Jake Butcher, a civic leader and would-be governor who helped command an East Tennessee banking empire that collapsed in scandal and criminal charges, died Wednesday morning.
Born in 1936, the Union County native had been in declining health in recent months.
To some East Tennesseans who lost money in the 1980s Butcher financial debacle, the flamboyant man's name will always be associated with failure, even ruin.
While friends acknowledged Wednesday that Butcher had done wrong in his life, many also remembered him fondly as a generous, funny and loyal man.
Former U.S. Rep. Bob Clement of Nashville was among them.
"Jake Butcher was a personal friend of mine before we were political competitors in 1978 when we both ran for governor of Tennessee," Clement said in a statement to 10News. "After the political race, Jake and I stayed in touch. I even called him the day he got out of prison just to say, 'Jake, I’m your friend.' "
Clement continued: "People make mistakes and I believe we have to forgive, forget and move forward. Jake Butcher loved Tennessee. He particularly loved East Tennessee. He was a successful businessman, entrepreneur and we know what a difference he made with the World's Fair."
Services are still being arranged but are planned for Saturday, July 29, at First Methodist Church of Oak Ridge.
Butcher's family released a statement Wednesday afternoon.
"We are heartbroken to announce that Jake Butcher (our beloved husband, father and grandfather) passed away this morning after a 6 month battle with cancer. He fought this disease like he handled any other adversity in his life…with toughness, dignity and grace.
"He loved God, his family and his Tennessee community and wanted great things for his home town of Knoxville and the Vols! The outpouring of love, kind condolences and prayer we’ve received is much appreciated.
"His legacy to us and his countless friends that loved him is much larger than the news bits of 30 years ago. Although he had regrets in his life, he remained a champion of positivity, optimism and generosity. We adored him. The Butcher Family"
Memorable man
In the 1970s and '80s Butcher and his younger brother C.H. Butcher Jr. oversaw a banking operation that included the United American chain. In November 1982, federal financial authorities moved in and raided the operations, bringing an end to the brothers' fortunes.
The Butcher brothers and some of their associates were prosecuted in federal court amid allegations of fraud and gross mismanagement. Both men ended up serving time in federal facilities.
Butcher made his mark on the East Tennessee community in other ways, however.
He was a leading champion of the 1982 World's Fair, which many skeptics thought could never succeed in Knoxville. Indeed, money from Butcher banks went to help start the fair.
Located in an old industrial area west of Henley Street north and south of Cumberland Avenue, the fair drew millions of visitors in its late spring to early autumn run in 1982. President Ronald Reagan was among the many dignitaries to attend.
World's Fair Park, including the Sunsphere, stands as the fair's ultimate legacy. While officials struggled for years to figure out what to do with it, the park ultimately became a positive and popular public spot.
Federal raid
Jake and C.H. Butcher Jr. bought their first bank in the late 1960s. Using money from his other banks, Jake Butcher in 1974 began buying shares in Hamilton Bank, then Knoxville's largest. He'd continue to expand the empire along with C.H. Butcher Jr.
In 1975, Jake Butcher gained control of Hamilton and renamed it United American.
Federal authorities alleged that it wasn't long before the brothers began abusing their control of the banks, making questionable deals and spending lavishly on personal interests.
Among the pair Jake was regarded as the colorful, charismatic one. C.H. tended to play his cards closer to the vest.
As their influence grew, the brothers built competing glass towers within yards of each other on Gay Street.
Jake's is known to many as the Plaza Tower Building at 800 S. Gay St. C.H.'s building was dubbed Riverview Tower at 900 S. Gay.
While the Butchers enjoyed celebrity and the riches of their businesses, federal officials began to grow suspicious.
On Nov. 1, 1982 - not coincidentally the day after the World's Fair ended in Knoxville - federal banking investigators raided the brothers' banking operations.
They hit simultaneously to prevent the brothers or their confederates from doing anything to hide possible crimes.
As many East Tennesseans still recall today, the Butcher banks closed on Valentine's Day, 1983.
At the time it was among the largest bank failures in the United States.
Examiners confirmed what had once been rumor: the bankers had moved money around to hide the fact that their holdings were overstated and that assets had been mismanaged. They discovered millions of dollars in unsecured loans, forged loan documents and ample bank fraud.
Along with the brothers, numerous Butcher associates faced federal prosecution. Some even went to prison.
Jake Butcher pleaded guilty to theft and income tax evasion in federal court in 1985. He served seven years of a 20-year sentence in prison. For a time afterward he lived in the Chattanooga area.
In recent years, friends saw him often in the Knoxville area.
His younger brother served seven years in prison after pleading to fraud and bankruptcy fraud charges. He later settled in Georgia. C.H. Butcher Jr. died in 2002 at age 62.
Politics
Besides banking, Butcher was passionate about politics.
He was among about a dozen candidates who sought the Democratic nomination for Tennessee governor in 1974. He lost to Ray Blanton, who went on to become the state's chief executive.
After Blanton ruled out another run amid a cash-for-clemency scandal, Butcher saw his chance to seek office again.
In 1978, he secured the Democratic nomination for governor. Republican and fellow East Tennessean Lamar Alexander beat him handily, however.
Butcher also had sought to gain favor in national Democratic politics, courting President Jimmy Carter and contributing to his campaign.
Longtime Knoxville attorney and prominent Democrat Gordon Ball said Wednesday he was an unabashed friend of Jake Butcher's.
Ball recalled that Butcher always rued the Blanton scandal because he thought it ended up hurting his own changes to become governor.
Reflection
Years later, after he began a new start beyond prison, Butcher talked about his life, the highs and lows, with 10News.
Butcher said he felt badly about the banking collapse. He also said he wished he'd been able to do more for World's Fair Park -- to make it "bigger and better" after the event itself had ended.
"I'm not trying to say I didn't make mistakes," he said. "I made a lot of mistakes. I made some I wouldn't make again if I had to do it over."
Attorney Gordon Ball represented Butcher's brother after the financial scandal broke and was friends with Jake Butcher.
He recalled seeing him several months ago along with his wife, Sonya, at a birthday party at Calhoun's for Butcher's former pilot. He appeared well, Ball said.
The lawyer said he had a heart transplant last fall. Butcher would text him to see how he was doing.
"Every time I think of Jake I think of a guy who worked for him named Allen Hicks," Ball said. "Hicks' nickname was Red Dog. Red Dog was with Jake everywhere. He went with him everywhere.
"At one point in time, probably 1975, '76 '77, there was a reception. Jimmy Carter was president. Red Dog and Jake were in line to meet the president. Obviously, the president knew who Jake was.
"They're talking. Jake introduces Allen Hicks as Red Dog and Jimmy Carter says, Well, Mr. Dog, how are you?' "
Jesse Barr was among the longtime Butcher associates who also went to prison for their crimes. It's a fact he readily admits.
He also speaks of his love and affection for Butcher. Besides the World's Fair, he said, his old friend deserves credit for improving the highway system downtown so that people could get to the fair.
"I know we did some wrong. I admit that and Jake did, too. "When you’re riding your bicycle down the hill at 50 mph it’s hard to take your feet off the pedals. That’s what happened to us."