Former Reagor-Dykes CFO denies late payments, says Vista Bank at

Former Reagor-Dykes CFO denies late payments, says Vista Bank attacked him, his family

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Shane Smith, photo from Reagor Dykes website Shane Smith, photo from Reagor Dykes website
LUBBOCK, Texas -

Through his attorney, former Reagor-Dykes chief financial officer Shane Smith said Vista Bank has attacked him and his family through a lawsuit filed this week.

Vista Bank filed suit in the 237th District Court claiming Smith defaulted on a $200,000 loan signed for in January that matures in January 2019. Vista's suit states Smith has refused to pay.

Smith says just last week Vista's attorney said the two sides believed a resolution would be worked out so the loan would be paid back. Smith says no payments on the loan have been past due, as Vista claims.

Here is the full statement from attorney E G Morris:

It is not my practice to comment to the press on any ongoing legal matter. However, in light of the press reports yesterday concerning the Vista Bank lawsuit, Mr. Smith thought it important to correct the article’s mischaracterization of his relationship with Vista Bank and his intentions concerning payment of his outstanding indebtedness to that institution and others. I concur with his decision. The following is a statement from Mr. Smith:

“It is unfortunate that Vista Bank has decided to attack me and my family with this lawsuit, when as early as last week, their attorney informed me he felt they would work out a term loan so that I could pay back the loan with principal and interest payments, as I had promised them I would. All interest payments have been made on time and nothing is past due, as they have claimed. The statement I received just this week says nothing about being past due. I am planning on paying Vista Bank, and any other creditor that I owe. I would hope they would want to be paid back, and I hope that a reasonable agreement, other than demanding the entire balance, can be accomplished.”

Smith is also a defendant in First Bank & Trust's lawsuit alleging a check kiting scheme. This Vista Bank lawsuit is solely against Smith individually. The First Bank & Trust suit lists Smith as a defendant along with Reagor Auto Mall d/b/a Reagor-Dykes of Levelland and d/b/a Reagor Dykes Imports, First Capital Bank, Bart Reagor, Rick Dykes, former Reagor-Dykes controller Sheila Miller, First Capital Bank CEO Brad Burgess and First Capital Bank Chairman Kenneth Burgess.

In response to Ford Motor Credit's lawsuit, Reagor-Dykes co-owner Rick Dykes accused Smith of providing false information to Ford Credit as well as Dykes and co-owner Bart Reagor. Dykes questioned the personal and professional relationship Smith maintained with Ford Credit's regional manager who oversaw Ford Credit's financing of Reagor-Dykes.

Dykes' response stated Smith was fired on or around Aug. 1 after he admitted to Dykes and Reagor that he had provided false financial information. Dykes also stated the local United States Attorney's office was then notified, "which has commenced an investigation", according to the filing.

WED: Texas DMV: Reagor-Dykes should promptly resolve title issues
WED: Brad, Kenneth Burgess file motion to dismiss Vista Bank lawsuit
TUE: First Capital Bank files motion to dismiss lawsuit
TUE: Court approves bid process for Reagor-Dykes Auto Group, extends use of cash collateral
MON: Ford Credit, GM object to certain aspects of proposed Reagor-Dykes sale
SEPT. 14: Judge sets trial date in Ford Credit lawsuit vs. Reagor-Dykes
SEPT. 14: Reagor denies Ford Credit's claim vehicles sold out of trust
SEPT. 13: Dykes: Former Reagor-Dykes CFO admits he provided false info to Ford Credit
SEPT. 11: Reagor-Dykes Auto Group requests court to allow sale of company
SEPT. 4: Reagor-Dykes Auto Group establishes process to resolve customer problems
AUG. 31: International Bank of Commerce asks for court to allow it to foreclose on Reagor-Dykes dealerships
AUG. 31: More Reagor-Dykes companies, co-owners may soon file for chapter 11
AUG. 30: Court extends Reagor-Dykes employment of CRO; officer discusses potential dealership buyers
AUG. 29 : International Bank of Commerce asks for loan payment in Reagor-Dykes case
AUG. 29: Ford Credit objects to Reagor-Dykes earlier legal team
AUG. 27: Vista Bank doubles relief request in new federal suit against FirstCapital Bank
AUG. 25: Reagor-Dykes chief restructuring officer hires new legal team
AUG. 25: GM proceeding with termination of Reagor-Dykes Floydada
AUG. 23: Landlords demand rent for Reagor-Dykes dealerships in Lubbock, Plainview
AUG. 20: Ford Credit moves ahead with suit against Reagor, Dykes, some R-D companies
AUG. 18: Reagor-Dykes bankruptcy case: Read court order following Aug. 16 hearing
AUG. 17: Auto dealer claims Reagor-Dykes owes $513,000, vehicles may be in consumers' possession
AUG. 16: Vista Bank sues FirstCapital for $6 million, claims Dykes helped perpetrate check kiting scheme
AUG. 16: Bankruptcy court allows Reagor-Dykes continued use of cash collateral, hiring of CRO
AUG. 15: Reagor-Dykes Auto Group issues written apology
AUG. 14: Loss of Reagor-Dykes Chevrolet in Floydada a potential financial pitfall for city
AUG. 14: Vehicle auction company claims Reagor-Dykes owes it $687,000
AUG. 14: Ford Credit claims Reagor-Dykes is not following court orders; court grants extension to file docs
AUG. 13: U.S. Trustee opposes Reagor-Dykes request to hire chief restructuring officer
AUG. 10: Ford Credit: Reagor-Dykes fraud may be among largest of its type in U.S. history; GM files to terminate Floydada dealership
AUG. 9: Reagor-Dykes questions former CFO’s actions; Contractor claims $700,000 due now
AUG. 7: Former Reagor-Dykes employees claim they were not paid
AUG. 6: Customers concerned over Reagor-Dykes 'unwinding' process
AUG. 6: Ford suit against Reagor-Dykes on hold while bankruptcy case proceeds
AUG. 3: Judge approves Reagor-Dykes employee pay
AUG. 2: Mayor: Downtown Lubbock growth to remain strong regardless of Reagor-Dykes future
INITIAL STORY: Ford Motor Credit sues Reagor-Dykes; R-D files for chapter 11 bankruptcy

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