Ocala Funding looks to recover $22.46 million transfer, alleges fraud

By Caroline Salls

Pittsburgh, Oct. 5 - Ocala Funding, LLC filed a lawsuit Friday in an attempt to avoid and recover an allegedly fraudulent $22.46 million transfer made to defendant Sovereign Bank in May 2009, according to a filing with the U.S. Bankruptcy Court for the Middle District of Florida.

Ocala said its manager and sole economic member Taylor, Bean & Whitaker Mortgage Corp. was a party to a servicing facility loan and security agreement with Sovereign.

Under the loan agreement, Taylor Bean was required to repay all outstanding "PITI advances" by May 29, 2009. Ocala said the loan agreement established the outstanding amount of PITI advances as $22.46 million.

According to Friday's complaint, Ocala Funding was not a guarantor or otherwise obligated to pay any amounts due under the loan agreement.

However, Ocala said the transfer was made by Taylor Bean to Sovereign directly from an Ocala Funding collateral account.

"TBW had no ownership rights in the collateral account and specifically had no ownership or other rights with respect to funds in the collateral account," Ocala said in the lawsuit.

In addition, Ocala said it received no value for the transfer to Sovereign.

Ocala Funding, an Orlando, Fla.-based financing vehicle, filed for bankruptcy on July 10. Its Chapter 11 case number is 12-04524.

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