Monday, February 20, 2012

Putting a Face on White Collar Crime in California: Thomas J. Butts, Attorney at Law

Putting a Face on White Collar Crime in California:

Thomas J. Butts, Attorney at Law\chief moral coward and legal relativist of Butts and Johnson, Attorneys at Law in San Jose.

After working with hundreds of attorneys over the years, I can honestly say that he is the most dishonest attorney that to date, I ever met or worked with.

Tom is also Past President of the California Bar Association, Oath-breakers and Fraud Sub-Section often referred to as: Applicant Attorney's Association.

Tom was my attorney for over 20 years, and despite my entreaties to obey his oath and follow the law and aide me openly like his oath demanded - instead, he openly (for personal gain and profit and to avoid jail himself) allowed White Collar Crime to "go un-noticed" on his watch as my personal attorney whom I fired 4 times yet took back after his groveling and promising to "do it right - I promise!"

Gosh was that my mistake, trusting Thomas J. Butts to honor his oath, his given word - and his hand, also given and taken - in trust... (the sound of me spitting).

Yep, he surely did do that and not only broke his oath, he shattered it openly and PROUDLY to make a buck and to keep a dishonest system of law intact so all the other attorneys he knew and conspired with could also get rich while avoiding jail for doing it illegally.

He allowed Chief's Disease - pensions spiking via illegal worker's compensation claims by the law enforcement groups of California - to loot the state, literally, and of billions of dollars, not just thousands, not even merely millions but billions - and all on his watch.

He allowed my managers at State Compensation Insurance Fund (SCIF, State Fund) to loot the state via illegal worker's comp claims that he could not and would not report due to a HUGE conflict of interest in his (and many others) wanting to break the law to get rich. Why, he was so political, he even parlayed the information he obtained as part of his pretending to represent me from me in confidence to "advance" politically and socially among the ranks of attorneys to become President of the Applicant Attorneys Association, subsection Oath-Breakers and Fraud unit.

Hey but he ain't much worse than one of his partners who one of my P.I.'s caught on film, it was his own film noir, call it "riding bareback, or in the saddle again."

My boss Robert Quaid simply laughed when I suggested we report the attorney for ethics violations (and for filing a fraudulent case just to get laid). He only kept the film and report in case he wanted to blackmail that attorney someday - that's how it worked in Civil Service where I worked - although I guess it wasn't really very civil now, was it?

When I confronted Tom and his partner about criminal activity against their oaths, one never spoke to me again over catching him "in flagrant delicto" (and from all reports, lapping it up).

Thomas J. Butts was so dishonest, he allowed the evil managers at the San Jose Office of State Fund to abuse me physically and emotionally on the job simply for trying to OBEY OATHS, NOT BREAK THEM and he even allowed attempted murder on my person by those sent after me by an attorney now a sitting San Jose WCAB Judge.

Who says crime doesn't pay - as long as it is "only" White Collar Crime, or you work with Thomas J. Butts, it sure as hell does.

Thomas J. Butts, to whom an oath is "less than the sound that comes from a bell, tolling..."

Saturday, February 4, 2012

putting a face on white collar crime in california: Judge David Lauerman

putting a face on white collar crime in california:

judge david lauerman of the san jose wcab - when he was an attorney in 1987, he literally blackmailed my managers at state fund over the CHP Pension scandal (threatened to publicly expose Chief's Disease). i was in court, watching, the day we literally bribed a judge to help david win a case that gave him the reputation that pointed him right to an early seat as a judge; pity he had to use blackmail to get there.

i estimate his dishonesty and lack of ethics cost the taxpayers of california OVER 1 billion dollars as i estimate such things. the case he "had to win" at "all costs" was over the right to worker's compensation for ALL illegal aliens in the state - which he obtained for them, albeit illegally.

once he won his case he and his partner (in conspiracy/collusion) with attorney j. andrew mckenna then sought to loot the state with fake claims using a recruiter to find them people willing to cheat the system, all illegally, but the managers at State Fund were paying simply to avoid exposure, loss of power, job and pension

Putting a face on White Collar Crime in California: Geri Madden

Putting a face on White Collar Crime in California:  Geri Madden - former claims manager and district office manager of the san jose district offic of state fund.

Back when Geri Madden was a claims manager at State Fund, she presided over the rape of my union and made us bribe a judge to hide the CHP Pension Scandal (Chief’s Disease) – this was in 1987 when, per their OWN internal figures, a completely illegal claim by anyone in California's law enforcement unions literally cost the taxpayers an AVERAGE of $250,000 plus the uncountable cost to our nation of an illegal tax shelter which was the whole point of the illegal worker’s compensation claim in the first place as it also allowed similarly illegal access to Medicare and Social Security/SSDI.

Geri allowed attorneys and doctors to send people after me with guns when I told them I thought it was all very illegal and tried to make them follow ...the Rule of Law, but since the Law is still above the Rule of Law in California, Geri got away with destroying a whole industry and rose to tremendous heights of power within arguably the most corrupt state agency in the whole country – State Fund (SCIF, State Compensation Insurance Fund), where she was at the San Jose District Office of the fund and at one time worked to “influence the legislator on issues important to SCIF” (her own words to me). I bet she did real well on that.

Her traitorous disloyalty to the American dream involved what are now considered terrorist acts on American soil – she is one of the major reasons State Fund looted 3.5 to 10 billion dollars from the taxpayers of California and uncounted amounts more are being denied fair taxation due to all the illegal tax shelters she handed out – how very efficient she was and I’ll wager her pension will be far higher than anyone who worked for an honest living.

Only in America…
 
 

Charles W. Savage: "Demoted in the Scandal Days"

Demoted in the Scandal Days

Former SCIF General Counsel Calls It Quits

Charles W. Savage, assistant chief counsel for large litigation at State Compensation Insurance Fund (SCIF), is retiring this month after 31 years at SCIF. Savage was a former vice president and general counsel at SCIF until he was demoted after a well-publicized scandal involving former SCIF president Jim Tudor and other management. Savage was Tudor’s right-hand man. Savage’s retirement closes another old scandal-plagued chapter at the workers’ comp carrier.

According to SCIF president Janet Frank, Savage made the decision himself.

Savage attended the University of California at Berkeley and went to law school at the New College of California SOL in San Francisco, which closed its doors in 2008. According to the college’s website:

“Since 1971, New College of California has been a San Francisco beacon for political activists, misunderstood artists, hippie freaks and students wanting to design individual educations away from the constraints of conventional institutions.” No, we’re not kidding, this is really what the website says.

One of the industry’s long-standing problems with SCIF has been SCIF’s choice of cases to litigate and appeal. It’s always been thought generally that SCIF litigated cases that cost the industry. Had it picked cases with better facts, instead of trying to beat up claimants and lawyers it was mad at, it would have had far better outcomes.

“Maybe with the infusion of new blood and a fresh perspective at the top of SCIF’s legal department, not every legal issue will deteriorate into a ‘scorched earth, take no prisoners’ approach.” – Drew Pomerance, partner with Roxborough, Pomerance & Nye, and frequent SCIF opponent

Savage was also responsible in part for choosing and using outside counsel and running up record legal bills in areas of law not concerned with workers’ comp. Industry experts find that unusual for a mono-line workers’ comp carrier. In its most notorious case, SCIF sued Insurance Commissioner John Garamendi and the California Department of Insurance over jurisdictional issues.

As head of major litigation, Savage was responsible for prosecuting some of SCIF’s biggest civil losses, notably the Palm Medical case, in which the carrier was found to have acted like a bully—violating fair procedure—toward a medical clinic it tried to exclude from its Fresno-area provider network. Schaefer Ambulance was another case where SCIF was eventually forced to settle and fork over almost $24 million. The class action revolved around the contention that SCIF was improperly reporting medical-legal expenses to the Workers’ Compensation Insurance Rating Bureau, driving up employer X-Mods.

In 2003, SCIF contended that it did not fall under the rubric of Risk-Based Capital (RBC) standards as do other carriers. It also said that the Garamendi department had no right to conserve and liquidate SCIF should it fall below RBC standards. SCIF lost that case after shelling out $1.6 million in legal fees to the law firm of Sheppard Mullin, Richter & Hampton.

Drew Pomerance, partner with Roxborough, Pomerance & Nye, and frequent SCIF opponent, had this to say:
“I wish Charles the very best in his retirement. I am hopeful that his retirement will result in a shift in how SCIF approaches legal issues, and how they treat their policyholders. Maybe with the infusion of new blood and a fresh perspective at the top of SCIF’s legal department, not every legal issue will deteriorate into a ‘scorched earth, take no prisoners’ approach, and instead SCIF will look toward solving problems in a way that is mutually beneficial for both itself and its policyholders.”

Savage did not return calls for comment.

Transparency Ethics Notice: As part of another company, Workers’ Comp Executive Publisher Dale Debber has been in litigation with SCIF, which was under Savage’s direction. The litigation is settled



civil service - the crimes they won't talk about

i accuse my former co-workers at a state agency, STATE FUND, of extremely abusive conduct against me peronally including conspiracy to commit and conceal - among other things - attempted murder to try to keep me from exposing what criminal activities went on there and still go on as they continue to conspire to avoid discovery for crimes not only against me, but against the public and it's trust in how they were supposed to make decisions about benefits and dollars that they were entrusted with.

and what did they do other than loot the state of billions - 3.5 to 10 billion to be more precise.

now, unless people speak up and demand the truth, i will be forced to go silent due to health issues from claims adjustors and attorneys manipulating the rule of law to silence me by abusing my medical care and hiding behind governmental status so people who committed criminal acts wouldn't go to jail.

and all i did was to try to stop white collar crime costing the taxpayers billions.

only in amerika - write or call the attorney general and govenor of california, demand i receive justice for if i do not get it, what will all of you get some day when its your turn for "justice...."

white collar crime: what if you report it and nobody cares?

Putting a face on White Collar Crime in California - Robert Quaid

Putting a face on White Collar Crime in California:

I first met Robert “Baby-Face Bobbie” Quaid just after he transferred from policy (sales) into claims as a claims adjustor. He was part of the secret group that helped management subvert the Process of Law by convincing our entire claims department (and literally our entire district office) that “we had to bribe a judge because we broke the law and made ‘huge mistakes’ that could send us all to jail and I certainly don’t want to go to jail for what we did.”

For his complicity in helping management conspire to bribe a judge and cover up the multiple, state-sanctioned criminal endeavors that went on at State Fund state-wide (that added up to billions of dollars) , Baby-Face Bobbie Quaid’s future was assured – first he was made our internal investigator and thus put in charge of hiding schemes to loot the state that were officially state-sanctioned – those by managers, the law enforcement unions, doctors, applicant attorneys and of course, the judges.

I know he hid these schemes because I reported a goodly number of them to him directly. He would only laugh each time I told him I would report whatever it is he refused to take action on, saying things like: “what are you going to do, report me to the CHP?” He was safe, protected, knowing that he – “The Law” - was safely “Above The Law” because “The Law” was involved in activities against “The Process of Law” and thus it was all okie-dokie with everyone I ever talked to about it or reported it to.

To the best of my recollection, he only reported fraudulent claims committed by individual workers and not those created officially by the multiple and various types of state-sanctioned fraud that went on state-wide at SCIF. To my direct knowledge, he refused to report crooked professionals who broke the law and/or profited illegally in some way – this included many doctors, even more lawyers and to my surprise and shock, a growing number of judges as I found them – 30 or so to date.

Similarly, he refused to report the official, state-sanctioned abuse of migrant farm workers; the abuses and tax frauds committed by farmers and other employers; our attempts to bribe and manipulate politicians, appointees or others in government or even Chief’s Disease – all of which were approved or tolerated, caused by and/or protected by the very people I worked with and reported it to in a manner that made me speculate about racketeering in a global sense after discovering how far it all extended.

I viewed it all as a hugely unconstitutional, human and civil rights violation situation with the added onus of having an illegal tax fraud conspiracy included as the probable basis for it all and reported it all as such to no avail.

As reward for what he was willing to do to keep me quiet in open retaliation for my being a whistle blower and trying to stop white collar crime, he was fast-tracked into various management slots, eventually rising to claims manager and no doubt by now rising even higher thanks to his “unique skill set” and for “what he was willing to do”.

Who says white collar crime doesn’t pay in state service – just ask “Baby-Face, the man with the flexible values.”

James Tudor: is every high ranking manager at SCIF Corrupt?

Tudor Shown the Door After Internal Investigation

State Compensation Insurance Fund's board of directors, at the onset of what promises to become a bigger scandal, has fired the insurer's president, Jim C. Tudor, and his long-time ally Renee Koren. She was vice president of group insurance programs. The firings come on the heels of an internal investigation ordered by the governor's office. An interim president has been appointed from the outside.
Highly placed officials within the government indicate more bombs are expected to fall as the outcome of the investigation becomes clearer. State Fund management and operations, including its group programs, came under scrutiny last year after theExecutive uncovered the veil of secrecy and Tammany Hall-style political intrigue and possible payoffs that have surrounded the group safety program scheme for years.
California Insurance Commissioner Steve Poizner told theExecutive "The State Fund is a high priority for me." He said that it has been a struggle for the Department to work with State Fund for many years because of former SCIF management's recalcitrant attitudes. "The Legislature clarified our role last year. I am happy to be working with the governor's office and the State Fund's board to fully implement the kind of changes that are necessary to protect so many of California's injured workers and employers."
Employees Notified

State Fund employees were notified of the dismissals at 5:05 pm yesterday in an unprecedented internal email from Jeanne Cain, chairwoman of State Fund's board. She admonished employees to steer clear of any contact the ousted duo.

"Effective immediately, Jim Tudor and Renee Koren have resigned from State Fund and are no longer involved in any aspect of State Fund operations," the memo reads. "Therefore all communication with them regarding State Fund matters must cease. No employee is permitted to communicate in any way with Mr. Tudor or Ms. Koren regarding any subject involving State Fund."

Never before has any board member communicated directly with the employees of State Fund. The move was welcomed by many employees as bold and efficient. The tenor of the email has many employees postulating that the investigation has turned criminal. No indictments or arrests have been made.

New President

The board of directors will announce the interim president later today. It will be Lawrence 'Larry' Mulryan, former director of the California Insurance Guarantee Association.
Mulryan is well known, highly respected, and has integrity beyond reproach. He will be credible to both the Insurance Department and Legislature and brings with him the kind of respectability that will be needed as the continuing scandal unfolds.

One highly placed State Fund official told theExecutive the regular board meeting was cancelled and then held without Jim [Tudor]. "We knew then that something was up," he said.

Tudor had stacked the executive committee, as the group of vice presidents is called, with his own appointments and lobbied former presidents Dianne C. Oki and Kenneth C. Bollier for many of its present members. Many of them are likely loyal to Tudor.

In fact, State Fund vice president and general counsel Charles Savage was who all management audit reports went to. Savage was hand-picked by Tudor and reported to Tudor including on these management audit issues.

"Tudor was a master manipulator," the executive says. "No one was surprised that he made it come out so he got the presidency." Koren was under Tudor's wing for years and is infamous among staff for her take-no-prisoners management style. The executive says that many of the vice presidents spoke badly about Koren "when she wasn't around."  Interviews with the investigation team bear this out, he says.

Neither Tudor nor Koren could be reached for comment.

Others Expected To Leave

Highly placed sources within the government tell theExecutive that others on the executive committee are expected to leave in the near future, but as retirees. The sources say that the message is clear that cooperative retirements are likely better than the alternative.

The dismissals came after a two-month probe by the board, which had tapped two outside law firms to investigate, State Fund sources tell the Executive.

This was possible only after two board members, Frank Del Re and Kent Dagg, both of who operate State Fund safety groups, were forced to resign by the governor's office due to conflict of interest allegations. Those allegations were brought to light last year by the Workers' Comp Executive which reported that the board would be voting to increase commissions on group business, which would directly have benefited Del Re and Dagg. State Fund pays fees based on premium volume to group administrators.

Tudor has for years had a close relationship with Del Re, whose Western Insurance Administrators administers workers' compensation groups for seven trade associations. Del re is a former State Fund employee.

"Our president has been fired in disgrace and the lady who hired me was fired in disgrace too," one State Fund staffer, who requested anonymity, says. "Finally after all of these years State Fund employees are vindicated."

So is the integrity of the State Fund

http://www.wcexec.com/articles/WCE01-20070321-000.htm.aspx

April, 1913 - Workman's Compensation - "what they said"

San Francisco Call, Volume 113, Number 123, 2 April 1913  
TEACHERS, PENSION 1 BILLS ATTACKED SACRAMENTO,

April I.—State Controller A. B. Nye, in a sharp letter addressed jointly to Senators E. J. Tyrrell of Oakland and A. E. Boynton of Oroville, authors of the two teachers' pension bills now before the legislature, declares both measures unconstitutional and asserts that owing to faulty construction neither would be effective. Nye further states that those who drew up the bills knew "little or nothing, about public financial methods." Thousands of teachers throughout the state have taken a great interest in the two proposed laws —either of which is said to have been acceptable to a majority of the teaching profession. The principal difference lies in the method of providing the money with which to pay the pensions, and on this score Nye brands them both as impossible.



COMPENSATION BILL BY SCOTT CALL BUREAU. SACRAMENTO HOTEL.
Sacramento, April I.

Senator Boynton's workmen's compensation act, which, it was announced today, •would be amended by the committee having it in charge so as to eliminate the ranchers and farmers from its provisions, has created considerable discussion among the political leaders of the state, owing to a charge made by J. J. Scott of the democratic state central committee that it was designed to build up a political machine.  

Chairman Daniel Ryan of the republican committee tonight said Scott's charge was mere rot and that the democrats were making an effort to defeat a measure which would benefit the workingmen immensely. In a letter to the editor of a paper in Crescent City, dated March 2 4 and forwarded to Senator Boynton, Scott said: "in the campaign last fall your paper had the independence of thought and action to oppose the high handed work of the present state political machine.

I therefore do not feel that I am presuming in calling your attention to one of the worst of the political measures now before the legislature of California in the hope that you will realize the importance of commenting on it editorially and seeing that your comments are communicated to the representatives of your community at Sacramento.

"The bill to which I refer is senate bill 905 by Senator Boynton.

In enclosed editorials I have endeavored to show how, if enacted into law, its operation would tend to build up a political machine, not only impregnable, but also unprecedented in the history of the state. "In another article, submitted for editorial expression, if you see fit, I have explained the Injustice to which tens of thousands of farmers in California would be subjected by the success of so preposterous a program.

The Boynton bill is intended to per- I feet a political organization by the creation of an unlimited number of positions, at unlimited salaries and by devious other sly ramifications under the control of three commissioners, holding office at the pleasure of the governor."

Senator Boynton declined to comment on Mr. Scott's letter, but Mr. Ryan said it was absurd to suggest that there was any ulterior motive in the bill or that a political machine could be built up in any such manner.

The bill, with some minor amendments not yet made, will be recommended for passage by the committee.

a question we should all be asking

hi folks - does anyone know if it is legal for the legislature and governor - under any conditions - to unilaterally alter the state constitution without the approval of the voters in California? well, apparently they did in 1913.

i received the following information today from a state archivist - if it's true - it likely means that there is NO legal basis whatsoever for the present system of worker's compensation.

"SB905 from 1913 (chapter 176) was not a constitutional amendment, and therefore was not voted on by the electorate. The Governor approved this act on June 2, 1913, and it went into effect immediately."

this of course, in 1913, altered the constitution without a vote of the people and among other things, took due process out of the system in return for setting us up with what i believe was referred to as a satisfactory system that was supposed to make everyone happy - injured workers and employers alike - and what did we the people and employers of California actually get - an epic con job that made California into the private playground of lawyers, doctors, law enforcement groups, un-elected judges and civil servants that were asleep at the wheel of a multiple billion dollar series of scandals that looted not only the industry but the state and the public's trust too.

 or, am i wrong here? are our constitutional rights and our state's constitution such lowly constructs as to be disregarded in California and turned over to those who serve themselves instead of you -

 ya, that must be it.

Worker's Comp - amending the Constitution WITHOUT a Vote of and by the People?

"There are no propositions concerning worker’s compensation in the 1910s, 1920s, 1930s, 1940s or 1950s. I looked through each of them. Worker’s compensation did not start to be a ballot issue until the 1960s."

M. M.
Librarian
Hastings College of the Law Library


"SB905 from 1913 (chapter 176) was not a constitutional amendment, and therefore was not voted on by the electorate. The Governor approved this act on June 2, 1913, and it went into effect immediately. "

J.M.H.
Archivist
Reference Coordinator
California State Archives