MADOFF: Special Victims Task Force Ordered to Surrender $1.3 Million

Special Financial Victims Task Force
Meyerson & O’Neill has teamed up with Durant & Durant LLP to form an experienced securities fraud task force to represent victims of financial and investor fraud. This Task Force is offering consultations to investors who have sustained substantial losses in fraudulent securities schemes including those involving the Stanford Financial Group, Citigroup Hedge Funds and Bernard Madoff. All members of our team have extensive trial experience in complex litigation.

The Durant firm has handled many hundreds of securities cases of every conceivable type from arbitrations to class actions. Jack Meyerson and Marc Durant are both former federal criminal fraud prosecutors. Together they have more than 70 years of legal experience in aggressively pursuing fraudsters and in obtaining very substantial recoveries for victims of securities schemes and frauds. Debora O’Neill has maintained an active commercial and class action practice for more than 25 years in complex civil cases, including multi-district litigation. Rita Durant has over 25 years of litigation experience, the vast majority of which involving securities litigation. The firms have handled thousands of civil and criminal business, financial and securities cases, including lengthy trials, representing both plaintiffs and defendants. “Playing both ways” has become quite unusual and gives these trial attorneys valuable insight from both sides of the battlefield.

The team will aggressively pursue all responsible parties, including investment advisory firms, accounting firms and other related entities to achieve maximum compensatory and punitive damages for the innocent victims of financial frauds.

If you would like our team to evaluate your fraud or investment claim, please contact us.

Mr. Armstrong, who was released on bond of $5 million, couldn’t be reached to comment. His attorney, Marc Durant, said Monday night that his client “vigorously disputes the allegations and maintains his innocence.”

Mr. Durant, of the Philadelphia law firm Durant & Durant, added that his
client “very strongly believes he is being made a scapegoat for honest and noncriminal trading losses. He definitely intends to fight this.”

Investment Manager Faces U.S. Charges Of Bilking Japanese –

Mr. Armstrong owes some $1 billion to investors, in both principal and promised gains, prosecutors say. But only $46 million in assets remains in the accounts, they said.


Marc Durant of Durant and Durant of Philadelphia, said they could no longer represent the trader because a federal judge had ordered them to surrender $1.2 million in retainers he paid them.

“The fees were ordered returned. That leaves counsel with no ability to properly prepare a defense for the defendant,” Altman said yesterday in U.S. District Court in lower Manhattan.

His firm had received $841,000 from Armstrong. He said it had already invested roughly $200,000 in time and expenses on the case.

Durant, who must surrender $390,000, has invested more than $130,000 in time and expenses.

Armstrong has pleaded not guilty to civil and criminal charges that he ran a $1 billion bond swindle from offices at Carnegie Center in West Windsor, N.J., where his companies Princeton Global Management and Princeton Economics International are located.

Armstrong has said he is a scapegoat for offenses committed by others.

This week Owen ruled that $1.3 million in legal fees paid to Armstrong’s lawyers out of corporate funds must also be turned over to Cohen.

Owen said the lawyers should have been wary of accepting the money because Armstrong was under investigation at the time he signed contracts to pay the lawyers. Much of the money was wired to Armstrong’s lawyers in the hours before his arrest on Sept. 13.

“All the law firms were aware of the nature of the government’s investigations into Armstrong’s business dealings, and therefore, at the very least, in addition to knowing they were not being paid by the client, should have been aware of the possibility that they were being paid with corporate funds obtained by fraud,” Owen wrote in his ruling.

Durant said they would drop the case. The Durant firm was hired by Altman, since the Princeton attorney does not have a license to practice in New York, whereas Durant does.

Marc Durant of Durant and Durant of Philadelphia, said they could no longer represent the trader because a federal judge had ordered them to surrender $1.2 million in retainers he paid them.

If the fed wants ya, they’ll get ya. Period.



Author: Chilleh Penguin

A frisky penguin.

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