Posts Tagged ‘rings’

DOJ efforts to cover up MNAT perjury and Fraud now receives national attention

March 5, 2008 1 comment

UPDATE Aug 31, 2011

WARNING – there are rogue elements within the Dept of Justice – seeking to subvert the Constitution of the United States for veiled agendas sake – contrary to Congressional Law!  During his tenure at the Delaware Department of Justice, US Attorney Colm Connolly’s office repeatedly declined to investigate and prosecute the MNAT law firm.

 MNAT had made many confessions to perpetration of intentional deception of the Delaware Federal Bankruptcy Court by the MNAT law firm.

HOWEVER – a serious Conflict of Interest Ethics violations was committed.

  Colm Connolly failed to disclose the fact that he was a partner at the MNAT law firm in 2001 – the very year the MNAT perpetrated many civil & criminal code violations – including Perjury, Collusion, Scheme to Fix Fees, SEC violations, Intimidation of Victim/Witnesses, Conspiracy, False Oaths/Declarations, Perjury and Racketeering violate of California, New York and Delaware state/ federal cases.

Please see Colm Connolly’s Resume from the Department of Justice

An Organized Criminal element maintains control over the  Federal Bankruptcy Courts are the rogue parties within the DOJ US Trustee’s Office.

There are only 21 Police – the US Trustee’s –

in charge of all 1.5 million on average bankruptcy filings each year.

But there are 338 Bankruptcy Judges (here)

     More than 100 felony violations occurred with confessions to 34 false affidavits (Perjury) that accomplished admitted premeditated Fraud on the Court.

     Granting the criminals willful blindness allowed Marc Dreier, Tom Petters, Larry Reynolds and others to accomplish an additional $ 4 Billion dollars in fraud.

Cover UPs of MNAT & their clients

 Goldman Sachs & Bain Organized Crimes


   Currently the present US Trustee’s Office is

THE Most sophisticated group of white collar criminal activity in the United States.

Our tax paid Police – the 21 US Trustee’s handle over $500 Billion dollars annually.

There is no other arm of the Dept of Justice that handles so much money with absolutely no oversight whatsoever! 

When the MNAT law firm and the Traub Bonacquist & Fox law firm Confessed to supplication of more than 34 False Affidavits and Deliberately deceiving the Court – the DE Dept of Justice Trial Attorney – Mark Kenney – gave Traub’s firm a Stipulation to Settle that granted Paul Traub’s firm UNlawful, implied, blanket, immunity and the promise of the DE DEpt of Justice US Trustee’s office (the Police of the Bankruptcy Court) gift to Traub of future willful blindness by the US Trustee’s office.

You must scroll down the PDF to the WHEREAS clauses proffered by the Dept of Justice Trial Attorney.

UPDATE  Dec 19 2008

Some day soon, the DE US Attorney, Colm F Connolly, will have to explain why he declined to investigate or prosecute his former firm (MNAT) and partners for their participation into the $300 million dollar fraud in eToys and the 34 acts of perjury (MNAT confessed to supplication of 15 false affidavits to the Federal Court in DE).

Then again, maybe not – who knows how deep the corruption goes.

The one thing we do know for sure, documented by the Court Docket record of eToys docket item 2201 – is that instead of prosecuting the TBF law firm for confessing to deliberately deceiving the court through more than 17 false affidavits – the Dept of Injustice gave the TBF law firm Unlawful, implied, blanket, immunity.

Then Traub committed another $100 million fraud endeavor in the KB Toys case and the DE DOJ obstructed justice by having the evidence striken and expunged (See KB Toys bankruptcy DE 04-10120 docket item 2228 therein)

Since then, Paul Traub’s two other partners have been accused, arrested and are being held without bail for more than $2.3 billion in fraud. Tom Petters for $2 Billion, Marc Dreier for $300 million ( a separate $300 million from eToys)

What are the odds, had the Federal authorities investigated and prosecuted Traub in the beginning, that Dreier and Petters would not have reached to the level of criminality they are documented to have accomplished?

We may never know!

The Law firm of Morris Nichols Arsht & Tunnel (MNAT) has confessed to filing multiple, false, Rule 2014 and Rule 2016 affidavits, in order to be paid millions in fees in the eToys case.

.MNAT was the Court approved counsel for the Debtor of eToys.  Traub Bonacquist & Fox (TBF) was the court approved counsel for the creditors of eToys.

Barry Gold was the “wind down coordinator” , then President, CEO and now Plan Administrator of eToys.

.The Law firm of TBF also confessed to filing multiple, false, affidavits to the federal court in eToys.

Today we focus on the issue that has gained national attention recently, as can be seen at the WSJ Law Blog here

Where the Wall Street Journal noted that the Wilmington Journal had begun to review the serious issue that Congress is intent upon looking into Delaware Courts bias decisions that disfavor the public shareholders and bless Executive or inner circle elite.  ( to see the Wilmington Journal article here  )

What is at stake is Delaware’s dominance of corporation filings that has blossomed into a Delaware bankruptcy Courts and attorney bonanza at the expense of the public at large by rulings contrary to Congressional mandates and common decency.

It was not my desire to be at odds with rogue personnel within the Dept of Justice. (at least we hope they are a rogue element and not the norm).  Nor was it my desire to pick upon powerful, esteemed elites of MNAT, TBF or US Attorney Colm F Connolly.

To the contrary, my desire is that this all go away with proper remedy. 

I did not seek their incarceration or demise, however, they cannot steal from a company I was sworn to protect, whether they take away my right to be paid or not, the fiduciary duty Remains!

It is their arrogance and belief that they are Above the Law, that shall either assure their success in the criminality or assure their demise.

However, they, MNAT, TBF, Barry Gold and the rogue personnel within the Justice Dept, choose little ole me (actually I am a big person :0)  ) as the enemy worthy of their disdain and efforts for destruction.

My own attorney, Henry Heiman, a former Trustee in Delaware, after I had been offered inducements, warnings and more, where Heiman, feeling no worries, due to the “good ole boys” network in Delaware, Heiman emailed me a threat from Susan Balaschak of TBF.  That if I did not back off, not only would HAAS and CLI not be paid, my career would end and they would come after me.

My response was to blow the whistle.  While many said I should have found a way to take the $800,000 bribe and adapt my views.  Be the silly person I am, I reported the bribes and threats to the Dept of Justice.

This blowing the whistle, initially, resulted in confessions.  TBF and MNAT confessed to filing multiple, false, affidavits to the Courts. (more than 35, to be exact).

TBF confessed that Barry Gold was his paid associate, that TBF had paid Barry Gold four (4) separate payments of $30,000 each.

TBF, MNAT and Barry Gold also confessed that they drafted a Barry Gold Hiring Letter.

The Hiring Letter contains language that rewards Barry Gold if he does not apply to the Bankruptcy Court for persmission to be hired.

The reason the parties drafted the clandestine Hiring Letter (the letter remained hidden until Jan 25 2005 even though it was signed in June 2001) where MNAT, TBF  were warned by the US Trustee’s office not to violate Section 327(a) of the Bankruptcy Code. (the US Trustee testified to this in the Motion to Disgorge TBF for $1.6 million on Feb 15, 2005, eToys docket item 2195) as they were warned not to do a crime, the only chance they had, to get away with crimes, that were already ongoing, was to seize control of the entire estate.  The Hiring Letter would have guaranteed their success, if they had not chosen to stiff HAAS and CLI just because they had the power to do so.

The issue at hand for Delaware Courts, MNAT and the US Attorney, Colm F Connolly. Is that, despite the confessions, the Disgorge Motion and Stipulation to Settle, never, Ever, mentions MNAT. This testifies, as prima facie evidence, being an actus reus act in and of its own existence, to the very fact that MNAT is enjoying a spirit of no prosecution.

The Stipulation to Settle is an ILLEGAL document,

    where the Dept of Justice in Delaware, apparently in an effort to protect MNAT, has given TBF improper, Illegal, permission to Circumvent the Code. This implies that willful circumvention of a Code or Rule, a crime in any sense of the word, has become systemic in Delaware.

The exact words in the Stipulation to Settle, flagrantly defy the Code/Rule of Law and the Dept of Justice’s fiduciary duty to the public and the courts.

WHEREAS The United States Trustee shall not seek to compel TBF to make additional disclosures

Every counsel in the world can tell you they would LOVE for such a clause to be legal. In essence that clause and setting the precedent that such is permitted, single handedly, wipes out the statutes and intent of Congress.

We do not have to prove anything else in this case, that clause, documents, by the Dept of Justice own signature, the intent to willfully circumvent the Code.

In re Middleton Arms Ltd Partnership  934 F.2d 723 (6th Cir 1991) has been affirmed by the US Supreme Ct and the 3rd Circuit.  “courts cannot disregared the clear and “unambiguous” mandate of Section 327(a)”.

When any non disclosure of conflict of interest is discovered, after the fact, the Courts must disqualify.  Not is not even within the authority of a Federal Justice to Circumvent the Law.  Because that is called, in any public citizens realm, Breaking the LAW!

Bonds, Martha and Clemens are citizens who made a false statement and all are paying through the nose for such self protection efforts.

MNAT, TBF, Barry Gold, Colm Connolly, Mark Kenney, Roberta DeAngelis, Kelly B Stapleton, Andrew Vara and anyone else in this case are “officers of the court” and thereby are held to a higher standard.   They are given their esteemed levels of trust and above average pay days, due to the fact that they are required and swear an oath to be of the highest integrity.

When they violate that level of trust, the crimes or heinousness of the highest kind. Again, it is their arrogance and Abuse of power that is the testimony of their character.  I am just the messenger.

Now Colm F Connolly is nominated to be a Delaware District Court Judge. Where Connolly’s resume became public information. By revealing that Colm F Connolly was a partner at MNAT in 2001, many ethical questions are automatically obvious.

Why has Colm F Connolly’s office refused to investigate MNAT?

Why has Colm F Connolly failed to refer the MNAT matter to the Public Integrity Section as is required by Dept of Justice protocol when the US Attorney has any connection, whatsoever, to an issue?

Did Colm F Connolly assign a case number to the issue, as the protocol of the Dept of Justice mandates, when more than one hour of time is expended on an issue?

MNAT, TBF and Barry Gold are utilizing the Stipulation to Settle permission to circumvent the law to keep quiet about the MOST important issue. Barry Gold, TBF and MNAT all have “undisclosed” connections to Bain/KB Toys.

MNAT, TBF and Barry Gold all negotiated the sale of most of eToys assets to Bain/KB.  This is Collusion to Defraud an estate.

It breaches their fiduciary duties to their respective clients, it breaches their Oaths, Declarations and Affidavits to the Court and violates Model Rules of Condcut, SarOx, SEC Regulations, Delaware State Corporate Law and many other platforms.

It is THE most serious betrayal of trust that can occur.  For MNAT, TBF and Barry Gold “sold out their client for their own benefit”.

Colm F Connolly, Mark Kenney, Roberta DeAngelis, Kelly Stapleton, Andrew Vara and everyone else knows the LAW and their fiduciary duties are to the public and the Constitution.

We do not have to prove the benefit that the Dept of Justice personnel received in their efforts of nolle prosequi (refusal to prosecute).

The failure to prosecute obvious criminal acts and the overt manner that the Justice Dept has engaged upon, in order to defend the criminality and punish this whistle blower, speaks for itself.

It is plain dumb, to continue this charade any further. It is obvious that they have reached the end of their power center. If they desire to mitigate their own demise, it would be wise to effort a honorable remedy now, to demonstrate good faith.

All their calls to the WSJ to shut down my statements had to send a message that things are heating up.

Senator Biden was informed of this stuff for years. He is at risk also.

They are the ones who choose to go all or nothing, when they already had it all, they could have given back a little, to everyone and made this issue go away. 

Instead, they used their power and influence with the Dept of Justice and the Delaware Courts, going TOO FAR!

They have stolen a public company and even if you toss out Bankruptcy Code and Rules, by Delaware’s own Corporate Laws, the sale of assets is rescindable, as it fails the “bona fide” requisite.

The push, the hard push, to make Colm Connolly a Judge, is that he then, cannot be removed, unless he is impeached.

If Delaware wants cronyism as the main character trait within its Systems, it will get what it asks for!

However, the fact remains is that this is multiple cases, multiple years, multiple parties, multiple states, involving hundreds of millions of dollars. All being done contrary to the Law.

If this was a powder substance instead of the stroke of a pen, it is obviously Racketeering.  Because they are doing such by abuse of power and you have yet to see a body in the streets, some are inclined to permit the leniency. 

It is obvious however, that those that desire leniency are not the ones who lost their money in eToys.

When the RICO efforts involve those the country pays salaries of $100,000 or more per year, to defend us from racketeers, then you do not have the law, you have anarchy and cronyism.