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."


Corker, Bipartisan Group Of Lawmakers Urge Democratic Republic Of Congo to Act On Adoption Reform

Senator Bob Corker joined Senators John Cornyn (R-Tx.) and Amy Klobuchar (D-Mn.) and a bipartisan group of 183 lawmakers in a letter this week urging parliamentary leaders in the Democratic Republic of Congo (DRC) to pass adoption reform legislation and resume intercountry adoptions after the country suspended issuance of exit letters last year:   “We are concerned ... (click for more)

Latest Hamilton County Jail Booking Report - And Mug Shots

Here is the latest jail booking report from Hamilton County: ALLEN, BRIAN PATRICK 7337 VALLEY LANE HIXSON, 37343 45 Hamilton County POSSESSION OF MARIJUANA MOTORCYCLE HELMET LAW VIOLATION IMPROPER PASSING (NO PASSING ZONES) POSSESSION OF DRUG PARAPHERNALIA ALLEN, THADDEUS JOEL 3401 CAMPBELL ST #313 CHATTANOOGA, 37406 21 Hamilton County DOMESTIC ... (click for more)

Congratulations To Ron Hughes

Hearty congratulations to Ron Hughes for being selected as Tennessee State Elementary Principal of the Year for 2014. Wherever Ron has been assigned as principal, he has exhibited strong leadership both academically and morally. His faith in God and his love for the students of Hamilton County have guided his actions and everyone that has benefited from the excellent education ... (click for more)

Roy Exum: Brittany’s Days Dwindle

So here we are, facing what is known as “Devil’s Night” before Halloween comes, and the almost macabre news now comes that Brittany Maynard, the beautiful girl who has chosen to end her life as soon as Saturday, is struggling to meet her own deadline. She has inoperable brain cancer and, at best, only months to live. The 29-year-old, who was married shortly before her devastating ... (click for more)

Notre Dame Soccer Advance to A-AA State Semis

MURFREESBORO - Juniors Sofia Olenchek and Emma Higgins scored two goals each to lead Notre Dame to a 4-0 victory against No.9 Spring Hill here Wednesday night in a TSSAA A-AA State Girls Quarterfinals at the Richard Siegel Soccer Complex. The win advances No.2 Notre Dame (11-5-4) to the state semis against Jackson Christian Thursday at 5 p.m. EDT. Jackson Christian ... (click for more)

CCS Soccer Wins 1-0; Advances to State Semis

MURFREESBORO - Freshman striker Olivia Hoffman was in the right place at the right time as her goal in the 26th minute proved to be the match winner as No.4 Chattanooga Christian defeated No. 5 Hume Fogg, 1-0, here Wednesday in a TSSAA A-AA State Girls Soccer Quarterfinal at Richard Siegel Soccer Complex. "The ball bounced off a couple of players and I was able to put it ... (click for more)