The Unauthorized Randy “Duke” Cunningham Page

Isn't it interesting that Duke's Del Mar home was bought by MZM – his 4th largest contributor that year – and Duke then buys a home from an indicted Peregrine V.P?

While Duke obviously "sold high", I wonder if he also, "bought low?" $2.55 million seems like a real bargain for that large and exclusive property, even a few years ago.

What is more puzzling, however, is the Dukester's surprising lack of outside income or even modest investments to support buying a $2.55 million property, even with the $700,000 "overpayment" gain on his prior property. (Other investment and income was negligible. His listed sole proprietorship business has minimal value and has strangely listed the same repeated, "capital gains" for years.)

http://www.opensecrets.org/pfds/pfd2003/N00007050_2003.pdf
2003 Financial Disclosure Statement

Even with his congressman's salary and his wife's income, without some more substantial outside income and investments, there is no way he could handle the Rancho Santa Fe property, even if he owned the Del Mar property free and clear (which is very unlikely while also owning a 65 foot yacht — Kelly C that is being refurbished — that he was the original owner of, and must be worth another $1 million or $2 – not to mention the extravagant slip fees of the Capital Yacht Club on the Potomac for a yacht that size).

Whew! The bills keep piling up! Where is the income?

None of this adds up. Maybe the FBI and Grand Jury can sort it all out for us.

Here's another possible explanation of the Rancho Santa Fe home sale.

Peregrine Systems declared bankruptcy Summer 2003. The former VP of Peregrine Systems, Douglas Powanda may have fled to Texas because of Texas' unlimited homeowner's exception during bankruptcies (a la Enron). He wasn't indicted for accounting Fraud until October 2004.

Of course, that doesn't preclude a price break being given on the Rancho Santa Fe home in exchange for business, but it may be less likely.

Also, to correct some rumors, Peregrine Semiconductor was the 3rd largest contributor to Cunningham, which is "in no way related" to Peregrine Systems of San Diego, whose former VP Douglas Powanda sold Cunningham his Rancho Santa Fe home. See http://vcdeal.com/vc/ihdealdetail.cfm?dealid=288

I wondered how Cunningham qualified for the loan on that Rancho Santa Fe "El Rancho" also with his declared level of income.