Tuesday, July 12, 2016

From Pacifileak...

Look what just blew in...
The following three documents were passed out Saturday, July 9, 2016 at the KPFA LSB meeting called to discuss the financial crisis at Pacifica. However, due to someone wanting to visit the Museum of Ancient Hurts and discuss the KPFA LSB dissolving the KPFA Foundation they never got to it. Note that the LSB could not have carried out that action as they weren’t the registrant, and it’s in reality a shell of nothing—no Bylaws, articles of incorporation, application for non-profit status or 501c3 exemption—Essentially just a name placeholder.

CFO Report

Update on Internal Controls



  1. Agarwal talks about the lack of internal controls which were pointed out in the 2013 audit if not earlier. Then you see the phone bill and the call center bill for WBAI totals $50,000. That's just the phones. Lack of internal controls indeed.

  2. There has been a total loss of all financial controls at both WBAI and Pacifica globally at least since Summer Reese, who referred to it explicitly as such and was apparently attempting to begin to address the situation, at which point she was removed. I assume and imagine the loss of control preceded Reese by some time, but I’m neither particularly nor deeply familiar with that period. Certainly it’s continued since then. Of that there is no room for doubt.

    ~ ‘indigopirate’

  3. Chris,

    Summer Reese was not a model of financial sobriety at WBAI and Pacifica. I have reproduced below segments of a certified letter, which I sent to Summer Reese.

    CERTIFIED MAIL 7011 0110 0001 4626 7283
    Edward Manfredonia
    Financial Reporter
    8337 St. James Avenue
    Apt. 4B
    Elmhurst, NY 11373
    8 March 2013
    Ms. Summer Reese
    Executive Director
    Pacifica Foundation
    1925 Martin Luther King Jr. Way
    Berkeley, CA 94704

    Dear Ms. Reese:

    The Pacifica Foundation is an IRC 501 (c) (3) corporation. The Pacifica Foundation is incorporated under the laws of the State of California. Pacifica holds the broadcasting license of WBAI. Thus, the Pacifica Foundation and WBAI are subject to the laws of the United States and the laws of the State of California with regard to reporting donations and loans by members of the Board of WBAI to WBAI.

    Specifically, Pacifica and WBAI are legally bound to report all financial transaction, including donations, gifts and loans made by Steven Brown, a member of the WBAI Local Station Board and the individual who controls the WBAI Local Station Board by having his sycophants elected to the WBAI LSB, between Steve Brown, the Pacifica Foundation and WBAI. This has not been accomplished.

    There is one dubious and unreported financial transaction between Steve Brown and WBAI that has been covered up- even though numerous members of the WBAI Finance Committee have requested an accounting of this transaction: The supposed loan in the variously reported amounts of $30,000 and $60,000 which loan was made to WBAI in 2011by Steven Brown to arrange for the illegal hire of Andrea Katz. This money was never reported in the financial statements of WBAI.

    Furthermore, all donations, loans and gifts made by Steve Brown must be disclosed in the financial statements of both Pacifica and WBAI. I have not seen a listing of any donations, gifts, and loans made by Steve Brown in any financial records.

    Thus the Pacifica Foundation and WBAI must issue adjusted financial statements for the past 7 years and these financial statements must disclose the financial involvement of Steve Brown with the Pacifica Foundation and WBAI.
    I hope to read a revised financial statement, which will include the financial machinations of Steve Brown.

    Thank you.


    Edward Manfredonia

  4. Pretty much 5 in a row for Amy and the blackness now crew .
    Or at least 4 and a half in a row . Amazingly Sad

    1. The name of Amy's show should b changed to "Demagoguery Now".


  5. I think WBAI should drop Null and replace him with the more entertaining and well known nut Alex Jones.


  6. The audit deficiencies have been remarkably unchanged for several years. The latest one, which will be released from hostage status as soon as the bill is paid, while likely to be slightly worse, will basically resemble the five of them I have already read for FY 2009 to FY 2013. I don't know who wrote the accompanying post, but its fairly ignorant. An FCC license can be transferred to a shell. I know that for a fact due to participating in the supposed sale of a television signal KCSM-TV (it wasn't sold in the end but was instead offered up for dissolution in the spectrum auction via deal with a hedge fund, a sad end for the 5th biggest public television signal in California). However in the bidding process that was for naught, three of the potential buyers set up shell corporations and two of them were set up within 4 days of the bids. One of the best FCC lawyers in the country and the FCC Media Bureau approved all three shells as qualified licensees should they be chosen by the current licensee. A shell and some money in the bank is all that's required. So it's really not right to be so flip about it.

  7. Amy... Give it a fucking break!

  8. However KPFA Foundation isn't even the status of a shell. Not a registered non-profit, not a 501c3. No Articles of Incorporation. See http://rct.doj.ca.gov/Verification/Web/Download.aspx?saveas=151216Z13122613.pdf&document_id=09027b8f8024ed0a

  9. No, I'm sorry but you aren't hearing me. A shell of exactly this kind is what was used to bid for the 5th largest public television signal in California. Established 4 days earlier. No 501c3, no tax exemption, no bylaws. (The KPFA Foundation does have articles of incorporation). Here's the link for copies to them. http://www.mediafire.com/download/sat7c4jkb5z494w/KPFA+Foundation-Articles.pdf

    The KPFA Foundation is more than able, today, to accept the transfer of any of Pacifica's assets, exactly as it is, and the FCC would not object, although they would have to entertain any petitions to deny that are filed, and some would be.

    Do not play games with yourself to pretend that is not the case.