Diane Harkey, State Assemblywoman, Sees Return of Point Center Financial Scandal

Categories: Court, Politics
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When Diane Harkey ran for state Senate (unsuccessfully) and Assembly (successfully), she claimed she financed her campaigns with her own money, earned during her "six-figure" banking career.

But later came disclosures that some of the Dana Point Republican's campaign funds--$16,000 worth--came from three developers who received millions in loans for her husband's investment company, Point Center Financial of Aliso Viejo.

The assemblywoman claims she, her husband Dan Harkey and the developers did nothing wrong or, at least, unlawful. But the Securities and Exchange Commission (SEC) launched an investigation in Point Center Financial in 2009.

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One developer contributed $5,000 to Diane Harkey's campaign in 2005, two months later received a $19.5 million loan from Point Center Financial for a Palm Springs development, then defaulted on the loan, leaving a property in disrepair to the city and investors.

A second developer did the same: gave to the Harkey campaign in 2005, two months later received a $16.5 million loan through Point Center Financial and defaulted on the loan, leaving investors holding property worth far less than what they were promised.

Investors, who do see something wrong and unlawful about the whole mess, have sued the Harkeys. A trial alleging fraud is scheduled to begin Monday.

Meanwhile, disgruntled investors keep the interested updated through websites like DanHarkeyRevealed.com, while Dan Harkey supporters can get the counterpoint at PointCenterTruth.com.

The Lawsuit Against the Husband of Assemblywoman Diane Harkey Has Generated an Internet Shitstorm

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5 comments
chackwithjr
chackwithjr

I don't put my face on Facebook or Twitt ...I'm just a 70 something surfing around  the soap opera starring Dianne Harkey and her husband' financial dealings. This Navel Gazing might focus in the near future on the progress of the civil suit against Harkey & company's suspect performance in lending investors' money ..."onedaysj" sideshow comments to the contrary. Campaign donations to Dianne Harkey by developers who borrowed millions from Point Center Financial, then defaulted after, sort of leave a lingering odor of decay, don't you think?   

canman619
canman619

Yes, indeed! Mr. Harkey should keep it. Period.

onedaysj
onedaysj

I have investments with Point Center Financial and I have been watching what has been happening between both sides. I am glad Mr. Harkey did not give this disgruntled investor MY money.  He demanded preferential treatment over all other investors and Harkey didn’t give it to him. That’s the crux of this litigation.

CRIMECONCERNS
CRIMECONCERNS like.author.displayName 1 Like

Most likely the Harkey Stink will continue based on past history with both Mr. and Mrs. H in Dana Point, CA.... would not be surprised if religious assistance from the rich and powerful in the OC enabled some of the Stink.

canman619
canman619 like.author.displayName 1 Like

Observers of the trial will see Wall Street shenanigans do not end on Wall Street...they go right up to Argonaut...

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