"It's $160,187," she says, indicating the residual amount. "But I'm not going to give that to him because he's going to be charged for punitive damages for what he has done to me." Anything left over after these expected damages are paid, she insists, must go toward his psychological treatment. "I will pay the rehab and the patient center," she says. "He has to go to a healing center. He is insane."

Diesel says such statements are part of a ploy by Gamboa to discredit him. As a character reference, he directs SF Weekly to Paul Fleiss, a Los Angeles pediatrician and the father of Heidi Fleiss, the notorious "Hollywood Madam" who was arrested in 1993 for running a prostitution ring catering to celebrities. The elder Fleiss pleaded guilty in 1995 to helping his daughter launder money from the operation.

In a telephone conversation, Fleiss says he has known Diesel for four or five years. He describes him as "a very smart man" who appeared to be fairly wealthy when they met, and who enjoyed buying gifts for his acquaintances. "He is a little extravagant," Fleiss says. "He would hike in the park with bare feet, and he would wear two ties. He was very eccentric. He met a lot of people, and he was very friendly to all of them. A lot of Koreans."

As her own reference with regard to the Diesel saga, Gamboa directs a reporter to Gustavo Xar, a Guatemalan mover who helped transport some of Diesel's property from a house in Southern California to storage in Redwood City under her supervision. Xar, who has been copied on the dozens of antagonistic e-mails that have flown back and forth between Gamboa and Diesel over the past few months, expresses an agnostic view of the pair's relationship. "I don't know which one's lying and which one's not," he says in thickly accented English during a telephone interview from Arizona, where he now lives and works. All that he remembers from the moving job, he says, is eating lunch at a Chinese restaurant in L.A. last year with Gamboa and Diesel. At the time, they seemed like good friends.

Gamboa has flirted with bizarre fraud schemes on and off for at least two decades, and continues to attract a flow of cash from unwitting investors. How does she do it? Experts say this is not unusual. Financial crimes of all sorts are resource-intensive to investigate and difficult to prove. Korem was most recently apprehended only after one of his associates ratted him out to the federal government, allowing agents to record a phone conversation about illegal activity related to ZNext stock. Penalties in civil court can serve as a deterrent, but are less effective when a defendant decides, as Gamboa has, to ignore the legal proceedings against her.

Penny-stock fraud, which involves a virtually unregulated market easily accessed by anyone with an Internet connection, is notoriously tough to police. "It is fairly easy for a person with limited capital to acquire a shell corporation and then use that corporation to engage in a pump-and-dump scheme, if that person has the ability to tell a compelling story," says Ryan Dwight O'Quinn, a former federal prosecutor who directed the South Florida crackdown that led to Korem's arrest. (He declines to say whether Gamboa was ever investigated by his office.)

Gamboa appears to have gone a step further. She doesn't just tell a compelling story; she lives a fantastic one. From her bogus island nation to her questionable overseas gold mines, Gamboa has more or less protected the borders of an enigmatic empire of suspect business ventures. Over lunch at a Salvadoran restaurant in downtown Redwood City on a recent afternoon, she says she has the strength to deal with future challenges, whether from Diesel or federal agents, in part because of the hardships she has already faced.

Last year, she says, amid the stress of the SEC proceeding and the arrest of her husband, she suffered a serious aneurysm. When asked what her resulting condition was, she responds without missing a beat.

"I died."

You died?

"I died. At least, that's what I call it."

She says she was dead for three days, not unlike another well-known religious leader, and then returned to the world of the living. Pressed about the details of her resurrection, Pearlasia Gamboa, aka Elvira Gamboa, aka Pearlasia, aka Bae Catiguman — princess of peace, declarer of war, past president of a country that does not exist — simply bats her dark eyelashes and smiles.

"It was a miracle."

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* Pearlasia Gamboa (alias for Elvira Gamboa) was the president of International Monetary Reserve (“IMR”). http://www.sec.gov/Archives/edgar/data/1035789/000101968702000123/adatom_ex10-1.txt

* Louis Lesser was Chairman of the Board of Directors of International Monetary Reserve (“IMR”). http://www.tumblr.com/blog/lesserdieselenterprises

* David Korem is the pretend-to-be-estranged-husband of Elvira Gamboa.

* Kathy Sanson is the daughter of Louis Lesser.

* Craig Lesser was the son of Louis Lesser.

* Craig Lesser was sued for kidnapping and drugging people for the Adi Da cult.

* Kathy Sanson is a member of Craig Lesser, LLC

* Craig Lesser, LLC was a major shareholder of UN Dollars.

* Elvira Gamboa and Louis Lesser operated International Monetary Reserve from 1156 Shadow Hill Way, Beverly Hills, 90201 - http://www.sec.gov/Archives/edgar/data/1035789/000101968702000123/adatom_ex10-1.txt

* International Monetary Reserve was called “one of the most diabolical schemes in recent memory" by the Italian newspaper La Republica - http://ricerca.repubblica.it/repubblica/archivio/repubblica/2002/05/15/isola-del-tesoro-no-delle-truffe.html 

* The Anti-Mafia Directorate in Rome is hunting for Korem, Gamboa, and the elusive leader of International Monetary Reserve - http://www.rainews24.rai.it/it/news.php?newsid=21693  


Louis Lesser was mentor and early partners of Warren Buffet, landlord owning Howard Hughes’ aircraft facilities, and partners with JFK in the largest urban renewal project in western US history. Developer Donald Trump called Louis Lesser “the Legend” as the biggest developer in the history of the Western United States. Louis Lesser was partners with Meyer Lansky in owning Las Vegas Hotels and casinos. Louis Lesser was last in the news in a fight with Jimmy Hoffa’s attorney Morris Shenker over a Teamsters deal in Las Vegasr. In 2009, Louis Lesser was in a fight with Clippers owner and attorney/developer Donald Sterling over who developed Sterling Towers, renamed from Lesser Towers - http://lesserdieselenterprises.tumblr.com/image/39166215296






* More information on the more unusual aspects of this story, and links to some associated international news stories, is here - http://www.authorsden.com/ericdiesel

*Here is a page  background documentation - http://ericdiesel1.tumblr.com/

* Here is the Wikipedia page on Eric John Diesel - http://en.wikipedia.org/wiki/Eric_Diesel

* Here is the Wikipedia page on Elvira G. Gamboa - http://en.wikipedia.org/wiki/Elvira_Gamboa

* Here is one of the email threats she sent as "Princess Bae" to Heidi Fleiss' father (Paul Fleiss) and Aldous Huxley's nephew (Piero Ferrucci) - http://investorshub.advfn.com/boards/read_msg.aspx?message_id=64164774

* Here is a little more information (click on "more" in the section called "The Dominion of Meyer Lansky: Louis Lesser's Life Story") - http://www.linkedin.com/pub/eric-john-diesel/2b/235/7b9 

(That last link also shows which law enforcement officials are investigating, in the "connections" section.)

Babaldy like.author.displayName 1 Like

Eric (OOP) Diesel is very charming and amusing man. Whom on first impression is one of a clown.Poor fellow.


Don't be so quick to feel sorry for him. He is a vile person.

Getting high is more important to him than the safety of innocent people, which is why he has multiple DUIs and a revoked license, and the real reason he is homeless.

The family of his supposed "business partner," 94-year-old Louis Lesser, have restraining orders against him because he is a relentless, deranged stalker.

He was also convicted for water pollution, among other weird and disturbing activities.

Anon like.author.displayName 1 Like

Do you have the details of the restraining orders?


@Anon There is no restraining order. Louis Lesser's son, Craig Adolph Lesser, was partners with Robert N. Rooks and David Korem. Louis Lesser's daughter, Kathey Sansom, manages Criag Lesser, LLC, which is the principal shareholder of International Monetery Reserve, of which Louis Lesser was chair of the Board of Directors when Elvira Gamboa was president. Michael Ioane is Gamboa's "senior broker" for IMR real estates. Michael Ioane was named as a defendant with David Korem in another fraud action. If you click on the Linkedin page of Michael Ioane - http://www.linkedin.com/in/mikeioane, he keeps being propped up with endorsements on his Linkedin page by Jack Farcas, who claims to be "commander in chief" of the Layette district Freemasons - http://www.linkedin.com/profile/view?id=20243143&authType=name&authToken=UfcB&trk=miniprofile-primary-view-button , and they pretend to have judges and crooked cops in their pocket by means of their nuttball cult. 


This story is about a seriously mentally ill woman who continues to be taken advantage of - first by a "husband" who was trained by his own father to be a con-artist, and then by a reporter who wanted to mock the life of someone clearly in need of some help. What I find utterly disturbing about this story is Jamison's lack of integrity in choosing to cite the names of two children - minors, innocent young people with classmates whose parents will likely read this. First amendment rights and all, I don't understand how a) making fun of a mentally ill person is newsworthy, or b) how it is at all ethical to drag children through the dirt when they are already subjected to the odd if not unhealthy behaviors of their parents.

Look it up
Look it up

That creepy guy Eric Diesel is as bad or probably worse than anyone else in this article. He was convicted and fined over $300,000 in California for creating some bizarre pet cemetery.


@Look it up

You have it backwards - CBS News and the president of Association of Environmental and Engineering Geologists say that Diesel was the one who ultimately stopped Cal Trans from  dumping, in what they called CalTrans' Secret Pet Cemetery , and the phony initial conviction was overturned in federal court, and Diesel was compensated, according to CBS News and the other references cited here - http://en.wikipedia.org/wiki/Eric_John_Diesel#Caltrans_Pet_Cemetery_road_grading_controversy


Look it up needs to look things up a little better.

Tim Hanner
Tim Hanner

The world would be so boring without the insane.

John Rinaldi
John Rinaldi

How can there not be one comment besides mine? There were 600 fucking comments on the puke in Dolores park thing. This is actual news, in the real world of actual people who actually do things and no one has a peep. She is the president of a island nation that is underwater for 5 hours a day!!!!! C'mon, you gotta be kidding me!!!!!! She bought property in Antartica and named it Penguini. The world is her clam sauce. I for one am dissapointed that the MIsion Man or at least Eric Sir would come here and call all of them morons or.... something. C'mon... someone at least tie this into the conspiracy to keep photographs of Blue Bottle flavored vomit from being sold at my illegal American Apparel outlet on Army street... or something. Anything!!!!!!!!

John Rinaldi
John Rinaldi like.author.displayName 1 Like

Holy shit. It's all real. Oh. My. Dear. God. I've been listening to this crap for years. Eric Diesel is known to us as Oooops, his pet nick name. He's the smartest person I ever met. I brought him food from time to time at hotel rooms, and met that woman. I can't belive she's 60. Wow. Oooops is a mathematician. He paid my mortgage once when I broke my wrist. He buys land that have no roads to get to them. He's a weird guy, for sure. But harmless and mirthful. Island nations that are underwater at high tide. Why didn't I think of that? They are definatly right about the Koreans, the Fleiss clan and Oooops owning Mercedes Benz of Mountain View. Last time I saw Oooops, I got drunk and he STOLE over 350 novelty vomits I had left over from the whole Dolores Park kerfluffle. That bastard.

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