Repository

Heinz History Center

Title

Seven Fields Development Corporation Records

Creator

Seven Fields Development Corporation

Collection Number

MSS 568

Extent

2.25 linear feet (3 boxes)

Date

1957-2001, (bulk 1986-2001)

Abstract

This collection contains a portion of the records of the Seven Fields Development Corporation, located in Seven Fields Borough in southern Butler County, Pennsylvania. It was formed in 1986 when four bankrupt companies, Earned Capital Corporation, Managed Properties Inc., Canterbury Village Inc., and Eastern Arabian Inc., were combined by the courts into one. Many of the legal and financial documents from the company's creation until its dissolution are present as well as maps, photographs, slides, and other documents that were important to the corporation.

Language

The material in this collection is in English.

Author

The guide to this collection was written by Allie Lane.

Publisher

Heinz History Center

Address

1212 Smallman St.
Pittsburgh, Pennsylvania 15222
library@heinzhistorycenter.org
URL: https://www.heinzhistorycenter.org

History

Seven Fields Development Corporation began as four distinct companies, each of which played an important part in the development of Seven Fields Borough in southern Butler County, Pennsylvania. The four companies were the Earned Capital Corporation, Managed Properties Inc., Canterbury Village Inc., and Eastern Arabian Inc. Earned Capital Corporation was formed to raise capital for the development of property owned by Canterbury Village Inc. which would later become Seven Fields. Managed Properties Inc. was responsible for collecting rent from individuals who were renting townhouses in the development. Thomas and Barbara Reilly were principal shareholders in Eastern Arabian Inc. which owned, bred, and trained Arabian horses on land owned by Canterbury Village, Inc. In addition, the Reillys were also principal shareholders in Canterbury Village, Inc. Eventually, all four companies were determined by the court to be insolvent and were then consolidated to become Seven Fields Development Corporation. At this time, ownership of the corporation was turned over to the more than 2,000 shareholders who had invested on promises of big returns.

The Reillys had been running what was known as a Ponzi scheme in which investors do not receive returns on their investments, but are instead paid with the money that is being invested by new investors. The scheme began in the early 1970s and lasted until about 1986, when it fell apart because there were no new investors to pay the returns. As a result of this scheme and other business mishaps, Reilly was convicted of 23 felony charges in 1992, including inducing investors to file false tax returns and providing false information to the IRS and Pennsylvania Securities Commission. He was not released from prison until 1997.

The newly formed Seven Fields Development Corporation was not involved in the Ponzi scheme. The company's goal was to return as much of the investors' money as possible by developing Seven Fields. The corporation was run by a Board of Directors which was elected by the investors. Investors ultimately recovered less than one third of their original investments. The corporation was dissolved in 2002 when two other real estate companies bought the remaining undeveloped land.

Most of the information available about Seven Fields Development Corporation details its formation and the legal battles that arose as a result. There is little known about the corporation's further work.

Scope and Content Notes

The Seven Fields Development Corporation Records are housed in three archival boxes and contain financial documents, legal documents, correspondence, newspaper clippings, maps and drawings, photographs, and slides. Contained within this collection are eleven series arranged alphabetically by topic. They include Board of Directors, Correspondence, Employee Documents, Financial Documents, Investor Lists, Legal Documents, Marketing, Meetings, Photographic Images, Projects and Planning, and Topical Folders. There are a number of restrictions in this collection on payroll and investor information.

The collection is weak when it comes to specific information about what Seven Fields Development Corporation's achievements were because the majority of the documents are of financial and legal nature and deal mostly with the formation of the corporation rather than what took place following its formation. One of the collection's strengths is the amount of maps and zoning information about the development of Seven Fields. These can be found in the Project and Planning series.

Conditions Governing Access

The following material in this collection has been restricted: Series 3, Box 1, Folder 40; Series 3, Box 1, Folder 41; Series 4, Box 1, Folder 73; Series 4, Box 1, Folder 74; Series 7, Box 3, Folder 30; Series 5, Box 2, Folders 1-8

Immediate Source of Acquisition

Gift of Sam Goldberg on December 1, 2002.

Custodial History

Gift of Sam Goldberg

Preferred Citation

Seven Fields Development Corporation Records, 1957-2001, MSS# 568, Library and Archives Division, Senator John Heinz History Center.

Processing Information

This collection was processed by Allie Lane in August 2010.

Conditions Governing Use

Property rights reside with the Senator John Heinz History Center. Literary rights are retained by the creators of the records and their heirs. For permission to reproduce or publish, please contact the Library and Archives of the Senator John Heinz History Center.

Related Materials

Western PA--Butler County--Seven Fields, vertical file

Subjects

Corporate Names

• Seven Fields Development Corporation

Geographic Names

• Seven Fields (Butler County, Pa : Borough)

Other Subjects

• Ponzi schemes
• Real estate business--Pennsylvania--Butler County.

Container List

Series I. Board of Directors, 1991-2000

Scope and Contents

Includes information produced by the Board of Directors for Seven Fields Development Corporation. Included are agendas, minutes, by-laws, and lists of members as well as voting information related to the election of individuals to the Board. Information about the organization's structure and resolutions made by the Board of Directors is also contained within this series.

Series II. Correspondence, 1986-2001

Scope and Contents

Contains correspondence for both Earned Capital Corporation and Seven Fields Development Corporation. Most of the correspondence that is contained in the two folders dedicated to Earned Capital Corporation was written to the corporation's investors. This correspondence primarily served the purpose of informing investors of upcoming meetings. The correspondence related to Seven Fields also contains some bulk mailings such as letters to all their investors. At the same time however, much of this correspondence also addresses more specific topics discussed between the company and individual investors.

Series III. Employee Documents, 1981-2000

Scope and Contents

Contains records that directly involved the employees of both Earned Capital Corporation and Seven Fields Development Corporation. Much of the information pertains to the employees' wages. This series also contains some resumes of individuals who applied for jobs with Seven Fields Development Corporation and job descriptions for openings within the company.

Series IV. Financial Documents, 1984-2001

Scope and Contents

Includes a range of financial information about Seven Fields Development Corporation such as presidents' reports, cash flow statements, and budgets.

Series V. Investor Lists (Restricted), 1988-1992

Scope and Contents

Restricted because it contains the addresses and contact information for the investors of Seven Fields Development Corporation as well as information about the amount of money that each invested.

Series VI. Legal Documents, 1957-2001

Scope and Contents

Contains the legal documents concerning the bankruptcy case and the consolidation that resulted in the formation of Seven Fields. Some of the other documents contained in this series include legal documents regarding issues such as incorporation, stock transfers, and deeds.

Series VII. Marketing, 1989-1995

Scope and Contents

Contains information compiled by Howard Hanna Real Estate Company about the efforts of Seven Fields to sell land and real estate. There is correspondence, agreements, and proposals between Howard Hanna and Seven Fields. The documents provide an idea of marketing strategies and sales numbers.

Series VIII. Meetings, 1986-2001

Scope and Contents

Consists of agendas, minutes, and other information about the shareholders' meetings are included in this series.

Series IX. Photographic Images, 1978-1979

Scope and Contents

Contains contact sheets, photographs, and slides. The contact sheets consist of images taken of individuals standing beside signs for Colonial Heights and Hawthorne Construction. The photographs and slides are both of land clearing and development. Only the photographs are dated.

Series X. Projects and Planning, 1985-1998

Scope and Contents

Contains information about the different projects taken on by the company. It includes documents such as appraisals, inspection results, the status of different projects, and plans for development. This series also includes maps and other planning documents for Brandywine Commons, Castle Creek, Colonial Heights, Heather Hills, Northridge Manor, and Seven Fields.

Series XI. Topical Folders, 1980-1998

Scope and Contents

Contains a variety of documents including newspaper clippings, the corporation's professional memberships, an issue of Seven Fields Journal, information regarding trends in population and housing, and other information pertaining to the corporation. Much of the information in this series was created by groups outside of Seven Fields Development Corporation.