Jun 222021
 

Did you know that Lisa Bartlett is up to her old self-serving tricks again? Remember when your intrepid blogger took off after Bill Brough and people accused Lisa Bartlett of standing up and telling her story to benefit herself? (Brough was to have run to Bartlett’s right for State Senate)

Now – today we have a screwy coalition opposing Lisa Bartlett’s latest move:

CALL ME MA’AM DAMMIT…

This luminary is on the same side as Jon Flash and Diane Harkey. This caused my bs-o-meter to redline.

You see, Lisa Bartlett has had a string of felony stupid, yet self-serving actions. She endorsed John Moorlach despite the fact that John Moorlach’s Chief of Staff covered up the rape of Trish Todd while waiting for $44K in consulting fees to be paid by Brough. (Conclusion I drew from known facts) Bartlett told Brough’s victims they don’t matter anymore now that she got Brough out of the way.

Now – Lisa Bartlett is pushing a “term limits” measure for a special election ballot. This means if the measure passes, those in office are exempted and get to start over at 0 terms like everyone else. If passed, the Measure gives people three terms lifetime with no 4 year sit-out provision. As it stands now, you can serve two terms, sit out four years and then serve two more.

Did I mention I HATE Term Limits? You’ve gotten a generation of special interest produced puppets and egomaniacal narcissists that are always thinking about their next run for office. If it was not for term limits, I’d have a harder time finding material for this blog.

Now, back to Orange County: Perhaps Lisa Bartlett no longer wants to run for State Senate, instead preferring the larger paycheck of an OC Supervisor?

Whatever my opinion on Term Limits is, this measure is garbage. Now enter my favorite Supervisor Candidate:

Well gheez, isn’t that special. It appears Harkey has taken a break from hiding her assets and living with her (ex) Husband to take up a new self-serving venture…

Grandstanding on Term Limits! She is about the only person that should put a sock in it over this measure. You see, if Bartlett’s measure passes, Diane Harkey would have to run against Lisa Bartlett. Given how Orange County Politicians are lemmings for the status quo (well most of them), Harkey’s support and once-a-week endorsement emails would evaporate in favor of the incumbent.

Yep – the same incumbent who bravely told her story of abuse by Bill Brough, then threw the other 6 known victims of Brough (one who was raped) under the bus when it was time for her next political move.

So – Bartlett is wrong. Harkey finally gets something right, until you look under the surface and see the self-serving motives.

Oh and the speaker at the meeting? Just call him Ma’am and vote no.

May 172021
 

Please note: The URL is changing to www.rightondailyblog.com soon. rightondaily.com will still point here for a while longer.

In a disasterous interview with the San Diego Union Tribune in the days leading up to her equally as disasterous Congressional Campaign, Harkey snapped back at the San Diego Union Tribune, “That Dog Don’t Hunt’ when they were asking her about the Harkey family scandal. It does hunt. I believe I had laid out sufficient evidence to demonstrate that Diane Harkey had knowledge of her husband’s business dealings, benefitted from them, participated in financial and legal transactions to protect money for herself and the lynchpin is the sham divorce.

The divorce was filed on 12-12-2014 Case 14D010906 and was final 5-1-2015. There is no evidence anywhere that there was a legal separation filed, ever. For a divorce between spouses married nearly 30 years with a ton of assets to take a paltry 4.5 months is absurd. There is no rational person that would look at that as anything other than abusing the legal system, therefore I am calling their divorce a sham.

Note the date of the divorce filing – after they dumped $4.5 Million in property. She filed the divorce AFTER she moved property in to an LLC. None of this is illegal, but it is immoral and unethical. By moving the property in to the LLC, it simplified the divorce further and appears to have been done to avoid any collection activity from Dan Harkey’s Lawsuit.

That dog does hunt. There is a trail of real estate transactions in 2014 that tell the whole story. I am still unsure as to where the DCCC, the SDUT and others were. It did not take much effort to find this information and connect the dots.

In 2018 she raged on the San Diego Union Tribune:

Union-Tribune: Do you want to answer conclusively where your money came from that built your career?

HARKEY: My money came from my income, okay? Check the court records. I don’t really think we have to go into where my money came from. I don’t… I don’t ask you where your money came from. I think it’s more important to people to know that I was cleared and I don’t expect the U-T to ever report anything kindly about me, but you know, I have a long record of serving the community.

I have won elections through this litigation and I won elections after, and the reason being is because the people who know me and the people that have worked with me and the reason I get endorsed all the time is because they know the truth. I know the truth and I know who I am and I think that’s very important because in politics you never know what’s coming at you, but if you’re clear in your conscience and you know the truth and you know who you are it… it says a lot. I never got really terribly depressed because I knew that somehow this would… this would end, but it was… it was a very long situation.

She gave this answer to the SDUT 3 1/2 years after the above transactions knowing she had also filed a sham divorce. Similar to when she lied to John Chiang, at least about filing a legal separation, she appears to have lied outright to the SDUT. It also looks like your intrepid blogger has done the job the SDUT never finished.

Note that in 2009, Harkey said this to the LA Times:

“I’ve been married for 25 years to my husband,” said the Dana Point Republican. “We have personal income. He has income. I have income. Sometimes it was my income. Sometimes it was his income. Sometimes it’s both of our incomes. And I’ve saved him financially many years. So I’m not going to get into whose, yours, mine, ours. Who knows after 25 years?”

Um, Diane what changed?

About the sham divorce? Dan Harkey still lives in the same house as Diane Harkey. It took some digging to prove with a private investigator friend, but it is true to the best of our knowledge. In 2017, The IRS slammed Dan Harkey with a $1,000,000 Tax Lien, but the address on that is a commercial property. I am also sure that Dan Harkey’s assets are equally as hidden as Diane’s are.

The original charge was did Diane Harkey’s $2.1 million worth of self-funding come from her husband’s business dealings? I believe we have proven that. I believe I have enough evidence to call her a liar when she denies that no part of it came from Dan Harkey’s business dealings.

Is Diane Harkey a victim? Absolutely not. All the way down to the sham divorce, dumping property, moving property, her own statements, court records, public records and her own conduct show the absolute truth. There is no way a reasonable person could conclude that she did not have some knowledge and some benefit from her husband’s businesses.

Good Lord, she still lives with him! I also can not believe that Dan Harkey still lives with Diane, given that she threw him under the bus repeatedly – or perhaps that was also part of the game to hide the assets from the plaintiffs just like the sham divorce.

People in the Orange County political establishment need a serious dose of reality. I am not surprised to have caught Diane Harkey in several lies, this comes with the territory when you have someone that constantly blames others for their own maladies.

I am also not surprised at discovering a long string of what I believe to be unethical, yet legal abuses of the court system in her life as well.

Now I understand the mentality behind a woman who was reputed to stay at home rather than attend campaign meetings, would not reach out to donors, was known to drink heavily on the campaign trail, was prone to angry outbursts and when it all came crashing down – there was Darrell Issa to take the blame for it all. Just like the mean newspapers, Mark Wyland, and Lord knows your intrepid blogger too…

Diane Harkey needs to be retired from Public Life. Too much drama, too many questions, too many ethical issues and zero personal ownership of anything. You can not rely on a person like that or trust them to lead or govern.

May 102021
 

While I am not convinced that Dan and Diane Harkey did anything criminally illegal I can certainly understand how the people in this photo feel.

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On 7-11-2013, Dan Harkey was found civilly liable for fraud and elder abuse by a court in Orange County over the failure of Point Center Financial. The judgement would later settle in at $12,500,000. To the best of my knowledge, not a dime has been repaid. It appears Dan Harkey lost his real estate license, the SEC did not find securities fraud, nor did other agencies find wire fraud. It appears that Dan Harkey is an effective liar who got people to invest in high-risk real estate deals (called Hard Money Lending) most of which failed.

Records I have obtained indicate that Dan Harkey has had as many as 40 entities he formed, several list attachements of some sort to Diane Harkey. If Mark Wyland had done his homework, he would have beaten the overturning of the Anti-SLAPP he got against Diane Harkey in 2015. He’d have won on the basis of this statement alone. Mark Wyland got sued by Diane Harkey in 2013 for defamation because he said something to the effect that her money is dirty and her campaigns were funded with it. We know that Diane Harkey took campaign cash from people who did business with Dan Harkey – several of who defaulted on their loans causing the people that sued Dan Harkey successfully to lose significant amounts of money.

“I’ve been married for 25 years to my husband,” said the Dana Point Republican. “We have personal income. He has income. I have income. Sometimes it was my income. Sometimes it was his income. Sometimes it’s both of our incomes. And I’ve saved him financially many years. So I’m not going to get into whose, yours, mine, ours. Who knows after 25 years?” – Diane Harkey 2009 in the LA Times.

5 months after Dan Harkey lost the lawsuit judgement, Diane Harkey created DHJP2, LLC. 

In 2014, a series of real estate transactions occurred involving DHJP2, LLC. I also believe that Diane Harkey may have been thinking about this when she lied / grossly deceived John Chiang in her letter of 8-5-2014. In that letter she claimed to be in the process of filing a divorce and legally separated. Both were patently untrue at the time of the letter according to my research (namely a lack of anything related on the County of Orange’s website and no other court records anywhere else).

From 2014 – 2020 Harkey’s personal residence, worth some 5,600,000 was moved between various trusts. In 2014, it appears that money was put in to the transaction. My guess is it was an attempt to shield some assets. However, the amount does not appear to have been large by Harkey standards. The current mortgage is a fraction of the home’s value and could be a line of credit as the records I have are not specific. The point is that Diane Harkey’s primary residence is in a trust – a common tactic for shielding assets from lawsuits and liability. Not illegal but fishy with the backdrop.

In 4-15-2014, 31212 Paseo Miraloma, San Juan Capistrano, California, 92675 – was transferred from Diane Harkey’s name in to the LLC. The LLC recently sold the property to a third party. While not illegal, moving the house in to the LLC would have been done in anticipation of other major financial decisions (coming soon). The sale price in 2020 was around $1.1 Million. What I found fascinating were notations from Don Mealing, Mealing Family Trust on this property suggesting that Mealing – a key plantiff against Dan Harkey took a run at this property.

There are several properties that at one time appeared on Diane Harkey’s disclosure forms, all were dumped in 2014 while Dan and Diane Harkey were still married. All were dumped by another LLC called Dig Pmb Note LLC that appears to have been a conduit for these properties as the previous owner was Dan Harkey, or Dan and Diane Harkey via a trust.

34021 Copper Lantern St Dana Point, California, 92629 Sold for 758,610.00 June 24, 2014.

33931 Copper Lantern St Dana Point, California, 92629 Sold for 792,919.00 June 10, 2014.

33941 Silver Lantern St Dana Point, California, 92629 Sold for 1,620,148.00 June 10, 2014.

33791 Violet Lantern St Dana Point, California, 92629 Sold for 1,076,922.00 June 10, 2014. (an interesting note, the Form 700 lists the name Lisa Bartlett. Apparently, Harkey was Bartlett’s landlord at the time?)

Please see Diane Harkey’s 2013 Form 700 – all of the above properties are listed. The form 700 also mentions DHJP2, LLC for the first time as Diane moved some property in to it to keep past the asset dumping of mid 2014 apparently as well.

In addition, there are at least three pieces of property sold around that period of time that Diane Harkey had an ownership interest in at some point in the past. None of these were listed on her form 700’s however. This further decimates her narrative that her personal finances are separated from Dan Harkey’s and any claims she did not benefit from his businesses are absurd.

While not illegal, Dumping $4.5 Million worth of property within a year of losing a massive lawsuit smells to high heaven. Moving a couple pieces of property in to DHJP2, LLC also smells. It looks like they were draining assets out of the marital estate, with the process starting in late 2013 just months after the judgement – and after Dan Harkey filed an appeal (that he lost in 2018).

How much of that money did Diane Harkey get? She was still married to Dan Harkey at the time and had to know that he was dumping several properties in the months following the lawsuit!

Did Dan Harkey file the appeal to stall for time in order to facilitate the dumping of assets?

At the same time she was playing the victim in public, on 8-5-2014 claiming she was legally separated and in the process of filing a divorce. Was dumping $4 Million worth of property part of the “process of filing a divorce” in order to keep that money away from the victims?

So about that Sham Divorce? For those of you that know about divorces, a couple married nearly 30 years with a ton of assets is usually a 2-3 year deal to get final. The Harkey’s divorce was final in just 4.5 months. Details on that and more as we continue.

May 052021
 

(Dan Harkey was civilly convicted for fraud in 2013 and lost an appeal in 2018)

We have been demolishing Diane Harkey’s carefully crafted image for herself. Something Mike Levin barely used but should have made a key issue of was Diane Harkey taking campaign cash from people who got hard money loans from Dan Harkey. When you read on, you will realize that all of these donor’s projects failed. Diane Harkey never returned the money, let alone has been able to comprehend the optics of what she did.

As a bonus, the post covered Bill Brough – the monster who was run out of the Assembly in 2020. Yes, he worked for Diane Harkey for a short period. Drama, scandal and controversy seem to follow Harkey.

Bill Brough, with the mystery beverage on his last day in the Assembly. Hopefully, soon there will be pictures of him in Prison – experiencing the best prison life has to offer

Please note: The URL is changing to www.rightondailyblog.com soon. rightondaily.com will still point here for a while longer.

In 2009 as the Point Center Financial Saga was detonating, Diane Harkey had problems beyond just people asking where the $2.1 Million she contributed to her own runs came from.

The L.A. Times lit her up good over a few peculiar campaign donations. Donations I think should have never been taken and then should have been returned. But, she’s a victim and it wasn’t her fault etc etc etc.

California Assemblywoman Diane Harkey accepted $16,600 in political contributions from real estate developers who had received loans from her husband’s business, now under investigation by the Securities and Exchange Commission.

The borrowers later failed to repay loans brokered by her husband’s lending company, Point Center Financial Inc. of Aliso Viejo. The firm was accused of fraud last month in an investor lawsuit, and the company’s owner has confirmed that Point Center is under investigation by the SEC.

Harkey (R-Dana Point) said Monday that there was nothing improper with the developers’ contributions and that she had no idea they had loans pending with her husband’s company at the time they donated to her campaign.

Then why did Diane Harkey call them for donations? How would they have crossed her radar screen? Someone had to introduce her to these donors? But note, no offer to return the money or attempt to remedy the bad optics. Patterns, folks… patterns.

In the lawsuit filed last month, the investors contend that Point Center neglected to inform them about the risky nature of its loans and that Harkey, a defendant in the lawsuit, used proceeds from bad loans to donate nearly $1.1 million to her political campaigns.

Harkey said she used her own money — from a prior “six-figure” banking career — to donate to her campaigns for the state Senate and Assembly.

It came from my personal income. I don’t care what the lawsuit says. It’s frivolous. It’s full of lies. And it will all come out in court,” she said.

Wait, what? Just a few weeks later in the Orange County Register – this gem:

I’ve been married for 25 years to my husband,” said the Dana Point Republican. “We have personal income. He has income. I have income. Sometimes it was my income. Sometimes it was his income. Sometimes it’s both of our incomes. And I’ve saved him financially many years. So I’m not going to get into whose, yours, mine, ours. Who knows after 25 years?

It did come out in court, Diane Harkey had to sue her way out of community property (speaking of saving Dan Harkey), Dan Harkey lost a $12.5 Million Judgment and then lost on appeal in 2018. And, not a dime paid to any victims – more on all this in future posts. (BTW – suing your way out of community property is a spouse trying to separate themselves from liability in a lawsuit related to the other spouse.)

Harkey accepted $16,600 in campaign contributions from three developers who borrowed tens of millions of dollars from Point Center, according to campaign finance records.

Two of the loans ended in foreclosure and a third was modified because the developer was unable to meet the original terms.

C. Lynn Burnett, president of Burnett Development Corp., gave $5,000 to Harkey’s failed Senate campaign Dec. 31, 2005, records show. Two months later, Point Center Financial funded a $19.2-million loan to Burnett for a development project at the Palm Springs Country Club.

Burnett’s company defaulted on that loan, and Point Center investors ended up holding title to the property, which is now in such disrepair that the city of Palm Springs sued Point Center and the investors demanding immediate improvements. The property is worth a fraction of the amount Burnett owed when he defaulted. Burnett died in 2007.

Home builder R.W. Hertel & Sons Inc. gave Harkey $5,000 on Dec. 31, 2005, two months before closing on a $16-million real estate development loan with Point Center. Hertel defaulted on that loan and Point Center foreclosed on behalf of investors. Like the Palm Springs project, the Hertel property is worth only a fraction of the loan that investors funded, according to allegations in the lawsuit.

Note the timing of the donations. Were they done to grease the skids of business deals?

“At no time did Point Center Financial ever disclose that she was receiving money from borrowers at the time investors were putting up money for loans,” Charton said. “Had they disclosed it, investors might have said, ‘I’m not going to give you money to lend to somebody you have a special relationship with.’ ”

Charlton was one of the plantiffs that successfully sued Point Center Financial. The rub on Point Center Financial is they would go to ordinary people with an offer of a great real estate deal and get them to put up money that was used to write loans to developers. Such loans are called hard money loans and many of them detonated in the 2008-2010 Real Estate Market, Hard Money loans are extremely difficult instruments to begin with and have high failure rates. The appearance of large checks weeks before the contributors got high-risk unsecured loans they later defaulted on smells to high heaven.

Speaking of poor judgement, it is not just in taking tainted campaign funds. I learned through confidential interviews that Diane Harkey hired none other than the monster William “Bill” Brough.

Here’s the ballgame, Brough served as her Chief of Staff for a short time. His tenure was marred by several allegations (yet no verified complaints or victims forward) of sexual misconduct. Apparently, just a few years before backing in to the Assembly Brough took a test run at his animal house lifestyle in Sacramento.

It is clear to me that Harkey disdains Bill Brough and was helpful when many others in the OCGOP were still drinking the incumbent kool-aid and having group think about how to defend the status quo. However, Diane Harkey is alleged to have hired Bill Brough at the behest of his codenendent spouse. How many women did Brough hurt whilst infesting the Cheif of Staff office for Diane Harkey?

Did Harkey know about the incident in 2011 with Lisa Bartlett and Bill Brough? It happened in Dana Point when both were on the council she once served on? Then, why was Brough able to last as long as he did when I know for a fact (albeit heresay from people there) that Brough was already out of control and they were telling Diane Harkey what he was doing!

Harkey (R-Dana Point) said Monday that there was nothing improper with the developers’ contributions and that she had no idea they had loans pending with her husband’s company at the time they donated to her campaign.

#facepalm. I guess there was nothing improper with hiring Bill Brough either, so there’s that I guess.

May 032021
 

Had Diane Harkey never gone postal on Darrell Issa, I may have never looked in to her background

Please note: The URL is changing to www.rightondailyblog.com soon. rightondaily.com will still point here for a while longer.

I took the time to talk to people that like Diane Harkey. I needed to in order to balance the avalanche of media stories. As a conservative, I am used to seeing the media attack conservatives as a matter of course. I needed to get perspective which I got…

We’ve detailed quite a history up to this point, so let me summarize where we are at before I complete the story with information I am still surprised was not fully vetted.

Diane Harkey was elected to Dana Point City Council in 2004 and despite telling people she was not running for higher office went and did so promptly in 2006, losing an open primary to Tom Harman for State Senate.

Diane Harkey was also subject to a recall attempt in 2007 and was well known for tooling around town in a Bentley.

In 2008, Harkey ran for and won election to the Assembly.

In 2009, the personal financial detonation in the life of Dan and Diane Harkey began with a well-vetted and publicized lawsuit related to dishonest and possibly illegal business dealings.

in 2009, Diane Harkey was lambasted for taking donations from people with Business deals pending with her Husband.

While in the Assembly, her tenure was marred by the hiring of Bill Brough and an embarassing Wage Garnishment.

In 2013, Dan Harkey was found Civilly liable for $12.5 Million in damages related to the failed business. Diane Harkey has attempted to separate herself from it, despite being listed as an employee and otherwise being connected.

In 2013, Diane Harkey sued Mark Wyland for libel, losing an Anti-SLAPP judgement she was able to overturn on appeal. She dropped that suit once the Anti-SLAPP was vacated in 2015. Wyland ran against Harkey for Board of Equalization.

While at the Board of Equalization, the multiple scandals came to a head. Why she decided to engineer getting herself elected Chairman of that board is a subject of debate. Nepotism, corruption, abuse of funds/staff, dilapidated mold-riddled buildings and the like led to a historic shredding of the function and authority of the BOE while she was chair of that board. Worse, she defended the BOE in several media stories.

Yet, despite being surrounded with scandal and drama, Harkey has consistently protested her innocence and has attempted to portray herself as a victim.

Nowhere was this more evident than in her disastrous 2018 run for Congress. To this day, Harkey believes that it was all Darrell Issa’s fault for her defeat. The evidence shows otherwise. She also hitched her wagon to some unhinged attacks against Mr. Issa in 2020 that caused several political insiders pause.

I have also been struck by stories about Harkey’s personal conduct. It is like she is two people. One group of people talk about a kind, generous person. Another group of people talk about a mean, angry, entitled candidate that drank a lot. Two things I know based on my research, she has a temper and she has a difficult time accepting any responsibility for the things that have gone on around her.

In the course of my research, I have found copies of her Form 700’s from 2012, 2013, 2015, 2017, 2018 and the 2019 exit form. I also have a copy of her FEC candidate financial interest form as well. This caused me to double down on research from 2014. It would prove to be critical to finally once and for all exposing the truth about the finances of Dan and Diane Harkey.

One of the most striking items beyond the Bentley she once drove are the notations of a private jet. It appears to have been sold in 2014.

In 2009 – Harkey made the single most damming comment I have seen in dozens of news stories to the LA Times when they covered the SEC investigation in to Dan Harkey:

“I’ve been married for 25 years to my husband,” said the Dana Point Republican. “We have personal income. He has income. I have income. Sometimes it was my income. Sometimes it was his income. Sometimes it’s both of our incomes. And I’ve saved him financially many years. So I’m not going to get into whose, yours, mine, ours. Who knows after 25 years?”

Harkey said she’s been unfairly drawn into business litigation that has nothing to do with her work as a lawmaker.

So whose private Jet was it? Whose Bentley was it? Whose $2 Million plus in campaign cash was it? According to Diane Harkey – anything is possible, meaning that claims she financed her campaigns all or in part with dirty money from dubious enterprises and legally proven fraud is indeed confirmed true by her own words. Mark Wyland should have never lost the Anti-SLAPP decision in 2015. But if that is not enough for you, keep reading. Neither the DCCC nor Mark Wyland did enough homework.

IN 2013, Diane Harkey had to sue to get out of Community Property when her husband was in the process of losing a $12,500,000 judgement. In 2014, she claims in a letter she sent to State Controller John Chiang that she was legally separated and thus her Assembly Salary should not be garnished. She also indicates they were in the process of filing for divorce, this is another lie or at best a grotesquely deceptive statement. Remember the date of the letter 8-5-2014.

It is my opinion based on extensive research in to the business dealings and court records related to Dan and Diane Harkey that she lied twice in that letter. I’ve also received an indication from a political insider with connections close to Mrs. Harkey that confirm – Diane Harkey never filed a legal separation. Re-read the letter she wrote to John Chiang and read her comments in the media in 2014 and later. They are so clear that even the most hardened of Harkey supporters can understand them – she made it clear she and Dan were legally separated multiple times.

The deception over the Harkey divorce is critical to understanding the unethical and dishonest behavior of both Harkeys.

Just months after Dan Harkey lost the lawsuit judgement, Diane Harkey created DHJP2, LLC. This was on 12-18-2013, and thanks to the 2015 financial disclosure it appeared on where it was not present on the 2013 disclosure causing me to believe it was started in 2014, I looked for it. It was probably a part of the missing form 700 I could not find on line.

What is the significance of DHJP2, LLC and the two lies to John Chiang? When we continue our expose in to Diane Harkey, we are going to finish the work that none of Harkey’s opponents ever did.