Altus Venture's attorney suddenly withdraws only hours before company president's deposition
March 11, 2009
On Monday, March 10, 2009, a Colorado attorney suddenly withdrew from representing Altus Venture only hours before the president of Altus Venture, Paul Doughty, was to face questioning, by the opposing attorney in the Colorado land scam case.
The withdrawing attorney has been for the last 18 months representing FSB Bancorp and subsidiaries, which included Altus Venture. Oddly the attorney only withdrew from representing the one subsidiary, Altus Venture, citing for "good cause" as the reason.
Brief history on Altus Venture and Paul Doughty.
January 16, 2009 the FDIC issued a Cease and Desist order on First State Bank Altus. The Federal Reserve Board had to issue a 2nd Cease and Desist order, February 11, 2009, to reiterate the order and audit applied to the holding company FSB Bancorp and all non-bank subsidiaries. This included Altus Venture and Quartz Mountain Aerospace, specifically prohibiting "self-dealing."
According to a 2006 AP news article Paul Doughty as president of Altus Venture was involved in using a questionable $189 million loan to inflate a claimed investment in Quartz Mountain Aerospace to $221 million. Then claimed $66 million in tax credits for what was in reality only a $32 million investment. Quartz Mountain Aerospace recently closed its doors for lack of funds, without ever receiving the $189 million. Yet state officials; 1) continue ignoring calls to investigate the missing $189 million; and 2) are making no efforts to recover some $55 million in excessive tax credits Altus Venture received based on the false inflated investment claim.
In another 2006 article AP reported Paul Doughty, already the worst known abuser of the tax credit program, was used to advise the House Revenue and Taxation Committee on the house's changes to a senate bill introduced with the stated intent of preventing the very loan scheme Altus Venture had used. That occurred during the same time frame several key FSB and Altus Venture officers gave a large bundled donation to the chairman of the Revenue and Taxation Committee who then relied on Doughty's input. That legislation was held in the house committee until the last days of the session when it was sent to both floors along with the usual large stack of last minute bills no one reads.
It should be pointed out: 1) that Oklahoma has no laws to prevent state officials from investing in companies like Altus Venture that receive these tax credits and pay "so called investors" $2 for every $1 invested; and 2) state officials are denying the public access to info showing who is involved. Since the 200% profit can be returned within a matter of weeks or months it is not necessary that the "so called investors" actually put up their investment. The 200% profit is returned before the business venture receives the money, removing any risk while adding no value.
Could it be that state officials are benefiting is the reason behind their remaining so protective of the misuse of the tax credit; refusing to investigate; claiming there is nothing illegal occurring; and continue denying the public the right to see what the program is costing, what the money is used for and who is benefiting?