By: Jim Riordan

Jim Riordan — Thu, 04 Oct 2012 20:54:18 +0000

Dear Mr. Runner,
It is always a pleasure to read your “My Turn” articles re the SBE, which I believe is one of the most arrogant and abusive agencies in California. I occasionally serve as a Chapter 11 Federal Trustee on criminal bankruptcy cases. I have a (to me) funny story to share with you about the SBE arrogance. A while back I was working on an agricultural property bankruptcy. The property sold agricultural goods at retail from its location. I received a call to my office from a rude SBE agent instructing me that I “had to go to her office and sign my own personal name to the business’s already existing resale license”, which the debtor had signed long ago. This rude individual left her number and demanded I call her back “promptly”. I did. I was put on hold for 11 minutes before being handed to a recording requesting me to leave a message. I left my office phone number. A day later I get a call back from her. My admin asst. answered the phone. She put the lady on hold and told me it was the SBE. I asked her to let me know when 11 minutes had passed. She did and I picked up the phone to hear this rude voice asking, “Do you know how long I have been on hold?” I said Yes Ma’am I know precisely how long you have been on hold . . . 11 minutes, which is how long I was on hold on your phone yesterday.” She proceeded to tell me, “you have a bad attitude,” And “you must come in here and sign your name personally guaranteeing the payment of sales tax from this business.” She said “you are one of only two Fed trustees in California who have refused to do so.” Then it was my turn. I told her, ” let’s review this, all you want me to do is collect your money on each sale, keep the funds secure, take your money to the bank and deposit it, keep all records and then every so often fill out a form that you say takes 5 minutes but we can prove takes 4 times that long , and then safely deliver your money back to you . . . and for all of that this business does not get one red cent and you say I have a bad attitude” I told her, If you want businesses to have a “good” attitude, give us 2% of what we collect for you.” I then told her, “Under Fed rules in Chap. 11, as trustee I ‘step into the shoes of the debtor’ and those shoes happen to come with a resale permit. I am playing in a Fed playground and you are in a State playground, so I respectfully refuse to sign anything”. I never did sign personally and I have always been aggravated by the way the SBE tries to bully businesses. George, you are a refreshing change. Please keep up your great work. And ok, how about 1%?

Comments on: My turn: A duty and an honor

By: Jim Riordan