Clifford Polston, former head of the Boys & Girls Clubs of Tustin, was sentenced today to probation and community service

Editorial –

This Loser who we Refer to as Mr. Kiddie actually Lives in Our Neighborhood Across the Street and a Couple of Houses Down – for a Convicted Felon He Sure Seems to have Plenty of Money – New Cars and Trucks – Endless Home Improvements – Kind of Lives Like He’s Under House Arrest – and Looks Bored.

No More Vegas Trips with Money He Took from the Kids – Bummer – Mr. Kiddie. We Think that He May Have Stashed Some Money that he Stole from the Tustin Boys and Girls Club in His Backyard or Something.

Then there’s the “Clueless” Wife – “more than $75,000 of the money went toward a phantom salary for his wife, Elsie, a teacher at Pioneer Middle School” –  Polston would endorse and cash her paychecks.

It’s All Just So Pathetic and Reminds Me A lot of Disgraced Preacher Jim Bakker and Tammy Faye Bakker.  LOL

https://www.newsweek.com/2016/04/08/televangelist-jim-bakker-back-440991.html –

Tustin, California –

For years, Clifford Polston used the Boys & Girls Clubs of Tustin as his personal piggy bank.

He would charge the club he ran for 30 years for trips to Vegas and to Pechanga Casino, high-speed Internet at his home, countless meals, and gasoline as well as toll-road fees.

Clifford Polston, former head of the Boys and Girls Clubs of Tustin, was sentenced to 3 years of probation in Orange County Superior Court.

One time, while Polston was vacationing in Tahiti, he had the club pick up his airport parking tab.

As its longtime chief professional officer, Polston was trusted implicitly by the board.

“Mr. Polston literally had the keys to the candy store,” a Tustin Police Department report says.

Once considered a pillar of the community, Polston, 60, admitted to fleecing the Boys and Girls Clubs of Tustin of $114,354 between July 2001 and June 2007.

More than $75,000 of the money went toward a phantom salary for his wife, Elsie, a teacher at Pioneer Middle School. Polston would endorse and cash her paychecks.

His sentencing Monday, to three years of formal probation, 200 hours of community service, and $260 in fees, has some former colleagues feeling he got off lightly.

“I, like others, think he should have gotten some jail time,” said Bill Kliss, a board member of the Boys & Girls Clubs. “I thought for what he did, he deserved it. When you think of what he was doing, he was taking advantage of disadvantaged children, and that’s terrible.”

Kliss believes a year behind bars was called for, as does Gary Green, chief volunteer officer the Boys & Girls Clubs.

“He would have gotten the message,” Green said.

Even Judge Erick L. Larsh, who handed down the sentence, said he believed the crime called for prison time. But Larsh still signed off on the plea agreement.

Polston could not be reached for comment.

POLSTON’S HAPPY

His attorney, Gregory Bartone, said Polston’s previously clean record and years of community involvement were factors.

“From a defense perspective, this was a great outcome,” Bartone said. “He’s very happy he’s not going to prison. He thinks it’s a fair resolution.”

Bartone said Polston is paying greatly for his crime.

“He has three years of probation,” Bartone noted. “If he makes one slip-up, he’s toast.”

“He’s also kind of a social pariah now.”

Recent cases involving embezzlement show a range of penalties.

A former financial officer at the Orangewood Children’s Foundation recently pleaded guilty to stealing $780,000 from the group and was sentenced to 12 years in prison and more than $1,150,000 in restitution.

A former PTA treasurer in Placentia was sentenced in August to 3 years of probation, 60 days in jail, and paying restitution for stealing $11,424 from the Melrose Elementary School PTA.

CHANGED PLEA

Polston originally pleaded not guilty, in July, to 27 counts of forgery, three counts of grand theft and one count of false entries in records or returns.

In November, in a plea agreement worked out with the District Attorney’s office, Polston pleaded guilty to a single count of grand theft, along with a sentencing enhancement for taking funds exceeding $50,000.

Polston’s guilty plea could have resulted in a maximum of four years in prison.

It is rare for judges to reject plea agreements. One recent notable exception involved the federal case against Broadcom co-founder Henry Samueli for his role in an alleged stock-option scam.

Susan Schroeder, a spokeswoman for the Orange County District Attorney’s office, said one of the considerations was making sure that the Boys & Girls Clubs got its money back as soon as possible.

Factoring in interest, Polston owed the Boys & Girls Clubs about $140,000 – almost the same amount that had accumulated in a life insurance fund the club purchased for him years ago.

Polston agreed to sign over those funds to the club.

“We really respect the wishes of the victims,” Schroeder said. “And in this case, the victim’s primary goal was to make sure the money went back to help the children as soon as possible.”

“We wanted some money to come out of his pocket, and that didn’t happen,” Kliss said. “But we’re happy with what we’ve got.”

CLUB STILL OUT $60,000

The Boys & Girls Clubs, however, still is out about $60,000, according to Green.

About $50,000 went to attorney’s fees to defend a civil lawsuit filed by Polston after he abruptly resigned as chief professional officer in 2007, after the board confronted him about suspicious financial transactions.

Polston sued the club to receive the life insurance funds, as well as for alleged unreimbursed sick time. The board countersued. The civil actions died when Polston agree to plead guilty.

The added $10,000 was for a forensic accountant who unearthed the embezzlement scheme. The probe only went back to 2001, because the club did not have the funds to dig further, Green said.

According to the Tustin police report, “The amount could be substantially more if one were to go back further in time.”

Green said the theft hurt the club’s reputation and finances, but that the club, whose annual budget is just over $1 million, is doing well. He and other board directors have reached out to donors to assure them their money is going where it should.

“This club is now buttoned-up tight,” Kliss said of new financial controls.

Added Kliss: “I thought the DA did a good job – I just wish the penalty had been a bit stronger.

“I think the message to other (charitable) organizations should be, ‘Hey, you’re going to have to pay for this crime.'”

Register staff writer Larry Welborn contributed to this story.

https://www.ocregister.com/news/polston-222585-club-years.html

Some Tustin Legacy – Dallas-based home builder Centex Corp. – an original partner in the Legacy Park project pulled out in 2007

November, 2009

Legacy Park Developer Pushes To Rework Agreement with Tustin.

The developer of Tustin’s Legacy Park project hopes to rework terms with city officials anxious to see construction resume at the massive project.

For now, Aliso Viejo-based Shea Properties has entered into a pact with the city to head off a foreclosure threat by Tustin – a tactical move designed to spur a resumption of development at the project.

Executives from Shea Properties say they remain committed to finishing the 820-acre redevelopment at the city’s former Marine base with homes, shops, offices and hotels.

But they say they need more time amid the worst real estate downturn in the county since the early 1990s.

“We are heavily invested in the project, (but) the facts are that the pace of development at Tustin will have to follow the pace of growth of Orange County’s economy,” said CoIm Macken, chief executive for Shea Properties.

Shea Properties and Shea Homes, both part of Walnut’s J.F. Shea Co., are handling development of Legacy Park with the city of Tustin.

A lack of work on the former base amid the real estate downturn has prompted speculation in recent weeks that the entire project could be in trouble.

Dallas-based homebuilder Centex Corp., An original partner in the Legacy Park project pulled out in 2007.

Officials from the city and Shea Properties dismissed talk that Shea plans to walk away from the megaproject. They said talks are under way about a possible reworking of a development agreement for the project.

More Time Sought

Changes to the original plan are needed to reflect the reality of the current market, Macken said.

Given the current state of the local economy, it could take at least three or four years before the commercial real estate market here turns around, he said.

The company said it is in talks with Tustin over the structure of its development agreement for Legacy Park, first signed in 2006. Macken declined to specify what changes could be sought.

Industry sources expect Shea to seek a new plan similar to what neighboring Irvine approved as an amended development and implementation plan for the former El Toro Marine base, which gave the developer there a little breathing room.

Miami-based Heritage Fields El Toro LLC committed to a plan that will give the city anoth- I er 130 acres of land and ^ will see $100 million I spent at the site of Irvine’s Great Park during the next five years, while the developers of the 3,700-acre project wait for signs of a market rebound.

Whether Tustin would be amenable to similar changes remains to be seen.

“The city’s position is that this is a (great) asset, and the city doesn’t want to see those assets devalued,” said Christine Shingleton, Tustin ‘s assistant city manager.

Legacy Park – part of the 1,580-acre redevelopment of the former Marine helicopter base – calls for 2,105 homes and 6.7 million square feet of commercial space, along with about 170 acres of parks and open space.

In early 2008, it was hoped that some construction could begin this year. But that was before the commercial real estate market went into a freefall. Those plans have been indefinitely delayed.

That lack of activity, particularly for roads and other early work, has caused some concern within the city of Tustin. Officials there made moves this summer to try to force Shea Properties to move ahead on the development.

Notices of default items were filed against the partnership overseeing Legacy Park, according to city officials.

City officials said Tustin recently entered into a forbearance agreement with the Legacy Park partnership, following the notices of default.

A forbearance agreement typically is used by a lender to postpone a foreclosure to give a borrower more time to make up an overdue payment, or, in Shea’s case, meet terms under the development agreement.

The forbearance agreement runs through the end of September, city officials said.

Specifics of the agreement weren’t disclosed. Most of the issues tied to the default items are performance-related, rather than financial issues, according to Shingleton.

Hotel Plans

The last big news coming from Legacy Park was in early 2008, when development plans were announced for a trio of hotels, totaling 480 rooms.

Irvine-based R. D. Olson Development signed on to build and own the three hotels, which included plans for OC ‘s first Kimpton boutique hotel, as well as a Hilton Garden Inn and a Home wood Suites by Hilton Hospitality Inc.

Robert Olson, chief executive of the hotel developer, said last week that he expects the project to move ahead.

“I still like the market, and I still like Shea’s plan,” Olson said.

The original plan for the hotels was for construction to break ground this year. The project was set to be completed by the end of 2010.

Now Olson said he hopes the project could be done by 2012.

“It’s going to be delayed. The question is what shape and form (the development) will be” when the market returns, Olson said.

As of mid-2008, Shea had spent about $60 million on Legacy Park. Officials at the time said that about $800 million worth of road and sewer work eventually would be done at Legacy Park.

When completed, Legacy Park should have an assessed value of nearly $3.5 billion, officials said at the time.

Brokers looking to find tenants for planned commercial space at Legacy Park said last week that it’s still business as usual.

“We’re still marketing,” said Eric Hinkelman, senior managing director for Cushman & Wakefield Inc.’s OC office.

Cushman was tapped by Shea about two years ago to handle office leasing for Legacy Park. Some 6 million square feet of office space is planned at Legacy Park.

The first offices set to be built there are at the Shea Technology Campus, where about 340,000 square feet of two- and three-story buildings are planned near Warner and Red hill avenues.

To date, no leases have been signed for the project – not surprising considering the slow state of leasing for existing offices in the past few years, let alone proposed developments.

There’s been no indication from Shea that any development plans have been scrapped, according to Hinkelman.

https://tustinlegacy.spaces.live.com/blog/cns!CB049C080383674!208.entry

Copyright CBJ, L. P. Aug 31-Sep 6, 2009


District at Tustin Legacy

History

The last loan, from the retail sector, is a transitional story. The $206mn District at Tustin Legacy loan is backed by a newly constructed 985k shopping center in Tustin, California. The project was part of the redevelopment of the 1,600 acre former Tustin Marine Corps base.

The center is anchored by Costco and Lowe’s, which are independently owned and not part of the collateral, along with Target, which is on a ground lease, and Whole Foods, which is part of the collateral. The collateral consists of 522k sf, resulting in a loan balance psf of $395. The property is owned by Vestar and Kimco, a major shopping mall REIT. The 6.9%, 10y interest-only loan was originated in November 2007 and securitized in LBUBS 07-C7. We view this loan as transitional. At securitization, construction at the property had not yet been completed. As of November 2007, only 82% of the space was occupied, despite leases signed for 99% of space. An upfront reserve was established with a balance of $540k.

The transitional nature of the property was likely a factor in the higher loan coupon; we estimate that the relative loan SATO was +55bp. (Loan SATO stands for spread at origination, and is adjusted for comparably issued loans made at the same time. A number > zero suggests a higher-than-average loan spread and higher perceived risk from the issuer standpoint.) The borrower stated that the property would stabilize in 1H08.

Also, the loan terms are unique in that they suggest a partnership with the City of Tustin. The city must approve any lease of space over 20K sf and receives 25% of all percentage rents payable to the borrower. The sponsors invested a significant amount in infrastructure improvement in the area around the site.

Current snapshot

The property has yet to stabilize, due to delayed store openings and lower-than-expected rents. The completion of the project coincided with a severe housing bust in the region. MSA level unemployment touched 11.9% in September, well above the national average, as a large portion of employment was tied to housing. High unemployment and falling property values have contributed to weak retail spending and net absorption in Orange County (Figure 8).

The 2008 NOI for District at Tustin Legacy came in at $13.1mn, versus a budgeted amount of $16.8mn. This was due to a decline in average rent to $20.7 psf, versus $26.2 psf at underwriting. Mid-year financials suggest a similar result for 2009, and the most recent DSCR was 0.86x. The loan has been on the servicer watch list since November 2008, and the upfront reserve has been depleted. On the positive side, occupancy has rebounded to 99% as of June 2009, but we suspect that rent concessions have risen as well.

https://wealth.net/2009/11/five-cmbs-case-studies/

MTA security guards accused of roughing up commuters


A still shot taken from a closed-circuit camera video shows security officer Miguel De La Cruz using a choke hold on Carl Gutierrez in a subway station in Los Angeles. The video was shown to at his trial and he was convicted.

Sheriff’s Department investigates 11 cases of abuse in two years. The guards are not authorized to act as law enforcement officers.

By Richard Winton
May 18, 2009

Los Angeles commuters have been improperly detained, pushed, choked and struck by Metropolitan Transportation Authority security guards, according to interviews and internal law enforcement memos obtained by The Times.

Alleged assaults over the last two years have prompted at least 11 investigations by the L.A. County Sheriff’s Department, which has repeatedly complained to MTA officials about abusive security officers, as the guards are called within the MTA.

Three incidents were captured on surveillance cameras at subway and light-rail stations.

Although the 97 MTA security guards carry guns, batons and pepper spray, they are not legally authorized to act as law enforcement officers. Their main responsibilities are protecting MTA property, guarding revenues and closing subway stations when daily service ends.

“They are not meant to be acting as police officers,” said Sheriff’s Cmdr. Dan Finkelstein, who oversees the department’s transit bureau, which has a contract with the MTA to police local rails and buses. ” ‘Observe and report’ here has become ‘observe and take action.’ ”

MTA security officers operate separately from the Sheriff’s Department. The security officers used to report to a Sheriff’s Department supervisor, but that was changed two years ago and guards now report directly to the MTA.

An MTA consultant, retired Sheriff’s Department commander Charles “Sid” Heal, recently found that the relationship between sheriff’s deputies and security officers was strained, in part because their roles were not clearly delineated.

In a report to the MTA board, the consultant said security officers sometimes engaged in police activities even though they lack the legal authority and liability protections that sworn law enforcement officers have.

A new contract between MTA and the Sheriff’s Department is under negotiation, and it is expected to return security officers to Sheriff’s Department supervision, said MTA spokesman Marc Littman.

“That should provide better communications, integration and oversight,” Littman said in an e-mail to The Times.

Sheriff’s officials have written letters to MTA officials over the last year alerting them to improper conduct by their security officers.

In one such letter, a Sheriff’s Department captain complained that MTA Officer Miguel De La Cruz had attacked a “near comatose and intoxicated” man without provocation at a downtown subway station. The Sheriff’s Department sent its findings to prosecutors, who filed criminal charges against De La Cruz. Last month, a jury convicted him of battery, false imprisonment and filing a false report. He was sentenced to 90 days in jail and was fired by the MTA.

Art Leahy, newly appointed chief executive of the MTA, said in an interview with The Times that he only recently learned of allegations of misconduct by security officers and that he is adopting a zero tolerance approach to verbal or physical abuse.

“We are not going to tolerate any employee abusing a passenger or a member of the public,” Leahy said.

Leahy said he is asking Mike Gennaco, head of the Office of Independent Review, the county’s civilian watchdog of the Sheriff’s Department, to immediately advise him of ways to overhaul policies and procedures.

Under the California Public Records Act, The Times requested copies of letters between the Sheriff’s Department and MTA.

The Times also obtained confidential memos on some of the incidents. Among the cases:

* A security officer used his baton on an incoherent man in an elevator who was in diabetic shock. The man suffered two broken fingers and numerous bruises on his arms. The officer said the man grabbed his shirt with both hands, so he struck him once with a baton. A Sheriff’s Department investigation found that the injuries were “indicative of being struck several times” and that the officer used “potentially excessive” force, then failed to render medical aid. The officer was the subject of three other excessive force complaints and has recently been removed from field duties to be retrained, an MTA official said.

* A security officer was captured on closed-circuit TV cameras pushing a transient against a ticket vending machine. As a result, the person fell to the ground, cut his head and lost consciousness.

* A security officer said he used pepper spray on a drunk man who was belligerent during a train sweep at Union Station. Footage from a surveillance camera, however, showed the officer pushing the man out of a train onto the platform floor. When the man stood up, the security officer hit him across the chest and legs with a baton and then pepper-sprayed him in the face.

It was a video camera at the Metro’s 7th Street Station that convinced a jury that De La Cruz battered Carl Gutierrez and filed a false police report accusing the young man of assaulting him.

On the video, De La Cruz is seen discovering the intoxicated young man sleeping on a bench in a subway station, taking a quick look around and then nudging the 22-year-old to try to wake him. Unable to stir the man, De La Cruz put him in an arm hold and tried to pull him upright off the concrete bench.

When that failed, he kicked the man in the back and then put his hands around his neck, choking him from behind.

When the man tried to remove the officer’s clamped hands, De La Cruz slammed him to the ground.

De La Cruz, 55, filed a police report on the Aug. 21 incident, saying the young man had approached him in a threatening manner. He said he acted because the young man tried to bite him.

According to a Sheriff’s Department memo, an MTA security manager initially suggested that De La Cruz — a tactical instructor — needed additional training, noting that he had been “very aggressive” in several prior incidents.

Leahy said he reviewed the video of the incident and agreed with the jury’s verdict.

“When he is tapping on the unconscious person’s foot, I don’t think that crosses the line. It is when he violates the rules and tries to pull the guy up, he goes too far,” Leahy said. “He should have called for backup.”

The man who was assaulted by De La Cruz said the guard’s conduct was uncalled for.

“Some people shouldn’t be hired to do the job they are doing,” Gutierrez said, “and that was the case here.”

[email protected]

https://www.latimes.com/news/local/la-me-mtasecurity18-2009may18,0,317460.story

Hangar Fire - "Without Litigation" - City of Tustin Already On the Hook for $90 Million in Clean-Up Costs - "Not Including the Actual Hangar Property" - and Heading for a Billion Dollars - Developers Likely Not Off the Hook Either - Property Value Assessments Undergoing Official Review - Ask Yourself - Would You Buy or Rent at the Tustin Legacy - Remember there's "Another" Hangar Too
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