An update has been filed in the United States District Court for the Southern District of Ohio in Case No: 2:18-cv-00500, which involves a Hillsboro tire dealer.

According to federal court records, in an amended complaint dated July 11, the plaintiff, Kirby Developments, LLC, filed against these defendants:

• XPO Logistics, Inc.;

• XPO Global Forwarding, Inc.;

• Midwest Coal, LLC;

• Mid America Tire of Hillsboro, Inc. dba Best-One Tire & Service of Hillsboro and Todd Wilkin of Hillsboro;

• Fox, Byrd & Company, P.C.;

• Jason Adkins;

• Afif Baltagi;

• John Eckerd;

• L.A.D. Impex Corporation (LAD); and

• Ahmet Neidik.

From court records, the plaintiff states:

1. Kirby is one of several victims of the defendants’ organized scheme to defraud companies and individuals out of millions of dollars through fraudulent off-the-road mining tire transactions. Beginning in October 2015, defendants fabricated fraudulent documents, made intentional misrepresentations, and otherwise conspired to defraud Kirby out of $6,691,000.

2. Defendants have conspired multiple times using the same fraudulent off-the-road tire investment or sales scheme leading to the following suits, among others:

a. Abington Emerson Capital, LLC vs. Jason Adkins, et. al., S.D. Ohio Case No. 2:17-cv-00143;

b. Great Southland Limited v. Landash Corporation, et al., S.D. Ohio Case No. 2:17-cv-00719;

c. Lucien Tujague v. Jason Adkins, et al., E.D. Texas Case No. 4:2018-cv-00631

d. Vecron Exim Ltd. v. XPO Logistics, Inc. et al, S.D. Texas Case No. 4:2018-cv-02394;

e. Bruce Hann, et al. v. Landash USA, Corp. et al., Ohio Ct. of Cmn. Pleas, Jackson Cty. Case No. 17 CIV 0114;

f. Smithfield Financing Group II LLC v. Landash Corporation, et al., Ohio Ct. of Cmn. Pleas, Jackson Cty., Case No. 15 CIV 0112.

3. Judgment against defendants is necessary to restore Kirby to its previous position, punish defendants, and to prevent future victims of defendants’ continuing organized scheme.

4. The plaintiff is a West Virginia limited liability company with its principal place of business at 130 Meadow Ridge Road, Mt. Morris, Pa. 15349.

As reported by The Highland County Press on April 9 (https://www.justice.gov/usao-sdoh/pr/jackson-county-man-charged-defrauding-investors-50-million-ponzi-scheme), one of the defendants, Jason E. Adkins, 40, of Jackson, Ohio, agreed to plead guilty in U.S. District Court to orchestrating a $50 million Ponzi scheme that defrauded at least 46 investors.

Adkins was arraigned in federal court in Columbus in April.

Benjamin C. Glassman, United States Attorney for the Southern District of Ohio; William Cheung, Acting Special Agent in Charge, Internal Revenue Service (IRS) Criminal Investigation; and Todd Wickerham, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division; announced the case.

According to the plea agreement, beginning in 2012 and continuing through 2018, Adkins conspired to solicit millions of dollars from investors under false pretenses, failed to invest the funds as promised and misappropriated investors’ funds for his own benefit and the benefit of others.

Adkins and others claimed that they bought and sold over-sized tires commonly known as off-the-road tires, which are used on earth-moving equipment and/or mining equipment.

Investors were told their money would be used to buy the tires at a steep discount, and that the tires would then be re-sold to a buyer at a much higher rate.

Investors were promised a 15- to 20-percent rate of return on investment, generally within 180 days. Adkins would sometimes pay the return on investment for the first transaction with investor victims.

“Making good on early investments perpetuated Adkins’ scheme by appearing to corroborate his claims, which helped him attract more investors,” said U.S. Attorney Glassman.

“What the victims didn’t know was that Adkins was paying off early investments with the money from later ones. Although the product that Jason Adkins was purporting to buy and sell – oversize tires – was unusual, the operation of his scheme was not. It was right out of Ponzi’s playbook.”

In October 2018, The Highland County Press reported that Wilkin was named as a defendant in multiple U.S. District Court cases (see https://highlandcountypress.com/Content/In-The-News/In-The-News/Article/Hillsboro-business-owner-named-as-defendant-in-multiple-U-S-District-Court-cases/2/20/46647).

Wilkin, as president of Mid-America Tire, doing business as Best One Tire, was among four defendants in Case No. 2:17-cv-00143: Abington Emerson Capital, LLCs (plaintiff) v. Jason Adkins; XPO Logistics, Inc.; Afif Baltagi; Mid America Tire of Hillsboro, Inc. (dba Best One Tire & Service of Hillsboro; Todd Wilkin; and John Eckerd, defendants.

Wilkin – individually or with his business – also was a defendant in the U.S. District Court, Southern District of Ohio Case No. 2:17-cv-719, Great Southland Limited v. Landash Corporation, et al.

In addition, Wilkin was listed as a defendant in Case No. 2:2018cv00500: Kirby Developments LLC v. XPO Global Forwarding, Inc. et al.

According to court records, the nature of the litigation involved alleged "Racketeer Influenced and Corrupt Organizations (RICO)" issues.

When contacted by The Highland County Press, Benjamin Dusing, an attorney for Wilkin, said on Oct. 6, 2018: “Todd won’t be commenting, and I won’t say too much.

“I could say we’re constrained at the present time from commenting. Mr. Wilkin is a good man and didn’t do anything wrong. He looks forward to the issue being resolved and the full facts coming to light.

“If you’re in business long enough, you find out that not everybody is as honest as you are,” Dusing said. “That can have repercussions – all the way around.”

For more information, go to:

https://casetext.com/case/abington-emerson-capital-llc-v-adkins

https://www.gpo.gov/fdsys/granule/USCOURTS-ohsd-2_17-cv-00143/USCOURTS-ohsd-2_17-cv-00143-0

https://law.justia.com/cases/federal/district-courts/ohio/ohsdce/2:2017cv00719/205455/90/

https://dockets.justia.com/docket/ohio/ohsdce/2:2018cv00500/213600