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March 2012

Archives for March 2012

Rep. Daniel Patterson In His Own Words

Daniel PattersonSonoran Alliance intercepted the following email message from Arizona State Representative Daniel Patterson to his Democrat colleagues:

Colleagues — The allegations against me are lies. I have not been arrested, charged, served or invoked immunity.

It seems I am being blackmailed by a person with bad mental health problems and a violent criminal history I only recently realized the severity of. When I asked this person to please consider moving out of my house, to protect my daughter, she went in to [sic] a rage. She attacked me, but I never hit her.

The truth will come out. You should not rush to judgment, please.

Members, I ask you please to call me to discuss my side of the story, the truth.

Then there is this little tidbit from The Yellow Sheet Report:


Patterson also struck back at his caucus for calling for his resignation and filing an ethics complaint – moves that Patterson said were politically motivated. “Sometimes, they have a lynch mob mentality in politics. People want to elevate themselves by throwing someone else under the bus,” he said. Although he said on multiple occasions that he doesn’t hold anything against his colleagues and that he likes and respects Campbell and Hobbs, he said that he suspects they are trying to bolster their own political image at his expense. Campbell’s call for him to step down, he said, was driven by the fact that he was “one of the more independent members of the Democratic caucus, and some of the Democratic Party bosses in Phoenix don’t like that. Maybe they’re hoping to replace me with a yes-man who will toe the party line.” Hobbs, meanwhile, was seeking a cause to build her Senate campaign around: “Katie has always been a crusader on these types of issues. Maybe this is something she thinks will help her in her Senate campaign.” But, ultimately, he said, he works for his constituents, not his party leaders. Patterson attended the floor session today, but was only present to record his attendance. During the multiple COW calendars, he was not on the floor, but he returned for the third reading of bills.


First: The Wake-Up Call

On Wednesday, the Arizona Senate delivered a wake-up call to all Arizonans who value religious liberty. Religious liberty – a first freedom guaranteed by the First Amendment – is in jeopardy. The Arizona Senate failed to pass CAP-supported HB 2625that would amend current state law and stand against the Obama administration’s federal health care mandates, both of which compel employers who provide health insurance to pay for abortion-inducing drugs and contraceptive drugs even in violation of sincerely held religious beliefs.Proposed by our friends at Alliance Defense Fund and Arizona Catholic Conference, HB 2625 is crucial to protecting the religious freedom of faith-based organizations and employers that have a religious objection to contraceptives and abortion-inducing drugs, by simply allowing them to be exempt from the intrusive government mandate. The legislation does not block anyone from getting these medications. The debate centers on who will pay for it.

I’ve repeatedly said that CAP does not take a position on family planning or birth control. We do, however, take a very strong position in support and defense of religious liberty. Neither the government nor an individual should be able to compel anyone to violate his or her religious beliefs, and HB 2625 seeks to ensure that this does not occur.

Stand With Us For Religious Freedom
Yesterday Senator Nancy Barto moved to reconsider the HB 2625 vote, meaning that the Senate can vote again on the bill at a later date. Take time today to stand with us by taking the steps outlined in our Action Alert.

Now: the Praise Report – 4 Major Victories!
  • HB 2036 Passes Senate – The same Arizona Senate passed major, life-affirming legislation to prohibit abortions past 20 weeks and strengthening Arizona’s informed consent requirements. The bill passed the Senate by a vote of 20-10 and now awaits a final House vote before going to Gov. Brewer.
  • HB 2626 to expand Arizona’s empowerment scholarship accounts program is on the Governor’s desk.
  • HB 2712, a bill to protect minors from harmful content on school and public library computers is also on the Governor’s desk.
  • HB 2770 to protect the religious liberty of university professors passed the Senate 21-9 and awaits a final House vote.

Things are moving fast – follow all the legislative action on our Facebook page or our Bill Tracker.

Dr. Tackett in Tucson!
On April 21, Dr. Del Tackett, creator of Focus on the Family’s The Truth Project, will be in Tucson for an exclusive CAP event at Victory Worship Center. Come explore God’s unique calling for you to engage to meet needs in the community around you and discover the specific opportunities you have to make a difference right where you live. Click here for details and to register.

A Movie Worth Seeing!
Take time this weekend to see the latest life-affirming movie, October Baby, now showing in 6 AZ theaters. This movie is the powerful story of a young woman in search of hope for the future, and what she finds is that life can be so much more than what you have planned.

CD-8 Jesse Kelly on Sean Hannity’s Great American Panel

Congratulations to CD-8 Congressional candidate Jesse Kelly for his recent appearance on Sean Hannity’s show.

Kirk Adams Tells Another Whopper

A m e r i c a n  P o s t – G a z e t t e

Distributed by C O M M O N  S E N S E , in Arizona
Wednesday, March 28, 2012

Adams receives $5000 donation from McCain’s PAC         

2 weeks later, he tells a Tea Party he doesn’t know whether McCain is supporting him – then throws a fundraiser with McCain

Do we need another liar in Congress?
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Marco Rubio Endorses Mitt Romney

At this point in the Primary, does anyone doubt this Republican Party ticket?

Romney Rubio "Believe in America Again"


FDIC sues over risky land loan to Stapley

A m e r i c a n  P o s t – G a z e t t e

Distributed by C O M M O N  S E N S E , in Arizona
Tuesday, March 27, 2012

FDIC lost $5.5 million on “unsafe and unsound” loan given to Stapley        

Loan was listed on 2009 County Attorney indictment against Stapley

More corruption involving lame duck Maricopa County Supervisor Don “the Don” Stapley, this time involving a loan he was being investigated for by Sheriff Arpaio and former County Attorney Andrew Thomas. Stapley lied about his assets in order to obtain this unscrupulous loan. Arpaio and Thomas tried to prosecute him for lying about his assets on financial forms. It is unfortunate Stapley was able to fend off prosecution, it ends up costing taxpayers more now that another government agency has to take up the slack and follow through.  We heard that the FBI was at county offices yesterday. No wonder Stapley has announced he is not running for reelection, nor for any other office. The Phoenix Business Journal article is below.

“Stapley was accused of inflating his assets and lying about his real income by Maricopa County Sheriff’s Office investigators to obtain loans from Silver State and Mortgages Ltd.    , including the $5.5 loan detailed in the FDIC lawsuit against the Silver State bankers.”

Maricopa County Supervisor Don Stapley tied to Silver State Bank loan

Phoenix Business Journal

by Jennifer Johnson

March 24, 2012


Earlier this week, the Phoenix Business Journal wrote about four former Silver Statebankers who were sued by the Federal Deposit Insurance Corp.    for making risky land loans to developers.

The lawsuit describes more than a dozen loans made to six developers that involved what regulators described as unsafe and unsound underwriting practices. In an interesting twist, one of the developers was Maricopa County Supervisor Don Stapley.

The $5.5 million Stapley loan described in the FDIC lawsuit was relatively small compared to borrowers such as Las Vegas developerThomas Jurbala, who told ProPublica he received about $100 million in loans from Silver State over a decade. Stapley and entities he owned also received other loans from Silver State, but only one $5.5 million loan is cited in the FDIC lawsuit against the four Silver State bankers for unsafe and unsound banking practices.


Stapley has not been accused of any wrongdoing, but the FDIC said it lost more than $5.2 million on the $5.5 million loan he received in September 2006.

This loan is interesting because in 2009, the Maricopa County Attorney’s Office indicted Stapley on 27 separate felony counts-and one of those counts is linked to Stapley’s $5.5 million Silver State Bank    loan.

Investigators from the Maricopa County Sheriff’s Office accused Stapley of initiating a complex scheme to defraud banks into lending him millions of dollars so he could develop high-end residential properties.

The loan matter is just a chapter in the highly charged dispute between Stapley and Maricopa County Sheriff Joe Arpaio that included the East Valley supervisor being arrested in a county parking garage and ended with two rounds of indictments and charges against him being dropped. It shows some of the complicated, convoluted and sometimes questionable lending and real estate business practices that permeated the Arizona marketplace during the last land boom and bust. Indictments brought against Stapley by Arpaio and former Maricopa County Attorney Andrew Thomas were dismissed or dropped.

In the second round of indictments, Stapley was accused of inflating his assets and lying about his real income by Maricopa County Sheriff’s Office investigators to obtain loans from Silver State and Mortgages Ltd.    , including the $5.5 loan detailed in the FDIC lawsuit against the Silver State bankers.

Stapley is an East Valley Republican who was briefly in the race for Arizona’s new 9th Congressional District but dropped out earlier this month.


Back in 2006, Stapley and entities he owned were involved in developing two separate projects: 19 custom homes in Gilbert, known as the Sonterra development, and 17 custom homes in Queen Creek, known as the Paseo de Pecans development. To finance the projects, Stapley and companies in which he had an ownership stake, borrowed from Mortgages Ltd. to buy undeveloped land for the projects. Most of the Mortgages Ltd. loans were meant to be a short-term bridge until more conventional financing, with lower interest rates could be found.

In September 2006, Stapley’s company, Arroyo Pacific Partners LLC, along another entity, Tangelo Avenue Investments LLC, took out the $5.5 million Silver State loan to pay off a previous Mortgages Ltd. loan.

According to court documents, the Silver State loan officer who gave Stapley the loan, Tim Kirby, based the value of the loan on the estimated value of the finished development project, rather than the raw, undeveloped land.

In the boom years, bankers weren’t concerned about basing the loan values on undeveloped land because appraisals were steadily rising. The problem was that Stapley’s Sonterra project was never finished – and he ultimately walked away from the project shortly before the bank failed in July 2008.

Regulators said the lack of improvements on the Sonterra development site should have been a major red flag for the Kirby. That’s because almost all of the $5.5 million Silver State loan was being used to pay off the previous Mortgages Ltd. loan on property that already was worth much less than the appraisal value.

Maricopa County Sheriff’s Office investigators raised questions about how Stapley was able to borrow millions from Silver State and Mortgages Ltd.

On Stapley’s taxes filed for 2005, the year prior to when he received the $5.5 million loan, he reported a loss of $73,000 on his $60,000 salary.

That’s where this saga takes another bizarre twist.


Maricopa County Sheriff’s Office investigators interviewed Kirby to find out why he had approved multiple loans to Stapley, despite knowing about Stapley’s 2005 tax statement. Kirby told investigators Stapley’s attorney had given him documents describing options agreements between Stapley and companies owned by Arizona land baron Conley Wolfswinkel and Wolfswinkel’s family.

Stapley agreed to plege his options income as a personal guarantee on at least one Silver State loan.

Lawrence Rollin, an attorney at Udall Law Firm LLP in Tucson, who has worked with the Wolfswinkel family, said companies owned by Wolfswinkel and Stapley brokered three deals for land options on undeveloped parcels in Pinal County.

In August 2003, Stapley’s company, Arroyo Pacific, purchased a 200-acre parcel in Pinal County from an entity owned by the Wolfswinkel family. Stapley granted the Wolfswinkel company the option to repurchase the property for the same price within the next two years. According to bank records obtained through a Maricopa County Sheriff’s Office search warrant, Arroyo Pacific Investments was paid about $180,000 in options payments from Wolfswinkel between August 2003 and May 2004.

In June 2004, Stapley’s Arroyo Pacific sold 160 acres back to Wolfswinkel for $1.5 million. Stapley earned an additional $113,387 commission on the sale. Wolfswinkel then resold the same 160-acre plot for $4.4 million. The next month, Wolfswinkel purchased the remaining 40 acres from Stapley for $1.9 million. Stapley pocketed another $5,616 in commission.

Stapley then used his profit to broker two additional options deals with Wolfswinkel on two 70 and 80 acre parcels of land in Pinal County. Stapley earned thousands of dollars on the options payments from Wolfswinkel, which he then pledged as a personal guarantee for his Silver State loans.


According to indictment court papers, one month before Silver State was closed by the FDIC, Stapley informed the bank he was walking away from his Sonterra development project. In July 2008, the bank failed, and now more than three years later, the FDIC says it lost $5.2 million on Stapley’s loan.

Questions remain about whether regulators were able to seize that options income when the bank failed, or if Stapley got to keep that income when he walked from his Sonterra development project.

The FDIC said it does not comment on pending litigation.

Even though the FDIC says it lost $5.2 million, an independent special prosecutor found there was insufficient evidence to prove that Stapley engaged in a scheme to defraud Silver State or to prove that it had suffered direct harm as result of his actions.

That is little confusing, because Silver State bank failed when developers such as Stapley began to default on loans the bank had made. Stapley’s loan was a drop in the bucket compared to many of the much larger loans the bank had made. As large uninsured depositors found about the bank’s troubles, they began to pull funds at lightening speed.

Stapley may have had an inkling the bank was troubled, but he definitely knew his own project was troubled. In March 2008, he sold his interest in the loan to Tangelo Investments. That left Tangelo Investments, not Stapley, on the hook when he walked from his development project.

Stapley deferred comments to his attorney, Merwin Grant, who said he was confused by why I was asking about the $5.5 million Silver State loan to fund Sonterra. Grant, who incidentally also is Stapley’s attorney in his fight against Maricopa County, said he could only comment on Stapley’s lawsuit against the FDIC.

That is the final bizarre twist in this convoluted tale.

After walking way from his Sonterra development project, Stapley turned around and sued the FDIC as a receiver for Silver State bank. One would think it would be the other way around.

Stapley alleged that Kirby had made numerous mistakes when he described the property and options that were pledged as loan collateral for another separate loan he received to fund his Paseo de Pecans development. Furthermore, Stapley alleged that his other development, Paseo de Pecans, failed because that separate loan, was never fully funded. That lawsuit was ultimately dropped, and Stapley and the FDIC paid their own court costs.

It’s hard to know what really happened in all of this minutia, except that the FDIC says it lost $5.2 million as a result of a loan Stapley originally received. But this is worth writing about for one reason: the complicated back story behind the Stapley loan illustrates the challenges and the complicated web regulators are up against in trying to recoup lost money for the deposit insurance fund. The FDIC mostly targets bankers, not developers for their unsafe and unsound banking practices. But the Stapley loan and the public records available offer a peak behind the curtain into how developers were operating during the boom times. This developer just happened to be the Maricopa County Supervisor.

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Wil Cardon: Congressman Jeff Flake Continues to Waste Money for Travel

Phoenix, Arizona – A recent study by CREW, Citizens for Responsibility and Ethics, found that Congressman Jeff Flake has no shame when it comes to the amount of government money he is willing to waste. Phoenix’s KPHO-TV highlighted the study’s findings in which Congressman Flake has reimbursed himself $20,000 for travel, meals and other expenses. In a time when our country faces over $15 trillion of debt and 14 million Americans are unemployed, Congressman Flake thinks we should be footing the bill for his extravagant congressional lifestyle. When KPHO-TV reached out to Congressman Flake for an answer on why he finds it appropriate to waste $20,000, the sixth term congressman had no response.

Arizonans can’t afford Congressman Flake!

In case you missed it…

KPHO CBS Channel 5

Study: Some AZ Reps. Use position to benefit themselves

PHOENIX (CBS5) – Do you ever wonder how much money your lawmakers give to groups?

A new study spells it all out for the United States House of Representatives.

Of Arizona’s seven representatives, only three are mentioned in the study.

The group behind it is CREW, or Citizens for Responsibility and Ethics in Washington.

It decided to look into how many U.S. representatives used their positions to benefit themselves or their families.

The group claimed the answer is more than half.

People like Rep. Ron Paul, who’s campaign paid more family members than any other representative, the study said.

You’ll also see Congressman Jeff Flake, Ben Quayle and Ed Pastor mentioned.

Quayle seems to be the lightest offender in the report.

It said he gave $250 to his dad’s company for facility rental and staffing services.

The report claimed Flake reimbursed himself nearly $20,000 for travel, meals and other expenses.

Then there’s Rep. Ed Pastor.

According to the report, his wife and nephew used to work with Chicanos Por La Causa, and CREW claimed Pastor has earmarked more than $1.8 million to the group from 2008 to 2010.

The report also said Pastor gave his daughter a big one up on the competition getting her a job at South Mountain Community College.

It said Pastor earmarked nearly a million dollars in 2008 and 2009 to the school’s ACE program and steered over a million dollars in federal grants to the program four months after his daughter was hired.

Coincidentally, her salary was at the very top of the pay scale.

CBS 5 News reached out to Quayle, Flake and Pastor for this story.

The only one who responded was Pastor.

His office said he has declined to comment.


Frank Antenori Overwhelmingly Wins Vote After CD-8 GOP Debate

Frank Antenori

TUCSON – In a straw poll of attendees following last night’s debate in Oro Valley, State Senator Frank Antenori was selected as the preferred candidate for the Republican nomination for Congress in CD-08 with more than 40% of the vote.

The winner of the poll, largely decided by voters who indicated at the beginning of the debate that they had not yet selected a candidate, was announced this morning on KVOI’s Wake Up Tucson program.

“There is a difference in this race,” Antenori said. “The other candidates all say nice things but not one of them has actually had a measurable impact on improving the economy by reducing the size and cost of government like I have.”

Antenori says he has “proven” his ability to “earn the support of Republicans, Independents, and conservative Democrats through his blunt spoken style, relentless advocacy for government reform and liberty. He was re-elected in the last election by over 60% of the vote in a district with only 43% Republicans.

“In America, one earns the right to be promoted based on performance. I am asking the voters for a promotion based upon my performance,” he said. “The other option is to pass over someone who has delivered for one who just walked in off the street.”

The results of the straw poll are as follows:

Frank Antenori – 48 Votes – 40%
Martha McSally – 30 Votes – 25%
Dave Sitton – 22 Votes – 18%
Jesse Kelly – 19 Votes – 16% 

Early voting is underway now and in-person voting for the primary will occur on April 17th.


Matt Salmon releases new ad, “Proven Leadership” in CD-5 race

Matt Salmon: “Proven Leadership”
Video highlights Salmon’s unparalleled conservative record, principled leadership in Congress

EAST VALLEY – In the race for Arizona’s 5th Congressional District, only one candidate has an unparalleled track record of supporting conservative values in Congress and putting principles over politics: Former Congressman Matt Salmon.

Former Congressman Salmon has a longstanding conservative record of cutting wasteful spending, balancing budgets and demanding fiscal responsibility. He has been honored by the Citizen’s Against Government Waste as a “Watchdog of the Treasury” and “Taxpayer Hero” for his proven record of fighting to reduce the size and cost of government. By honoring his term limit pledge, and taking on his own party’s leadership when they failed to uphold conservative ideals, his public service record has consistently demonstrated his integrity and principles.

“Matt Salmon has the proven leadership we need in Congress,” said Gary Pierce, Chairman of the Arizona Corporation Commission. “He was instrumental in balancing the federal budget for the first time in a generation and did it without raising taxes or increasing debt. He has been honored time and again for his conservative track record and has an A+ rating from the NRA, and a 100% voting record from Right to Life. We can count on Matt to do what is right in Congress because he’s done it before.”

“Proven Leadership” Transcript:


Conservative Matt Salmon

In Congress, he was recognized as a leader in cutting wasteful spending and shrinking the size of government.

A leader in protecting taxpayers.

A leader in standing up for conservative values.

Matt Salmon made a term limit promise to his constituents – and he kept it.

The type of principled leader we need today.

Endorsed by America’s leading conservatives.

Matt Salmon doesn’t need to make campaign promises, because he’s already done it.

Smaller government, protecting taxpayers, getting our economy back on track.

That’s conservative Matt Salmon.

The proven leadership we need in Congress.

About Matt Salmon

Matt Salmon was first elected to the United States Congress in 1994 and served until 2000, honoring his term limit pledge. A proud conservative, Salmon was rated in the top five among all 535 members of the House and Senate by Citizen’s Against Government Waste for all six years he was in office. He is a lifetime member of the NRA with an A+ rating and also earned a 100% rating by the National Right to Life. He was also the proud recipient of the American Cancer Society’s “Top National Elected Official” award.

Matt Salmon has received the endorsements from Arizona Congressman Trent Franks and David Schweikert, former Arizona Congressman John Shadegg, Maricopa County Sheriff Joe Arpaio, Mayors Scott Smith (Mesa), Jay Tibshraeny (Chandler), Hugh Hallman (Tempe), John Insalaco (Apache Junction) and Gail Barney (Queen Creek), fourteen (14) Arizona state senators and fifteen (15) Arizona state representatives. Salmon has also been endorsed by South Dakota Senator John Thune, Oklahoma Senator Tom Coburn, Pennsylvania Senator Pat Toomey and Congressman Darrell Issa (CA-49).


Jerry Colangelo Endorses Vernon Parker in CD-9 GOP Primary

Momentum growing for Vernon Parker in race for CD-9

Today, Arizona business leader Jerry Colangelo announced his support for Vernon Parker in the race for Arizona’s 9th Congressional District. Parker who recently announced for Congress continues to build momentum and a wide range of support for his bid to represent the new District.

“Arizona has the opportunity to elect a leader who transcends politics,” said Colangelo. “The American dream lives on through Vernon Parker. He will be the champion Arizona business leaders and citizens need to get this economy back on track.”

Colangelo joins the many other Valley notables to endorse Parker’s campaign, including Tempe Mayor Hugh Hallman, Paradise Valley Mayor Scott LeMarr, Paradise Valley Vice Mayor Mary Hamway, former State Representative Mark Thompson, Paradise Valley Councilmembers Michael Collins, Paul Dembow, Lisa Trueblood, and Dan Schweiker.

“I am honored to have Jerry Colangelo’s support,” said Parker. “He’s an Arizona business icon and an innovator who has changed Arizona’s destiny. I look forward to working with him and other business leaders to enact pro-growth reforms to get Arizona’s residents back to work.”

Parker, 52, is a rising star in the Republican Party. He is current councilman and former mayor of Paradise Valley. Raised by his grandmother in a severely underprivileged neighborhood, Parker was able to escape his environment through love, education, and hard work.

For more information about Parker or his campaign, visit www.vernonparker.com.


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