       Jim Weissenborn

Certainly not “navigating companies to financial success.”  It’s astounding that Jim Weissenborn would publicize his association/relationship with RE Loans on his website:

As co-founder and Managing Partner, Jim leads or co-leads numerous Mackinac Partners practice areas, including Financial Restructuring, Transaction Advisory, and Specialty Real Estate, which includes advisory engagements with national and regional homebuilders, sub-prime mortgage lenders, Resort and timeshare operators and housing-related manufacturers. Jim has served as Chief Restructuring Officer for several of the firm’s hospitality and real estate-related clients, including…RE Loans, LLC.

My dog could have achieved similar results for far less pay.

 

 

“Freedom Lies In Being Bold”

The title is a quote from the author Robert Frost, which is certainly apropos as we’ve just unearthed this “COMPLAINT FOR AIDING AND ABETTING BREACH OF FIDUCIARY DUTY”.

It was filed against Armanino McKenna in the names of three brave investors who have taken on the burden of leading the charge for the greater good of the whole.

Thank you to Theodore Jones, Jeanie Kayser-Jones and (not the author) Robert Frost.

Link to Lawsuit

Sound off below and let us know your thoughts.

Ponzi A-Hole Scammer Sentenced – Ng’s Next?

James Koenig gets 42 years.  Good.

In other news, we wait for something to happen to Walter, Kelly & Bruce.

The Tax Man Cometh

He’ll be here soon.

Many need to figure out their strategy.  Write off your losses, some of your losses or do nothing?

It’s been relatively quiet here lately after the MF ’08 news dropped and someone decided to fling some insults at me.  It’s okay, it’s all part of the game.  I’m just glad there’s something happening at the government level.  I wish MORE were happening (hint, hint FBI), but this is a good start.  I’m not sure anything can trigger a recovery of more than a few pennies on the dollar and I don’t think we’ll see 100 cents on the dollar – ever – but we’ll all take what we can get given the injustice that has been dropped on us like a pigeon from an overhead wire.

May the good graces of luck deliver good news for us and horrible news for the Ngs.

Cross your fingers and keep dialing the FBI.  They’ll listen one of these days.

p.s. What do you think Phil Tagami and Len Epstein are up to right now?  They got their money out.  So did Eddie Orton (some of it at least).  So did the McGah Family Trust.  The rich get richer, apparently, and they get away with it.

Barney Ng

This blog has received a lot of feedback on the Barney issue, both positive and negative.  We took a hard-line stance that this blog should remain civil – as civil as possible given the highly charged, emotional nature of the state of our union.  Long story short, we not only appreciate the feedback many have provided, but we are willing to rethink the hard-line stance on the Barney discussion.

As such, please utilize this space to discuss Barney’s role in this fiasco.

Is he innocent?

Should he be given a hall pass because he may likely be aiding the investigation if not the legal battles being waged?

Do you even care as long as some of the other conspirators are brought to justice?

We’ve all invested a lot of time, a lot of money and a lot of heartache into the Bar-K scandal.  It’s ugly and it’s likely only going to get uglier before it (hopefully) gets any better.

Use this thread as a place to discuss Barney’s role in our plight.  Civil discussion only shall be permitted and John Robie shall be the arbiter.

Fire away….

SEC Sues Walter, Kelly and Bruce for Fraud

By now, you’ve all likely heard the great news.  Stories are everywhere.

Here

Here

Here

and

Here (my personal favorite as it calls them “fraudsters”)

So…

What’s it mean for Mortgage Fund ’08 investors?

What’s it mean for RE Loans investors?

Does it mean anything for RE Reno investors?

Weigh in….

Ng’s Keep the Judicial System Busy

It’s been awhile since we’ve all gathered in a courtroom, but on Tuesday, August 28, 2012 there are two legal proceedings happening the same day in two different court systems, both in Oakland. Attorney Robert Brower has provided the tentative ruling for the Wells Fargo consolidated class action suits, which denies Wells Fargo’s request for demurrer. Seems likely that Wells Fargo will throw lots of legal fees at trying to change the judge’s mind, so Attorney Brower recommends checking back here Monday night for an update. If court is happening, it will be at:

Alameda County Administration Building
1221 Oak Street
Oakland, CA 94612
Judge Steven A. Brick, Dept 17
3:00 pm Tuesday August 28

** Note correction on the name of the building**

Small courtroom, first come seating, leave time for security. You all know the drill by now. But this would be our first opportunity to meet the class actions attorneys, and show some support for our own cause.

If you’re in town early, several blocks away at our familiar haunt; the courtroom of Judge Efremsky at the US Bankruptcy Court, the bidding on Walter and Maribel Ng’s rugs and household goods resumes at 11:00 am.

U.S. Bankruptcy Court
1300 Clay St. Room 201
Oakland, CA

Walter and Maribel lied on their personal bankruptcy filing, and these are the goods which are in excess of what they claimed and are legally allowed to own. This meeting will be where Kelly Ng uses money he got from us to bid on the items seized from Walter Ng and Maribel Ng, which they bought over the years with money they got from us. But it’s not like we got nothing out of the deal–there was dinner at the Silver Dragon.

At the price range these are bidding in, it will hardly make a dent in the legal bills, so we’re unlikely to see a penny out of it. But if the recording from the last meeting is any indication, there will probably be plenty of eye-rolling and heavy sighing entertainment from the family drama queen, Kelly Ng.

This is the best we can do?

Just accept the plan.  It’s the best we can do.  Wells Fargo didn’t do anything wrong.  We’re not in cahoots with the Ngs.  We weren’t chosen by the Ngs.  Our counsel wasn’t chosen by the Ngs.  We’re independent.  We’re looking out for you.  We have your best interests at heart.  We know more than you.  You don’t understand.  You’re not smart enough.  You should trust us.

Sick and tired of hearing these insulting types of comments made by members of the creditor’s committee and Walter and Kelly’s friends?  Vote to REJECT the plan.

When Robert Brower, Dixon Collins and many, many others who have fought tirelessly on behalf of the 99% are telling us to REJECT THE PLAN, throwing up your hands and siding with insiders (the 1%) who are covering their own asses is the wrong solution.  Reject the plan.  Reject the notion that you can be duped AGAIN.

Fool me once shame on you.  Fool me twice shame on me.

 

 

…and so it begins

Has anyone ever played the carnival game Whack-A-Mole?

Now is the time to test your hand at the game.  As you know, Ng apologists are popping up out of the woodwork everywhere.  We’ve seen it on this blog, we’ve seen it on the Google group and we’ve heard rumors of Walter Ng Pearl Tom gearing up to send hand-written letters to investors in an effort to persuade them to accept the plan we should outright reject.

Over the next few weeks, Elliott Abrams and Ms. Tom will be joined by other shills, ambushing us with misinformation about the impending vote.  Members of the Ng hand-selected creditor’s committee represented by Ng-selected attorneys will tell you to vote for the plan.  Don’t be bamboozled by their shenanigans.  Simply pick up the mallet and take a theoretical whack at the mole.

Then send your ballot to AlixPartners.  Vote to “REJECT” the Plan.

 

No Means No – REJECT THE PLAN

Why You Should Reject The Reorganization Plan

We (and by “we” I mean those of us who aren’t in on the scam) can make this easy on ourselves.  We really can.  Vote no.  Reject the plan.  I’m voting to REJECT THE PLAN.  All you really need to know is one simple item.  When your packet arrives in the mail, you’ll find a nine (9) page letter from the Official Committee of Note Holders of R.E. Loans, LLC, et al.  Search for the BIG BOLD CAPS.  Focus on this sentence:

THE COMMITTEE RECOMMENDS THAT YOU VOTE TO ACCEPT THE PLAN

Interestingly, the letter from the “committee” “elected” to represent us doesn’t actually list their names.  It doesn’t matter.  Here’s the math:

Any Committee Member = Walter Ng

The very people recommending urging us to trust them and approve their plan are the same people who been accused of taking distributions when the rest of us got NOTHING.  They’re the same people who were purportedly spotted dining with Walter and Bel and they’re the same people who will, without a doubt, screw us over to protect themselves and their friends.

The nine page tome suggests five times that we accept the plan.  I suggest six times that we REJECT the plan.

The last time we “voted” on a plan, our ballots ended up floating in the proverbial Bay.  Our votes didn’t matter because once Walter and Kelly cast their votes, it was over.  The process is slightly different this time around.

The Class of Noteholders will have accepted the Plan if at least two-thirds in dollar amount and more than one-half in number of the Allowed Noteholder Claims that are actually voted are cast in favor of the Plan.

Walter can line up the two-thirds in dollar amount votes.  Can he line up MORE than 50% of the entire votes that will be cast?  I don’t think so.  Many of our busiest traffic nights on this very blog saw over 1,800 unique views.  We’re out there.  We can “win” (Yes, I’m using the term “win” rather loosely).  We can beat Walter at his own shell game.  We need to vote.  Every one of us for each and every account we hold.

A few other notable items from the expensive packet of crap they sent us:

Mackinac Partners and Jim Weissenborn would remain in charge to liquidate our assets.  They’ve done such an absolutely shitty job to-date that we should not allow them many more years of revenue on our backs.

Page five (5) item B discusses the “Plan Compromise”.  The Committee got this right in that you should read this in detail.  My reading says this is such a blatant cover your ass and screw the majority it’s not even funny.  It’s sad.  And it should be criminal (is ANYONE at the FBI or SEC actually listening?).  The only compromise we’d be making is to our own detriment.  Read this:

The Plan Compromise resolves potential objections to, or grounds for subordination of, the Noteholders’ Claims, and further eliminates the risk that Noteholders could be subject to future litigation over the recovery of distributions paid to Noteholders between November 2007 and the Petition Date.

Do you know what this means?  It’s a GET OUT OF JAIL FREE CARD in a legal sense for Walter, Kelly, Barney, Bruce and everyone who got money when the rest of us couldn’t.  It glosses over the fact that the exchange agreement was potentially illegal, but who cares when the committee elected to represent us doesn’t actually represent us?

If you’re worried about the sweet little bank with the stagecoach, don’t.  Wells Fargo will be just fine under this plan, because if the plan is accepted, we will be giving them a full release.

The document also warns us about the downside of rejecting the plan.  This downside would be a Chapter 7.  While Pearl, Gene, Allen Cone, Sherrat Reicher and their cronies warn us about the ominous nature of a 7, I believe there are many, myself included, who would welcome a 7.  This gives a Chapter 7  Trustee supreme power.  Walter would be instructed to bend over and cough while we inserted the Hubble telescope up his anus.

Finally, our friends on the committee estimate a distribution of  approximately $34-$63.6 million for Distribution to Holders of Allowed Claims, including Noteholders”.  INCLUDING Noteholders?  We’re still second fiddle, but this time we’re likely taking a back seat to the attorneys at Akin Gump and all the other firms eating our cake.  Do the math on the low number and we’re looking at a glass that isn’t just half-empty, it’s entirely empty.

I urge you to VOTE NO.  REJECT THE PLAN.

I’m John Robie and I approve this message.

Read This

I found this to be a fascinating read and believe the U.S Trustee did a smashup job of recounting Walter’s various missteps and lies.  Please spend a few minutes reading this:

Trustee vs Walter Ng

Showdown In Oaktown

Wednesday, January 25, 2011
2:00 PM
1300 Clay Street, Room 201
Oakland, CA 94612
Hon. Roger L. Efremsky

Multiple motions are being heard, including DSI’s attorney William McGrane’s:

Motion to move the RE Loans Bankruptcy from Texas to California. Other attornies involved in the case have written letters of support for the move. Presumabley Mackinac Partner’s attorney Jeffrey Krause will fly in from Los Angeles to defend James Weissenborn’s seat on the RE Loans gravy train, and bill investors thousands of dollars for the effort.

Motion to strike Walter Ng’s declaration, unless Walter will agree to testify at hearing and be cross examined on his statements. Since Walter has plead the fifth in most questions, McGrane argues that if Walter’s declaration is admitted, he should be compelled testify at the hearing where he can be cross-examined.

Could this be checkmate?

With so many lawyers involved, this hearing may boast one of the highest costs-per-minute  in legal fee  we’ve seen yet.

Click here to read some of the arguments and filings.

Get there early to get a seat and let the judge see that we do care about being involved in the process, as the lawyers supporting the move have written in their arguments.

Ding Dong…

…is the witch almost dead?

 

You might want to give this whopper of a document a read:

2011-12-01_LETTER_from_W._McGrane_to_W._Neary

Holy smokes!

An Update From The Field

Don’t Miss the Tracy Green Show!

November 2, 2011 2:00 p.m. Courtroom 201 1300 Clay Street Oakland, California.

Come one, come all to hear Ms. Green’s motion on behalf of the esteemed creditor’s committee to move the Walter Ng Bankruptcy to Chapter 7. Didn’t Judge Efremsky already suggest this a while back. . .?

As usual, get there early because seating is limited. Let’s be nice and try to save a few seats for the FBI, SEC and Dept of Labor.

Also, if you could not make it to the October 25th Walter Ng Status Conference, here’s an update:

Continue reading

FBI Update

By now, many of you have received a letter from the FBI notifying you of the the fact that we may be a “victim of a federal crime”.  The letter also included an “Investor Questionnaire” asking for some pretty detailed information.  At first glance, the FBI is asking for a lot of information.  Don’t let this stress you out.

A friend of the blog was able to confirm that the most important documents are cancelled checks or wire transfer confirmations on deposits and withdrawals to REL/MF ’08 (missing from the questionnaire is RE Reno)and to whom the money was sent and/or given.

For example, did you hand the money to Bruce at a dinner, did you mail a check to Susie, did you wire money through your bank account?  Conversely, did Walter hand you a check, did Bruce arrange for a wire transfer, or did they hand you a bag of cash?   Some of these scenarios are more likely than others, of course.

Just do the best you can, even if the information is complete.

Thanks and please use this thread to discuss and/or comment.

We’re on our way, folks.  Where?  I don’t know.  But we’re going somewhere, and that’s positive in and of itself.

RE LOANS FILES FOR BANKRUPTCY PROTECTION

RE Loans filed for bankruptcy.  While this was inevitable, no doubt, it’s still a shock to the system.  Despite the fact that it’s our money, our lives and our futures, the real bankrupt entity is the Ng Family Dynasty.  They’re morally bankrupt.  They’re ethically bankrupt.  Yet they’re still out there doing business and tricking more suckers like us out of their hard-earned savings.

Maybe Led Zepplin said it best in “When the levee breaks”

If it keeps on rainin’, levee’s goin’ to break,
When The Levee Breaks I’ll have no place to stay.
Mean old levee taught me to weep and moan,
Got what it takes to make a mountain man leave his home

Equitatus posted the following a few minutes ago: Continue reading

Eating a Loan – Weyrich article with REL/Walter mention

The more the merrier…

I-Team

Great story tonight, link to be posted shortly.  In the meantime, you can read more here:

http://iteamblog.abc7news.com/2011/08/i-team-investigates-ng-investments.html

Monday Funnies

Worthless New Website (Thank You For Spending Our Money, Tracy Green)

Thanks to Tracy Green, we can waste our time getting zero information on <a website> built at our expense, an expense, we might argue, that is far greater than the value provided by Ms. Green and the website combined.

Continue reading

Tracy Green of Wendel, Rosen, Black & Dean – Angel or Bottom Feeding Troll?

Tracy Green, a name some of us are familiar with (and some have even met with in regard to our conundrum), has applied to be named counsel to the unsecured creditors’ committee.  The link below will lead you to her application.

Continue reading

Honolulu Airport

The HNL issue has been referenced a few times over the past number of days.  Here is a link to a post we did on this very item last October:

The Honolulu International Airport, Bar-K and “Gross Bad Faith”

Fighting Kaplan

The documents on Equitatus’ blog are worth reviewing.  In the end, Kaplan and his firm will likely be representing Maribel & Walter.  While it costs us money (that we don’t have) every time papers are filed and court appearances occur, we gain a deeper insight into the affairs of the entities and the individuals, which is highly beneficial.  Transparency benefits us.

UPDATE:  Forgot to mention that a mailing arrived yesterday from Kaplan.  Yesterday was, of course, June 7, 2011.  The Continue reading

Kaplan’s Kapers (UPDATED to include BRAVO, BROWER)

Thanks Equitatus:  http://equitatus.files.wordpress.com/2011/06/us-trustee-objection-to-hiring-of-counsel.pdf

Thanks Again to Equitatus and especially to Robert Brower:  http://equitatus.files.wordpress.com/2011/06/r-brower-objection-re-walters-attny.pdf

yes…we are fans of alliteration here…

Walter’s Financials

It’s rather interesting to peruse the financial exhibits provided by Walter’s attorneys.  Who knew that Bar-K was worth a grand total of $0?  Have you ever heard of LOWN, LLC?  We always thought Barney was the creative force behind the naming of the LLC’s, but we were wrong!

You can find the documents by clicking on THIS LINK.

Thanks to super sleuth Equitatus for their hard work in tracking down these documents.

Update From Bar-K’s Website

Here’s the latest from the good folks from Bar-K, RE Loans, MF ’08, Lend, Inc., Mackinac Partners, etc. etc. etc.

Take it for what it’s worth:  Click Here:  bk-additional-information

Siena Update

Thanks again to the inscrutable blogging superstar behind REReno for the attached document and the willingness to provide their thoughts: Continue reading

This Is Insulting

Lunacy is defined as “Insanity, especially insanity relieved intermittently by periods of clear-mindedness.”  What’s missing at the Bar-K office is the part about intermittent clear-mindedness, as evidenced by their statement below.  They certainly have the remainder of the definition covered.

REL Statement

Please Attend The Creditors Meeting – June 6th

Thank you to Dixon Collins for the following: Continue reading

BREAKING NEWS!

Maribel & Walter Ng filed for bankruptcy protection yesterday, listing their estimated assets at $500,000,001 to, get this, $1 billion.  The judge assigned to the case is the Honorable Roger L. Efremsky.

Walter checked the box that says, “Debtor estimates that funds will be available for distribution to unsecured creditors.”

Please do us a favor and click the links below to learn more (and to see your name listed as a creditor). Continue reading

May 13th Trial – Open to the Public

Attend if you are able….you’ll learn A LOT, starting on May 13, 2011:

John and Jane McGuire vs. Bruce Horwitz, M.D. and Walter Ng
Alameda County Superior Court

Assigned for all purposes to Judge George C. Hernandez, Jr.
Department 607, 2nd Floor
Fremont Hall of Justice
39439 Paseo Padre Parkway
Fremont

The Fremont Hall of Justice has a very large parking lot behind the building. It is two long blocks from the Fremont BART station.

Jury trials are held Monday through Thursday, 8:30 a.m. to approx. 2 p.m., with several short breaks during the day. There is no lunch break.

Is Anyone Surprised?

We thought the Tumwater story was over and that we could close the book on at least one awful Ng investment.  Turns out we were wrong.  Two newspapers, the Olympian and the Tacoma News Tribune, report that the folks who purchased the brewery property through their LLC (“It’s the Water LLC”) are suing you-know-who.  It’s the Water seeks to void their $12 million purchase of the agreement and seeks a return of their $360,000 deposit. Continue reading

Barney’s “Hobby” Revisited

The Siena saga is nearly over, but info keeps landing in our laps.  Therefore, we present another document with the following reader comment:

3 Page Notice that all claims close 15 April, then 26 pages of creditors.  Wouldn’t you love to know how much American Document Destruction is owed, and exactly what their services were?  It takes some major cajones to stiff your shredding company.

Click here for the document:  Creditors Doc 265

Do you see any creditors on the list that spark your curiosity?

 

What’s New In The Zoo?

A few items for your consideration and comment:

  1. KGO investigative reporter Steve Fyffe has been interviewing investors and noteholders.
  2. Hundreds of noteholders have contacted the FBI.
  3. People haven’t yet embraced the new message board (http://s3.excoboard.com/barkinvestors) – try it out today.
  4. Weissenborn remains in hiding.
  5. The Ad-Hoc Creditor’s Committee must be holed up with Weissenborn.
  6. Barney hasn’t sued or been sued in months.  Weird. Continue reading

Did RE Loans “Park” Money?

It has come to our attention that RE Loans may have allowed some of its investors the ability and/or option to “park” money in the fund.  “Parking” is a term used to describe money that is deposited into a fund, but not necessarily invested in the fund.  Rumor has it that R.E. Loans offered a parking service for some of its preferred investors who wished to place their money somewhere on a temporary basis.  The interest earned may or may not be reported to the IRS, some have speculated.

For example, it seems possible that the $5,000,000 returned to J. Robert (“Eddie”)  Orton, III, on March 30, 2007, just a day or two before the “freeze” letter was mailed to investors, was money that had been “parked.”  Same with Len “Austin Val Verde” Epstein’s return, perhaps? Continue reading

Mortgage Fund ’08 2010 Year End “Newsletter”, Doom & Gloom Edition

For those keeping score, Kelly Ng wins.  Jim Weissenborn loses.  Kelly (the good son?) did everyone a favor by getting the end of the year newsletter out “early”.

Unfortunately, we’re the real losers based upon Kelly’s bullshit-laced tome.

You might as well sit down, pour a cocktail, practice your breathing or do some yoga, because this is not pretty.  Despite our favorite Cal Volleyball Coach’s strong effort to make everyone think everything is hunky-dory, it ain’t, people.  In fact, MF ’08, as everyone already presumed, is just about as screwed as RE Loans and RE Reno.  If you want to keep reading, this story and the link to the letter continues after the jump.

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Required Minimum Distributions (RMD’s) and your “investment”

Equitatus brings up an issue that has been discussed here and there, but we believe this topic is important enough to highlight and discuss:

Equitatus writes:

“I’m not asking for tax advise but my brother noteholder will be 70 this year. The following is from the IRS web site:

Required Minimum Distributions (RMDs) generally are minimum amounts that a retirement plan account owner must withdraw annually starting with the year that he or she reaches 70 ½ years of age or, if later, the year in which he or she retires. However, if the retirement plan account is an IRA or the account owner is a 5% owner of the business sponsoring the retirement plan, the RMDs must begin once the account holder is age 70 ½, regardless of whether he or she is retired.

How do make or account for an RMD when you funds are frozen?”

Mortgage Fund ’08, RE Loans letter to Walter Ng and Kelly Ng

Three cheers for Mr. Jim McKenna’s letter to Walter & Kelly, linked here and copy and pasted below.

https://barkinvestors.files.wordpress.com/2011/02/jim-mckenna-letter.doc

============================================

February 4, 20111

To: Kelly & Walter NG

From: Jim McKenna

Re: MF08 & RELoans

Continue reading

Good News (sort of)

Our 1099 arrived via mail today.  Turns out the good folks at Bar-K zeroed it out without even having to be asked, so we won’t be paying interest on all that money we made in 2010 on our “investment”.  Yee-haw.

Keep Your Eye On The Ball

Or don’t.

Just know that the Siena story isn’t simply history.  It is a story that is constantly evolving and unfolding right before our very eyes.  It is an amazingly instructive story that can only help us if we pay attention.  Continue reading

Heads They Win Tails We Lose

People often ask what the difference is between the Siena bankruptcy and a soap opera.  We’re not sure we know the answer, but research genius and insider-outsider founder of www.rereno.com might have some insight, as the following was sent along:

Continue reading

What’s On The Horizon (a positive posting)

While the future of RE Loans/Mortgage Fund ’08/RE Reno appears bleak, not all is lost.  There are some good things happening in our little world.

Continue reading

Tri Ng became Bar K

The document doctor delivered another document (and is a big fan of alliteration).  Here it is.

Here is the link to the previous post on the subject:

https://barkinvestors.wordpress.com/2010/10/02/tri-ng-to-look-out-for-our-well-b-ng/

Barney’s Failed Experiment – The Siena…where the fun never ends…

Interested in staying up-to-speed on the Siena?  Click on the two links below and let us know if you can find any items of interest:

Cash Flow July 2010

Cash Flow August 2010

Tumwater Water Documents

If you like documents, you’ll love this posting.

We don’t want to sensationalize this posting, however.  Some documents are informative, many are not.  It has taken many months to cobble together these documents.  All-in-all, there are too many people to thank for assembling this information, but you know who you are and hopefully that’s thanks enough.

File management proved to be a severe challenge, so consider this more of a document dump than an orderly, numerical library.  Feel free to save the documents in a file on your computer and peruse them at your own speed.  Use this posting to discuss your findings and perhaps this will lead us all back to our inner “Researcher” by potentially helping us figure out who got the water money and why (and then where it went!).

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RE Reno Seven Months Later…

On May 14, 2009 Barney Ng wrote the following to RE Reno investors:

I recognize and appreciate the trust that you as an investor have placed in me in originally providing this Loan to the Siena, and because of this I am committed to the pay-off of the loan.

Barney’s commitment to paying off the loan should be lauded.  His follow-through, however, is laughable (so is yours, Walter – you, too, signed the personal guarantee).  Barney continues… Continue reading

Loan #A0110

We believe THIS DOCUMENT is very important.  We posted it on the old site.  Researcher and AnotherNgVictim batted it back-and-forth.  We’ve posted it on this site.  Now we’re posting it again.  Why?  Because we believe this is the single most important document we have discovered to date.  Do you think it’s important?  If so, why?  Please share your thoughts.

Weissenborn Lives!

Thanks to bluemoonagency for the heads-up.  After eight days of silence, Team Weissenborn finally found the time to give the peons an update.  Why is the update dated December 6th, yet posted two days later?  Bigger questions exist, however.  While Weissenborn’s memo is short, it says a lot and leaves us pondering the following:

  1. How much existing debt remains outstanding?
  2. What is the existing interest rate?
  3. New advances?  For what?  Please explain.
  4. New advances “accrue interest at a 4% higher rate”.  Higher than what?  The existing interest rate?
  5. We are being conditioned to accept the fact that Weissenborn and his cronies will take out a new loan in an effort to pay off the WFF LOC, again subordinating noteholders to junior status.  We know what a new line of credit means.  It means our money is gone and Weissenborn, Lend, Inc. and all the others eating and drinking from the Bar-K trough are getting fat and happy at our expense, laughing all the way to the (offshore) bank.

Anyway, mark your calendars for February 28, 2011!

Weissenborn Update

RE Loans # C0390 – Canyon Club (9% of REL portfolio)

Thank you Equitatus for bringing up one of our “favorite” REL investments, Canyon Club aka Snake River Sporting Club.  If you like documents, this post is for you.  Per Equitatus:

Q: Whats RE Loans biggest investment?A:  C0390 Canyon Club 61,146,348 9% of RE Loans (EDITOR’S NOTE – While technically true, if you add up Loan #s P0097 Georgetown/LochenHeath at $90M, Canyon Club is the second largest loan).

What does valuation expert Mary Ann say about it, “We are estimating that the loan will be paid in full seven years after the due date which is 1/7/2016, with several interim payments along the way beginning in 2011. As shown in the table, the estimated fair market value of the note is $16,821,364 or$16,800,000 rounded which is $28 per $100 of face value.”

Q: How did we end up in this mess? Continue reading

This Deserves It’s Own Thread

From Equitatus:

Jim Weissenborn has a new letter on the RE Loans web site. http://reloansllc.com/pdf/cro.pdf Comments please.

The Strangely Expedited Sale Of The Siena

Is there something more to the expeditious sale of the Siena than meets the eye?

Read this:  Zive To Retire

Then ask yourself which firm represents the new owners of the (Grand) Siena.

The Long Trail Of Lies Continues

Walter’s letter to RE Reno investors, dated November 11, 2010, states that the sale of the Siena “has not closed as of November 15, 2010.”  That’s just the beginning of the absurdity contained within Walter’s letter, found HERE.

Walter states that “it appears likely that the aggregate distribution to R.E. Reno from the sale proceeds will be in the range of $2 million to $2.5 million.”  Is Walter so senile as to actually believe that RER will command over half of the sale price when companies like IGT, Konami Gaming and the various city and state agencies are all vying for the proceeds?  This is just another case of half-truths and nonsensical blue sky B.S.

Continue reading

Tumwater Brewery Update

Updated Story – Click HERE

The ‘Mourning’ After

Rage faded to disappointment overnight, but returned with a vengeance this morning.  The realization (or was it a reminder?) that the valuations provided by the NG family aren’t simply inflated, but greatly exaggerated, hit like a ton of bricks.  Weissenborn and his high-priced team have been noticeably quiet.  They apparently don’t have time to update us on anything, let alone the great financial loss we sustained yesterday.  Arent Fox made money.  Stephanie & Matthew Kelly made a few bucks.  So did Innovation Capital, to the tune of $300,000 plus consulting fees of $10,000 per month.  We, however, lost everything unless, of course, you believe in divine intervention.

Continue reading

Siena Auction TODAY – Rambling Thoughts and Questions

From REreno:

“So tomorrow is the auction. I’m a bit of an insider and have been following the activity closely. There was only one party who conducted a thorough due diligence inspection of the Siena as far as I can tell (I read vanity plates and the contractor signs on the F-150s in the parking lot). I think the opening bid will be $1. And I have no indication that there is a back up bidder. I don’t think that RE Reno or Loans has the deep pockets anymore to enter the fray. Meaning you investors will be wiped out 100%.”

We know Konami Gaming filed another objection yesterday.  We read what REreno wrote above.

WHAT DOES THIS MEAN?


Continue reading

Siena Watch – UPDATE

Per the RGJ’s Ray Hagar this morning:

The auction of the Siena Hotel Casino in downtown Reno will take place next week in a Reno courtroom, where a national investment banking firm will try to sell the downtown resort that recently closed after a long string of financial problems.

“The reality is that the Siena has ceased operations and we are going to sell this in a bulk sale in one transaction to a singular buyer,” said Matt Sodl, managing director of Innovation Capital LLC in Los Angeles. “It will be a turn-key operation for that buyer and that buyer can either run it as it were, with the hotel and casino, or the buyer can decided if they want to operate a casino there or not.”

Those interested in participating the Nov. 10 auction are asked by Monday noon to submit a $250,000 deposit by wire transfer, evidence of financial wherewithal, a signed non-collusion affidavit and a mark-up of the Debtors’ form purchase agreement.

One-on-one tours of the property will be held on Tuesday with the auction Wednesday in the U.S. Bankruptcy Court of Judge Gregg Zive.

“We have marketed this thing far and wide and have a lot of interest in this asset,” Sodl said. “We have had a lot of interest from in-market competitors to buyers who are looking to get involved in the Reno market.”

CA Election Results May Not Bode Well for Bar-K Investors

Jerry Brown, former CA Governor, former Oakland Mayor, current CA Attorney General, and now about to once again become CA Governor, and Oakland movers and shakers Phil Tagami and Len Epstein;

“He (Tagami) is one of Brown’s closest confidants, and though he won’t admit it, one of the most influential players in downtown Oakland. “
http://articles.sfgate.com/2005-03-18/bay-area/17364783_1_fox-theater-buildings-loma-prieta

Jerry Brown’s wedding was held in the Oakland Rotunda.  (reference the newspaper article, above.)

His latest election night party was hosted in the recently renovated Fox Theater in Oakland.  (reference again the newspaper article, above.)

Tagami and his mentor/business partner Len Epstein, both fast friends of the Ngs, are/were very large investors in RE Loans and ‘may’ have received greatly preferential treatment when they were ‘given’ the Austin Val Verde loan/property (as was previously reported here and for which there are public documents, one of which is available here:  https://barkinvestors.files.wordpress.com/2010/11/santa-barbara-documents.pdf

Reportedly, at least two requests were made of Attorney General Brown last year by RE Loans, LLC investors to investigate Bar-K, RE Loans, the Ngs, et al.  On both occasions AG Brown’s office declined to do more than give the requests even minor consideration.

Hopefully the next AG will be willing to conduct an investigation into the almost one billion dollar fiasco that is commonly referred to as Bar-K.

ANV

Who Is James Kroetch?

Who is former Bar-K attorney James Kroetch?  Will a deeper understanding of Kroetch lead us down a productive path? 

An anonymous poster has pointed out that Kroetch now runs Medallion Silver, LLC:

Entity Name: MEDALLION SILVER LLC
Entity Number: 201002510065
Date Filed: 01/22/2010
Status: ACTIVE
Jurisdiction: CALIFORNIA
Entity Address: ONE NORTHWOOD DRIVE STE 1
Entity City, State, Zip: ORINDA CA 94563
Agent for Service of Process: JAMES E KROETCH
Agent Address: ONE NORTHWOOD DRIVE STE 1
Agent City, State, Zip: ORINDA CA 94563

If anyone out there believes an examination of Kroetch can be instructive, please share any information you might have below in the comments section.

Legal Discussion

Insider Researcher asked the following:

“Would you consider a new topic were we can discuss some of the pending litigation, the status of the case, and what it means to us as investors? Even discussing the closed cases, like Alegria/Grassi can help to uncover the truth or get a better understanding of how the Ng family and their attorneys operate.”

The answer is a resounding “yes”.

We’ll kick things off with a few updates.  First, it appears as though Dwight Dixon Collins and Kathleen D. Collins have sued Walter, Kelly, Bruce, RE Loans, Armanino McKenna, Greenberg Traurig and Elizabeth Cobey, an attorney at Greenberg.  Noticeably absent from the list is everyone’s favorite villain.  Secondly, down south in Reno, the Debtors (Team Barney) failed to appear on the 25th, so the case has been continued until November 15th.  Lastly, Judge Zive denied the application to approve the Kelly Law Group and Matthew Kelly as Special Corporate Counsel.

So let’s discuss.  Have at it….

This blog is a safe place.  You can post anonymously.

Today we challenge you to take a step forward, hopefully fueled by the distressing news regarding the Siena.  We’re not giving up hope.  We are continuing to educate ourselves, to uncover the truth and, ultimately, we will use these truths to recover what is rightfully ours.

We’ve had enough of the status quo.

Have you?

The Honolulu International Airport, Bar-K and "Gross Bad Faith"

This unpublished opinion by Judge James R. Lambden is quite a nugget.  Bar-K sued First American Title Corp. If you are interested in the details, click the link in the first sentence.  If not, then focus on the excerpts below:


“Without the benefit of an appraisal and with minimal due diligence, Ng concluded the lease and improvements were probably worth $8 or $9 million and certainly no less than $6 million”.

“The trial court rejected (Bar-K attorney) Kroetch’s  testimony. . . noted that Kroetch . . . was “obviously lying” and had “zero” credibility. The court also did not believe the testimony of Bar-K’s office manager”.

“Gross bad faith by Bar-K”.

“Bar-K had “intentionally tried to trick” First American into looking like an escrow holder.”

“The court stated, “Bar-K’s escrow claim was a ploy, a scam, a fraud” that was “consciously orchestrated by Bar-K” with the consent of its management.”

“The cases cited by Bar-K in support of its argument are either inapposite or contradict its position.”

“The court found that Bar-K brought a meritless, bad faith claim”.

What else can be said?  We invested our hard-earned dollars in these guys.  We put our faith in these guys.  We entrusted our retirements, our lives and our futures in these guys.   We invested generations worth of dollars in these guys.  Hindsight certainly is 20/20.

UPDATE: BAR-K LOSES REAL ESTATE LICENSE AGAIN – SEE STORY AND COMMENTS

Note:  The following has been re-posted by request.  The original was posted on September 18, 2010.  New information has been provided in the comments section below.  Barney’s license is/was listed as ‘Salesperson’, not ‘Broker’.

Another day another doc.  Click HERE and scroll down to page 8.  Look in the middle column near the top.

Barney Joe NG (Real Estate Officer – “REO”) and Bar-K (Real Estate Corporation – “REC”) were suspended by the Department of Real Estate for a 2832 10177 (d) violation.

On page 5, you’ll find disciplinary action definitions.

  • A 2832 is for “Failure to comply with trust fund handling provisions.” 
  • A 10177 (d) is a “Violation of real estate law or regulations.”

These violations were effective 10/31/01.  Barney and Bar-K were suspended for 180 days, but the suspensions were stayed on terms and conditions.  No word on what the terms and conditions were, but it does highlight a disturbing trend of questionable actions.

Siena Hotel & Casino – Is The End Near?

According to a local TV station, the Siena’s casino floor is not currently open due to money woes. 

READ THE STORY BY CLICKING HERE

More here, too

Siena Bankruptcy Update

Following up on the September 14th posting entitled “Siena Bankruptcy”, we stated that we were anxiously anticipating the day the Wild Game Ng / Hi-Five and/or Five-Way Development lease would be made public.  That day is upon us.

There are two leases that we could find.  The original lease from March 6, 2000 and the amended lease from April 14, 2000.  Are we to believe that the original lease Barney signed with Barney wasn’t rich enough for Barney in hindsight (6 weeks later)?

It turns out that we were way off on the numbers from the September 14th posting.  The monthly rent wasn’t $350,000 per month. It’s actually $553,333.34 and, prior to the Siena BK filing, was scheduled to balloon its way up to $774,666.67 shortly, as the lease hits its tenth year. It was scheduled to escalate to $885,333.34 in its 15th year. Anyway, the latest filing seeks to suspend these $553,333.34 monthly payments from Wild Game Ng to One South Lake, substituting $11,000 monthly payments instead.  For those of us who are mathematically challenged, that’s $132,000 a year – a nice income that many of us would be thrilled to have given the state of our investment(s)…but let’s move on, shall we?

Something that initially makes no sense is the fact that the lease is by and between Wild Game Ng and Five-Way Development.

“On or about March 6, 2000, One South (as successor-in-interest to Hi-Five Enterprises, LLC and Five-Way Development) entered into a Land Lease and Hotel Casino Lease pursuant to which it leases the Property to WGN.”

 

If that’s the case, why is One South Lake the beneficiary?  Well, on August 22, 2001, Hi-Five Enterprises Granted, Bargained, or Sold to One South Lake Street – you can find this document on the marvelous Washoe County Recorder’s website.

The BK lease document is full of good information.  The following comes from Barney NG’s declaration:

“Pursuant to the Casino Lease, WGN is currently required to pay to One South
monthly rent, without deduction, setoff, prior notice, or demand, equal to an estimated $553,333.34 per month, payable in advance. This rental amount is based upon lease modification documents recently provided to the Debtors by RE Reno, which documents are inconsistent with the Debtors’ internal books and records. The Debtors’ accounting team, under my supervision and direction, is currently verifying this number and reconciling all available documents with the Debtors’ books and records. Since commencing these cases on July 21, 2010 (the “Petition Date,”), however. WGN has not made such rent payments. In connection with WGN’s usage of cash, WGN and One South have been providing R.E. Reno, LLC (“RE Reno”), One South’s secured lender, with periodic operating reports setting forth the Debtors’ net cash flow and operating results, and comparing those results to the Debtors’ operating budget previously tiled with this Court. As demonstrated both by the Debtors’ budget and by its actual operating results during the pendency of these Chapter II cases, WGN is operating on close to a “break even” basis and does not have the ability to make the lease payments called for under the Casino Lease, Furthermore, as of the Petition Date, WGN owed One South as much as $10 million or more pursuant to the Casino Lease on account of unpaid, prepetition rent. (The amount of the prepetition default under the Casino Lease is still being calculated and verified by the Debtors’ accounting staff. under my supervision and direction,).  The Debtors commenced these cases primarily to obtain the breathing space afforded by the Bankruptcy Code’s automatic stay while they implement various operating improvements, locate a new operator or transactional partner for The Siena, and develop a plan of reorganization for their business. Those efforts have been ongoing, and 1 have received numerous expressions of interest that I am currently exploring.” 

Anyone care to comment?  There is plenty of meat in the above paragraph.

Finally, we’ll leave you with the following – does anyone care to comment on the sheer number of affiliated entities and loans and deals zinging back and forth between Walter and Barney (and Barney and Barney)?  Who recognizes Gold Mountain Financial Institution?  Didn’t the RE Loans Operating Agreement strictly cap the percentage of affiliated loans that could be made?

VIII.  FUNDS FOR TENANT IMPROVEMENTS
Landlord shall provide construction funds for tenant improvements to the premises. Such construction funds shall not exceed $35,000,000.00 (less closing costs, attorneys’ fees, the Land Lease Portion defined below and other related costs and expenses) (the “Construction Funds”) which amount, together with $5,000,000.00 borrowed for acquisition of the premises and loan broker fees, Landlord has or shall borrow from Gold Mountain Financial Institution through two loans arranged by Bar K, Inc., a California corporation, evidenced by a promissory note in the amount of $20,000,000.00 dated June 29, 1999 secured by a first position deed of trust recorded against the premises (the “First Loan”) and evidenced by a promissory note in the amount of $20,000,000.00 dated April 17, 2000 secured by a second position deed of trust recorded against the premises (the “Second Loan”) other real property. The lien of such deeds of trust against the premises shall be senior and superior to this Lease. The disbursement of the Construction Funds shall be made in accordance with the requirements of such lender.  Tenant shall have the right to approve the use of the Construction Funds.  All costs of construction in excess of the Construction Funds shall be the responsibility of Tenant.  The term “Hotel & Casino Lease Percentage” shall be deemed to be the percentage determined by dividing the difference between the amount that has been funded under the two loans minus $2,090,000 (which equals that portion of the $40,000,000.00 that is used to pay existing liens against the property that is secured by the deed of trust under the Second Loan that is not secured by the premises) by the amount that has been funded under the two loans.  The term “Portion Funded Percentage” shall be 100% less the percentage determined by  dividing that portion of the $40,000,000.00 that is not funded for construction by $40,000,000.00.

Bar-K and Barney NG were suspended by the CA Dept. of Real Estate in 2001

Another day another doc.  Click HERE and scroll down to page 8. Look in the middle column near the top.

Barney Joe NG (Real Estate Officer – “REO”) and Bar-K (Real Estate Corporation – “REC”) were suspended by the Department of Real Estate for a 2832 10177 (d) violation.

On page 5, you’ll find disciplinary action definitions.

  • A 2832 is for “Failure to comply with trust fund handling provisions.”
  • A 10177 (d) is a “Violation of real estate law or regulations.”

These violations were effective 10/31/01.  Barney and Bar-K were suspended for 180 days, but the suspensions were stayed on terms and conditions.  No word on what the terms and conditions were, but it does highlight a disturbing trend of questionable actions.

Siena Bankruptcy

There are a few documents that we are anxious to see as the bankruptcy moves forward.  The first document is the supposed lease signed in March 2000 between Wild Game Ng (Barney) and Hi-Five (Barney) where Barney is supposed to be paid approximately $350,000 per month in rent.  The second document is the underlying paperwork attesting to the fact that Hi-Five (Barney) owns 25% of One South Lake (Barney).

If you’re confused, it’s quite simple.  Barney will come out of this filing smelling like roses.  The rest of us won’t.  We’re not surprised.  Are you?

Jim Weissenborn’s September 9, 2010 Newsletter

We will spend time breaking down the newsletter in the near future.  In the meantime, here are our initial thoughts:

  1. The money is gone.  If you can’t figure this out after reading the newsletter, we feel sorry for you.
  2. On page 3, the nifty pie chart shows 0% of the loans Walter, Barney, Bruce and Kelly made are performing.  Note that everyone’s favorite, Walter, is included in this list.  Conventional wisdom these days is to point the finger at Barney, but it’s not too difficult to understand that sweet Walter may have unclean hands.
  3. Speaking of Barney, Capital Salvage is a far bigger player in this whole mess than I anticipated.
  4. Speaking of Bruce, it’s sad that such a well-respected member of the community found it so easy to mislead us.  These investments were safe according to Bruce.  They’d never lost a penny according to Bruce. Don’t worry, said Bruce.  NONE of the loans were safe.  Not a single one.  The exchange agreement is no big deal, said Bruce.  Nothing will change if you sign the exchange agreement, said Bruce.  The exchange agreement subordinated every single investor to WFF.  Forever.
  5. WFF drew down all but half a million dollars of REL’s cash reserves.  Question – how much was in the account before WFF drew it down?
  6. Weissenborn wants to take out a smaller loan to cover taxes and carrying costs in the amount of TWENTY MILLION DOLLARS!   Weissenborn is simply digging a deeper hole for us.  Question – Will the noteholders be subordinated even further down the list?  Likely pecking order if/when the new loan is secured:  1)  WFF 2) Company loaning $20 million 3) noteholders.
  7. The Ad-Hoc Creditor’s Committee isn’t supposed to communicate with the other noteholders, but they are supposed to help Weissenborn gain a better understanding of “investor concerns.”  How can the committee understand what we’re going through if they’re not allowed to converse with the rank-and-file?  The hand-picked committee is a sham.
  8. Pearl Tom is a member of the Creditor’s Committee.  Why does her name keep popping up everywhere?  Ms. Tom’s name appears on all the Siena/Wild Game Ng/High Five/Five-Way/One South Lake bankruptcy filings.  Somehow she’s figured out how to receive notice on all the BK filings.  Just who is Pearl Tom?  We’ll delve into that at a later time, but it’s becoming abundantly clear she’s in cahoots with sweet Walter.

More later….

A Spotlight on Kelly NG

One fourth of the B-4 partnership happens to be a BIG volleyball fan.  He plays volleyball.  He coaches volleyball.  He even trains for volleyball by dancing along with some sort of video game.

Money Manager, Volleyballer and Dancer Kelly NG was highlighted in this SF Chronicle blurb.

That, my friends, is 1/4 of the B-4/Bar-K/RE Loans/Mortgage Fund ’08 brain trust.

Investor: Barney NG is "An Egomaniac"

The RGJ takes a superficial look at the Siena.  Barney speaks, but continues to blame the Siena’s failure on the slot machines.  You can read the article here:  Siena Doomed To Fail?
The paper also runs a companion article.  This one is kind of fun given the title on the RGJ headline about Barney:  “He’s An Egomaniac”.


76 year old Joe Villareal of San Leandro put $160k into RE Reno and half a million into RE Loans.  We’re not sure who Mr. Villareal is or how Ray Hagar tracked him down, but we’re thrilled to see an RE Reno investor speaking publicly about the issue.

Ron Langenbahn, 78, apparently put $600k into “Bar-K”.  I wonder if that means RE Loans, Mortgage Fund ’08, RE Reno or, perhaps, some combination of the funds.

We need to push for further investigation into the deals the Bar-K people put together.  We need disclosure on what the deals look like.  We need to be able to follow the money, which may lead us, the investors, or some sort of government entity to action and help us recover our investment dollars.

Labor Day Weekend

Today is Friday, September 3rd, 2010.  Labor Day is on Monday.  It’s also the day before most kids go back to school across the country.  The importance of Labor Day to investors in the Bar-K family of funds is that the majority of the investors *must* labor, more often than not because our investment has stopped paying interest.

It is going to take a lot of energy to continue the fight to recover our money lost to the NG dynasty.

In that spirit, may you enjoy the national holiday to the fullest.  Rest, relax, sit in the sun, have a cocktail, a picnic, or a barbeque and, hopefully, take some much needed time with family and friends.

Revolving Door Policy

Finally a bit of press coverage on something important to us.  Unfortunately, Rolf Boone, the author, got it wrong at the end, as Capital Salvage, as we all know, is Barney’s entity.  RE Loans recently “won” the property back at auction, essentially recovering the note for no money down. Get an NG out, replace that NG with another NG.  That’s the theory here.

If, in months or years past, “the brewhouse was listed for $2 million and the two parking lots were listed for $1 million,” then RE Loans (or Capital Salvage, if you will), isn’t taking home a lot of cash, which means the WFF LOC isn’t going to dwindle much, if at all due to this potential sale.  Also, what’s with the NG propaganda machine touting potential sales?  It’s all horse manure until there is something concrete to tell us.


After the article, in the comments section, my favorite newly found, highly informed commenter, AnotherNgVictim, pops up again and points out the following rock-solid information:

“A bit more research would have shown that Capital Salvage, Inc., a California Corporation, is owned and managed by Barney Ng. (of Siena Hotel, Reno, NV infamy.)  RE Loans, LLC, the entity which recently had the winning bid, is owned and managed by Walter and Kelly Ng, Barney’s father and brother.  All three of them have held ‘ownership’ of the property for some time through one corporation or another. They’re the ones who loaned the original money to All American Bottled Water Company.  The “cast of characters” is listed at http://www.reloansllc.com/partners.htm
The list of corporations owned by these three is too long to post here.  Be aware that with any sale of the Tumwater property, even if papers are signed and money has changed hands, the Ngs will still be involved, wheelin’ and dealin’, and that we poor saps who invested the better part of a billion dollars with them won’t get one red cent of this or any other money.” 

Here’s the link to the article:

Plans solidify for brewhouse – Business – The Olympian By Rolf Boone

Scouring the internet for NG dirt

Technology is really amazing these days.  Back when I invested in RE Loans, the internet wasn’t what it is today.  Now, a simple Google search turns up some really incredible information.

Read this story about Michael Ohayon & David Papera.  Then scroll down to the comments section and check out the posting made by my favorite internet poster of the month, AnotherNgVictim. If you check the 2009 (de)valuation document written by Mary Ann Lerch, you’ll spot Loan Number T0467.  Loan Number T0467, as Lerch states, is “REO. Property is owned by R.E. LOANS, LLC (3XS, LLC).”  3XS, LLC is a registered business in the state of California.  The Agent For Service Of Process is none other than Michael Ohayon.  The comments made by AnotherNgVictim do a great job of pointing out the NGs history of doing questionable deals with crooks (see All American Bottled Water in Tumwater, WA).

AnotherNgVictim does us another favor by walking us through some of the history regarding the NG reign of terror.

Finally, AnotherNgVictim draws attention to some happenings in the Aloha State (click here for some pretty jaw-dropping information) that certainly confirm what many already presume to be true, i.e. that Barney loaned money solely to collect fees and points from every side of the deal, that this whole thing is a shell game being played to enrich a select few and, of course, that we’ve been snookered because none of these investments are the “safe” investments promised to us by Walter and Bruce.

I will continue my search for information and, more importantly, truth.  It’s about time people actually realized who the NGs are and what they’ve done to us.  They owe each and every one of us a staggering amount of money that we’ll likely never see in this lifetime.

The Press, The Government and Disappointment

There are a few issues that have caught the attention of Bar-K investors lately.  You know what they are, right?  The Olympia Brewery in Tumwater, WA and the Siena Hotel and Casino in Reno, NV.

I’ve been disappointed by the lack of media coverage on these two issues, with the exception of the Channel 4 in Reno and an obscure blog.  When the local TV station  and a blog upstage the local newspaper, something is wrong, especially when it comes to investigative journalism.  The Reno Gazette-Journal (“RGJ”) writes a story here and there on the Siena, but, ultimately, they are just skimming the surface, which does less harm to the local economy.  I get it.  I really do.  There are jobs at stake here.  This has a profound effect on lives, relationships and families.

I’m sure rank-and-file employees are not thrilled with the the way its members have been treated.  We’ve seen Channel 4 report on paychecks falling short of minimum wage requirements, on paycheck deductions for medical insurance that was going straight into the corporate coffers while letting the insurance coverage lapse and we saw one brave (former) Siena employee get fired for telling the truth.  Meanwhile, the RGJ, through their silence, seems to be telling people to look the other way.  Maybe they would feel differently if their company were one of the creditors – the 430 pages of creditors – listed in the bankruptcy filing.

In Tumwater, a picturesque city located 2.5 miles south of Olympia, the capitol of Washington State, there has been little coverage there, as well.  The local paper, The Olympian, has run some stories, touching on the All-American Bottled Water debacle, the foreclosure and the “auction”, but they, too, have not cared enough to delve too deeply into the specifics.  The AP has picked up the paragraph on the “auction”, which then ran in the Seattle Times, the Tacoma News Tribune and, strangely, the San Jose Mercury News, but that’s about it.

Meanwhile, the SEC is nowhere to be found, having only taken a cursory glance at the RE Loans issue, presumably choosing to hide behind the Exchange Agreement per a December 3, 2009 letter from Michael S. Dicke, Associate Regional Director of the SEC.  No information was given as to the scope of the SEC’s investigation.  Maybe Dicke and his associates are too busy surfing the net for porn to conduct a thorough investigation.  We’ll have to trust they did everything they could.  Tax dollars well spent, no doubt.  While the SEC was browsing erotic materials online, the CA Department of Corporations chose to discontinue their investigation into wrongdoing as well.

Finally, our elected officials have let us down.  From the Attorneys General of California and Nevada (and probably a dozen other states as well) to the other various local, state and federal officials elected to represent us, there’s not a single one who appears to care.

December 31, 2012

MARK YOUR CALENDARS!

December 31, 2012 is the maturity date of the RE Loans note.  As we all know from our thorough reading of the October 2007 RE Loans Reorganization Plan And Note Program (the “Exchange Agreement”), we can get our money back if the Ngs feel like it.

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It’s so close we can almost taste it!

Kelly NG. Volleyball Coach / Fund Manager. WHAT WERE WE THINKING?

Math Camp

It’s summer, and children across the country are having the time of their lives at camp.  Maybe it’s art camp, perhaps it’s religious camp, or something more athletic like soccer camp.  I figured the good readers of the Bar-K Investors website might want to join me at math camp.

As we all know, there are too many people who have had to end their retirements and go back to work.  Some have had to stop watering their lawns, or scrap the remodeling of their homes.  Others had to swallow their pride and move in with family members.  Even worse, some of us have skipped medical treatments or been unable to pay our medical bills.  I have heard stories about some unfortunate noteholders losing their homes to foreclosure.  It’s far from uplifting.

We generally know how many people are part of the Ng coalition (Walter, Barney, Bruce, Kelly, etc), but how many people have been affected by the meltdown/dismantling of the funds directly or indirectly?  There are roughly 2,000 RE Loans investors (rounding up for those nitpickers out there who have a tendency to be overly exacting).  Let’s start doing some math.  If there are 2,000 REL investors, how many are married?  Half?  Okay, so that’s another thousand people give or take.  We’re up to 3,000.  How many have kids?  Half?  Great, let’s be conservative here and say 1,000 people each have one child.  That gives us 4,000.  I know there are a lot of senior citizens invested, so there are some grandparents out there.  Let’s say 25% of those with kids are grandparents and that each grandparent has one grandchild.  That’s another 250 on the conservative side.  So we’re up to 4,250.  Add in the Mortgage Fund ’08 investors (anyone know the numbers?  I’m not a MF’08-er) and the RE Reno investors (same here, help please!) and I’ll estimate that we’re looking at 7,500 PEOPLE directly or indirectly affected by this catastrophe.  Multiply that number by 100,000, which could be the average investment into the Ng family of funds and you’ll arrive at about 750,000,000, which is the supposed amount, in dollars, of the value of the RE Loans fund.

Feel free to offer your own fuzzy math below in the comments section.  I welcome your input and your creativity as well as your stories.  You’ve finally got a place to share, to vent, to scream, to rant, to rave and to generally raise holy hell.

That is, of course, what math camp is all about.

B-4, aka a story by Mario Puzo

According to those in the know, B-4 includes the following:

— Walter Ng
*81 years old…coincidentally born the same year as the beginning of the Great Depression. Walter, the patriarch, is the Godfather, Don Corleone in this story. Loved and trusted by many, despised by some…will the people ever really know who the real Walter Ng is?

— Barney Ng
*Some consider Barney to be either Michael Corleone or Sonny Corleone. He’s probably a little bit of both — he’s smart, devious, impulsive, lives in the shadows, pulls all the strings….

— Kelly Ng
*Some consider Kelly the Fredo Corleone of the family. Call him up on the phone and come to your own conclusions.  To make ends meet, Kelly coaches volleyball (Kelly’s Other Day Job – go to roster, then scroll down to coaches).

Dr. Bruce Horwitz
*This is the guy who got people to trust the investment pools. Who better to trust than a pediatrician?
*Consider him the Tom Hagen of the family, the consigliere, in a way, except for the fact that Michael Corleone and Tom Hagen never sued each other.