Bladine: Millegan stories move to Roseburg

Local news updates on legal and investment sagas involving James W. Millegan and family have been sporadic. Things are different in Roseburg, where the Millegans — J.W. plus sons Quinn and Drew — continue long-time efforts to develop a world-class equestrian center.

Readers will recall portions of the long, rocky road toward that dream — a road that hit a new curve in December.

It all started with proposed development of property outside Sheridan. When that plan faltered, J.W. entertained ideas of snagging the Evergreen museum campus through complex legal maneuvers. The Millegans, engaging hedge fund investors, later tried to acquire properties in Washington, Oregon and California for an equestrian center, and also the Mack Theater complex in McMinnville.

Last year, they centered their investment efforts on 2,800 acres outside Roseburg.

Many Douglas County interests embraced the Millegan venture, drawn by promises of a $120 million investment, 500 permanent full-time jobs, events drawing up to 5,000 people, and annual revenues of $130 million.

Others fought the grandiose plan based in part on land use concerns, and in part on reputations of the developers.

In 2019, Millegan’s home office was raided by the FBI at gunpoint, leading to a 13-count indictment for alleged investment fraud and tax evasion. After multiple postponements, that trial is scheduled for April in U.S. District Court in Portland.

That criminal case followed on the heels of civil lawsuit judgments involving Millegan’s now-defunct investment business, and a series of business and personal bankruptcies. Millegan’s sons, with their father’s assistance and counsel, took reins of family investment ventures through a hedge fund operation.

In Roseburg, the Millegans gained planning and county commission approval for their development, and just this week withstood a challenge through the Oregon Land Use Board of Appeals. However, that process already had become secondary to that new curve.

The Millegans were scheduled to close their $13 million land purchase in December, but that didn’t happen. In January, they sued property owners seeking fulfillment of the purchase agreement or payment of $12-plus million in damages.

The lawsuit claims that “Defendants materially breached by refusing to comply with the provisions of the Agreement and requirements related to the Foreign Investment in Real Property Tax Act of 1980” … and by “refusing to provide clear title to the Property via a statutory warranty deed.”

So, the saga continues, and what might have been a major local story is just an update. For now, it’s Roseburg’s story, but stay tuned.

Jeb Bladine can be reached at jbladine@newsregister.com or 503-687-1223.