X-Virus-Scanned: clean according to Sophos on Logan.com Return-Path: Sender: To: lml@lancaironline.net Date: Mon, 16 Dec 2013 21:45:56 -0500 Message-ID: X-Original-Return-Path: Received: from [208.113.200.5] (HELO homiemail-a79.g.dreamhost.com) by logan.com (CommuniGate Pro SMTP 6.0.7) with ESMTP id 6641473 for lml@lancaironline.net; Mon, 16 Dec 2013 19:06:31 -0500 Received-SPF: none receiver=logan.com; client-ip=208.113.200.5; envelope-from=r.rickard@rcginc-us.com Received: from homiemail-a79.g.dreamhost.com (localhost [127.0.0.1]) by homiemail-a79.g.dreamhost.com (Postfix) with ESMTP id 56EFA7D406F for ; Mon, 16 Dec 2013 16:05:57 -0800 (PST) Received: from [192.168.1.30] (24-107-124-128.dhcp.stls.mo.charter.com [24.107.124.128]) (using TLSv1 with cipher AES128-SHA (128/128 bits)) (No client certificate requested) (Authenticated sender: r.rickard@rcginc-us.com) by homiemail-a79.g.dreamhost.com (Postfix) with ESMTPSA id ADB1E7D406E for ; Mon, 16 Dec 2013 16:05:56 -0800 (PST) From: Bob Rickard Content-Type: multipart/alternative; boundary="Apple-Mail=_A347EE65-1AE8-4C63-AE81-8B8056368F6B" X-Original-Message-Id: <8DA5DB9B-3CD1-4A1A-AEEF-C3F829BBD6F2@rcginc-us.com> Mime-Version: 1.0 (Mac OS X Mail 7.0 \(1822\)) Subject: Re: [LML] Anatomy of a plane theft ? N484E X-Original-Date: Mon, 16 Dec 2013 18:05:55 -0600 References: X-Original-To: Lancair Mailing List In-Reply-To: X-Mailer: Apple Mail (2.1822) --Apple-Mail=_A347EE65-1AE8-4C63-AE81-8B8056368F6B Content-Transfer-Encoding: quoted-printable Content-Type: text/plain; charset=windows-1252 I have flown in this airplane and checked it out in the spring of 2009 = as I was shopping for IV-P=92s. I knew about him being the bass player, = and I had already flown in Jeff Edwards IV-P (which I ended up buying). = I responded online to inquire about the airplane, and arranged a flight = demo. He didn=92t show up, but had his mechanic show up at the = airplane. I reviewed the log books briefly and didn=92t really know how = to evaluate what I was seeing (a mistake). The mechanic showed me = around and said =93 do you want to go flying?=94 I said =93sure, but I = am not checked out in it, someone will have to fly me". So he flew me = around for a 15 -20 min hop in CA. Little did I know that he had NEVER = landed the thing. Its one of the scariest times I have ever had in an = airplane. He got it on the ground and stopped just barely before the = end. One of those life lessons I will never repeat - don=92t fly with = anyone you don=92t know well!. In any case, the airplane was a fast but not well maintained example in = my opinion. I didn=92t even give it a second thought after comparing a = few good examples. Not to say that bought for the right price you = couldn=92t make it into a gem, but that is a lot easier said than done = and you never know what you will run into. I would have an independent = (RDD or one of those guys) do a complete independent analysis before = considering it. Just my humble opinion. Bob R On Dec 16, 2013, at 5:45 PM, Joseph Czabaranek = wrote: > Are there any dissenting opinions? Anatomy of a Plane Theft is posted = on a website dedicated to bashing Dave Riggs. Definitely a biased = author, but is he accurate? Is there anything those of us in the market = for a IVP should know about this particular tail # that we couldn't find = for ourselves with an hour of free time and a google search of "N484E"? >=20 > Joe Czabaranek >=20 > On Dec 16, 2013, at 3:41 PM, PETER WILLIAMS = wrote: >=20 >>=20 >>=20 >> Anatomy of a plane theft =96 N484E >>=20 >> September 26, 2011 >> I want to start by saying this is by far the BEST post I=92ve had the = opportunity to write for this site. The outcome of this situation is = helping me have a bit more faith in the justice system, karma and the = ability for a good man to prevail against absolute evil.=20 >> So, lets talk about how to steal an airplane in 7 Easy steps=85. >> 1. Find a nice, trusting guy who owns the plane you want to fly and = who is frequently out of town on business.=20 >> 2. Work out a deal where Nice Guy leases you his airplane.=20 >> 3. Suggest to Nice Guy that he set up a corporation in another = state to hold title to the plane. >> 4. Since Nice Guy is gone a lot he=92s going to let you set up the = corporation and handle the paperwork for him. He=92ll tell you to set it = up in his and his wife=92s name. But never mind that detail. Just go = ahead and set it up in your own. We=92ll call it Wright Flight Aviation, = well, because that=92s its name. You=92ll be keeping the books and = filing all the necessary paperwork each year so Nice Guy never needs to = know that not only did you not list him and his wife, you made yourself = the sole officer and director. >> 5. With the new corporation in place, go ahead and set up a legal = lease agreement on the plane. In return for the privilege of flying the = airplane, you agree to pay the costs of maintenance, insurance, hangar = fees and any necessary repairs. Have Nice Guy sign for the corporation = so he thinks everything is set up right.=20 >> 6. Now, you already have ANOTHER company set up that you are sole = owner of. We=92ll call that one Mach I Aviation. Now have (Mach I) paper = a loan to (Wright Flight) for $150,000. Go ahead and sign the papers for = both companies. Next you=92ll create a second document. This one will be = a Security Agreement from Wright Flight to Mach I. It will give an = interest in the plane to your company (Mach I) in case the loan doesn=92t = get paid back. Again, go ahead and sign for both companies yourself. No = reason to bother Nice Guy with the pesky little details is there? >> 7. When Wright Flight doesn=92t pay the =93loan=94 back (because = the real officer of Wright Flight doesn=92t even know about any loan) = you can just go ahead and repossess the airplane and transfer = registration to yourself. >> Detour here =96 When Nice Guy finds out that you didn=92t set up the = corporation per his request, he amends the corporate papers with the = state to correct your oversight. And when Nice Guy finds out that you = damaged his plane and didn=92t provide the insurance you were supposed = to, he=92s going to do the only thing he can. Cancel the lease and take = back exclusive possession of his plane. >> But that=92s OK! Remember you still have that nice little loan = agreement you created, the agreement Nice Guy airplane owner was never = informed about? So just sit back for about 2 years. Right before you get = ready to file bankruptcy you can just file papers that say Wright Flight = never paid back Mach I. Then you can hire a guy to go and repossess the = plane. Now that guy may think the paperwork doesn=92t look right once = Nice Guy talks to him and explains the situation. No fear. Have repo-man = red tag the plane so Nice Guy can=92t fly away in it. Now it can sit in = a hangar for a year or two and neither one of you can use it. >> Nice guy is then going to file a lawsuit in civil court to have the = Loan Agreement and Security Agreement cancelled. That=92s okay, just be = quick on your feet and file a =93Certificate of Repossession of = Encumbered Aircraft=94 with the FAA. Now the fact you don=92t actually = HAVE possession of the plane is just a minor detail, feel free to ignore = it. Since the FAA will assume that you actually have possession and that = everything you=92ve done up to this point WASN=92T illegal they will = just transfer that registration right on over to you no questions asked. = Viola, you now own a shiny plane (on paper). >> Just one problem. >> When you enter into a 30 day restraining order that prevents ANYONE = from attempting to repossess or convey title to the plane until a = decision is made in the previously mentioned civil action AND agree that = no one can operate, fly or move the plane without written consent of the = other party AND agree to provide Wright Flight with documentation to = substantiate the supposed security interest Mach I has in the plane you = probably shouldn=92t turn around and file Bankruptcy and list the plane = as one of your assets (valued at $250,000).=20 >> Sadly, all of the above is exactly what happened to the beautiful = Lancair IV-P, tail number N484E, owned by Nathan East. He=92s been = fighting for it ever since. Some of you will know who he is because of = the plane, others will know him as the bass player with the radiant = smile who has played with just about everyone imaginable. But at the = heart of this situation he is, quite simply, another victim. He was = taken advantage of and unabashedly stolen from. He=92s had to spend way = too much money, time and energy to reclaim his OWN plane. >> Initially the bankruptcy court ruled against him. That=92s a whole = =91nother Oprah there. Thankfully, the United States Bankruptcy = Appellate Panel of the Ninth Circuit had a clue. You can read the ruling = from them here. They reversed and remanded the original decision from = the Bankruptcy Court and made it quite clear what this all meant. >> I want to quote a portion of it here to save you some time. This = comes from pages 9 & 10: >> =93Wright Flight opposed, and supported its opposition with a = statement of genuine issues in a dispute, a request for judicial notice, = and the declarations of both Nathan East and (attorney) Jeffrey Gersh. = These documents essentially indicate that, among other things, >> =95 The Aircraft Loan Agreement and the Security Agreement were = invalid under Nevada and California Law >> =95 Mach I=92s purported security interest in the Aircraft was never = properly perfected. >> =95 The law did not permit a thief to have superior title to the = true owner >> =95 The Trustee stood in the shoes of the thief so the Trustee=92s = title could NOT be superior to the true owner, and >> =95 It was not clear this matter should be heard at all since Riggs = was not and likely never had been an officer or director of Mach I.=94 >> Yes, you read all of that right. The agreements weren=92t valid, he=92s= a thief and the Bankruptcy Trustee took his word for it in deciding = that Dave Riggs had superior ownership over Nathan and the Trustee was = WRONG. And there is evidence that Dave Riggs was never an officer or = director of Mach I (also another story). >> What I find horrendous is that it appears that Trustee was saying in = the original ruling that because Mr. East had the right to monetary = damages if he won the civil case he did NOT have the right to get the = plane back and it should remain with the Bankruptcy court. They would = then sell it, take their share and if anything was left over it could go = to the creditors. I object. If the plane was his, and was stolen then he = should get his plane back. Simple. If the trustee wants money so bad = they need to get the Lancair Dave Riggs is currently flying (N360DR, = owned by Whirly Bird Aviation Inc, in Nevada), the L-39 now owned by = Nazarene Aviation Fellowship, the Hummer he drives and anything else = he=92s hidden.=20 >> That won=92t happen I=92m sure but at least the Appellate Court saw = fit to clear the way for Mr. East to get his plane back. >> The appellate paperwork goes on for a total of 22 pages and it=92s = truly an interesting and enlightening read. But in the end it boils down = to this..Nathan East should be able to regain possession of his plane = very soon. >> I have not had the pleasure of meeting Nathan personally but I have = learned enough about him in the course of investigating and discussing = this case to know that he is a man of kindness and integrity. What he = has had to go through, simply to be able to enjoy his own plane, that = I=92m sure he worked incredibly hard to be able to have, is a travesty. = And while I can=92t do anything to fix that or to make it right again = (except cheer LOUDLY when he finally gets to move that plane out of the = jail it=92s in at Whiteman Airport now), I once again feel vindicated in = starting this website, because someone somewhere will be looking to get = involved with David Riggs one of these days and see this story and save = themselves some heartache and a lot of money. >> Incidents like this are the very reason I created = AviationCriminal.com, to expose the truth and hopefully prevent this = kind of travesty from ever happening again.=20 >> Here is the plane in question..currently sitting in jail. May she see = the skies again very soon with her rightful owner. Bob Rickard President, Rickard Consulting Group, Inc. r.rickard@rcginc-us.com --Apple-Mail=_A347EE65-1AE8-4C63-AE81-8B8056368F6B Content-Type: multipart/related; type="text/html"; boundary="Apple-Mail=_AC023FAF-65BC-4253-B3F1-C3CCCDB638FB" --Apple-Mail=_AC023FAF-65BC-4253-B3F1-C3CCCDB638FB Content-Transfer-Encoding: quoted-printable Content-Type: text/html; charset=windows-1252 I have = flown in this airplane and checked it out in the spring of 2009 as I was = shopping for IV-P=92s.  I knew about him being the bass player, and = I had already flown in Jeff Edwards IV-P (which I ended up buying). =  I responded online to inquire about the airplane, and arranged a = flight demo.  He didn=92t show up, but had his mechanic show up at = the airplane.  I reviewed the log books briefly and didn=92t really = know how to evaluate what I was seeing (a mistake).  The mechanic = showed me around and said =93 do you want to go flying?=94  I said = =93sure, but I am not checked out in it, someone will have to fly me". =  So he flew me around for a 15 -20 min hop in CA.  Little did = I know that he had NEVER landed the thing.  Its one of the scariest = times I have ever had in an airplane.  He got it on the ground and = stopped just barely before the end.  One of those life lessons I = will never repeat - don=92t fly with anyone you don=92t know = well!.

In any case, the airplane was a fast but not = well maintained example in my opinion.  I didn=92t even give it a = second thought after comparing a few good examples.  Not to say = that bought for the right price you couldn=92t make it into a gem, but = that is a lot easier said than done and you never know what you will run = into.  I would have an independent (RDD or one of those guys) do a = complete independent analysis before considering it.  Just my = humble opinion.

Bob = R



On Dec 16, 2013, = at 5:45 PM, Joseph Czabaranek <joeczabaranek@gmail.com> = wrote:

Are there any dissenting = opinions?  Anatomy of a Plane Theft is posted on a website = dedicated to bashing Dave Riggs.  Definitely a biased author, but = is he accurate?  Is there anything those of us in the market for a = IVP should know about this particular tail # that we couldn't find for = ourselves with an hour of free time and a google search of = "N484E"?

Joe Czabaranek

On Dec 16, 2013, at 3:41 = PM, PETER WILLIAMS <peterpawaviation@hotmail.com<= /a>> wrote:



Anatomy of a plane theft =96 N484E

  September 26, = 2011
I want to start by saying this is by far the = BEST post I=92ve had the opportunity to write for this site. The outcome = of this situation is helping me have a bit more faith in the justice = system, karma and the ability for a good man to prevail against absolute = evil. 
So, lets = talk about how to steal an airplane in 7 Easy steps=85.
1. Find a = nice, trusting guy who owns the plane you want to fly and who is = frequently out of town on business. 
2. Work out a deal = where Nice Guy leases you his airplane. 
3. Suggest to Nice = Guy that he set up a corporation in another state to hold title to the = plane.
4. Since Nice Guy is gone a lot he=92s going to let you set = up the corporation and handle the paperwork for him. He=92ll tell you to = set it up in his and his wife=92s name. But never mind that detail. Just = go ahead and set it up in your own. We=92ll call it Wright Flight = Aviation, well, because that=92s its name. You=92ll be keeping the books = and filing all the necessary paperwork each year so Nice Guy never needs = to know that not only did you not list him and his wife, you made = yourself the sole officer and director.
5. With the new corporation = in place, go ahead and set up a legal lease agreement on the plane. In = return for the privilege of flying the airplane, you agree to pay the = costs of maintenance, insurance, hangar fees and any necessary repairs. = Have Nice Guy sign for the corporation so he thinks everything is set up = right. 
6. Now, you = already have ANOTHER company set up that you are sole owner of. We=92ll = call that one Mach I Aviation. Now have (Mach I) paper a loan to (Wright = Flight) for $150,000. Go ahead and sign the papers for both companies. = Next you=92ll create a second document. This one will be a Security = Agreement from Wright Flight to Mach I. It will give an interest in the = plane to your company (Mach I) in case the loan doesn=92t get paid back. = Again, go ahead and sign for both companies yourself. No reason to = bother Nice Guy with the pesky little details is there?
7. When = Wright Flight doesn=92t pay the =93loan=94 back (because the real = officer of Wright Flight doesn=92t even know about any loan) you can = just go ahead and repossess the airplane and transfer registration to = yourself.
Detour here =96 When Nice Guy finds out that you didn=92t = set up the corporation per his request, he amends the corporate papers = with the state to correct your oversight. And when Nice Guy finds out = that you damaged his plane and didn=92t provide the insurance you were = supposed to, he=92s going to do the only thing he can. Cancel the lease = and take back exclusive possession of his plane.
But that=92s OK! = Remember you still have that nice little loan agreement you created, the = agreement Nice Guy airplane owner was never informed about? So just sit = back for about 2 years. Right before you get ready to file bankruptcy = you can just file papers that say Wright Flight never paid back Mach I. = Then you can hire a guy to go and repossess the plane. Now that guy may = think the paperwork doesn=92t look right once Nice Guy talks to him and = explains the situation. No fear. Have repo-man red tag the plane so Nice = Guy can=92t fly away in it. Now it can sit in a hangar for a year or two = and neither one of you can use it.
Nice guy is then going to file a = lawsuit in civil court to have the Loan Agreement and Security Agreement = cancelled. That=92s okay, just be quick on your feet and file a = =93Certificate of Repossession of Encumbered Aircraft=94 with the FAA. = Now the fact you don=92t actually HAVE possession of the plane is just a = minor detail, feel free to ignore it. Since the FAA will assume that you = actually have possession and that everything you=92ve done up to this = point WASN=92T illegal they will just transfer that registration right = on over to you no questions asked. Viola, you now own a shiny plane (on = paper).
Just one problem.
When you enter into a 30 day restraining = order that prevents ANYONE from attempting to repossess or convey title = to the plane until a decision is made in the previously mentioned civil = action AND agree that no one can operate, fly or move the plane without = written consent of the other party AND agree to provide Wright Flight = with documentation to substantiate the supposed security interest Mach I = has in the plane you probably shouldn=92t turn around and file = Bankruptcy and list the plane as one of your assets (valued at = $250,000). 
Sadly, = all of the above is exactly what happened to the beautiful Lancair IV-P, = tail number N484E, owned by Nathan East. He=92s been fighting for it = ever since. Some of you will know who he is because of the plane, others = will know him as the bass player with the radiant smile who has played = with just about everyone imaginable. But at the heart of this situation = he is, quite simply, another victim. He was taken advantage of and = unabashedly stolen from. He=92s had to spend way too much money, time = and energy to reclaim his OWN plane.
Initially the bankruptcy court = ruled against him. That=92s a whole =91nother Oprah there. Thankfully, = the United States Bankruptcy Appellate Panel of the Ninth Circuit had a = clue. You can read the ruling from them here. They reversed and remanded the original = decision from the Bankruptcy Court and made it quite clear what this all = meant.
I want to quote a portion of it here to save you some time. = This comes from pages 9 & 10:
=93Wright Flight opposed, and = supported its opposition with a statement of genuine issues in a = dispute, a request for judicial notice, and the declarations of both = Nathan East and (attorney) Jeffrey Gersh. These documents essentially = indicate that, among other things,
=95 The Aircraft Loan = Agreement and the Security Agreement were invalid under Nevada and = California Law
=95 Mach I=92s purported security interest in the = Aircraft was never properly perfected.
=95 The law did not permit a = thief to have superior title to the true owner
=95 The Trustee = stood in the shoes of the thief so the Trustee=92s title could NOT be = superior to the true owner, and
=95 It was not clear this matter = should be heard at all since Riggs was not and likely never had been an = officer or director of Mach I.=94
Yes, you read all of that right. = The agreements weren=92t valid, he=92s a thief and the Bankruptcy = Trustee took his word for it in deciding that Dave Riggs had superior = ownership over Nathan and the Trustee was WRONG. And there is evidence = that Dave Riggs was never an officer or director of Mach I (also another = story).
What I find horrendous is that it appears that Trustee was = saying in the original ruling that because Mr. East had the right to = monetary damages if he won the civil case he did NOT have the right to = get the plane back and it should remain with the Bankruptcy court. They = would then sell it, take their share and if anything was left over it = could go to the creditors. I object. If the plane was his, and was = stolen then he should get his plane back. Simple. If the trustee wants = money so bad they need to get the Lancair Dave Riggs is currently flying = (N360DR, owned by Whirly Bird Aviation Inc, in Nevada), the L-39 now = owned by Nazarene Aviation Fellowship, the Hummer he drives and anything = else he=92s hidden. 
That won=92t happen I=92m= sure but at least the Appellate Court saw fit to clear the way for Mr. = East to get his plane back.
The appellate paperwork goes on for a = total of 22 pages and it=92s truly an interesting and enlightening read. = But in the end it boils down to this..Nathan East should be able to = regain possession of his plane very soon.
I have not had the pleasure = of meeting Nathan personally but I have learned enough about him in the = course of investigating and discussing this case to know that he is a = man of kindness and integrity. What he has had to go through, simply to = be able to enjoy his own plane, that I=92m sure he worked incredibly = hard to be able to have, is a travesty. And while I can=92t do anything = to fix that or to make it right again (except cheer LOUDLY when he = finally gets to move that plane out of the jail it=92s in at Whiteman = Airport now), I once again feel vindicated in starting this website, = because someone somewhere will be looking to get involved with David = Riggs one of these days and see this story and save themselves some = heartache and a lot of money.
Incidents like this are the very reason = I created AviationCriminal.com, to = expose the truth and hopefully prevent this kind of travesty from ever = happening again. 
Here is the plane in = question..currently sitting in jail. May she see the skies again very = soon with her rightful = owner.


Bob Rickard
President, = Rickard Consulting Group, Inc.
<= br class=3D"Apple-interchange-newline">

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