Pursuit for funds from deceased Lincoln businessman expands to Iowa

LINCOLN, Neb. (Nebraska Examiner) — Two more financial institutions, including one from Iowa, have now joined the more than 20 Nebraska banks, savings and loans and credit unions seeking repayment of loans from a Lincoln businessman found deceased a month ago.

In a court filing Tuesday, Lincoln Savings Bank of Cedar Falls, Iowa, maintains that the estate of Aaron Marshbanks owes it in excess of $1.8 million for two unsecured loans it made to him in July.

On Monday, State Nebraska Bank & Trust of Wayne, Nebraska, filed a claim seeking $2.8 million.

Court documents indicated that Marshbanks, operating as Planet Capital LLC, personally guaranteed that two loans from the Iowa savings bank, for $2 million and $1.5 million, respectively, would be repaid.

The Wayne bank indicated that its loans were secured by security accounts kept by Marshbanks’ financial adviser, Jesse Hill of Hickman, under the business name Anytime Capital LLC.

Calls and texts left with Hill in recent days have not been returned.

‘Blindsided’

Kade Hoppenworth, a first vice president with Lincoln Savings Bank, said his institution is awaiting results of a probe by Nebraska banking officials, as well as resolution of its court claim, to determine whether collateral existed, as the bank was led to believe, to back up the loans.

“I think a lot of us were blindsided by the whole thing,” Hoppenworth said Tuesday. “Every conversation I had with Aaron seemed like he was a real estate professional.”

A message left with a representative of the Wayne bank was not returned immediately Tuesday afternoon.

The Nebraska Examiner first reported Friday that the Nebraska Department of Banking and Finance was looking into millions of dollars of loans allegedly obtained via fraud. Since then, at least three more institutions have filed legal claims against the estate of Marshbanks, a 45-year-old former star athlete at Lincoln Christian High School, widely known in Christian circles in the Capital City.

Losses exceed $30 million

Sources and court filings indicate that the banks, savings and loans and credit unions could be facing losses exceeding a total of $30 million and up to $50 million.

The loans indicated that the funds were needed for “business expenses,” but there is widespread speculation that the money was needed to cover investment losses or to help finance the construction of a luxury home and barndominium complex in east Lincoln. 

Marshbanks is listed as the owner of a duct-cleaning business and is involved in renovating and reselling homes and home construction.

Some loans provided properties, mostly in northeast Omaha, as collateral, which would provide some payment for the loans. But many of the loans, like those granted by the Lincoln Savings Bank, were unsecured.

The loan agreements indicate that they go into default upon the death of the borrower.

A lawyer representing the Marshbanks estate has declined to comment about the case.

Lancaster County Attorney Pat Condon said Tuesday that he ordered an autopsy into the death of Marshbanks, who was found deceased in a downtown Lincoln parking garage on the afternoon of Nov. 2.

Lincoln police had listed his cause of death as unknown. Condon said that toxicology reports take up to 10 to 12 weeks to come back.

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