Matt Lile Wipes Hands of Dry Cleaners

Some Lile Closure

One of the legal issues surrounding John Mathis “Matt” Lile III, former Little Rock chef and president of the defunct Cosmopolitan Life Insurance Co., has been resolved.

You may recall that Lile was indicted by a federal grand jury back in April for embezzling more than $300,000 from Cosmopolitan.

Lile had other problems too. For one, he owed Centennial Bank of Conway $350,000.

According to a suit filed in Pulaski County Circuit Court a few months after Lile’s indictment, Centennial Bank loaned him $250,000 in 2005. Lile secured the loan with a commercial property he owned at 1525 Merrill Drive in Little Rock, then home to a Cuffs Dry Cleaners.

The entire amount was due in 2006; however, instead of repaying it, Lile in 2007 increased the loan amount to $350,000 and agreed to make monthly payments.

The loan was renewed several times until February 2013, after which Lile defaulted, still owing around $350,000.

The bank was requesting to seize and sell the property to pay off some of the money owed.

But in October, Centennial filed to dismiss the foreclosure suit.

Why?

“That loan got paid off,” said William Brazil, attorney for Centennial on the case. “The property sold to a third party.”

Indeed, the Pulaski County Assessor’s Office shows that Lile sold the property on Sept. 30 to Independent Case Management Inc., a Little Rock nonprofit that works with the developmentally disabled, for $875,000.