Chicago Attorney Accused of Racketeering and Fraud While Serving as Bankruptcy Trustee
----------------------------------------------------------------------------------------------------------------------------------
A Chicago attorney faces allegations of fraud and racketeering in connection with his administration of a bankruptcy case pending in the U.S. Bankruptcy Court for the Northern District of Illinois, In re Polo Builders, Inc.
A complaint filed with the U.S. Bankruptcy Court for the Northern District of Illinois accuses David R. Brown of racketeering and fraud.
Mr. Brown, an attorney at the law firm of Springer Brown Covey Gaertner & Davis, allegedly filed hundreds of false fraud claims to obtain quick cash settlements from creditors of the bankruptcy estate.
The complaint was filed by Dinesh Gandhi, an officer at National Republic Bank of Chicago.
Mr. Gandhi claims that Mr. Brown operated a shakedown operation using false Ponzi claims to obtain quick cash settlements from innocent parties. According to Mr. Gandhi, Mr. Brown and his attorneys then billed the bankruptcy estate for work on the false claims.
Mr. Brown is accused of deliberately filing more than 150 false claims.
The complaint by Mr. Gandhi charges that Mr. Brown violated racketeering statutes which bar government officials from using their official status to extract extortion payments from innocent victims. The law firms of Freeborn & Peters LLP and K&L Gates LLP are also named in the complaint.
Mr. Gandhi also alleges that the trustee engaged in racial discrimination by knowingly targeting persons from India with the phony lawsuits. The complaint alleges that one of Mr. Brown’s attorneys, Harley Goldstein, stated “One little Indian, two little Indians, three little Indians down” after a court hearing in the case.
David R. Brown and his attorneys are accused of accepting more than $1 million in legal fees for work on false claims.
On January 3, 2010, the judge presiding over the bankruptcy case, the Hon. A. Benjamin Goldgar, ordered the trustee David R. Brown to answer questions under oath concerning the Ponzi claims that he filed. According to Paul Caghan, the attorney who obtained the court order against Mr. Brown, “The allegation is that the trustee used his position with the government to intimidate innocent parties into settling worthless claims and then pocketed the money.”
In re Polo Builders, Inc., Case No. 04 B 23758, U.S. Bankruptcy Court for the Northern District of Illinois.
-------------------------------------------------------------------------------------------------------------------------------
good post.....I appreciate yor way of writing that make the blog attractive and make reader to hold longer to your blog.
ReplyDeletebankruptcy attorney lynn ma
Thanks for the post. Do you happen to know of any companies that deal with bankruptcy in Oshawa? I just really need help. Please let me know, thanks.
ReplyDeleteThanks so much for exposing corrupt bankruptcy trustee in Toronto. I don't think people would ever know they were being cheating without you.
ReplyDeleteGreat article. I would be really upset if I had a bankruptcy trustee and they were stealing money. The whole point of going to someone like that is to trust them and let them help you out of bad financial situations. Hopefully this doesn't happen again.
ReplyDeleteWow, this is a good thing to look out for. People probably are very trusting of every bankruptcy trustee in Edmonton, probably because the word "trust" is in their name!
ReplyDeleteThanks for the post, and I'm still confused on what a bankruptcy trustee exactly is and what they exactly do?
ReplyDeleteI did not even know what a bankruptcy trustee in Toronto did until I read into this article! Thank you so much!
ReplyDeleteI would like to know more on a bankruptcy trustee in Toronto. I am new to this area and would like to learn more. Thank you for your informative post.
ReplyDeleteDebt Solutions
My brother wants to find a bankruptcy trustee. I think this is a good idea for him. He has been struggling financially and wants to get everything figured out soon. http://www.foxmiles.ca/
ReplyDeleteGoing bankrupt has been a fear that I've had ever since I was little. As I've grown up, I have tried so hard to be smart with my money and doing my best to save. Now that I'm old enough, I really want to figure out what I need to do to not only avoid going bankrupt, but figuring out what to do if I ever do go bankrupt.
ReplyDeletehttp://www.vineandwilliams.com/about-us/
Because there was close to 30 million in equity in my cases is why he committed fraudulent acts that left me basically homeless . I have a criminal attorney Thomas Jarriel of Macon 478-254-5181 that can tell you the facts . But we have found it impossible to get our evidence to the public . It involved to many in the Southern District . With the evidence public then criminal charges could be brought . Believe I have tried everything . I just need the right investigator to see what we have .
ReplyDeleteI have not been able to find an investigator or the US Trustee to view my evidence that clearly shows the crimes this trustee committed to prevent my reorganization . How can I get this evidence seen. The Bankruptcy Judge in the case won't let it out of her court room for reasons of her own . What can I do to get my evidence investigated properly ?
ReplyDelete