Tuesday, December 8, 2009

Evans Case now in federal court, the Bar shows up, the Evans brothers have a defender

For a collection of all posts on Evans case, see sidebar at right side of page. Synopsis of case is provided at the bottom of this post.

The U.S. Bankruptcy Court removed the Evans case from the Madison County Chancery Court to its own jurisdiction December 2, 2009. The lawsuit was filed by Mississippi Valley Title Insurance Company and Old Republic Insurance Company against Jon Chris Evans, his brother Charles Evans, Jr., and numerous LLC's owned by Chris Evans. Chris Evans filed a petition for Chapter 7 bankruptcy on October 26, 2009, the day before a hearing on a motion for a preliminary injunction against the Evans brothers was to be held in Madison County Chancery Court. The state court proceedings against Chris Evans were halted as U.S. Bankruptcy law stays most civil court actions once a bankruptcy petition is filed. The hearing continued against Charles Evans, Jr. and Mississippi Valley Title obtained the injunction. Copy of removal

The bankruptcy court is probably better suited to hear this case. There were multiple lawsuits filed in state court against Chris Evans or one of the companies owned by Chris or Charles Evans. Considering many banks will have competing claims on the same property and may have interests that are adverse to Mississippi Valley Title's, the bankruptcy court is in a better position to ensure all parties' interests are adequately represented in comparison to the Chancery Court where the authority of the Chancellor is somewhat limited.

Several banks and the Mississippi Bar also entered notice of appearance in the bankruptcy proceeding as well. James R. Clark notified the Court he represents the Mississippi Bar and requested the Court send regular updates to his office. Copy of notice First Bank and Wachovia also entered notices of appearance as well. Merchants and Farmers filed a request that Mississippi Valley Title be forced to produce to M&F all information obtained in the Rule 2004 examination of Chris Evans' estate. A 2004 exam is a thorough audit by a creditor of a debtor's estate. The information obtained in a 2004 audit can be very valuable in a case where massive fraud is alleged and the parties such as the banks and insurance company may have competing interests. While all the banks are conducting their own exams, Merchants & Farmer's is the first to ask that Mississippi Valley Title provide all the information from its exam. Copy of motion

The Mississippi Business Journal published a very good story in its current issue on how the fraud in the deeds and land descriptions occurred. Amy McCullough reports:
"Public records show that Chris Evans’ company Old Agency Business Park Inc. purchased a property of approximately 38 acres on Highland Colony Parkway in Madison in 2003. Chris Evans had a local surveyor write legal descriptions dividing the 38 acres into 10 separate tracts. Through various limited liability companies he owned, Chris Evans obtained commercial loans from Mississippi banks on each of the 10 smaller parcels. The title for the land, however, remained vested in Old Agency and was never conveyed to any of the other entities through which loans were obtained. This particular property has more than 25 mortgages recorded against it, which are held by entities not owning title to the land."

This is a very good example of how the "alleged" fraud took place. In addition to not conveying title to the companies borrowing money, more fraud took place in the issuance of plat maps for some tracts of land. Multiple plat maps were drafted for the same property in some cases. Unfortunately for the banks, the plat maps were completely different and when combined, all of the parcels completely overlapped each other, making it nearly impossible to obtain clear title to the land. Such tricks are why Judge Olack said it will probably be easier to sell the parent tracts and then divide up the proceeds among the creditors.

There is actually a humorous note of sort in this case. The Evans Brothers actually have a defender. Frank Boatman of Ridgeland tries to imitate a soccer parent and wonders why everyone is picking on his little boys in a letter to the Mississippi Business Journal. Mr. Boatman opined:

I am not sure why the Mississippi Business Journal keeps picking on Charles and Chris Evans.
The liberal media loves to find small business owners around the country and put them in tough situations just so you can exploit them for your own gains.
Conservative America understands what is going on and movements like the Tea Parties around the country are showing how we can take our country back.
The Mississippi Business Journal should be ashamed.
Frank Boatner

Stay tuned.

Synopsis of Evans case (This feature will be included with future posts on Evans case): Charles Evans, Jr. was an attorney approved by Mississippi Valley Title Insurance Company to provide title certificates to MVT and lenders showing a borrower had clear title to property. MVT filed a lawsuit in September accusing his brother of using over 30 LLC's to obtain fraudulent loans from over 30 banks in Mississippi. Chris Evans would allegedly use one company to purchase a large tract of prime commercial real estate in Madison and Desoto Counties. Another company owned by Evans would obtain a commercial real estate mortgage on a smaller section of the tract yet that borrowing company never obtained a deed showing ownership of the land from the other company. Thus the smaller tract was actually non-existed as the larger tract was never actually subdivided. Charles would allegedly provide a title certificate however showing the borrowing company owned the land even though it didn't. Over 80 loans for nearly $50 million were issued by Mississippi banks to companies owned by Chris Evans for lands those companies either did not own. MVT has testified federal authorities are currently investigating the case. Chris Evans filed Chapter 7 bankruptcy on October 26, which stopped the Mississippi Valley Title's lawsuit against him as federal bankruptcy law stays most state civil court proceedings once a bankruptcy petition is filed. Mississippi Valley Title testified 65 title insurance claims for approximately $41 million have been filed by banks affected by the Evans case.


Anonymous said...

Mr. Boatner apparently thinks conservatives are so stupid that simply using " buzz" words will rally them to the Evan's side.

Anonymous said...

Maybe Mr. Boatner can tell us whether the stolen $50 million represents a "conservative" or a "liberal" estimate.

Kingfish said...

I don't think Mr. Boatner exists.

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Trollfest '09

Trollfest '07 was such a success that Jackson Jambalaya will once again host Trollfest '09. Catch this great event which will leave NE Jackson & Fondren in flames. Othor Cain and his band, The Black Power Structure headline the night while Sonjay Poontang returns for an encore performance. Former Frank Melton bodyguard Marcus Wright makes his premier appearance at Trollfest singing "I'm a Sweet Transvestite" from "The Rocky Horror Picture Show." Kamikaze will sing his new hit, “How I sold out to da Man.” Robbie Bell again performs: “Mamas, don't let your babies grow up to be Bells” and “Any friend of Ed Peters is a friend of mine”. After the show, Ms. Bell will autograph copies of her mug shot photos. In a salute to “Dancing with the Stars”, Ms. Bell and Hinds County District Attorney Robert Smith will dance the Wango Tango.

Wrestling returns, except this time it will be a Battle Royal with Othor Cain, Ben Allen, Kim Wade, Haley Fisackerly, Alan Lange, and “Big Cat” Donna Ladd all in the ring at the same time. The Battle Royal will be in a steel cage, no time limit, no referee, and the losers must leave town. Marshand Crisler will be the honorary referee (as it gives him a title without actually having to do anything).

Meet KIM Waaaaaade at the Entergy Tent. For five pesos, Kim will sell you a chance to win a deed to a crack house on Ridgeway Street stuffed in the Howard Industries pinata. Don't worry if the pinata is beaten to shreds, as Mr. Wade has Jose, Emmanuel, and Carlos, all illegal immigrants, available as replacements for the it. Upon leaving the Entergy tent, fig leaves will be available in case Entergy literally takes everything you have as part of its Trollfest ticket price adjustment charge.

Donna Ladd of The Jackson Free Press will give several classes on learning how to write. Smearing, writing without factchecking, and reporting only one side of a story will be covered. A donation to pay their taxes will be accepted and she will be signing copies of their former federal tax liens. Ms. Ladd will give a dramatic reading of her two award-winning essays (They received The Jackson Free Press "Best Of" awards.) "Why everything is always about me" and "Why I cover murders better than anyone else in Jackson".

In the spirit of helping those who are less fortunate, Trollfest '09 adopts a cause for which a portion of the proceeds and donations will be donated: Keeping Frank Melton in his home. The “Keep Frank Melton From Being Homeless” booth will sell chances for five dollars to pin the tail on the jackass. John Reeves has graciously volunteered to be the jackass for this honorable excursion into saving Frank's ass. What's an ass between two friends after all? If Mr. Reeves is unable to um, perform, Speaker Billy McCoy has also volunteered as when the word “jackass” was mentioned he immediately ran as fast as he could to sign up.

In order to help clean up the legal profession, Adam Kilgore of the Mississippi Bar will be giving away free, round-trip plane tickets to the North Pole where they keep their bar complaint forms (which are NOT available online). If you don't want to go to the North Pole, you can enjoy Brant Brantley's (of the Mississippi Commission on Judicial Performance) free guided tours of the quicksand field over by High Street where all complaints against judges disappear. If for some reason you are unable to control yourself, never fear; Judge Houston Patton will operate his jail where no lawyers are needed or allowed as you just sit there for minutes... hours.... months...years until he decides he is tired of you sitting in his jail. Do not think Judge Patton is a bad judge however as he plans to serve free Mad Dog 20/20 to all inmates.

Trollfest '09 is a pet-friendly event as well. Feel free to bring your dog with you and do not worry if your pet gets hungry, as employees of the Jackson Zoo will be on hand to provide some of their animals as food when it gets to be feeding time for your little loved one.

Relax at the Fox News Tent. Since there are only three blonde reporters in Jackson (being blonde is a requirement for working at Fox News), Megan and Kathryn from WAPT and Wendy from WLBT will be on loan to Fox. To gain admittance to the VIP section, bring either your Republican Party ID card or a Rebel Flag. Bringing both and a torn-up Obama yard sign will entitle you to free drinks served by Megan, Wendy, and Kathryn. Get your tickets now. Since this is an event for trolls, no ID is required. Just bring the hate. Bring the family, Trollfest '09 is for EVERYONE!!!

This is definitely a Beaver production.

Note: Security provided by INS.

Trollfest '07

Jackson Jambalaya is the home of Trollfest '07. Catch this great event which promises to leave NE Jackson & Fondren in flames. Sonjay Poontang and his band headline the night with a special steel cage, no time limit "loser must leave town" bout between Alan Lange and "Big Cat"Donna Ladd following afterwards. Kamikaze will perform his new song F*** Bush, he's still a _____. Did I mention there was no referee? Dr. Heddy Matthias and Lori Gregory will face off in the undercard dueling with dangling participles and other um, devices. Robbie Bell will perform Her two latest songs: My Best Friends are in the Media and Mama's, Don't Let Your Babies Grow up to be George Bell. Sid Salter of The Clarion-Ledger will host "Pin the Tail on the Trial Lawyer", sponsored by State Farm.

There will be a hugging booth where in exchange for your young son, Frank Melton will give you a loooong hug. Trollfest will have a dunking booth where Muhammed the terrorist will curse you to Allah as you try to hit a target that will drop him into a vat of pig grease. However, in the true spirit of Separate But Equal, Don Imus and someone from NE Jackson will also sit in the dunking booth for an equal amount of time. Tom Head will give a reading for two hours on why he can't figure out who the hell he is. Cliff Cargill will give lessons with his .80 caliber desert eagle, using Frank Melton photos as targets. Tackleberry will be on hand for an autograph session. KIM Waaaaaade will be passing out free titles and deeds to crackhouses formerly owned by The Wood Street Players.

If you get tired come relax at the Fox News Tent. To gain admittance to the VIP section, bring either your Republican Party ID card or a Rebel Flag. Bringing both will entitle you to free drinks.Get your tickets now. Since this is an event for trolls, no ID is required, just bring the hate. Bring the family, Trollfest '07 is for EVERYONE!!!

This is definitely a Beaver production.

Note: Security provided by INS