CLO Settlement Betrays The Public Trust

by Stephen on 09/17/2015

Governor Mary Fallin

Governor Mary Fallin

The CLO independent counsel had a solid legal case against Pointe Vista for breach of contract.   Pointe Vista failed to deliver the promised hotel and convention center by May, 2014.  Their land purchases were based on contractual agreements to develop a four star hotel and convention center.

Therefore, CLO attorneys argued to rescind the 2008 land deals and take back all 758 acres of Lake Texoma State Park sold to Pointe Vista in 2008.

Pointe Vista argued that the state’s only remedy was “specific performance.”  They claimed they could be ordered to go forward within a reasonable time frame, but that is all.

The CLO settlement eliminates Pointe Vista’s contractual development requirements upon which the land sales were based.  It also leaves Pointe Vista in possession of over 700 of the 758 acres purchased in 2008.

Not only did the state land commission abandon their claim for the Lake Texoma State Park land plus court costs, they abandoned their right to specific performance when they released Pointe Vista from their development requirements.  Does this sound like a good deal to you??

“Governor Fallin and the land commission were clearly not interested in trying the case because they might have actually won.  Then they would have had to restore the park to public ownership. They deliberately sabotaged their own independent legal team with a bogus settlement that is a complete betrayal of the public trust.”

The CLO, as “trustees” of Oklahoma’s public lands, have a “fiduciary duty” to maximize the return on investment and protect those investments on behalf of the beneficiaries, our public schools.

“They spent hundreds of thousands on one of the best law firms in the country to sue Pointe Vista.  When they abandoned that investment in restoring The Park, and every other legal remedy they sought, they violated their fiduciary duty.”

Fallin and the CLO should be investigated for fraud and professional misconduct.  Their settlement should be appealed and overturned in the federal courts.  This deal smells and that would be one way to clear the air.
Stephen Willis, Restore Lake Texoma State Park

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