More details have emerged on how the alleged failed transactionsinvolving Delta Community Credit Union led to a judge awarding thereal estate developer involved $75 million.

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According to the suit filed by David R. Pearson in 2010,Delta Community allegedly backed out of a $30 million deal thatwould have allowed the real estate developer to purchase severalproperties along Florida's Gulf Coast from lenders that wanted tosell them.

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Pearson alleged the credit union's breach came about when itdeprived him of funds to finalize the acquisition of twoproperties, according the lawsuit. Pearson said $100 million hadalready been invested in NatureWalk, a Florida community of 278single-family lots.

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According to the suit, 220 of those lots had been developed.Through a negotiation, Pearson agreed to buy the property's notefor nearly $8 million. He claimed Delta Community blocked thetransaction. Superior Court Judge Robert Flournoy agreed, accordingto the judgment.

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For his alleged losses, Flournoy said Pearson was entitled to$54.9 million on NatureWalk and nearly $20 million for otherproperties and attorney fees.

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Rather than have a jury trial, Pearson and Delta Communityagreed to have a bench trial, which took place Dec. 14 to Jan. 9,according to the judgment and Pearson's attorney.

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Delta Community is planning to appeal and believes the judgmentis not supported by facts or the law, said J.D. Humphries, one ofthe Atlanta attorneys representing the credit union.

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In an internal letter to employees, Delta Community CEO Rick Foley said the credit union is upset about the amount ofthe award and believes the judgment is “unwarranted and contrary tothe facts or applicable law.”

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Foley also told employees that the credit union “is wellcapitalized and has sufficient reserves to cover the cost of theaward, if necessary.”

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