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Tuesday, November 13, 2012

How Many Crimes Did Ted And Randall Rollins Commit In Manipulating An Alabama Divorce Case?

R. Randall Rollins

Based on the feedback I get from readers, divorces are among the most difficult of legal battles to experience. That must be especially true when the opposing party, and his allies, engage in criminal behavior. An Alabama woman apparently was up against that kind of conduct when she tried to divorce a member of an affluent American family, the folks behind Orkin Pest Control.

By their nature, divorces are fraught with emotion and stress, filled with battles over money, property, and child custody. But most divorces, even the ugliest ones, probably stay in the civil arena. That, however, was not the case when Birmingham resident Sherry Carroll Rollins tried to divorce Ted Rollins, who now is CEO of Charlotte-based Campus Crest Communities.

Ted Rollins and the wealthy gentlemen at the top of the Rollins Inc. empire apparently were so determined to make Sherry Rollins pay that they engaged in criminal behavior. And our research indicates they violated at least two Alabama statutes. Given that the divorce case covered ground in three states--South Carolina, Alabama, and Georgia--federal law might also have been trampled.

Who was Ted Rollins' partner in crime? Well, he probably had several, but No. 1 on the list appears to be R. Randall Rollins, the chief executive of Atlanta-based Rollins Inc., the umbrella company for Orkin and other highly profitable enterprises.

We've already shown that Ted Rollins almost certainly committed perjury when he filed a child-support affidavit, called a Form CS-41 in Alabama, claiming he made roughly $50,000 a year--all of it from a mortgage company in Brentwood, Tennessee. This document, signed under oath, came from a guy who owns multiple private jet craft and had ownership stakes in at least two companies--St. James Capital and Campus Crest Communities--at the time.

We also have shown that Randall Rollins also probably committed perjury in the Rollins v. Rollins divorce case when he produced a document claiming that Ted Rollins had sold his share in St. James Capital for roughly $85,000. Based on our review of other documents in the case, plus interviews with Sherry Rollins, we've estimated that St. James Capital had assets totaling at least $243.6 million. We know it had an interest in an RV Park overlooking the Pacific Ocean near San Francisco that was appraised at $7.8 million. We know it had an interest in a major office/industrial development in Greenville, South Carolina, that was appraised at $9.6 million.

Ted Rollins
Testimony at the divorce trial showed that St. James Capital had 28 properties throughout the United States and Canada. But we are to believe that Ted Rollins would sell his share in a $243-million company for $85,000? I don't think so.

The Rollinses' statements under oath appear to violate Code of Alabama 13A-10-101 (Perjury in the first degree). And that is a Class C felony, the kind of conduct that can send a person to prison, with an orange jumpsuit in tow, for one to 10 years. Here is how that code section reads:

Section 13A-10-101 
Perjury in the first degree. 
(a) A person commits the crime of perjury in the first degree when in any official proceeding he swears falsely and his false statement is material to the proceeding in which it is made. 
(b) Perjury in the first degree is a Class C felony. 
(Acts 1977, No. 607, p. 812, §4905.)

The apparent crimes in Rollins v. Rollins do not stop there. Alabama law takes a particularly dim view of folks who lie about financial matters. That's why we have Code of Alabama 13A-9-49 (Issuing False Financial Statement). Here is how the code section reads:

Section 13A-9-49 
Issuing false financial statement. 
(a) A person commits the crime of issuing a false financial statement if, with intent to defraud, he: 
(1) Knowingly makes or utters a written instrument which purports to describe the financial condition or ability of himself or some other person and which is inaccurate in some material respect; or 
(2) Represents in writing that a written instrument purporting to describe a person's financial condition or ability to pay is accurate with respect to that person's current financial condition or ability to pay, knowing or having reason to believe the instrument to be materially inaccurate in that respect. 
(b) Issuing a false financial statement is a Class B misdemeanor. 
(Acts 1977, No. 607, p. 812, §4145; Acts 1979, No. 79-664, p. 1163, §1.)

A Class B misdemeanor can land you in a county jail for up to six months.

Did Ted and Randall Rollins "utter written instruments which purported to describe the financial condition or ability of himself or some other person and which is inaccurate in some material respect"? The record strongly suggests the answer is yes. And that takes the wrongdoing in Rollins v. Rollins to a whole new level.

The civil wrongs, by definition, were against Sherry Rollins--and by extension, her daughters, who were cheated out of child support to which they were entitled under the law. That's bad enough, but the wrong on the civil side is contained to a few people.

Crimes, on the other hand, are considered a wrong against society. Ted and Randall Rollins probably thought they were just cheating Sherry Rollins, but that's not how our system of justice views things. A crime, by definition, is a wrong against the norms of society; it harms all of us.

Ted and Randall Rollins should be held accountable in a court of law. But they should not have to answer just to Sherry Rollins; they should answer to all of us.

17 comments:

Anonymous said...

Is there any chance these big-money guys would be prosecuted for such crimes? People get away with perjury all the time don't they?

legalschnauzer said...

Anon at 12:31--

It's hard to know what prosecutors might do. If I were Sherry Rollins, I would present the information to them. Yes, my impression is that perjury is the easiest crime to get away with in the US of A.

Sharon said...

I don't get it. Why would Ted and Randall Rollins go to such extreme measures to end a marriage? From what I've read in your previous posts, it doesn't sound like Sherry Rollins was shooting for the moon in a settlement agreement. But these guys would rather commit crimes than come to some sort of reasonable settlement? I don't get it.

Anonymous said...

You can't be expected to understand unless you know at least something about them and the way they appear to think and act. And-keep in mind-they have eyes and ears everywhere and likely have people monitoring this blog....Probably should consider asking some of the women who have divorced Rollins men and some of the men who have divorced Rollins women what their take is. Most will likely have signed settlement agreements that prohibit discussion of the case.

Anonymous said...

Looks like Anon 1:04 may be one of the monitors!!!

Anonymous said...

Re: Sharon....But these guys would rather commit crimes than come to some sort of reasonable settlement? I don't get it.
In my opinion it is all about control. Not all wealthy men but some can't stand to lose at ANYTHING. He could have very easily given her a reasonable settlement and gotten on with his life but then he would no longer be able to control her life in any way. She filed for divorce and that started the war or at least it did in my case. People at this level of success are easily bored and the thrill of seeing a human being squirm because they can't get out from under their thumb gives them great pleasure. His current wife should be following this blog daily and taking notes. If Sherry Rollins had tried to keep a roof over her children's head by inflating her income just a little on a mortgage application then she would be charged with a felony and DHR would take her kids. Rollins under reporting to commit fraud is worse. Oh Attorney General where are you? AL powers aren't going to do anything unless he gets caught playing Bingo with an Indian.

Anonymous said...

Same. I don't get it. It appears in some twisted fashion they rewrite reality and they somehow are the victims. They behave as if what they've done to others was done to them. Is it a strategy or a sickness?

Spasmoda said...

Sharon:

You probably are not a member of the 1 percent, so it's hard for you to imagine how these guys think.

legalschnauzer said...

Anon at 1:04--

You raise a very important point about confidentiality clauses in settlement agreements. I recently discovered something interesting about Rollins v. Rollins. Several docket entries say the case was "settled," but it clearly was not. Judge Al Crowson issued an order and shoved it down Ms. Rollins' throat. She didn't agree to anything. Did someone intentionally defraud the public by putting "settled" on a case that wasn't settled?

Anonymous said...

I wish Sherry could find a good lawyer that would help her open this case back up. I would even try to represent myself and send subpoenas to all of the banks he is doing business with. I might be wrong but I bet the financial statements he has provided the banks for construction loans for these projects looks a little different than his child support info. I think I read somewhere that filing a false financial statement to a federally insured institution was a felony. I hope Sherry finds justice and peace. If Anon at 1:04 is also a victim and they help Sherry prove fraud then their case could be opened back up as well. Settlements can be "non-modifiable and confidential" but if 1 party is guilty of fraud then that Agreement can be tossed out.

legalschnauzer said...

Anon at 3:02--

I agree. The problem, in my view, is not a lack of "good lawyers." It's a lack of lawyers who have enough spine to buck the system. The lawyers Ms. Rollins hired, I feel certain, know divorce law and could probably do a good job in a relatively normal case. But nothing is normal about Rollins v. Rollins. A family with a lot of money was able to essentially "buy a judge," probably with the help of Ted Rollins' corporate law firm, Bradley Arant. Ms. Rollins lawyers knew she was being screwed; heck, they wrote the documents that I've relied on to a great extent to report on the case. In that sense, they are "good lawyers." In the sense that they are willing to stand up to a corrupt judge who has been bought by the wealthy client of a big law firm . . . well, those kinds of good lawyers are really hard to find.

I wish Ms. Rollins could find such a lawyer, and I also wish she could fine a state or federal prosecutor who would review her case and take these crimes seriously. Ted and Randall Rollins should be getting fitted for orange jump suits.

Anonymous said...

I just had a delightful conversation with an old friend that is a former prosecutor in another southern state. I asked him how can someone get the Attorney General to look at a case like Sherry's or mine and get some criminal justice. He said that we need to be sure and point out that they deserve to be punished, it always makes the AG's office look good when they do charge someone with perjury but most importantly remind them that these men "aren't even from around here" so its ok to prosecute them. Oh, if only it were that easy!!

Anonymous said...

Gag orders on women are all too common in these family court cases!

legalschnauzer said...

Wasn't a gag order a big issue in the Stemberg divorce, where Mitt Romney was believed to have given false or misleading testimony on behalf of his buddy from Staples?

Anonymous said...

This is Anonymous 1:04-Just wanted to let all know that Iam not a "Monitor" for the Rollins but just wanted to alert those commenting! Have any of you tried to look into court records of various divorces and lawsuits? If you do you will find a definite pattern!

Anonymous said...

Because maybe Mrs. Rollins is a crazy and makes up lies!

legalschnauzer said...

Anon at 9:15--

Care to provide any examples? Care to provide your real name since you are getting close to the defamation boundary line?

You are welcome to send me a private e-mail at rshuler3156@gmail.com if you care to discuss.