In Letter To Attorney General, State Legislative Delegation Urges Probe Of Predatory Lending Against Church

All eight members of Bridgeport’s state legislative delegation have signed onto a letter asking Attorney General William Tong to investigate predatory lending practices that they assert contributed to the foreclosure of the Cathedral of the Holy Spirit in the East End, according to a news release issued by State Senator Marilyn Moore.

Pastor Kenneth Moales Jr. called on city and state officials to look into the situation.

Delegation letter sent to Tong:

This week Pastor Kenneth Moales, Jr. reached out asking for assistance with a crisis regarding the Prayer Tabernacle Church of God and Cathedral of the Holy Spirit located in Bridgeport at 729 Union Avenue. Pastor Moales indicated the church and related properties were under siege from what he is describing as a predatory lender. The dilemma has been ongoing for several years and the properties are now in foreclosure. As background the church has been a beacon of light in Bridgeport and this week is celebrating its 52nd year anniversary. It’s founder, the late Bishop Kenneth Moales, Sr. was a well-respected, nationally known leader both in the secular and faith communities.

The members of the Bridgeport delegation are requesting your office to investigate the practices that took place over several years with the lender that contributed to the foreclosure. According to documents the lender was not authorized to do business in the State of Connecticut and several other churches in multiple states have experienced similar problems with the lender. We are not expecting your office to intervene on the foreclosure; however, many of the instances that were shared during a press conference and virtual meeting with members of the delegation, Mayor Ganim, City Council members, and other clergy suggest that they should be investigated.

At the request of Pastor Moales I am taking the lead and have the support of members of the delegation in making this request. Please respond to Senator Marilyn Moore for more information and a response.

Sincerely,

Senator Marilyn Moore

Senator Dennis Bradley

Rep. Andre Baker, Jr.

Rep. Antonio Felipe

Rep. Jack Hennessy

Rep. Christopher Rosario

Rep. Steve Stafstrom

Rep. Charlie Stallworth

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12 comments

  1. The Bridgeport delegation put their signatures on a letter that doesn’t even define predatory lending practices — it’s weak. They’re punting.
    My investigation concludes Pastor Moales is a predatory borrower who bought properties on spec, added no value to them and now wants to socialize his losses. all while invoking Jesus’ name. Bridgeport’s housing market is strong. Pastor Moales should be bragging about his wise moves.
    Instead, Eminent Domain requires Bridgeport to have a specific need for Moales’ lots. Lacking that, Pastor Moales is asking for a bailout and Bridgeport’s delegation is giving tacit approval.

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    1. Pastor Moales’ lender — Foundation Capital Resources — is a shadow banker. I understand why traditional bankers would not accept his request for funds.
      Here’s why I’m writing:
      Shadow bankers played a silent but vital role in returning properties to the tax rolls during the recent recession (Great Financial Crisis) and today shadow bankers are helping pandemic-upended New Yorkers settle in Bridgeport.
      Double-D, you are unwise to diss the great Local Eyes.

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  2. The loan obligation went from (give or take) 8 million in 2013 to 15 million to today, and I don’t believe it’s solely because of interesting accumulation for the construction of the Cathedral of the Holy Spirit church. He just received a $500,000 loan from a gospel artist, Hezekiah Walker. Don’t know the terms of the loan or it was gifted, but if it was a loan the lender expects to get repaid. maybe with or with interest.

    That being said, this endeavor was ambitious and at the height of the housing/predatory lending that sparked the crash of 2008 and the recession/depression. It has been ongoing since its very conception. I believed there are many parcels of land involved that is more than a place, in the words of Moses of the East End like to phrase, “ a place to get his praise on”. What transpired from the court proceeding in 2013 that addressed first default and predatory lending practice to now that increased the debt by 7 million is to be seen/understood.

    Even at an 8 million loan at a 10% penalty fee, as the paster started, to accumulate that much more debt they would have not made one payment since 2013. I can’t see it as a possibility, but probable. Even though without the predatory/interest/variable loan a 7 million dollar loan at 3% for 30 years to build Cathedral of the Holy Spirit would require a $30,000 monthly payment. That’s in the collection, not counting operation cost without taxes which was an issue, So in some capacity churches do pay taxes. How this political football plays out is yet to be seen. However, this was an interesting read on the topic of discussion.

    https://www.casemine.com/judgement/us/5e5c96714653d057f4726363

    The Lord giveth, the Lord taketh away, SMH

    https://www.foundationcapitalresources.com/

    Bishop Bullwinkle Said hell to Da Naw, Naw with that interest fee. 🙂

    https://www.youtube.com/watch?v=8QxIIz1yEsA

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  3. The Amp was too big to fail while others were too small to save. The Amp is a revenue-producing showcase. The church is not. The letter’s intent is to reverse policy. This is what politics is all about. The end is still uncertain.

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    1. Tom, if you weren’t such a “bias” person I would agree, but white people be riched off of Christ for millennia since his birth. . Personally, I think the Port should do more for the kids of the Port on Christ’s birthday, Christmas. Even the Jews and Muslims can relate to that. 🙂 Because y’all know y’all you are cut from the same clothe, the dependence of the God of Abraham. 🙂 Please remember though, Jesus is a businessman. 🙂

      https://www.youtube.com/watch?v=euUaOw7jXFw

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  4. Ok. I give up. What’s is the state delegation asking the Attorney General to do?
    It says that they are not expecting the AG to intervene on the foreclosure.
    From what I can tell in my cursory internet search, California is the only state that makes predatory lending illegal. Is that what they are looking into?
    What specifics are involved because they do not cite any practice as an example.
    Inquiring minds what to know.

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