Former Kane Realty exec gets 2 1/2 years | Wake County | Indy Week
Pin It

Former Kane Realty exec gets 2 1/2 years 

click to enlarge followup.jpg

The man who handled finances for the real estate company behind Raleigh's North Hills mall—and many other Triangle commercial properties—has been sentenced to 30 months in federal prison for siphoning more than $1 million for his own use.

Clifford A. "Mickey" Clark, 55, the former president and chief financial officer at Kane Realty Corp., was indicted in October 2006 after a cover story in the Independent chronicled the missing money and the dissolution of a 30-year-old personal and professional partnership between Clark and his boss, company founder and CEO John Kane. (See "The price of friendship," Dec. 14, 2005.)

Clark pleaded guilty to a felony charge of transporting stolen property across state lines in April 2007, and is scheduled to report to jail later this fall to serve the sentence handed down Sept. 5.

"What was especially egregious about this was that much of the money Clark took was held in trust for the owners of these properties—these were monies that were not just John Kane's," says Assistant U.S. Attorney Clay Wheeler, who prosecuted the case.

Last week's sentencing closes a chapter in Kane Realty's history that included sanctions against Kane, a prominent businessman. As a result of a six-year investigation by the N.C. Real Estate Commission that uncovered Clark's embezzlement, Kane lost his real estate license for six months. Though Kane was viewed as a victim by both state regulators and the U.S. Attorney's Office, real estate industry regulators held Kane ultimately responsible for not properly safeguarding funds held in trust that belonged to third parties, such as Kane clients and tenants—leaving them vulnerable to Clark's poaching.

Kane, whose license was restored in July 2006, declined comment through a spokeswoman.

After Clark's embezzlement came to Kane's attention in 2002, the two men reached a private settlement severing their ties in more than two dozen partnerships and laying out a plan for Clark to repay the money, which he'd used to bankroll another company, a flooring business called Carpet Market. Kane, meanwhile, personally covered the losses to his clients and tenants, including the owners of University Mall in Chapel Hill, who were out $400,000. The private settlement between the two men drew the attention of state regulators who were investigating an unrelated 1998 complaint against Kane Realty. The Real Estate Commission turned the case over to Wake County District Attorney Colon Willoughby, who declined to prosecute. (See "No harm, no charges?" Dec. 14, 2005.)

Comments

Subscribe to this thread:

Add a comment

INDY Week publishes all kinds of comments, but we don't publish everything.

  • Comments that are not contributing to the conversation will be removed.
  • Comments that include ad hominem attacks will also be removed.
  • Please do not copy and paste the full text of a press release.

Permitted HTML:
  • To create paragraphs in your comment, type <p> at the start of a paragraph and </p> at the end of each paragraph.
  • To create bold text, type <b>bolded text</b> (please note the closing tag, </b>).
  • To create italicized text, type <i>italicized text</i> (please note the closing tag, </i>).
  • Proper web addresses will automatically become links.

Latest in Wake County



Twitter Activity

Most Recent Comments

A new label comes to mind: CHINO (Christian in Name Only). Most Christian sects instruct adherents to not surrender to …

by Bernard Baruch on Evangelicals in the Age of Trump (Or, Why I Was Called a ‘Jew-Boy’ at a Franklin Graham Rally) (Wake County)

Is it not lost on these people that Jesus Christ was a "Jew-boy"? I wouldn't be surprised if some of …

by PRGuy on Evangelicals in the Age of Trump (Or, Why I Was Called a ‘Jew-Boy’ at a Franklin Graham Rally) (Wake County)

Another one sided argument from the Indy. There are multiple bus stops in North Hills and north Raleigh, that contain …

by MX46 on Has Raleigh’s Bus System Been Left to Languish Because Many of Its Riders Are Poor and Black? (Wake County)

to elaborate on whatdoiknow's comment, the headline pertains to Durham as well. Transit in the triangle is run by a …

by where's the beef? on Has Raleigh’s Bus System Been Left to Languish Because Many of Its Riders Are Poor and Black? (Wake County)

Comments

A new label comes to mind: CHINO (Christian in Name Only). Most Christian sects instruct adherents to not surrender to …

by Bernard Baruch on Evangelicals in the Age of Trump (Or, Why I Was Called a ‘Jew-Boy’ at a Franklin Graham Rally) (Wake County)

Is it not lost on these people that Jesus Christ was a "Jew-boy"? I wouldn't be surprised if some of …

by PRGuy on Evangelicals in the Age of Trump (Or, Why I Was Called a ‘Jew-Boy’ at a Franklin Graham Rally) (Wake County)

© 2016 Indy Week • 201 W. Main St., Suite 101, Durham, NC 27701 • phone 919-286-1972 • fax 919-286-4274
RSS Feeds | Powered by Foundation