Was multiple deception involved?
Question 1. Were the citizens deceived about how much was being loaned?
Were the people of Altus kept in the dark about a $220,000 loan the city/county's Economic Development Corporation made to Quartz Mountain Aerospace just days before the City Council met and agreed to loan Quartz Mountain Aerospace another $200,000. Both organizations share common board members who were present at both meetings.
Question 2. Were the citizens deceived again on how the money was used?
The City of Altus and Economic Development Corporation combined loaned Quartz Mountain Aerospace some $420,000 using the claims money would be used to pay employees. Yet Quartz Mountain Aerospace had already failed to pay payroll withholdings. And, kept failing to pay even after receiving public funds.
Download meeting minutes
AltusVentures/Southwest Area Economic Development Corporation Board - August 21, 2008. Download
Altus City council - September 2, 2008. Download
At least three people involved with the city council are listed on the Economic Development Corporation meeting minutes as present and voted to approve loaning Quartz Mountain Aerospace the $220,000. Mayor Gramling - City Councilman Garrett and City Administrator Nettles. But, does anyone remember any of these mentioning the Economic Development Corporation loan at the city council meetings?
Question 3. Did those responsible fail to properly register the liens?
According to the minutes of the Economic Development Corporation meeting one of the Quartz Mountain Aerospace planes was to be used as collateral. Assets were also promised as collateral for the $200,000 loan from the city.
Some are now questioning if all the liens were properly filed. Quartz Mountain Aerospace is rumored to currently be seeking capital. Unfiled liens could result in those considering loaning money to Quartz Mountain Aerospace from discovering the real story during background checks. Not to mention this could leave the public without protection against default.
Question 4. Did those responsible fail to insure the borrower QMA had loss and damage insurance on the collateral?
If liens were not filed, then it is likely no one bothered to insure the collateral was protected against losses and damages. The same as when someone takes out an home, auto, boat, etc. loan the borrower is required to provided insurance to protect against losses and damages.
Should the City and Economic Development Corporation have been forthcoming with this information or is this considered acceptable conduct in Altus?
Is the City and Economic Development Corporation devoting as much time and effort to protect the public interest as they are to
helping their friens QMA. QMA, a company that has failed to take care of its employees who are the same citizens those on the city council and Economic Development board are using their tax money and are supposed to be protecting? Doesn't the power and authority to make these decisions come with responsibilities? Or, is it all authority to give away public money without bothering with the most commonly accepted practices of protecting against wrong?
With all the claims of financial misconduct and lawsuits surrounding Quartz Mountain Aerospace, Altus Venture and First State Bank Altus this is the kind of information taxpayers have a right to know.
Now there is more!
Now we are hearing reports that Quartz Mountain Aerospace is some $90,000 behind on city utilities and another approximately $10,000 behind on airplane fuel. Yet city officials don't seem to be treating this the same way other businesses are treated.
Is QMA receiving special treatment? If so then why would QMA receive special treatment? Does anyone know the identities of those having ownership in QMA? That seems like an appropriate question; especially consider all the special treatment QMA seems to be receiving.
Then there is that question of what happened to the $189 million that according to 2006 news reports Altus Venture claimed would be invested in Quartz Mountain Aerospace in order to receive some $64 to $66 million in tax credits. (Tax credits that were allowed to be sold for cash.) Who received the money from those tax credits as profits? Wouldn't it seem right that Altus Venture cough up the rest of what they claimed to invest to pay employees what they have coming, pay off the city and Economic Development Corporation? How come these employees and their families; and the citizens have to lose so others can enjoy a huge 200% profit for doing nothing?
Update: Additional evidence was uncovered revealing Altus Venture claimed investing $221 million in 2005, then claimed investing another $200 million in 2006. Altus Venture received $66 million in tax credits for 2005 and another $60 million in 2006. This same evidence shows Altus Venture invested only $32 million and part of the $32 million was invested in 2004. We have yet to uncover information to show how much Altus Venture claimed to have invested in 2004 or how much they received in tax credits?