POSTED: Friday, November 30, 2012 - 11:33pm
UPDATED: Saturday, December 1, 2012 - 8:51pm
TYLER, TX (KETK) - — Just as the final chapter in Lon Morris Junior College's history was about to be written, the Texas Attorney Generals Office steps in.
The college was set to be auctioned off in Dallas on December 15th. The AG's office is trying to stop the auction from happening, amid the investigation on whether the Lon Morris Bankruptcy Estate was trying to sell off restricted items the estate didn't own.
According to the Daily Progress, The Texas Methodist Foundation is suing the Lon Morris College Bankruptcy Estate and Texas Attorney General Greg Abbott. The Daily Progress also reported that the Foundation is trying to stop the the college's chief restructuring officer from liquidating charitable endowments equalling $265,000 to pay for its Chapter 11 Bankruptcy costs.
Ameribid LLC, the company, handling the auction has been trying to market the 112 acre property to prospective buyers. Before the breaking news of halting the auction, regional director Brent Wellings told KETK news, the property was going to be auctioned off in parts and said the campus offers big potential.