A Racketeer Influenced and Corrupt Organizations (RICO) lawsuit was filed today in the UNITED STATES DISTRICT COURT DISTRICT OF SOUTH CAROLINA against Burr Forman f/k/a McNair Law Firm, P.A., Lane Jefferies, David Hicks, and Henrietta Golding.
RICO is a federal law enacted in the early 1970s that provides for extended criminal penalties and a civil cause of action for acts performed as part of an ongoing criminal organization.
The lawsuit states that West Town Bank & Trust was the victim of two different instances of successful bank fraud, and two more instances of attempted bank fraud, orchestrated by McNair Law Firm, Lane Jefferies, David Hicks and Henrietta Golding.
The Defendant attorneys explicitly agreed to conceal the sale of an un-mortgaged property in order to prevent West Town Bank & Trust from demanding a much larger sum to release its mortgage on a commercial property in Myrtle Beach South Carolina.
At least one of the Defendant attorneys also participated in a kickback scheme in which $235,000.00 was paid outside the closing for a property with two separate mortgages from two separate FDIC insured institutions. These illegal payments were actively concealed from West Town and induced the bank to accept only $7500.00 for the release of its $3.6 million dollar mortgage.
Defendant attorneys also transmitted false communications to West Town Bank & Trust in February 2015 concerning a potential deal for the sale of all Rabon & Rabon, Inc. properties.
Finally, the Defendant attorneys actively formulated and marketed a scheme of bank fraud for the primary property under the West Town Mortgage in late 2015 and early 2016.
This scheme was reduced to writing and distributed to numerous potential investors in Myrtle Beach South Carolina. The written scheme required Burr Forman to induce a “short-sale” of the largest and most valuable property operated by the Plaintiffs.
The suit states, “If Burr Forman was able to obtain a short sale, the sales price determined the amount of the kick-back to be paid to the criminal conspirators.“