Michael Harris v. Jesse Dunn & KCOH 1230 AM

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Former KCOH radio host Michael Harris is suing station president, local minister Jesse Dunn, and the South Houston Community Development Corporation (doing business as KCOH 1230 AM), for fraud in a civil lawsuit filed October 7, 2013 in Harris County District Court.

Transcript of Michael Harris v. Jesse Dunn & KCOH 1230 AM

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    CAUSE NO. ________________________

    MICHAEL HARRIS

    Plaintiff,

    v.

    JESSE DUNN; and SOUTH HOUSTON COMMUNITY DEVELOPMENT CORPORATION.

    Defendants.

    IN THE DISTRICT COURT

    _____JUDICIAL DISTRICT

    HARRIS COUNTY, TEXAS

    PLAINTIFFS ORIGINAL PETITION

    TO THE HONORABLE JUDGE OF SAID COURT:

    COMES NOW Plaintiff Michael Harris and would respectfully show the following:

    DISCOVERY LEVEL

    Plaintiff requests the Court enter a discovery control plan and recognize this case as

    proceeding under a Level II discovery control plan pursuant to TEX. R. CIV. P. 190.

    PARTIES

    Plaintiff Michael Harris is an individual residing in Harris County, Texas.

    Defendant Jesse R. Dunn is an individual residing Harris County and may be served at

    301 York Street, South Houston Texas 77587, or wherever he may be found.

    Defendant The South Houston Community Development Corporation, Inc. is a Texas

    corporation d/b/a KCOH 1230 AM with its principal place of business at 301 York Street, South

    Houston Texas 77587. SHCDC may be served by serving its registered agent Jesse R. Dunn Jr.

    at 301 York Street, South Houston Texas 77587, or wherever he may be found.

    JURISDICTION AND VENUE

    This Court has jurisdiction because Plaintiff brings suit for an amount in excess of the

    Filed 13 October 7 P5:46Chris Daniel - District ClerkHarris CountyED101J017757078By: Nelson Cuero

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    minimum jurisdictional requirements and the Defendants are domiciled in Harris, County, Texas.

    Further, venue is proper in Harris County, Texas because all or a substantial part of the events or

    omissions giving rise to this lawsuit occurred in Harris County. All conditions precedent to

    bringing the claims asserted herein have occurred and/or have been waived by the Defendants.

    NOTICE FACTS

    KCOH is known as the oldest black radio station in Texas, arguably in the southern

    United States. The station is located within the heart of Third Ward of Houston and has been a

    constant presence in the community since 1953 went it launched as KCOH 1430 AM. Plaintiff

    Michael Harris has been a radio personality with KCOH and a voice for the Houston African

    American community for over 38 years. KCOH, Inc. is the entity that owns and controls the

    assets of the KCOH radio station. In the beginning of 2013, KCOH, Inc. completed the sale of

    KCOH 1430 AM and the company leased the remaining assets including the legacy call letters

    KCOH to Defendants Jesse Dunn and SHCDC to re-launch the African American programming

    under KCOH 1230AM. At all material time, Dunn served and continues to serve as President

    of SHCDC.

    Plaintiff was employed by SHCDC d/b/a as KCOH 1230AM and was ecstatic about

    Dunns persistence in re-launching the station and wanted to help in any way he could to make

    sure the station would continue to be a voice for the black community. In or around May 2013,

    at Dunns request, the Plaintiff, the VP and Operations Manager, signed as guarantor for a Line

    of Credit (LOC) in amount of roughly $30,000.00. Dunn represented to Plaintiff that he was

    waiting on funds from the sale of real estate that he owned and the LOC would be used only for

    KCOH payroll in the event the real estate sale did not close in a timely fashion. Relying on

    Dunns representations, Plaintiff, over the next two months, signed an additional LOC for

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    $100,000.00 and signed on as guarantor for approximately $38,000.00 in station equipment.

    Dunn represented to Plaintiff the additional LOC would only be used to pay for the signal lease

    of the 1230AM signal. Dunn also stated he would not take a salary. In total, Plaintiff entered

    into three agreements for roughly $170,000.00 based upon Defendant Dunns representations.

    On or about September 24, 2013, Plaintiff was contacted by a Frost bank representative

    due to outrageous and irregular account expenditures that were repeatedly made at casinos

    totaling approximately $30,000.00. In his discussions with the bank, Plaintiff discovered that

    Dunn used the funds for gambling in various casinos in Louisiana and Las Vegas, to pay his

    church band members, his mortuary business and other miscellaneous expenditures totaling

    approximately $100,000.00. In fact, based upon a recent televised news interviews with KHOU

    11 news reporter Rucks Russell, Dunn admitted that he used the money to gamble at casinos and

    for his own personal gain, but wittingly claimed that the money belonged to him to do what he

    pleased because he owns the company. Indeed, in a three month period between June and August

    2013, thousands of dollars in loans that Plaintiff secured for the operation of the station were

    stolen and misused by the Defendant for his personal benefit. More importantly, in a matter of

    three months Defendant Dunn has severely tainted the legacy of an institution that has been in

    the Houston black community for over 60 years and has ended the dignified career that Plaintiff

    has enjoyed with KCOH for over 38 years.

    CAUSES OF ACTION

    The foregoing allegations are incorporated herein by reference for all purposes as though

    set forth verbatim in support of the following causes of action:

    PIERCE THE CORPORATE VEIL, ALTER EGO, AND JOINT AND SEVERAL LIABILITY

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    Plaintiff asserts that actions of the Defendants are the proximate cause of Plaintiffs

    injuries and Plaintiff brings suit against them under alter ego and seeks to pierce the corporate

    veil. Based upon the facts set forth herein, Plaintiff asserts that at all material time Defendant

    Dunn used SHCDC as his personal corporation to perpetuate fraud upon the Plaintiff and

    possibly others.

    FRAUD AND FRAUDULENT INDUCEMENT

    Plaintiff brings this action asserting the claims of fraud and fraudulent inducement

    against the Defendants. The Defendants have defrauded the Plaintiff based upon representations

    that were false and were known to be false and/or made recklessly as a positive assertion and

    without knowledge of its truth by the Defendants at the time that the representations were made

    to the Plaintiff. The Defendants made the misrepsentations with the specific intent that Plaintiff

    would act upon it to Plaintiffs detriment.

    EXEMPLARY DAMAGES

    Further, the Defendants conduct was of such a wanton, willful and extreme nature and/or

    constitutes fraud to such a degree that Plaintiffs are entitled to exemplary damages in this cause.

    REQUEST FOR DISCLOSURE

    Under Texas Rules of Civil Procedure 194, Plaintiff requests that Defendants disclose,

    within 50 days of the service of this Request, the information and/or material described in Rule

    194.2.

    PRAYER

    WHEREFORE, Plaintiff requests the Defendants be cited to appear and upon a trial by a

    jury, and judgment is entered in Plaintiffs favor in at least the following particulars:

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    1) actual damages within the jurisdictional limits of this Court, and any and all pecuniary

    damages and losses suffered by Plaintiff;

    2) all special or consequential damages as allowed by law;

    3) damages to Plaintiffs credit;

    4) any and all nominal damages;

    5) exemplary damages as awarded by the jury or allowed by law;

    6) pre and post-judgment interest at the highest rate allowed by law;

    7) attorneys fees and all costs of court in any and all appeals of this action; and

    8) such other relief, general and special, legal and equitable to which Plaintiffs complained

    of herein and that he may be justly entitled.

    Respectfully submitted,

    /s/ Darrell Jordan________ Darrell Jordan

    1305 Prairie Street Suite 200

    Houston, Texas 77002

    SBN 24053880

    713-296-9422 Direct

    866-233-4036 Fax

    [email protected]

    _________________________

    Robert N. Collier

    12 Greenway Plaza, Suite 1100

    Houston, Texas 77046

    SBN 24049406

    713-446-2923 Direct

    832-426-5798 Fax

    [email protected]

    COUNSEL FOR PLAINTIFF

    eFileStamp: 2013-60087 / Court: 080