By Nicole Montesano • Staff Writer • 

Bank foreclosure suit targets Smith estate

According to the suit, Smith borrowed $10.2 million from Zions First National Bank in June 2011, with a mortgage and personal property put up as collateral. On the same date, he separately borrowed another $800,000, pushing the total to $11 million.

The collateral for the larger loan included 10 parcels of land, an inventory of agricultural equipment and water rights to the Willamette and Yamhill rivers. The collateral for the smaller loan included four parcels of land, some power equipment, a manufactured home and a water right to the Yamhill River.

According to the lawsuit, Smith failed to pay property taxes on the property, beginning with the 2012-13 tax year, leading Yamhill County to file a claim in probate court from $494,000 in back taxes on 25 different accounts, some in the name of a now-inactive holding company. It indicates the amounts range form less than $10 to more than $350,000.

No loan payments have been made since January, the bank says, and it therefore calling both loans. It is seeking to have the properties sold at auction if the debt can’t be settled by other means.

The remaining defendants in the lawsuit are all seeking recompense of their own for claims against Smith’s estate. The bank has named them as defendants because it is asserting first claim, even before the county.


Web Design and Web Development by Buildable