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Allegations cloud DUI cases

State lab manager quits after she’s
accused of signing false statements
BY TRACY JOHNSON
AND DANIEL LATHROP
P-I reporters
Allegations that the manager of
the state toxicology lab has repeat-
edly signed false statements over
nearly seven years could raise ques-
tions about criminal cases and
prompt hundreds of drunken-driv-
ing suspects to challenge their
breath tests.
Ann Marie Gordon resigned July
20, several days after the Washing-
ton State Patrol began investigating
an anonymous tip about work done
in its own Seattle toxicology lab.
Gordon is accused of signing
sworn statements – under penalty of
perjury – that she tested ethanol-
water solutions used to make sure
breath-test machines are working
properly even though she didn’t do
any such tests.
Defense attorneys said the reve-
lation that such a high-ranking offi-
cial lied could cast doubt on crimi-
nal cases in which she’s testified, as
clined to speculate what would hap-
pen to any pending cases. The legal
INSIDE
CRIME LAB
well as affect whether breath-test consequences may become clearer
readings can be used against drun- in the coming weeks as the State Pa- PROBLEMS:
ken-driving suspects in court. trol wraps up its internal investiga- The State Patrol
But state toxicologist Barry Lo- tion and judges begin considering system has
gan said Monday that there’s “no ev- the situation. suffered some
idence that any of the results issued “I think this is an issue for every embarrassing
by the lab are compromised,” and he DUI case currently pending in this
setbacks in
doubted that any drunken drivers state,” said Bellevue defense attorney
would get a break. recent years.
King County prosecutors de- SEE DUI CASES, A6 A6

TOP STORIES
‘Hero’ gets Home appraisers pressured Tougher
grave penalty state sex
A Puyallup man who admitted
pretending to be a decorated
Vietnam vet for two years was
to fudge the numbers offender
sentenced to spend 500 hours

laws are
tending graves at Tahoma
National Cemetery. B1

Chief justice
has seizure urged
GOP wants to call
special session to
address the issue
BY LEVI PULKKINEN
AND CHRIS McGANN
P-I reporters

John Roberts, chief justice of the

Hoping to capitalize on out-
Supreme Court, suffered a seizure
rage surrounding the slaying of
in Maine on Monday and was 12-year-old Zina Linnik, a hand-
hospitalized overnight. Roberts ful of Republican state repre-
had a similar episode in 1993 – a sentatives have called for an
doctor said that could mean he emergency legislative session to
has epilepsy. A3 consider sweeping changes to
the state’s sex offender registra-
tion program.
Warning after Under Washington law, sex
offenders must check in with au-
iPod attack thorities for up to 15 years after
being convicted. But the Tacoma
The stabbing of a 48-year-old man girl’s slaying and the subsequent
in Kirkland during an attempt to multiple rape
steal his iPod has brought charges THE
warnings from police agencies: against the
Such devices are increasingly DAN DeLONG / P-I man accused NUMBERS
tempting targets for thieves. B3 Ian Lamb of Lamb Hanson Lamb Appraisal Associates of Seattle records measurements Wednesday while appraising a home in Issaquah of killing her –
for a mortgage refinance. Complaints from appraisers about being asked to inflate prices picked up with the hot housing market. Terapon Ad- 19,700
hahn, a con- number of state’s
ALSO IN victed sex of- registered sex
THE NEWS As market slows, buyers may find they paid too much fender – have
prompted
some lawmak-
offenders (more
than 3,900 of
NATION ers to question those live in King
BY AUBREY COHEN
WHAT SOME BROKERS ARE whether the County)
Corruption inquiry: FBI and IRS P-I reporter laws go far
agents raid the Alaska home of ASKING OF APPRAISERS
Sen. Ted Stevens. A8 Moss blankets the house’s roof. The siding is rotting off. And Home appraisers say they are being asked by
enough.
Adhahn, 1,338
42, has been number who
mold has spread through the interior. mortgage brokers to come up with the “right”
charged with haven’t provided
SEATTLE But the home’s condition is “average,” according to an apprais- number. Here are some examples of improper
aggravated law enforcement
al. appraisal solicitations: murder and
Skate park: Friends and relatives agencies with
of the artist opposed moving a It’s one clear example of how many appraisers hide problems first-degree accurate
“Most comps have been in the rape in Zina’s
water sculpture at Seattle Center to and affirm inflated prices willingly or under pressure from the addresses
make room for skateboarders. B1 $350K range, but we need the July 4 abduc-
mortgage brokers and bankers who give them business – calling tion from her
into question whether home buyers are getting what they pay for. appraised value at $380K.” Tacoma home.
Shot: A shooting snarls afternoon
rush-hour traffic downtown. B1 He is also accused of raping two
“We’re pressured to hit the val- paid too much, as slowing apprecia- “Please push value to $925,000. other girls.
ue every time, every single sale,” tion and rising mortgage interest Thank you.” Speaking at a news confer-
said appraiser Richard Hagar, who rates force them to sell at a loss. ence with three GOP representa-
INDEX showed pictures of the mossy “I think we’ll see it come to a
“Wants value at $310,000 – need tives pushing for emergency ac-
tion, Zina’s uncle, Anatoly Kal-
house while teaching a class on head here in the next year or so,”
TODAY’S WEATHER mortgage fraud earlier this month said Ralph Birkedahl, manager of aggressive appraiser!” chik, said Monday that authori-
Plenty of sunshine. for 25 appraisers, mortgage bro- the state’s appraisal program. “We ties “dropped the ball” in failing
High 79. Low 55. B8 kers and real estate agents. may see more foreclosures than “Other appraisers told me 133-134 to watch Adhahn after his first
It’s a problem that is more com- we’re seeing now.” sex offense. Adhahn’s current
Comics C4,5 mon as buyers vie to outbid each oth- But while prosecutors are pur- (thousand dollars) is safe. If you address was not on file when he
Crosswords C4,5 er in recent go-go markets such as suing big fraud cases, complaints can guarantee me 145 I will set up was arrested after Zina’s July 4
Editorial B6,7 Seattle’s. And increasingly buyers abduction.
Horoscope C2 may find in coming months that they SEE APPRAISERS, A5 appraisal tomorrow.” “We all know that the first
Lottery B2 duty of a government is to pro-
Obituaries B4 tect its citizens,” said Kalchik,
Television C6 talking at a Federal Way play-
ground. “Something needs to be
★★★ PASSAGES done.”
Gov. Chris Gregoire and

(FJECD|12000Z
Bill Walsh, Tom Snyder, Ingmar
Democratic lawmakers – who
hold strong majorities in the
legendary late-night pioneer Bergman, House and Senate – dismissed
talk of an emergency legislative
coach Known for his a master of session as too hasty, and Senate
Republicans also seemed con-
The winner of three
Super Bowls with
abrasive,
ego-driven style
art on film tent to wait for the regularly
The P-I and seattlepi.com reach scheduled 2008 Legislature to
1.3 million readers a week in the San Francisco and robust His exploration of the deal with the issue.
Western Washington, including 49ers, he left behind laugh, he psyche placed him in Republican Reps. Doug Erick-
three-quarters of a million a legion of coaching brought a host the upper ranks of sen, Kirk Pearson and Skip Priest
Monday through Saturday. disciples, including of memorable filmmaking, says P-I announced several roughly
To subscribe, call 206-464-2121. the Seahawks’ Mike interviews to movie critic William
© 2007 SEATTLE POST-INTELLIGENCER Holmgren. D1 late-late TV. C1 Arnold. C1 SEE SESSION, A6

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SEATTLE POST-INTELLIGENCER ❘ TUESDAY, JULY 31, 2007 A5

brokers, but most of those cases “I don’t mind if people ing’s) unwillingness or inability

APPRAISERS: Complaints are closed and none has resulted

in a violation.
State enforcers could not
pursue some because they were
pay more than the
fair market value, as
long as they know
to issue sanctions for criminal ac-
tions,” Irish wrote.
What more can be done?

from lenders on the rise submitted anonymously, re-

ferred one to another state and
dismissed others because there
was no documentation to prove
they are.”
– Michael Lamb, Lamb
Hanson Lamb Appraisal
Following up on an earlier
law requiring mortgage brokers
to be licensed, the state started
requiring licenses this year for all
FROM A1 forcement. He said real estate agents will them, said Deborah Bortner, the Associates loan originators, although it is al-
push brokers to hire appraisers department’s director of con- lowing them to continue work-
about the day-to-day pressure Whose fault is it? they know will hit the value. sumer services. careful because of a recent in- ing while applications are pend-
have gone nowhere. It isn’t fair to blame bad ap- In 2004, the U.S. Depart- “The department’s 11 law- crease in loans going into de- ing. Originators must pass a test
praisals solely on loan origina- ment of Housing and Urban de- yers generally focus on bigger fault, Birkedahl said. and background check, and con-
Why do we need them? tors, said Adam Stein, president velopment laid at least some fraud cases, she said. His office got 83 complaints tinue to take classes.
While buyers hire home in- of American Brokerage in Au- blame for appraisal problems on The state has taken action about appraisers in 2004, 109 in Based on experiences in oth-
spectors to check the condition burn. the mortgage industry, ruling against some appraisers whose 2005, 145 in 2006 and 66 so far er states, Hagar expects 10 per-
of houses, banks and mortgage “If they tell you to rob a bank, lenders could be fined for fraud- reports about homes didn’t this year. It has about 120 pend- cent of originators will turn out
brokers hire appraisers to assess are you going to do it?” he asked. ulent appraisals. match reality, Birkedahl said. ing resolution. In fact, the slow to be convicted felons and half of
their values. “At some point an appraiser has Few appraisers file formal Appraisers found guilty of im- pace of complaint investigations those that remain will fail the
Fair market value isn’t just to take responsibility for doing complaints, state regulators say, proper practices generally face has drawn complaints, including test.
what a buyer is willing to pay, an overvalued appraisal.” despite encouragement to do so fines of $250 to $5,000 and one- an April letter from Appraisers’ “One, it’ll filter out the
said Michael Lamb, who helped Besides, pressure can come when they see a problem. year license suspensions that Coalition of Washington Presi- scum,” he said. “Two, it’ll filter
write state appraisal rules and is from other sources, said Stein, Since the beginning of 2005, are stayed, provided they have dent Jim Irish. out the stupid.”
president of Lamb Hanson Lamb who is president of the Washing- the state Department of Finan- no more violations for three “Appraisers have given up on
Appraisal Associates in Seattle. ton Association of Mortgage Bro- cial Institutions has gotten 15 years. filing complaints against other P-I reporter Aubrey Cohen
In a rapidly changing market, ap- kers and chairman of the state complaints from appraisers Most complaints come from appraisers due to the (Washing- can be reached at 206-448-8362
praisers check closed sales, Mortgage Broker Commission. about pressure from mortgage lenders, who are increasingly ton State Department of Licens- or aubreycohen@seattlepi.com.
pending deals and even home
listings, he said.
A house is appraised at less
than the selling price “maybe 5
percent of the time,” he said, and
in those cases, the lender should
go to the real estate agent and lay
out options, such as increasing
the down payment or renegotiat-
ing the price.
“I don’t mind if people pay
more than the fair market value,
as long as they know they are,”
Lamb said.
Appraisers can inflate a
house’s value by ignoring prob-
lems, fudging its condition or
25% off
comparing it with inappropriate
homes.
When banks used to issue,
then hold onto, mortgages, ap-
entire stock
praisers protected the lenders,
while reassuring buyers they
weren’t overpaying.
“To a degree, you as a con-
Jockey®
sumer are trusting that the ap-
praiser will somewhat confirm
including our exclusive
your thought process,” said Ha-
gar, who owns American Home
Jockey Ultimates
Appraisals on Mercer Island, and
also helped write state mortgage
laws.
But now, buyers often use
mortgage brokers, who work
with a variety of lenders, and
banks often sell off mortgages.
That means mortgage origina-
tors hiring appraisers have a
greater interest in closing a deal
than making sure the buyer isn’t
overpaying, Hagar said.
Most appraisal orders came
from banks until the mid-1990s,
he said. “By 1995, it was 95 per-
cent from mortgage brokers, and
that’s when this pressure started
to come on massively.”
Mortgage brokers pulled
their business and even refused
to pay if they didn’t like apprais-
als, Hagar said. He said this cost
him 80 percent of his business
and $30,000 from one client
who refused to pay.
In 2003, 55 percent of ap-
praisers felt pressure to overstate
property values, according to a
survey that year of 500 apprais-
ers nationwide by October Re-
search Corp., an independent
firm in Richfield, Ohio. In 2007,
the firm found that the rate
jumped to 90 percent, with 71
percent of more than 1,200 ap-
praisers reporting pressure from
mortgage brokers and 56 per-
cent citing real estate agents and
brokers.
Ninety-six percent of ap-
praisers said colleagues in their
market bowed to pressure.
Growing issue?
Complaints from appraisers
picked up with the hot home
market in recent years, Birkedahl
said. “We started hearing more
and more about lender pressure
and how they wanted appraisers
to hit the value.”
In his class, Hagar hands out
examples of improper appraisal
solicitations: “Most comps have
been in the $350K range, but we
need the appraised value at
$380K”; “Please push value to
$925,000. Thank you”; “Wants
value at $310,000 – need aggres-
sive appraiser!”; “Other apprais-
ers told me 133-134 (thousand
dollars) is safe. . . . If you can
guarantee me 145 I will set up
appraisal tomorrow.”
Many have preprinted field
names like “value needed” or
“suggested value” and include
statements such as: “If prelimi-
nary research shows that value is
not there please DO NOT do ap-
praisal and contact the agent.”
It’s all illegal, said Hagar,
adding that he’s been asked to Save on our entire stock of
change descriptions of houses, Jockey camis, tanks and panties.
and remove or even alter pic- Reg. $8-$24, sale $6-$18.
tures showing unflattering con-
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According to state regula- New and Exclusively at Macy’s.
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appraisers for general informa-
tion about certain markets, and
offer their opinions on value, the
borrower’s opinion of value or
Men’s Jockey sale
the list or sales price of the prop-
erty. But they can’t dictate the
also in progress!
values they need for a deal to
close.
And any time an inaccurate
appraisal is transmitted across
state lines, that’s wire fraud.
Testifying to the U.S. Senate
Subcommittee on Housing,
Transportation and Community
Development in June, Minne-
apolis appraiser Alan Hummel
showed an e-mail in which a bro-
ker client told him a comment
about a problem with a front REG/ORIG PRICES REFLECT OFFERING PRICES IN EFFECT DURING THE 90 DAYS BEFORE OR AFTER THIS SALE EVENT, BUT NOT NECESSARILY DURING THE PAST 30 DAYS. SAVINGS MAY NOT BE BASED ON
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dering appraisals and more en-

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