The Honorable James M. Rosenbaum, United States District 1

Judge for the District of Minnesota.

 The Honorable Nancy C. Dreher, United States Bankruptcy 2

Judge for the District of Minnesota.

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No. 95-2090

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James E. Ramette, Trustee *

of the Bankruptcy Estate of *

Ferris J. Alexander, Sr., *

* Appeal from the United States

Appellee, * District Court for the

* District of Minnesota.

v. *

* [UNPUBLISHED]

Carolyn J. Alexander, Jeffrey *

C. Alexander, Gust S. Alexander,*

and U.S. Video, Inc., 

 *

 *

Appellants. *

__________

Submitted: November 13, 1995

Filed: December 1, 1995

__________

Before HANSEN, JOHN R. GIBSON, and MURPHY, Circuit Judges.

__________

PER CURIAM.

Appellants Carolyn J. Alexander, Jeffrey C. Alexander, Gust S.

Alexander and U.S. Video, Inc., appeal from a final judgment entered after

the district court affirmed orders of the bankruptcy court in favor of

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appellee James E. Ramette, the trustee. The judgment represented the

combined value of a promissory note and real estate property that were

fraudulently transferred to his children by Ferris J. Alexander, Sr., the

debtor, in 1989 while he
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was insolvent, but before he filed for bankruptcy. 

Appellants indicate in their reply brief that they "do not appeal the

findings of fact," but rather "appeal from errors of law." They argue that

the transfers are not voidable, that the Alexander appellants are not

jointly and severally liable for the transfers but only liable for the

value each received, that evidence of present value is lacking, and that

the amount of the judgment is incorrect.

After a two day trial, the bankruptcy court issued detailed findings

of fact and conclusions of law. It found that the debtor owned and

operated numerous adult movie theaters in addition to United States Video,

Inc., a video rental business, in which his children were the stockholders.

As a result of a federal investigation into the debtor's business affairs,

he transferred to his children a note for no consideration and a $175,000

Minneapolis real estate property for nominal consideration. The note had

a face value of $1.5 million, but the bankruptcy court found its actual

value to be $535,000 at the time of the transfer. The children were aware

of the investigation and contributed the value of the note to U.S. Video

as additional capital. The debtor's assets at the time of the transfers

were substantially less than the $12.3 million debts he owed. The

bankruptcy court concluded that both transfers were made with the intent

to hinder, delay, and defraud the debtor's creditors, and were effected for

less than reasonably equivalent value, within the meaning of Minn. Stat.

§ 513.41. Based on "overwhelming" evidence, it concluded that the

Alexander children (except for Susan J. Omoyayi) and U.S. Video were coconspirators with their father in the fraudulent scheme and ordered

judgment for the trustee. 

After carefully reviewing the record, we conclude that the bankruptcy

court's findings, including those related to fraudulent transfer and

valuation of property, are not clearly erroneous, and
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its conclusions are not contrary to law. Accordingly, we affirm the

judgment in favor of the trustee without further discussion. See 8th Cir.

R. 47B. 

A true copy.

Attest:

CLERK, U.S. COURT OF APPEALS, EIGHTH CIRCUIT.