Bank of America accuses Zapp of fraud in loan deal.(Atlas Telecom founder and CEO Ray Zapp)

Bank of America has accused Ray Zapp, founder and chief executive officer of now-defunct Atlas Telecom Inc., of fraud in a civil suit in Multnomah County Circuit Court.

The bank alleges that Zapp fraudulently transferred his ownership interest in two houses to his wife on the same day he submitted a financial statement to the bank that indicated the properties were owned jointly by the couple.

According to the suit, the transfer of "rights, title and interest" in the properties to Linda Zapp was done "with actual intent to hinder, delay or defraud" Bank of America.

The bank also says Zapp has not paid off a $200,000 personal line of credit, according to the civil suit. The line of credit was to he used for a clown payment on a vacation house, according to the loan agreement submitted as evidence in Bank of America's suit.

The plaintiff and lender, Bank of America, now has liens on Zapp's primary residence in Portland's Dunthorpe area and his vacation home in Gearhart.

According to the court documents, the $200,000 unsecured line of credit was extended on …