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11-04-28 Los Angeles - “Fraud Capital, USA” – Correction to Los Angeles Times Report
David Pasternak’s conduct was opined by a highly decorated FBI veteran as “fraud being
committed”, with a recommendation that “an investigation be immediately instituted”.

Los Angeles, April 28 – in its recent report, the Los Angeles Times described a quarter-billion-dollar Los
Angeles and Glendale housing scam exposed by Attorney David Pasternak. [i ] “The Los Angeles Times
described it as law enforcement getting to the corporate vault and finding it open and empty,” says Joseph
Zernik, PhD, of Human Rights Alert (NGO). The true story is more along the lines of a Hollywood plot, he
added “The robbers, dressed as law enforcement, made it to the corporate vault and found out that someone
else had got there before them.”
The case, which was subject of the Los Angeles Times report, was previously the subject of FBI complaint by
Dr Zernik against Attorney David Pasternak, who falsely appeared in the case as “Receiver”, with no valid
appointment order. [ii ] David Pasternak and the judges of the Los Angeles Superior Court have a long track-
record of such conduct. [iii ]
“It must have been a serious disappointment for the judges and attorneys involved, when the company that
they planned on looting as part of the divorce case, turned out to be a shell game,” says Dr Zernik.
The conduct of David Pasternak and judges of the Los Angeles Superior Court in real estate scams was
opined by a highly decorated FBI veteran as “fraud being committed” a recommendation was issued that an
“investigation be immediately instituted”. [iv ]
However, a letter by the same FBI veteran explained that FBI would not investigate such scams, since they
would inevitably lead to exposure of widespread corruption of judges of the Los Angeles Superior Court. [v ]
In 2010, report regarding conduct of the Los Angeles Superior Court in a series of real estate fraud cases
under the guise of litigation, was incorporated into the official Staff Report of the United Nations Human
Rights Council, with a note regarding “corruption of the courts and the legal profession” in California. [vi ]
The Los Angeles real estate scams story is even more interesting, according to Dr Zernik, since David
Pasternak and Sandor Samuels, key figures in such scams, also served as Presidents of Bet Tzedek –“The
House of Justice”, which advertises itself as protecting individuals against real estate fraud scams.
In 2007, Bet Tzedek announced a Southern California fraud-busting campaign. That campaign was cancelled,
and the whole Bet Tzedek website was abruptly taken off the internet, when evidence was produced of the
involvement of Bet Tzedek President, Sandor Samuels, in real estate fraud.
In 2008, court records from Pennsylvania and Texas detailed real estate fraud in courts throughout the US
under guidance of Sandor Samuels as Chief Legal Officer of Countrywide. [vii ] It was the exposure of fraud in
the courts that led to the collapse of Countrywide in January 2008. “He is a central figure in one of the largest
real estate and mortgage fraud schemes in history,” according to Dr Zernik. [viii ]
z Page 2/2 April 28, 2011

Already in the early 2000s, FBI reports described LA County as the “epicenter of the epidemic of real estate
and mortgage fraud”. When Dr Zernik filed his first complaint with FBI in 2007, FBI duty agent described
conditions in Los Angeles as “Fraud Capital, USA”.
However, both FBI and the Los Angeles Times remain mum, when it comes to the role of “corruption of the
courts and the legal profession” in propelling Los Angeles to “Fraud Capital, USA”.
LINKS:
i
11-04-25 L.A. sues low-income housing developer, alleging 'racketeering' and 'huge fraud' – LA Times
http://www.latimes.com/news/local/la-me-adi-20110426,0,1471394.story
11-04-25 Quarter-Billion-Dollar RICO Scam Alleged in L.A. & Glendale Housing Developments – Courthouse News
http://www.courthousenews.com/2011/04/25/36066.htm
ii
10-08-13 RE: Karimi v Mithawaila (BD518503) - Complaint against Attorney David Pasternak and the Superior Court of California, County of Los
Angeles, for public corruption and racketeering in pretense receiverships at the Court.
http://www.scribd.com/doc/35828312/
iii
10-06-21 Dr Zernik s Complaint Filed with Us Attorney Office Los Angeles against Mr David Pasternak for Public Corruption
http://www.scribd.com/doc/33354641/
[3] 10-07-18 Galdjie v Darwish (SC052737) Complaint for Public Corruption against John Segal Judge, John A Clarke Clerk, Attorney David Pasternak
and others at the Los Angeles Superior Court, RE: Conduct of pretense litigation alleged real estate fraud by the Court.
http://www.scribd.com/doc/34504304/
iv
07-12-17 Samaan v Zernik (SC087400) David Pasternak: Grant Deeds in re: 320 South Peck Drive, Beverly Hills, CA 90212, opined as fraud by FBI
veteran James Wedick
http://www.scribd.com/doc/24991238/
v
08-08-21 Samaan v Zernik (SC087400) Email letter by highly decorated FBI veteran James Wedick regarding FBI’s refusal to provide equal protection
http://www.scribd.com/doc/29713733/
vi
10-04-19 Human Rights Alert (NG0) submission to the United Nations Human Rights Council for the 2010 Review (UPR) of Human Rights in the
United States as incorporated into the UPR staff report, with reference to "corruption of the courts and the legal profession".
http://www.scribd.com/doc/38566837/
vii
08-01-08 Case of Borrower Sharon Hills (01-22574) in the US Bankruptcy Court, Eastern District of Pennsylvania: Countrywide’s three
"recreated letters", transcript, and news reports:
http://www.scribd.com/doc/25003494/
08-03-05 Case of Borrower William Parsley (05-90374), Dkt #248: Judge Jeff Bohm's Memorandum Opinion, rebuking Countrywide's litigation
practices, Countrywide's false outside counsel scheme - appearances by counsel who are not Counsel of Record, with "no communications
with clients" clause:
http://www.scribd.com/doc/25001966/
viii
10-05-05 Sandor Samuels, Countrywide, Bank of America [NYSE;BAC] and Brian Moynihan: Compilation of Records Evidence of
Racketeering
http://www.scribd.com/doc/30975368/
10-05-05 Chairs of US Congress Committees of the Judiciary and Banking Are Requested to Join Senator Feinstein's Inquiries on Comptroller
of the Currency
http://www.scribd.com/doc/30979882/