Category: Corporations

Former Public Utilities Commissioner from Paonia sends up warning flags about legislation, construction of hyperscale data centers & the sharp rise in electricity consumption

Inside a hyperscale data center. More than 100 such data centers were built in 2020, and now hundreds more are in the pipeline. Their  massive power consumption is threatening the power grid.Amazon, Google and Microsoft operate half of the world’s 600 hyperscale data centers.

Colorado Senate Bill SB24-085, “Sales & Use Tax Rebate for Digital Asset Purchases” introduced on January 24th, would give substantial tax savings incentives to stimulate construction of new data centers in Colorado.

John C. Gavan of Paonia, who has a 25 year career in tech and sat on the Colorado Public Utilities Commission, argues this is a VERY bad idea for Colorado’s environment and ratepayers, and he really wants readers to know why. He says he can only talk about this now because his term as a commissioner on the PUC expired last year, which freed him to discuss it.

First, readers need to know that the boom in computer-intensive tech, like artificial intelligence (AI), cloud computing, crypto mining and businesses outsourcing their IT to cloud-based systems, combined with the rush to electrify cars and homes are all pushing our country’s existing power grid to the brink, leading to a major power crunch and imperiling utilities’ ability to meet the rapid, massive increase in demand.

Local owner of Red Rock Auto pushed out

Bryan Knight, the now former part-owner of Red Rock Auto dealerships

The sole local owner of the Red Rock Auto dealership chain, Bryan Knight, has been pushed out of the company.

Documents from the Colorado Department of Revenue show Mr. Knight, who oversaw the Red Rock dealerships and had long been listed as a partner and minority owner of the Red Rock GMC and Honda stores, is no longer an owner of record for any Red Rock stores.

The rumor that Mr. Knight had been pushed out of Red Rock Auto came on January 19, when someone in the local auto industry contacted AnneLandmanBlog to say “Bryan Knight no longer works at Red Rock.”

Rumor: In a reversal, Red Rock got fleeced by a customer

What’s wrong with “Medicare Advantage” plans?

Frame from a TV ad by a local agency that sells Medicare Advantage plans

At this time of year, ads hawking “Medicare Advantage” plans flood every possible media outlet, imploring seniors to call 1-800 numbers and contact their local insurance brokers for “free Medicare evaluations” where brokers can sign them up for Medicare Advantage (MA) plans, also called Part C plans, that offer premiums a bit lower than traditional Medicare and freebies like vision screenings, dental cleanings, gym memberships and a monthly allowance to spend on drugstore merchandise.

These plans definitely sound alluring, but don’t be fooled.

Former Red Rock principals who left under a cloud open financial consulting business, go into real estate locally

Note that “Bookcliffs Investment Group, LLC” is not be confused with “Bookcliffs Financial Planning and Investments,” which is an entirely different company unaffiliated with Reade and Adams’ business.

Former Red Rock Nissan and Kia managing partner Brantley Reade and the former General Manager of Red Rock’s GMC dealership, Cord Adams, who both left Red Rock under a cloud on the same day last January, opened a financial investment business together last February, shortly after leaving Red Rock.

Reade and Adams were part of the so-called “fraternity” of managers from Tim Dahle dealerships in Salt Lake who came to Grand Junction to help run the Red Rock Auto Group. They were high-management casualties of the large-scale personnel churn that began near the end of 2022, after customers started revealing the illegal and unethical business practices they fell victim to while buying vehicles at Red Rock dealerships.

Second Red Rock Auto financial manager charged with crimes against customers

Daily Sentinel headline, August 29

A second former Red Rock GMC financial manager has been charged with forgery, criminal impersonation and identity theft within the last month after posing as a customer on a phone call to the Canvas Credit Union to try to expedite a customer’s vehicle loan.

Matthew Morris acted as an accomplice to Tiffany Miller, the first Red Rock GMC financial manager charged with the same crimes in early August. Both Morris and Miller were fired from Red Rock, but in her arrest affidavit Miller pointed to Red Rock management as pressuring her to commit the crimes. In the same affidavit (pdf), Morris said that Red Rock GMC Sales Manager Tyson Chambers and General Manager Caleb Stillman both knew he and Miller were making the fake calls to

Tyson Chambers, General Manager of Red Rock GMC

the lender and that they “and essentially encouraged the behavior.” Morris added that “he was terminated [from his job] not for making the call, but for being caught.”

Red Rock promotes its reviews on TV, but wait…

Screen shot of a Red Rock TV ad

The Red Rock Auto Group, which owns five dealerships in Grand Junction, has been advertising heavily on local news with ads that tout what they say are their many positive reviews.

We’ve already seen evidence, however, that indicates  Red Rock manipulates online reviews by coercing its employees to write positive reviews (a violation Google policy) and by purchasing good reviews from customers by offering them perks like free gas and oil changes in exchange for positive online reviews.

But we shouldn’t forget the slew of gritty and honest negative reviews that show the real difficulty Red Rock has caused so many customers, and the responses or lack thereof to such reviews from “the owner.”

Red Rock Auto Group’s greedwashing campaign

Red Rock got this free media from the Daily Sentinel on January 19, 2023, with this photo of their donation to Court Appointed Special Advocates (CASA). Red Rock also got Joy Thompson of CASA to say “We love Red Rock” on a January 19, 2023 local KREX-TV news segment about the donation.

After a company has been outed as over-the-top greedy, there’s nothing left for it to do but make conspicuous donations to local charities to score public relations points and blow smoke to make people forget about how their business has harmed the community in the long term.

That’s likely why, near the end of 2022, after all the unseemly tactics Red Rock Auto dealerships had been using on customers to fleece them out of thousands of dollars over the last 7 years were exposed, Red Rock suddenly started ramping up its donations to local charities and promoting their donations in ads on TV and through free media given to them by local TV stations and newspapers.

A company that ingratiates itself to reputable charitable causes as a way to distract from its immoral acts is engaging in a form of “greedwashing,” a term developed during the taxpayer-funded federal bailouts of the big banks during the economic crash of 2008-2009:

Criminal investigator who was investigating Red Rock quits & goes to work for Red Rock

Dale Sundeen (Photo: Auto News)

Dale Sundeen, the Colorado Department of Revenue Auto Industry Division’s criminal investigator who was investigating Grand Junction’s Red Rock dealerships, quit his job with the state and went to work for Red Rock Auto Group as their “Corporate Director of Compliance.”

KREX-TV broadcasts 5 minute news segment about Red Rock forgeries

KREX-TV last night ran a 5 minute news segment about Red Rock dealerships, which are currently under investigation by the state for problems including forgeries of customers’ signatures on legal/financial documents like contracts, Powers of Attorney, title and loan documents, and the addition of thousands of dollars worth of extras to customers’ contracts without their knowing, like extended warranties and special coatings.

Below is the full statement of a former title clerk who worked at Red Rock. This person asked to remain anonymous. This statement was included in the KREX news segment, but it merits fuller attention because of its gravity. This person’s employment at the dealership has been verified, and they had experience with the Mesa County Department of Motor Vehicles before going to work for Red Rock:

Red Rock starts getting the message, unwinds deal for strapped couple & gives out personal cell phone numbers of local partners for people to call if they’ve been wronged

Red Rock Nissan at 2582 Highway 6 & 50 in Grand Junction

The Red Rock Auto Group seems to be starting to get the message about the financial hardship they’ve been causing people by defrauding customers and carrying out business in bad faith.

This week Red Rock Nissan went out of their way to help “the Andersons” (not their real name), a struggling young couple with three kids, two of whom are special needs kids, who were recently featured in this blog as an example of the kind of bad deals people were unknowingly getting into at these dealerships.

Another former Red Rock employee gives more information about how the dealerships defrauded customers, banks, lenders

Red Rock Nissan at 2582 Highway 6 & 50 in Grand Junction

Note: I am re-posting this article from last December, now that a second former Red Rock dealership financial manager, Matthew Morris, has been charged with criminal impersonation, forgery and identity theft. This article contains information from a former Red Rock financial manager about how Red Rock allegedly (and routinely) defrauded customers as well as lenders (banks and credit unions). The article got little notice at the time I posted it, but it’s even more relevant now that criminal charges have been brought against a second Red Rock employee, who has implicated upper management in these activities..

Yet another former employee of a Red Rock auto dealership has contacted AnneLandmanBlog wanting to unload about what they experienced while working for Red Rock, and wanting others to know how business is done at these dealerships. This person has more detailed knowledge about financing of vehicle deals. Their name is withheld at their request. I asked this person follow-up questions based on information provided by a previous Red Rock employee who came forward and told about the illegal acts allegedly taking place at the dealerships, like falsifying customers’ financial information to lenders, misuse of digital signatures, forging of signatures, and more. This new person has even more detailed insight into these dealerships, the things they do to customers and banks, and how and why Red Rock dealerships operate so differently from other dealerships  in town and around the country.

Local family unknowingly gets into deep financial trouble after patronizing Red Rock Nissan

Lyn M. says this screen shot “is all we know about the loan” she and her husband got from Red Rock Nissan in Grand Junction. They went to Red Rock to buy a car advertised on the dealership’s website at $17,000. Without knowing it, they came out with a loan for $30,000 at an interest rate of 12.49%, far above what they could afford.

Lyn Anderson and her husband Jim (not their real names) thought they should trade in their older Ford pickup and get a slightly newer, more family-friendly vehicle, so they went online to see what was available locally.

Little did they know what they were getting themselves into.

Another Red Rock dealership victim

Red Rock GMC contract with unauthorized $4,995 charge for “Portfolio” (an extended warranty the customer wasn’t made aware of), “Worry Free Maintenance” that the customer was told would give him three “free oil changes,” and a $2,500 charge for “Resistall” coating, a treatment that ruined the glass on his truck. Red Rock dealerships are affiliated with the Tim Dahle Auto Group dealerships out of Utah.

Last spring, Daniel Macias (not his real name) went to the Red Rock GMC dealership on First Street to buy a used Chevy Silverado pickup truck. Like other Grand Junction Red Rock dealership patrons, he was unaware of the trap he was walking into.

Trump campaign threatens KREX

KREX received a cease-and-desist letter (pdf) from President Donald Trump’s re-election campaign threatening the station over a political ad it ran called “Exponential Threat” produced by Priorities USA, a Democratic super PAC.

The ad juxtaposes a montage of the many dismissive comments Trump made about the Coronavirus pandemic earlier this year with an animated chart showing the rising number of infections in the United States. It ends by saying: “America needs a leader we can trust.”

The Trump campaign sent the threatening letter to television stations across the country, suggesting it would sue the stations for defamation and urge the Federal Communications Commission to revoke their FCC licenses.

Citizens protest Pendley at new BLM office in G.J.

Protest Jan. 2 at BLM’s new offices on Horizon Drive.

About 35 people turned out in 27 degree weather to protest a visit from Acting Director of the Bureau of Land Management (BLM) William Perry Pendley, a right wing anti-government zealot who was appointed to head the BLM without Senate approval.

Pendley was scheduled to visit the new Grand Junction BLM office on the morning of its first opening day.

The protest was at the BLM’s new offices at 760 Horizon Drive, which is also the same building that houses the corporate offices of oil and gas purveyor Chevron.