In February of 2013, current mayoral candidate Damon Dunn was penalized by the Fair Political Practices Commission (FPPC) after the commission determined he violated the Political Reform Act by failing to report required information regarding his 2010 Secretary of State campaign’s finances in a timely manner, records show.
The $2,250 fine was brought forth after the FPPC investigated Dunn’s campaign for failure to “timely report required subvendor information on a semi-annual campaign statement for the reporting period ending December 31, 2010, for expenditures totaling approximately $231,804, in violation of Sections 84211, subdivision (k), and 84303 of the Government Code.”
The Political Reform Act is simple in its purpose: to ensure that receipts and expenditures in election campaigns are fully and truthfully disclosed, so voters can be informed as to how a candidate spends campaign funds.
Dunn has been running a campaign for Long Beach mayor that largely revolves around the candidate touting his political ethics, financial responsibility and business acumen. This information has come to light mere days after Dunn’s recent accusations against his opponent, current Vice Mayor Robert Garcia.
In a mailer sent out to voters, Dunn accused Garcia of avoiding paying business taxes in connection with the Long Beach Post. Garcia, though listed as a founder of the Post, has had no financial connections or control of the business since 2009, when he was elected to City Council.
In 2011, following the loss of her husband and co-founder of the Post, Shaun Lumachi, Dezire Lumachi stepped in as interim publisher. Dezire Lumachi has admitted in a public letter sent out by Garcia’s campaign that the Post “went through a tough financial time” following her huband’s death, which resulted in slightly over $2K in tax liens, all of which have since been paid.
Dunn’s attacks come against Garcia, and by extension, the Post–a locally-owned and operated small business–despite running on a largely pro-business platform. Lumachi and Garcia are no longer associated with the Post, which has been under new ownership since the beginning of 2014; additionally, there are currently no tax liens against the Post.
Days after accusing Garcia of lacking business acumen and financial responsibility due to the tax liens, it was discovered that Dunn also defaulted on a home mortgage of $82,834.45.
In September of 2009, Dunn was served a Notice of Default for his unpaid mortgage payments to Bank of America on a 3,850-sq.-ft. home located at 23626 Via Ortega in Trabuco Canyon, Orange County. He eventually sold the home for $905K after he purchased the home for $1.6M.
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