United Effort Plan Trust

Uh huh…

Unpaid property taxes have put control of more than 150 homes in a polygamous community in jeopardy and more may soon be at risk — part of a growing financial crisis that has reignited a rift between sect members and a court-appointed overseer.

Investment interests in 35 large, communal properties that are part of the United Effort Plan Trust were auctioned in a Mohave County tax lien certificate sale in February. The sale was triggered after about $124,000 of the $1.2 million total tax bill in Colorado City went unpaid in 2007.

The move means those who picked up the liens will be able to foreclose on the properties in three years if the back-due taxes plus accrued interest charges are not paid. That tab had surpassed $148,910 as of August, according to the Mohave County Treasurer’s Office.

The UEP Trust properties now saddled with the tax liens include homes, commercial and school buildings, vacant land and a 54-acre site that features a community park and a zoo.

Source/Full Story:  Salt Lake Tribune
Technorati Tags: FLDS, United Effort Plan Trust, Bruce R. Wisan

An appeal filed with the Utah Supreme Court says a district judge went too far when she stripped a polygamous sect’s charitable trust of its religious purpose and denied church members “an effective voice” in court proceedings.

In rulings in the United Effort Plan Trust case, 3rd District Judge Denise Lindberg has sanctioned “continued violations” of constitutional rights of thousands who belong to the Fundamentalist Church of Jesus Christ of Latter Day Saints, the appeal claims.

The appeal was filed Aug. 26 by attorneys representing five FLDS members, including sect bishops Lyle Jeffs and James Oler. Lindberg refused to allow the men to participate in the case.
…
It says those decisions include: Funding a “war chest against the FLDS,” endorsing a religious test for distribution of property deeds, rejecting settlement proposals aimed at ending the trust dispute and approving the sale of Berry Knoll Farm, a key trust asset.

On Aug. 24 Lindberg ordered that the farm be auctioned to the highest bidder to pay $3 million owed to fiduciary Bruce R. Wisan, who manages the trust, and his attorneys.
…

Source/Full Story @:  Salt Lake Tribune
Technorati Tags: FLDS, UEP

A Utah judge has ordered that a polygamous group’s historic farm be put up for bid to solve a cash crunch in a property trust once controlled by the sect.

Third District Judge Denise Lindberg said accepting bids on Berry Knoll Farm, part of the United Effort Plan Trust, will ensure the trust receives the "greatest economic value" and avoids any perception of bias in deciding who gets the property.

The judge said that if no acceptable bids are received, trust overseer Bruce R. Wisan may proceed with a previous purchase offer.

But that purchase contract is in flux. Kenneth Knudson of Berry Knoll Farms LLC recently told The Salt Lake Tribune he did not plan to proceed with the purchase without assurances the property will not be encumbered by lawsuits.

And more lawsuits are likely, including one on hold in federal court filed by members of the Fundamentalist Church of Jesus Christ of Latter Day Saints, who oppose the sale.

Wisan said he was not concerned about the federal action or any appeal to the Utah Supreme Court and will meet Wednesday to discuss the bid process with his trust advisory board, made up of non-FLDS members.

He expects interest in bidding on the property will be low given the politicized climate in the area, leaving Knudson and the FLDS as the only likely candidates.

"I do not expect a higher and better offer than what we have," said Wisan, referring to Knudson’s offer. "In essence, that is his bid."

Wisan said Monday he is "inches" away from finishing a revised purchase contract with Knudson, whom he acknowledged wants a "clear, nonappealable title" before closing the sale.

Source/Full Story: Salt Lake Tribune

A Utah judge has ordered the sale of a 400-acre parcel of land that is part of a communal property trust established by followers of jailed polygamous sect leader Warren Jeffs.

In a ruling issued Monday, 3rd District Court Judge Denise Lindberg says a liquidity crisis of the United Effort Plan Trust makes the sale of Berry Knoll necessary. The land-rich but cash-poor trust has about $3 million in debts and no dependable stream of revenue.

The order calls for the northern Arizona property to be sold to the highest bidder but gives no timetable. The decision comes nearly a month after Lindberg took public testimony on the sale.

"Having now considered all the arguments for and against the sale, the court concludes that the trust’s financial condition, and the ongoing difficulties in securing a reliable revenue stream to meet its past and present obligations warrant granting the (sale)," Lindberg wrote.

The Fundamentalist Church of Jesus Christ of Latter Day Saints may appeal Lindberg’s ruling in the state courts, church spokesman Willie Jessop said.

"The FLDS will exhaust every available remedy to preserve our children and to preserve our lands," said Jessop, who notes that the trust had no cash debts prior to 2005.

Per Lindberg’s decision, court-appointed accountant Bruce Wisan, who manages the trust, will advertise the sale, accept the bids and select the bid that most benefits the trust. Lindberg also gives Wisan room to reject the bids and instead accept an offer on the land tendered last year.

Trust attorney Jeffs Shields, who represents Wisan, said they hope to get the bid process established and moving within a few weeks. An advisory board that works with Wisan is to meet Wednesday, Shields said.

"We’re not going to delay this," Shields said. "I hope we’ll have other bids."

Source/Full Story: The Associated Press

A court-appointed fiduciary of a polygamous church trust has pleaded not guilty to misdemeanor trespassing and other charges related to his management operations.

Bruce R. Wisan was charged in Mocassin, Ariz. in April with six combined misdemeanor counts of solicitation, facilitation and criminal trespassing. They involve allegations that he encouraged a trust employee to enter homes in Colorado City, Ariz., last summer without the permission of residents.

The homes are held in the United Effort Plan Trust, an arm of the Fundamentalist Church of Jesus Christ of Latter Day Saints.

The Utah courts took control of the trust in 2005 and named Wisan its manager.

Source/Full Story: signonsandiego.com

The Utah attorney general’s office has filed a settlement proposal to end the dispute over a $114 million property trust once run by polygamous church leader Warren Jeffs.

As outlined in a letter of intent, the proposal returns control of most of the trust holdings to the Fundamentalist Church of Jesus Christ of Latter-day Saints.

An arm of the church, the United Effort Plan Trust holds most of the land and homes in Hildale, Utah, and Colorado City, Ariz., the twin towns where most church members live, and a church enclave in Bountiful, British Columbia.

The Utah courts seized the communal trust in 2005 after allegations of mismanagement by Jeffs. Under the oversight of a court-appointed fiduciary, the communal religious trust has been converted into a secular entity.

Settlement talks — between the attorneys general of Utah and Arizona, the FLDS and a court-appointed fiduciary — began last November when a trio of church members filed a lawsuit to stop the sale of land in Arizona that was set aside for a temple.

The letter filed in 3rd District Court late Monday seeks to accommodate the needs of both current and former church members who have contributed assets to the trust. The letter is only a framework for a settlement that must ultimately approved by 3rd District Judge Denise Lindberg.

Anyone with an interest in the UEP has until June 30 to submit comments on the proposal to the court.

Source/Full Story: Dallas Morning News

A former child bride who was the state’s star witness in the criminal case against Fundamentalist Church of Jesus Christ of Latter Day Saints leader Warren Jeffs is offering to settle a multi-million dollar lawsuit against the polygamous sect’s real estate holdings arm.

Elissa Wall sued over her forced marriage at age 14 to her 19-year-old cousin. She named the FLDS Church, its leader, Warren Jeffs, and the United Effort Plan (UEP) Trust as defendants. The proposed settlement was filed in Salt Lake City’s 3rd District Court last week in the ongoing litigation over the UEP Trust, which controls property in the FLDS communities of Hildale, Utah, and Colorado City, Ariz.

In the settlement, Wall asks for about $308,000 in compensation and a monetary judgment to be awarded in mediation or a damages-only trial. She also wants some undeveloped trust land as well as the properties that her family lives on.

"(Elissa Wall) will personally receive no further compensation, but will execute on her remaining judgment to facilitate the UEP Trust’s goal of conveying the homes built on UEP Trust land to Trust Participants," her attorney, Roger Hoole, wrote in a copy of the settlement obtained by KSL NewsRadio.

Source/Full Story: ksl.com

A court-appointed fiduciary has reversed a decision to reject a check for past-due housing fees from a southern Utah polygamous church.

Bruce Wisan initially rejected the Monday payment of $192,600 made "under protest" by the Fundamentalist Church of Jesus Christ of Latter Day Saints.

Source/Full Story: KIFI

A court-appointed accountant has rejected a payment from a polygamous church sect whose trust was taken over by the courts because of alleged mismanagement by their former leader, Warren Jeffs.

"The payment was made under protest. I don’t think we can accept it," accountant Bruce Wisan said Monday.

The $192,600 in delinquent fees is half of what is owed by the Fundamentalist Church of Jesus Christ of Latter Day Saints for six months of occupancy fees on homes in Hildale, Utah, and Colorado City, Ariz.

The homes in the twin towns and a church enclave in Bountiful, British Columbia, are held in the $114 million United Effort Plan Trust. The Utah courts took control of the UEP in 2005 after the allegations of mismanagement by Jeffs.

Jeffs is now serving a prison sentence on a 2007 conviction of accomplice to rape for his role in an arranged marriage involving a then-14-year-old follower in Utah. He is awaiting trial on criminal charges in Arizona and Texas also related to underage marriages.

The FLDS has been negotiating a settlement with the attorneys general of Utah and Arizona and with Wisan, who oversees the trust, to regain control of the UEP’s church land.

Third District Judge Denise Lindberg ordered the FLDS to pay the fees last fall. She imposed the Monday deadline last week and said if the FLDS failed to pay, she would consider allowing church land to be sold.

"As a peaceful people, we believe that settlement is the best way to resolve differences," FLDS spokesman Willie Jessop said in a statement.

He acknowledged the payment was made under protest.

All residents of trust homes are required by the court to pay a $100 monthly occupancy fee to Wisan. The FLDS paid the fees for two months last year, but claim that Utah Attorney General Mark Shurtleff brokered a deal with Wisan in February to forgive the fees during settlement talks and only collect the proceeds of milk sales from a church dairy in Beryl.

According to the FLDS, Wisan chose to collect some $100,000 in milk money instead of more than $40,000 in monthly occupancy fees. But Wisan denies making such a deal.

Shurtleff was traveling Monday and unavailable for comment.

Shurtleff’s spokesman, Paul Murphy, said by paying "under protest" the FLDS is preserving their right to challenge in court whether the payment should have ever been made. An assistant attorney general will ask the judge for direction on Tuesday, he said.

The other half of the $385,200 total fees is due June 15 — the same day the parties are to submit a settlement proposal to the judge.

In 2005, the states of Utah and Arizona sought control of the trust, contending that Jeffs, the church’s leader, had used its communal assets for his own benefit.

The FLDS follow the early teachings of Joseph Smith Jr., founder of the mainstream Church of Jesus Christ of Latter-day Saints, including the practice of polygamy, which is believed to bring glorification in heaven. The mainstream Mormon church abandoned the practice in 1890 as a condition of Utah’s statehood.

Source/Full Story: zimbio.com

Source: Salt Lake Tribune

An attorney who represented a polygamous sect for 17 years in various court battles over its communal property trust cannot switch sides and now represent members who want to sue the trust, a Utah judge ruled Wednesday.

Third District Judge Denise Lindberg disqualified Rod Parker and his law firm, Snow, Christensen & Martineau, from representing or consulting on actions brought against the United Effort Plan Trust.

The judge also set a Nov. 14 hearing in St. George on the trust’s proposed sale of the Berry Knoll Farm, giving sect members an opportunity to protest loss of property they consider sacred.

Regarding Parker, Lindberg said it would be inappropriate for him to use information gained as counsel against the trust, which holds virtually all property in the twin towns of Hildale, Utah, and Colorado City, Ariz.

Full Story…

Source: The Associated Press

Members of a polygamous church are suing to regain control of a property trust, claiming court reforms since 2005 have stripped it of its constitutional rights.

Filed Monday in U.S. District Court, the lawsuit contends that state control has secularized the religiously based United Effort Plan Trust and is dismantling a way of life for members of the Fundamentalist Church of Jesus Christ of Latter Day Saints.

“Utah, through its attorney general and the 3rd District Court, is interfering in obvious ways with the exercise of religion by the members of the FLDS church,” the lawsuit said.

The $110 million UEP Trust holds the property and homes in Hildale, Utah, and Colorado City, Ariz., the traditional home of the FLDS church. It also includes property in British Columbia.

The Utah courts seized the trust in 2005 after state attorneys said church leaders had used its funds for personal gain and had failed to defend it from lawsuits.

Court-appointed fiduciary Bruce Wisan has reformed the trust to strip church leaders of authority over its assets and pave the way for private homeownership. The reforms also call for the trust to be managed based on neutral legal principles, not religious doctrine or practice.

Full Story…

Source: Deseret News

The court-appointed special fiduciary for the United Effort Plan Trust is engaging in a “sociological and psychological war” with its beneficiaries, lawyers for Fundamentalist LDS Church members claim in newly filed court documents.

They note a November 2007 time entry for one of the fiduciary’s attorneys about reviewing a DVD of a jailhouse conversation FLDS leader Warren Jeffs had in which he renounced being a prophet. UEP trust lawyer Jeffrey L. Shields’ notation detailed a phone conversation with UEP fiduciary Bruce Wisan and a strategy session on “how to use the DVD in the sociological and psychological war with the beneficiaries of the Trust.”

“Regardless of how the parties got to this point, the current situation mandates some form of intervention and supervision from the court,” FLDS attorney Rod Parker wrote. “Meaningful supervision of the fiduciary’s perceived ’sociological and psychological war with the beneficiaries’ is essential.”

Contacted by the Deseret News on Tuesday, Shields said any war was not started by the fiduciary.

“Warren started the war. We’re defending the war,” he said. “I think there’s a sociological and psychological war, but we didn’t start it … we’re defending the trust.”

Full Story…

Source: Deseret News

…
A lawsuit was filed in Salt Lake City’s 3rd District Court late Friday, seeking to set aside an $8.8 million default judgment awarded to the court-appointed special fiduciary of the United Effort Plan Trust. The money was awarded in 2007 to Bruce Wisan after the UEP’s former trustees, including FLDS leader Warren Jeffs, failed to respond to Wisan’s lawsuit alleging they defrauded the trust.

But now the church is fighting back, claiming the judgment was obtained through “fraud upon the court.”

“The judgment was entered based upon false, incomplete, and misleading evidence,” FLDS attorney Rod Parker wrote in the 42-page lawsuit.

The FLDS’s lawsuit alleges that Wisan misrepresented to the court the property values, transactions, and claims the UEP trust may have had over personal property. Wisan has said that property was being taken from the FLDS communities of Hildale, Utah, and Colorado City, Ariz.

Full article…

Powered by ScribeFire.

Deseret News

Members of the Fundamentalist LDS Church are seeking to block the sale of land in the polygamous border towns of Hildale, Utah, and Colorado City, Ariz.

An emergency hearing is scheduled this afternoon in Salt Lake City’s 3rd District Court where lawyers for FLDS members Willie Jessop, Dan Johnson and Merlin Jessop are asking to halt the sale of any property under the control of the United Effort Plan Trust.

“Such sales pose an immediate and fundamental threat to the religious communal lifestyle and beliefs of the community because they threaten its self-sufficiency, and thus are contrary to law, constitutional rights, and the best interests of the people who live on Trust property and rely on it for their sustenance,” FLDS lawyer Rod Parker wrote in court papers filed Aug. 18.

But lawyers for the UEP Trust said the emergency request illustrates the problem that has plagued the FLDS Church’s real-estate holdings arm since it was taken over by the courts in 2005.

“Many members of the Trust’s beneficiary class simply refuse to recognize the authority and the actions of this court,” wrote lawyer Jeffrey L. Shields, who represents the court-appointed special fiduciary. “Such beneficiaries repeatedly ignore this court’s rulings, and act as if the former trustees/FLDS religious leaders are, or should be, still in control of the trust.”

…

Powered by ScribeFire.

Source: KCSG-TV St. George, UT

A lawsuit filed by a former child bride could ultimately bankrupt the trust that holds all property in Hildale and Colorado City.

The multi-million dollar personal injury lawsuit against the U-E-P trust was filed by Elissa Wall. Wall was the woman at the center of the case that ended in the conviction of Warren Jeffs on rape as an accomplice charges. Lawyers for the trust say if it is held liable, it could open the door to numerous other lawsuits by those who feel they were harmed by Jeffs. They say that such lawsuits could leave innocent people who live in homes owned by the trust with nothing.