Without Walls International Church has filed for Chapter 11bankruptcy protection in an ongoing foreclosure dispute with the $1billion Evangelical Christian Credit Union.

|

The Tampa, Fla.-based mega church filed on March 5 owing $29million to EvangelicalChristian, according to local media reports. The church haddefaulted on its loans prior to the bankruptcy filing. The U.S.Bankruptcy Court denied the credit union's Dec. 31, 2013 request tomove forward on a foreclosure case that began in October 2012.

|

An immediate comment was not available from EvangelicalChristian in Brea, Calif. Michael Hooi, an attorney representingthe church, told the Tampa Bay Times another hearing isscheduled for April when the court may schedule a trial to addressany unresolved matters.

|

In its bankruptcy petition, Without Walls said it had anestimated $10 million to $50 million in liabilities and assets.

|

Without Walls initially went into foreclosure in 2008 owingEvangelical Christian $13.9 million, which was due in September2012. In 2009, the credit union approved a mortgage modificationfor the church.

|

Without Walls filed a complaint in October 2012 againstEvangelical Christian seeking more than $23.8 million with claimsthat the credit union acted inappropriately towards the church'sfounder, Randy White, by allowing his ex-wife, Paula White, to takemore than $2 million worth of video and music equipment from thechurch to use for her own ministry, Paula White was hired as asenior pastor at another Florida church.

|

Without Walls had previously said Evangelical Christianallegedly made false statements about the church in order to thwarta deal initiated by Randy White to sell the property.

|

In the summer of 2013, Without Walls was up for sale for $14.75million, according to real estate filings. The property, which has63 acres and houses the 9,600-seat church, was initially bought in2005 for $8 million.

Complete your profile to continue reading and get FREE access to CUTimes.com, part of your ALM digital membership.

  • Critical CUTimes.com information including comprehensive product and service provider listings via the Marketplace Directory, CU Careers, resources from industry leaders, webcasts, and breaking news, analysis and more with our informative Newsletters.
  • Exclusive discounts on ALM and CU Times events.
  • Access to other award-winning ALM websites including Law.com and GlobeSt.com.
NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.