SAN ANGELO, TX — A court-appointed receiver says a convicted cattle rustler gave away business property for free while owing money from another judgment, according to new filings in Tom Green County.
The allegation appears in a lawsuit filed by receiver Robert Berleth, who was appointed in May 2024 to collect on a judgment awarded to Steve Baxter, owner of West Texas Collision, after Thompson was ruled to have stolen two vehicles and tools from Baxter's body shop.
According to the petition, Berleth discovered during post-judgment collection that at least four pieces of business property were transferred from Southern Industrial Engines to Southern Industrial Towing LLC or to Thompson personally, allegedly “with no compensation.”
The filing states these transfers occurred while the defendants owed money on the judgment and describes them as attempts to “fraudulently conceal assets” from the creditor, the receiver, and the court.
Berleth claims the businesses operated as alter egos and alleges the structure was used to hinder collection. He is asking the court to unwind the transfers under the Texas Uniform Fraudulent Transfer Act, impose a constructive trust, prevent further transfers, and award attorney’s fees. The petition states damages exceed $250,000.
Dusty Thompson and his wife, Terry Thompson, Southern Industrial Engines LLC, and Southern Industrial Towing LLC filed a general denial in response. They also raised a statute-of-limitations defense and challenged requests for exemplary damages and attorney’s fees.
The civil dispute follows multiple earlier court actions involving Thompson. He was convicted in 2019 of third-degree felony cattle theft and received a five-year sentence that was suspended in favor of probation. He later sought a new trial, alleging juror misconduct, including claims that a juror accessed social media and later viewed coverage of the case online.
Judge Carmen Dusek, who handled that criminal case, now presides over the current civil matter in the 51st District Court.
A motion hearing is set for Dec. 9, 2025, at 9 a.m. in Tom Green County.
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