Spoils of US Fidelis

This house in Middle America fits the definition of excess (unless you consider having a bowling alley and an eight-car garage necessary). It’s builder’s use of the finest materials rang up an eventual construction bill of $27 million – in a neighborhood with a median home price of $234,600.

What makes this home stand out isn’t the forty-thousand square feet, hidden rooms, or any of its many spiral staircases. More interesting is the story of who built the home, and how construction was funded.


Auto Warranty Empire

The home was the creation of Darain Atkinson, an entrepreneur with a crooked moral compass. Together with his younger brother Cory, the brothers launched down a path of three separate endeavors toward auto warranty fraud dating back to July of 2001. That year Darain and Cory Atkinson (pictured below) founded Big Time Productions, Inc., their first collaboration in this venture.

Darain & Cory Atkinson

By February of 2003 the brothers decided to re-launch the company under the name “National Auto Warranty Services Inc.,” and for the next five years they made millions while observing explosive growth via deceptive business practices. In 2006 Cory reported no taxable income despite receiving distributions totaling more than $14 million.

After one too many misleading sales pitches, the attorney general got involved. And in 2008 the mistreatment of customers was significant enough to drive the formation of what would become the Vehicle Protection Association (VPA). The public caught on, and sentiment became increasingly negative. To avoid the poor publicity, the brothers decided to change the name once more.


US Fidelis

US-Fidelis-1Fidelis” is Latin for faithful, loyal, or trustworthy. It was likely no accident that brothers Darain and Corey Atkinson chose this word when re-launching their auto warranty business in early 2009.

The name change to “US Fidelis” didn’t fool everybody, and by April of 2009 there were over 33,000 inquiries and about 1,100 complaints filed with the Better Business Bureau. Also not fooled were the now forty attorney generals investigating the Atkinsons, who would eventually succeed in shutting the brothers down.

us-fidelis_logoabove: US Fidelis logo.

below: old Fidelis online advertisement (Not a real ad)

Sample US Fidelis Internet advertisement


But not before US Fidelis would eventually grow to become one of the largest auto warranty companies in the United States. The company did not stop writing new business until December 29th, 2009; three months later the company filed for bankruptcy. At the time US Fidelis listed assets of $74.4 million and liabilities of $25.8 million, according to the bankruptcy filing. Afterward Darain and Cory were accused of funneling $100 million of US Fidelis funds to pay for their cars, jewelry, and estates.

Restitution would be partially serviced immediately by the relinquishment of the brothers’ properties, including Darain’s enormous lakefront home in Lake St. Louis.

courtesy Emily Rasinski


Domum Fidelis & La Dolce Vita

Atkinson-mansion-19As it turns out unprecedented levels of fraud can buy stratospheric opulence, levels of which most middle class can’t even fathom. The house was built for a staggering $27 million in 2007, at the top of the real estate market cycle.

According to county tax records, the home Darain built at 5 Lakeview Court is 20,752 square feet (although some real estate listings indicated 32,767 and 40,000 square feet) and has nine bedrooms, twelve bathrooms, and four half-baths.

The home occupies 6.7 acres of prime real estate along Lake St. Louis, and when including the den, kitchen, living room, and study, the manor boasts a total of 24 rooms.

courtesy William C. Hutton, Jr.


Legal Description LSL #249 LOT 1
Lot Size 6.7000 AC
Year Built: 2007Property Type: SINGLE FAMILY RESIDENCE
Bedrooms: 9Base Area: 15,435
Bathrooms: 12Total Area: 20,752
Half Bathrooms: 4Total Rooms: 24


Map it!

Atkinson-mansion-16The economics are mind boggling. With the home’s 20,752 square feet and an estimated build cost of at least $26.7 million, the resulting math indicates Atkinson paid upwards of $1,286 per square foot for such magnificence.

Compared to his neighborhood’s 2007 median of about $120 per square foot, the former fraudster paid a staggering ten times more for his lakefront mansion.

What does this kind of outlay get a buyer? The largest home in St. Charles County, for starters. Here is a partial feature list:

  • Aquarium Wall
  • Art studio
  • Basketball court
  • Beauty parlor
  • Billiard room
  • Elevator
  • Exercise room
  • Four fireplaces
  • Hidden passageways
  • Hidden lake lookout sitting room
  • Indoor bowling alley
  • Indoor pool
  • Infinity pool with hot tub, rock feature, and built-in water slide
  • Movie theater
  • Multi-level walk-in closets
  • Atkinson-mansion-4Music room
  • Playroom
  • Safe room
  • Second living quarters
  • Spa-retreat
  • Study
  • An 8-car garage
  • An 8,000 square-foot outdoor entertaining area
  • And the porte-cochère, a covered driveway entry that allows guests to the estate to disembark without getting wet when it rains – a virtual necessity at this price point (pictured above right).


courtesy Emily Rasinski

The kids rooms had miniature porcelain toilets installed. Fanciful spiral staircases abound, including one which leads to a steeple that overlooks Lake St. Louis (at left).

This is not the only place in the home with views; at the back of one of the master bedroom walk-in closets is a hidden passageway (below right) which leads to a sitting area, also with sweeping views of Lake St. Louis.

If residents get tired of the spiral staircases, the house has an elevator. In the office and study, the floors were made of leather.

Atkinson-mansion-24The house seemed to have everything, but it was only 90% finished by the time Atkinson’s world started collapsing and US Fidelis filed for bankruptcy.

At the time the company had at least 331 payments totaling over $7.2 million toward building expenses of Darain’s estate.

Contractors hadn’t been paid either; approximately $1.7 million across 20 mechanic’s liens were placed on the property as well.

courtesy William C. Hutton, Jr.

[ view home on Zillow ]


Turning Over Assets

Atkinson-mansion-17Darain Atkinson’s assets were eventually turned over to creditors after the bankruptcy settlement for US Fidelis.

The list of assets collected was long, lawyers referred to the Lake St. Louis estate as “the big house” to differentiate it from Atkinson’s other multiple luxury homes, boats, cars, and other toys. (The bankruptcy estate received a $2.45 million offer to buy Cory Atkinson’s vacation house in Truckee, Calif., near Lake Tahoe, and a $675,000 offer on Darain Atkinson’s Lake Saint Louis house.)

courtesy William C. Hutton, Jr.

An exception by the bankruptcy settlement was established for each of the co-conspirators’ wives, who were allowed to keep $500,000 plus $75,000 in jewelry and household items.

In April of 2010 the US Fidelis co-founder listed his Lake St. Louis mansion for sale, asking half the estimated cost to build just four years prior: $14.9 million.

Realtor descriptions are usually an entertaining read, and the Atkinson mansion was no exception. From the (now dead link) Sotheby’s property listing details:


This European inspired mansion has an array of handpicked, imported materials and unique finishes from exquisite walnut and marble to spectacular molding details and natural finishes throughout. It features a music room, turret room, movie theater, indoor bowling alley, 8,000 Sq. Ft. outdoor entertaining area, safe room, second living quarters, study, billiard room, art studio, spa-retreat, playroom, exercise room, eight car garage, and porte cochere.  Majestic floor plan of 40,000 square feet for living and entertaining in the grand style of the Newport cottages.”

By November of 2010 the high bid was $4.75 million for the mansion, and it came from the recently-formed Lakeview Acquisition Group, LLC. In December it was reported the buyer was anonymous and an agent representing the buyer told reporters the house was not finished, needing an estimated $3 million to complete the indoor basketball court and pool. To offset this, the home’ purchase price included two boats, five mopeds, and a tractor. It was later learned the buyer was a local NFL agent with a roster of about 35 NFL player clients.

Atkinson-mansion-7According to the agent for the buyer, it was an all-cash deal. “Nobody wanted to lend more than $4 million because of the location.”

[ In July of 2011 brother Cory Atkinson’s mansion, which had a children’s jungle gym larger than most people’s homes and cost $10 million to build, received a $2.8 million offer from a Boeing executive. ]

The following month the buyer would turn around and sue the bankruptcy estate for items missing from the sale including “a fountain, dining room furniture, and some household appliances and electronics.”

Also allegedly missing: “at least 24 audio speakers and a machine that regulates salt water in the mansion’s swimming pool.” The lawyers representing the bankruptcy estate called it a frivolous lawsuit and threatened sanctions.

courtesy Emily Rasinski



Atkinson-mansion-8The Atkinson brothers owed millions in back federal and state income taxes, dating to 2006 when Darain received more than $13 million in distributions. In 2007 the brothers both pocketed $8 million, and the following year the US Fidelis enterprise paid them more than $13 million each.

In September of 2012 US Fidelis co-founder Corey Atkinson (himself already a convicted felon from a 1987 conviction) was sentenced to 40 months in prison and ordered to pay $4 million in restitution to the IRS.

Older brother Darain Atkinson (also already a convicted felon from a 1986 conviction) was sentenced to eight years in prison and also ordered to pay $4 million in restitution.

photo courtesy David Carson

Map it!


Additional photos:

Photos courtesy Emily Rasinski


Watch: A local news story from 2010 takes viewers on a tour of the Atkinson mansion:

• Which house is the biggest in the United States? One home fighting for the title is Versailles in Windermere, Florida. Map it!

• NASCAR driver Rusty Wallace once had US Fidelis as a title sponsor. It did not go over well with fans.



    • True, money can’t buy taste. I quite like that office, however. Looks like something Churchill would use.

  1. People like this make me sick. They take from the poor who can’t afford it and leave a trail of destruction behind them. And of course they will have millions squirreled away somewhere, hopefully the IRS is able to take them to the cleaners. Enjoy your time in jail boys…

    • I am curious as to what was the exit strategy? Was the assumption this would go on forever?

  2. The weird thing is, we all visit massive castles, mansions and churches all over the globe which were built by the excessively wealthy. In fact, some of the greatest architecture and art were built in these places. A thousand years ago it’s how whole communities survived. Artisans found work, people were employed in the great manor homes, whole communities of monks, priests and nuns lived under these great works of art. Though much was built through power and ego, many benefited from these structures of hundreds of years. I’m thinking that isn’t so much the case here.

    • Great observation Noelle, and a good question. My knee-jerk reaction was to say at least the builders back then were compensated – but I’m not even sure that was always the case if you consider everything built with slave labor. I guess one difference is today us “peasants” have more rights – although that doesn’t necessarily mean we always get our money back.

      • Well there is no doubt the wealthy of yesteryear far exceeded those that worked on these great structures. I think more people lived and benefitted from the structures because these were small communities. You didn’t get a glazer to ship pre-made tiles from Massapequa to a guy working a tri-state construction company whose tiler is from Nogales, Mexico. Everyone worked and lived right there, for the most part. Your stableman lived on the grounds, as did your cook. There was an intimacy to some degree with what you owned, created and lived in with the community it existed in.

        I think one difference is there were no other options than this. The socio-economic, opportunity structure was fairly finite and caste. Today, that certainly isn’t the case and with that opening also comes something we discussed on my post: the habit of comparing. The habit of judging whether something is good or bad or should be. Whereas the indentured servant of 1426, say, had little or no choices and would never have dared comment on the opulence of his master.

        I feel like there is something simply out of style about some of this. Like fur coats. Their time has come and gone, and now a different value system is at play. The actions of these nare do wells are no different than they were in 1426, but we aren’t in 1426 now, nor are those around you, your indentured servants now are we?

        • I think you’re absolutely correct. I don’t think those that spent time working on the house felt any “village pride” for their craftsmanship.

  3. Wow. Amazingly beautiful home, but I wonder how they slept at night knowing what they were doing? And I wonder if their wives had a clue that they were ripping people off, or if they were totally in the dark?

  4. Extraordinary and after all that effort and money it just looks a cold, unlovable place. I agree with some of the comments about splashing a lot of cash on old castles and mansions, but they also spent on artisans and craftsmen for beauty inside as well. And often collected great art and sculpture as well. My dream home is always intimate, cosy and about a tenth the size of this place!

  5. Unbelievable – and unfair – that some people can be so wealthy – and billions of others so poor that they can not even imagine this material abundance.

    • Isn’t it? As a child I remember hearing the saying “life isn’t fair” often. They weren’t kidding. Also, you know you have too much money when you start buying ridiculous things.

  6. They are at it again. I have been getting calls daily, they gave me the name National Auto warranty services. When I ask them to remove my number they hang up. They also spoof their number to a local number so I cant call them back.

  7. And to add insult to injury to all the people ripped off, the buyer of the home got a bargain. But not enough of a bargain http://www.stltoday.com/business/local/sports-agent-harold-lewis-is-man-who-tried-to-buy/article_9b0ea4d0-0301-11e0-b226-0017a4a78c22.html. He wanted more.

    To boot, the county only assessed the property in 2018 at 5.4M, so the bargain Lewis got, has more benefits. Instead of paying taxes on 27 or 30M, he’s getting another gift wrapped deal, thanks to St. Charles county.

    But you can bet any home improvement or rehab of your $100K or $200K – the county won’t over look that.

  8. They are both already out. Cory married another felon from the auto warranty “business”. The two of them are living a cash rich lifestyle with plastic surgery and fun times. They own a mom and pop diner in lake St. Louis which seems to be quite lucrative.

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