Friday, September 27, 2024

9th Circuit En Banc Hears Fraud Claim Against LDS Church

On Tuesday, the U.S. Court of Appeals for the 9th Circuit sitting en banc heard oral arguments in Huntsman v. Corporation of the President of the Church of Jesus Christ of Latter-Day Saints. (Video of full oral arguments.) In the case, James Huntsman, a prominent former member of the LDS Church who had contributed over $2.6 million to it, charged the Church with fraudulently misrepresenting the manner in which funds from tithes would be used. Huntsman says that the Church used tithed funds to finance a shopping mall and bail out of for-profit life insurance company after representing that the funds would not be used for commercial projects. A 3-judge panel of the 9th Circuit rejected the Church's claim that the suit was barred by the ecclesiastical abstention doctrine. (See prior posting.) Deseret News reports in detail on the oral arguments.