Brown declined duplicated demands for an meeting utilizing the Chattanooga instances Free Press.

Brown declined duplicated demands for an meeting utilizing the Chattanooga instances Free Press.

But he did testify about their businesses in a 2005 deposition that is civil additionally the occasions Free Press interviewed significantly more than a dozen associates and previous and current workers to corroborate their account.

Brown stated into the deposition that their, and had been put visit the site right here up in Canada and Grenada to prevent lawsuits and spend less in taxes.

“we think it really is simply a shell firm,” Brown stated when you look at the deposition about “It had a appropriate workplace there in Grenada.” is situated in “several other overseas tax-free nation,” and Discount is “another shell corporation,” Brown stated as a result to concerns into the deposition.

The business behind the overseas shell businesses is Credit Payment Services, which Brown controls through a few agreements put up 10 years ago, he stated.

Though it appears complicated, it is not uncommon for businesses to go overseas in order to avoid laws, stated Allan Jones, owner of 1 regarding the nation’s biggest payday lenders, Cleveland, Tenn.-based look at Cash.

“then he or she may not be following applicable regulatory laws,” explained Jones, whose company is licensed to operate both Internet and retail store locations making payday loans if an online operator is unlicensed. “those that run offshore have the ability to avoid laws.”


Though and associated businesses owned by Brown seem to be based overseas, Chattanooga may be the real real location that homes the majority of the payday organizations’ employees, split among two structures on Amnicola Highway and another on Brainerd path, previous workers stated.

“We did lots of material with pay day loans,” stated former Area 203 Brittany that is intern Jackson. “that is the primary thing we caused, as well as the biggest business device while I became here.”

Aaron Shelley, previous manager of engagement solutions for Terenine, stated workers had been motivated to make use of the expression “affiliate organizations” to spell it out the many entities owned or managed by Brown.

The businesses invoice one another for solutions, exactly like any business does having its clients, despite the fact that they may be owned or managed by the man that is same Shelley stated.

“all the clients were known as affiliate businesses as it had been ownership that is common” Shelley stated.

Brown stated in the 2005 deposition which he owned significantly more than 20 such companies, which he actually runs through agreements as opposed to an ownership structure that is traditional.

For example, has “absolutely absolutely nothing,” Brown stated, neither is it actually owned by anyone.

“It is a shell,” Brown stated when you look at the deposition. “they are in a few third-world tax-free nation, I’m not sure what type.”

In reality, the website it self says it is positioned in Canada, though its only physical existence in Canada is a cabinet full of appropriate papers, based on Brown’s deposition.

Perhaps the mothership that is payday Credit Payment Services, is still another “shell” firm based in Nevada, developed in 2001 along side, Brown stated.

All of the work occurs inside Brown’s structures on Amnicola Highway and Brainerd path, where employees fundamentally hired doing marketing, website hosting and marketing for Area 203, Terenine and ACH Federal end up employed by Brown’s CPS, previous workers stated.


The strategy is a way to a finish: Payday revenues are accustomed to help missionaries within their efforts to “conserve souls” international, said Christiansen, the Terenine that is former engineer aided set up a number of the organization’s operations.

Christiansen had been lured to Terenine from a medical profession at CeloNova Biosciences in 2008, at any given time when he discovered himself wondering whether or not it had been more straightforward to “save life or save your self souls,” he stated.

“Brown myself has debated the pros and cons of exactly just what he does, versus of exactly exactly just what he is in a position to do using the cash,” Christiansen stated.

Bulletin boards in the Amnicola Highway building that homes Terenine, ACH Federal and Area 203 are covered with photos of smiling kids who Brown has aided, and full of postcards from overseas missionaries whom he supports with profits from their payday web sites, previous workers stated.