Former i-3 Global chief facing lawsuits, bankruptcy

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Kennewick businessman’s bankruptcy filing has been updated to detail assets of

just under $1 million and debts of $2.7 million in secured and unsecured

claims.

In

addition, Kristopher Lapp, former president of i-3 Global, reported owing

$79,000 in unpaid taxes to the federal government.

Lapp

and his company are the target of three lawsuits totaling nearly $2 million.

I-3 Global closed its doors and laid off all staff in April. The company that

offered technology, multimedia and staffing services to federal and commercial

customers was named the U.S. Department of Energy’s Protégé of the Year for

fiscal year 2016 and was honored by the Tri-City Regional Chamber of Commerce

for achieving significant success.

In

recently revised bankruptcy documents, Lapp reported an asset of $850,000 for

his Kennewick home on West Payette Avenue, along with a $50,000 Tesla Model S.

He

listed no cash and items of only limited value totaling $8,800, including a

$500 hot tub, $300 in men’s clothing and $1,500 for furniture, including a

sofa, bed and coffee table.

His

home was briefly listed for sale in May before it was withdrawn from the market

around the time he filed for bankruptcy.

Lapp

reported about $75,000 in retirement accounts spread across three 401(k)

investments and one individual retirement account.

Former

employees, many of whom report they still are owed at least four days’ wages,

have filed claims with the state Department of Labor and Industries for

potential misappropriation of withholdings after contributions to their own

retirement accounts were withheld from paychecks but not invested in their

accounts.

All

of Lapp’s personal assets, including his home, cellphone, computers,

televisions, furniture, retirement accounts and his dog are claimed as exempt

from creditors.

There

are only two creditors with claims secured with property, which include the

companies financing Lapp’s home and car.

Unsecured

claims include an $880,000 loan from Columbia State Bank that is part of one of

the outstanding lawsuits filed against Lapp and i-3 Global.

The

other two lawsuits are included by Lapp as unsecured claims for $472,277 owed

to E2 Consulting Engineers and $446,617 intended for Integrated Global

Staffing.

Lapp

also reported other unsecured claims totaling about $18,000 in credit card

debt, $86,453 owed to a subcontractor under the business name E & S

Engineering, $143,000 to Fluor Federal Services and $19,418 to a second

subcontractor, Opris “Vince” King.

Lapp

listed all of these claims as business debts. He reported previous annual

income of about $150,000 prior to the bankruptcy filing.

I-3

Global had until mid-June to respond to wage complaints filed with the state

Department of Labor and Industries.

The

company recently paid off a $44,000 tax warrant from the state’s Department of

Revenue.

Lapp

and his bankruptcy attorney did not return requests for comment. He also has

placed a restriction on incoming calls to his cellphone.

Lapp

is taking leave from serving on the board for the Columbia Basin College

Foundation.

The

first meeting of creditors is scheduled this month for Lapp’s personal

bankruptcy case.

Trial dates for all three

lawsuits filed against Lapp and i-3 Global are scheduled to be heard in Benton

County Superior Court in spring 2020.