OpenCdA’s previous posts about the DBSI securities fraud trial in Idaho’s Federal District Court have focused on the criminal trial.

Of course, a portion of that trial revealed the dollar losses suffered by those caught up in the scheme.  It  is difficult for most of us to grasp the magnitude of those dollar losses.  The aggregate approximations sometimes used, “millions if not billions of dollars,” doesn’t begin to help us appreciate the pain and suffering incurred by DBSI’s creditors.  For a small creditor, the loss of just a few thousand dollars may mean the loss of a business or the ability to retire.

Thanks to OpenCdA reader “Stebbijo” we can begin to personalize the losses and maybe to better appreciate not just their dollar value but their emotional impact as well.  “Stebbijo” provided us with this List of Creditors filed in the Federal Bankruptcy Court in Delaware.  You will note that there are 1,791 pages, and there are 20 or more creditors listed on each page.  The actual list of creditors is only 895 pages, but there are two lists:  one is sorted in ascending alpha on the creditor’s name, and the other is sorted in ascending numeric by claim number.  In addition to identifying the creditors, the column headed “Claim Amount” often but not always lists the dollar amount of each claim.  For those interested in looking at the various bankruptcy filings in re DBSI Inc., et al, The case number is 1:08-BK-12687.

OpenCda has quickly scanned about 500 pages looking for creditors who listed their address in northern Idaho.  We have found at least 10 in northern Idaho.   We do not believe that is the entire number, however, since some of the claims were likely filed through attorneys with addresses not in northern Idaho.  For example, a creditor identified as “Call Ctr Coeur DAlene Ironwood Tenants in Common” used a law firm in Eagle, Idaho, and filed claims in excess of $1,066,400.91.

Careful readers will note we have avoided referring to the creditors as “victims,” because some of the creditors listed in the List of Creditors include criminal defendants Swenson and Ellsion.  The creditors may be investors, but they may also be businesses who provided goods and services to acquire, build, or operate the various DBSI enterprises.

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[A lawsuit filed March 16, 2014, in Idaho Federal District Court challenges the constitutionality of Idaho’s newly-passed Interference with Agricultural Production law.  The law is better known in Idaho by its informal nickname, the “ag gag law”.

A news summary of the lawsuit appeared in an online IdahoReporter.com article by Austin Hill dated April 18, 2014, entitled Idaho farm protection bill faces legal scrutiny.

The formal complaint, filed in the federal district court under case number 1:14-cv-00104- BLW, is titled “Animal Legal Defense Fund et al v. Otter et al“.  Here is a link to the 52-page complaint.  (more…)

Earlier today OpenCdA had a new registrant with the username “mkjcrich”.  Shortly thereafter, “mkjcrich” attached this comment to our post titled DBSI Update (Subtitle:  Manipulating Audits):

“I was foreperson on this jury and after being discharged found this website. The webhost has done an amazing job offering information and insight into the case. It was a very complex case and the jury took its time dealing with each defendant on each issue. Judge Winmill informed us about Agent Morse’s suicide/death yesterday after we were released. Some of the jurors knew but most did not and a few took the information very hard. If there are any questions that I have the answers to….feel free to ask.

Comment by mkjcrich — April 16, 2014 @ 12:51 pm”

First to “mkjcrich”:  Thank you for your jury service. I hope that it was a satisfying and rewarding experience for you and your fellow jurors.  Thank you also for your nice compliment.

I think as a starter, it would be informative to OpenCdA readers to hear your overall comments and impressions about your jury service in a very serious and complex federal criminal trial.   How would you characterize your overall experience with the federal criminal justice system?  What expectations did you have going into the trial as far as your service was concerned?  How would you characterize the overall performance of your fellow jurors?  If since your release from jury duty you have read or heard news reports of the trial, how would you compare the accuracy and completeness of the news reporting with what you observed as a sitting juror?  Given that this appeared to us to be a complex financial crimes case, how would you characterize the ability of the government to present the admitted evidence in a logical, understandable fashion?  Overall, what most surprised you, what most pleased you, and what most disappointed you about your service as foreperson in a federal criminal jury trial?

Additionally, if as it appeared to us DBSI’s principals started up intending to operate lawfully as a legitimate business but devolved into criminal conduct, what lessons can communities and individuals learn from the admitted evidence to help us identify and avoid becoming victims of companies like DBSI?

In its story headlined Jury:  DBSI officials guilty, but not of all charges, the Idaho Statesman is reporting that DBSI President Douglas Swenson was convicted by a federal district court jury of 78 counts of various frauds.

DBSI attorney Mark Ellison and two corporate officers were convicted on 44 counts of securities frauds.

This is a preliminary story; the Idaho Statesman will have more complete coverage in its Tuesday newspaper and online.

OpenCdA has several earlier posts derived from the Idaho Statesman’s reporting and other sources.

And still nothing timely from The Spokesman-Review or the Coeur d’Alene Press.

ADDENDUM on 04-15-2014 at 6:41 AM:  The hyperlink in the first sentence of this post was carried forward to the Idaho Statesman’s article on April 15, 2014.  Today’s Statesman story, headlined UPDATE:  DBSI official convicted of fraud,  provides additional details.  Of particular interest was this from today’s story:

Before its 2008 bankruptcy, DBSI managed 280 shopping centers, office buildings and other commercial buildings in Idaho and 33 other states. The holdings were worth $2.7 billion; many of them were owned by groups of investors to whom DBSI sold fractional shares.

With DBSI’s extensive involvement in 34 states including Idaho and with holdings worth about $2.7 billion, OpenCdA still wonders why this story received pathetically little coverage from Idaho’s other newspapers including the Hagadone News Network and The Spokesman-Review.

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The 2014 Pulitzer Prize winners were announced today, and Kevin Siers of the Charlotte Observer won for his editorial cartooning.

Here is a link to Siers’ winning portfolio submitted for consideration.

Have you seen the five-page vacancy announcement and solicitation inviting applications for Coeur d’Alene’s Chief of Police position?  If not, here’s a link to it.

Job vacancy announcements describe position information including the title, salary, duties, qualification requirements, closing date, and application procedures.  With that in mind, examine closely the City’s police chief vacancy announcement, and pay particular attention to the sections that describe the qualification requirements.  “Requirements” are just that — requirements.  In some cases, the requirements are imposed by state law.

Failing to include all qualification requirements in the vacancy announcement is unacceptable.  That amounts to withholding essential information from prospective applicants, and that reflects badly on the City administration. (more…)