Opinion ID: 1591773
Heading Depth: 1
Heading Rank: 3

Heading: - Property Facts -

Text: We now address the complicated, extensive property facts of this marriage. When the parties were married, DeJuan had a net worth of approximately $80,000. [3] Judy owned an automobile with a value of approximately $300.00. Shortly after the marriage took place, DeJuan's father helped him purchase an interest in G & S Grain Company in Texas. DeJuan later sold his interest in G & S to his father. DeJuan and Judy received approximately $7,500.00. In March, 1963, Judy's parents were in a plane crash, with Judy's mother being killed. Judy received a $12,000.00 settlement from her mother's estate, certain household furniture, and an interest in Muncy Elevator. She subsequently sold her interest in Muncy Elevator for $20,000.00. From this inheritance, a lot was purchased upon which a house was built. Judy's father contributed monies by making the house payment for approximately two years. Later, this residence in Plainview, Texas was sold. The profit, approximately $36,500.00, was used by DeJuan in his farming operation and to purchase land in South Dakota. In December, 1979, DeJuan purchased nine sections of land in South Dakota from W.J. Asmussen for $1,728,000.00. Without consulting Judy, DeJuan assigned one section of this property to each of the parties' three children. He also prepared documents which stated that the debt of $21,700.00 owed to his three children incurred during the December 1979, transaction was forgiven by his children. The same document also stated that DeJuan and Judy are giving $18,000.00 to their children as of December 31, 1979, and further provided that an additional $17,900.00 was to be given equally to the children on January 1, 1980. However, Judy did not sign any of the documents and did not agree to the transactions. The forgiveness of the debt, as well as the two gifts of money, were necessary to provide the down payment money, so that on paper each of the children would be able to purchase the three sections of land, which DeJuan claims belong to the children. Subsequently, in an attempt to put the Strickland family earnings into a lower tax bracket, DeJuan filed tax returns for his children and himself. These returns purported to show that DeJuan and each of his children were involved in the farming operation. Taxes were paid for each of the individuals. As a result of the documentation prepared, the three children and DeJuan were able to qualify for monetary payments from the United States Government, substantially in excess of what would have been available without the children being involved in the farming operation. In 1986, in an attempt to qualify for additional monetary payments from the United States Government, the three children, DeJuan, and DeJuan's father purported to enter into a joint venture for farming purposes. After having the joint venture papers prepared, DeJuan and his children qualified for $50,000 in United States Government payments. DeJuan was also eligible to participate in the Conservation Reserve Program (CRP). However, DeJuan withdrew his prior approval to participate in the CRP for personal reasons. The trial court critically, and very importantly, determined that DeJuan controlled and enjoyed the beneficial use of all of the before-mentioned property and all finances generated by this property, as well as the money received from the United States Government. This determination was made, notwithstanding many interlocking business associations. After Judy decided to file for divorce, DeJuan, for the first time, decided to pay interest on the loans that he claimed to have with his children. About the same time, DeJuan's accounting records reflected that almost an identical amount was withdrawn from the children's checking accounts by way of a loan to DeJuan. DeJuan did not show any debt to his children on any of his 1987 or 1988 financial statements. He first recognized debt to his children after Judy filed for divorce. The trial court also determined that DeJuan did not deliver any notes to his children nor did he place them in their possession. After Judy filed for divorce, DeJuan provided Judy with a financial statement showing that DeJuan and Judy had approximately a $12,000.00 negative net worth. This is also what he told the trial court concerning his financial status. Considering the assets and liabilities, this testimony was incredible, the trial court deeming there were approximately 2½ million dollar net assets.