Attorney Says Jack Brown Anxious To Talk About Case In Which Investors Lost Millions Of Dollars

Tuesday, February 19, 2013

Attorney Tom Ray said former Soddy Daisy tax advisor Jack E. Brown is "anxious to talk about" the case in which dozens of "investors" say they have losses totaling in the $12 million range.

But the interview did not happen as scheduled on Tuesday.

Attorney Ray said Brown, 58, was willing to answer questions at a residence where he is staying with relatives.

However, U.S. Trustee Bill Sonnenberg and the trustee assigned to the case, Jerry Farinash, said that was not acceptable.

They wanted it done at the Bankruptcy Court where they were waiting at 9 a.m.

Instead of Mr. Brown appearing, attorney Ray read a letter from his doctor saying that, due to his medical condition, he could not be brought by ambulance to the building on 11th Street.

Trustee Farinash said the case is "too contentious" and feelings are still running too hot to have had the meeting of creditors at a house without metal detectors and proper security. He noted that creditors would have the right to quiz Mr. Brown at the meeting. 

Mr. Brown, who had a tax service in Soddy Daisy, recently was released from Memorial Hospital. However, attorney Ray said he still has serious medical problems and has to be on dialysis three times a week.

But he said Mr. Brown is willing to give a full statement without invoking the Fifth Amendment.

"He is very sorry that all this happened," attorney Ray said.

Attorney Ray said the only thing keeping the case from being settled is "peanuts." He said the Browns are only asking that they be allowed to keep a few personal items that are special to them.

He said as long as the case drags on, attorney fees and court costs will continue to build up.

Trustee Farinash said there is no agreement regarding those items, and he said there is an issue of whether any assets are being concealed. He said the matter is complicated because there is also a bankruptcy case involving Brown's wife, Janet.

A new date for the creditors meeting is March 26.  


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