Tulsa lawyer accused of bilking widow of $1 million-plus
The woman has filed a lawsuit against the attorney.
Defendant in lawsuit
Jasen Corns: The suit, filed in Tulsa County District Court by Elizabeth Lorene Stambaugh, alleges that Corns persuaded her to pay off his home's nearly $154,000 mortgage and to pay $579,000 for a second home for him. Stambaugh alleges that Corns "wrongfully induced" her to make disbursements out of her trust. Also, her trust was revised to leave Corns 40 percent of its net value upon her death, a change he requested, the suit alleges.
By GAVIN OFF World Data Editor
Published: 9/11/2010 2:24 AM
Last Modified: 9/11/2010 5:53 AM
A Tulsa attorney is accused in a lawsuit of taking more than $1 million in gifts and money from an 88-year-old Tulsa widow he was representing.
The suit, filed Wednesday in Tulsa County District Court by Elizabeth Lorene Stambaugh, alleges that attorney Jasen Corns persuaded Stambaugh to pay off his home's nearly $154,000 mortgage and to pay $579,000 for a second home for him.
Stambaugh alleges in the lawsuit that Corns "wrongfully induced" her to make disbursements out of her trust.
Also, Stambaugh's trust was revised to leave Corns 40 percent of its net value upon her death, a change requested by Corns, the suit alleges.
The suit names Corns and his law firm, Jenks Law.
Corns said he was not involved in the revisions to the trust and was told that he has been removed as a trust beneficiary.
"During his representation of Stambaugh, Corns prevailed on Stambaugh to make various gifts and loans out of her personal funds and the corpus of the Trust, resulting in at least $1,466,233 being distributed out of the Trust and her personal funds to him, his creditors and members of his immediate family," the lawsuit alleges.
Stambaugh's attorney declined to comment.
Corns said he began representing Stambaugh in 2005. He said the money he received from her was for his time working, amounting to 15 to 20 hours a week at a rate of $200 an hour for five years.
Corns said he ended the relationship with Stambaugh in August after she threatened to hurt his family.
"She promised, in recorded messages, to make sure, in her exact words, that my 'reputation was gone,' " Corns said via e-mail. "That is what her frivolous lawsuit is about."
He added: "As for any specific allegations, I deny all of them, other than the fact that she compensated me for my time for more than five years."
Specific allegations include that Stambaugh paid the mortgage of his former home and bought Corns a new one.
According to the suit, Stambaugh tried to get a mortgage from Corns for his former house to secure the nearly $154,000 payment she gave him. But Corns never signed or filed the mortgage or executed a promissory note, the lawsuit states.
"During their relationship, Corns and Jenks Law procured other substantial amounts of money from Stambaugh by the use of actual fraud, and/or other means which were against equity and good conscience toward an elderly person who placed trust and confidence in him," the suit states.
"She has never loaned me any money or bought me a house," Corns said. "I purchased my own home with income I earned, and all records reflect that."
Tulsa County property records show that Corns bought a house in the 5300 block of 94th Court in 2002. In 2004, he took out a $151,200 mortgage and paid it off in 2006. Last year, he sold the house for $171,000 and bought a property in the 4300 block of 118th Street for $579,000, the records show.
"Instead of paying back the aforesaid loan, however, Corns falsely represented to Stambaugh that the house had not sold, and that its new occupants were merely renters," the lawsuit states.
Stambaugh is seeking a judgment of more than $10,000, punitive damages and a constructive trust over the 118th Street property.
The lawsuit also alleges claims of actual and constructive fraud, breach of contract, "money had and received" and professional malpractice.
Gavin Off 732-8106
gavin.off@tulsaworld.com
Read more from this Tulsa World article at http://www.tulsaworld.com/news/article.aspx?subjectid=16&articleid=20100911_11_A15_CUTLIN6416
No comments:
Post a Comment