The Weekly News covers community news for Diamond Bar, Walnut, Chino Hills and surrounding areas of San Gabriel Valley and the Inland Empire. Click this link July26WeeklyAll to access the complete July 26-Aug 1, 2014 issue in pdf format.
The Weekly News covers community news for Diamond Bar, Walnut, Chino Hills and surrounding areas of San Gabriel Valley and the Inland Empire. Click this link July26WeeklyAll to access the complete July 26-Aug 1, 2014 issue in pdf format.
The Weekly News covers community news for Diamond Bar, Walnut, Chino Hills and surrounding areas of San Gabriel Valley and the Inland Empire. Click this link July19WeeklyAll to access the complete July 19-25, 2014 issue in pdf format
STAFF REPORTS
Newport Beach – With dangerous rip currents and ten to 12-foot swells, the conditions just off the coast of Newport were rather precarious for visitors on the 4th of July weekend. With over 100,000 people enjoying the sun and surf on Sun., July 6, the Newport Beach Lifeguard staff of about 80 had a busy day with over 200 rescues and 3,000 warnings issued by the time seasoned lifeguard, Ben Carlson, 32, dove from his rescue boat to help a distressed swimmer close to one of the main piers.
Reports say that at just after 5 p.m. when Carlson hit the water and valiantly tried to reach the unidentified swimmer, the strong current and huge swells overtook both of them and Carlson disappeared. Because of the conditions, fellow lifeguards were not able to reach Carlson, despite a frantic search.
Lifeguard authorities stated that 25 people from multiple agencies searched the water, 30 more scoured the shore, and a police helicopter looked from above. Carlson was finally found in the ocean at about 8 p.m., and was rushed to nearby Hoag Memorial Hospital where he was pronounced dead.
The swimmer made it back to the shore and survived.
Carlson, who worked for the Newport Beach Fire Department, had 15 years of experience as a lifeguard. He was reportedly one of the strongest and fastest swimmers on staff, and had experience with big swells from years as a surfer. It is reported that Carlson also had additional skills as a rescue swimmer and driver of patrol boats.
Carlson was the first lifeguard to die in the line of duty in Newport Beach’s history. He was raised in the Inland Empire, attended the University of California, Irvine, and loved to surf and be in and around the water. Colleagues say being a lifeguard was his life’s goal. He was a true hero, doing what he loved best.
The Weekly News covers community news for Diamond Bar, Walnut, Chino Hills and surrounding areas of San Gabriel Valley and the Inland Empire. Click this link July12WeeklyAll to access the complete July 12-18, 2014 issue in pdf format
Staff Reports
Orange County – The United States Attorney’s Office has issued a news release regarding an Orange County man who admitted that he intended to assist Al-Qai’da by traveling to Pakistan, where he would provide weapons training to members of the terrorist group.
Sinh Vinh Ngo Nguyen, 25, of Garden Grove, was sentenced on June 30 by United States District Judge, John F. Walter, who called the crime “a very serious offense that requires a correspondingly long sentence.”
Nguyen pled guilty late last year to one count of attempting to provide material support to a designated foreign terrorist organization. Nguyen, who also used the name Hasan Abu Omar Ghannoum, admitted that in late 2012 he travelled to Syria where he joined opposition forces. Using a social network site during a four month period he was in Syria, Nguyen told people that he was fighting against the Assad regime and that he had a “confirmed kill.” After he returned to the U.S., Nguyen told associates that he had offered to train Al-Qai’da forces in Syria, but his offer had been turned down.
Between August 3 and October 11 of 2013, Nguyen met with a man he thought was an Al-Qai’da recruiter, but who, in fact, was working with the FBI. According to a plea agreement filed in federal court, within the first few minutes of their meeting, Nguyen began questioning the man to determine if he was a fellow jihadist. Nguyen told the man about his exploits in Syria and said he wanted to return to jihad because “this was what he was born to do.” During their meetings, Nguyen – and the man he thought was a recruiter – discussed how Nguyen could travel to Pakistan under a fraudulently obtained United States passport. After Nguyen gave the purported recruiter a photo of himself and a passport application with bogus information, Nguyen agreed to travel to Pakistan, where he would train 30 Al-Qai’da fighters for five or six weeks to prepare them “for a guerilla warfare ambush attack on coalition forces” that would take place in late 2013, according to the plea agreement.
On October 1, with the intention to travel to Pakistan to begin training forces for the ambush, Nguyen purchased a plane ticket to travel from Mexico to Peshawar, Pakistan. On October 11, Nguyen went to a bus station in Santa Ana where he purchased a ticket to Mexico, and was arrested by FBI agents. When he was taken into custody, Nguyen had in his possession the false passport and a computer hard drive that contained “over 180 training videos on shooting firearms.”
Nguyen has been in federal custody since his arrest.
The case against Nguyen is the product of an investigation by the Federal Bureau of Investigation and the Joint Terrorism Task Force.
STAFF REPORTS
Santa Ana – An Irvine man was recently convicted of running a fraud scheme that generated approximately $3.3 million from victims investing in products that they believed would treat childhood obesity and Type II Diabetes.
According to the United States Attorney’s Office, Charles “Chuck” Davis, 57, was found guilty on Fri., June 20, of two counts of mail fraud, seven counts of wire fraud and four counts of money laundering. During the trial, Davis was shown to have operated an investment scam involving the Newport Beach firm, LifeRight Holdings, Inc. The company was to develop and use infomercials to market a product to battle childhood obesity. Davis promised his investors a 15 percent return in just 13 months, royalties on products sold, and the option to convert the investment into shares of LifeRight stock when the company began selling the products.
$2.4 million of the funds raised from about 40 victims in 2007 and 2008 were actually used to finance Davis’ personal expenses and legal fees from lawsuits brought against him.
Another scam involved DT2, a company that reportedly offered a product treating Type II Diabetes. Davis raised nearly $1 million from 2009 to 2011 from about 25 DT2 investors. Similar to the LifeRight scam, Davis diverted investor funds to other companies, and rather than spend the money on the business, he enjoyed high-end restaurants, spa treatments, cash withdrawals, the expense of several girlfriends, as well as civil/criminal defense attorneys.
Davis has been in custody since September 2011, and faces a statutory maximum sentence of 240 years in federal prison when he is sentenced on October 20.
STAFF REPORTS
Santa Ana – Two Orange County men were arrested on Fri., June 13, on federal drug trafficking charges that allege they were part of a far-reaching conspiracy to smuggle, manufacture and distribute millions of dollars’ worth of analogue drugs commonly called “spice” and “bath salts.”
According to a news release from the Assistant United States Attorney’s Office, the men were taken into custody pursuant to a 16-count grand jury indictment – the first in Southern California alleging violations of the Controlled Substances Analogue Enforcement Act. This federal law makes it illegal to manufacture or possess chemicals intended for human consumption that are similar to controlled substances – such as Ecstasy and marijuana – and have effects similar to these narcotics.
Sean Libbert, 38, of Newport Coast, and Kyle Kledzik, 26, of Dana Point, were arrested by federal agents associated with the Los Angeles HIDTA (High-Intensity Drug Trafficking Area) Southern California Drug Task Force. Those involved in the investigation include special agents with U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (HSI), the Drug Enforcement Administration and IRS – Criminal Investigation.
The case against Libbert, Kledzik and four Chinese nationals focuses on the smuggling and distribution of cannabinoids, which include synthetic marijuana or “spice,” and synthetic cathinones, otherwise known as “bath salts. The indictment charges a series of criminal violations, including conspiracy to manufacture, possession with the intent to distribute, and distribution of controlled substance analogues. The indictment also alleges that the defendants smuggled chemical products and engaged in money laundering. Additionally, Libbert – who has prior convictions that include narcotics offenses – is accused of being a felon in possession of firearms and ammunition.
The charges are the result of a nearly three-year HIDTA investigation that targeted an organization allegedly headed by Libbert. Authorities believe Libbert’s organization was one of the nation’s largest importers and shippers of synthetic narcotics. According to the indictment, from March 2010 until July 2012, Libbert and his coconspirators smuggled more than 300 kilograms of chemicals into the U.S. at a cost of more than $1.4 million. The organization also allegedly purchased more than 300 kilograms of chemicals from domestic sources.
As part of the scheme, the defendants allegedly formed a company called RCS Labs, and used various Internet websites to sell more than $12 million worth of chemical products and analogue substances to people across the United States, including other distributors and individual users. The ring is also accused of manufacturing its own synthetic marijuana, which they marketed and sold under the brand, “Da Kine Blend.”
According to the indictment, one customer who purchased approximately six grams of cannabinoids from the organization nearly died after ingesting the drug. Due to his prior criminal history, Libbert could face a mandatory minimum life sentence if convicted on this count.
The indictment also charges four Chinese nationals who allegedly served as Libbert’s suppliers. Three of the defendants reside in China and their full identities are unknown at this time. The fourth Chinese defendant, Jin Liu, 30, is in federal custody in Jacksonville, Florida, on unrelated narcotics charges.
“These substances may have benign names like ‘spice’ and ‘bath salts,’ but they’ve been linked to serious health complications and even death,” said Claude Arnold, Special Agent in Charge for HSI Los Angeles. “Compounding the concern is the fact that the distributors of these dangerous synthetic drugs are packaging and marketing them to appeal to young people. For that reason, those involved in this emerging side of the illicit drug trade should be on notice, this may be the first federal prosecution of its kind in the greater Los Angeles area, but it will not be the last.”
In addition to the drug and firearms charges, Libbert is accused of laundering the profits of drug sales through various bank transactions and spending the proceeds to buy luxury vehicles, vacations and a $1.4 million home in San Juan Capistrano. As part of the indictment, the government is seeking the forfeiture of property and proceeds related to the scheme. So far, investigators have seized more than $1.1 million in assets connected to the case, including more than $700,000 in profits from the sale of Libbert’s former San Juan Capistrano home.
“The use and distribution of synthetic drugs cause irreparable harm to our society,” said IRS Criminal Investigation Special Agent in Charge, Erick Martinez. “The magnitude and complexity of this particular ring required multi-agency cooperation to take down. IRS pursued financial leads in this investigation to attack the group’s ability to further profit from their illegal activity and to hold them accountable for their actions.”
STAFF REPORTS
Irvine – The former controller of a company that provides supervision services, including electronic monitoring programs to courts and probation departments, plead guilty this week to federal charges of embezzling well over $3 million from the company over the course of two years.
According to the U.S. District Attorney’s Office, Steven A. Hagstrom, 37, of Anaheim, who was an accountant and then controller of the Irvine-based Sentinel Offender Services, LLC, plead guilty on Tues., June 3, to one count of embezzlement before United States District Judge, David O. Carter.
As controller of Sentinel, Hagstrom had access to Sentinel’s bank accounts where fines, court fees and restitution payments from criminal defendants were held in trust. The accounts also held money paid to Sentinel for services provided to state and federal court systems. Beginning in early 2012 and continuing until April 2013, Hagstrom transferred approximately $3,338,197 from Sentinel’s bank accounts to bank accounts he controlled, where they could be used for his own benefit.
Judge Carter is scheduled to sentence Hagstrom on Sept. 29. The embezzlement count carries a statutory maximum sentence of ten years in federal prison. About half of the embezzled money has already been returned to Sentinel, and Hagstrom has agreed to make full restitution to his former employer.
The investigation into Hagstrom was conducted by the Federal Bureau of Investigation and the Internal Revenue Service Criminal Division.
STAFF REPORTS
Orange County – A beloved family of four is dead from an alleged murder-suicide in an upscale neighborhood in Mission Viejo.
On Tues., May 27, at approximately 9 a.m., authorities responded to the 25600 block of Pacific Hills Drive to discover the bodies of two males and two females. Orange County Sheriff’s investigators have identified the deceased as Mark Sheer, 55; Lydia Sheer, 54; Michael Sheer, 21, and Amy Sheer, 15; all related and living together in the home. The Sheer family was very involved at Mount of Olives Lutheran Church, where Mark and Lydia reportedly taught Bible Studies.
Neighbors allegedly heard gunshots, or “fireworks,” on Memorial Day and in the early morning hours of Mon., May 26, sheriff’s deputies responded to reports of the same and a male yelling in the area near Pacific Hills Road. Deputies patrolled the area for several minutes but were unable to locate anything to substantiate the report. Sheriff’s were again contacted on Tuesday when a relative was not able to reach the family. The two incidents appear related.
According to a news release from the Sheriff’s Department, preliminary evidence suggests that Michael Sheer is suspected of shooting his father, mother and sister with a shotgun prior to turning the gun on himself.
Reports from neighbors, friends and fellow church parishioners are filled with shock and dismay regarding this highly-praised family. Perhaps they will never know the reasons for this tragedy, although authorities are investigating motive.
Anyone with additional information that may assist in the investigation is asked to call the Orange County
Sheriff’s Department Homicide Unit at (714) 647-7055. Anonymous tips may also be submitted to Orange
County Crime Stoppers at 855-TIP-OCCS ((855) 847-6227) or at occrimestoppers.org.
BY EMILY LUNDBERG
Irvine – Allergan, Inc., an Irvine-based multi-specialty healthcare company focused on discovering, developing and commercializing innovative pharmaceuticals, biologics and medical devices, announced that it has recently rejected an offer to merge with Valeant Pharmaceuticals International, Inc.
In an unsolicited proposal sent on April 22, Valeant offered to pay $48.30 in cash and .83 shares for each Allergan share. In the proposal information listed on their website, Valeant CEO, Michael Pearson, claimed that a merger between the two companies presents “an undeniable opportunity to create extraordinary value for both Allergan and Valeant shareholders by establishing an unrivaled platform with leading positions in ophthalmology, dermatology, aesthetics, dental and the emerging markets.”
Allergan’s rejection of the proposal obviously shows that they don’t agree with Pearson’s opinion. In fact, in his rejection letter to Pearson, Allergan CEO, David E. I. Pyott, stated that the proposal “substantially undervalues Allergan” and posed a serious risk because of a “large stock component, which we believe is a risk for Allergan stockholders due to the uncertainty surrounding Valeant’s long-term growth prospects and business model.”
Another reason why the merger offer was rejected by Allergan is that “given the strength in its business, Allergan plans to increase earnings per share by 20-25%” over the next couple of years.” Indeed the company has seen a net sales increase every business quarter since 2009. It is Allergan’s belief that accepting the offer may have affected their likelihood of reaching that potential.
Currently Allergan is Irvine’s seventh largest employer, with its 28-acre headquarters hosting nearly 2,000 employees. The company also employs an additional 9,000+ employees in over 100 countries across the world.
BY EMILY LUNDBERG
Newport Beach – On April 29, the California Chapter of the Council in America-Islamic Relations (CAIR-

Complaint filed by CAIR-CA and United Sikhs (Photo Courtesy: http://www.ca.cair.com)
CA) and the United Sikhs announced they have filed three complaints with the California Department of Fair Employment and Housing against Boomers Amusement Park.
The complaints were filed against the amusement park for “barring park attendees who wear religious head coverings from its Go-Kart rides,” according to a press release published by CAIR-CA.
The actual complaints are based on incidents that happened last year to two families with daughters who wore religious head wraps. Each was reportedly denied their request to go on the Go-Karts because of a company policy that bans the wearing of headgear on rides. One of the complaints filed quoted Boomers safety policy as saying, “We do not allow ANY headwear on go-karts. This includes: hats, caps, visors, ear muffs, head phones, bandanas, scarves, turbans, yamakas, hijabs, doo-wraps, or head wraps of any kind. We do not distinguish amongst headgear based on religious issues, medical conditions, one’s fashion desires or anything else.” The policy goes on to say that this is a safety concern, as head wraps, as well as long hair, can possibly become entangled in the karts wheels or engines causing severe injury or even death (with compelling details justifying their policy).
In a press release on the United Sikhs website, the religious organization responded to Boomers safety policy by saying it is a “justification for discriminatory treatment” and claimed that the amusement park company is unable to provide any “sustainable proof” of the safety concerns it claims exist.
Boomers is a subsidiary of Palace Entertainment, Ltd. The Newport Beach based company owns 18 other amusement parks in addition to Boomers, including Castle Park, Raging Waters, and Speed Zone. At the time this article was written, they were not available for comment on the allegations made by CAIR-CA and the United Sikhs.
Santa Ana – Suspects in Orange County’s serial homicides were arraigned on March 15 according to a press release from the Anaheim Police Department. The arraignment came a little more than a month after their arrests on March 11.
The suspects, Franco Cano, 27, and Steven Dean Gordon, 45, were arrested for murdering four women, three of which were last seen in Santa Ana. The victims are as follows: Kiana Jackson, 20, a resident of Las Vegas who was last seen in Santa Ana on Oct. 6, 2013; Josephine Vargas, 34, a resident of Santa Ana who was last seen there on Oct. 24, 2013; Martha Anaya, 28, a resident of Santa Ana who was last seen there on Nov. 12, 2013; and Jarrae Nykkole Estepp, 21, an Oklahoma resident whose body was found on March 14 at an Anaheim recycling center. Estepp’s is the only body that has been found.
Detectives from the Anaheim and Santa Ana Police Departments are currently trying to identify a fifth victim who was last seen between February 14 and 16 near Katella Avenue. The victim is believed to be a petite African American woman in her early 20s.
Both Cano and Gordon have been previously convicted of committing “lewd or lascivious acts with a child under fourteen years of age,” according to California’s Sex Offender Registry. At the time of the crimes, both men were wearing GPS bracelets to track them because of these prior offenses. A Los Angeles County press release reported that both men had previously cut off their bracelets and fled to Nevada before being arrested again in 2012. Los Angeles County Supervisor, Michael Antonovoich, said, “This illustrates the fact that the ankle bracelets and GPS monitoring do not prevent crime.” Indeed this incident does provoke questions regarding the true effectiveness of bracelets including the extent to which they should be trusted to control and monitor criminals.
By Emily Lundberg
Anaheim – On April 3, $1.5 million in grants was awarded to ten youth service organizations in Anaheim.
The grants were provided by Accelerated Change Together for Anaheim, more commonly known as ACT Anaheim, which is a partnership between Disneyland Resorts, the Anaheim Ducks, and the Los Angeles Angels of Anaheim. The partnership began when Disneyland led an effort in 2012 to fund the Anaheim Hills Youth Service Assessment which highlighted the challenges that youth face. Anaheim is California’s tenth largest city and, according to the assessment, is home to nearly 20,000 youth who have access to limited or no community services.
Throughout the next three years, the iconic businesses have committed to donating three million dollars in grants for organizations that benefit the city’s at-risk youth. In an article discussing the program on the Duck’s website, Angels’ chairman, Dennis Kuhl, said they hope other organizations and citizens will join ACT Anaheim in the effort to support the City’s youth.
In addition to those three corporations, the Orange County Community Foundation joined ACT Anaheim as a managing partner. This led to an increase in funding for the first grant pool from $1 million to $1.5 million when the foundation donated $300,000 from their donor pool and Disney added an additional $200,000 to their original commitment. Grant applications were accepted November through mid-December of 2013 and ranged from $100,000 to $200,000. According to a press release from the Orange County Community Foundation, decisions were based on “their [each organization’s] ability to address the specific needs addressed in the 2012 Anaheim Youth Services Assessment”. The gaps identified include, but are not limited to, gang prevention activities, programs for older students, and safe places to hang out.
Among the ten grantees were the Boys and Girls Club of Anaheim which received a $175,000 grant, the Anaheim Family YMCA who received $125,000, and Girls Incorporated of Orange County which received $175,000.
Is it weird I feel like I’m part of a secret club or something?
Executive Assistant – Eastvale Chamber of Commerce (Eastvale)
compensation: $16-$18/ Hour DOE
contract job part-time
non-profit organization app deadline 4/7
Executive Assistant to the Board
Job Summary:
Assist the Board of Directors with the overall running of the Eastvale Chamber of Commerce.
Oversee the planning, marketing and execution of all Chamber events. Act as the liaison between
all Chamber members and the BOD to communicate member wants and needs as well as member
feedback.
Essential Functions:
1. Responsible for accounting functions including billing and membership accounting, preparing deposits, accounts payable and receivable, payroll, generating financial reports, completing tax forms and other financial record keeping. QuickBooks is utilized for accounting functions.
2. Oversee the planning, marketing and execution of all Chamber events (i.e. Morning and Evening Mixers, Quarterly events, Ribbon Cuttings, Grand Openings, etc.)
3. Coordinate and facilitate bi-weekly Board Meetings by creating the meeting agenda and recording minutes that are to be distributed no later than the Tuesday after each Board meeting.
4. Must attend and emcee ALL Chamber hosted events listed above.
5. Must work in conjunction with the Ambassador Co-Chairs in order to coordinate Ambassador volunteer help at Chamber events.
6. Must work in conjunction with the Marketing Assistant/Recruiter to recruit and retain new and existing members and volunteers.
7. Work in conjunction with the Marketing Assistant/ Recruiter to manage the Chamber Website and online media presence.
8. Maintain Chamber brand image by presenting oneself as well as the organization in a professional and distinguished manner.
9. Maintain exceptional customer service for all current and potential members by acting as the point person for all Chamber inquiries as well as assisting members with questions and concerns.
10. Operate and maintain the Chamber business phone during normal business operating hours.
11. Properly relay information to the correct Board Member for expedited responses to ensure that all Chamber matters are being handled effectively and in a time-bound manner.
*May be required to perform other duties as assigned by the Board of Directors or Chamber Support Staff
Requirements:
• Must be able to dedicate a minimum of 25-28 hours per week to Chamber focused initiatives
• Must submit invoices in an accurate and timely manger (Bi-Monthly — 1st & 15th )
• Must attend 85% of Chamber functions throughout the year
• Must have proficiency in QuickBooks and Microsoft Office Suite
• Must have a background in one of the following:
o Marketing
o Public Relations
o Management
o Communications
o Human Resources
o Customer Service
Purpose:
The purpose of the Executive Assistant to the Board is to bridge the gap between the members of the Chamber and the Board of Directors. This position is to act as the point person for all questions, comments and concerns while redirecting members and potential members to the right resources for their needs. The Executive Assistant to the Board is to be seen as the face to the Chamber and should spearhead all current Chamber events as well as provide new and innovative events that build membership value and Chamber membership base.
Respond to this link:
http://inlandempire.craigslist.org/ofc/4398146558.html
Fullerton – Four people were stabbed at The Continental Room, a bar in trendy downtown Fullerton, early Sunday morning.
All four victims, three women and one man in their 20s, were released from the hospital after being treated for non-life threatening injuries. The worst of the injuries was suffered by the man who received sutures in his neck, according Sergeant Jeff Stuart from the Fullerton police department. The names of the victims have yet to be released.
At the time of the stabbing the bar was hosting its weekly Electric Saturday event, which runs from 9 p.m. to 2 a.m. Sunday morning when the bar closes. Electric Saturdays are one of several themed music nights hosted at the bar, according to their website.
The Continental Room is located on West Santa Fe Avenue and is across the street from the Fullerton Transportation Center and Metrolink. It was founded in 1925 and on its website claims to be “the oldest drinking establishment in the city.” The website also states that The Continental Room takes pride in its rich history, specially designed 60s vibe, and great music.
In a phone interview on Monday, Sergeant Stuart stated that it is unknown how many people were involved in the stabbing and what the motive of the crime might be. The Fullerton Police Department is currently investigating the matter and is encouraging anyone who has information on the incident to come forward, or call (714) 738-6800.
BY EMILY LUNDBERG
Orange — On Saturday, March 8, 28 students were injured when Servite High School’s stage collapsed during a performance by Rosary High School, an all-girl catholic school.
The collapse occurred at approximately 10 p.m. during the finale of Rosary’s 44th Annual Red and Gold Rally performance. According to the Rosary website, Red and Gold is “one of Rosary’s most cherished traditions.” In preparation for the rally, the entire student body is divided into several categories including choral, dance, media, props, and stage techs. These groups then spend six weeks using creativity, analytical thinking, and leadership to put on the event.
Servite, an all-boy catholic high school, was founded in 1958 and served as the venue for this year’s Red and Gold performance. According to the Servite’s website, the stage is 50’ wide and 25’ deep. A statement released by the Roman Catholic Diocese of Orange on March 10 stated that an internal investigation is currently underway to determine the cause of the collapse.
At the time of the collapse, 250 students were jumping and screaming on stage during the finale. Without what appeared to be any signs or warning, the front part of the stage collapsed. This was the last of four performances scheduled that weekend.
According to a spokesperson from the Catholic Diocese of Orange, 28 students were treated for mild to moderate injuries at local hospitals, and all have been released.
On March 9, Rosary and Servite High Schools released a brief joint statement saying that the event had occurred and that their “thoughts and prayers are with the students and their families.” Both schools have since declined phone calls from reporters requesting comments on the event.
BY EMILY LUNDBERG
Anaheim Hills — Anaheim Hills-based pharmaceutical company, Questcor Pharmaceuticals, Inc., appears to be making a recovery after a damaging report from the stock commentary website, Citron Research, was published last week.
The 24 page report, released on Feb. 27, alleged that Questcor’s flagship drug, Acthar, contains little to none of the main active ingredient, Corticotropin. Citron Research accused the company of mislabeling their product and raising a health risk from the lack of potency and other unknown factors associated with the drug, which is prescribed to patients with difficult to treat autoimmune and inflammatory disorders. Prior to the release of this report, Citron turned over their research findings to the FDA, urging them to investigate.
Shortly after the release of the report, Questcor’s chief operating officer, Steve Cartt, responded by telling Bloomberg’s First Word that Acthar is still not fully understood and that the drug still meets all FDA mandated specifications. The FDA is currently reviewing lab results to see if that is the case.
In a follow up to Cartt’s response, Citron published a statement saying they are “astonished” by what Cartt said and questioned both the legality and ethicality of Questcor’s lack of concrete knowledge about the drug they are currently selling for $28,000 a vial. To conclude the statement, they warned “cautious investing to all.”
Since the release of the report, Questcor’s stock (NASDAQ: QCOR) dropped 18.4% between Feb. 26 and Feb. 28, according to Yahoo Finance. In spite of this, some companies, including Mizuho Financials, have made statements in support of Questcor. The stock has since regained some of its momentum and has risen 6.83% since its fall on Feb. 28, although future trends remain uncertain while the company undergoes investigation from the FDA.
Staff Reports
Anaheim – According to Anaheim Detectives, three men suspected of stealing more than 6,000 gallons of diesel fuel over the past few months have been arrested. The three accused thieves were caught in the process of stealing on Tuesday, Feb. 18.
Detectives are investigating a series of gas thefts in Anaheim. They estimate that at least 6,600 gallons of fuel were stolen in Anaheim alone since October 2013.
In addition, investigators believe they may also be responsible for similar thefts across Southern California. According to Anaheim’s public safety spokesman, the three men are also suspected of being involved in similar incidents in Los Angeles, San Diego and San Bernardino counties.
The thieves obtained the stolen diesel fuel by cutting locks on gates where 18-wheelers and vehicles using diesel fuel were parked. They would then empty out the vehicles’ gas tanks.
According to the Anaheim Police Department, surveillance video was what ultimately led to the demise of this group. One of the surveillance cameras spotted a vehicle believed to be used by one of the thieves. Detectives then obtained the license plate number and used it to track the vehicle down. On Tuesday night, detectives followed the van to an area near Knott and Crescent in Buena Park where they interrupted the three men in the act of stealing more diesel fuel.
Eddie Lino, 20, Deion Milton, 21, and Onorato Uribe, 32, were all arrested on suspicion of grand theft and possession of stolen property, according to Anaheim Police Department. All three men are Los Angeles County residents.
Police are asking anyone who believes they were a victim of the diesel thefts to contact police at 714-765-1900.