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Indy lawyer pays $371,000 to settle Fair Finance lawsuit

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Fair Finance Co.’s bankruptcy trustee has reached a $371,000 settlement with Stephen Plopper, an Indianapolis attorney accused of defaulting on a 2003 loan from the Tim Durham-owned business.

Trustee Brian Bash sued Plopper and his wife, Linda, in February, saying the couple failed to pay off a $250,000 loan that matured in 2006. Accrued interest pushed the amount owed past $370,000, according to the lawsuit.

Rather than contest the suit, the Ploppers agreed to pay the full amount owed, a filing in U.S. Bankruptcy Court for the Northern District of Ohio shows. The deal represents a rare victory for Bash, who has struggled to recover money for the more than 5,200 Ohio investors who purchased unsecured investment certificates from Fair. The investors are owed more than $230 million.

Money collected so far will help cover the cost of Bash’s legal effort.

In a recent posting on the Fair Finance trustee’s website, Bash wrote: “I cannot be certain there will be any recovery, and I would be very surprised if the recovery approached twenty-five percent.”

Stephen Plopper served as secretary of Fair Holdings, parent of the Akron-based finance firm. He formerly operated his law practice out of the top floor of the Chase Tower in downtown Indianapolis, sharing space with Durham.

Plopper is among more than a dozen Durham associates who received loans from Fair after Durham and fellow Indianapolis businessman Jim Cochran bought the business in 2002.

In January, the trustee sued Durham's sister, Dana Osler, and her husband, Jeffrey Osler, charging they defaulted on a company loan and now owe $1.2 million. Jeffrey Osler served as executive vice president and a board member of Obsidian Enterprises Inc., Durham’s Indianapolis-based buyout company.

A federal grand jury this month indicted Durham, Cochran and Fair’s chief financial officer, Rick Snow, on 12 felony counts. The indictment alleges the trio worked together to devise and execute a scheme to defraud purchasers of Fair’s investment certificates.

Authorities say company executives doled out related-party loans with abandon, stripping Fair of its ability to repay investors.

Attorneys for the defendants have denied wrongdoing or have declined to comment.

More coverage of the Fair Finance fraud investigation can be found here.

This story originally ran in the March 31, 2011, IBJ Daily.
 

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  1. Someone off their meds? C'mon John, it is called the politics of Empire. Get with the program, will ya? How can we build one world under secularist ideals without breaking a few eggs? Of course, once it is fully built, is the American public who will feel the deadly grip of the velvet glove. One cannot lay down with dogs without getting fleas. The cup of wrath is nearly full, John Smith, nearly full. Oops, there I go, almost sounding as alarmist as Smith. Guess he and I both need to listen to this again: https://www.youtube.com/watch?v=CRnQ65J02XA

  2. Charles Rice was one of the greatest of the so-called great generation in America. I was privileged to count him among my mentors. He stood firm for Christ and Christ's Church in the Spirit of Thomas More, always quick to be a good servant of the King, but always God's first. I had Rice come speak to 700 in Fort Wayne as Obama took office. Rice was concerned that this rise of aggressive secularism and militant Islam were dual threats to Christendom,er, please forgive, I meant to say "Western Civilization". RIP Charlie. You are safe at home.

  3. It's a big fat black mark against the US that they radicalized a lot of these Afghan jihadis in the 80s to fight the soviets and then when they predictably got around to biting the hand that fed them, the US had to invade their homelands, install a bunch of corrupt drug kingpins and kleptocrats, take these guys and torture the hell out of them. Why for example did the US have to sodomize them? Dubya said "they hate us for our freedoms!" Here, try some of that freedom whether you like it or not!!! Now they got even more reasons to hate us-- lets just keep bombing the crap out of their populations, installing more puppet regimes, arming one faction against another, etc etc etc.... the US is becoming a monster. No wonder they hate us. Here's my modest recommendation. How about we follow "Just War" theory in the future. St Augustine had it right. How about we treat these obvious prisoners of war according to the Geneva convention instead of torturing them in sadistic and perverted ways.

  4. As usual, John is "spot-on." The subtle but poignant points he makes are numerous and warrant reflection by mediators and users. Oh but were it so simple.

  5. ACLU. Way to step up against the police state. I see a lot of things from the ACLU I don't like but this one is a gold star in its column.... instead of fighting it the authorities should apologize and back off.

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