Congratulations “A’s!!”  and The Mets !!

Kit Menkin’s Leasing News  Wednesday, September 4, 2002

  Accurate, fair and unbiased news for the equipment Leasing Industry

                       --posted daily at

     Tuesday Leasing News posted at 10: 45am PDT


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                                                        Pictures from the Past

Silicon Valley Regional Meeting

“Face To Face With Lenders” hosted by Kit Menkin

Western Association of Equipment Leasing

Standing, left to right:  Mary Ann Gianni, FS&I; Bob Teichman, New
England Capital Corp; Ron Mitchell, ITT Capital Finance; Dick Andrus, California Thrift & Loan.

Seated, left to right:  Bill Pratt, The CIT Group; John Haenselman, Belvedere Equipment Finance; Jim Richter,
The Manifest Group, and Pat 
O’Rourke, Security Financial Services.

                    ( (send us your pictures by e-mail or regular mail ( we will return them ))




                  Classified Ads here are four from:


Legal: Chatsworth, CA

Managing attorney for general corporate and financial services law including: leasing, acquisitions, service agreements, commercial loans, securitizations, workouts and litigation.


 Operations: Experienced Credit, Collections, lease and Finance operations. Manager w/expertise in improving bottom line performance, excellent trainer, manager, motivator. Get result/keep the customer coming back.


Operations: Phoenix, AZ

15 years of increasingly responsible positions as a financial-marketing manager in commercial leasing, credit, and collections. Extensive experience in leasing and accounts receivable portfolio management. 


Sales: Houston, TX

Experienced outside salesman, seeking Direct Leasing company position either on an independent or employee basis.





Demand for Money Remains Very Soft

     Two guilty in PinnFund/PinnLeasing fraud case to be sentenced

       An Open Letter From John Semon --eLNA

          41st Annual ELA Oct 13-15 Registration Deadline

           Books---"Marketing the Equipment Lease"

             See Jim Merrilees Play UAEL Regional Golf Portland, Oregon  9/12

                Clinton Says No to Talk Show, May Go into Equipment Leasing

                             News Briefs---                 

                   On the hot seat in Section 43

                     Sampras Storms on in U.S. Open Thriller


Leasing News: The List to be up-dated Tomorrow




Demand for Money Remains Very Soft


 as  Rates fall in Treasury bill auction


By Associated Press


WASHINGTON (AP) Interest rates on short-term Treasury securities fell in Tuesday's auction.


The Treasury Department sold $15 billion in three-month bills at a discount rate of 1.610 percent, down from 1.630 percent last week. An additional $14 billion was sold in six-month bills at a rate of 1.580 percent, down from 1.635 percent.


Both the three-month and six-month rates were the lowest since Aug. 5 when the bills sold for 1.600 percent and 1.555 percent, respectively.


The new discount rates understate the actual return to investors 1.639 percent for three-month bills with a $10,000 bill selling for $9,959.30 and 1.615 percent for a six- month bill selling for $9,920.10.


In a separate report, the Federal Reserve said Tuesday that the average yield for one- year constant maturity Treasury bills, the most popular index for making changes in adjustable rate mortgages, dipped to 1.80 percent last week from 1.81 percent the previous week.



Two guilty in PinnFund/PinnLeasing fraud case to be sentenced.


Two more officials who pleaded guilty in the $330 million securities fraud case at PinnFund USA, a defunct Carlsbad mortgage company, are to be sentenced.


John D. Garitta, 43, PinnFund's former chief financial officer, admitted yesterday that he was a co-conspirator with Michael J. Fanghella, the company's former chief executive, in perpetrating the fraud.


John C. Bykowski, 25, a former administrative assistant at PinnFund, confessed to participating in a conspiracy with Garitta and others to make cash withdrawals to benefit himself, Garitta and others.


Fanghella pleaded guilty in March, admitting that the company consistently lost money but kept attracting investor funds by disseminating false financial statements. He also admitted to orchestrating a Ponzi scheme at PinnFund, using new investor money to pay returns to earlier investors.


Investors gave money to PinnFund thinking that the funds would be used to provide mortgages to home buyers with poor credit and for equipment leasing. Instead, much of the money was pocketed by Fanghella and associates.


Both men pleased guilty to counts of money laundering, tax evasion and conspiracy to commit wire fraud – the same as the Fanghella counts – Garitta admitted preparing and sending out phony financial statements and deceiving PinnFund's auditors.


Garitta faces 11 to 14 years in prison. He has pledged to cooperate with the investigation, and he could get less time in prison if his cooperation is satisfactory, said Assistant U.S. Attorney Sanjay Bhandari.


Fanghella has spent a year behind bars at the Metropolitan Correctional Center in downtown San Diego, also expecting 11 to 14 years in prison, with less time if his cooperation is satisfactory, Bhandari said. All personal assets are to be sold.


Bykowski pleaded guilty yesterday to one count of conspiracy to defraud the United States and two counts of subscribing to a false personal income tax return. He could get 18 to 24 months with time off for cooperation, Bhandari said.


A judge will decide the term in each case.


About $330 million was taken from investors. Total investor losses are around $159 million, Bhandari said. The rest of the money was returned to investors in the form of monthly payments as part of the Ponzi scheme.


Bhandari would not identify the next targets of the investigation. The Securities and Exchange Commission, a civil agency, earlier settled with PinnFund's chief money raiser, Oakland lawyer James Hillman, and with Fanghella's former girlfriend, Kelly Cook.


Garitta was "a guy at the top of the executive suite," Bhandari said. "Bykowski was lower down. What one can draw from this is the pervasiveness of criminality at PinnFund. There were many different schemes going on, many different people involved. We are not done."


There are still charges against the former president of PinnLeasing, Tommy Larsen.




Please send to a colleague to help us build our readership. Any leads or information

will be held in the strictest of confidence.  You may quote any of our news section

without our permission.


An Open Letter From John Semon - The eLessors Networking Association & The Lessors Network


After having just completed our fourth networking conference from the beautiful Ritz-Carlton, Buckhead in Atlanta, I wish to thank everyone who has supported our mission over the last six years. I can't believe how blessed I am after having visited with so many old and new friends in what I still think is the most exciting industry in business today. And I've been at this game for going on 34 years.


The support we have received for both The Lessors Network and the eLessors Networking Association (eLNA) have been overwhelming. I seriously doubt any of what we've accomplished could have been done without the aid of technology and the Internet. But as I was reminded at last week's conference, technology and the Internet are simply tools of our trade. The most valuable resource in our industry is the people.


Never before have I seen more concern by equipment leasing professionals still gainfully employed for those who aren't. Should anyone have any concerns about the future of the equipment leasing industry, I encourage you to support your association's events and conferences. I guarantee you'll return home feeling much better!


Thanks everyone and good leasing!


John O. Semon


41st Annual Equipment Leasing Association Conference

October 12-15 San Francisco, California   Marriott Hotel


September 10:

Last day to register and to be included in the pre-registration list (form must be received by 2 p.m. EST.) Those registered will be listed on line at the web site.

Last day to cancel a registration and receive a full refund.

Cutoff date to make accommodation reservations at the San Francisco Marriott.

October 3:

Last day for receipt of mail-in registrations. After this date, individuals should register or make substitutions on-site.

Last day to cancel and receive a partial refund


Equipment Leasing Association “Member Only” Exception



Correction about the registration policy for the ELA annual convention in October. The convention brochure states the following regarding attendance, which has been the conference registration policy in effect for a number of years:


Please note that non-member registration is welcome, but is only available to a person who has not previously attended the ELA convention or to a person from a nonmember company that has never sent an attendee.




Ralph Petta

VP-Industry Services

Equipment Leasing Association

(703) 516-8364

fax (703) 522-7099






“Marketing the Equipment Lease.”


207 pages on CD Rom or Hard Copy   Adobe pdf


With the CD Rom you can print one pages, a chapter or chapters, or read on your monitor.


Written by former banker turned lessor many years ago, former present of the

Western Association of Equipment Lessors, Ted Parker.

California Capital Leasing Corp.

333 North Santa Anita Avenue, Suite  1

Arcadia, ca. 91006


Other Leasing Book Information Available at:







Here’s your chance to see Jim Merrilees  play!!!

WHEN:    10:00am on Thursday, September 19,2002            COST: Golf:      $50 UAEL Member

                                                                                                                                                     $60 Non-Member


WHERE:  Eastmoreland Golf Course                                                       Dinner: $25 UAEL Member

                    2425 S.E. Bybee Blvd.                                                                        $35 Non-Member

                    Portland, OR  97202

                    (503) 775-2900


RULES:   Format:  Scramble                                                                                        

       Teams:    Blind Draw                                          

   We can accommodate team requests (handicaps will be indexed). 

   This event is also open to customers.

Carts:   Golf Carts available on a limited basis.  Contact the course early to    reserve.

Prizes:  Team 1st Place, Long Drive, KP (Men & Women)


DEADLINE:  All registration must be received by September 3, 2002.  Sponsors Welcome!


For More Information Please Contact:  Denise Mann, US Bancorp (503) 797-0225



Registration Form


NAME:            ____________________________________________________________

TITLE:            ____________________________________________________________

COMPANY:            ____________________________________________________________

PHONE:              ____________________________________________________________

ADDRESS:            ____________________________________________________________

CITY, STATE ZIP:            ______________________________________________________


Check Mark

UAEL Member                        Golf:             $50                  Dinner:    $25

Non Member                           $60                                 $35

Handicap Index (or last four rounds average score)  _____




Check Enclosed  ____            Visa/MC ____            Amex ____


Credit Card Number ______________________________________ Exp. __________


Name on Card __________________________________________________________


Signature _______________________________________________________________





Clinton Says No to Talk Show, May Go into Equipment Leasing


Former U.S. President Bill Clinton said he has no plans to start a new career as a television talk show host -- at least not in the near future.


Asked on CNN's ``Larry King Live'' program on Tuesday if he wanted to be a talk show host, Clinton said: ``I don't think so.'' But he did not rule out completely such a career move. He thinks now is the best time to get into equipment leasing, when it is at the bottom.


``Maybe sometime later in my life I'd like to do as talk show.,'' the 56-year-old former commander-in-chief said. ``It would be intriguing to me because I like to talk to people.

I was approached by Sean Wheeler for 1Leasing and the franchise looks very interesting.”


Clinton suggested a television job would take too much time away from other projects in which he is involved. Leasing he could do in his spare time, he said.  The splitting of the document fees looks very interesting, he added.


Bob Rodi, CLP, of Lease Now, offered the former president the use of his "Rodimobile,"

where he could take to the road with full equipment, sending "docs" by wireless.


"I'm a traveling man, " Clinton added. "Equipment Leasing is for me."





News Briefs---


Japan stocks fall to new 19-year lows, dollar lower against yen

TOKYO (AP) Tokyo stocks fell to new 19-year lows Wednesday morning after its key index lost more than 3 percent the day before. The dollar was lower against the yen.




Demise of one trucking company is boon for others

NEW YORK (AP) The collapse of Consolidated Freightways is expected to breathe life into other struggling trucking companies, giving them an opportunity to gain market share and raise prices at a time of soft demand.





West Coast ports are preparing for a possible labor slowdown this week after the union representing thousands of longshore workers walked out of contract talks. Union leaders weren't available Monday to comment. Port employers warned that the breakdown of talks could mean work slowdowns in ports that handle more than half of U.S. trade.




Delaware judge blocks sale of Napster's assets to Bertelsmann: A Delaware bankruptcy judge has blocked the sale of Napster's remaining assets to the song- swap company's chief investor, Bertelsmann AG, marking the death of a deal that might have revived the service as a legitimate music-sharing network.



On the hot seat in Sect. 43



By Stan Grossfeld, Boston Globe Staff2


NEW YORK - The bartender at Stan's Sports Bar and Restaurant outside Yankee Stadium leans over and issues a stern warning to me.



''Do not wear a Red Sox jersey into the bleachers,'' says Joe Wattlesteen. ''You are taking a chance. I've seen 'em rip 'em off people's bodies and light 'em on fire. At best, you're gonna hear the number `1918' a lot.''


My sister, a New York City lawyer, also said it was a bad idea.


''Why not just crawl into a cave in Afghanistan?'' she said.


I enter the stadium and head for the infamous right-field bleachers. Chris Hanley, 32, a radio and cellphone technician, is all over me in a New York minute.


''Is that shirt made of Kevlar,'' he says. ''Are you crazy? Do you think you can enter the Roman Coliseum and pet the lions?''


It turned out to be all bluff. There were no fights and no arrests in the bleachers during yesterday's Red Sox-Yankees game, and only one Red Sox fan was tossed. A likely reason: No alcohol is served to bleacherites. It has been banned for two years, making The House That Ruth Built as dangerous as a Sunday flea market or a mah-jongg game in Brookline. And with post-9/11 security, nobody is sneaking it in, either.


Robert Tipa, a postal worker and bleacherite, promises that nobody would go postal, that this is just another game on the way to another Yankee championship.


''Up there it's a big deal,'' he says. ''Not here.''


A big dude in an oversized Jason Giambi shirt stops me and sarcastically asks, ''Do you want to switch shirts? Then you can finally wear a winner.''


I sat in Section 43, Row GG, Seat 15. To my right was the blocked-off center- field section. To my left, David Kersh, a 22-year-old college student, was acting sheepishly in the rain.


''I'm neutral,'' he says. ''I'm really a disgruntled Mets fan in hiding.''


But the bleacherites have clout with the team on the field. They chant ''DER-EK JE-TER'' during the infield toss, and the matinee shortstop turns and waves his glove.


Early in the game, Nomar Garciaparra steps to the plate, and the bleacherites chant, ''Jeter's better,'' and other things that can't be printed in a family newspaper.


During the rain-soaked fifth inning, a sympathetic fan tells me the bleacher creatures are plotting. Between innings, he says, they will pull my Red Sox cap off my head during the song ''YMCA,'' and sing ''Why is he gay?''


Pretty tame, third-rate homophobia. After the plotters are foiled by the tipster, parts of Section 39 start a vulgar chant regarding the Globe.


The skies open and there is a long rain delay. Jerome Cunningham, 26, a pizza worker, has a question.


''What do the numbers 10, 8, 4, and not born yet have in common?'' he says. ''That's the ages of my grandparents the last time the Red Sox won a World Series.''


Other Yankee fans say they hate the Red Sox because Boston management supported Carl Everett. They also thank me for giving up Babe Ruth and Sparky Lyle. Others chant, ''95 North,'' after the Yankees score.


''Hey Red Sox guy,'' says Mike Petty. ''What's up with Manny Ramirez? You'll never see a Yankee dogging it down the line. At least Torre makes 'em run. You've got a minor league manager.''


Tianna Stein, 23, an analyst assistant, wears a Roger Clemens jersey. She takes one look at the Red Sox jersey and apologizes.


''You got lucky - the hard core people are not here,'' she says. ''It's cold, it's rainy, and people here are tired 'cause most of them drove back from the Yankee games in Toronto. They're hung over. On a normal night, you'd have people screaming at you nonstop.''


In Section 39, which has its own cultlike Web site, bleacher creature Joe D'Angelo has a Yankee tattoo on his biceps, which he likes to flex. He says the difference between the Yankees and the Red Sox is that ''we play in October.''


D'Angelo says Yankee fans are tame compared with Red Sox fans.


''I went to Fenway Park last week wearing my Jimmy Key jersey and somebody wanted to fight me in the first inning,'' says the 22-year-old graphic designer. ''I said, `Dude, I just drove 31/2 hours and paid $18 for standing room. I'll meet you after the game.' I kicked the crap out of him in the parking lot.''


Sergeant Edward Fackler of the New York City Police surveys the alcohol-free bleacher crowd and smiles.


''I went from being a bouncer to being a librarian,'' he says.


He's referring to May 26, 2000, when alcohol was banned in the bleachers to reduce fights and make the Yankee Stadium experience more family-oriented. The opponent that night was the Sox. Ironically, during the third inning a fan in the upper deck fell on the screen behind home plate, though no one was hurt.


''I saw the guy fall right into the netting,'' says Anthony Raemdonck, an Internet administrator and season ticket-holder. ''They said he was extremely bombed. We called the Stadium and said, `Hey, that's not us. Why can't we drink?'


''It's more an economic discrimination because these are the cheapest seats. Eight bucks. The higher-priced seats get served. Do you know we're not even allowed to go into Monument Park either before or after games? They just want us to watch the game and go home. That's wrong and we're gonna try to go to court. Their response is, `Our house, our rules.'''


In the eighth inning, with the Red Sox well on the way to an 8-4 win, Boston fan Julio Miranda starts teasing the bleacherites, saying Pedro Martinez is the best.


They respond by chanting, ''Where's your green card?''


Mark Maghakian of Riverdale, a season ticket-holder, stands up and screams, ''This is the crap that comes from Boston. 1918. Then 1986. One strike away from beating the Mutts, and you blew it.''


Miranda gets louder and more animated, but not physical. Security arrives and tosses Miranda - a questionable ejection - as Yankee fans scream obscenities at him.


Trude Raizen, 15, wears a Sox shirt but shows no fear. As Miranda disappears into the bowels of the bleachers, she complains loudly about a double standard. The bleacherites around her laugh.


''I feel safe,'' she says. ''I don't think they'll hit a girl."



Sampras Storms on in U.S. Open Thriller


By Ossian Shine


NEW YORK (Reuters) - Pete Sampras answered taunts he was washed up and over the hill on Tuesday by riding a wave of New York night-time energy past third seed Tommy Haas and into the U.S. Open quarter-finals.


The American winner of a record 13 grand slam titles served with venom and unravelled his hunched shoulders into a series of stupendous forehands to see off the German 7-5 6-4 6-7 7-5 on a crackling Arthur Ashe stadium court.


Sampras's third round victim Greg Rusedski had said on Monday night that the 17th seed was no longer a great player and that he was slower and less fit than when he broke the record for majors at Wimbledon 2000.


But on Tuesday, the 31-year-old gave world number three Haas the runaround with some dynamic tennis from the top drawer to win his 200th grand slam match.


And the smile on his face as he sat courtside after his three-hour-five-minute victory outshone the brilliant floodlights which illuminated his performance.


"These are huge matches for me... I've still got the game," he said as he composed himself before leaving the court.


"This is the U.S. Open -- you dig deep."


His reward for such digging is a last eight clash with compatriot Andy Roddick who earlier saw off Juan Ignacio Chela 5-7 6-4 6-4 6-4 in some style.


The 11th seed pulled off some of the shots of the tournament so far, whipping the boisterous Louis Armstrong stadium court crowd into a frenzy before joining them at various flashpoints for frenzied 'high-fives' and back-slapping after points.


Roddick has won both previous matches against Sampras -- four times a champion here and runner-up the last two years -- but is not fancying his chances against his boyhood hero.


"It is a dream to play Pete Sampras here at the Open," the 20-year-old said.


"I have beaten him twice, but this is Pete's house... this is the U.S. Open."




On a day when the much-missed summer finally returned to the U.S. Open, top-seeded woman Serena Williams sparkled on her way to the semi-finals, but her sister and defending champion Venus struggled in bright sunlight to squeeze into the quarters.


Winner here in 2000 and 2001, second seed Venus did barely enough to beat Chanda Rubin 6-2 4-6 7-5 while Serena, champion in 1999, mangled Daniela Hantuchova 6-2 6-2 to keep the pair on track for another grand slam final showdown.


The sisters shared center stage here last year and contested the French Open and Wimbledon crowns in 2002, Serena winning both in Paris and London.


Venus can count herself lucky she may still has a chance to avenge those defeat.


After two days virtually washed out by heavy downpours, day nine got off on time under blue New York skies and Venus started her match comfortably.


But she lost her way in the second set and needed all her experience to snuff out her fellow American in a see-saw third.


"I should have just closed it out," Venus conceded. "Really stayed tough... but it wasn't my fault. She played really well.


"This was not my best day, that's for sure... I am glad I am still here and talking to you."


Serena, on the other hand, could be content with having had a good day. "How well did I play? Solid," she said.


She next clashes with Lindsay Davenport -- the last non-Williams to win the Open in 1998 -- for a place in Saturday's final.


Fourth seed Davenport overcame a scrappy start to beat Russia's Elena Bovina 3-6 6-0 6-2.




While Venus, Serena and Davenport advanced, the lights went out on another former champion, ninth seed Martina Hingis.


Having reached at least the semi-finals for the last six years, the 1997 champion was felled 6-4 6-2 by Monica Seles.


Twice former winner Seles will clash with Venus for a spot in the semis of the hardcourt grand slam.


In the men's draw, Dutchman Sjeng Schalken battled past former world number one Gustavo Kuerten 6-3 7-6 6-7 7-6 to reach his second successive grand slam quarter-final.


After failing to venture past the third round in 28 previous grand slams, Schalken has discovered a fondness for tennis's big events over the summer having also made the final eight at Wimbledon before losing a five-set thriller to eventual champion Lleyton Hewitt.


"To reach the quarter-finals twice is a great feeling," said Schalken, who has won at least one tournament in each of the last seven years.


"Steadily I'm moving forward in my career, every year I'm improving my ranking."


Schalken will face Fernando Gonzalez next after the Chilean beat France's Arnaud Clement 6-4 6-2 6-3 with a solid display.




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"Top Gun"

October 5, 2002 Saturday

Leasing News--Two Workshops
"Top Gun" Salesmen
"Top Gun " Sales Managers

Richard Shapiro (Biography)

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