Kathy Bazoian Phelps
Eleventh Circuit Decides Important Ponzi Scheme Issues

The Eleventh Circuit issued an opinion this week that has to make receivers happy. See Wiand v. Lee , 2014 U.S. App. LEXIS 10154 (11th Cir. Jun. 2, 2014) [ an enhanced version of this opinion is available to lexis.com subscribers ]. Fraudulent transfer...

James Cordrey
U.S. Supreme Court Says District Court ‘Cured’ Bankruptcy Dispute With De Novo Review

WASHINGTON, D.C. — (Mealey’s) The U.S. Supreme Court today unanimously ruled that any potential error made by a bankruptcy court regarding its own judgment in a “core” proceeding under 28 U.S. Code Section 157(b) was “cured”...

State Net
Michigan Lawmakers Approve 'Grand Bargain'

Michigan lawmakers have given their approval to the bankruptcy exit plan negotiated by federal mediators that has come to be known as the "grand bargain." The nine-bill package, passed with bipartisan support in both chambers and expected to...

Kathy Bazoian Phelps
Did the Second Circuit Get SLUSA Right in the Madoff Ponzi Scheme Case?

In a very short and summary opinion, the Second Circuit concluded that nothing in a recent Supreme Court decision gave it any reason to revisit its prior ruling that SLUSA bars state law class action claims against banks in connection with the Bernard...

Kathy Bazoian Phelps
Can You Get Taxed on the Nothingness of a Ponzi Scheme Account?

In a case arising out of the Bernard Madoff Ponzi scheme, the United States Tax Court recently considered whether federal estate tax must be paid on the amount identified on the Madoff account statement at the time of the death of the decedent account...

Kathy Bazoian Phelps
May 2014 Ponzi Scheme Roundup

Below is a summary of the activity reported for May 2014. The reported stories reflect: 9 guilty pleas or convictions in pending cases; over 95 years of newly imposed sentences for Ponzi schemers; at least 9 newly discovered schemes allegedly involving...