Don McDougall: LED Light Salesman for Solid State Capital Services

McDougall Claimed to have ‘hundreds’ of Government Agency Clients including ‘Altadena County’ and ‘1,000 Oaks’, but it’s all a Lie.

At the August 6, 2018, the Beaumont Audit and Finance Committee and Finance Director Melana Taylor introduced Donald Bruce McDougall as the Consultant that forged the Capital Asset list, but the Committee could not produce the Capital Asset list and did not have copies of the Presentation from McDougall.

At the August 7, 2018, Beaumont City Council Meeting McDougall was called upon again as the City’s Consultant that forged the Capital Asset Report and once again the City refused to release the Capital Asset Report or a copy of the McDougall’s fraudulent presentation in violation of the Brown Act.

McDougall claimed to teach GASB courses, but only GASB Accountants can teach GASB courses and McDougall is not an Accountant. McDougall also claimed to have ‘hundreds’ of government agency clients such as ‘Altadena County’ and ‘1,000 Oaks’, but Public Record Requests have so far revealed that McDougall has never worked for any government agency.

McDougall Capital Consulting only filed with the State in March, 2018.

Don McDougall is a LED light salesman for “Solid State Capital Services” = Sales: 213.280.2266; Sales Email:

Here’s a four year old video of McDougall peddling LED lights and LED lighting accessaries:

At 2:22:00 minute mark of the August 7th Council Meeting City Manager Todd Parton stated that he hired McDougall.

But McDougall’s affiliation with Beaumont can be traced back to McDougall’s employment with O’Connor and Associates, the City’s Underwriter for their bond scam. The S.E.C. fined O’Connor Securities in August, 2017 for their role in Beaumont’s bond fraud:

Lies told over and over never become the truth, they’re just lies.

June 5, 2018 Beaumont City Council Transcript:

3:18:00 Burke: There was someone hired to do the inventory, a Consultant. And a Consultant hired came up with the estimated values of the Capital Assets and we looked at the assumptions and the methods used. So for example; we might look at how many miles of roads you have and how much that costs you to construct a mile of road today. Then we look back as to when that road was placed in service. We have to do a ‘present value calculation’ that goes back using inflationary rates back to the original cost of that Asset. And that is an estimate. Under GASB 34 an estimate is allowable in the absence of actual records.

Beaumont City Council Meeting Transcript June 19, 2018:

4:18:00City Manger Todd Parton: One of the things we accomplished this year was finishing out the Capital Asset Inventory and Depreciation Schedule. We actually had the Pun Group work with another independent Consultant to review where we are to get us into GASB compliance with that effort. That Consultant is going to create a final Report for Council that we will be presenting to the Finance and Audit Committee and then to City Council. So you’ll have the full completed final Report with all the work and the details that went behind that. It’s a Draft document right now with some basic spreadsheets, so that’s an additional final piece that we want to present to you. So that will be coming July, August timeframe for the Audit Committee and City Council.

Beaumont City Council Transcript August 7, 29018:

1:52:20 Item 13. Capital Asset and Inventory Evaluation in accordance with GASB 34

Finance Director Melana Taylor: The Presentation that’s going to be made for you this evening is being made in order to explain the compliance component of the fixed asset evaluation. The manner in which that was undertaken and how it’s come to be processed and how it’s being reported, then how it complies with the standards of GASB 34.

1:53:00 Taylor: The Consultant is an expert in the field and he is here this evening to provide the presentation. His name is Don McDougall.

Don McDougall, McDougall Capital Consulting.

1:54:00 McDougall: There is nothing unique, special, or different about the City of Beaumont. I delivered first time studies for GASB 34 for two cities in the last three months and I have literally 100 other cities where we have done the exact same procedures and the exact same practices. More oft than not we have some large cities that waited for bond issuance and rushed to get this completed at the last minute. You are not special in this regard. You’ve done nothing wrong and you are not catching up last. There are cities that I’ve done very recently that are also just now catching up and getting their systems put in place. We can take a look at some of the project there rather than use them by name to avoid any problems.[referencing slideshow] One of them had a $4 billion adjustment for the roads and a $1 billion adjustment for the land underneath it. Another client on here lost $2 billion worth of ‘publics’ they’d forgotten to put on their books. We caught and adjusted that and put into place as well.

1:55:00 McDougall: Another one of the clients on here had a brand new, semi-new, very old reworked waste treatment plant that had five functioning headworks left in place and retired, but it had never been taken off the books. By making substantial, multimillion dollar adjustments when you come clean with the GASB 34 process and basically have a fresh-start accounting. It’s not unusual and it’s not unheard of and it happened at virtually every one of the clients on this list. So everything that’s been done for you has been done 100% in compliance with GASB 34 guidelines. And everything that’s been done has been done for one reason alone; and that is to put the city in compliance for your fixed asset component for GASB 34.

1:56:00 McDougall: You had a study done with some components in it a couple years ago. It was missing some pieces. My job was to bring you into compliance with the city. To bring the city up to speed to where it should be. I make no castigations about the other program that was missing or what was missing. My job is to simply move you into compliance by filling in some holes and addressing some issues. You are completely in compliance as of this point so everything’s set. A copy of what your fixed assets look like with totals and summaries. [showed slide of 2017 Audit page 75 w/ $414,959,273 plugged]. These are as of June 16, June 17, so they’re there for your ongoing audit. I could sit here and read numbers to you all the time, but ..

1:57:00 McDougall: Then the big change was the addition of the infrastructure because you had no records whatsoever going on with your infrastructure. When we talk about the fact that we ‘found assets’. What happened is you had listed these assets; the roads and sidewalks and other assets. But nobody had ever placed the book value on them. So the procedures we used were pre-approved procedures by the Government Accounting Standards Board designed to allow you to fill in those holes and bring that system current. We have a summary of values for you. The final report to you is in essence a database file and I’ll explain that later at the end because this report has a lot of line items and if you printed it out you’d be looking at tables and tables and strings of numbers and pages. Specifically; GASB allows us some preprint procedures and practices that allow us to fill in the holes and edit the values. Your road had a pretty complete survey, so we took the survey and looked numbers in it. The first organization was that the first study had given you a maintenance study, not a capital asset study.

1:58:00 McDougall: So we simply fixed it. We researched the cost, the cost . We researched the age and the components and put the numbers back in ,… compliance. Your traffic control system. We included the traffic control system based on estimated costs to start from scratch. The land. You had a lot of existing data and you had a few pieces that were missing. We used a very sophisticated approach because we’ve done so many cities in Southern California. We tracked all those land costs going back to around 1810 and that gives us the deflationary and comparative market. We used that to put your numbers in the estimate. Our best statistical analysis.

1:58:00 McDougall: My Bachelors is from Mathematics Applied Statistics UCLA.

2:00:00 McDougall: How are buildings estimated? We start with the replacement cost of the building, we use the building’s age to deflate back to the estimated original cost. And then we run a straight-line, half-year depreciation expense to bring the value current. That is the approved methodology under GASB 34 that every one of the 500 clients plus listed on that first page. In summary; it’s a bit of an older city that incorporated in 1912. There’s a lot of old stuff and you’ve had dramatic work.

2:01:50: McDougall: I can give you a list of five cities in the last six months where I’ve done the exact service.

2:02:00 McDougall: This is Fixed Asset Pro, a screen shot of the software. This is the only commercially available software that handles governmental accounting for small cities. Our final report to you is a completed data base with all of your accounting information loaded into the system and supplied to you – we’ve already supplied it.

2:03:00 McDougall: This is my background and experience. [Slide with writing so small it’s unreadable] I wrote many of the software programs and procedures originally used in GASB 34. I have over 500 clients that I’ve done this for and it is a pure compliance issue.

Public Comment open at 6:49pm

2:04:30. Libi Uremovic: McDougall Capital Consulting. When did you award him that $100,000 Contract. Funny story about laserfiche; it captures everything. If you had ever had him on the Agenda, I could pull it up on laserifche.

2:05:00 Libi: You never awarded this man a contract to do your capital assets. Who did you award that contact to Lloyd? How did this man pop out of nowhere? This man is not registered with the State, how did this happen? How did this guy do the capital asset report when he never got a contact? But the most important thing is; where is that capital asset report? How are you going to approve a capital asset report that you’ve never seen? GASB 34 was enacted in 1999, it’s 20 years old. Roads are depreciated after 20 years. And nobody has waiting to do their capital assets – it’s ridiculous. Everybody did it 20 years ago. He’s a liar and he’s a fraud. And he said that his lawyer is going to contact. Where’s that lawyer at because I want to go to court because the first thing he had to do is show that capital asset report.

2:06:00 Libi: How are you going to approve the capital asset report? How are you all going to ‘receive and file’ the capital asset report when you’re not allowed to see it? When none of you are allowed to see it. I’d like to hear from your lawyer. I’d like to hear from City Attorney Pinkney tell us how a public document is not really a public document. Is it attorney/client privilege Pinkney, is that what it is? Is forging government documents ‘privileged communication’ that the public isn’t allowed to see? There been $400 million embezzled out of the City of Beaumont. $300 million was embezzled out of bonds, federal municipal bonds, and $100 million was embezzled through taxes. That’s your $400 million plugged into your financial Audit. You have a forged Audit. That’s what it is.

2:07:00 Nancy Carroll: I’m going to open it up to council now. Councilman White; I’ll begin with you if you have questions. If not, we’ll move on.

White: First I’d like to give staff time to respond to these accusation. Mr. Pinkney.

City Attorney Pinkney: Um. You know; where do you begin. Um, I don’t even know where.

Libi: The Brown Act.

Carroll: Okay, you are now interfering with the progress of this meeting.

Libi: He asked where to begin.

Carroll: There are citizens attending evening waiting to speak or waiting on agenda items to come before the council and you are interfering with their ability to be heard and to hear discussion on items in which they have an interest. We’re going to take a 5-minute recess in an attempt to restore order and to give you an opportunity to compose yourself.

2:08:00. Carroll: When we return if you persist in interfering with the meeting you will not be permitting to continue to participate in the meeting. We’re taking a 5-minute recess.

[screen shows Parton and Taylor chatting with McDougall and Vanessa Burke]

2:20:00: Carroll. We will continue with Item 13 and we were at questioning and I believe Councilman White; do you want to restate some of your questions?

White: I just wanted to give staff and opportunity to respond to some of the claims and accusations that were made before us.

City Manager Parton: I think there’s definitely some confusion on the contacts that we have in our report that leads to some of that confusion. We did have a contact of $104,000, but that was to do an asset inventory. So we looked at all of our fixed assets. We looked at computer equipment, we did a full inventory and identified life span left of those. And we also did a management system update as part of that.

2:21:00: Parton: So AMS did part of that, I think that was the original contract. I think that’s right, isn’t it Melana? I’m trying to go correctly. I think that bidding when out before I got here, so we were in the process when I got here. So we brought in McDougall separately as we were trying to complete our GASB compliance. So the Initial contact that I signed with a letter of engagement for him was under $25,000 for the work, so the total project including some additional file work that we asked McDougal to do is about $15,000 in total, so it’s not the same consultant.

White: The $104,000 was for pavement management?

Parton: It was for pavement management system and then part of the other asset inventory list for compliance.

White: Okay, great.

Parton: We presented the pavement management report in a meeting to City Council I believe in November, 2017. You remember the street map that shows red and green and all the different color lines showing road conditions? That was what this report was from.

2:22:00 White: So specifically Mr. McDougall’s contact did not come before the City Council as a separate contact? Why is that?

Parton: Because this is a ‘professional services’, this contact that we needed only needs my signing pursuant to the purchasing policy approved by Council.

Carroll: Do you have anything you want to add?

City Attorney Pinkney: No, I would just mention that this Item is a Receive and File.

2:26:00 Martinez: How soon can we expect, perhaps, this be available because I don’t want to have six months go by?

McDougall: O’ no it won’t be six months. The database itself is up running. A draft copy has already been sent to the City, so you can get familiarized with it. The other systems are individual line items. The software will automatically calculate the depreciation. It’s just a matter of having to deliver this report, making sure that you guys are happy. Again; you’re in full compliance with GASB 34 with this and that will help you guys across the board.

2:27:25 White: How large is the database, do you have any ideal how many megs or gigs it is?

McDougal: Um.. We summed it down to make it manageable. Let me give you a rule of thumb; never create a fixed asset system in more detail than you can manage with city staff. That’s the first rule. The second rule is most important; never violate the first rule. So if we give everything in full detail we have 2-3,000 records. We can condense that down to a running system for the streets and sidewalks and stuff and that drops almost the record base to just under 1,000.

2:28:00 White: Okay. We if need to get to the expanded database; how’s that possible?

McDougall: Just ask me and I’ll send it to you. We calculated all the numbers in detail and then crunched it to move forward. Let me give you an example. I had a City that listed every street from each corner north and south, east and west, as a separate line item. The report was 3 1/2 feet thick and they could never manage it. The goal is not to give you a number and walk away. The goal is to give you a number that you can manage in time. Otherwise you have somebody like me coming back every three or four years. I’d rather do it right the first time.

White: So you say that we are compliant and if someone were to review the work that you’ve done and determined that we were not compliant; who would be doing that – would that be a State Agency doing that? Would we be hiring another consultant?

2:29:00 McDougall: Your review – this is part of your Audit practice because they sign off for your CAFR. They’ve already reviewed the data. They’ve already signed off on it. My numbers were not changed.

White: So the oversight on the specific numbers and the process; it’s something that the Auditors have already done?

McDougall: The City probably should have done something differently a couple years ago, but you didn’t. It’s the previous administration and to be honest; I can’t fix that. But I can fix you going forward. On a going-forward basis; the numbers are clean, you’re in compliance, they match the same methodology used for 105 other cities and 20 counties. It’s the exact same methodology for Victorville, for Banning, for Redlands, for San Bernardino, for the County of San Bernardino. It’s the exact same procedures used for you.

2:30:00 Councilman/Riverside County Building Safety Director Mike Lara: The report that you put together you talked about including the street lights, the streets, you include our infrastructure; sewer?

McDougall: Yes.

Lara: Water?

McDougall: Yes.

Lara: We basically have a complete report that covers all infrastructure.

McDougall: It includes everything except the wastewater treatment facilities because they were enterprise funds used for rate studies. And if I touch those numbers I have to do a full reconciliation under General Accounting Standards Board. Since you’re going to be replacing them in the next year or two or couple years I would be spending twice the fee for an asset you’re not going to keep on your books any more.

2:31:00 McDougall: It’s no longer material. Given their age; they’re virtually all fully depreciated so it’s not a material disclosure issue. I would be putting a number in that would effectively be zero so you can take it off your books in 24 months. There’s no reason for you to waste money.

Lara: Is that a common practice?

McDougall: It’s a very common practice.

Lara: So we’re not making anything up? Creating anything new?

McDougall: The really big complicated one is probably not a guess for you guys, it’s a high period treatment. We wrote down $1 and 1/2 Billion worth of non-existent assets, wiped them off the books clean. And the Auditors said: “Thank you”.

Lara: Can you repeat that one more time.

2:32:00 McDougal: For one of the clients on here we wiped down $1.5 billion in non-existent assets and the Auditor said ‘Thank you’. This is a compliance issue and nothing but a compliance issue. And we have brought you into compliance like I have and my staff has for 100+ other firms. One other point; MC Consulting is a registered LLC for the State of California. I can promise that because they send me bills for taxes on everything and compliance letters and filing fees every six months.

Lara: Thank you sir. And I would like to thank staff for their efforts and energy towards this. I appreciate that very much. I understand it’s a constant struggle to recreate things from the past and I appreciate your time on that.

Carroll: Mr. McDougall; thank you very much for putting us compliant and base that we can move forward now. Thank you for helping us get a flexible solution that staff can then work with going forward. This was big compliance milestone.

2:33:00: McDougall: Your staff really helped and they helped control my fees. One of the reasons the fees were as modest as they were was because your staff made sure the city got me what I needed and in a timely fashion. From yourself, from your finance people, from everyone one down; you guys did great.

Carroll: Thank you. That’s the way it should work. Much appreciated.

[McDougall is seen in the foreground shaking Vanessa Burke’s hand while Carroll is Reading]

2:33:30. Carroll: With that I make a Motion to ‘Receive and File’ the Presentation of Government Capital Asset Inventory and Valuation in accordance with GASB 34. Do I have a Second?

White: I’ll Second that.

2:34:00 Approved 5/0

Item 14: Acceptance of the City of Beaumont Audited Financial Statements for Fiscal Year 2017.

Brown Act: California Government Code 54954.1: Any person may request that a copy of the agenda, or a copy of all the documents constituting the agenda packet, of any meeting of a legislative body.


PART 1. OF CRIMES AND PUNISHMENTS [25 – 680] ( Part 1 enacted 1872. )

TITLE 2. OF PARTIES TO CRIME [30 – 33] ( Title 2 enacted 1872. )

30. The parties to crimes are classified as:

1. Principals; and,

2. Accessories.

31. All persons concerned in the commission of a crime, whether it be felony or misdemeanor, and whether they directly commit the act constituting the offense, or aid and abet in its commission, or, not being present, have advised and encouraged its commission, and all persons counseling, advising, or encouraging children under the age of fourteen years, or persons who are mentally incapacitated, to commit any crime, or who, by fraud, contrivance, or force, occasion the drunkenness of another for the purpose of causing him to commit any crime, or who, by threats, menaces, command, or coercion, compel another to commit any crime, are principals in any crime so committed.

(Amended by Stats. 2007, Ch. 31, Sec. 4. Effective January 1, 2008.)

32. Every person who, after a felony has been committed, harbors, conceals or aids a principal in such felony, with the intent that said principal may avoid or escape from arrest, trial, conviction or punishment, having knowledge that said principal has committed such felony or has been charged with such felony or convicted thereof, is an accessory to such felony.

(Amended by Stats. 1935, Ch. 436.)

33. Except in cases where a different punishment is prescribed, an accessory is punishable by a fine not exceeding five thousand dollars ($5,000), or by imprisonment pursuant to subdivision (h) of Section 1170, or in a county jail not exceeding one year, or by both such fine and imprisonment.

(Amended by Stats. 2011, Ch. 15, Sec. 232. (AB 109) Effective April 4, 2011. Operative October 1, 2011, by Sec. 636 of Ch. 15, as amended by Stats. 2011, Ch. 39, Sec. 68.)

California Penal Code Section 115: (a) Every person who knowingly procures or offers any false or forged instrument to be filed, registered, or recorded in any public office within this state, which instrument, if genuine, might be filed, registered, or recorded under any law of this state or of the United States, is guilty of a felony.

115.3. Any person who alters a certified copy of an official record, or knowingly furnishes an altered certified copy of an official record, of this state, including the executive, legislative, and judicial branches thereof, or of any city, county, city and county, district, or political subdivision thereof, is guilty of a misdemeanor.

115.5; (a) Every person who files any false or forged document or instrument with the county recorder which affects title to, places an encumbrance on, or places an interest secured by a mortgage or deed of trust on, real property consisting of a single-family residence containing not more than four dwelling units, with knowledge that the document is false or forged, is punishable, in addition to any other punishment, by a fine not exceeding seventy-five thousand dollars ($75,000).


PART 1. OF CRIMES AND PUNISHMENTS [25 – 680] ( Part 1 enacted 1872. )

TITLE 7. OF CRIMES AGAINST PUBLIC JUSTICE [92 – 186.34] ( Title 7 enacted 1872. )

CHAPTER 8. Conspiracy [182 – [185.]] ( Chapter 8 enacted 1872.

182. (a) If two or more persons conspire:

(1) To commit any crime.

(3) Falsely to move or maintain any suit, action, or proceeding.

(5) To commit any act injurious to the public health, to public morals, or to pervert or obstruct justice, or the due administration of the laws.


PART 1. OF CRIMES AND PUNISHMENTS [25 – 680] ( Part 1 enacted 1872. )

TITLE 7. OF CRIMES AGAINST PUBLIC JUSTICE [92 – 186.34] ( Title 7 enacted 1872. )

CHAPTER 9. Criminal Profiteering [186 – 186.8] ( Chapter 9 added by Stats. 1982, Ch. 1281, Sec. 1. )

186. This act may be cited as the “California Control of Profits of Organized Crime Act.”

(Added by Stats. 1982, Ch. 1281, Sec. 1.)

186.1 The Legislature hereby finds and declares that an effective means of punishing and deterring criminal activities of organized crime is through the forfeiture of profits acquired and accumulated as a result of such criminal activities. It is the intent of the Legislature that the “California Control of Profits of Organized Crime Act” be used by prosecutors to punish and deter only such activities.

(Added by Stats. 1982, Ch. 1281, Sec. 1.)

186.2. For purposes of this chapter, the following definitions apply:

(a) “Criminal profiteering activity” means any act committed or attempted or any threat made for financial gain or advantage, which act or threat may be charged as a crime under any of the following sections:

(2) Bribery, as defined in Sections 67, 67.5, and 68.

(5) Embezzlement, as defined in Sections 424 and 503.

(6) Extortion, as defined in Section 518.

(7) Forgery, as defined in Section 470.

(10) Mayhem, as defined in Section 203.

(14) Robbery, as defined in Section 211.

(15) Solicitation of crimes, as defined in Section 653f.

(17) Trafficking in controlled substances, as defined in Sections 11351, 11352, and 11353 of the Health and Safety Code.

(18) Violation of the laws governing corporate securities, as defined in Section 25541 of the Corporations Code.

(19) Offenses contained in Chapter 7.5 (commencing with Section 311) of Title 9, relating to obscene matter, or in Chapter 7.6 (commencing with Section 313) of Title 9, relating to harmful matter that may be prosecuted as a felony.

(20) Presentation of a false or fraudulent claim, as defined in Section 550.

(21) False or fraudulent activities, schemes, or artifices, as described in Section 14107 of the Welfare and Institutions Code.

(22) Money laundering, as defined in Section 186.10.

(23) Offenses relating to the counterfeit of a registered mark, as specified in Section 350, or offenses relating to piracy, as specified in Section 653w.

(24) Offenses relating to the unauthorized access to computers, computer systems, and computer data, as specified in Section 502.

(25) Conspiracy to commit any of the crimes listed above, as defined in Section 182.

(b) (1) “Pattern of criminal profiteering activity” means engaging in at least two incidents of criminal profiteering, as defined by this chapter, that meet the following requirements:

(A) Have the same or a similar purpose, result, principals, victims, or methods of commission, or are otherwise interrelated by distinguishing characteristics.

(B) Are not isolated events.

(C) Were committed as a criminal activity of organized crime.

(2) Acts that would constitute a “pattern of criminal profiteering activity” may not be used by a prosecuting agency to seek the remedies provided by this chapter unless the underlying offense occurred after the effective date of this chapter and the prior act occurred within 10 years, excluding any period of imprisonment, of the commission of the underlying offense. A prior act may not be used by a prosecuting agency to seek remedies provided by this chapter if a prosecution for that act resulted in an acquittal.

(c) “Prosecuting agency” means the Attorney General or the district attorney of any county.

California Penal Code 532a.

(1) Any person who shall knowingly make or cause to be made, either directly or indirectly or through any agency whatsoever, any false statement in writing, with intent that it shall be relied upon, respecting the financial condition, or means or ability to pay, of himself or herself, or any other person, firm or corporation, in whom he or she is interested, or for whom he or she is acting, for the purpose of procuring in any form whatsoever, either the delivery of personal property, the payment of cash, the making of a loan or credit, the extension of a credit, the execution of a contract of guaranty or suretyship, the discount of an account receivable, or the making, acceptance, discount, sale or endorsement of a bill of exchange, or promissory note, for the benefit of either himself or herself or of that person, firm or corporation shall be guilty of a public offense.

535.(2) Any person who knowing that a false statement in writing has been made, respecting the financial condition or means or ability to pay, of himself or herself, or a person, firm or corporation in which he or she is interested, or for whom he or she is acting, procures, upon the faith thereof, for the benefit either of himself or herself, or of that person, firm or corporation, either or any of the things of benefit mentioned in the first subdivision of this section shall be guilty of a public offense.

(3) Any person who knowing that a statement in writing has been made, respecting the financial condition or means or ability to pay of himself or herself or a person, firm or corporation, in which he or she is interested, or for whom he or she is acting, represents on a later day in writing that the statement theretofore made, if then again made on said day, would be then true, when in fact, said statement if then made would be false, and procures upon the faith thereof, for the benefit either of himself or herself or of that person, firm or corporation either or any of the things of benefit mentioned in the first subdivision of this section shall be guilty of a public offense.

(4) Any person committing a public offense under subdivision (1), (2), or (3) shall be guilty of a misdemeanor, punishable by a fine of not more than one thousand dollars ($1,000), or by imprisonment in the county jail for not more than six months, or by both that fine and imprisonment. Any person who violates the provisions of subdivision (1), (2), or (3), by using a fictitious name, social security number, business name, or business address, or by falsely representing himself or herself to be another person or another business, is guilty of a felony and is punishable by a fine not exceeding five thousand dollars ($5,000) or by imprisonment pursuant to subdivision (h) of Section 1170, or by both that fine and imprisonment, or by a fine not exceeding two thousand five hundred dollars ($2,500) or by imprisonment in the county jail not exceeding one year, or by both such fine and imprisonment.

(5) This section shall not be construed to preclude the applicability of any other provision of the criminal law of this state which applies or may apply to any transaction.

(Amended by Stats. 2011, Ch. 15, Sec. 384. (AB 109) Effective April 4, 2011. Operative October 1, 2011, by Sec. 636 of Ch. 15, as amended by S