Payette County named as defendant in suit against accused stock fraud operators Donald Gillispie, Jennifer Ransom, and Alternate Energy Holdings Inc.
17 Apr, 2012, 06:35 ET
PAYETTE, Idaho, April 17, 2012 /PRNewswire/ -- Announced today by Mauk & Burgoyne, Payette County has been named as a defendant in a lawsuit filed yesterday in the Third Judicial District Court against Alternate Energy Holdings Inc. (AEHI), Donald Gillispie, and Jennifer Ransom based upon the county's actions in connection with the AEHI stock fraud and nuclear power plant scheme. The lawsuit, filed by a group of property owners, does not seek money damages, but asks the court to declare that the county's actions regarding its comprehensive plan, rezoning, variances, and 20-year development agreement with AEHI are illegal and therefore null and void. It also seeks an injunction against any further action to enforce any of the illegal decisions and actions, which are alleged to have been used by Gillispie, Ransom, and AEHI in the furtherance of the stock fraud scheme.
According to the lawsuit, AEHI came to Payette County in October 2009 with its purported plan to build a nuclear power plant, and even though the company had no revenues, profits, or operating business it obtained initial Payette County approval within two months of filing its first application. The suit also alleges that AEHI, Gillispie, and Ransom used approvals granted by Payette County — which were clearly granted in violation of Idaho law — to quickly increase the cash generated by its stock fraud scheme. It further alleges that during the six months following Payette County's hastily granted initial approval, AEHI raised more than $9.1 million from private stock sales — ten times more than its prior quarterly average.
The lawsuit alleges that because of these and other actions Payette County played a critical — and unlawful — role in the AEHI stock fraud scheme. It requests the court to enter a judgment declaring the 20-year development agreement with AEHI, zoning change, variance, and comprehensive plan change are null and void and enjoining any further enforcement of these actions.
Wade Woodard and Tom Banducci of Banducci Woodard Schwartzman and Nels Mitchell of Mauk & Burgoyne represent the plaintiff-property owners.
Nelson Mitchell, 208.345.2654, [email protected]
Wade Woodard, 208.342.4411, [email protected]
Tony Harrison, 208.880.9814, [email protected]
SOURCE Mauk & Burgoyne
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