Scott W. Rothstein (born June 10, 1962) is a dismissed lawyer and former managing shareholder, chairman, and chief executive officer of the now-defunct Rothstein Rosenfeldt Adler law . He is accused of funding his philanthropy, political contributions, the salary of law firms, and a lavish lifestyle with the $ 1.2 billion Ponzi scheme, one of the greatest in history. On December 1, 2009, Rothstein surrendered to the authorities and was subsequently arrested for allegations relating to the Law of Affected Organizations and Corruption (RICO). Despite his innocent plea defense, Rothstein cooperated with the Government and reversed his plea guilty to five federal crimes on January 27, 2010. Rothstein was denied a bond by US Judge Robin Rosenbaum, who decided that due to his ability to falsify documents, he was considered a flight risk.
Video Scott W. Rothstein
Overview
On June 9, 2010, Rothstein received a sentence of 50 years in prison after a trial in a federal court in Fort Lauderdale, although federal prosecutors in 2011 filed a motion informing the court that they would seek a reduction in punishment for Rothstein.
His company has 70 lawyers and 150 employees, with offices in Boca Raton, West Palm Beach, Fort Lauderdale, Miami, Tallahassee, Florida, New York City and Caracas, Venezuela. The company focuses on labor and employment issues, civil rights, intellectual property, internet law, corporate espionage, personal injury, wrongful death, commercial litigation, real estate, mergers and acquisitions, and government relations. His client list includes: Citicorp, J. C. Penney, Ed Morse Automotive Group, National Beverage, Silversea Cruise Lines, Supra Telecom, and Wells Fargo. Until he was permanently dismissed by the Florida Supreme Court on 25 November 2009, Rothstein was a member of the Florida Bar and was recognized by the United States Supreme Court. She has been rated the Peen Superior AV rating by Martindale-Hubbell. The AV rating is a significant achievement and a testament to the fact that fellow lawyers rank him at the highest level of professional excellence.
Rothstein may have stolen millions of dollars from a side investment business. A list of 259 people or entities entitled to a $ 279 million restitution have been sealed by the court.
On November 3, 2009, the Federal Bureau of Investigation and US Treasury Department agents issued a warrant for the Fort Lauderdale office in the office. Rothstein sent an email in recent weeks to lawyers asking them to investigate which country refuses to extradite a criminal suspect either to the United States or Israel, and a firm lawyer who responds that Morocco is one of those countries. Rothstein had channeled $ 16 million to an individual in Casablanca and left for Casablanca on October 26, 2009. On October 31, 2009, he sent a suicide text message to all his legal partners:
Sorry to let you down. I am stupid. I think I can fix it, but get stuck by my ego and refusal to fail, and now all I'm trying to do is hurt my loved ones. Please guard yourself and please protect Kimmie [Rothstein's wife]. He does not know anything. Neither does he, and no one has the right to do what I do. I hope God allows me to see you on the other side. Love, Scott.
On 3 November 2009, after many texts by Stuart Rosenfeldt, president of the company, urging him to "choose life", Rothstein returned to Fort Lauderdale with a rented jet, (chartered by Cristina's ex-wife husband Todd Roma) from Casablanca. On Nov. 2, his law firm with just $ 117,000 in his operating account filed a lawsuit against him, asking the judge to dismiss the company, accusing him of misusing hundreds of millions of dollars of investor trust accounts in the Ponzi scheme of investment business he quietly ran out of his law office.
In 2009 Rothstein lived in the Federal Detention Center, Miami in Downtown Miami, but was later transferred to an undisclosed location and his detention number was removed from the pages of the Federal prison detainee website.
Maps Scott W. Rothstein
Background and career
Rothstein was born in the Bronx and moved with his parents to Lauderhill, Florida as a teenager. A 1988 Doctor Juris graduate from the Law School of Nova Southeastern University in Fort Lauderdale, and a graduate of the 1984 Art Scholarship from the University of Florida, Rothstein's legal career began in 1988 and, for nearly fifteen years, he is relatively unknown. His local mentors are wealthy lawyers, Donald McClosky and Bill Scherer.
In the early 90's, Rothstein first partnered with lawyer Howard Kusnick. First located in Plantation, Florida, Kusnick & amp; Rothstein, P.A. then move to downtown Ft. Lauderdale. Old partner Michael Pancier first joined him there.
In 2000, Rothstein joined Rosenfeldt as a name partner at the Hollywood company, Phillips Eisinger Koss & Rosenfeldt, P.A., later known as Phillips Eisinger Koss Rothstein & amp; Rosenfeldt, P.A
In February 2002, Rothstein and Rosenfeldt started their own company, first known as Rothstein & amp; Rosenfeldt, P.A. Within a month, Pancier was added as a name partner. In July, 2002, Susan Dolin, a highly respected worker attorney, now practicing herself in West Broward, the company is known as Rothstein, Rosenfeldt, Dolin & amp; Pancier, P.A..
In late 2004, the company was known only as Rothstein Rosenfeldt, with Adler being added in March 2005. Melissa Britt Lewis, who was killed in March 2008, along with Rothstein from the start of the company. In seven years, he and his colleagues expanded the company to 70 lawyers, including former Boca Raton Mayor and seated Palm Beach County Commissioner Steve Abrams; former judge Julio Gonzalez, Barry Stone, and former Palm Beach circuit judge William Berger; TV and radio legal commentators and former prosecutor Ken Padowitz; Carlos Reyes, former commissioner and lobbyist of South Broward District District; Arthur Neiwirth, an expert on bankruptcy; and Les Stracher, a former legal counsel for Morse Auto Group, representing a major car dealer.
Others include: Shawn Birken, son of Arthur Birken Circuit Court Judge; Ben Dishowitz, son of Dishowitz County Court Judge; and Grant Smith, the son of a disgraced former Congressman Larry Smith. Andrew Barnett is a Corporate Development Officer, and David Boden, an unlicensed New York lawyer in Florida, is a company general counsel.
Latest
On September 8, 2011, US District Judge James I. Cohn gave a government motion to ban Rothstein's video footage during his scheduled appointment, citing "serious harm" and "unusual security reasons in nature". The exact reason for the judge's decision was sealed. This sparked speculation that his appearance was changed or he was the target of the mafia because of his cooperation with the prosecution of the mafia.
On June 8, 2011, a federal prosecutor filed a motion to a judge informing him that they would apply for a reduced sentence for Rothstein. However, on September 26, 2017, prosecutors withdrew their motions to reduce the sentence, saying that he had provided "fake material information" in violation of his plea agreement.
Rothstein's name does not appear in the database of Federal Bureau prison inmates. This shows him being held under the alias, which is unusual considering he is cooperating with the government.
On November 18, 2009, many partners have moved: Five lawyers moved to Pugatch Robinson & based in Fort Lauderdale. Schiller. Steven Lippman and Richard Storfer will become new partners. Riley Cirulnick, George Zinkler, and Jodi Cohen are new partners.
In August 2008, Governor Crist appointed Rothstein as a member of the 4th District Court nomination commission, a body responsible for choosing a new judge to be appointed to the Court.
Bill Brock accompanied Rothstein to Morocco. His job at the law firm was to issue a check for Rothstein's various businesses and contributions, and to have the only security clearance for the territory in which Rothstein's non-legal business records were kept.
A devout Jew, Rothstein grew up in a small apartment of the Bronx, sharing a room with his sister. His father was a salesperson "back in the days when you were carrying bags up and down the streets of New York." The family moved to Lauderhill, Florida in 1977, when Rothstein was 16 years old. Her grandmother used her life savings to help her go to school. "I grow poor, I'm crazy about money."
"I have a deep faith in Judaism that I have gained from tremendous power, putting on Tefillin a means to connect with God that keeps me in a world that can easily cause you to lose your internal balance. has lost a lot of time to figure it out. "- Scott Rothstein, October 23, 2008.
Rothstein was a major contributor to the synagogue of Las Olas with his name attached to the front facade: The Rothstein Family Central Jewish Center of Chabad. Rabbi Schneur Kaplan was one of two people who spoke of Rothstein from committing suicide.
He invested in residential properties. In 2003, he paid $ 1.2 million for a beach house on Castilla Isle in Fort Lauderdale. In March 2005, he bought Ricky Williams's neighbor's house in Miami Dolphins for $ 2.73 million. While living in Williams's old house, he bought two other houses on the street and three other homes in Broward for a total housing investment of nearly $ 20 million. "They call me king of Castilla."
In 2008, he bought a house in Fort Lauderdale for $ 6.45 million by the sea, a $ 6 million condominium in New York in the same building as Marc Dreier, and a $ 2.8 million ocean estate at Narragansett , Rhode Island previously owned by troubled client, Michael Kent, owner of Fort Lauderdale nightclub.
She is part owner with Anthony Bova from South Beach Versace Casa Casuarina's luxurious home, where she married on January 26, 2008, in a three-day wedding with Governor Crist, and her fiancée then and now, Carol Rome, who was present. The later financial analysis of Rothstein's 10% owned property shows that it is worthless. His second wife, Kimberly Wendell Rothstein, a 35-year-old real estate agent, helps manage the property, which also includes partial ownership of an office building in Pompano Beach. He and Bova also own Bova Ristorante, a former Mario's family of Boca, which closed October 18, 2009. Bova Prime, formerly Riley McDermott at Las Olas Boulevard is still in operation. On September 11, 2008, the day before Rothstein took ownership, a dispute involving firearms took place at Riley McDermott involving Rothstein's security personnel.
He has a piece of internet technology called Qtask and V Georgio Spirits Co., LLC with CEO Vie Harvey and Renato watch company, with partner, Ovi Levy. Retribution is the son of the hotel owner Shimon Levy, who spent a year in jail in Israel after hiding the criminal kingpin, who is suspected of carrying out two murders.
Rothstein was at one time a minority shareholder of Edify LLC, a healthcare consulting firm. Country Representative Evan Jenne-D-Dania Beach is a $ 30,000 corporate consultant, who previously worked at a local bank. Rothstein hired Jenne's father, former sheriff and convicted criminal Ken Jenne as a consultant at his law firm a few days after Jenne was released from prison on charges of corruption. A lawyer law firm Rothstein serves as a registered agent for Evan Jenne's company, Blue Banyan. Grant Smith, Evan Jenne's lifelong friend, is Edify's lobbyist. Edify has worked closely with the state Department of Health to develop health programs and also influence certain health care laws.
"The Great Gatsby"
In a 2008 interview at his law firm, Rothstein describes himself and tells how he controls all aspects of corporate management:
This is where evil happens. Look, I slept in the bed I made. I tend toward the flagrant side, but that is persona. It's just a fucking persona.... People ask me, 'When do you sleep?' I said I would sleep when I die. I am a true Gemini. I joke that there are 43 people living in my head and you never know what you will get. There are some philanthropists there, some good lawyers, and I like to think of some good businessmen. There were also some people from the Bronx streets that remained hidden until I needed them. Does that sound crazy? I'm crazy, but crazy in a good way.
His private office was luxurious, with security and spatial layout. Anyone entering Rothstein's office should use an intercom. He can get out, invisible through the second door. In the hallway, a regular-looking brown door is actually the elevator door. Dozens of surveillance cameras and microphones hung on the ceiling of the office. On his desk: four computer screens and the Five Books of Moses.
Outside his private office hung Al Pacino's painting as Michael Corleone at The Godfather. Rothstein's office walls and other alleys are filled with photos of him and politicians including Governor Charlie Crist, former US Sen. Mel Martinez, Senator John McCain, Broward Sheriff Al Lamberti, Rudy Giuliani, Joe Lieberman and Bill McCollum.
He seems to be a prosperous and successful lawyer with all the flamboyant lifestyle material ornaments, including armed body guards and police protection. Twenty-eight city police officers, including captains, majors, undercover officers, and department spokesmen, helped keep his home and business, the only person in the department's history who had permanent police protection at all times in his home. The department suspended all work for Rothstein on November 2, 2009.
He owns a Boeing 727 jet and in 2002, flying Bill Clinton, Kevin Spacey, and Chris Tucker to Africa on an anti-AIDS mission. He has an 87-foot (27 m) Warren yacht $ 5 million. Exotic fleet cars include: 1974, 2006, 2007, and 2008 Ferraris, 2009 Bentley, 2007 Silver Rolls-Royce, and one 2008 and two 2010 Lamborghini Murcielagos - each worth about $ 400,000, a pair of Bugattis $ 1.6 million, and a pair of Harleys he kept in an air-conditioned warehouse. All allegedly bought and traded from Euromotorsports, the owner of which has extensive criminal records. Everything was confiscated shortly after returning from Morocco. He has a collection of more than 100 watches, worth $ 1 million. In 2008, he worked to open cigars and martini bars on Las Olas Boulevard and two high-rise residential buildings in Brooklyn with New York partner Dominic Tonnachio. He took ownership of "a series of office buildings" on Oakland Park Boulevard.
Roger Stone, a political fraud for Richard Nixon, is Rothstein's partner at RRA Consulting, LLC which was established to provide public affairs to legal clients of the RRA law firm. According to Stone, the business never produced clients. It was dissolved in late 2008. On August 27, 2009, Stone, the recipient of Rothstein's sponsorship of his blog until July 29, 2009, "StoneZone", wrote a column recommending Rothstein for seats emptied by Sen. Mel Martinez-a man with "A different legal record , has been a key supporter of Governor Crist and John McCain, has an unparalleled record of philanthropic activity and will bring an unconventional style to get things done for Washington Add Rothstein to the short list. " On November 4, 2009, Stone wrote, "Rothstein has no previous business success, no business acumen or track record that will lead to investor confidence He can not read the balance She can not write or read business plans Rothstein is a lawyer, not an entrepreneur. "Stone claims that Rothstein has Attention Deficit Disorder (ADD)" so severe that he never spends martinis, cigars, thoughts, or sentences, no matter the transaction. " According to Stone, both law firm partners Russell Adler and Stuart Rosenfeldt are signatories to the RRA Trust Account.
"My family says that the higher the number of polls you get, the more people see you, the better you're sure your bottom is clean. - Scott Rothstein
He "looks like a Great Gatsby movie."
"Nothing can really be surprised by this spectacular fallout - the question is not whether it will happen, but when." How Rothstein was able to produce this kind of money practice law is unlikely. " - Michael Goldberg, a Fort Lauderdale lawyer who serves as the recipient of the trial in the Ponzi case.
Philanthropic and Political Contributions
In 2008, the Rothstein Family Foundation gave $ 1 million to Holy Cross Hospital in Fort Lauderdale, where the lobby will be named after him and his wife. On October 31, 2009, his company was sponsored at a charity golf tournament featuring former Governor Jeb Bush.
Between 2007 and 2008, he donated $ 2 million to the American Heart Association, Women in Distress, Alonzo Mourning Charities, This Aid, and Dan Marino Foundation.
Politicians from both sides have pledged to donate to charity or restore political contributions. On November 3, 2009, the Florida Republican Party announced it would donate Rothstein ($ 600,000) to the charity. Senate Charlie Crist's campaign ($ 100,550), Alex Sink's state Financial Officer ($ 2,050), Senate President Jeff Atwater, Rep. Ellyn Bogdanoff, and the Florida Democratic Party ($ 200,000) will refund some or all of his contributions.
In June 2009, Harry Reid, the majority leader of the Democratic Senate received a $ 4,800 donation. The list of FEC archives indexed by NewsMeat includes a total of $ 166,800 to Republicans and candidates, including $ 109,800 for John McCain 2008 presidential campaign, and $ 17,600 for Democratic candidates.
Counterfeit killing
Debra Villegas, who handles her money, is the chief operating officer of the law firm. He was the owner along with Rothstein in a house at 2307 Castilla Isle, in May 2009. According to records, Rothstein originally bought the property in September 2007, for $ 1.75 million, and sold it for $ 10 to the shell company in September 2009.
In 2005, the year the Ponzi scheme allegedly began, Villegas earned $ 80,000 per year. In 2007, his salary had risen to $ 145,000. Villegas received two Swiss watches - Rolex and Breitling - from his "master". Rothstein paid the couch and a bedroom set and held the title for two of his Honda water scooters. Villegas lives in the $ 475,000 Weston house that Rothstein signed to him in July 2009 for $ 100 and "love and affection," according to the deed. Villegas enrolled Maserati GranTurismo 2009 for $ 100,000 at home in January 2009. In November 2009, federal prosecutors confiscated the house, alleging that it was one of Rothstein's illegitimate assets.
Villegas's estranged husband, Tony Villegas, was charged with indirect evidence of the March 2008 murder of Plantation, Florida from Melissa Britt Lewis, a partner at Rothstein's company. Although initial news reports wondered whether the evidence was substantial, according to the New Times, "Nine days later, forensic testing revealed that Tony's DNA had been found in Melissa's jacket coat - the same jacket she wore on the day she died."
The police sealed the arrest warrant. As a result of murder and legitimate business nature, Rothstein has an "executive protection specialist" team to keep the company and his family, his teenage daughter. The first prosecutor in the Villegas case, Howard Scheinberg, worked for Rosenfeldt Rothstein Adler. Villegas, a train conductor, remains in jail awaiting trial. The motive was supposedly a grudge for Lewis's closeness to Debra. Debra and Melissa share therapists: Ilene Vinikoor, whose husband David represents general counsel David Boden in the investigation of the Ponzi scheme.
"You're mad at people..." That bastard is from the Bronx They say I built law firm too soon, it must be a card house. "
"Distarment on consent"
On November 17, 2009, the Bar Bar Executive Committee voted to accept a request by Rothstein to be fired. The Florida Supreme Court entered Rothstein's permanent demolition order on 25 November 2009. Rothstein was removed from the Broward County Complaint Committee, and his name has also been removed from the database of Best Lawyers in America.
Trust account
Rothstein, Rosenfeldt and Adler's trust accounts are part of the Interest on Lawyer Trust Accounts (IOLTA) program that pays hundreds of thousands of dollars a month to the Florida Bar Foundation.
$ 1.2 billion Ponzi scheme
Rothstein's investment scheme involves the purchase of what was originally misinterpreted as "structured settlement", which is described as where people sell large settlements in legal cases for cash. Alan Sakowitz, a lawyer and real estate developer in Bay Harbor Islands, said he contacted the FBI in September with concerns about Rothstein. On Sunday, November 8, 2009, Sakowitz appeared with Kendall Coffey, Rothstein's law partner lawyer, at the Michael Putney Show at WPLG-TV, MIAMI, correcting Coffey for claiming that Rothstein's "investment" involves structured settlements, which they did not do. (Note: The "structured settlement" as defined by Rothstein in the press report does not meet the definition in IRC 5891 (C) (1) of the Internal Revenue Code.Rothstein resembles an investment in pre-completion financing or pre-completion financing December 12, 2011 page deposition 24 row 15-23, Scott Rothstein himself says "It was deliberately created in a way and presented to the company and other companies who saw the structural problem that it was just a dollar purchase already in -house; that it was not a structured settlement because the actual definition from a structured settlement is when a person actually receives payments over time that have some other value.We do not have a properly defined definition of a structured settlement, not by statute.From that point of view we have reason to ensure that this is unstructured .Because when you are dealing with a structured settlement you need a la level in from the Court of Approval, it will require a manufacturer of hundreds of fake orders, that will direct the entire scheme to detect . '
The FBI estimates the loss would amount to a billion dollars from profitable whistle-blower discrimination cases. Investors will make advance cash payments to individuals who owe money from court cases to purchase the right to collect the full amount of the settlement later. Investors are guaranteed at least 20 percent return on investment in just three months.
Swindle Punch
General counsel David Boden attends to at least one of the scams, and deliberates the final paper with investor lawyers. Rothstein greets and informs investors that his firm is the country's leading sexual harassment law firm. He said he had found the basic formula that a person with a net worth of $ 10 million would normally be willing to pay $ 2 million in cash to pay for their mistress. The key is secrecy. Rothstein told investors that he would meet with the defendant in his office and would question them about the affairs they had with an employee. The defendants will reject it. He pointed to the artwork, and said there was a television screen behind him. She told investors that she was turning on a video about a man who had sex with her lover, and told her client "We can finish this now, or I can overthrow your wife, your mistress, you and your child about it." Because the defendant "often can not or will not pay for a complete settlement in advance, Rothstein told investors that his first harassment case many years ago involved a $ 3.5 million settlement and a million-dollar legal fee, so Rothstein assigned a settlement to a good friend and the plaintiff completed $ 3 million without trial. The "good friend" stood up for $ 3.5 million after the defendant paid, a half-million-dollar profit.
"In 20 years, I have never seen a defendant claim a violation of a settlement," Rothstein told them. "The whole idea is a secret.Why will they sue?"
Although it seems not entirely legitimate, and it may seem that the plaintiff has not changed much, it makes sense for potential investors. The idea seems solid. Investors think that with enough cases at Rothstein's law firm, he can make huge sums of money.
Rothstein then discusses other bigger cases: Eli Lilly and Company, involving $ 1.4 billion with plaintiff representation by Gary Farmer, a firm lawyer negotiating the settlement and who took the case when he arrived at the firm. Several problem solvers broke into eating places with unlawful practices regarding the marketing and sale of anti-psychotic drugs called Zyprexa. It is one of the biggest qui tam cases in history.
He told investors about a potential case (allegedly made) in which investors would buy a million dollar whistle blower with a sixty percent short-term investor gain. The settings will be completely confidential; investors will never know the name of the company or whistle blower. Settlement money will be deposited into a trust account at TD Bank, only accessible to investors at the right time. David Boden followed up with all the questions and negotiated the contract.
On November 2, 2009, Broward Chief Justice Vic Tobin sent an e-mail at 6:45 am to assess Rothstein's case:
"I learned from some very sad news yesterday.Anyone who pulled this case tried to arrange a motion today because of the number of clients and money involved.Also, if you have a case with the company, please be patient.I do not know if the lawyer is coming or not and if they come, there is no money at this point to go ahead with the case or pay the employee of the company. "
On November 3, 2009, a retired Miami-Dade Circuit judge, Herbert Stettin was appointed the recipient of the company, responsible for approving the company's daily financial decisions. The company president and 50% of company owners, Stuart Rosenfeldt, "deposited two thirds of my life savings on my company's operating account" to prop up finances in the short term.
Marc Nurik represents Rothstein, and has resigned as a lawyer from the firm. Prosecutors are Lawrence D. LaVecchio, Paul F. Schwartz and Jeffrey N. Kaplan. They have decades of experience investigating public corruption, white-collar fraud and organized crime. They are preparing a massive case of fraud against Rothstein, targeting his investment settlements, as well as allegations of theft from his firm's law firm and client's trust account.
Victim
"... I consider my political mentor - Bill Scherer, John Collins, Jim Blosser.." Scott Rothstein in an interview in 2009.
On November 25, 2009, attorney William Scherer filed a 289 page Amendment Complaint seeking $ 100,000,000 in civil damages on behalf of his client, and named: Toronto Dominion Bank and his colleagues Frank Spinosa Jennifer Kerstetter and Rosanne Karetsky Irene Stay, Income Funds Banyon, LP, Banyon USVI, LLC, George G. Levin, Michael Szafranski, Onyx Options Consultants Corporation, Berenfeld Spritzer Shechter Sheer, LLP., And Rothstein and his colleagues, David Boden, Debra Villegas, Andrew Barnett, and Frank J. Preve, as the accused/co-conspirator.
The Changed Complaint lists the people and businesses to whom Rothstein allegedly sent money while he was on his way to or in Morocco: Rothstein sent $ 16 million to his tour guide from Boca Raton, Florida, "Ahnick Kahlid". Kahlid transferred the money to Rothstein's new bank account which was opened upon his arrival with a passport as an identification at Banque Populaire in Casablanca; The alleged recipients are members of "Mob Israel"; New York Investor; Florida Investors; Real Estate Investors; and Levin Feeder.
Scherer said that his client and all other investors who were not involved in the crime would get their money back. Due to extreme negligence, TD Bank is responsible. "My goal is to get all the money back for the investors from the bank," Scherer said.
On January 27, 2010, Scherer filed a written statement that Michael Szafranski was involved in Rothstein's fraud, receiving nearly $ 6.5 million of "illegally obtained" profits directly from Rothstein.
Shimon Levy and Ovi Levy
Shimon Levy is alleged to have had a deep connection with Israeli organized crime and spent a year in an Israeli prison for hiding a suspected mafia figure as two "horrific killings". In 1997, his partner at the Sea Club Resort on the beach of Fort Lauderdale, Zvika Yuz, was the victim of an unsolved murder. His son, Ovi contacted the Plantation Police Department and began receiving refuge during the time Rothstein escaped to Morocco.
Banyan Capital
The Banyan Income Fund, Fort Lauderdale-based hedge fund, invests hundreds of millions. It is run by Rothstein and involves Fort Lauderdale businessman George G. Levin, who reports Rothstein to the US Attorney's Office for "suspicious activity." According to the lawsuit, Frank J. Preve is Chief Operating Officer and keeps an office in Rothstein et al. He is a convict of bank fraud and criminal fraud. He pleaded guilty to allegations of bank embezzlement in 1985 and received ten years probation and a $ 10,000 fine to forge loan documents in other fraud schemes. Other Banyon and Rothstein investment accounts are held at the Toronto-Dominion Bank branch in Fort Lauderdale.
Abraxas Discala
Abraxas Discala, a businessman and former husband of The Sopranos' Jamie-Lynn Sigler, reportedly raised $ 30 million through hedge funds he invested in the Rothstein scheme.
George G. Levin
Since 1983, George G. Levin and his wife Gayla Sue lived in Fort Lauderdale's Bay Colony on Intracoastal Waterway, in a 2-story, 11,000 square foot (1,000 m 2 ) home with 8 bathrooms and a pool large, worth $ 2 million. Levin has a pattern of filing a complaint when his unfavorable/fraudulent business ventures are exposed. According to federal court documents, from 1985-1996 former GIG Industries business in Levin, dba Classic Motor Carriages cheated hundreds of customers, selling kit cars. The federal government filed criminal charges against the company and GGL pleaded guilty to mail fraud in 1999 and agreed to pay $ 2.5 million in damages.
Stuart Rado has become a consumer activist who organizes GGL victims and helps spur government action. Levin then sued Rado for violating Florida's Trade Secrets Act. Rado was diagnosed with cancer during the trial. This is a classic slapchy SLAPP outfit ("A Strategic Suit On Public Participation"). On September 19, 1997, the discovery of Mr. Rado is he pays the cost of the plaintiff's lawyer.
The federal movement states:
"The GGL's underhand scheme of course is included as a complicated part that silences his critics, among them Rado, by using the court to intimidate Rado into silence and cause Rado to spend money he can not afford." It is GGL's intention (as one GGL lawyers told Rado [in 1994 deposition]) to make Rado's net worth go south.GGL and his lawyers forced Rado to pay for two lawsuits for more than 4 years. Rado had to bear these costs and live daily with he has to endure this though he has not made a mistake legally, and although GGL has at the same time continued to commit national fraud Rado has been included through this because Rado dared to contact some GGL victims and told them that if they are hurt by the GGL they should contact ngi Attorney General of Florida for help. What's even more heinous is that GGL knows that Rado is dying of cancer but continues to pursue it with movements and notices of trials and other requests, a notice like hearing being served within a few days of brain surgery. "
Despite the convicted criminals, GGL hunts Rado's estate for a $ 80,000 payment in attorney's fees.
The state of Florida filed a lawsuit against a company accusing deceptive business practices and civil theft. A special assistant prosecutor, Herbert Stettin, led the investigation. Stettin is now the guardian who oversaw the Rothstein Rosenfeldt Adler bankruptcy case.
Levin continues to sell car kits with different company names, StreetBeasts.
According to the Florida District Court of Appeal case published in 2002, Levin acquired a free and clear property at a cost less than the cost of the first mortgage, through fraudulent transfers.
Rothstein's earnings and return strategy
The allegations are: George Levin is a general partner ("GP") who asks every limited partner ("LP") to contribute at least $ 1 million. Initially, each LP contributes $ 250,000, depending on the periodic capital calls up to the amount of their commitment. They are promised 12% per annum (15% for first $ 100 million), which must be paid quarterly. General partners should maintain a balance of not less than 10% of all contributions after each quarterly distribution. General partners also provide "clawback" guarantees for all LPs equal to their original contributions. LP can not request redemption during the initial one-year "lock" period and is required to provide 90 days notice for any withdrawal. Redemption will be paid from GP own capital account "as far as available" with 10% freeze, but on the contrary, only from the flow of settlement of lawsuits purchased.
Banyon has paid the Rothstein company at least $ 656 million, but the law firm anticipates $ 1.1 billion over a maximum 24-month period. It allegedly received and reinvested about $ 500 million. Levin expects to earn 40% over 24 months but only pay 24%. Trust account of IOLTA Rothstein law firm established "for plaintiffs" in litigation settlements purportedly used to finance false settlement accounts, after law firms have paid overheads, guarded bankruptcy operations, which included "rewards" for partners and money given to politicians, charities , and paying for big advertising budgets, as well as Rothstein's personal lifestyle, over three years, amounted to about $ 500 million in losses.
Interest in the funded IOLTA account goes to the monthly Florida Bar, which is millions, based on Banyon's contributions. In its prospectus, Banyon claims to have a legal opinion that Banyon's interests in IOLTA's trust account "were automatically refined on the execution of transfer documents" - that the lawsuit resulted in an assignment created by general counsel David Boden. The LP warns that they may be taxed on the Partnership's income and earn a profit even if no distribution is made. During reinvestment, the ponzi scheme is facilitated.
Losses
1. The total defeat of venture capital firm Doug Von Allmen, approximately $ 105.5 million, through the Banyon Income Fund includes:
- The Von Allmen Dynastry Trust, overseen by Linda Von Allmen wife: $ 7 million.
- D & amp; L Partners, Missouri Von Allmen: $ 45 million.
- Kretschmar: $ 8 million
- Razorback Funding LLC, a Delaware company: $ 32 million
- D3 Capital Club LLC, Delaware company: $ 13.5 million
2. BFMC Investment LLC, owned by Barry Florescue: $ 2.4 million
3. Socialite artisan Bonnie Barnett, mother of defendant, Andrew Barnett
4. Family car dealer, Ed and Ted Morse.
5. Capital Management Ballamor, Radnor, PA: $ 30 million.
More
- Investors from Morocco lost $ 85 million.
On November 19, 2009, Rothstein never appeared for deposition, seeing in the case of bankruptcy by investor lawyer John Genovese at the Genovese law office.
Other Banyon and Rothstein investment accounts are held at the Toronto-Dominion Bank branch in Fort Lauderdale.
References
External links
- Rothstein's legal office video tour
- AS v. Scott Rothstein : Crime Acts Start Report, December 1, 2009
- Federal Filling Information, December 1, 2009 Case No. 09-60331
- Rothstein Plea Agreement, Case 0: 09-cr-60331-JIC, filed Jan. 27, 2010
- Termination of Licenses, filed on November 20, 2009
- Fixed Civil Affairs filed November 25, 2009, Case No. 09-062943
- Scherer's Lawyers' Opposition of Motion to Disqualify Advisor to Plaintiffs, filed January 28, 2010
- The Changed Complaint for the Dissolution and Emergency Transfer of Company Power to Stuart A. Rosenfeldt, Case No. 09-059301
- The Judge's Commandment Compensates Bank Recordings, Case No. 09-059301
- Political Contributions Database Scott W. Rothstein
- Corporate Database of Scott W. Rothstein
- Scott W. Rothstein's registered vehicle database
- Real Estate Transaction Database Scott W. Rothstein
Source of the article : Wikipedia
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