Suit claims Johnny Langdale, Jr defrauded family -, South Georgia News, Weather, Sports

Suit claims Johnny Langdale, Jr defrauded family

By Alicia Eakin - bio | email

August 7, 2008

VALDOSTA, GA (WALB) - Infighting in a prominent Lowndes County family. A lawsuit contends one of the grandsons of the late Harley Langdale, Sr defrauded other family members.

The Langdale family filed a federal civil suit against Johnny Langdale, Jr, a trustee of the family trust.

Several family members and trust beneficiaries say he robbed the trust of money to create a company named Capitol Preservation Income Advisors. 

They say he transferred more than one million dollars from the trust to that company then wired the money to his personal accounts as a kick-back.

According to court records, "On July 19, 2000, Johnny Langdale, with the assistance of Watts and Phillips, caused the creation of a Delaware limited liability compnay, Capital Preservation Income Advisors LLD ("CPIA"), directing management feed from investments accouns of the Trust, and other family related entities, back to him personally in a kickback scheme involving wire transfres across state lines."

They go on to say "Beginning in September of each year from 2000 to 2003, RJ was directed by Johnny Langdale to wire to CPIA for alleged investment services approximately $250,000 per year for a totla of over $1,000,000 during this period of time."

The suit also claims Langdale refused requests for proper accounting of the trust. 

"To date, Johnny Langdlae has not complied with this request relating to receipts and disbursements of the Trust from 2000-2006, and instead provided inadequate information not in compliance with Georgia law," the documents say.

The suits says the Langdales "seek three times the amount of actual damages---which was not released in the court records---attorney's fees and investigative expenses, plus punitive damages in an amount sufficient to punish Johnny Langdale."

No trial date has yet been set.

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