Shubert status still unclear

Jonathan Herrmann news-herald.net

Nearly two years after an investigation began into Shubert Motor Sales in Lenoir City, the status of the probe remains unknown.

Tennessee Bureau of Investigation began examining Shubert Motor Sales on Jan. 26, 2017, for complaints of theft and fraud.

The office of Attorney General of the 9th Judicial District and Lenoir City Police Department were also involved in the investigation.

Meanwhile, Michael and Mark Shubert, owners of Shubert Motor Sales, are in the midst of bankruptcy proceedings in the United States Bankruptcy Court of the Eastern District of Tennessee.

Cases against each brother were filed in September 2017.

The most recent updates were Oct. 24 for Mark and Sept. 19 for Michael.

According to a claims register related to the cases, the total amount owed by Mark Shubert is $1,722,792.42, while Michael Shubert owes $1,797,054.01.

Creditors listed in the claims register include Citizens Bank, Harry Christopher Wampler, the estate of James Hensley Jr., Bobby L. and Faye W. Miller, Darrel D. and Wanda S. Kirby, Michael R. Hall and Pam Aaron.

Recent action listed among bankruptcy court documents shows a sale of property on Virtue Road to Joseph J. Wallace for $38,000, and property on U.S. Highway 11 East was sold to Shannon Littleton for $157,500. Earnings from both sales were used to pay debts related to the properties, according to documents filed in the court.

The sale of property owned by the Shuberts on U.S. Highway 321 North took place Sept. 27, according to a trustees deed filed in the Loudon County Register of Deeds office. The deed notes the sale of about 1.7 acres to Harry C. Wampler and Angela O. Wampler for $150,000.

A full list of creditors in the bankruptcy court documents also includes the Internal Revenue Service. A representative for the IRS could not be reached by News-Herald presstime.

As of March, TBI directed all inquiries into the case to Russell Johnson, attorney general of the 9th Judicial District, who requested TBI open the investigation.

In July, Johnson confirmed by email that the TBI investigation was ongoing but said he could not comment on its status.

Lenoir City Police Chief Don White, in March 2017, called the probe into the Shuberts “complex” and said in April 2017 that information about the case could be “months” away.