Bank away from Whitewater v. Decker Financial investments, Inc
DECKER Financial investments, INC., mais aussi al., Defendants-Appellees, and you can AVCO Monetary Characteristics Regarding TOPEKA, INC., and you will Partners Economic Characteristics Organization Away from Ohio, INC., Defendants-Appellants, and you will Financial Out-of Middle-The usa, Plaintiff-Appellee, vPASS Developments, INC., ainsi que al., Defendants-Appellees.
The financial institution Regarding WHITEWATER, Plaintiff-Appellee, v
Charles S. Fisher, Jr., out-of Fisher, Heck and you will Wright, P.A great., regarding Topeka, debated the reason and you may try towards short-term to have appellants AVCO Monetary Characteristics off Topeka, Inc. and you may Couples Financial Services Organization of Kansas, Inc.
Richard V. Foote, of Matlack & Foote, P.A., out-of Wichita, debated the cause and you may try on the short-term to own appellee Lender out of Whitewater.
Jack Focht, off Focht, Hughey & Hund, regarding Wichita, contended the reason and are toward brief getting appellee Karl Umbach.
Orlin L. Wagner, out-of Wichita, argued the reason and you will Richard A. Macias and you will Wilbur D. Geeding, both of Wichita, were having him on temporary to possess appellees Superstar Material & Also provide Co., Inc.; An effective.B. Masonry Framework, Inc.; and you may James C. Meadows and you can Roger D. Meadows d/b/an excellent J & J Companies.
This is certainly a home loan property foreclosure action for which several strategies was consolidated one to registered by appellee Lender of Whitewater, and something registered from the Lender from Mid-The usa.
Just after comprehensive knowledge, Couples Financial Functions off Ohio, Inc. (Associates); Avco Financial Functions out of Topeka, Inc. (AVCO); and you may Lender off Mid-America revised their methods to enhance the issue of fraud once the a shelter into early in the day filed mortgage loans of the Bank out-of Whitewater. Scott Stuber and you will Stephen A beneficial. Decker.
Multiple mechanics’ lien claimants also stated a primary lien to the specific of the functions getting foreclosed abreast of. The fresh new authenticity of those liens together with schedules where they affixed had been situations bifurcated throughout the head trial and you can determined at the a young mode.
The new demonstration legal discover new mortgage loans kept by Financial regarding Whitewater with the assets in question as ahead of the says of Couples, AVCO in addition to Financial out of Middle-The united states. The fresh legal failed to find people scam or wrongdoing into the a portion of the Bank away from Whitewater or its vice-president, Karl Umbach.
AVCO and you can Couples interest with the multiple things. Mainly, people say the new demonstration judge erred in failing woefully to hold the mortgages earliest and prior liens elderly to any or all most other appeal and for the failing woefully to see *310 you to definitely Karl Umbach therefore the Financial off Whitewater the full time swindle through to the fresh appellants.
Why don’t we earliest select the functions in addition to their dating. AVCO and Partners is actually financial financing associations integrated on Condition away from Kansas that have offices situated in Wichita, Kansas.
The financial institution out of Whitewater are a financial agency prepared under the statutes of your own County out-of Ohio featuring its prominent place of company into the Whitewater, Kansas. John Umbach is actually the fresh new chairman and you will doing work lead of your own Lender out-of Whitewater. His spouse, Marilyn Umbach, served as a receptionist of the bank in addition to their boy, Karl Umbach, served as the bank’s professional vice-president. Ninety-8% of one’s bank’s inventory is actually belonging to the fresh new Umbach family members.
The financial institution out-of Whitewater is actually performing below a permission Arrangement issued on August twenty-eight, 1975, from the Government Deposit Insurance rates Organization relative to unreliable banking techniques, including: excessively lending beyond the financing territory; inadequate margin off safety on equity funds; unsatisfying results off a debtor; weak financial position; collateral having questionable liquidation value; mortgage intensity of borrowing from the bank; and you will improper supervision out of funds.
As well as asking you to their mortgage loans be adjudged past, it prayed for actual and punitive injuries contrary to the Bank off Whitewater, Karl Umbach, J
J. Scott Stuber and you may Stephen A. Decker (hereinafter Stuber and Decker) had been residents of Sedgwick State, Kansas. Mr. Decker is actually brand new president off Decker Financial investments, Inc.; ents, Inc. Mr. Stuber is a genuine home developer. Stuber and you may Decker began working along with her on second online installment loans Louisiana area off 1978, dealing mostly in the real estate investments. Stuber and you can Decker was in fact lovers on transactions employed in it suit. The relationship run on label regarding Stephen Decker manageable to avoid view financial institutions from Stuber.