- 15 - SBA loan proceeds as collateral for the loans from PCA and from other lenders. On December 18, 1986, Mr. Gandy borrowed $90,000 from Sunbelt Savings (then Independent American Savings). The proceeds of this loan were used as a payment on the PCA loans. On April 16, 1987, at the request of PCA, petitioners redeemed the CD’s that were being used for collateral in order to reduce the balance outstanding on their PCA loan; they made a payment of $356,835.83 on that balance. At the same time, petitioners repaid the December 18, 1986, loan for $90,000 from Sunbelt Savings with funds from one of the redeemed CD’s. Other Loans On January 15, 1986, Mr. Gandy borrowed $21,000 from the First State Bank of Van. This money was deposited in the nursery bank account. Petitioners repaid this loan with funds from the nursery bank account on February 18, 1986. On March 10, 1986, Mrs. Gandy borrowed $1,500 from the First State Bank of Van, the proceeds of which went to Vernon Sexton. This loan was repaid in approximately monthly payments from a bank account at Sunbelt Savings styled Carolyn Gandy, Trust for Vernon Sexton, Jr. On August 1, 1986, Mr. Gandy borrowed $90,000 from Sunbelt Savings. Petitioners used the proceeds to fund a portion of a mortgage loan that they made to Todd Fowler (Fowler), as discussed below.Page: Previous 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Next
Last modified: May 25, 2011