September 27, 1994
A federal judge in Los Angeles has denied a bid by Teachers Management & Investment Corp., the Newport Beach company that raised about $1 billion from California teachers, to move a lawsuit filed against the company, an attorney said Monday. On Aug. 23, four teachers sued TMI in Orange County Superior Court alleging that the company lost $100 million in investor funds through fraud and racketeering.
February 13, 1996 |
The state attorney general's criminal division has been investigating the operations of the troubled Teachers Management & Investment Corp., which lost more than $100 million in investor money. The criminal investigation, confirmed by authorities Monday, continues as investors and a court-appointed receiver pursue civil fraud allegations against the company, its principals and its advisors.
May 24, 1996 |
In a meeting that sometimes turned hostile, limited partners in Parducci Winery Ltd. voted Thursday on whether to oust troubled Teachers Management & Investment as their general partner in charge of operating the Mendocino County winery. Results of the vote, however, won't be available until sometime next week, sources for each side said. An independent company is counting the ballots. At the meeting, some limited partners booed James R.
January 23, 1998 |
Educators who lost their retirement savings in the 1994 collapse of Teachers Management & Investment Corp. can't blame the company or its advisors for most of the losses, a receiver said Thursday. Dennis B. Schmucker of San Diego said 20,000 teachers and administrators statewide lost more than $200 million in real estate partnerships put together by TMI. Unfortunately for them, Schmucker said, "the biggest chunk of the loss was caused by the decline in the real estate market."
August 3, 1996 |
Embattled Teachers Management & Investment Corp. said Friday that it has sold its Parducci Wine Cellars in Napa to Hill & Thoma Wines for $19.9 million. The Napa winery was one of the few remaining partnerships still operated by the Newport Beach investment company, which has been stripped of most of the real estate partnerships it put together for 20,000 educators statewide. "This will be a boon to the limited partners. It's been a long time coming," said James R. Percival, a lawyer for TMI.
January 21, 1998 |
A lawsuit that promised to put the ethics of the accounting profession on trial was settled for $14 million Tuesday, ending nearly four years of litigation but leaving some investors less than satisfied. Just before a jury was to be selected, Big Six accounting firm KPMG Peat Marwick agreed to pay nearly $10 million and Comerica Bank-California agreed to pay more then $4 million to end all litigation stemming from the 1994 collapse of Teachers Management & Investment Corp.
September 18, 1994 |
When Maurice B. Shuman and James R. Martin bought Teachers Management & Investment Corp. in 1987, its prosperity seemed assured. The Newport Beach company owned $700 million in California real estate and had on its payroll hundreds of teachers who had invested in TMI themselves, then signed on to moonlight as sales agents for its limited partnerships.
September 19, 1994 |
The teachers lounge at Commonwealth Elementary School in Fullerton seemed an unlikely place for financial wheeling and dealing. Visitors would most likely find teachers Louise Carmichael and Norma Elgas swapping stories about wayward students as they shared their brown-bag lunches. But Carmichael was all ears one afternoon in 1972 when Elgas, a popular sixth-grade teacher, mentioned a Newport Beach investment company with the motto "Teachers Helping Teachers."
January 20, 1998 |
The first trial in what has become one of Orange County's bulkiest court cases is set to start today as teachers statewide try to recoup some of the $100 million they lost in real estate deals. The class action stems from the 1994 collapse of Teachers Management & Investment Corp., a Newport Beach firm that invested teachers' money mainly in undeveloped land that lost value during the real estate recession of the early 1990s.
April 25, 1996 |
A law firm once retained by troubled Teachers Management & Investment Corp. said it quit representing the company after only six days because the operators concealed evidence that "could give rise to criminal liability." The Irvine office of Reavis & Pogue made the allegation in responding to a lawsuit filed by TMI operators Maurice B. Shuman and James R. Martin. Jones, Day accused the pair of concealing "fraudulent conduct" from the lawyers.