Prison terms suspended for Alpine developers

By Neal Putnam
The Alpine Sun

     SAN DIEGO — Two Alpine developers have received suspended prison terms on condition they pay $100,000 each in restitution after pleading guilty to grand theft. An Alpine woman got a suspended 1-year jail term, and another developer is expected to receive a suspended prison term on Sept. 24.
     The developers, Paul Gonya, 66, and David Waitley, 46, were placed on five years probation on Sept. 14 by San Diego Superior Court Judge Frank Brown. The judge suspended a four year, eight month prison sentence for Gonya and Waitley on condition they come up with $100,000 each in restitution.
     Marie Frever, 40, of Alpine, used to work for one of the developers and she was ordered to pay $25,000 in restitution. Frever was given a suspended 1-year jail term which she won't have to serve unless she doesn't come up with restitution.
     A third developer, Kenneth Stroud, 53, will be sentenced Sept. 24 and is expected to receive a suspended prison term along with a $100,000 restitution requirement.
     The victim is described as the company they all worked for, Real Estate International, Inc., which is known as REI.
     All four defendants were accused of working together to defraud companies that were formed to build 52 semi-custom homes in Alpine that was called the Stagecoach development.
     The charges alleged they improperly used money for home improvements or work unrelated to the Stagecoach development.
     The sentencing included a tongue lashing by Deputy District Attorney James Waters about their conduct. "They ought to be absolutely ashamed. This is not an oversight. This was not a mistake," he argued.
     "This was a conspiracy that took place for a number of years...outright theft. They are a pathetic example in front of their children," scolded Waters. "Stealing from others when they didn't have to. They chose the dark path."
     "I think each and every one of them ought to go to prison, but I will honor the plea agreement," said Waters.
As for Frever, Waters said "she knew where that money went to ... she was not the brains of the operation."
     Waitley or Frever didn't respond, but Gonya's attorney told the judge "this is really a contract dispute."
     "I wish I had the money to prove my innocence," said Gonya. "My wife destroyed my (finances) in the divorce."
     Gonya objected to the five years on probation, saying, "I'm 66 years old. Five years probation will lead me to 71."
The judge responded with this: "You have a fancy lawyer. You'll be all right. Your freedom should be the paramount of concern."
     The defendants are barred from serving as a principal or partner in any new development company. Their guilty pleas could cause them to lose various licenses. Brown barred them from handling money.
     Gonya's contractor license expired in June, and he has since moved to Oklahoma. Gonya said he was concerned that an attempt to build a home in Oklahoma might be misinterpreted as being a contractor. Brown said Gonya is "not to hold himself out as a contractor."
     Gonya hesitated during the sentencing, and at one point Brown told him "you either accept probation or go to state prison." Gonya agreed to the terms.
     The judge also made this observation to Gonya: "You're a real talker. You should have gone to law school."
A sentence review was set for May 3, 2010, to see how much restitution the defendants have paid back. The men could get one year jail terms at that time, but may be eligible to serve it in a work furlough facility if they have a job that qualifies for it.
     It was Gonya who urged his co-defendants to plead guilty on May 1 during a long negotiation with their attorneys. Gonya said he has already paid $1 million in a settlement involving a civil suit in El Cajon Superior Court that is related to the criminal charges.
     After the men pleaded guilty to three counts of grand theft, the judge dismissed 113 similar counts in which each count represented a check for improper use of funds. Frever pleaded guilty to one count of grand theft, and the remaining two charges were dropped against her.
     Gonya, Waitley, and Stroud all remain free on $100,000 bond, while Frever is free on $25,000 bond.

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