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Ex Forestry Director Declares Maxxam Committed Fraud in Headwaters Deal

by Remedy
It’s true: Maxxam defrauded the government.

Richard Wilson says so, and he should know. Wilson headed the California Department of Forestry in 1999, when State and Federal governments signed away $480 million in taxpayer money to the Texas corporation in exchange for 7,500 acres of redwood forest. Unfortunately, without asking us, they also signed away the rest of Maxxam’s timberlands – sentencing the remaining trees to be quickly turned into cash regardless of the loss of water quality, the damage to near-by residents, or the killing of endangered Coho salmon. It was the infamous Headwaters “Deal.”

Maxxam’s Pacific Lumber submitted bogus landslide data to CDF in order to obtain a higher rate of cut, claiming the increased rate would not result in increased landslides. The day before the March 1, 1999 deal was signed, the corrected data was submitted to the Fortuna branch office, avoiding notice from the agencies as well as comment from the public.

When Humboldt District Attorney Paul Gallegos filed a lawsuit in 2003 charging fraud, Maxxam’s Pacific Lumber immediately launched a recall, charging the DA was “soft on crime.” Given this lawsuit could pin the timber corporation with a $300 million judgment, it’s easy to see Maxxam is upset the DA is not soft on their crime.

By committing fraud, Maxxam was allowed to cut the forest at a rate that does not allow recovery of the watersheds where they log, but nets them in excess of an additional $40 million per year.

Therein lies the motive - an extra $40 million every year for the small price of harm to not only Humboldt County residents, but also California State water supplies. An extra $40 million to further threaten already endangered species by destroying their habitat. An extra $40 million in exchange for Pacific Lumber’s integrity, which should never have been for sale.

The Headwaters “Deal” was a great victory for Maxxam over the people, watersheds, wildlife and “democratic process” from which it came. It’s about time we recognize the irreplaceable treasures we have lost, and the suffering that continues because of this fraud.
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by Zanymuse
In the teleconference, Wilson said he was not familiar with the incorrect study, and signed off on the deal based on an assumption that his staff had reviewed the entire 75,000-page record and it was valid.

"I don't think it was a deception issue," Wilson said.

The statement goes against what Wilson is paraphrased as saying in Stoen's press release Wednesday: That the logging guidelines developed in the agreement were based on deceptive information.
by Zanymuse
As for the Recall of our soft on crime DA... I will vote to recall him based on his unwillingness to prosecute crime. All candidates already have stated they would not drop the suit against Palco/Maxxam. It will be decided in the cours no matter what the recall results. It is time we had a DA that is willing and able to prosecute Child molesters, Drive by shooters, Corporations AND Treesitting tresspassers equally.

We got rid of Farmer and got even worse with Gallegos. Hopefully this time we can get it right!
by Not Zanymuse
The Eureka Reporter
Eureka, CA (seat of Humboldt County, CA)
Editorial

2/13/04

PL Behind Recall, Make No Mistake

The attempted recall of District Attorney Paul Gallegos is nothing other than a clumsily veiled attempt by a defendant in a court case to get rid of the man who is in charge of prosecuting that case.

Make no mistake about it, The Pacific Lumber Co. is the predominant force behind the recall. PALCO contributed the most money and PALCO paid for the lion’s share of the cost that went to signature-gatherers at the eleventh hour to qualify the recall for the ballot.

This is not to say that there are not many people who feel Gallegos should be recalled, but how many of those people believe the half-truths, distortions and innuendos? The Eureka Reporter believes many of these people were duped into beliefs that are not founded on reality, yet trying to change their views at this point is nearly impossible. Sides have been chosen.

The case against Pacific Lumber should be tried in court, as would happen to any of us if we were sued. That is the American way. We believe PALCO is attempting to circumvent that process, despite its claims to the contrary.

PALCO now says it wants the case the DA filed against it to go to court, but are we supposed to take that claim at face value? Why wasn’t that view promulgated much earlier? Does PALCO really want us to believe that Gallegos’ criminal prosecution record is the motivation for its support of the recall?

If you believe PALCO favors the recall because of the soft-on-crime allegation, it is worth mentioning that the recall started three months after Gallegos took office, and interestingly enough, after Gallegos filed a civil fraud lawsuit against PALCO. Three months is not long enough to judge a district attorney.

We find it interesting that the man seemingly in charge of publicity for the recall, Rick Brazeau, is the same Rick Brazeau who was former district attorney Terry Farmer’s campaign manager.

It is also interesting to note that an ad placed in the Times-Standard by recall proponents had numerous distortions in it. Through a three-part investigative series by The Eureka Reporter’s Christine Bensen, we showed the fallacies behind recall proponents’ arguments. The series presented both sides and for the first time, it was clear that recall proponents did not have their facts straight.

Vote to retain Paul Gallegos on March 2. He has not committed any malfeasance in office and he has excelled in his new job ­ winning four of four cases he prosecuted. Gallegos’ office is tough on crime. His office is essentially the same one left behind by Farmer, and we believe it is functioning at as good a level or better than it did under Farmer.

----------------

See this editorial on the Eureka Reporter site: http://www.eurekareporter.com/Stories/op-02120407.htm
by Zanymuse
3 months was enough to show his lack of interest in prosecution of any non corporate crimes to the full extent of the law and his obvious willingness to go easy on criminals.

Palco did indeed provide the funding for the recall AFTER over 1200 signatures had already been collected. They did not start this campaign to Recall. It was started by citizens who even after just 3 months were already fed up with this man who was elected not because he was capable but because too many voters voted against Farmer without delving into his opponents qualifications. In other words, They were voting AGAINST Farmer rather than FOR Gallegos.

It is too bad he was and is not up to the job. I for one, will vote to replace him with a qualified person.

Regardless of what Palco wants or does not want in regard to the lawsuit, it must as you said be settled in court. For a new DA to come in and dismiss the case would tear this community appart worse than it already has been.

Look beyond the lawsuit and you find a community that wants justice not plea bargains or unfiled charges. We want a DA who will seek stiff penalties for all criminals.

As for the claims that this is wrong and a threat to Democracy, It is in reality a true example of Democracy in action. Corporations may pay for ads but people will decide at the polls. and that IS Democracy .

So regardless of your stance, I'll see you at the polls!
by voter
Maxxam isn't just paying for ads, they're funding the whole recall. Go here to see the breakdown.

If Maxxam wouldn't have poured thousands of dollars into a signature gathering campaign that didn't have enough support to get it on the ballot without buying signatures (and lying to people about what they were signing), there would be no recall.

Vote NO on the recall.
by Zanymuse
Addressed the concerns of the people that started the recall drive instead of harping from day one that it was all about PALCO they would have stayed out of it and we the people would have either reaised the funds to do it ourselves or it would have failed. BUT since the DA made it all about PALCO in spite of our frustration at his lack of prosecuting crime they did enter the fray to help us and I am sure themselves at the same time. So you see, regardless of Palco and regardless of the lawsuit for many of us this is still about letting criminals off easy and failing to provide us with the strong stance on crime we need to feel safe on our streets.

In fact, I am even beginning to suspect that PALCO wants the recall to fail and have backed it hoping that in doing so more people will be duped into thinking the recall is indeed of their making. Why afterall, would they want Gallagos who is inexperienced to be replaced with a truly competent DA?

But regardless of PALCO and the Lawsuit that so many have placed such great hope upon, We still need a PROSECUTER and not a DEFENSE Attorney in office that can and will do the job.

YES ON THE RECALL! And Yes on Dikeman whose expertise could not only give us a strong DA but would also be more competant in prosecuting this messy lawsuit. with or without Mr. Stoen.

by NO on FRAUD
pl_trucks_surround_courthouse.jpg
The recall started the day of the board of supervisors meeting in which the DA asked for (free) outside help with the PL FRAUD case. It was obvious to anyone who reads the paper, watches tv, or drove South down 101 to see the logging trucks surrounding the courthouse. Too bad they made such a scene with all their big "Recall the DA" signs. Otherwise we might believe the "soft-on-crime" smokescreen.
by Zanymuse
Isn't it odd, that knowing the recall effort was already underway and highly publiciised that they go to the court house on that day to call attention to themselves? They want this to appear to be about them! They have assisted th DA,s effort by backing it's true supporters and helped him more than hurt him..... Not a coincidence. They have shrewdly managed to convince a lot of folks to vote against the recall while purporting to support it. They have encouraged half the county to believe they are indeed against the DA while making themselves the target that they know will actually serve to protect him. There is a smokescreen and it is one designed to convince people to ignore the Soft on Crime issues and focus on Palco instead.

YES on the RECALL ! YES on DIKEMAN and the lawsuit will continue to be answered in the Court under an experienced prosecutor that can protect our children and our families.
by Zanymuse
That protest was regarding the hiring of an outside firm and not the recall. Why not stick to the real issue of the DA and hiding behind PL? Can you really defend his handling or should I say mis handleing of several major cases. No, of course you can't, and neither can he. That is why he hides behind the lawsuit issue like a coward hiding in skunk cabbage.

He will not address the real issues, will not make public the part of the record showing his true number of plea bargained cases and blames underlings for lesser charges being filed. as he takes photo ops hiding behind his kids and pretending to be a family man who cares about our children. Tell that to the little girl that saw that her sexual predator was allowed to plead to lesser chages and got a whopping 13 year sentence instead of life. Bet that will make her sleep better at night! I doubt she would tell you that the DA RECALL is about Palco!
by Sgt. Pepperspray
Oh, so MAXXAM is funding the recall on behalf of abused little girls! How humanitarian of them! Funny they didn't seem to care about abused children when they hired wife and child beater Eric Schatz to take care of young women in the trees! That's why the pepperspray cops are on the side of MAXXAM, because cops care about girls, too. Especially when they are wiping pepperspray in the little girls eyes.

Feel the love.

by Zanymuse
No, but they are funding it to keep up the smokescreen that this is about them. And you and many others are helping them and the DA hide from the real issues.

Think about it. Will the Lawsuit vanish if the DA is recalled? NO it will continue either way. Will Palco be let off the hook and the environmental factions be punished in any way should a real prosecutor take over the office? NO!

Who gains if the recall is successful? WE DO! Who loses? CRIMINALS that can no longer rely on a Soft on crime approach

Come out from behind the PALCO LAWSUIT SMOKESCREEN and you will be able to see the true issues.. There is nothing at stake here for the environment but a lot at stake for law abiding citizens who do not want their homes shot up and their children molested by people that will get a slap on the hand

Vote to recall Paul Gallegos and replace him with a true Prosecutor with real experience and the respect of the community and Law enforcement. A man with enough integrity to run for the office but not willing to sling mud at his boss to do it.

VOTE YES ON RECALL AND YES FOR DIKEMAN!
by No Pepperspray
Dikeman is a liar. He is not being truthful about his motives. I won't vote him into a leadership position since he refuses to be up front with how he feels about the recall.

If the REAL issue is "soft-on-crime," why weren't the original recall proponents talking about that instead of the PL FRAUD suit? Because it IS about the PL FRAUD suit and nothing else. Mel Berti, Rick Brazeau, Robin Arkley Sr. and many other recall fanatics have all admitted it is about the PL FRAUD suit. Just because they've changed their tune to make it seem like they care about child abuse doesn't make it so. That they are hiding behind such rehetoric is disgusting and damaging to our county. And more than that, it is transparent.

PL's FRAUD has caused tremendous damage to residents of Humboldt County. Lying to the people and lying to the government to obtain a higher rate of cut is FRAUD. Buying a new prosecutor, and effectively showing every other elected official that they serve at the pleasure of Maxxam, does not benefit the people.

Maxxam does not own Humboldt County.

NO on the recall.
NO on FRAUD


by Zanymuse
And you make sweeping accusations that are based on wishful thinking and gossip at best. The original backers have admitted it is all about th Lawsuit! To whom? When? More lies and basisless accusations.!

And to Malign Worth Dikeman for not publicly stating what? He has said on many occasions that he does not believe the recall is a good thing but will run because the other two candidates are not qualified. He has also stated clearly that while he is not in favor of the recall he understands that we the public have lost faith in Gallegos and should the recall prevail he does not want to see someone who is not qualified elected. He has nevr in any way supported the recal effort nor has he spoken a single word against his employer or criticized him in any way. Instead he has remained faithful to his office and the citizens of this county. And for that you call him a liar? That would be like me claiming Paul Gallegos is a bad person! I would not do that because although I do not think he is competent as an prosecutor I do believe him to be a good person.

But once again you avoid the issue. Can you honestly say you think the drive by shooters were charged and prosecuted to the full extent of the law? Can you truly and honestly say that the child molestor case was prosecuted properly and that a 13 year sentence was justice? And can you honestly accept that it was soley an underlings decision what charges to file on such a huge case and that the head of the office should not be held accountable? Come out of the smoke for a breath of clean air befor you reply with more smoke!
by Anti-SoCAL
I dislike the SoCALers that come to Humboldt to "play hippie" for 4 years then run home to mommy and daddy and live in SUV land. Face facts, we have to live here for longer then 4 years, we have to live here after you've gone back to your gated housing tracts, and we have to live here when the child rapists and druggies get out of jail and come back.

by Serving Corporate Interests
boughtoutcops03.jpgrjcnwy.jpg
by Zanymuse
So you think the Sherriff's department should not be used to arrest tresspassers? That it is ok to break laws so long as your victim is a corporation? That you are going to convince people that a corporation is breaking laws and should be prosecuted but those who commit crimes against them should go free? How can you expect cold, faceless business to be held accountable if individuals are not?

The fact is that on a few occassions the Sherrifs Department had to expend valuable manpower to remove tresspassers and insure their safe removal. They were breaking the law. Yet they point fingers at Palco for law breaking. Well, many of us want the law to be upheld against all crime. That is why we are angry and want a DA who will give us unbiased prosecution of crimes by corporations or tresspassing protesters. When Corporate crime is proven in court we expect them to be sentenced accordingly and we expect them to be made to pay court costs and fines that are appropriate. When Child molestors repetedly abuse a child we expect them to be charged for their repeated violations and serve maximum sentences. And when a bunch of tresspassers interfere with business and endanger lives we expect them to be prosecuted to the max as well. And those people should also be expected to pay large fines, serve time in jail and pay court costs not be patted on the back and sent off laughing about 10 dollar fines .

We were fed up with Farmer and his plea bargain so we elected Gallegos who promised change...but what we are getting is change for the worse!

YES on the RECALL !! YES ON WORTH DIKEMAN
by Daniel
I wonder how many of the persons who’re posting all those condemnations of the DA on these threads might be working for the same outfit that paid $8 a signature to put the recall on the ballot.
by Zanymuse
I am a long time resident and have never worked for any politician or have I been employed by a Timber Company. But I have made it a point to look at local issues and form opinions based upon facts.

Just as the Earth First group has advertised to pay people to come here to protest and brought in a lot of outsiders to disrupt our lives, now their victims are doing the same thing in the political arena.If you are new to our area, please get to know both sides of the issues before you vote on these matters. Look past Palco and Earth First and see that we need and deserve better. We need a good and honest DA. Vote Yes On the Recall and Yes For Dikeman.

But first look at the honorable way he has maintained himself during these trying times and know that he will not meekly back down for the Lumber folks OR the Environment but will give both sides what they seem to fear the most. An honest AND Capable DA



by very curious
If you’re not being paid by the corporation, why are you so indifferent to fraud and corruption?
by Zanymuse
I am not indifferent, I am just not willing to allow Palco/ Maxxam or an
incompetant DA confuse the real recall issues. The Lawsuit is not yet settled and they have not been convicted of Fraud as of yet. I am sick of having it used as a shield for Gallegos and his followers. I am tired of it being tried in the media and being presented as if it were already a proven fact when it has not yet been heard in court.

Will the case prevail and Palco be found guilty? I really do not know, and neither do you! But I do know that Mr. Gallegos and you are hiding behind it and seem to always avoid the issues that concern citizens Instead of replying to the charges of being soft on crime you always go back to the lawsuit.

This may work to convince a few people but it is obviously not working to convince the rest of us. Your head still needs to clear the smoke so that you can see past Palco and the hoopla gobbledy gook and get to the real reason we want this recall to happen.

I will once again ask, Could you look that little girl in the eyes and tell her that Paul Gallegos gave her justice? If so, you really need to rethink your core values! Her suffering and need for justice far out weighs the cutting down of a tree or a lawsuit against some company! And when he gets out in 13 years, do you want him living next door to you, your family, your children?

If it were your daughter, your sister, your grandchild, would you still think that his case was handled properly? Or do you think that sexually abusing children is ok so long as the DA spends his time chasing corporations!

Where are your priorities? Where is your indignation at injustice. Where is your sense of betrayal for the man who told us during his campaign that he would not continue in Farmers footsteps, that we would see him prosecute cases not plea bargain them away like his predessor but instead has continued to exactly that!
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