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DAVID P. STAPLETON
STAPLETON GROUP
315 S. Flower Street, 18'" Floor
Los Angeles, CA 90071 E-FILED
7/20/2020 3:30 PM
Tel: 213 235-0601 Superior Court of California
Email: david@stapletoninc.com County of Fresno
By: |. Herrera, Deputy
COURT APPOINTED RECEIVER
SUPERIOR COURT OF THE STATE OF CALIFORNIA
COUNTY OF FRESNO
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11 CITY OF FRESNO, a municipal corporation, CASE NO. 20CECG01636
PEOPLE OF THE STATE OF CALIFORNIA,
12 RECEIVER’S REPORT NO. 1
Plaintiffs,
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Vv.
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SPIRIT OF WOMAN OF CALIFORNIA INC.
15 and DOES 1 through 50, inclusive,
16 Defendants.
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18 David P. Stapleton, the Court appointed receiver (“Receiver”) for CITY OF FRESNO,
19 municipal corporation, PEOPLE OF THE STATE OF CALIFORNIA (“Plaintiff”) v SPIRIT OF
20 WOMAN CALIFORNIA INC, respectively submits the following Receiver’s Report No. 1.
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22 I Background and Takeover
23 On June 24th, 2020, an Order Confirming Appointment of Receiver (the “Order”) was
24 entered with this Court. The Receiver immediately took possession of the property located at
25 327 W. Belmont Avenue (the “Property”) on June 12, 2020.
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RECEIVER’S REPORT NO. 1
The Property compromises of the sole collateral of the receivership estate. At the time of
takeover, the Property was in a significant state of disrepair and included large amounts of
debris and other waste that presented health and safety concerns.
Il. Operations
Since the date of the last report, the Receiver has continued to engage with various
contractors to quickly stabilize and safeguard the Property. The Receiver contracted with
insured service providers to perform the following services: debris removal, dwelling board-up,
landscaping, perimeter fencing, vehicle towing, and security patrol. The Receiver’s team spent a
10 significant amount of time disbursing transients unlawfully occupying the Property from the site
11 so contractors could perform the work as required. Upon clearing the site of all trespassers, all
12 building openings (80+) were secured with 3-layer plywood. A large gate and perimeter fencing
13 were placed on the North, West, and South sides of the Property to further secure the site. The
14 Receiver has also removed all non-hazmat and hazmat debris.
15 As of July 15, 2020, the Property remains secure and is being maintained. Perimeter
16 fencing and continuous on-site security patrol has eliminated all trespassing activity.
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18 Til. Cash and Financial Statements
19 The current balance in the receivership trust account as of July 15, 2020, is $41,964.35.
20 The Receiver continues to deposit all operating funds received via funding requests. Attached as
21 Exhibit “A” is the balance sheet as of July 15, 2020 and the profit and loss statement for the
22 receivership period through July 15, 2020. The following is a summary of the cash activity since
23 the inception of the receivership through July 15, 2020:
24 Beginning Cash, 6/12/2020 -
Contribution from Lender on 6/17/2020 50,000
25
Expenses Paid through 7/15/2020 (8,036)
26 Ending Cash, 7/15/2020 41,964
Est. Accrued & Unpaid Expenses as of 7/15/20 (82,520)
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Est. Available Cash After Accrued Expenses (40,556)
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RECEIVER’S REPORT NO. |
The Receiver wil! incur additional expenses to safeguard the Property during the
receivership period. The Receiver will submit funding requests to DCR Mortgage to cover these
costs.
IV. Insurance
Upon his appointment, the Receiver immediately contacted the insurance carrier, Jack
Rice Insurance, to request that he be added as an additional insured on the liability insurance
policy. The Receiver reviewed the insurance coverages as determined that they are adequate. A
copy of the certificate of insurance is attached as Exhibit “B.”
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I Vv. Receiver’s
Fees & Expenses
12 The Receiver’s fees and expenses for June 2020 were $23,852. Through this report,
13 the Receiver is delivering the invoice for these fees and expenses to all parties on the service list
14 and intends to pay this invoice from the funds of the Receivership Estate pursuant to the terms
15 of the Order. Attached hereto as Exhibit “C” are the Receiver’s invoice.
16 DATED: July 15, 2020
17
18 By
David P. Stapleton
19 COURT APPOINTED RECEIVER
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RECEIVER’S REPORT NO. 1
EXHIBIT “A”
FOR MANAGEMENT USE ONLY
Prep By: Stapleton Group
As of July 15, 2020
Spirit of Woman of California, Inc. (spiritwo)
Balance Sheet
Period = Jul 2020
Book = Cash
Current Balance
ASSETS
CASH
City National Bank - Operating 41,964.35
TOTAL CASH 41,964.35
TOTAL ASSETS 41,964.35
LIABILITIES & CAPITAL
CAPITAL
Owner/Lender Contribution 50,000.00
Retained Earnings -8,035.65
TOTAL CAPITAL 41,964.35
TOTAL LIABILITIES & CAPITAL 41,964.35
Page 1 of 1
FOR MANAGEMENT USE ONLY
Prep By: Stapleton Group
As of July 15, 2020
Spirit of Woman of California, Inc. (spiritwo)
Income Statement
Period = Jun 2020-Jul 2020
Book = Cash
Period to Date % Year to Date %
INCOME
EXPENSES
DIRECT EXPENSES
Repairs & Maintenance 8,035.65 0.00 8,035.65 0.00
TOTAL DIRECT EXPENSES 8,035.65 0.00 8,035.65 0.00
TOTAL EXPENSES 8,035.65 0.00 8,035.65 0.00
NET INCOME -8,035.65 0.00 -8,035.65 0.00
EXHIBIT “B”
ibit “B”
ACORD CERTIFICATE OF LIABILITY INSURANCE
DATE (MM/DD/YYYY)
06/17/2020
THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS
CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES
BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S), AUTHORIZED
REPRESENTATIVE OR PRODUCER, AND THE CERTIFICATE HOLDER.
IMPORTANT: If the certificate holder is an ADDITIONAL INSURED, the policy(ies) must have ADDITIONAL INSURED provisions or be endorsed.
If SUBROGATION IS WAIVED, subjectto the terms and conditions of the policy, certain policies may require an endorsement. A statement on
this certificate does not confer rights to the certificate holder in lieu of such endorsement(s).
PRODUCER GONTACT Commercial Lines Division
Jack Rice Insurance Gale No, Ext (727) 530-0684 HR, Nor (727) 532-9602
9455 Koger Blvd., Suite 100 EMAILcs, cl@jackriceinsurance.com
INSURER(S) AFFORDING COVERAGE NAIC #
St. Petersburg FL 33702 INSURERA Indian Harbor Ins. Co.
INSURED INSURER B National Union Fire Ins. Co. of Pittsburgh, PA
Spirit of a Woman of California INSURER C
150 2nd Avenue No., Suite 1600 INSURER D
INSURER E
St. Petersburg FL 33701 INSURER F
COVERAGES CERTIFICATE NUMBER: €L19111064714 REVISION NUMBER:
THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUEDTO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD
INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACTOR OTHER DOCUMENT WITH RESPECT TO WHICH THIS
CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS,
EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS
i TYPE OF INSURANCE
><] COMMERCIAL GENERAL LIABILITY
ADDL ]SUBR)
INSD | WD. POLICY NUMBER ICY EFF
a DBIVYYY) POLICY EXP
(MM/DBNYYY) Limmrs
1,000,000
EACH OCCURRENCE
Mi ETO RENTED
] cLams-mave occur PREMISES (Ea occurrence) 100,000
|_| MED EXP (Any one person) 5,000
|_| Y 0901500262 10/31/2019 10/31/2020 PERSONAL & ADV INJURY 1,000,000
GEN'LAGGREGATE LIMIT APPLIES PER: GENERAL AGGREGATE 2,000,000
x| POLICY feo Loc PRODUCTS - COMP/OP AGG. Included
OTHER:
AUTOMOBILE LIABILITY COMBINED SINGLE LIMIT
(Ea accident)
|_| ANY AUTO BODILY INJ URY (Per person)
SCHEDULED
|_| furos ONLY on-owNeo
BODILY IN) URY (Per accident)
PROPERTY DAMAGE
|_| AUTOS ONLY AUTOS ONLY (Per accident) $
$
UMBRELLA LIAB [>