- 12 - Fred Sutton were deposited into the corporate account other than as part of the store deposits. Personal Resources Mr. Sutton claimed that he obtained personal loans from Charles W. Palmer, an elderly man who has known Mr. Sutton for the latter's entire life. Mr. Palmer did not charge Mr. Sutton interest on these alleged loans, although Mr. Palmer did charge interest to others to whom he made loans. These loans were allegedly made in cash by Mr. Palmer and repaid in cash by Mr. Sutton. Mr. Sutton testified that he would write a check to Mr. Palmer for the amount of the loan, that Mr. Palmer would hold that check until the loan was repaid, that on the back of that check, the dates and amounts of Mr. Sutton's payments would be recorded,4 and that, usually, the payments were weekly and in amounts of $500, but sometimes they would be $1,000. Neither Mr. Palmer nor Mr. Sutton had any contemporaneous records of these alleged loans. Once a loan was repaid, Mr. Palmer allegedly would return the check to Mr. Sutton, and Mr. Sutton would tear 4 Mr. Sutton testified that Mr. Palmer recorded the payments on the back of the check. Mr. Palmer testified that he never wrote anything, and that Mr. Sutton kept the checks and made the payment notations. The Court did not believe the testimony of either Mr. Palmer or Mr. Sutton in regard to these alleged loans. Mr. Palmer testified that he kept up to $100,000 in a metal box and that he lent out money from that box over and over again without any interest. The Court found his testimony to be inherently incredible.Page: Previous 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 Next
Last modified: May 25, 2011