Scissortail received $3.4 million in rural tax credits for claiming it had invested $11,390,000 in Commuter Air Technologies Holdings, LLC, during 2006.
Note: To qualify for tax credits Scissortail was required to buy at least 51% of the ownership in Commuter Air Technologies Holdings.
Acorn Growth Equity Capital LLC, records show they own 52% of Commuter Air Technologies Holdings, LLC, which Acorn purchased for $487,000 in November 2005. The same month Scissortail received its determination letter from the Oklahoma Tax Commission.
Information dated May 8, 2006 reveals.
1. The Acorn fund that bought Commuter Air Technologies Holdings shows investors had committed to a total of $2.35 million. That consisted of 47 shares worth $50,000 each. The fund was closed to investors on April 30, 2006.
2. "The Clarke III, LLC" bought 1 share for $50,000. Scissortail is owned by Sidney R. Clarke III. A list of all share holders is available and there is no other like name.
Acorn's December 31, 2006, balance sheet showed Acorn still owned Commuter Air Technologies Holdings, which Acorn carried as a $487,000 asset. The same as Acorn paid.
In summary Scissortail claims, in 2006, it paid $11,390,000 to buy a company someone else claimed then and still claim they own, and valued at a mere $487,000. The Clarke III, LLC, which is the only Scissortail connection found, had only invested $50,000
Is that a false claim? Or, as our governor and other state officials have claimed there was "nothing illegal." Or, a loophole as attributed to some unidentified tax attorney, that went unchallenged?
So what do you think? Just a loophole: or could this be another in a long line of false claims?
Based on the above, that would be a $68 profit for each $1 invested. But, that is nothing! You will see another that returned a lot more. Sound ridiculous? What if these were serving as channels for funneling kickbacks? That's one thought for us to ponder?