The County Keeps Digging Holes (Part 4)

Published: 2025-07-22

At this point in the saga, any reasonable observer would expect the story to pause. With their contract partner at the center of a massive federal bankruptcy case, and with their own contract frozen by a de facto federal court order, the Appomattox County government had every reason and legal obligation to stop. Their hands were tied, and the path forward was squarely in the hands of the bankruptcy trustees and a federal judge. To do anything else would be to walk knowingly into a legal buzzsaw.

This legal paralysis makes the County’s subsequent actions all the more stunning. Rather than respecting the federal stay, the public record reveals a pattern of conduct that seems to ignore it completely. This section will examine two specific, documented actions taken by the County and its officials long after the bankruptcy was filed.

These were not minor administrative errors. They were formal, contractual acts, a consent to a sublease and a direct amendment to the prime lease, that fundamentally altered the status of a protected federal asset. As we will see, these actions did not solve the County’s problem; they created a new one, escalating the situation from a poor business deal to a serious governance failure with devastating potential consequences.

Bombshell #1: The CVCC Sublease (Dated August 20, 2024)

View the file: Deed of Sublease (VCCS 292-24-01)

This “Deed of Sublease” is where Appomattox Christian Academy (ACA), as the “Sublandlord,” leases a huge chunk of the property (10,568 sq ft) to Central Virginia Community College (CVCC).

Why This is a Disaster:

  • Timing: This document is dated August 20, 2024. Mr. Boone’s personal Chapter 7 bankruptcy was filed on April 15, 2024. This means that ACA/Boone entered into this major agreement after the bankruptcy filing.
  • Violation of the Automatic Stay: The moment the bankruptcy was filed, all of Mr. Boone’s assets, including his control over ACA and its valuable lease option, became “property of the estate.”
  • ACA/Boone had no legal authority to enter into a new sublease, encumber the property, or transfer any rights without express permission from the bankruptcy judge. This action is a clear violation of the automatic stay.
  • The Trustee Can Unwind It: The Bankruptcy Trustee (Katz) has the power under the code to void any unauthorized post-petition transfer. He can, and likely will, file a motion to declare this entire sublease with CVCC null and void from its inception.

Bombshell #2: The Lease Amendment (Dated May 14, 2025)

View the file: Lease and Purchase Option Agreement Amendment

This document is even more damning. This is an amendment to the original lease, signed by the County and ACA, that formally carves out the CVCC space from ACA’s leasehold.

Why This is a Catastrophe for the County:

  • Knowing Violation: This amendment was signed on May 14, 2025. By this time, the County was not just aware of the bankruptcy; they were a listed creditor who had received formal notice of all the adversary proceedings. This was not an accident. This was an intentional act by the County to modify a contract that they knew, or absolutely should have known, was under the exclusive jurisdiction of a federal bankruptcy court.
  • The “Unwindable” Transaction: The County and ACA agreeing to fundamentally change the asset that belongs to the bankruptcy estate. The Trustee will not just unwind this; he will be furious. This directly reduces the value of the asset he is supposed to liquidate for creditors.
  • Potential for Fraud Allegations Against the County: This is where it gets incredibly serious. A Trustee could argue that this amendment constitutes a fraudulent transfer. The argument would be:
    • “The County, knowing the lease option was a valuable asset belonging to the bankruptcy estate, conspired with the debtor’s alter ego (ACA) to diminish the value of that asset, thereby hindering and defrauding the 100+ creditors I represent.”

Seeing the writing on the wall, I started digging into this. Read Part 5.

Something Must Be Done About Appomattox County

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