Oakland Building Inspectors have been colluding with property owners in tenant evictions
https://www.sfchronicle.com/bayarea/article/Oakland-finds-likely-collusion-between-inspector-13040708.php
An Oakland building inspector likely colluded with a property owner in 2016 to evict tenants from a building by improperly declaring it unsafe, according to internal documents released by the city, which described its employee’s behavior as “a violation of the public trust.”
The six tenants moved out of the West Oakland building in April that year and have been out since. The city rescinded the red tags two weeks after they were posted and told the property owner he should let the tenants return — even though the building, a commercial property that had been used as a live-work space, did not have city permits for residency.
The episode occurred months before the deadly Ghost Ship fire at an artists’ collective drew attention to the dangers of unpermitted residences and the city’s lax oversight of such properties.
The inspector, Thomas Espinosa, who worked in the city’s Planning and Building Department for 11 years, resigned in November 2016 after Oakland officials moved to fire him. His bosses said he abused his authority that spring when he red-tagged the building at 661 27th St. and ordered the tenants to leave, according to a copy of the city’s “notice of intent to terminate” letter.
Attorneys for Espinosa and property owner Patrick MacIntyre said the men did not collude to evict tenants. Espinosa’s attorney, Quynh Chen, said her client was simply doing his job and did nothing wrong — with one exception, which she called an honest mistake. She said city officials “dramatized” the facts in the case.
“There was no bad intent,” she said. “Basically there was a misunderstanding between Mr. Espinosa and his supervisors, and he took the bullet for it.”
MacIntyre’s attorney, David Sternfeld, said the tenants should not have been living in the building in the first place.
The Chronicle obtained the ex-inspector’s personnel file under a public records request. A federal grand jury and the FBI subpoenaed the city last fall to get Espinosa’s files, too. Spokesmen for the FBI and the U.S. attorney’s office in San Francisco said they had no public information to disclose, and declined to comment.
The records include the intent-to-terminate letter written by Darin Ranelletti, the department head at the time who now works as Mayor Libby Schaaf’s policy director for housing security. Ranelletti said in the letter that Espinosa jeopardized public trust with a series of inconsistent statements and questionable behavior.
His letter said the ex-inspector displayed a “documented pattern of abusing city resources and authority,” but that one incident in particular — the suspected collusion that culminated in an April 7, 2016, eviction — amounted to “serious misconduct.” The letter describes the incident in detail.
For years, court records show, MacIntyre, the owner of the building on 27th Street, had been trying to evict the tenants. A group of mostly artists, they had been living at the two-story building under a live-work lease initially signed by a previous owner before the property went into foreclosure and was bought by MacIntyre.
His building was once home to a French bakery, and wasn’t authorized to be used as a residence.
Espinosa said that as he drove to the office on April 6, 2016, he happened upon trash and graffiti outside the building, according to statements he gave to his supervisors and in court. Even though it was outside the district he was assigned to inspect, Espinosa stopped to take pictures. He said he saw construction going on through the open door.
Espinosa said he went back to the office and found that there were no permits for construction, so he posted a number of stop-work notices and scheduled an inspection for the next day. After the inspection, Espinosa said in the statement, he found safety hazards, including a lack of fire escapes, and red-tagged the building.
Espinosa should not have done that without first getting approval from a supervisor, Ranelletti said. When his bosses questioned him about his actions, Espinosa told them he had no prior contact with MacIntyre, according to Ranelletti’s termination letter.
But city officials reviewed his work phone records and found Espinosa had called MacIntyre’s cell phone three times two days before his purportedly impromptu inspection. And on that morning, April 6, between 5 and 7 a.m., Espinosa called MacIntyre twice, and MacIntyre called him once, according to Ranelletti’s letter and a phone log included in the personnel file reviewed by The Chronicle.
Chen said Espinosa was likely “drowning in paperwork” and forgot about the calls.
Two days later, Espinosa helped MacIntyre fill out a form that would have given him a permit to do work on the building, according to Ranelletti.
Later that year, Espinosa provided a declaration for MacIntyre to use in his litigation against the tenants in which he stated that he came across “voluminous amounts of marijuana” during his walk-through of the building. Yet city officials said that observation did not comport with his inspection records.
“If it was true that there was cannabis on site, then you should have reported that to your superiors and/or zoning investigator ... immediately after your inspection,” Ranelletti wrote. “You did not do either. You also provided no photographs to substantiate your claim.
“These facts strongly suggest collusion with the owner and that your inspection of the 27th Street building was outside the scope of your job as a city employee and quite possibly for personal gain,” he continued. “Had your actions gone undiscovered, you would have caused the indefinite displacement of multiple families.”
The six tenants were indefinitely displaced.
One of them — Christine Shepherd, 43, an artist who specializes in 19th century photographic processing — couch-surfed for a few months and ultimately moved to Oregon because she couldn’t afford Bay Area rents. She had lived at the West Oakland building for seven years and her boyfriend for more than a decade. She said it was safe.
“We had no idea that that was coming,” she said of the inspection and eviction. “It was like absolute panic. Your stomach just goes into a knot and you can’t think straight and you don’t know what your next step is going to be.”
Another tenant, Michael Taylor, 46, has been staying with friends and sleeping in his camper van ever since.
Despite Espinosa’s bosses ordering the red tags to be removed and the tenants to be allowed to move back in two weeks later, Kevin Greenquist, the tenants’ attorney, said MacIntyre did not do so and changed the locks.
Chen said the one mistake Espinosa made was delegating the removal of the red tag notices to MacIntyre, rather than doing it himself. Other than that, she said, he was doing what his position required. Chen said the city exaggerated its claims against her client so it wouldn’t be sued for wrongful termination.
Had there been collusion, the city would have provided documentation in the termination letter, Chen said.
“He should’ve just not done his job and stayed silent and not returned phone calls out of fear of favoritism,” she said. “If I worked for the city of Oakland and I wanted to show evidence of collusion I would attach financial records, actual evidence.”
She said Espinosa was not responsible for the evictions.
It’s unclear whether the 2016 case was an isolated event. The city Public Ethics Commission has an open investigation to determine whether Espinosa violated policies covering conflicts of interest, misuse of city resources, misuse of city position and more.
Oakland officials did not answer The Chronicle’s repeated questions about whether they investigated other cases to see if there was a pattern of improper interactions with other property owners and tenants.
City records show that officials became aware of the employee’s misconduct only after tenants and their attorney complained to Espinosa’s supervisors about his actions, prompting the internal review that led to the termination letter.
“I called the city of Oakland because I wanted to know, can they just make me homeless?” Shepherd said. “I guess I sort of trusted in city officials and democracy working for us.”
Greenquist said he was “outraged” that the city didn’t tell him that it found Espinosa likely colluded with the property owner. Greenquist said he was concerned there could be other similar cases.
“The city knew all this and didn’t say a word about it,” he said. “If you have a rogue inspector and find out all this stuff, why do you bury it when it could just be the tip of the iceberg?”
Greenquist continues to represent the tenants in their court fight with MacIntyre over whether the tenants were wrongfully evicted and what, if anything, they are owed.
The lawyer, who was with the tenants when the building was red-tagged, remembered Espinosa telling them they could be arrested if they returned to the premises. He said they had three hours to collect their belongings.
MacIntyre’s attorney, Sternfeld, said the tenants left on their own accord and should never have been living there in the first place. Sternfeld said the city’s finding of coordination between his client and the inspector was wrong.
“I can guarantee to you that my client did not collude with Mr. Espinosa,” he said.
Despite city officials concluding that Espinosa made false statements, the written declaration in which he testified about coming across hazards such as the cannabis grow continue to be used in the civil litigation.
Alameda County Superior Court Judge Scott Patton relied on that statement — which the city implied might contain falsehoods — in deciding a recent motion filed by the tenants.
Showing posts with label #Oakland #CityofOakland #AffordableHousingCrisis #OaklandCalifornia. Show all posts
Showing posts with label #Oakland #CityofOakland #AffordableHousingCrisis #OaklandCalifornia. Show all posts
Thursday, November 1, 2018
157 Oakland City Council President Larry Reid's found guilty of rigging State Construction Contracts and Accepting Bribes
The son of Oakland Council President Larry Reid faces up to 20 years in prison and $750,000 in fines.
Taj Reid Found Guilty of Rigging State Construction Contracts and Accepting Bribes
https://www.eastbayexpress.com/SevenDays/archives/2018/05/25/taj-reid-son-of-oakland-council-president-larry-reid-found-guilty-of-rigging-state-construction-contracts-and-accepting-bribes
A federal jury found Taj Armon Reid guilty yesterday of conspiring to rig state construction contracts and accepting bribes.
Reid, who is the 47-year-old son of Oakland City Council President Larry Reid, was convicted on three counts, which could carry a sentence of 20 years imprisonment and $750,000 in fines.
The case began over six years ago when a mysterious out-of-state businessman calling himself William Joseph came to the Bay Area looking for opportunities. Joseph sought out meetings with public officials in San Francisco and the East Bay. One of his first get-togethers was with former San Francisco School Board member Keith Jackson.
Jackson already had an undercover FBI agent building a case against him (as well as state Senator Leland Yee), and Jackson would later be taken down as part of the FBI's sprawling "Shrimp Boy" undercover sting. But before all of that, the undercover FBI agent who called himself "Michael King" introduced Joseph to Jackson. Joseph said he was interested in getting into Oakland's medical marijuana industry. Could Jackson make any useful introductions?
Jackson ended up introducing Joseph to Taj Reid, the son of Oakland City Council President Larry Reid.
Joseph, who said he specialized in construction and real estate, met several times with Reid and his business partner Eric Worthen in San Francisco in early 2013 to discuss government contracting opportunities — not cannabis.
Joseph talked himself up as a big player in the real estate realm. He said he'd done projects at Disney World and Universal Studios and built part of the Dallas Airport. He was looking to buy a giant franchise of TGI restaurants in Texas. He claimed to have owned an auto dealership through Toyota's minority business program: Joseph is Black, and many of his meetings in the Bay Area were with other Black political and business leaders.
He would tell people that he "got a whole lot of shady friends with cash" who help him out when he's in a pinch, according to court records.
And Joseph said that Michael King, the undercover FBI agent who had already been making rounds in the Bay Area and posing as a super-wealthy ex-Wall Street type, was one of his sources of financing for really big deals.
Unbeknownst to Worthen and Reid, William Joseph was actually William Myles, a confidential source whom the FBI has paid for years to root out public corruption across the country. Myles has helped the FBI build cases against politicians and police officials in Connecticut and Louisiana.
At the time they met with the FBI's Myles, Reid's business partner Worthen was a high-level employee within the state Department of Veterans Affairs, or CalVet, working in the division that builds housing for veterans. On the side, Reid and Worthen ran a consulting business.
Prosecutors alleged that Worthen and Reid devised a plan to use Worthen's position inside the state agency to obtain non-public information about a Southern California CalVet housing project that was being put out to competitive bid. Worthen and Reid promised Myles that they could ensure he would win the contract. In exchange, they accepted about $12,000 in bribes.
"We want you to have the job, we want to make sure you get the job," Reid told Myles, according to FBI records introduced at trial. "Let’s keep this on the hush."
Worthen and Reid also requested a 15 percent share of the profits that Myles stood to make off the construction project.
According to the FBI, Reid went to San Francisco in April of 2013 to meet with Myles in his hotel room and accept a $10,000 bribe.
Not long after, Worthen and Reid devised a similar scheme to help Myles pursue a kitchen construction project in Los Angeles that was also being built by CalVet. Again, they provided him with non-public information about the project and took $2,000 in compensation each.
Then Myles did what the FBI pays him to do. He asked Reid and Worthen to introduce him to more people who could provide even bigger opportunities.
Reid — who according to federal prosecutors told Myles, "If you want to play, you have to pay" — ended up introducing the FBI informant to his father, Larry Reid.
But although the FBI was rumored to be investigating Larry Reid, the councilmember was never accused of any wrongdoing by the feds.
Instead, it was another introduction that led to still more criminal charges and the fall of several influential Oakland businessmen.
Following up on the request from Myles, Reid and Worthen reached out to their friend Ken "Kenny" Houston to see if Len and Lance Turner, two brothers who own the Turner Group Construction company, might have any interest in meeting the wealthy out-of-town businessman. Houston, who is currently running for mayor of Oakland, is a close friend of Larry Reid and also a project manager with Turner Group. The Turner brothers have done major business with the city of Oakland.
According to court records, Houston told Reid and Worthen that they should all arrange a meeting.
To entice the undercover FBI asset Myles to meet with the Turners, Reid told him that "they got juice through Dad. They got a lot of work. More out there for them to get," according to FBI records.
Federal prosecutors alleged that this was a reference to the $2 million in construction contracts that the Turner Group company was seeking from the city of Oakland at the old Oakland Army Base. Oakland's city auditor found in 2013 that Larry Reid improperly interfered with the process of awarding these contracts by putting pressure on staff to give the work to the Turners.
Myles showed up one afternoon in May 2013 at the Turners' East Oakland offices and sat down with Len Turner, Taj Reid, and Worthen. This was the day after Reid accepted a $2,000 bribe from Myles for the CalVet scam. The meeting was brief, and according to the FBI, no one proposed any illegal schemes during the 30-minute conference. In fact, some of the discussion centered on how to create more job opportunities for minorities.
Months passed after the meeting with no further business discussed. Even so, the FBI decided to set up an elaborate sting targeting Len Turner and his brother Lance.
The sting started when Myles contacted Taj Reid in September 2013 and told him that he had an inside track to get a multimillion-dollar construction project at the Lawrence Berkeley National Laboratory, but he needed other contractors to submit fake bids at higher prices in order to win it and help his inside connection cover their tracks. Federal prosecutors allege that the Turners agreed to submit a false bid. In fact, the Department of Energy was in on the FBI's fake bidding opportunity, and prepared a fake construction contract for the operation as bait.
Records produced at trial showed that Turner Group Construction did, in fact, submit a bid to the Department of Energy on September 13 for the work in question.
Myles promised to compensate the Turners for the allegedly false bid by hiring them to subcontract on the project.
And for his part in making the introductions and serving as a go-between, Taj Reid demanded a $100,000 cut from the Turners, according to court records.
"I brokered the deal. I gave you the deal," Reid allegedly told Len Turner after Turner expressed outrage at the councilmember's son's high price. "I spoon-fed you the deal. You didn’t have to do nothing [...] All I want to do is get paid," said Reid.
Alongside Reid, both Len and Lance Turner were charged with conspiracy to defraud the federal government. They have both pleaded innocent and are both facing five years in prison and $250,000 fines if convicted.
Throughout the case, defense attorneys for Reid, the Turners, and other defendants swept up in the FBI's sting have stated that the operation has all the hallmarks of entrapment, and that most of the FBI's targets were prominent Black business leaders and politicians. They've alleged that the FBI came to the Bay Area and racially profiled people in its public corruption probe.
Attorneys for the Turners wrote in a recent court briefing that they believe the FBI informant Myles specifically targeted their clients because they were Black.
Furthermore, they wrote that the FBI has a history of using Myles "targeting of blacks for sting operations" because he poses as a successful Black entrepreneur who wants to help uplift Black communities.
The Turners were lured into doing business with Myles by "false appeals to racial solidarity," wrote the defense.
Taj Reid Found Guilty of Rigging State Construction Contracts and Accepting Bribes
https://www.eastbayexpress.com/SevenDays/archives/2018/05/25/taj-reid-son-of-oakland-council-president-larry-reid-found-guilty-of-rigging-state-construction-contracts-and-accepting-bribes
A federal jury found Taj Armon Reid guilty yesterday of conspiring to rig state construction contracts and accepting bribes.
Reid, who is the 47-year-old son of Oakland City Council President Larry Reid, was convicted on three counts, which could carry a sentence of 20 years imprisonment and $750,000 in fines.
The case began over six years ago when a mysterious out-of-state businessman calling himself William Joseph came to the Bay Area looking for opportunities. Joseph sought out meetings with public officials in San Francisco and the East Bay. One of his first get-togethers was with former San Francisco School Board member Keith Jackson.
Jackson already had an undercover FBI agent building a case against him (as well as state Senator Leland Yee), and Jackson would later be taken down as part of the FBI's sprawling "Shrimp Boy" undercover sting. But before all of that, the undercover FBI agent who called himself "Michael King" introduced Joseph to Jackson. Joseph said he was interested in getting into Oakland's medical marijuana industry. Could Jackson make any useful introductions?
Jackson ended up introducing Joseph to Taj Reid, the son of Oakland City Council President Larry Reid.
Joseph, who said he specialized in construction and real estate, met several times with Reid and his business partner Eric Worthen in San Francisco in early 2013 to discuss government contracting opportunities — not cannabis.
Joseph talked himself up as a big player in the real estate realm. He said he'd done projects at Disney World and Universal Studios and built part of the Dallas Airport. He was looking to buy a giant franchise of TGI restaurants in Texas. He claimed to have owned an auto dealership through Toyota's minority business program: Joseph is Black, and many of his meetings in the Bay Area were with other Black political and business leaders.
He would tell people that he "got a whole lot of shady friends with cash" who help him out when he's in a pinch, according to court records.
And Joseph said that Michael King, the undercover FBI agent who had already been making rounds in the Bay Area and posing as a super-wealthy ex-Wall Street type, was one of his sources of financing for really big deals.
Unbeknownst to Worthen and Reid, William Joseph was actually William Myles, a confidential source whom the FBI has paid for years to root out public corruption across the country. Myles has helped the FBI build cases against politicians and police officials in Connecticut and Louisiana.
At the time they met with the FBI's Myles, Reid's business partner Worthen was a high-level employee within the state Department of Veterans Affairs, or CalVet, working in the division that builds housing for veterans. On the side, Reid and Worthen ran a consulting business.
Prosecutors alleged that Worthen and Reid devised a plan to use Worthen's position inside the state agency to obtain non-public information about a Southern California CalVet housing project that was being put out to competitive bid. Worthen and Reid promised Myles that they could ensure he would win the contract. In exchange, they accepted about $12,000 in bribes.
"We want you to have the job, we want to make sure you get the job," Reid told Myles, according to FBI records introduced at trial. "Let’s keep this on the hush."
Worthen and Reid also requested a 15 percent share of the profits that Myles stood to make off the construction project.
According to the FBI, Reid went to San Francisco in April of 2013 to meet with Myles in his hotel room and accept a $10,000 bribe.
Not long after, Worthen and Reid devised a similar scheme to help Myles pursue a kitchen construction project in Los Angeles that was also being built by CalVet. Again, they provided him with non-public information about the project and took $2,000 in compensation each.
Then Myles did what the FBI pays him to do. He asked Reid and Worthen to introduce him to more people who could provide even bigger opportunities.
Reid — who according to federal prosecutors told Myles, "If you want to play, you have to pay" — ended up introducing the FBI informant to his father, Larry Reid.
But although the FBI was rumored to be investigating Larry Reid, the councilmember was never accused of any wrongdoing by the feds.
Instead, it was another introduction that led to still more criminal charges and the fall of several influential Oakland businessmen.
Following up on the request from Myles, Reid and Worthen reached out to their friend Ken "Kenny" Houston to see if Len and Lance Turner, two brothers who own the Turner Group Construction company, might have any interest in meeting the wealthy out-of-town businessman. Houston, who is currently running for mayor of Oakland, is a close friend of Larry Reid and also a project manager with Turner Group. The Turner brothers have done major business with the city of Oakland.
According to court records, Houston told Reid and Worthen that they should all arrange a meeting.
To entice the undercover FBI asset Myles to meet with the Turners, Reid told him that "they got juice through Dad. They got a lot of work. More out there for them to get," according to FBI records.
Federal prosecutors alleged that this was a reference to the $2 million in construction contracts that the Turner Group company was seeking from the city of Oakland at the old Oakland Army Base. Oakland's city auditor found in 2013 that Larry Reid improperly interfered with the process of awarding these contracts by putting pressure on staff to give the work to the Turners.
Myles showed up one afternoon in May 2013 at the Turners' East Oakland offices and sat down with Len Turner, Taj Reid, and Worthen. This was the day after Reid accepted a $2,000 bribe from Myles for the CalVet scam. The meeting was brief, and according to the FBI, no one proposed any illegal schemes during the 30-minute conference. In fact, some of the discussion centered on how to create more job opportunities for minorities.
Months passed after the meeting with no further business discussed. Even so, the FBI decided to set up an elaborate sting targeting Len Turner and his brother Lance.
The sting started when Myles contacted Taj Reid in September 2013 and told him that he had an inside track to get a multimillion-dollar construction project at the Lawrence Berkeley National Laboratory, but he needed other contractors to submit fake bids at higher prices in order to win it and help his inside connection cover their tracks. Federal prosecutors allege that the Turners agreed to submit a false bid. In fact, the Department of Energy was in on the FBI's fake bidding opportunity, and prepared a fake construction contract for the operation as bait.
Records produced at trial showed that Turner Group Construction did, in fact, submit a bid to the Department of Energy on September 13 for the work in question.
Myles promised to compensate the Turners for the allegedly false bid by hiring them to subcontract on the project.
And for his part in making the introductions and serving as a go-between, Taj Reid demanded a $100,000 cut from the Turners, according to court records.
"I brokered the deal. I gave you the deal," Reid allegedly told Len Turner after Turner expressed outrage at the councilmember's son's high price. "I spoon-fed you the deal. You didn’t have to do nothing [...] All I want to do is get paid," said Reid.
Alongside Reid, both Len and Lance Turner were charged with conspiracy to defraud the federal government. They have both pleaded innocent and are both facing five years in prison and $250,000 fines if convicted.
Throughout the case, defense attorneys for Reid, the Turners, and other defendants swept up in the FBI's sting have stated that the operation has all the hallmarks of entrapment, and that most of the FBI's targets were prominent Black business leaders and politicians. They've alleged that the FBI came to the Bay Area and racially profiled people in its public corruption probe.
Attorneys for the Turners wrote in a recent court briefing that they believe the FBI informant Myles specifically targeted their clients because they were Black.
Furthermore, they wrote that the FBI has a history of using Myles "targeting of blacks for sting operations" because he poses as a successful Black entrepreneur who wants to help uplift Black communities.
The Turners were lured into doing business with Myles by "false appeals to racial solidarity," wrote the defense.
153 Oakland Bldg Department - Building inspector took thousands of dollars in bribes, undisclosed payments
https://www.eastbaytimes.com/2018/10/30/report-oakland-building-inspector-took-bribes-undisclosed-payments/
Report: Oakland building inspector took thousands of dollars in bribes, undisclosed payments
OAKLAND — A former city building inspector accused of taking thousands of dollars in bribes and other payments from people whose properties he was inspecting could get slapped with a million-dollar-plus fine.
Thomas Espinosa took $2,700 in bribes from people whose buildings he was inspecting and failed to disclose to the city that he received more than $300,000 for contracting work and other work from people whose properties he was inspecting, according to a report from investigators for the city’s Public Ethics Commission.
The report alleges Espinosa — who worked for the city from 2005 to 2016 — committed 47 ethics violations. The maximum penalty for all those violations — which include accepting bribes, misusing public money and using city authority to coerce — totals $1,151,737. Investigators will present their report Nov. 5 to the commission, which could decide then whether to pursue fining Espinosa.
This is the Public Ethics Commission’s largest case based on the number of alleged violations and penalty amount, executive director Whitney Barazoto told this news organization. She confirmed that the commission has passed along its findings to law enforcement.
Efforts to reach Espinosa were unsuccessful.
The investigation began in October 2016, after Espinosa stopped working for the city. Documents obtained through a public records request and posted on the city’s website show Espinosa resigned in August 2016 after being issued a notice of termination.
The report details his interactions with landlords, a real estate agent and property owners during his last few years on the job.
Espinosa was assigned to inspect properties owned by a landlord who was sued by the city for failing to take care of about a dozen properties and for housing tenants in dilapidated, unhealthy apartments. A judge ordered the landlord in 2009 to bring the properties up to code and Espinosa monitored the effort until 2015, the report says. At the same time, the landlord loaned Espinosa $100,000 and paid him $76,179 for contracting work and consulting services, the report says.
Although inspectors are required to file annual statements listing their economic interests, Espinosa didn’t disclose the contracting work for 2015 and 2016 and never told his superiors about the loan, according to the report. He also never repaid the loan and the landlord has not attempted to recover it, the report adds.
Espinosa also solicited a total of $1,200 from the landlord in return for passing inspections at four of the properties that previously had failed, according to the report.
In addition, the report says, Espinosa was assigned in 2013 to inspect a house on Rifle Lane where he found some code violations. A broker tried to sell the property a few years later, and in 2016 met with Espinosa in front of City Hall and gave him a personal check for $1,500 to resolve the outstanding permit issues, the report says.
That same day, the broker applied for building, electrical and plumbing permits for the property, and Espinosa waived the code violation fees, as well as other requirements, the report notes. Espinosa scheduled himself to inspect the property after that and marked the code violations as “abated” within two minutes of scheduling it, the report says. Espinosa never disclosed that the broker paid him.
Espinosa also received $12,800 from the owner of a house on Valley View Road. The owner bought the property as an investment with the intention of fixing and selling it. After the owner applied for building permits to replace the roof and repair rot — and paid Espinosa $1,900 — Espinosa issued a “stop-work” order.
The report didn’t say what the $1,900 was for, but noted the stop-work order was fictitious and never was recorded with the building department, the report says.
“Respondent used the stop-work order to coerce (the owner) into providing (Espinosa) with more payments,” the report states.
Espinosa also issued a stop-work order against a property on Lawlor Street for code violations involving a conversion of the building’s attic and basement. He passed the inspections a week after the owner agreed to pay him $21,500, the report states.
A similar scenario occurred with a house on Manila Avenue in 2014. Espinosa issued a stop-work order there, but a year later cleared the permits after the owner paid him $66,277 for “real estate services and general contracting work,” the report states.
Espinosa never disclosed that money, nor the fact that he was the president of One Development and Investment Corp., a real estate company owned by the Manila Avenue property owner, the report says. Espinosa received $19,770 from the company in 2015, the report adds.
Espinosa also received money for “consulting services” from a construction company and several businessmen in 2015 that he never disclosed. He also drove a city-owned vehicle to Orinda to conduct personal business, used a city-owned computer and printer to print hundreds of pages of “personal materials” and used a city-owned cell phone to make 587 minutes of personal calls while on vacation, the report says.
Report: Oakland building inspector took thousands of dollars in bribes, undisclosed payments
OAKLAND — A former city building inspector accused of taking thousands of dollars in bribes and other payments from people whose properties he was inspecting could get slapped with a million-dollar-plus fine.
Thomas Espinosa took $2,700 in bribes from people whose buildings he was inspecting and failed to disclose to the city that he received more than $300,000 for contracting work and other work from people whose properties he was inspecting, according to a report from investigators for the city’s Public Ethics Commission.
The report alleges Espinosa — who worked for the city from 2005 to 2016 — committed 47 ethics violations. The maximum penalty for all those violations — which include accepting bribes, misusing public money and using city authority to coerce — totals $1,151,737. Investigators will present their report Nov. 5 to the commission, which could decide then whether to pursue fining Espinosa.
This is the Public Ethics Commission’s largest case based on the number of alleged violations and penalty amount, executive director Whitney Barazoto told this news organization. She confirmed that the commission has passed along its findings to law enforcement.
Efforts to reach Espinosa were unsuccessful.
The investigation began in October 2016, after Espinosa stopped working for the city. Documents obtained through a public records request and posted on the city’s website show Espinosa resigned in August 2016 after being issued a notice of termination.
The report details his interactions with landlords, a real estate agent and property owners during his last few years on the job.
Espinosa was assigned to inspect properties owned by a landlord who was sued by the city for failing to take care of about a dozen properties and for housing tenants in dilapidated, unhealthy apartments. A judge ordered the landlord in 2009 to bring the properties up to code and Espinosa monitored the effort until 2015, the report says. At the same time, the landlord loaned Espinosa $100,000 and paid him $76,179 for contracting work and consulting services, the report says.
Although inspectors are required to file annual statements listing their economic interests, Espinosa didn’t disclose the contracting work for 2015 and 2016 and never told his superiors about the loan, according to the report. He also never repaid the loan and the landlord has not attempted to recover it, the report adds.
Espinosa also solicited a total of $1,200 from the landlord in return for passing inspections at four of the properties that previously had failed, according to the report.
In addition, the report says, Espinosa was assigned in 2013 to inspect a house on Rifle Lane where he found some code violations. A broker tried to sell the property a few years later, and in 2016 met with Espinosa in front of City Hall and gave him a personal check for $1,500 to resolve the outstanding permit issues, the report says.
That same day, the broker applied for building, electrical and plumbing permits for the property, and Espinosa waived the code violation fees, as well as other requirements, the report notes. Espinosa scheduled himself to inspect the property after that and marked the code violations as “abated” within two minutes of scheduling it, the report says. Espinosa never disclosed that the broker paid him.
Espinosa also received $12,800 from the owner of a house on Valley View Road. The owner bought the property as an investment with the intention of fixing and selling it. After the owner applied for building permits to replace the roof and repair rot — and paid Espinosa $1,900 — Espinosa issued a “stop-work” order.
The report didn’t say what the $1,900 was for, but noted the stop-work order was fictitious and never was recorded with the building department, the report says.
“Respondent used the stop-work order to coerce (the owner) into providing (Espinosa) with more payments,” the report states.
Espinosa also issued a stop-work order against a property on Lawlor Street for code violations involving a conversion of the building’s attic and basement. He passed the inspections a week after the owner agreed to pay him $21,500, the report states.
A similar scenario occurred with a house on Manila Avenue in 2014. Espinosa issued a stop-work order there, but a year later cleared the permits after the owner paid him $66,277 for “real estate services and general contracting work,” the report states.
Espinosa never disclosed that money, nor the fact that he was the president of One Development and Investment Corp., a real estate company owned by the Manila Avenue property owner, the report says. Espinosa received $19,770 from the company in 2015, the report adds.
Espinosa also received money for “consulting services” from a construction company and several businessmen in 2015 that he never disclosed. He also drove a city-owned vehicle to Orinda to conduct personal business, used a city-owned computer and printer to print hundreds of pages of “personal materials” and used a city-owned cell phone to make 587 minutes of personal calls while on vacation, the report says.
Thursday, September 7, 2017
152 Oakland Fire Department (OFD) - Capt. Richard Chew charged with sharing child porn
September 7, 2017
Oakland fire captain charged with sharing more than 600 child porn images, including toddlers
http://www.eastbaytimes.com/2017/09/07/oakland-fire-captain-arrested-on-suspicion-of-child-porn-possession/
OAKLAND — An Oakland fire captain was arrested Wednesday night and charged with sharing more than 600 images of child pornography after investigators searching his fire house found illegal materials on his personal laptop and other storage devices, authorities said.
Capt. Richard Chew, 58, is being held in Contra Costa jail in Martinez on $200,000 bail for the two felonies — distributing child porn and possessing it. At his first appearance Thursday afternoon in a Contra Costa Superior Court in Martinez, Chew stood mostly hidden in a courtroom holding cell while Judge John Laettner denied lowering his bail or releasing him on his own recognizance. He could face up to five years in prison if found guilty of the felonies.
“Over 600 images are alleged,” the judge said in his reasoning behind denying a release. “The court needs to look at the injuries to victims … and the child exploitation of many children.”
According to a search warrant affidavit, on Aug. 19 Chew allegedly shared 195 files with an undercover sheriff’s deputy and at least three of those files contained images or video of children ages 4 to 8 performing sex acts.
“The fact that the children are of that age is dangerous to me,” prosecutor Jordan Sanders said outside court. “Because they are so young speaks volumes to the exploitative nature.”
Investigators and detectives with the Contra Costa Sheriff’s Office and District Attorney’s Office searched his Lafayette home on Aug. 29, seizing an external hard drive and Samsung cell phone but did not find child pornography on the devices, according to court records.
During the search, they interviewed his live-in girlfriend, who said she was out of town on a business trip on Aug. 19 and that Chew was supposedly the only person home, Minh Vu, a detective with the sheriff’s office, wrote in a search warrant affidavit.
“(The girlfriend) stated that he owned and used a personal black laptop which had a fire department logo sticker on it,” Vu wrote. “Richard was known to take it to work with him at the fire station.”
Two days later, members of the Contra Costa Internet Crimes Against Children Task Force located the laptop while searching Station 15 at 455 27th St. in Oakland, according to court records. The laptop contained illegal material, authorities said. They also seized two thumb drives which contained child porn.
Interim fire Chief Darin White, in a statement issued Thursday morning, said Chew was immediately placed on administrative leave once Oakland officials learned of the investigation.
“I am appalled by the disturbing nature of these charges,” White said. “If the allegations are true, this criminal behavior violates our community’s standard of decency and breaches the standard of conduct we uphold in the Oakland Fire Department.”
Chew, who has worked for the Oakland department for 28 years, had no prior personnel issues and once raised an alarm about a dangerous building.
His efforts made headlines in March after four people died in a San Pablo Avenue halfway house fire. Emails obtained by this newspaper show that Chew, along with other Oakland firefighters, repeatedly warned fire inspectors that the building had serious fire danger issues, but they were ignored until just a few days before the deadly fire.
“I recommend that we consider shutting this building down immediately due to the danger to life safety,” Chew wrote in a Jan. 8 email about 2551 San Pablo Ave. that was forwarded to Fire Marshal Miguel Trujillo and Assistant Fire Marshal Maria Sabatini. Chew also reported open piles of garbage in the structure and a padlocked fire escape.
The building was finally inspected March 24, only three days before the deadly blaze. The Chew email and others helped prompt a massive overhaul of the fire department’s inspection bureau, including hiring more inspectors.
From 2011 to early this year, Chew made 49 referrals to fire inspectors to check up on fire dangers at Oakland properties, according to department data.
Last year, he had a total compensation package of $300,000, according to Transparent California.
In 2009, the Oakland city council honored Chew and other firefighters for their swift water rescue at a fatal traffic accident scene at Hegenberger Road and Hamilton Street on Nov. 1, 2008.
At Thursday’s court appearance, Chew’s defense attorney Peter Orth asked the judge to release his client, citing his long Oakland Fire Department tenure, lack of criminal record and Army service. Orth said Chew had received an Army Commendation Medal.
Orth declined to comment outside of court.
“Despite his accolades, he’s still actively downloading child pornography,” Sanders told the judge.
Chew spoke briefly when waiving his right to a speedy arraignment, saying “Yes, your honor” twice. He will appear back in court Sept. 17.
Staff writer Nate Gartrell contributed to this report.
Oakland fire captain charged with sharing more than 600 child porn images, including toddlers
http://www.eastbaytimes.com/2017/09/07/oakland-fire-captain-arrested-on-suspicion-of-child-porn-possession/
OAKLAND — An Oakland fire captain was arrested Wednesday night and charged with sharing more than 600 images of child pornography after investigators searching his fire house found illegal materials on his personal laptop and other storage devices, authorities said.
Capt. Richard Chew, 58, is being held in Contra Costa jail in Martinez on $200,000 bail for the two felonies — distributing child porn and possessing it. At his first appearance Thursday afternoon in a Contra Costa Superior Court in Martinez, Chew stood mostly hidden in a courtroom holding cell while Judge John Laettner denied lowering his bail or releasing him on his own recognizance. He could face up to five years in prison if found guilty of the felonies.
“Over 600 images are alleged,” the judge said in his reasoning behind denying a release. “The court needs to look at the injuries to victims … and the child exploitation of many children.”
According to a search warrant affidavit, on Aug. 19 Chew allegedly shared 195 files with an undercover sheriff’s deputy and at least three of those files contained images or video of children ages 4 to 8 performing sex acts.
“The fact that the children are of that age is dangerous to me,” prosecutor Jordan Sanders said outside court. “Because they are so young speaks volumes to the exploitative nature.”
Investigators and detectives with the Contra Costa Sheriff’s Office and District Attorney’s Office searched his Lafayette home on Aug. 29, seizing an external hard drive and Samsung cell phone but did not find child pornography on the devices, according to court records.
During the search, they interviewed his live-in girlfriend, who said she was out of town on a business trip on Aug. 19 and that Chew was supposedly the only person home, Minh Vu, a detective with the sheriff’s office, wrote in a search warrant affidavit.
“(The girlfriend) stated that he owned and used a personal black laptop which had a fire department logo sticker on it,” Vu wrote. “Richard was known to take it to work with him at the fire station.”
Two days later, members of the Contra Costa Internet Crimes Against Children Task Force located the laptop while searching Station 15 at 455 27th St. in Oakland, according to court records. The laptop contained illegal material, authorities said. They also seized two thumb drives which contained child porn.
Interim fire Chief Darin White, in a statement issued Thursday morning, said Chew was immediately placed on administrative leave once Oakland officials learned of the investigation.
“I am appalled by the disturbing nature of these charges,” White said. “If the allegations are true, this criminal behavior violates our community’s standard of decency and breaches the standard of conduct we uphold in the Oakland Fire Department.”
Chew, who has worked for the Oakland department for 28 years, had no prior personnel issues and once raised an alarm about a dangerous building.
His efforts made headlines in March after four people died in a San Pablo Avenue halfway house fire. Emails obtained by this newspaper show that Chew, along with other Oakland firefighters, repeatedly warned fire inspectors that the building had serious fire danger issues, but they were ignored until just a few days before the deadly fire.
“I recommend that we consider shutting this building down immediately due to the danger to life safety,” Chew wrote in a Jan. 8 email about 2551 San Pablo Ave. that was forwarded to Fire Marshal Miguel Trujillo and Assistant Fire Marshal Maria Sabatini. Chew also reported open piles of garbage in the structure and a padlocked fire escape.
The building was finally inspected March 24, only three days before the deadly blaze. The Chew email and others helped prompt a massive overhaul of the fire department’s inspection bureau, including hiring more inspectors.
From 2011 to early this year, Chew made 49 referrals to fire inspectors to check up on fire dangers at Oakland properties, according to department data.
Last year, he had a total compensation package of $300,000, according to Transparent California.
In 2009, the Oakland city council honored Chew and other firefighters for their swift water rescue at a fatal traffic accident scene at Hegenberger Road and Hamilton Street on Nov. 1, 2008.
At Thursday’s court appearance, Chew’s defense attorney Peter Orth asked the judge to release his client, citing his long Oakland Fire Department tenure, lack of criminal record and Army service. Orth said Chew had received an Army Commendation Medal.
Orth declined to comment outside of court.
“Despite his accolades, he’s still actively downloading child pornography,” Sanders told the judge.
Chew spoke briefly when waiving his right to a speedy arraignment, saying “Yes, your honor” twice. He will appear back in court Sept. 17.
Staff writer Nate Gartrell contributed to this report.
Tuesday, June 20, 2017
148 City of Oakland - Empyrean Towers gets paint and art, while electric problems and holes in walls and ceilings remain.
Oakland: Changes coming to troubled residential hotel
March 2016
http://www.mercurynews.com/2016/03/24/oakland-changes-coming-to-troubled-residential-hotel/
OAKLAND — At long last, change is afoot at one of Oakland’s most troubled residential hotels.
This month, a U.S. Bankruptcy Court judge approved the sale of Empyrean Towers to a local nonprofit planning a costly makeover of the decaying 96-unit building into livable affordable housing.
For the most part, the days when 344 13th St. was crawling with rats and bedbugs and street people slept in hallways and common rooms are gone. Even so, tenants of the downtown building on Wednesday complained about holes in ceilings and floors, electrical problems and the broken elevator in the seven-story building.
“It was hell for a while,” said 35-year-old Brandon Gunn, who lives with his wife and 10-month-old son on the third floor. “Don’t get me wrong; it’s gotten better.”
The Empyrean, formerly known as the Menlo Hotel, is one of several single room occupancy hotels in downtown Oakland that are part of the city’s affordable housing stock. A recent survey showed that there are 1,224 SRO rooms downtown, said city spokeswoman Karen Boyd in an email.
Conditions in the Empyrean’s three towers and its poor management have been the source of complaints for years. In 2011, landlord Richard Singer, of Tiburon, was sentenced to 27 months in prison after admitting to trying to hire an arsonist to torch the building.
Last year, Oakland City Attorney Barbara Parker sued the new owner of Empyrean, Alice Tse, based on code violations and asked for a court order to require Tse to comply with building codes. The city also last year temporarily evacuated the building due to contaminated water supply.
Tse later declared bankruptcy, and Alameda County Superior Court turned the property over to a trustee, which today serves as its manager. Tse’s lawyer, Steve Whitworth, did not return a call seeking comment.
On Wednesday, workers were hanging art in the newly-furnished and painted lobby. More workers were in the stairwell, painting the hallways a light blue color. Outside on 13th Street, three-year tenant Maria Anast said the work amounted to window-dressing. Step inside the units, and you can find holes in ceilings and residents who walk up flights of stairs because the elevator is broken, she said.
“It’s not even a Band-Aid; they are just painting over things,” Anast said, as a homeless man left feces near the building’s entrance. “This is a Third World country, this building. It’s a joke; it’s a sad, sad joke.”
On the third floor, Gunn pointed to his broken bath tub and said his power frequently goes out because he shares a circuit breaker with three other units.
“Every time I want to cook, (with a hot plate or toaster) I have to knock on the neighbor’s door” to make sure they aren’t cooking, Gunn said.
Anne Omura of Oakland’s Eviction Defense Center has represented the tenants and is optimistic things will change once Berkeley-based nonprofit Resources for Community Development takes over.
“We have our fingers crossed,” Omura said. “If it does go through, it’s nothing short of amazing.”
The March 4 ruling by Judge Roger Efremsky allows RCD the option to purchase the building and maintain it as affordable housing for 55 years, keeping low-cost housing in a city that badly needs it.
Carolyn Bookhart, RCD’s director of housing development, said they plan on converting all the units to new studio and one-bedroom apartments with kitchens and bathrooms. Most of the rooms do not have bathrooms and none have kitchens.
It’s a herculean face-lift: the building is in need of a new elevator and repairs to the plumbing, electrical and heating systems, Bookhart said. She estimates the construction cost at $10 million; the building’s price tag is $4.5 million.
The nonprofit is currently raising money to buy the building and finish the project, she said. The purchase agreement is in effect until Oct. 15. At half occupancy, Bookhart believes it can work on the building without displacing current residents, she said. Work will begin in spring 2017; the grand reopening is set for summer 2018.
Parker, the city attorney, called the bankruptcy court ruling a “landmark decision.”
“The court’s order makes it possible to ensure that this property is preserved as part of Oakland’s critical low-income housing stock and that the horrendous conditions at the Empyrean Towers are remedied,” she said in a statement.
David DeBolt covers Oakland. Contact him at 510-208-6453. Follow him at Twitter.com/daviddebolt.
March 2016
http://www.mercurynews.com/2016/03/24/oakland-changes-coming-to-troubled-residential-hotel/
OAKLAND — At long last, change is afoot at one of Oakland’s most troubled residential hotels.
This month, a U.S. Bankruptcy Court judge approved the sale of Empyrean Towers to a local nonprofit planning a costly makeover of the decaying 96-unit building into livable affordable housing.
For the most part, the days when 344 13th St. was crawling with rats and bedbugs and street people slept in hallways and common rooms are gone. Even so, tenants of the downtown building on Wednesday complained about holes in ceilings and floors, electrical problems and the broken elevator in the seven-story building.
“It was hell for a while,” said 35-year-old Brandon Gunn, who lives with his wife and 10-month-old son on the third floor. “Don’t get me wrong; it’s gotten better.”
The Empyrean, formerly known as the Menlo Hotel, is one of several single room occupancy hotels in downtown Oakland that are part of the city’s affordable housing stock. A recent survey showed that there are 1,224 SRO rooms downtown, said city spokeswoman Karen Boyd in an email.
Conditions in the Empyrean’s three towers and its poor management have been the source of complaints for years. In 2011, landlord Richard Singer, of Tiburon, was sentenced to 27 months in prison after admitting to trying to hire an arsonist to torch the building.
Last year, Oakland City Attorney Barbara Parker sued the new owner of Empyrean, Alice Tse, based on code violations and asked for a court order to require Tse to comply with building codes. The city also last year temporarily evacuated the building due to contaminated water supply.
Tse later declared bankruptcy, and Alameda County Superior Court turned the property over to a trustee, which today serves as its manager. Tse’s lawyer, Steve Whitworth, did not return a call seeking comment.
On Wednesday, workers were hanging art in the newly-furnished and painted lobby. More workers were in the stairwell, painting the hallways a light blue color. Outside on 13th Street, three-year tenant Maria Anast said the work amounted to window-dressing. Step inside the units, and you can find holes in ceilings and residents who walk up flights of stairs because the elevator is broken, she said.
“It’s not even a Band-Aid; they are just painting over things,” Anast said, as a homeless man left feces near the building’s entrance. “This is a Third World country, this building. It’s a joke; it’s a sad, sad joke.”
On the third floor, Gunn pointed to his broken bath tub and said his power frequently goes out because he shares a circuit breaker with three other units.
“Every time I want to cook, (with a hot plate or toaster) I have to knock on the neighbor’s door” to make sure they aren’t cooking, Gunn said.
Anne Omura of Oakland’s Eviction Defense Center has represented the tenants and is optimistic things will change once Berkeley-based nonprofit Resources for Community Development takes over.
“We have our fingers crossed,” Omura said. “If it does go through, it’s nothing short of amazing.”
The March 4 ruling by Judge Roger Efremsky allows RCD the option to purchase the building and maintain it as affordable housing for 55 years, keeping low-cost housing in a city that badly needs it.
Carolyn Bookhart, RCD’s director of housing development, said they plan on converting all the units to new studio and one-bedroom apartments with kitchens and bathrooms. Most of the rooms do not have bathrooms and none have kitchens.
It’s a herculean face-lift: the building is in need of a new elevator and repairs to the plumbing, electrical and heating systems, Bookhart said. She estimates the construction cost at $10 million; the building’s price tag is $4.5 million.
The nonprofit is currently raising money to buy the building and finish the project, she said. The purchase agreement is in effect until Oct. 15. At half occupancy, Bookhart believes it can work on the building without displacing current residents, she said. Work will begin in spring 2017; the grand reopening is set for summer 2018.
Parker, the city attorney, called the bankruptcy court ruling a “landmark decision.”
“The court’s order makes it possible to ensure that this property is preserved as part of Oakland’s critical low-income housing stock and that the horrendous conditions at the Empyrean Towers are remedied,” she said in a statement.
David DeBolt covers Oakland. Contact him at 510-208-6453. Follow him at Twitter.com/daviddebolt.
145 City of Oakland - Empyrean Towers Tenants also ignored by Bldg and Fire Inspectors
2 Investigates: Mounting problems, complaints at notorious Bay Area hotel
Feb 2015
OAKLAND, Calif. (KTVU) Fire damage, broken toilets, missing smoke detectors and uncollected garbage are just some of the problems on a long list of complaints reported by tenants of the Empyrean Towers in downtown Oakland, a KTVU investigation revealed.
http://www.ktvu.com/news/4156581-story
Inspection #1
https://s3.amazonaws.com/s3.documentcloud.org/documents/1569250/oct-14-fire-inspection-report.pdf
Inspection #2
https://s3.amazonaws.com/s3.documentcloud.org/documents/1569249/012315-reinspection.pdf
The seven-story building on 13th Street, formerly called The Menlo, has come under scrutiny before. In 2011, then-owner Richard Singer went to prison for paying someone to try to burn down the hotel in order to collect on the insurance.
Four years later, tenants and guests say many of the problems that plagued the hotel remain.
After reading scathing online reviews of the Empyrean Towers on several travel websites, KTVU's Eric Rasmussen booked a room at the hotel in January.
Upon checking in, an employee at the front desk said the elevator was broken. 2 Investigates recorded a number of holes in the walls while going up the stairs. Rasmussen also found garbage bags in several hallways.
On the seventh floor, a window leading to the fire escape had been nailed shut. An extension cord in the hallway appeared to be running power to one of the rooms.
After dark, Rasmussen needed a flashlight to navigate one of the stairwells where the lights were out.
A tenant shared cell phone video of a leaking ceiling in the lobby during rainy weather in December.
A last resort
A single mother and her two children say they moved into a room at the Empyrean Towers when they had nowhere else to turn. The mother, Nicol, says domestic abuse forced them out of their house.
At a rate of $260 a week, the family of three has no stove and must use a shared bathroom and shower in the hallway.
"Came into this room. Came into this hotel... and I cried. I did not know it was as bad as this," said Nicol. "When we first got here, my son took a shower and he said brown stuff was coming out of the water."
The family says heat in their room is intermittent. They say they've witnessed drug use in the hallways and say complaints to management are often ignored.
Nicol's daughter, "Dana," 16, says she's managed to keep straight A's in school, despite the cramped quarters.
"Sometimes when I want privacy, I go in the closet. I know it's ridiculous, but that's the only place I can go," she said. "I just hate it. It's so uncomfortable."
Tenants organizing
The Oakland non-profit Eviction Defense Center helped organize about 50 tenants of the Empyrean Towers to demand changes at the hotel.
At a meeting in January, residents complained about mold, missing smoke detectors and a rat infestation.
"Every floor has absolutely deplorable conditions, from top to bottom," said Eviction Defense attorney Amy Sekany. "I've heard rats running through the walls in the middle of the day."
Tenants made similar complaints and filed lawsuits in 2010. Around that time, the owner of the hotel, Richard Singer, hired someone to try to burn down the hotel, but the plan was interrupted by federal authorities and Singer was sentenced to prison for attempted arson.
Questions about ownership
In an email, Singer told KTVU he sold the hotel before going to prison in 2011. Documents show the property was purchased by a family trust, of which, Alice Tse is a member.
In a recent deposition, Tse denied she was the owner, but said she managed the property.
Tse blamed tenants for some of the damage. She also said some of the holes in the walls were left behind by firefighters responding to a fire at the hotel in July 2014.
When 2 Investigates tried to speak with Tse and her attorney in January, they declined to answer questions about the conditions at the hotel.
According to a lawsuit filed in 2014, Singer went on the payroll with Tse's realty company soon after he was released from prison. Singer also declined to speak to KTVU, but in an email, he denied any management or ownership interest in the Empyrean Towers.
Identifying problems
Records show fire inspectors with the City of Oakland have visited the Empyrean Towers at least five times since October 2014.
One inspection report found a long list of problems including those similar to the ones identified by 2 Investigates -- missing smoke detectors, sprinkler heads in need of repair and a blocked fire escape.
A re-inspection in January declared "no violations noted," but advocates for many tenants at the hotel insist more needs to be done.
"They've been crying out for a long time," said Sekany. "Something absolutely has to get done now."
Feb 2015
OAKLAND, Calif. (KTVU) Fire damage, broken toilets, missing smoke detectors and uncollected garbage are just some of the problems on a long list of complaints reported by tenants of the Empyrean Towers in downtown Oakland, a KTVU investigation revealed.
http://www.ktvu.com/news/4156581-story
Inspection #1
https://s3.amazonaws.com/s3.documentcloud.org/documents/1569250/oct-14-fire-inspection-report.pdf
Inspection #2
https://s3.amazonaws.com/s3.documentcloud.org/documents/1569249/012315-reinspection.pdf
The seven-story building on 13th Street, formerly called The Menlo, has come under scrutiny before. In 2011, then-owner Richard Singer went to prison for paying someone to try to burn down the hotel in order to collect on the insurance.
Four years later, tenants and guests say many of the problems that plagued the hotel remain.
After reading scathing online reviews of the Empyrean Towers on several travel websites, KTVU's Eric Rasmussen booked a room at the hotel in January.
Upon checking in, an employee at the front desk said the elevator was broken. 2 Investigates recorded a number of holes in the walls while going up the stairs. Rasmussen also found garbage bags in several hallways.
On the seventh floor, a window leading to the fire escape had been nailed shut. An extension cord in the hallway appeared to be running power to one of the rooms.
After dark, Rasmussen needed a flashlight to navigate one of the stairwells where the lights were out.
A tenant shared cell phone video of a leaking ceiling in the lobby during rainy weather in December.
A last resort
A single mother and her two children say they moved into a room at the Empyrean Towers when they had nowhere else to turn. The mother, Nicol, says domestic abuse forced them out of their house.
At a rate of $260 a week, the family of three has no stove and must use a shared bathroom and shower in the hallway.
"Came into this room. Came into this hotel... and I cried. I did not know it was as bad as this," said Nicol. "When we first got here, my son took a shower and he said brown stuff was coming out of the water."
The family says heat in their room is intermittent. They say they've witnessed drug use in the hallways and say complaints to management are often ignored.
Nicol's daughter, "Dana," 16, says she's managed to keep straight A's in school, despite the cramped quarters.
"Sometimes when I want privacy, I go in the closet. I know it's ridiculous, but that's the only place I can go," she said. "I just hate it. It's so uncomfortable."
Tenants organizing
The Oakland non-profit Eviction Defense Center helped organize about 50 tenants of the Empyrean Towers to demand changes at the hotel.
At a meeting in January, residents complained about mold, missing smoke detectors and a rat infestation.
"Every floor has absolutely deplorable conditions, from top to bottom," said Eviction Defense attorney Amy Sekany. "I've heard rats running through the walls in the middle of the day."
Tenants made similar complaints and filed lawsuits in 2010. Around that time, the owner of the hotel, Richard Singer, hired someone to try to burn down the hotel, but the plan was interrupted by federal authorities and Singer was sentenced to prison for attempted arson.
Questions about ownership
In an email, Singer told KTVU he sold the hotel before going to prison in 2011. Documents show the property was purchased by a family trust, of which, Alice Tse is a member.
In a recent deposition, Tse denied she was the owner, but said she managed the property.
Tse blamed tenants for some of the damage. She also said some of the holes in the walls were left behind by firefighters responding to a fire at the hotel in July 2014.
When 2 Investigates tried to speak with Tse and her attorney in January, they declined to answer questions about the conditions at the hotel.
According to a lawsuit filed in 2014, Singer went on the payroll with Tse's realty company soon after he was released from prison. Singer also declined to speak to KTVU, but in an email, he denied any management or ownership interest in the Empyrean Towers.
Identifying problems
Records show fire inspectors with the City of Oakland have visited the Empyrean Towers at least five times since October 2014.
One inspection report found a long list of problems including those similar to the ones identified by 2 Investigates -- missing smoke detectors, sprinkler heads in need of repair and a blocked fire escape.
A re-inspection in January declared "no violations noted," but advocates for many tenants at the hotel insist more needs to be done.
"They've been crying out for a long time," said Sekany. "Something absolutely has to get done now."
144 City of Oakland - Mass evictions at Oakland’s Empyrean Towers
Mass evictions at Oakland’s Empyrean Towers
December 2014
http://sfbayview.com/2014/12/mass-evictions-at-oaklands-empyrean-towers/
Oakland – Many of the residents of Empyrean Towers are being bullied and tossed out of their housing with eviction notices served by the management company called Innovistech Realty Co.
The Empyrean Towers, located in downtown Oakland at 344 13th St., used to be known as the Hotel Menlo and was owned by millionaire Tiburon resident Richard Singer. Singer landed in prison a few years ago after getting caught by the FBI in a sting operation for trying to hire an arsonist to burn down the occupied hotel as part of an insurance scam.
In August 2011, Singer was sentenced to 27 months in prison, fined $60,000 and received three years’ probation after his release from prison. It was an employee of Singer named Samuel Manning who worked with the FBI in a sting operation to nail Singer for the arson scam, after Manning faced charges for embezzling the Girl Scouts out of more than $50,000. Manning sought reduced charges against himself in return for helping the feds go after Singer for the arson scam.
Before he went to prison, Singer and the company that used to manage the hotel, known as RMD Services, were also sued by many of the residents because of slum-like conditions at the hotel. Singer has already been released from prison for the arson scam and is back in business buying and selling properties.
Fast forward a few years later, and the Hotel Menlo has allegedly been renovated and renamed the Empyrean Towers, and the owner-managers have been renting out rooms for $79 a night to a variety of people from all walks of life.
Others reside there as permanent month to month residents, and according to tenants facing eviction it is those tenants who are being run out of the building with evictions recently. Twenty or more residents have been facing eviction since a fire occurred in the building last July from a lit cigarette, tenants say.
Many of the residents of Empyrean Towers are being bullied and tossed out of their housing with eviction notices served by the management company called Innovistech Realty Co.
Additionally, according to public records with “corporation wiki,” Richard Singer has partnered with real estate broker Alice Tse to own and manage the building through Empyrean Towers LLC and Innovistech Realty Co.
As a real estate broker, Alice Tse has been buying properties for Singer for a number of years and she called me a few times around the beginning of 2014.
Over the phone Alice Tse stated a few times that she was buying properties for Singer, and that she was very concerned about Singer’s activities. Then on Feb. 21, 2014, I received a strange email from Alice Tse (alicetsesf@gmail.com) that said: “I have a new fraud case committed by Richard Singer who attempted to burn down the Menlo. Please call me at 650-526-2968 – Alice.”
I tried calling a few times but Alice did not respond to my call, and I wondered what happened. Only lately did I learn that she is partners at the Empyrean Towers with Richard Singer.
I received a strange email from Alice Tse (alicetsesf@gmail.com) that said: “I have a new fraud case committed by Richard Singer who attempted to burn down the Menlo. Please call me at 650-526-2968 – Alice.”
Recently evicted tenant Andrea Polega told me that among the problems she faced living there is that the sink in her room did not have a “U pipe,” and she had to keep a bucket under the sink to catch the water every time she used it. She had to pay $210 a week to stay there until management forced her out of her housing.
On Nov. 25, Andrea contacted me and said: “I am a tenant at Empyrean who is being kicked out at this very second after having a money order returned to me that was in their possession for more than 24 hours. They returned it at 11 a.m. telling me to be out by noon.
“This is directly following my physical incapacitation in the form of a ruptured Achilles tendon, which was directly caused by their negligence. I am on crutches in a six-story walkup and cannot go up or down the stairs unassisted, let alone move my belongings this way.
“At 2 p.m. they returned with police. I will be charged with trespassing if I do not leave. I have nowhere to go. I would be more than happy to go on record for any future articles against these bastards or any other media outlets to gain justice.”
On Nov. 26, I was advised by the Eviction Defense Center that they were assisting Andrea, they had extensive interaction with her while she was being evicted, and she is currently safe.
According to tenant Don Fisher: “The male resident manager, named Royce, beat up Andrea’s boyfriend, Donald, because he was sleeping in the lobby waiting for someone to come and get him and his girlfriend. I believe you are aware of the couple that Luis May kicked out, right after refusing to accept their rent payment.”
“Donald went to the hospital and Royce went to jail. If you can assist, I need to know who to contact to get a restraining order or similar relief to get this manager out of the hotel. Many people are now worried about being treated in the same manner.”
“There was blood from the floors to the doors from this, and Royce’s wife or girlfriend made threatening overtures to Maria. Maria asked why Royce simply did not call OPD and I had to intervene,” Don Fisher said.
Management of the Empyrean Towers has declined to reply to my requests for an interview in regards to the violence and evictions involving management at the building.
Additional information reveals how hard it is for the residents of Empyrean Towers. According to Towers website, there is no guarantee that the elevator of the seven-story building is available to the residents. The residents all have to pay in advance online before moving into the building and do not know what they are getting into until they move in.
Management of the Empyrean Towers has declined to reply to my requests for an interview in regards to the violence and evictions involving management at the building.
Tenants Don Fisher and Maria Anast moved into the Empyrean Towers on Dec. 16, 2013, after being hit by hard times in a tough economy. They lost their footing in the world of the middle class in America and moved from San Francisco to Oakland for cheaper housing.
Now they are both on a fixed income, are very poor and receive around $300 a month each from general assistance. They also receive food stamp assistance to help get by. But by the third week of the month, they are both pretty much broke and are getting hungry. “We only get around $4 dollars a day to live on from food stamps and that’s not nearly enough to survive in Oakland,” said Maria.
They live in a small room with a bed, a TV, small refrigerator, microwave and a hot plate. They are lucky to have their own bathroom in comparison to many others who have shared bathrooms in the old seven-story building.
“Life is very hard on us now, and we do not feel safe living in this building. There are drug dealers, crack heads and prostitutes living on the upper floors. The cops are here all the time. The locks are flimsy on our doors, and we keep a baseball bat handy just in case someone breaks our door down to enter our apartment.
“There is no heat. They do not allow the tenants to use the elevator. The building has bed bugs, rats and is loaded with flies and gnats from the garbage piled up at the property. Our toilet does not work, the shower barely drips any water out of it when we try to take a shower, and the building lacks smoke detectors in most of the apartments,” Maria and Don both explained in exasperated tones.
“We have been good tenants since moving in, are quiet, have paid our rent on time, and we were SHOCKED to find an eviction notice posted on our door recently after management refused to accept our rent anymore,” they said.
Don and Maria filed a response as a way to fight against the eviction, and they need to find an attorney. Others facing eviction from the Empyrean Towers have sought assistance at the Eviction Defense Center near 16th and Telegraph Avenue.
Don and Maria said, “Around 20 people or more are facing eviction because management wants to bring in higher income tenants willing to pay $79 a night to stay at this building.”
Don used to be an officer in the Navy and later worked in the tech industry for years. Maria spent many years happily working in the hospitality industry. They are in their 50s, and they raised two kids who became adults, including a son who entered the Navy recently and a daughter who lives in Santa Cruz.
“We don’t know what we will do if we get evicted,” said Maria. “We are thinking about buying a van, but we are too broke to do so. We are also thinking about buying a tent if we lose our housing, but we do not know where people camp out when they are made homeless in Oakland,’’ Maria said.
Don and Maria said, “Around 20 people or more are facing eviction because management wants to bring in higher income tenants willing to pay $79 a night to stay at this building.”
The Eviction Defense Center is representing at least five residents from various units facing eviction at the Empyrean Towers, in addition to Don and Maria. Attorney Andrew Wolff will assist in defending the tenants.
Management at Empyrean Towers did not respond to my request for information about the evictions. The phone number for Innovistech Realty Co. reached the Sweden Hotel in San Francisco, and the staff there claim that Alice Tse sold the property.
Patricia Singer, Richard Singer’s wife, stated that she is divorced from Richard and does not want to comment on his activities regarding Empyrean Towers. She also declined to pass on his phone number.
Eviction attorney Johanna Kwasniewski stated that she had no comment regarding my many questions about 20 tenants or more allegedly facing eviction by Richard Singer and Alice Tse. Then she reconsidered and said that she would contact Empyrean Towers LLC to see if she were allowed to make any comments. I have not heard from her since that discussion days ago.
December 2014
http://sfbayview.com/2014/12/mass-evictions-at-oaklands-empyrean-towers/
Oakland – Many of the residents of Empyrean Towers are being bullied and tossed out of their housing with eviction notices served by the management company called Innovistech Realty Co.
The Empyrean Towers, located in downtown Oakland at 344 13th St., used to be known as the Hotel Menlo and was owned by millionaire Tiburon resident Richard Singer. Singer landed in prison a few years ago after getting caught by the FBI in a sting operation for trying to hire an arsonist to burn down the occupied hotel as part of an insurance scam.
In August 2011, Singer was sentenced to 27 months in prison, fined $60,000 and received three years’ probation after his release from prison. It was an employee of Singer named Samuel Manning who worked with the FBI in a sting operation to nail Singer for the arson scam, after Manning faced charges for embezzling the Girl Scouts out of more than $50,000. Manning sought reduced charges against himself in return for helping the feds go after Singer for the arson scam.
Before he went to prison, Singer and the company that used to manage the hotel, known as RMD Services, were also sued by many of the residents because of slum-like conditions at the hotel. Singer has already been released from prison for the arson scam and is back in business buying and selling properties.
Fast forward a few years later, and the Hotel Menlo has allegedly been renovated and renamed the Empyrean Towers, and the owner-managers have been renting out rooms for $79 a night to a variety of people from all walks of life.
Others reside there as permanent month to month residents, and according to tenants facing eviction it is those tenants who are being run out of the building with evictions recently. Twenty or more residents have been facing eviction since a fire occurred in the building last July from a lit cigarette, tenants say.
Many of the residents of Empyrean Towers are being bullied and tossed out of their housing with eviction notices served by the management company called Innovistech Realty Co.
Additionally, according to public records with “corporation wiki,” Richard Singer has partnered with real estate broker Alice Tse to own and manage the building through Empyrean Towers LLC and Innovistech Realty Co.
As a real estate broker, Alice Tse has been buying properties for Singer for a number of years and she called me a few times around the beginning of 2014.
Over the phone Alice Tse stated a few times that she was buying properties for Singer, and that she was very concerned about Singer’s activities. Then on Feb. 21, 2014, I received a strange email from Alice Tse (alicetsesf@gmail.com) that said: “I have a new fraud case committed by Richard Singer who attempted to burn down the Menlo. Please call me at 650-526-2968 – Alice.”
I tried calling a few times but Alice did not respond to my call, and I wondered what happened. Only lately did I learn that she is partners at the Empyrean Towers with Richard Singer.
I received a strange email from Alice Tse (alicetsesf@gmail.com) that said: “I have a new fraud case committed by Richard Singer who attempted to burn down the Menlo. Please call me at 650-526-2968 – Alice.”
Recently evicted tenant Andrea Polega told me that among the problems she faced living there is that the sink in her room did not have a “U pipe,” and she had to keep a bucket under the sink to catch the water every time she used it. She had to pay $210 a week to stay there until management forced her out of her housing.
On Nov. 25, Andrea contacted me and said: “I am a tenant at Empyrean who is being kicked out at this very second after having a money order returned to me that was in their possession for more than 24 hours. They returned it at 11 a.m. telling me to be out by noon.
“This is directly following my physical incapacitation in the form of a ruptured Achilles tendon, which was directly caused by their negligence. I am on crutches in a six-story walkup and cannot go up or down the stairs unassisted, let alone move my belongings this way.
“At 2 p.m. they returned with police. I will be charged with trespassing if I do not leave. I have nowhere to go. I would be more than happy to go on record for any future articles against these bastards or any other media outlets to gain justice.”
On Nov. 26, I was advised by the Eviction Defense Center that they were assisting Andrea, they had extensive interaction with her while she was being evicted, and she is currently safe.
According to tenant Don Fisher: “The male resident manager, named Royce, beat up Andrea’s boyfriend, Donald, because he was sleeping in the lobby waiting for someone to come and get him and his girlfriend. I believe you are aware of the couple that Luis May kicked out, right after refusing to accept their rent payment.”
“Donald went to the hospital and Royce went to jail. If you can assist, I need to know who to contact to get a restraining order or similar relief to get this manager out of the hotel. Many people are now worried about being treated in the same manner.”
“There was blood from the floors to the doors from this, and Royce’s wife or girlfriend made threatening overtures to Maria. Maria asked why Royce simply did not call OPD and I had to intervene,” Don Fisher said.
Management of the Empyrean Towers has declined to reply to my requests for an interview in regards to the violence and evictions involving management at the building.
Additional information reveals how hard it is for the residents of Empyrean Towers. According to Towers website, there is no guarantee that the elevator of the seven-story building is available to the residents. The residents all have to pay in advance online before moving into the building and do not know what they are getting into until they move in.
Management of the Empyrean Towers has declined to reply to my requests for an interview in regards to the violence and evictions involving management at the building.
Tenants Don Fisher and Maria Anast moved into the Empyrean Towers on Dec. 16, 2013, after being hit by hard times in a tough economy. They lost their footing in the world of the middle class in America and moved from San Francisco to Oakland for cheaper housing.
Now they are both on a fixed income, are very poor and receive around $300 a month each from general assistance. They also receive food stamp assistance to help get by. But by the third week of the month, they are both pretty much broke and are getting hungry. “We only get around $4 dollars a day to live on from food stamps and that’s not nearly enough to survive in Oakland,” said Maria.
They live in a small room with a bed, a TV, small refrigerator, microwave and a hot plate. They are lucky to have their own bathroom in comparison to many others who have shared bathrooms in the old seven-story building.
“Life is very hard on us now, and we do not feel safe living in this building. There are drug dealers, crack heads and prostitutes living on the upper floors. The cops are here all the time. The locks are flimsy on our doors, and we keep a baseball bat handy just in case someone breaks our door down to enter our apartment.
“There is no heat. They do not allow the tenants to use the elevator. The building has bed bugs, rats and is loaded with flies and gnats from the garbage piled up at the property. Our toilet does not work, the shower barely drips any water out of it when we try to take a shower, and the building lacks smoke detectors in most of the apartments,” Maria and Don both explained in exasperated tones.
“We have been good tenants since moving in, are quiet, have paid our rent on time, and we were SHOCKED to find an eviction notice posted on our door recently after management refused to accept our rent anymore,” they said.
Don and Maria filed a response as a way to fight against the eviction, and they need to find an attorney. Others facing eviction from the Empyrean Towers have sought assistance at the Eviction Defense Center near 16th and Telegraph Avenue.
Don and Maria said, “Around 20 people or more are facing eviction because management wants to bring in higher income tenants willing to pay $79 a night to stay at this building.”
Don used to be an officer in the Navy and later worked in the tech industry for years. Maria spent many years happily working in the hospitality industry. They are in their 50s, and they raised two kids who became adults, including a son who entered the Navy recently and a daughter who lives in Santa Cruz.
“We don’t know what we will do if we get evicted,” said Maria. “We are thinking about buying a van, but we are too broke to do so. We are also thinking about buying a tent if we lose our housing, but we do not know where people camp out when they are made homeless in Oakland,’’ Maria said.
Don and Maria said, “Around 20 people or more are facing eviction because management wants to bring in higher income tenants willing to pay $79 a night to stay at this building.”
The Eviction Defense Center is representing at least five residents from various units facing eviction at the Empyrean Towers, in addition to Don and Maria. Attorney Andrew Wolff will assist in defending the tenants.
Management at Empyrean Towers did not respond to my request for information about the evictions. The phone number for Innovistech Realty Co. reached the Sweden Hotel in San Francisco, and the staff there claim that Alice Tse sold the property.
Patricia Singer, Richard Singer’s wife, stated that she is divorced from Richard and does not want to comment on his activities regarding Empyrean Towers. She also declined to pass on his phone number.
Eviction attorney Johanna Kwasniewski stated that she had no comment regarding my many questions about 20 tenants or more allegedly facing eviction by Richard Singer and Alice Tse. Then she reconsidered and said that she would contact Empyrean Towers LLC to see if she were allowed to make any comments. I have not heard from her since that discussion days ago.
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