In the motion filed last week, Vennes listed an entity called "Friends of Hope Academy".
Hope Academy is a " private, inner-city, Christian school (grades K-12)"
Hope Academy is in what used to be called Hope Commons which has a messy and puzzling history.
See is you can follow the history from a court order filed 06/23/10:
The Complaint... in this case list Hope Commons, LLC as a defendant. Specifically, the case caption
identifies Hope Commons, LLC as “Frank E Vennes Jr. dba . . . Hope Commons, LLC.” Hope Commons, LLC is not referenced in the body of the complaint or the amended complaints...
Hope Commons LLC was registered in Florida by Frank Vennes December 27, 2007.
.... back to the history...
In 2006, Friends of Hope Academy, LLC purchased the property located at 2300 Chicago Avenue South (the “Property”) in Minneapolis, Minnesota for $3 million. Defendant Vennes was the sole owner of Friends of Hope Academy, Friends of Hope Academy, LLC is listed in the Receivership Orders.
Friends of Hope Academy, LLC began to renovate the Property. It borrowed $4 million, secured by a mortgage on the Property, to finance the renovations.
On or about December 28, 2007, prior to the Receivership, Friends of Hope Academy, LLC deeded the Property to Hope Commons, LLC. Hope Commons, LLC was owned 93.34% by Defendant Vennes. Two other persons equally shared the remaining 6.66%.
On or about December 31, 2007, also prior to the Receivership, Defendant Vennes and the other two owners of Hope Commons, LLC donated their ownership interests in Hope Commons, LLC to Fidelis Supporting Organization.
Bachmann wrote her pardon letter for Vennes the same month. The Feds claim they have evidence Vennes knew something was fishy about the Petters biz that same month.
Fidelis Supporting Organization is described here as a "Religious Organization" located at "3189 Fernbrook Ln N, Plymouth, MN" and in care of Craig Howse (Vennes lawyer and lobbyist)
Craig Howse was the board chairman of Fidelis Foundation (3189 Fernbrook Ln N Plymouth, MN ). Craig Howse donated $5,000 to Bachmann’s campaign committee. This is how Bachmann described Fidelis:
“As a U.S. Representative, I am confident of Mr. Vennes’ successful rehabilitation and that a pardon will be good for the neediest of society.... Mr. Vennes is seeking a pardon so that he may be further used to help others. As I know from personal experience, Mr. Vennes has used his business position and success to fund hundreds of nonprofit organizations dedicated to helping the neediest in our society. The Fidelis Foundation, backed by Mr. Vennes, has directed over $10.7 million in total gifts in the last three years, and the Fidelis Foundation has ranked #6, #9 and #7 as the largest grant-making foundation in Minnesota over the past three years.... ”
Here is another take on Fidlelis from the Mpls Upside Down blog:
Soon after the Petters story broke, MnTC posted this letter which in part says,"[A] donor suggested that we work with the Harvest Fund, and later the Fidelis Foundation, organizations that work with many other Christian ministries, and consider investing some of his large charitable gifts in the Petters Companies, a once strong, respected corporate entity in Minnesota."
Who was that donor? At this point, MnTC won't disclose the donor's identity except to say that he or she knew Petters. The donation was significant, $3.225 million. Did Vennes use the "nonprofit" MnTC as just another way to facilitate investment in the Ponzi scheme? He apparently "reviewed" the investment as a member of MnTC's finance committee.
Isn't it a little odd that no one at MnTC seems to have wondered about the fabulous rate of return they were getting on their investments, as much as 24% on 90 day notes at one point? I know that it is unusual in the nonprofit world for a donor to earmark its donation as an investment in a specific company. At least, I used to think so.
You'd think....
Back to the history:
Defendant Vennes does not have any ownership interest in Fidelis Supporting Organization.
On or about March 31, 2008, Hope Commons, LLC, through its managing member Fidelis Supporting Organization, became the new borrower on the mortgage.
Hope Commons, LLC’s only asset is the Property, along with the mortgage on the Property.
Hope Commons, LLC stopped making payments on the mortgage in approximately September 2008. Hope Commons, LLC is currently in default under the mortgage. The current balance of the mortgage encumbering the Property is approximately $1.9 million
No equity... so the court ordered that Hope Commons be removed from receivership.
For laughs, watch this video about Hope Commons with a rare glimpse of Craig Howse:
No comments:
Post a Comment