Mortgage broker
admits to 173 felonies
A Hillsborough man who bilked several elderly people out of their life savings in a real estate investment scam pleaded no contest to 173 felony counts this week.
Michael Schneider, 44, entered his plea Tuesday in a Santa Clara County courtroom to charges of residential burglary, elder financial abuse, embezzlement, grand theft and forgery, according to the Santa Clara County District Attorney’s Office.
Several of the victims lost their life savings. Schneider is facing up to 169 years in prison and is scheduled to be sentenced Nov. 8.
Slots target of raid
A San Carlos company that rents slot machines for parties was searched by agents from the Department of Justice Division of Gambling Control Thursday.
State agents served the search warrant on 4S Casino Party Suppliers, located at 1449 Bayport Ave., following an investigation that dates back to 1999, San Carlos police Sgt. Greg Miller said in a press release.
At least two other locations in San Mateo County were also served with search warrants related to the case, Miller said.
No one was injured and no arrests were made, but evidence was seized, Miller said.
This is not the first time state officials visited the business.
In 2006, state gambling authorities searched the shop in San Carlos and seized 10 slot machines thought to be antiques. State law regarding the use of slot machines is complex, limiting what types of slot machines can be used based on age.
San Carlos hospital
financial offer sweetened
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Palo Alto Medical Foundation sweetened its offer to San Carlos for approval of a new hospital by agreeing to pay earlier amounts based on the initial $5 million endowment payment.
The decision bridges the gap between now and the money expected when PAMF’s proposed hospital becomes a reality.
The San Carlos City Council asked for earlier endowment payments at a previous meeting but the details of the proposed development agreement were not hashed out until Tuesday night’s public hearing on the financial development agreement.
The city is guaranteed a better financial influx by the PAMF development agreement than the possible outcome of other development uses, said Assistant City Manager Brian Moura.
If accepted by the City Council, the PAMF agreement will give the city a $5 million payment prior to the first building permit followed by a $4 million payment within 24 months from funding of the first payment.
The city is also guaranteed in $722,00 in use tax revenue during construction, with a 3 percent increase annually, said PAMF spokesman Ben Drew.
How much PAMF will pour into city coffers has been an issue for the majority of its negotiations but particularly came to head when Mayor Tom Davids asked if the financial incentive could come before the completion date.
County has botulism scare
The county’s Department of Environmental Health staff inspected the Second Harvest Food Bank in San Carlos Tuesday night following reports of illness from four people who may have eaten chili linked to a nationwide botulism-based recall distributed to San Mateo County charities that use the food pantry.
San Mateo County has no confirmed cases of botulism but public health is working to pinpoint the cause of the four people’s symptoms.
"We don’t want to take a chance but it doesn’t look like botulism at this point,” said Environmental Health Director Dean Peterson.
Botulism symptoms begins between from six hours to two weeks after ingesting food with the toxin and include blurry vision, slurred speech, dry mouth, muscle weakness and difficulty swallowing. At its extreme, botulism causes paralysis of the breathing muscles which can be fatal.
The recall now includes dozens of products, including canned chili and meat and four pet food products. The four ill people reportedly used Morton House canned chili with chicken, Peterson said.
Second Harvest received a call from CALL Primrose, a Burlingame-based nonprofit, about the sicknesses after it enacted a voluntary recall of all chili products, said Lynn Crocker, director of marketing and communications for Second Harvest.
The effort came after the mandatory recall of hot dog chili and chili sauces made by Castleberry’s Food Co. of Augusta, Ga. On July 18, the Food and Drug Administration warned consumers about the risk of botulism from the products marketed under a variety of names.

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