UNPUBLISHED

UNITED STATES COURT OF APPEALS

FOR THE FOURTH CIRCUIT

ACIREMA, N.V., a Netherlands
Antilles Company,
Plaintiff-Appellant,

v.

THOMAS S. LILLY; GORDON LUSK,
d/b/a Container Company, a West
                                                               No. 97-2241
Virginia general partnership;
CONTAINER COMPANY, a West
Virginia general partnership; THE
CONTAINER COMPANY LIMITED
LIABILITY COMPANY, a West Virginia
limited liability company,
Defendants-Appellees.

Appeal from the United States District Court
for the Southern District of West Virginia, at Bluefield.
David A. Faber, District Judge.
(CA-96-559-1)

Argued: March 4, 1998

Decided: March 30, 1998

Before WIDENER and MOTZ, Circuit Judges, and MOON,
United States District Judge for the
Western District of Virginia, sitting by designation.

_________________________________________________________________

Affirmed by unpublished per curiam opinion.

_________________________________________________________________
COUNSEL

ARGUED: John Blanton Farmer, THOMPSON & MCMULLAN,
Richmond, Virginia, for Appellant. Kenneth Eugene Webb, Jr.,
BOWLES, RICE, MCDAVID, GRAFF & LOVE, Charleston, West
Virginia, for Appellees. ON BRIEF: Michael T. Chaney, KAY,
CASTO, CHANEY, LOVE & WISE, Charleston, West Virginia, for
Appellant. Carl D. Andrews, Brian A. Glasser, BOWLES, RICE,
MCDAVID, GRAFF & LOVE, Charleston, West Virginia, for Appel-
lees.

_________________________________________________________________

Unpublished opinions are not binding precedent in this circuit. See
Local Rule 36(c).

_________________________________________________________________

OPINION

PER CURIAM:

In 1983, Equitable Life Assurance Society of the United States
("Equitable") loaned $1.9 million to Circle Realty Corporation and
Acirema, B.V. ("ABV"). To secure this debt, Circle Realty and ABV
provided Equitable a deed of trust on Bluefield Plaza. In 1988, the
property owners failed to pay the real property taxes owed on that
property.

As provided by West Virginia law, the sheriff conducted a sale of
Bluefield Plaza on November 20, 1989, at which time no private per-
sons bid on the property. See W. Va. Code§ 11A-3-5 (Michie Butter-
worth 1995). In accord with the then-applicable state statute, the State
of West Virginia purchased the property at the sheriff's sale. See W.
Va. Code § 11A-3-6 (Michie Butterworth 1995). The State, through
the sheriff, provided actual notice of the sale to the prior owner of the
property. See W. Va. Code § 11A-3-2 (Michie Butterworth 1995).
However, as the State acknowledges, it did not provide actual notice
of the sheriff's sale to Equitable despite the statutory requirement
(enacted in 1985) that actual notice be provided to"each person hav-

                     2
ing a lien on real property upon which the taxes are due." W. Va.
Code § 11A-3-2.

In 1992, pursuant to the then-controlling state statute, the Circuit
Court of Mercer County, West Virginia ordered that the property be
sold by the State at a public auction. See W. Va. Code § 11A-3-44
(Michie Butterworth 1995). Again, no private persons bid at the auc-
tion. By May 1992, Equitable had received notification about these
efforts to sell the property and about its ability to redeem the property.
Equitable chose not to redeem the property.

For the next two years, the property remained unsold. Based on
amendments to the relevant state statute, Equitable still had the oppor-
tunity to redeem the property by paying all back taxes and costs. See
W. Va. Code § 11A-3-44. When Equitable did not exercise this right,
pursuant to the controlling statute, the property was subject to public
auction. Id. Bluefield Plaza, however, was not sold at the public auc-
tion.

Rather, on September 27, 1994, in accord with the statute, the State
privately sold the property to Thomas S. Lilly and Gordon Lusk, and
their partnership, Container Company (collectively Lilly). See W. Va.
Code § 11A-3-48 (Michie Butterworth 1995). West Virginia law
required Lilly to secure the deed to the property by preparing a list
of those to be served with a notice to redeem. See id. This notice was
sent to Equitable, and on or about November 21, 1994, Equitable
again decided not to redeem the property.

On March 7, 1996, Acirema, N.V. (parent of ABV) acquired all of
Equitable's rights and interest in the deed of trust for a $25,000 pay-
ment. Acirema then filed this declaratory judgment action asserting
that the failure of the State to provide Equitable notice of the proper-
ty's delinquency in 1989 violated Equitable's procedural due process
rights, and therefore Equitable's "deed of trust remained a valid lien
on the property." Further, Acirema maintained that, because it had
assumed Equitable's rights under the deed of trust, it should be enti-
tled to enforce this lien.

The parties cross-moved for summary judgment. The district court
granted Lilly's motion and denied Acirema's. This appeal followed.

                     3
Having had the benefit of oral argument and the parties' briefs, and
after careful consideration of the record and the applicable law, we
conclude that the district court correctly decided the issues before it.
Accordingly, we affirm on the reasoning of the district court. See
Acirema, N.V. v. Lilly, No. 1:96-0559 (S.D.W. Va. Aug. 11, 1997).

AFFIRMED

                     4
