Monday, May 20, 2013 Broward State Attorney Office 201 Southeast 6th Street Fort Lauderdale, Florida

33301 Attention: Timothy Donnelly, Assistant State Attorney Public Corruption Unit RE: Criminal Complaint Against Lauderdale Lakes City Manager Jon Allen Mr. Donnelly; I hereby file a complaint against Lauderdale Lakes City Manager Jon Allen alleging he has committed fraud, misfeasance, malfeasance, and has, in the end, just been downright wrong. Allow me to present my case. From the attachments: Page 1 - copy of FS 166.111 stating that municipalities can only borrow money, contract loans, to finance capital projects. Page 2 - copy of Section 3.17 (4) of City Charter showing that an ordinance is required to borrow money within the limitations of the laws of the State (see FS 166.111 enclosed) Page 3 - the summary financial statement for the governmental funds (page 20) from the City's 2012 audited and published financial statements.

There are several important items to note: 1. There is $9.2 million posted as revenue for refinancing- $6.4 million to the general fund and $2.7 million to the fire fund. Question - where did this come from? There was no legally issued debt or loan as authorized by FS 166.111 or Section 3.17 of the City Charter. How can you refinance something that is not there to begin with? 2. For public safety expenditures, the docs only show $22,122, and for fire fund it only shows $7,639 -expensed for all of 2012. Look where the public safety expenses are - in capital expenditures. How did that happen - public safety is not a capital expenditure? 3. If you delete the $9.2 million "refinancing" from the picture you see the real story. The general fund had a real deficit of $534,661 for 2012 increasing the overall deficit to $5,388,160. The fire fund had a real deficit of $617,560 for 2012 increasing the overall deficit to $2,353,122. That is the real story- there were still deficits in 2012. Allen is just trying to hide the deficits through trickery and cooking the books. I turn your attention to the Budget section of the audited financial statements (pages 47 and 48)First the Fire Rescue Fund (pg. 48): Neither the revenue nor the expenses match the financial statement on page 20. And also notice - the public safety expenses are recorded as they should be - public safety expenses.

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Next the General Fund (pg. 47): We note the public safety expenses are recorded as public safety expenses, and not as capital expenditures as they are on page 20. And total expenses do not match the total on page 20. None of the statements match or agree with one another. Who audited Allen and Finance Director Marie Elianor? Are they operating Elianors solar powered Hello Kitty calculator in a closet with the light turned off? If so, I say You can come out of the closet now, Jon Allen. What gives here? Hiding deficits, cooking the books with refinancing agreements, improperly recording public safety expenses as capital expenditures. Top three reasons why1. Allen needed to show Broward County that things are getting better because of the concern about the $6 million balloon payment due in 2015 and City being able to pay. He can say-look I went from a $4.9 million deficit in the General Fund to a $1 million surplus in one year. Unfortunately it is not true- the deficit actually increased if you look through the smoke. 2. Allen wants to continue to get his $10k raises and $7,500 at-will bonuses by showing how good he is while the rest of City staff and residents suffer and pay the highest tax and special assessment rates to support Allen's lifestyle. 3. Allen hid the fund balance deficits and budget deficits so City would get a break from SunTrust on real, legitimate debt payments (Page 5). He had to show balanced budget results even if he faked it. The Ponzi scheme goes on with Allen and Commissioner Eric Haynes (the Made-Offs of Lauderdale Lakes). And lest we not forget, Auditor Rod Harvey blessed all of this. Happy hunting;

Timothy Chaz Stevens 818-468-5433 Enclosure (1)