- ALWAYS paid before the monthly due date
- NEVER delinquent
- NEVER in default
- And with regard to Mr. Young residence in Chapel Hill, NC the subject mortgage loan was PAID-IN-FULL on the day he was violently evicted by a SWAT team of corrupt cops.
This entry covers . . .
FRAUD ELEMENT # 3
which involved . . .
Wiring Monies Without Authorization
In response to the abrupt cancellation of rental receipts via ACH, Mr. Young made arrangements to receive such rental receipts at another bank; however, in a diabolical effort to anger Mr. Young’s tenants, Paragon Commercial Bank processed the ACH rental payments anyway, thereby duplicating their rent payments that month. Mr. Young learned of this from an irate tenant.
On Feb. 10, 2009, Young pointed out in an email to Carol Horton of Paragon (where Mr. Hatley and Mr. Borden were also copied), the rental receipts “were reversed elsewhere, so no ACH’s should be reversed on the Paragon end”. On that same day, Mr. Young sent Mr. Hoose an email (also copying Mr. Hatley) and said “I expressly told you NOT to reverse the ACHs because I indicated they were already reversed at the other counterparty bank”.
Then on Feb. 11th, Mr. Young sent Mr. Hatley a memo asking him to “ensure Paragon does NOT reverse any ACH Deposits as I have expressly articulated to your staff on many occasions (and you were also copied). As the duplicate deposits were reversed at the other receiving bank, they should NOT be reversed by Paragon, as those funds are necessary to make the February 2009 debt service payments – there is no basis nor legitimacy for doing so, and you do NOT have my authorization to do so. And if you did in fact do so, it would indicate you are fraudulently trying to orchestrate unlawful loan defaults.”
Ignoring Mr. Young’s reiterated directions, on Feb. 13, 2009, Paragon Commercial Bank wrongfully wired out numerous deposits of tenant rent remittances, thereby sending valid rental income deposits back to each of the tenant’s bank accounts at their respective financial institutions. This was done without authorization, nor legitimacy, and in direct contradiction to express written instructions given by Mr. Young to NUMEROUS Paragon employees on NUMEROUS occasions. This also caused tremendous confusion, making recovery of this rental income a time-consuming and deliberately vexing task.
These actions were carried out with malicious intent on the eve of the loan payment due dates for the largest loans (i.e., Feb 15) so as to artificially create an insufficient fund balance to service the loans at that time. Clearly, had Paragon serviced the subject loans pursuant to the explicit and unambiguous instructions from Mr. Young on February 6th and thereafter, the loans would have been fully current, as they had always been since inception.