SEC Receiver Alysson Mills asked a federal court to approve a distribution of $17.5 million to Madison Timber victims.
The SEC is trying to claw back illegal profits earned by Lamar Adams and promoters of a $164 million Ponzi scheme based on phony timber investments. Receiver Alysson Mills represents the SEC in recovering assets for later distribution to the victims. Her efforts include suing promoters who received commissions as well as the Butler Snow and Baker Donelson law firms. Adams is incarcerated in federal prison after he pleaded guilty to one count of wire fraud.
Ms. Mills stated in her memorandum in support of the motion to approve the first distribution:
The 485 promissory notes with amounts still due reflect $155,822,000 in total principal investments and require Madison Timber to make approximately $176,118,181 in total monthly payments. Before its accounts were frozen, Madison Timber made approximately $75,919,744 in monthly payments pursuant to the 485 promissory notes. The total amount still due under the 485 promissory notes—the Receivership Estate’s debt to investors—is approximately $100,198,437.
She asked for an additional $500,000 to be reserved for victims who were truly facing hardships such as elderly people living on fixed incomes.
U.S. District Judge Carlton Reeves set a hearing on the motion on May 17.
16 comments:
Still no names of investors. I wonder why?
all the low hanging fruit has been picked-
Seawright still able to send his kid to Rhodes College this fall
That’s peanuts. She needs to throw the line back out
a little more than 10%. Let them eat cake.
I have sympathy for and concerns about "elderly people" and those living on "fixed incomes" but this political correctness of reserving some of these funds for those folks (who would include me, except I didn't have money to invest in anything, much less a ponzi scheme) is pure bullshit.
They had tens of thousands that they were willing to 'invest'. Invest means taking a risk - in any investment, you must be willing to suffer a complete loss, which they did.
Why in the sake of justice do the "elderly", living on "fixed ncomes" (which includes dollars made from investments, evidently) deserve a set-aside?
Have Trustmark pull and show copies of wires sent and what Officer signed off. Also who prepared wire.
Probably coerced and not with full capacity such as dementia.
Something struck me odd as I scanned this hot mess. read paragraph 2 on page 5. and then read it again. the 485 notes have received 1/2 of their principal investment in payments. That's a 50% recovery for people that probably rolled their $ back into the scheme several times and have little if any real loss. the "balance" due is the other 1/2 and PROFIT. She's trying to recover the profit. Why isn't that 50% clawed back for an equitable redistribution? How many times did the 485 notes roll their profits? no transparency here. This whole thing stinks
That amount, in total, is less than McHenry pocketed. Good farking grief!
Does Thornton have to give back any of his commission????
Luckily, I invested early and received my guaranteed money for several years. I eventually lost some, but no as much as I put in.. Thanks Lamar.
Yeh. I’m living off the interest my returns made. Greatest investment I ever made. Risky, but great. Eating cake every night.
How has Pinnacle Trust escaped scrutiny? Stacy Wall and Adam’s were best friends.
Same question about McHenry!
McHenry is a free man. Y’all should stop asking about him. They’re done with him.
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