HOUSTON – A Houston federal jury awarded at least $84 million to a real estate company that invested and then allegedly lost millions in a scheme to redevelop the land at the former site of Houston's Six Flags AstroWorld theme park.
In a 27-page verdict on handed down June 27, the jury sided with a group of investors known as B Choice Limited and may even up the amount of more than $100 million once more deliberations are undertaken, the Houston Chronicle reports.
The defendants are a group of corporations and individuals known as Epicentre Development Associates that were found liable for civil racketeering charges, including money laundering and wire fraud.
The plaintiffs, a group of investors known as B Choice Limited, will most likely be awarded a sum of more than $100 million once additional calculations are undertaken, based on 42 questions the jury asked, the Chronicle reported.
According to the original complaint, Epicentre had solicited investments to develop a high-density residential area on the 104-acres that previously was the location of the theme park.
The jury determined that Epicentre used $25 million from B Choice to buy about 11 acres. It then ran the money through a series of mortgages as an alleged laundering technique and kept the remaining funds, the Chronicle reported.
B Choice initially invested $11 million into the project. In the summer of 2011, Epicentre informed B Choice that all the land had been purchased. Still, it asked to borrow an additional $13.65 million to begin development of the property, to which B Choice agreed. In the end, Epicentre sold the 11 acres and reportedly kept the remaining funds.
In the original complaint, the defendants were described as "masters at 'moving the finish line' when the end was almost in sight.” It claimed the loss of the investment was because of the Great Recession that began in 2008.
B Choice was also awarded $35 million in punitive damages.