Local Construction Owner Under Investigation for Arson: Suspicion Cast on Owner After Devastating Fire

An arson investigation into the recently burned down FoxBuilt Construction building on West Union Street has named one person of interest: the owner, Larry Wendell Fox. 

The fire on Jan. 31 was news across Burke County and at the time the cause of the fire was listed as “undetermined.” 

Newly released evidence from search warrants, however, points to Fox being involved in the structure fire. Morganton Public Safety’s Investigator C. Storie was on the scene that night and has been investigating the case.

He filed for the search warrants which were obtained from a Burke County judge. 

The documents detailed the night of the fire, an interview with Fox, Fox’s suspicions of the involvement of the Russian Mafia, and the evidence collected. 

Around midnight that night, MPS responded to the FoxBuilt Construction building at 818 West Union St. Responding units could see the fire and heavy smoke upon arrival. 

With the building’s size and the severity of the fire, multiple first-responding agencies assisted in extinguishing the fire. As part of MPS protocol, the criminal investigations division was contacted and Storie came to the scene. 

The following information was gathered from search warrants issued on Jan. 31 (night of the fire) and Feb. 5 which focuses on obtaining information from Fox’s account.  

Fox’s story 

Storie detailed the night of the fire and the search of the 818 W. Union St. in Morganton. 

Upon Storie’s arrival, he was notified that Fox was present. As they looked at the burning building, Fox told Storie that he thought the people that he owed money had caused the fire.

 Fox described that around four times, he had received threats from an unknown “dark skinned male” driver of a white BMV passenger car with a Connecticut license plate.

He suspected that it was somebody from Phoenix Funding and Alternative Funding in New York from whom he had taken out a loan. A man he built a house for also worked for Phoenix Funding and Fox believes he worked for the Russian Mafia. 

“Fox explained that ‘the county’ owes him almost one and a half million dollars and will not pay. He said that he needed some money quickly and filled out a few loan applications online,” written in the document. Read more about the unpaid work allegations in The Paper’s March 2 edition. 

He then turned to a loan broker and asked for a loan of $100,000, but was instead given four loans of that amount. However, he could not remember the broker’s name but said it could be either Justin or Josh. 

Soon after he received the loans, Fox had filed for bankruptcy on Aug. 4 and could not pay back the loans. He filed from a Chapter 11 bankruptcy status to Chapter 7 in December 2023. “This is when he says he started receiving threatening phone calls, text messages, and the person in the white BMV following him,” reported Storie. 

His filing for bankruptcy was dismissed on Jan. 26, leaving him fully responsible for his debts. 

Fox reported that on the night of Jan. 29, he was working late in the building when he heard movement upstairs. He thought it could be the person who had been threatening him, but did not see anything.

The day before the fire on Jan. 30, Fox visited MPS to report seeing the white BMV vehicle. The driver had not threatened him this time, but the driver fled the scene when Fox pulled out a handgun. It was later that night when the building was engulfed in flames. 

Evidence found, warrants issued

The State Bureau of Investigation arrived later on Jan. 31 to investigate the scene. 

 Listed under Attachment A in the warrant, the purpose of the search was to conduct a fire investigation by collecting evidence. Items that would be valued in the investigation were ignitable liquids, ignition sources (flares, matches, other devices), photographs, drawings, and other types of documentation materials. 

“During the origin and cause investigation, investigators noticed one of the offices in the building had a strong odor of an ignitable liquid,” was written in the document. A rug was the source of the odor, but this room was the only one with an odor. The rug was collected as evidence. 

“Fox is the only person of interest in this case because he is the only one identified through the investigation who had the means, motive, and opportunity, and would benefit from an insurance payout based on the fire insurance he had on the building,” stated towards the end of the Feb. 5 search warrant document. 

The investigation is still ongoing. 

Saydie Bean is a general assignment reporter for The Paper. She may be reached at 8280445-8595 or via email at saydie@thepaper.media.