Non-Deductible Party

Janet Rogers Martin, the veteran media director of the local United Way who has been hired as the City of Oceanside public information director, got a roast-style send-off last week as friends and United Way staffers threw a cocktail reception at Mission Bay.

When it came time for Executive Director James Greene to present Martin’s going-away gift from the staff (a Nikon FE2 camera), he couldn’t resist a final jab.

“We tried to get a payroll deduction plan to pay for the gift,” quipped Greene, “but the Supreme Court voted it down.”

Sonido Trial Begins

Jerry G. Sonido Jr., accused by federal prosecutors of masterminding a tax refund fraud that lured 444 clients by promising refunds totaling nearly $1.1 million, goes to trial today, after several unsuccessful attempts by authorities to negotiate a plea bargain.

Sonido, who pleaded not guilty to a 17-count indictment charging conspiracy and filing false tax claims, faces a possible sentence of 85 years in federal prison.

His wife, Eleanor, accused of conspiracy, faces five years in prison.

Two former employees of Sonido’s National City tax preparation firm were indicted with the Sonidos in April. Both have pleaded guilty to misdemeanor aiding and abetting charges and will be sentenced in September.

Assistant U.S. Atty. Herbert B. Hoffman said he will call about 15 witnesses during what is expected to be a four-day trial.

Sonido’s firm operated only during the last three months of 1984 but received more than $105,000 in fees during that time, according to prosecutors. Most of his clients were Filipino-Americans who were charged fees of 20% to 50% of their expected tax refunds.

Because Internal Revenue Service agents acted swiftly, only 41 of the firm’s clients received tax refunds, totaling less than $50,000.

Most of the claims had not been filed with the government, and undercover investigators discovered some clients’ documents in a trash dumpster near the firm’s office.

Good Timing Award

It has been nearly a year and a half since the J. David & Co. scandal rocked San Diego’s social, political and investment circles.

But timing isn’t everything. The Better Business Bureau’s July newsletter warns consumers about “Ponzi Schemes,” and--incorrectly--states that J. David operated a $60-million foreign currency trading scheme. In fact, the company lured in $200 million, of which $80 million was considered “ripped off.”

Regardless, the bureau stated that a review in March and April uncovered 30 major Ponzi schemes in the last three years involving more than $750 million in investors’ funds.

A Lonely Decision

Bankruptcy files typically are more somber than humorous, but one bankruptcy document filed recently counters the norm.

Last week a “special meeting of the board of directors” was held by one company. It was attended by its president, who also happens to be the firm’s sole director.

Sound like a boring meeting? No way. “The financial affairs of the corporation were discussed,” the filing reads.

After the gathering, the board of directors voted to file for Chapter 11 reorganization bankruptcy.

Although the vote wasn’t listed, it likely was unanimous.