Physician Who Reopened Bradley Lumber Mill Accused of Defrauding Lender

by Mark Friedman  on Monday, Dec. 19, 2011 12:00 am  

“That’s pretty much what they accused me of,” he said. “I told them that it didn’t happen.”

Chambers, though, was upset in 2008 because he said Webster officials promised him additional financing if Bradley Timberland sold its assets. Chambers said he sold the timberlands for $17 million, a discount of about $7 million because he had been forced into a quick sale.

Bradley Lumber would eventually “become aware that Webster never intended to reopen their inventory and accounts receivable financing,” according to the lawsuit that Bradley Timberland filed against Webster on Aug. 12.

Bradley Timberland is suing Webster for fraud. Webster denied the allegations of wrongdoing and the case is pending.

A Fire and a Move

In 2010, Chambers said, he made a deal with Oasis Trading LLC to reopen the Bradley mill. Oasis had the mill up and running and even a few people were working at the mill until the fire broke out, he said.

These days, Chambers maintains he tried to help Warren by buying the mill from Potlatch.

“My wife and I never took anything out of the mill,” he said. “And we pretty much put all of our life savings and all that we had back into the mill. But again it was not enough.”

 

 

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