Prosecutors Say They Were Sent Confidential Information In Gott, Dobson Fraud Case

Monday, March 18, 2013

Two federal prosecutors said they were emailed confidential information between one of two Marion County men facing mortgage fraud charges and his attorney.

Prosecutor Perry Pipe said the information in one email by Paul Gott III, 40, "on its face at least to us appears to be incriminating."

Prosecutors Piper and John McCoon asked Federal Judge Curtis Collier how the information should be handled, and the judge on Monday said none of it should be used by prosecutors. But he declined to order the prosecutors off the case.

Gott, 40, said even if the information is shreded that it is "already in their heads."

Judge Collier said the trial of Gott and Joshua Dobson, 35, will proceed as planned on April 8. They were indicted by a federal grand jury in Chattanooga last year for a mortgage fraud that investigators said involved some $45 million in transactions. "Buyers" from several states were involved. The property is in Dade County, Ga., at Johnson's Crook. The development was known as The Preserve.

Gott's attorney, John McDougal, said the emails apparently got to the government because Gott has a number of others on his correspondence list. He said the government already had a lot of the same information from its investigation.

But prosecutor Piper acknowledged that the government did pick up some facts by reading the emails.

He said, looking back, he wishes he had not looked at the documents when his fellow prosecutor brought them to him and said, "Hey, did you see this?"

Prosecutor Piper said he wishes now he had said, "No, and don't show it to me."

He said he and prosecutor McCoon conferred with Justice Department professional responsibility officers in Greeneville, Tn., and in Washington, D.C., and quickly alerted the court to the development.   

The 12-count indictment also names the Southern Group, Southern Mountain Resorts, Southern Property Management Group and Southern Real Estate of Tennessee.

It says the defendants offered property for sale and told prospective buyers they would furnish the down payment to the buyer at closing. They said they would cover the mortgage payments for three years. And they said they would purchase an option to buy back the property at a profit to the "buyers" at the end of the three-year period.

The investigation was handled by the FBI and the Internal Revenue Service.

Gott is a UTC finance graduate who worked 10 years as a lender officer.


Latest Hamilton County Jail Booking Report

Here is the latest jail booking report from Hamilton County: ACUFF, DEBORAH LYNN  3334 E. 34TH ST CHATTANOOGA, 37407  Age at Arrest: 55 years old Arresting Agency:  INDECENT EXPOSURE --- ARNOLD, KENNETH ROGER  3711 CLIO AVENUE CHATTANOOGA, 37407  Age at Arrest: 52 years old Arresting Agency: Hamilton County Booked for Previous Charges ... (click for more)

Councilman Banks Asks Bradley Schools To Dismiss Liquor-By-The-Drink Lawsuit; Fivas Hits The Ground Running

The courts have twice ruled in favor of the city of Cleveland regarding taxes generated by the sale of liquor-by-the-drink, Councilman Richard Banks noted at the Cleveland City Council meeting Monday afternoon. Therefore, he made a motion to ask the new Bradley County School Board to dismiss its lawsuit against Cleveland. That board has been seeking to be paid a large portion of ... (click for more)

Of Course Gangs Are A Public Nuisance

Now, I don't know it all.  Beginning with my parents, folks of all sorts have been actively pointing out my ignorance for more than seven decades now.  So I'm well aware that I don't know it all.  In recent months I've begun to develop an appreciation for the local work of Mr. Neal Pinkston; I've been impressed with several things he's been doing in his official ... (click for more)

Roy Exum: Arnold Palmer’s Greatness

This is hardly meant to be flippant but I’d be willing to bet I’ve been in the presence of more great people than anyone you know. I’ve never ranked them, or ever dared to wonder who was the greatest, such as Muhammad Ali or Elvis Presley, but there are two traits that those who reach the highest pinnacle have in common. First, not a one of them was any good at what made them famous ... (click for more)

Vols' Dobbs, Barnett Grab SEC Player of Week Honors

BIRMINGHAM, Ala. – Tennessee quarterback Joshua Dobbs is the SEC Offensive Player of the Week and end Derek Barnett the SEC Co-Defensive Player of the Week. This week's honor marks the first time this season that a Vol has earned SEC Offensive Player of the Week. Dobbs was the last UT player to win the award in Week 6 of 2015 following his performance in the Vols' ... (click for more)

Craine, Ribeiro Named SoCon Players Of The Week

Two University of Tennessee at Chattanooga football student-athletes were named Southern Conference Players of the Week, following the Mocs' 41-21 win over Samford on Saturday.  Seniors Derrick Craine and Henrique Ribeiro both earned recognition from the league office announced today. Craine rushed for a career-high 222 yards on 23 carries with two touchdowns in the win. ... (click for more)