Gearhart hiding assets
May 20, 2009
By KAREN VELIE
Bankruptcy trustees have seized a collectable car and are looking into allegations ex-North county developer Kelly Gearhart and his wife, Tamara Lowe, have hidden assets during their high profile bankruptcy.
Bankruptcy trustees seized a yellow 1935 Packard Gearhart and Lowe owned because the couple failed to disclose the asset in their bankruptcy filing, said attorney David Farmer with the law firm of Farmer and Ready.
The couple also failed to disclose a $48,000 annuity with Jackson National Life they cashed out for $25,450 on Oct. 1, 2008, according to sources.
Another alleged account was first held in Trust Administrative Services in San Diego and then transferred to a local bank. Now, say sources, the $2,659,531 IRA account may no longer exist.
Though Gearhart listed a $10 million insurance policy on himself — with hard money lender Jay Miller as the beneficiary — Gearhart failed to note the quarterly charge of $2,504 he pays to keep the policy active.
Gearhart and Lowe filed the Chapter 7 bankruptcy petition on February 11, in Ohio, claiming $6.5 million in estimated assets and $45.1 million in estimated debts.
In November, the couple moved to Wadsworth, Ohio, following threats of physical violence by an angry investor. Gearhart filed the bankruptcy petition in the Northern District of Ohio U.S. Bankruptcy Court.