McAlester News-Capital, McAlester, OK

Local News

November 26, 2008

Stipe’s lawyer also has county position

By James Beaty

An attorney who is now the legal guardian for former state Sen. Gene Stipe’s property is also the attorney for Pittsburg County commissioners, acting in their capacity as the Pittsburg County Economic Development Authority.

Eddie Harper, of the Stipe Law Firm, had been appointed the guardian of Stipe’s property on Oct. 21, according to documents filed as part of a lawsuit brought against Steve Covington.

Covington is a longtime friend and business associate of Stipe’s, according to documents which have previously been filed in federal court.

The lawsuit, filed in Pittsburg County District Court on behalf of Stipe and Harper in his capacity as the guardian of Stipe’s property, accuses Covington of mishandling Stipe’s business affairs to benefit himself at Stipe’s expense.

One aspect of the lawsuit seeks the return of property which may have been conveyed to Covington or any of the management companies listed along with Covington as defendants in the court petition.

Included in the list of property Harper and Stipe want returned is the building at 122 E. Carl Albert Parkway, according to legal descriptions and physical addresses cited in court documents.

Pittsburg County commissioners — in their capacity as the Pittsburg County Economic Development Authority — have leased the building from Premier Property Management Group, with Covington signing on behalf of Premier.

The agreement is for “temporary relocation of the Pittsburg County Courthouse court system and its employees,” according to the lease.

County Commission Chairman Kevin Smith said Tuesday afternoon that he was not aware of the lawsuit. He did confirm that Harper is still the attorney for the Pittsburg County Economic Development Authority.

The lease agreement, signed on May 19 by Covington, Smith and District 1 Commissioner Gene Rogers, calls for the Pittsburg County Economic Development Authority to pay Premier Property Management Group L.L.C. $14,633.34 a month.

Premier Property Management Group L.L.C. is one of the companies listed along with Covington as a defendant in the action brought against Covington on behalf of Stipe and Harper.

Premier is specifically referred to in the court petition filed on Stipe’s and Harper’s behalf. The lawsuit alleges that “Premier used funds or property belonging to Stipe to fund improvements on certain real property and a building located in McAlester, Oklahoma, and to obtain further loans for finish out and construction of the same.”

The lawsuit accuses Covington of taking advantage of Stipe and exercising undue influence on him to improperly benefit Covington “and the other defendants he owns or controls.”

Among other actions sought in the lawsuit is a request from damages in excess of $50,000 and a temporary restraining order and injunction to keep Covington from moving any assets until the court takes action in the case.

Contact James Beaty at jbeaty@mcalesternews.com.

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