Skip to comments.Man's finances muddle vow to Presbyterians
Posted on 06/21/2006 10:52:08 AM PDT by Presbyterian Reporter
A Denver businessman who promised a record $150 million donation to the Presbyterian Church (USA) failed to pay his homeowners association fees, dental bills and mortgage payments, and he owes hundreds of thousands of dollars to jilted creditors he persuaded to help keep his business afloat, according to public records.
While Presbyterians meeting in Birmingham, Ala., last week gave Stanley W. Anderson a standing ovation for his gift, Anderson's modest Arvada home sits in foreclosure and his assets are frozen because of an unsatisfied court judgment.
Anderson, 62, said Tuesday that he is working to pay off his debts and is confident he will be able to deliver on his pledge. An official with the 2.3 million member denomination in Louisville, Ky., also expressed confidence in Anderson, a member of Central Presbyterian Church in Denver and active in the local and national church.
"Going through the trials and tribulations that I have today is just part of life," Anderson said. "You have challenges, and you find ways to meet those challenges, and the greatest comfort is your faith."
The money for the donation is to come from the Trinity Foundation, which Anderson and business partner Edwin A. Smith founded in January.
Anderson said the foundation has no assets, but most of the money will start arriving in about a month from "off-shore investments we have been working on for quite a period of time" with "multiple partners." When pressed for details, he referred questions to a Washington, D.C., lawyer, who did not return a phone call.
"With my long passion for the church, I would not have (promised the donation) if I didn't believe I could deliver," Anderson said. "I just simply could not."
But the idea that Anderson could honor the largest pledge ever made to the Presbyterian Church (USA) struck Denver lawyer Parker Semler as "pure lunacy." Semler represents a Cherry Hills Village couple who loaned Anderson and Smith $100,000 in 2004 and are still awaiting payment.
"This guy, the dog has eaten his homework 200 times in the last year in terms of closing this deal and getting us paid," Semler said. "It's crazy that this guy can go down and make that kind of statement in light of at least how he is treating my client in town."
John Detterick, executive director of the church's General Assembly Council, said Anderson contacted him three or four months ago with an idea for how to reverse a membership slide. When Anderson revealed his pledge last week, Detterick said he was "absolutely breathless."
Anderson's donation is to be given to the Presbyterian Foundation, with the first installment coming in late July and the balance by the end of November, church officials said. Called the Loaves and Fishes Church Growth Fund, the program will pay for things such as new churches, reinvigorating existing ones and launching ethnic congregations over six years.
Detterick said he did not know about Anderson's financial problems and did not research Anderson's ability to honor the pledge. "If he says he will deliver it, he will deliver it," Detterick said. "I ... have complete faith in his integrity."
In a church news story, Anderson is described as the "Godfather" of the procurement card, a sort of debit card that governments and companies use to buy supplies or allow recipients of programs such as Social Security to get their benefits.
Anderson founded Arvada- based Anderson and Associates in 1988 and ProCard Inc. a year later, the church said. American Banker, a trade publication, reported Anderson was forced to resign from ProCard in 1995, a characterization he denies. He and Smith began another commercial credit-card services company, E-Smart Services Inc., which continues to operate in Denver.
Bills and promises
Public records reveal unpaid bills and allegations of broken promises involving Anderson.
In 2004, Stanley and Patsy Gallery of Cherry Hills Village filed suit in Denver District Court alleging Anderson and Smith failed to pay back a $100,000 loan. The suit claims Stanley Gallery was approached about investing in the company but wasn't satisfied with the financial background he requested.
Anderson and Smith "pled" for the loan so they could meet their payroll, the suit says. A settlement of about $125,000 was negotiated but remains unpaid. Also in 2004, Derek Faison of Aurora, founder of an office- products company, filed a lawsuit against Anderson and Smith.
He claimed the two hired him, persuaded him to lend them $100,000 and a $20,000 "crisis advance" to cover the payroll, didn't pay his salary and misrepresented their ability to deliver promised technology in a drive to raise equity capital. The civil suit accused Anderson and Smith of fraud under the Colorado Organized Crime Control Act.
After Anderson and Smith failed to file an answer on time, Denver District Judge Jeffrey Bayless in April 2005 signed off on a default judgment, freezing Anderson and Smith's assets and ordering the two to pay Faison more than $850,000.
Then, in late 2005, E-Smart nearly was evicted from its office space at 17th and Larimer streets in downtown Denver after failing to pay three months' worth of rent. An attorney for the property owner, which sued, said E-Smart paid up and remains a tenant.
Anderson said the lawsuit settlements have been "negotiated down," and he denies Faison's allegations of fraud. He said E-Smart plans to pay its debts in 60 to 90 days, close down and focus on a future that includes the Trinity Foundation.
Before funding the foundation, however, Anderson said he must settle his debt to Faison so his assets can be unfrozen.
"I think all of us in business go through periods of time when we have considerable success and considerable stress," Anderson said.
The money troubles extend to Anderson's personal life.
A federal tax lien was submitted against Anderson and his wife in January 1996 for taxes totaling $52,069 from 1993 and 1994, records show. The couple satisfied the debt with the government in September 1998.
Three times since 2003, the Meadowglen Homeowners Association has filed liens against Anderson for late monthly assessments of $60 to $70 owed on his Arvada home, which has an assessed value of $282,090.
In 2005, two lenders began foreclosure proceedings on the house. One debt remains, and Anderson said he is negotiating to keep the home.
Anderson also has faced judgments for failing to pay off a credit card on time and received a summons from a collection company in March for not paying a $1,197.76 bill to his longtime dentist, Patrick Sweeney.
"At the time, I knew they were having problems, so it didn't completely surprise me," Sweeney said. "I think he was very reputable. I just think over the last five, six, seven years he started to get into trouble with his business."
Staff writer Eric Gorski can be reached at 303-820-1698 or email@example.com.
Big gift, big plans In anticipation of Stanley W. Anderson's record donation, the Presbyterian Church (USA) has created the new Loaves and Fishes Church Growth Fund. Grants ranging from $250,000 to $1 million will be available to individual presbyteries, or districts of churches. Presbyteries will be required to apply for the grants and match a portion of it. The fund is expected to be established in November, and disbursements are to begin in the first quarter of 2007. A portion of Anderson's donation also is earmarked for theological seminaries.
Source: Presbyterian Church (USA)
It looks like the leadership of the PCUSA are as adept at finances as they are at moral theology.
Hey, this is a neat idea. Pledge $150 million and ask everyone to send in their money to me so that I can "pay" my pledge. Of course there will be administration costs.
I love your updates but this time I think you missed it
"will look like utter fools"???
With what you have posted and what they are doing right now I would say it should read "do look like utter fools."
Keep up the good fight.
Sorry should be "be"
It's appropos that they would fooled by someone guilty of fiscal bankruptcy, when they've blinded themselves to spiritual and moral bankruptcy.
Mt 5:13 ¶ Ye are the salt of the earth: but if the salt have lost his savour, wherewith shall it be salted? it is thenceforth good for nothing, but to be cast out, and to be trodden under foot of men.
"The West has given more significance to the myth of the genocide of the Jews, even more significant than God, religion, and the prophets...."Iranian President Mahmoud Ahmadinejad
The Holocaust Chronicle ~
"Palestine is the wrong name for their State. It should be called Anarchy."FReeper sgtbono2002
"Then let's wait and see what the Arabs do after they take Gaza. There's nothing like Arab reality to break up a Jewish fantasy."FReeper Noachian
A student told his professor he was going to "Palestine" to "fight for freedom, peace and justice,"Orwellian leftist code words that mean "murder Jews."
The Nature Of Bruce ~
A lesson for the PCUSA leadership: don't spend the money before the check is deposited.
"Pie in the sky" bump.
Interesting -- how many people who fill out a pledge card from their church then get a request from their church to "prove" they can deliver? Seems as if quite a few folks are in a rush to deliver judgement on the leadership for the PCUSA after what might be that the church was (potentially) told a lie. So, is it a classic case of "blame the victim" going on here?
At the worst, the failure was in the making of a big, showy announcement prior to confirming the availability and legality of the money. A goof, to be sure -- but more a lack of good judgement than a show of immorality. Since when did counting chickens before the eggs were hatched mean that one's theology was suspect? Isn't that faith, by definition? Aren't we all counting on our salvation without actual hard evidence? Can someone give me a balance sheet showing the location of Grace and when I'm going to get delivery on that, please?
I've never heard of the Presbyterians suing a member due to non-payment of a pledge. (In contrast to another faith tradition where they take the "deadbeats" to court over unpaid pledges.) And yes, I feel sorry for the PCUSA board, "getting stiffed" must be highly unpleasant for the bookkeepers.
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