Canyon Partners News Inc. is a publication devoted to exploring and exposing the truth about Canyon Partners, Canyon Partners Real Estate, their affiliates (collectively referred to herein as "Canyon" or "Canyon Partners") as well as their attorneys at the Dickinson Wright law firm and other third parties associated with Canyon Partners. Canyon Partners News Inc. owns, operates and does business under the names of Canyon Partners News, Canyon Partners Today, Hedge Fund Scum, Worse Than Madoff, Liar Lawyer and Dickinson Wrong. Our mission is to alert potential borrowers and joint venture partners, endowments, the institutional investment community, mortgage bankers, real estate brokers and the publications for these industries regarding what we perceive to be an alarming rate at which defaults are declared, default interest and extra fees are demanded, properties are foreclosed upon and people’s lives as well as their livelihoods have been immensely impacted by the owners and employees of Canyon Partners as well as those that are complicit with them.
We quote from the materials, financial reports and emails of Canyon Partners as well as their accountants, attorneys, and other representatives. We may also quote from or describe court filings, published articles and communications from Canyon Partners’ borrowers (including their family members if the principal is deceased), attorneys at the Dickinson Wright law firm and other law firms, investors and agents. Excerpts of deposition videos of Canyon Partners personnel and agents are published here too.
Descriptions and analysis of Canyon Partners' tactics and playbook are based on our view of the documented evidence and descriptions provided by multiple borrowers (or their family members if the principal is deceased) who allege that they suffered devastating consequences as a result of their transaction with Canyon Partners. By describing what has happened to people interacting with Canyon in the past, it is our aim to forewarn others doing business with them now or who will consider doing so in the future.
The public records in many jurisdictions in this country contain extensive filings regarding Canyon’s history and practices. Although some court records involving Canyon have somehow been expunged. The allegations in the lawsuits that we have found (so far) collectively suggest a repetitive pattern of Canyon taking money and property from unsuspecting borrowers. Often all or nearly all of the money and property of these borrowers was lost when their property was foreclosed upon and/or when Canyon swept the funds from the borrower's bank accounts. Canyon's borrowers have described Canyon Partners as a “loan-to-own” operation, as opposed to a legitimate lender which just wants to earn the agreed upon interest rate and fees on the loan and to be repaid. Canyon has been described as a predatory hedge fund that intentionally turns safe and performing loans into distressed debt. Repeatedly Canyon’s pre-closing internal memos and press releases have described their newly originated loans optimistically, not distressed, yet defaults have been declared rampantly, often soon after loan closings.
We have also learned that there are many instances where Canyon’s borrowers have not litigated even though they have been issued default letters early in the loan term and ultimately were forced to pay excessive interest and other charges to get Canyon to discharge their mortgage. Some were compelled to sign deed-in-lieu of foreclosure documents and many were threatened and pressured to submit to other demands.
In communications with many of Canyon’s borrowers, eerily similar allegations of conduct by the same perpetrators at Canyon have been reported. Several horror stories have been told of lives ruined and life savings lost. Borrowers have said that their promising futures and reputations were destroyed as a result of their dealings with Canyon. Multiple owners of rare, one-of-a-kind properties complain that they were issued default letters repeatedly when no monetary or credible defaults occurred. Reported often was that construction draws were withheld even when Canyon kept charging interest on the withheld money. Repeatedly, Canyon’s borrowers found themselves in desperate situations and were forced to sign forbearance agreements, pre-negotiation letters, loan amendments, and other demands to acknowledge defaults and/or pay default interest and unforeseen fees.
We are dedicated to an ongoing investigation regarding allegations of Canyon’s repeated victimizing of their borrowers. It is our goal to accurately report on these concerns and share information gathered as a result of our due diligence. We will also report on those individuals and entities which have aided and abetted Canyon's operation.
The Dickinson Wright law firm has been actively involved in Canyon's loan-to-own operation with respect to at least one property, the George, that Canyon quickly took control and title of at a significant discount to value. Sidley Austin LLP was involved in the takeover of the George too and likely was involved in Canyon's takeover of other properties too.
Dissemination of this information and the sharing of our concerns serves a legitimate purpose in informing the public. We feel an obligation to help prevent further harm by locating as many of the current and former victims as possible, and forewarning the public about their experiences with Canyon.
As more victims of Canyon Partners' loan-to-own operation become known, the facts of their stories will be told here as well. So, check back often!
