An Atlanta attorney known for his crusades against taxpayer-subsidized development has gotten a stern rebuke from a judge over an alleged attempt to wring money from a developer.
John F. Woodham engaged in conduct that was "unethical, particularly unbecoming of an officer of the court, and possibly illegal," Fulton County Superior Court Judge Michael D. Johnson wrote in an order last week.
Woodham counters that the judge displayed "clear prejudice and bias" and should have recused himself from the case. The lawyer, who is involved in other tax-related lawsuits, said the order is an attempt to smear him.
"I'm outraged at the procedural infirmities in the case," Woodham said, adding that the order was "written to be prejudicial and influence other proceedings."
The judge says in his May 21 order that Woodham tried to extract a $1.3 million payoff from a developer in exchange for dropping his objections to a bond issuance connected with two of the developer's projects. Johnson ordered Woodham to pay the developer's attorney fees. Woodham said he's already filed an appeal of the decision.
The question of Woodham's conduct evolved from a routine proceeding over the "validation" of bonds. The Atlanta Development Authority sought to issue $130 million in bonds for two projects by affiliates of developer Tivoli Properties — Mezzo, a completed apartment tower on Peachtree Road, and a future apartment project on 13th Street between Juniper Street and Piedmont Avenue.
Per state law, the development authority had to submit the proposed bond issuance to a court review. Typically, courts approve these deals in uneventful hearings, but Woodham intervened.
Woodham is the attorney who got the Georgia Supreme Court to rule that it was illegal to use school taxes to subsidize development. The General Assembly effectively undid the decision by amending the state Constitution, and voters ratified the amendment last year. But the action against tax allocation districts delayed development of Atlanta's Beltline. Woodham recently sued the DeKalb tax assessor over property valuations. He said he also is in court over the way the Fulton tax assessor values developers' properties in connection with tax abatements.
In the bond validation case, Woodham claimed that the developer wouldn't use the bonds to secure financing. He contended the developer wanted "phantom bonds" and that the development authority's real intent was to give away tax breaks.
The judge's order allows the bonds to be issued. Peggy McCormick, president of the Atlanta Development Authority, said she did not know when the issuance would occur.
"We are glad that the order has been issued and that we can move forward," she said.
About the Author
The Latest
Featured
