Complaint filed against AIRC Commissioner Richard Stertz

Posted by AzBlueMeanie:

Oh, like no one saw this coming. Rick Stertz was hiding in plain sight from the time he submitted his application to the AIRC. I am only surprised that it took this long for a complaint to be filed against him.

Craig McDermott reported back in February Random Musings: Redistricting Update: Pearce names Richard Stertz to Redistricting Commission:

From the Arizona Republic, written by Mary Jo Pitzl –

A candidate on Senate President Russell Pearce's short list for a committee to redraw Arizona's political boundaries failed to disclose tax liens and court judgments against him, although such disclosure is required.

Rick Stertz, in his application for the Independent Redistricting Commission, indicated that he had paid all taxes when due and that he had no court judgments filed against him.
Records in Pima County show otherwise; there are at least four court cases in which judgments were filed against Stertz, as well as two federal tax liens.

The tax lien records are here, also courtesy the Arizona Republic.

From Stertz' application for the Arizona Independent Redistricting Commission –

10.   Have you paid all state, federal, and local taxes when due?  Yes (X)  No ( )  If your answer is "No," explain by attachment.

At the end of the application form, he swore an oath that "the statements contained in this application are true and correct to the best of my knowledge."

Oh, and that oath was notarized.

The Arizona Daily Star reported back in February CEO seeking spot on panel for boundaries owes taxes:

One of two Pima County Republicans vying for a spot on the state commission that will draw new political lines did not disclose he owes delinquent property taxes or that he has been sued for fraud or a contract violation – information requested on his application.

* * *

On one parcel, the Pima County Treasurer's Office confirmed taxes weren't paid for the second half of 2008 and the entire year of 2009. The first half of 2010, due in October, also wasn't paid. On the other, he didn't pay for tax year 2009 or for the first half of 2010. By the office's calculations, he owes more than $6,000 in taxes.

* * *

In 1992, an architecture firm sued Stertz and others alleging fraudulent schemes and false claims related to using the company's copyrighted work. The case was dismissed in 1993, with the defendants agreeing not to claim the company's work as their own.

He was sued twice in 1988.

A law firm charged Stertz and his company owed more than $7,000 and attempted to defraud them by writing two bad checks, worth about $1,700. The court ordered Stertz to pay.

And Hotel Congress charged he owed more than $42,000 for vacating a lease. The court ordered him to pay $7,550.

Today Luis Heredia, Executive Director of the Arizona Democratic Party, has sent a letter to the Arizona Attorney General and County Attorneys in Pima and Maricopa County requesting an investigation (reproduced in full):

RE: Richard Stertz

Dear County Attorneys LaWall and Montgomery, and Attorney General Tom Horne:

On October 14, 2010, Richard Stertz signed an application for the Independent Redistricting Commission before a notary in Pima County. The application was then filed in Phoenix. The application is grossly inaccurate. Statements contained on the application were attested by Richard Stertz as true and correct but public records show a history of legal and financial issues. This gross misrepresentation calls into question his qualifications to continue his appointment on the Arizona Independent Redistricting Commission.

I request that your respective offices initiate an investigation into whether Mr. Stertz withheld information regarding his political affiliations, employer and business disclosure from Mr. Stertz’s spouse and children, tax information, accusations of fraud, and judgments. A sworn statement was submitted to the Commission of Appellate Appointments where the facts where omitted.

The following sections of the application where falsely answered or omitted but listed as true and correct:

Cover page: No attachment listing all political activities for at least the past ten years.

Stertz was involved with a political action committee Conservatives for Congress during the 2010 race according to Politico.
See http://www.politico.com/news/stories/0111/48035.html.

Question 8: No attachment is included listing his parents, siblings, spouse, and chidren’s employer or business, or profession. No attachment listing all political activities for at least the past ten years.

His spouse, Debra Stertz contributed to 1155 Realtors of AZ PAC in 2007, 2005, 2003, and 2002. Stertz failed to list Mrs. Stertz’s occupation but she currently holds an active realtors license in the state of Arizona (License number: BR115436000).

Question 10: Question was falsely marked as yes. No attachment explaining failure to pay all federal, state, and local taxes when due.

Stertz failed to disclose federal tax liens filed on 8/23/1989 in the amount of $158,017 (Pima County Recorder, Federal Tax Lien Release; Book 9891; Page: 819)

According to online records from the Pima County Treasurer’s Office, the Stertz Family Trust owes $1,612.47 in Tax Year 2010 for 11164 E. Miami St. The half-year tax amounts are listed as $785.30 and $785.29, with $41.88 charged for “interest.” (Pima County Treasurer’s Office Property Search, accessed February 3, 2011)

According to online records from the Pima County Treasurer’s Office, the Stertz Family Trust owes $1,933.41 in Tax Year 2009 for 11164 E. Miami St. The half-year tax amounts are listed as $823.90 and $823.89 with $285.62 charged for “interest.” (Pima County Treasurer’s Office Property Search, accessed February 3, 2011)

According to online records from the Pima County Treasurer’s Office, the Stertz Family Trust owes $829.29 in Tax Year 2008 for 11164 E. Miami St. The half-year tax amounts are listed as $0 and $641.20 with $188.09 charged for “interest.” However, the records show that $641.21 was paid on October 13, 2008. (Pima County Treasurer’s Office Property Search, accessed February 3, 2011)

Question 15: Stertz failed to list allegations of fraud.

In case No. C253136 in Pima County Superior Court on July 15, 1988, the court ruled against Stertz in the amount of $7,000 for unpaid legal services. The plaintiffs filed that Stertz, with the intent to defraud, drew and executed two checks in the amounts of $1,417 and $370 knowing that they did not have sufficient funds to pay the checks. In case No. C289025 in Pima County Superior Court on October 16, 1992, Stertz was sued by an architecture firm for alleging fraudulent schemes and false claims related to the firm’s copyrighted work.

Question 20: Failed to list judgments.

In case No. C251539 in Pima County Superior Court on May 16, 1988, the court ruled against Stertz in the sum of $24,021. Stertz failed to make timely payments pursuant to a lease.

In case No. C251210 in Pima County Superior Court on June 2, 1988, the court ruled against Stertz placing a judgment totaling $84,144.

In case No. C252579 in Pima County Superior Court on June 27, 1988, the court ruled against Stertz in the amount of $7,550.

In case No. CV2009-016873, Stertz was named as a defendant in a Maricopa County civil case initiated by Western Refining Wholesale, Inc. on May 29, 2009.

In case No. CV2007-023757, Stertz was named as a defendant in a Maricopa County civil case initiated by Nauroth Electric on December 21, 2007.

It is clear the submitted application was grossly incomplete and information was intentionally omitted to hide the applicant’s history. I ask for your offices to conduct a thorough investigation on Mr. Stertz’s sworn statement.

Sincerely

Luis Heredia, Executive Director
Arizona Democratic Party

See also: Tedski at Rum, Romanism & Rebellion Rum, Romanism and Rebellion › Sauce for the Goose Department.

UPDATE: The Arizona Republic Arizona Democrats file complaint vs. Stertz, and the Arizona Capitol Times (subscription required) Dems file complaint against redistricting official – Arizona Capitol Times have reports.