Following two hearings on Monday and Wednesday, one of the owners of Poor Red’s, who was out on bail, was remanded into the custody of the El Dorado Sheriff’s Department after new charges were filed.
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On Monday, with both Brenda Adams, out of custody, and her husband Mike, in custody, in attendance, Judge Douglas C. Phimister mentioned possible new charges of the theft of property against Brenda, but did not elaborate.
He did, however, mention that there was a shed on the Poor Red’s premises that had a padlock on it. He told David Schroeder, who was in the audience, that he was to cut off the padlock, replace it with his own and then the shed was to remain closed until the next day.
He ordered that on Tuesday, all the involved parties and a locksmith to take the padlock off and open an ATM supposedly inside the shed. Should there be money inside, it was to be removed.
Until then, he reiterated, no one was to go into the shed in order to preserve any evidence. A hearing was set for that Wednesday, July 3, for further proceedings following the opening of the shed.
On Wednesday, Phimister elaborated on the new charge — grand theft of property with a special allegation of committing the crime while out on bail.
He also announced that Beau Weiner, Brenda Adams’ attorney, had a potential conflict of interest, that could require a hearing. Weiner confirmed that this was the case and took a moment to speak with Adams. She then told the court that she agreed with the conflict and that a hearing was not necessary.
The Public Defender’s Office was then appointed as counsel, with Rachel Miller acting as her attorney. She, Weiner and deputy district attorney James Clinchard approached the bench moment for a few moments.
After confirming the Public Defender’s Office was appointed in both of Adams’ cases, Judge Phimister announced that she was to be remanded to the El Dorado County Sheriff’s Office and her bail bond surrendered. The bail in her new case would be $55,000.
The court had already reduced her previous case’s bail from $350,000 to $175,000 so that she could continue to “operate the family business.” But, as she would not be doing so from the County Jail, the bail was raised to its original $350,000. Phimister ordered a hearing regarding the source of her bail money from her first case.
At Clinchard’s request, the two new hearings on July 15 and 17 were changed from 8 a.m. to 1 p.m. in Department 7.
According to the new complaint, Adams stole $1,580 from David Schroeder, with the special allegation that she committed the alleged crime while out on bail.
Brenda and Mike Adams were originally charged with not paying nearly $350,000 in taxes for the past six years. They had also been allegedly paying their employees in cash in an attempt to elude taxes. In total, 30 charges of tax evasion and insurance fraud were levied against them. April 17 saw both arrested and the bar raided with a search warrant by members of the Franchise Tax Board, the DA’s Office, the Employment Development Department, the Board of Equalization and the El Dorado County Sheriff’s Department. The California Department of Insurance was also involved in the investigation.