Ownership of Historic Gainsboro Property Fraught with Legal Claims of Fraud, Defamation

Ownership of a storied building in Roanoke’s historic Gainsboro neighborhood has devolved into a legal battle swirling with allegations of fraud and defamation.

The Lawson Building, off Gainsboro Road besides the former Claytor Clinic, rents office space to entrepreneurs.

Roanoke City officials in recent years sought to help rehabilitate the building as part of a now-scuttled plan to spend $5 million in federal pandemic relief funds on a Gainsboro hub focused on small business development and healthcare.

The building, constructed in 1953, is named after Reuben E. Lawson, a civil rights attorney who had his offices there and owned the land.

Now two Roanoke community advocates are asking a judge to decide who’s the proper owner of the building.

Antwyne Calloway, a former city employee, filed a civil lawsuit in December against Stanley R. Hale, who served as president of a now-defunct business that owned the property, and Lois B. Hairston, who serves as Hale’s power of attorney.

Calloway, the registered agent for a company that legally owns the property, says Hale gave him permission to establish a new ownership company after the previous one lapsed.

“Upon information and belief, Ms. Hairston has attempted to convince Mr. Hale that Mr. Calloway is committing fraud and trying to steal the Lawson Building,” the lawsuit says. “As a result of Ms. Hairston’s false statement, Mr. Calloway has suffered and will continue to suffer emotional distress, harm to his reputation, and other consequential damages.”

Hale, meanwhile, has countersued, arguing that Calloway used “intentional and deceitful acts” to transfer the property to a new company, “solely to benefit Mr. Calloway.” Hale denies that he gave Calloway permission to do so.

A police spokeswoman said Monday there’s no active criminal investigation into the matter.

Attorneys for the three parties declined to comment or did not respond to messages last week.

Sometime in 2021, Calloway approached Hale about purchasing the Lawson Building, court records say. Hale had been a mentor and father figure to Calloway, a former tenant, since the mid-1990s, Calloway’s lawsuit says.

But Hale himself did not own the building — he was rather the sole director of Impact Housing, which the State Corporation Commission dissolved in 2011 for a failure to file an annual report and pay annual registration fees.

Hale gave Calloway authority to reinstate the old company, Calloway alleges. So in October 2021 Calloway created a new corporate entity and the following May transferred the property deed.

“Mr. Hale and Mr. Calloway continued to work together for the maintenance of the Lawson Building, renting space to African American Entrepreneurs and offering advice to start-ups,” the lawsuit says.

Calloway says he has not received money from Hale for the maintenance of the building, that Hale’s health has declined recently and that Hale has stopped coming into the office. Hale contends “he has experienced normal health challenges of a man of his age.”

Calloway’s suit claims Hairston manipulated Hale into signing an affidavit saying he did not give Calloway authorization to create the new company and transfer the property deed.

Calloway is seeking $30,000 from Hale to cover expenses in maintaining the Lawson Building and no less than $30,000 from Hairston for defamation. Hale, meanwhile, is calling on a judge to grant him the property title and for Calloway to pay his attorney fees.

A judge has not set a court date yet.

Court records say the Impact Housing corporation was a wholly owned subsidiary of Southwest Virginia Community Development Fund, which went defunct in 2011 as well.

State business records show a new version of that company was created in January 2022, with Hale added as president and Hairston as a director the following year.

In the fall of 2021, city officials approached the owner of the Lawson Building about helping with rehab of the building. The city also tried to buy the Claytor Clinic property, but negotiations stalled after some heirs expressed wariness over a sale.

Calloway, in a July interview, said Hale wasn’t interested in the city’s financial help and vision.

“You don’t bring a partner to the table nine months, ten months, after you all have come up with a plan,” Calloway said then. “‘No, you can’t have my building in your plans because you ain’t discussed that with me.’ So I think that’s some of what actually happened.”