FLDS members sue trust manager

After years of silence, members of the Fundamentalist LDS Church are challenging the man appointed by the courts to oversee the polygamous sect's real estate holdings arm.

A lawsuit was filed in Salt Lake City's 3rd District Court late Friday seeking to set aside an $8.8 million default judgment awarded to the court-appointed special fiduciary of the United Effort Plan Trust. The money was awarded in 2007 to Bruce Wisan after the UEP's former trustees, including FLDS leader Warren Jeffs, failed to respond to his lawsuit alleging they defrauded the trust.

But now the church is fighting back, claiming the judgment was obtained through "fraud upon the court."

"The judgment was entered based upon false, incomplete, and misleading evidence ...," FLDS attorney Rod Parker wrote in his lawsuit.

In the 42-page suit, the FLDS Church and its former trustees claim that Wisan misrepresented to the court property values, transactions and claims the UEP trust may have had over personal property. Wisan has said that property was being taken from the FLDS communities of Hildale, Utah, and Colorado City, Ariz.

When contacted by the Deseret News on Friday night, Wisan's attorney, Jeffrey L. Shields, declined to comment on the lawsuit until he had a chance to review it.

In 2005, a judge took control of the UEP Trust amid allegations that Jeffs and other FLDS leaders had mismanaged it. The trust controls homes, businesses and property in the FLDS communities.

For years, FLDS leaders and members have refused to cooperate with the fiduciary and court-ordered reforms. That is now changing, with recent courtroom challenges to trust reforms.

"A lot of things are changing with the church," Parker told the Deseret News. "They recognize that this is being used as an implement of destruction of the church and this pushes them beyond the breaking point. They have to defend themselves or be destroyed as an institution."

While it is too late to appeal the judge's ruling granting the fiduciary a default judgment, Parker said they can sue to challenge it.

"It's such a direct attack on the church that they just can't stand by and let it happen," he said.

E-mail: bwinslow@desnews.com

Recent comments

• Story graphic

• Most Popular
• Most Commented

1. Glenn Beck sees new project as 'most important' of his life
2. USU football: Andersen is the Aggies' new guy
3. Collie has made his All-American case
4. MSNBC names Buttars 'worst person in world'
5. BYU, Weber State basketball: Cougars shoot down Wildcats
6. Utah Utes, BYU football: Utes are rewarded with MWC accolades
7. BYU, Weber State basketball: Rahe says BYU loss will be turning point
8. Utah Jazz: Wade, Heat humble hurting Jazz at EnergySolutions Arena
9. Utah Utes basketball: Utes run, gun and rebound past Oregon
10. Reid gives Big 3 little hope

1. Sore losers won't let go in California 644
2. Elder Joseph B. Wirthlin, oldest apostle, 91, dies at home 252
3. Boise State should man up, play TCU 196
4. BYU football: Destination is unknown for Cougars 194
5. Buttars says bah to 'holiday' greetings 188
6. Smith's journals made available to public for 1st time 151
7. MSNBC names Buttars 'worst person in world' 117
8. Obama announces Clinton, Gates for Cabinet 105
9. Utah Utes football: Johnson, Sakoda, Whittingham headline All-MWC honors 104
10. BYU football: Cougars continue to wait for official bowl invite 95
11. (Stories published in the last five days with the most comments)

• A & E
• LDS news
• Sports