John ran a brokerage house, WFP Securities. In 2013, the then-defunct brokerage was ordered by an arbitration panel to pay $19 million to investors.
  • John ran a brokerage house, WFP Securities. In 2013, the then-defunct brokerage was ordered by an arbitration panel to pay $19 million to investors.
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The late Louis Schooler and his brother John Schooler took a lot of investors to the cleaners, as the Reader has been reporting for seven years.

Now their sister is in trouble:

Louis ran a real estate operation. The Securities and Exchange Commission ruled that it bought undeveloped land and sold it at grossly inflated prices to investors.

Jane L. Schooler has been disbarred for mishandling the family estate. She was appointed trustee of the family estate and personal representative of her mother's estate, which in 2007 was combined worth more than $7 million, according to the California State Bar. She told her brother and tenants to move out of the family home so she could oversee repairs and sell it. But she didn't sell it, rejecting offers, and living in it for two years, using money from the family trust. She failed to pay some taxes.

Despite repeated requests from her siblings, including Louis and John, she did not distribute assets to the beneficiaries for nearly eight years. She was removed as trustee and executor and a successor was named. By then, the trust holdings had dwindled considerably. She continued to hold herself out as trustee and personal representative. In November of 2013, the Court of Appeal, Fourth Appellate District ruled that "this appeal has no merit whatsoever."

In 2011, the probate court had ruled "this is a totally dysfunctional family."

John and Louis were at the top of interlocking financial holdings. John ran a brokerage house, WFP Securities. In 2013, the then-defunct brokerage was ordered by an arbitration panel to pay $19 million to investors who had lost money in a Ponzi scheme pushed by WFP.

Louis ran a real estate operation. The Securities and Exchange Commission ruled that it bought undeveloped land and sold it at grossly inflated prices to investors. Early last year, the securities agency ordered him to disgorge almost $150 million. He went on a 3500-mile sailboat journey to the South Pacific and disappeared. He is assumed deceased.

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Comments

Cassander Aug. 3, 2017 @ 9:14 a.m.

Can't imagine what kind of bad parenting resulted in all three children turning into such immoral cheats. At least now they're bilking each other instead of the public.

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Don Bauder Aug. 3, 2017 @ 4:07 p.m.

Cassander: Yes, that $7 million has come down. John was in Arizona, still peddling stocks last I heard, and I believe the reports that Louis is dead, although he could be fleecing natives of one of those islands. I wonder if his lawyers got paid anything. I notice in one of the appellate cases the lawyers who worked for Louis were representing Jane. The appellate court let it be known it didn't want to hear from this gang again. Best, Don Bauder

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Don Bauder Aug. 4, 2017 @ 4:59 p.m.

Steven Kinkead: When I was working on these stories, customers of both Louis and John Schooler were talking exactly as you talk. I can't blame you for the feeling the way you do. Best, Don Bauder

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SportsFan0000 Aug. 19, 2017 @ 1:06 a.m.

I know a family that was also bilked by their relatives including a relative who is an attorney in an Estate/inheritance matter..

Hopefully, they will file complaints against the unscrupulous attorney/relative and get justice for themselves.

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Don Bauder Aug. 19, 2017 @ 1:54 p.m.

SportsFan0000: The Schooler adventure seems to show that you can't trust anybody, even members of your family -- particularly if it is a dysfunctional family. Over many years, I have heard about and written stories about family members cheating one another over an estate.

There is a wonderful opera on this subject: Puccini's "Gianni Schicchi." A rich Florentine (13th century) has left his fortune to a monastery. The family is horrified. It calls in the wily Gianni Schicchi to help them come up with a scheme to pass the money to the relatives. Schicchi decides to pretend be the dead man on his death bed. And he bequeaths the fortune to the dead Florentine's dear friend, Gianni Schicchi. The relatives realize they have been bamboozled, but can't say anything because they cooked up the original scheme. There is more to it, but that is the basic outline.

So much for loving families. Best, Don Bauder

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