Thursday, January 7, 2016

Alameda's 'Landlord-In-Chief' could lose real estate license following complaint

ALAMEDA | Don Lindsey, who is one of Alameda’s most powerful landlords and is a leader among property owners strongly opposed to rent control on the Island, is under investigation by the California Bureau of Real Estate for alleged financial improprieties. A state investigator is accusing Lindsey of failing to provide proper accounting for various tenants' fees, according to a complaint filed last month with the Bureau of Real Estate. If proven, the charges could result in Lindsey losing his real estate license, the complaint states.

The complaint, filed December 16, includes an allegation by a state investigator that Gallagher & Lindsey Property Management, the firm co-founded by Lindsey in 1967, collected $2,124 from three prospective tenants, but failed to deposit the proceeds into a trust fund or specific bank accounts as required by law.

And an audit of Lindsey Properties, Inc. in December 2014 found that bank accounts reported to contain property management fees charged to renters was $72,465 less than what it should be under the law. In addition, withdrawals were made from the accounts without proper consent given by the renters. The complaint also alleges Lindsey’s companies failed to place financial proceeds into a dedicated trust fund in the name of each tenant and that withdrawals were made from the account by two unlicensed individuals. In addition, Lindsey failed to provide copies of cancelled checks from the bank account to the investigator, according to the complaint, which was first reported by Indymedia.

In an interview, Lindsey said the allegations have been remedied and he denied any wrongdoing. “I have a thirty-year history of no complaints and a spotless history,” he said. “I know this makes good headlines, but it’s not true.”



  1. By MW:

    I do not live in Alameda, and therefore until reading this article yesterday I had never even heard of Don Lindsey and nor of Gallagher & Lindsey Property Management. However being somewhat familiar with the way many agencies in California operate and their level of "ethics," "standards," and "integrity," and since rent control has become an extremely big issue in Alameda, therefore it would not surprise me in the slightest if one of the big boys, or a major source of election contributions or an at least somewhat politically connected person, decided that Lindsey was to be punished and also made an example of (and perhaps he had also committed the major "crime" of not making large election campaign contributions), and therefore the state agency went looking for something, and in fact anything, to hit and threaten him with.

    In other words, similar to if in Alameda County a person decides to run for office against the entrenched organization's predetermined choice, suddenly the DA and/or County Counsel's office goes looking for something to threaten the challenger with.

    In fact fairly recently I read an interesting analysis of power in modern American society and who has that power. It said modern American society is a jungle, and running and competing for power in that jungle is a variety of organized crime gangs, and with government the strongest and best armed organized crime ring in that jungle.

    Of course crooked lawyers, and many of whom pay under the table bribes to corrupt judges, are also one of the very sleaziest and most powerful organized crime rings in that jungle.