U.S. Trustee Has "Substantial Number Of Questions" For Soddy Daisy Tax Advisor Jack Brown

Friday, January 04, 2013

The U.S. Trustee's office says it has "a substantial number of questions" for Soddy Daisy tax advisor Jack E. Brown, who is alleged to have taken over $10 million from clients to invest and left them holding the bag.

Samuel K. Crocker, the United States Trustee for Region 8, said in a motion in Chattanooga Bankruptcy Court that Brown ought to be subject to questioning despite his medical condition.

Brown's physician, Dr. Joe Watlington, said he is in ill health and confined to a nursing home.

He said Brown could answer questions at his bedside, but it would require an ambulance and a stretcher to take him to a hearing in Bankruptcy Court.

On Dec. 13, Brown's attorney filed a motion seeking to excuse his appearance from the meeting of creditors.

The motion claimed that Brown has fully cooperated with the trustee assigned to the bankruptcy case in identifying and gathering together assets and financial records "consistent with his rights under the 5th Amendment of the Constitution."

Trustee Jerry Farinash later denied that he has gotten full cooperation from Brown and his wife and son.

U.S. Trustee Crocker said there is the possibility of Brown taking part in the meeting by phone. He said his staff is willing to travel to the nursing home for an interview there.

U.S. Trustee Crocker said, "The debtor filed schedules stating he owes unsecured creditors over $10 million. Additionally, allegations have been made by an attorney representing several creditors that the debtor has been operating a Ponzi scheme for several years. Allegedly, the debtor solicited funds from investors in the Soddy Daisy community by promising the investors a large return on their investment via the debtor’s execution of a promissory note.

"Further, based on the debtor’s own sworn answers on his Schedule E, the debtor owes a number of individuals in the Soddy Daisy community millions of dollars. The U.S. Trustee believes that these numerous creditors will likely want to attend the meeting of creditors and ask the debtor about his dissipation of over $10 million.

"Finally, the U.S. Trustee has a substantial number of questions for the debtor, and his family members, regarding the receipt and use of millions of dollars in “investor” funds. Excusing the debtor from attending the meeting of creditors and the Rule 2004 examination at the Courthouse is agreeable. However, the debtor should have to appear in some form, telephonic or one-on-one, to answer questions related to his assets and liabilities."


Latest Hamilton County Jail Booking Report - And Mug Shots

Here is the latest jail booking report from Hamilton County: AKRIDGE, JERTERRIUS MARSHAWN 6317 TALLEDEGA AVENUE CHATTANOOGA, 37421 20 Chattanooga THEFT OF PROPERTY EVADING ARREST RESISTING ARREST OR OBSTRUCTION OF LEGAL PROCESS RECKLESS ENDANGERMENT POSSESSION OF CONTROLLED SUBSTANCE ANTONIO, MICAELA 2001 E. 28TH ST. CHATTANOOGA, 37407 31 Hamilton ... (click for more)

Fort Oglethorpe Arrest Report For Nov. 14-20

Here is the Fort Oglethorpe arrest report for Nov. 14-20: Eric Brandon Carden, 22, of 192 Madgabend Road, Rossville was arrested November 13 on charges of driving while license suspended and operation of unregistered vehicle.   Michael James Dodd, 42, of 94 Cross Street, Fort Oglethorpe was arrested November 14 on a charge of shoplifting.   James ... (click for more)

Don't Allow Us To Be Overrun By People Who Do Not Belong Here - And Response (6)

Thank you, Senator Corker, for your clear, concise evaluation of the president's attempt to bypass Congress and personally and independently establish national policy that violates our current immigration laws.   Our long-standing failure to enforce our laws to control illegal immigration across our southern border has made this country less safe and ... (click for more)

Roy Exum: Our Tubman Goat-Roping

Every spring there comes a bright day on the ranch when the straw-boss decrees a goat-roping should take place. What really happens is the veteran cowboys arm the greenhorns with some lariats late in the afternoon and take them to the pen that holds some Billy goats. This is before they get into bigger beasts -- horses and cattle – yet what appears to be easy most certainly is not. ... (click for more)

Missouri Hangs On, Turns Back Tennessee, 29-21

KNOXVILLE, Tenn. – Missouri pin-pricked Joshua Dobbs’ bubble of invincibility Saturday night at Neyland Stadium. The nationally ranked Tigers drove a stake in Tennessee’s heart with Maty Mauk’s 73-yard touchdown pass to Jimmie Hunt in the fourth quarter, held Dobbs in check most of the game and beat the Vols, 29-21, before 95,821 fans on a chilly night on the banks of the Tennessee ... (click for more)

Mocs Win Big Over Furman, Undefeated In Conference Play

The University of Tennessee at Chattanooga football team put a cherry on top of its 2014 regular season with Saturday’s 45-19 win at Furman (3-9, 2-5 SoCon).  The victory gives the No. 9 Mocs (9-3, 7-0 SoCon) its first ever undefeated Southern Conference slate and its first nine-win season since 1979. Junior quarterback Jacob Huesman led the way with 257 passing yards ... (click for more)