Bureau of Consumer Financial Protection et al v. Consumer Advocacy Center Inc. et al
Filing
218
STIPULATED FINAL JUDGMENT AND ORDER AS TO RELIEF DEFENDANTS HOLD THE DOOR, CORP. AND MICE AND MEN LLC by Judge Michael W. Fitzgerald. Settling Relief Defendant Hold the Door, Corp. shall be jointly and severally liable for the amount of $1,638, 687, such amount being for the purpose of providing redress to Affected Consumers; and Settling Relief Defendant Mice and Men LLC shall be jointly and severally liable for the amount of $5,041,069, such amount being for the purpose of providing redress to Affected Consumers. SEE JUDGMENT FOR DETAILS. (iv)
1
2
3
4
5
6
7
8
9
10
UNITED STATES DISTRICT COURT
11
CENTRAL DISTRICT OF CALIFORNIA
12
13
14
15
Bureau of Consumer Financial
Protection, et al.,
Plaintiffs,
v.
CASE NO. 8:19-cv-01998 MWF (KS)
STIPULATED FINAL JUDGMENT
AND ORDER AS TO RELIEF
DEFENDANTS HOLD THE DOOR,
CORP. AND MICE AND MEN LLC
16
17
Consumer Advocacy Center Inc., d/b/a
Premier Student Loan Center, et al.,
18
19
Court: Hon. Michael W. Fitzgerald
Courtroom 5A
Defendants.
20
21
STIPULATED FINAL JUDGMENT AND ORDER AS TO RELIEF
DEFENDANTS HOLD THE DOOR, CORP. AND MICE AND MEN LLC
22
Plaintiffs the Bureau of Consumer Financial Protection (Bureau), the State
23
of Minnesota, the State of North Carolina, and the People of the State of California
24
(collectively, Plaintiffs) commenced this civil action on October 21, 2019, and
25
filed an amended complaint on February 24, 2020 (Amended Complaint), to obtain
26
permanent injunctive relief, damages, rescission or reformation of contracts,
27
28
1
STIPULATED FINAL JUDGMENT AND ORDER
1
refunds of moneys paid, restitution, disgorgement or compensation for unjust
2
enrichment, civil money penalties, and other monetary and equitable relief from:
3
(1) Defendants Consumer Advocacy Center Inc. d/b/a Premier Student Loan
4
Center; True Count Staffing Inc. d/b/a SL Account Management; Prime Consulting
5
LLC d/b/a Financial Preparation Services; TAS 2019 LLC d/b/a Trusted Account
6
Services; Horizon Consultants LLC; First Priority LLC d/b/a Priority Account
7
Management; Albert Kim; Kaine Wen; and Tuong Nguyen; and (2) Relief
8
Defendants Infinite Management Corp., f/k/a Infinite Management Solutions Inc.;
9
Hold the Door, Corp.; TN Accounting Inc.; Mice and Men LLC; Sarah Kim; 1st
10
Generation Holdings, LLC; and Anan Enterprise, Inc.
11
The Amended Complaint alleges violations of sections 1031(a) and 1036(a)
12
of the Consumer Financial Protection Act of 2010 (CFPA), 12 U.S.C. §§ 5531(a),
13
5536(a); the Telemarketing and Consumer Fraud and Abuse Prevention Act,
14
15 U.S.C. § 6102(c)(2) (Telemarketing Act), based on alleged violations of the
15
Telemarketing Sales Rule (TSR), 16 C.F.R. pt. 310; the Minnesota Prevention of
16
Consumer Fraud Act (MNCFA), Minn. Stat. §§ 325F.68-.694; the Minnesota
17
Uniform Deceptive Trade Practices Act (MNDTPA), Minn. Stat. §§ 325D.43-.48;
18
the North Carolina Debt Adjusting Act (NCDAA), N.C. Gen. Stat. § 14-423 et
19
seq.; the North Carolina Telephonic Seller Registration Act (NCTSRA), N.C. Gen.
20
Stat. § 66-260 et seq.; the North Carolina Unfair and Deceptive Practices Act
21
(NCUDPA), N.C. Gen. Stat. § 75-1.1; and the California Business and Professions
22
Code 17200 et seq. (the Unfair Competition Law or UCL) in connection with the
23
above-named defendants’ marketing and sale of debt-relief services.
24
The (1) Plaintiffs and (2) Relief Defendants Hold the Door, Corp. and Mice
25
and Men LLC (Settling Relief Defendants) agree to entry of this Stipulated Final
26
Judgment and Order (Order), without adjudication of any issue of fact or law, to
27
28
2
STIPULATED FINAL JUDGMENT AND ORDER
1
settle and resolve all matters in dispute between them arising from the conduct
2
alleged in the Amended Complaint.
3
THEREFORE, IT IS ORDERED:
4
5
6
7
FINDINGS
1.
This Court has jurisdiction over the parties and the subject matter of
this action.
2.
Settling Relief Defendants neither admit nor deny the allegations in
8
the Amended Complaint, except as specifically stated herein. For purposes of this
9
Order, Settling Relief Defendants admit the facts necessary to establish the Court’s
10
11
jurisdiction over them and the subject matter of this action.
3.
Settling Relief Defendants waive all rights to seek judicial review or
12
otherwise challenge or contest the validity of this Order and any claim they may
13
have under the Equal Access to Justice Act, 28 U.S.C § 2412, concerning the
14
prosecution of this action to the date of this Order. Each Party agrees to bear its
15
own costs and expenses, including, without limitation, attorneys’ fees.
16
4.
17
18
19
Entry of this Order is in the public interest.
DEFINITIONS
The following definitions apply to this Order:
5.
“Affected Consumers” includes any consumer who paid Defendants
20
or their officers, agents, servants, employees, or attorneys for any Debt-Relief
21
Service from November 2, 2015, to October 23, 2019.
22
6.
“Assets” means any legal or equitable interest in, right to, or claim to
23
any real, personal, or intellectual property owned or controlled by, or held, in
24
whole or in part for the benefit of, or subject to access by any Defendant, wherever
25
located, whether in the United States or abroad. This includes, but is not limited to,
26
chattel, goods, instruments, equipment, fixtures, general intangibles, effects,
27
28
3
STIPULATED FINAL JUDGMENT AND ORDER
1
leaseholds, contracts, mail or other deliverables, shares of stock, commodities,
2
futures, inventory, checks, notes, accounts, credits, receivables (as those terms are
3
defined in the Uniform Commercial Code), funds, cash, and trusts.
4
7.
“Bureau” means the Bureau of Consumer Financial Protection.
5
8.
“Defendants” means Corporate Defendants and Individual
6
Defendants, individually, collectively, or in any combination, and each of them by
7
whatever names each might be known;
8
a.
9
Inc., True Count Staffing Inc., Prime Consulting LLC, TAS 2019
“Corporate Defendants” means Consumer Advocacy Center
10
LLC, Horizon Consultants LLC, and First Priority LLC, collectively,
11
or in any combination, and their successors and assigns, and each of
12
them by any other names by which they might be known, including
13
South Coast Financial Center, Direct Account Services, Financial
14
Loan Advisors, Account Preparation Services, Administrative
15
Financial, Tangible Savings Solutions, Coastal Shores Financial
16
Group, First Choice Financial Centre (a/k/a First Choice Financial
17
Center), Administrative Account Services, Primary Account
18
Solutions, Prime Document Services, Financial Accounting Center,
19
Doc Management Solutions, First Priority LLC, ALW Loans,
20
Administrative Accounting Center, Best Choice Financial Center,
21
First Document Services, Global Direct Accounting Solutions,
22
Keystone Document Center, Pacific Palm Financial Group, Pacific
23
Shores Advisory, Sequoia Account Management, Signature Loan
24
Solutions, Yellowstone Account Services, ClearStudentLoanDebt,
25
Clear Student Loan Debt, Trusted Account Services, Premier Student
26
Loan Center, and Priority Account Management;
27
28
4
STIPULATED FINAL JUDGMENT AND ORDER
1
b.
2
Kaine Wen, a/k/a Wenting Kaine Dai, Wen-Ting Dai, Wen Ting Dai,
3
Kaine Dai, and Kaine Wen Dai; and Tuong Nguyen, a/k/a Tom
4
Nelson, collectively, or in any combination, and each of them by any
5
other names by which they might be known;
6
c.
7
Prime Consulting LLC, TAS 2019 LLC, Horizon Consultants LLC,
8
and First Priority LLC, collectively, or in any combination, and their
9
successors and assigns;
10
d.
“Individual Defendants” means Albert Kim, a/k/a Albert King;
“Receivership Defendants” means True Count Staffing Inc.,
“Relief Defendants” means:
11
i.
12
Solutions Inc.; Hold the Door, Corp.; TN Accounting Inc.; Mice
13
and Men LLC; 1st Generation Holdings, LLC; and Anan
14
Enterprise, Inc., collectively, or in any combination, and their
15
successors and assigns, and each of them by any other names by
16
which they might be known; and
17
ii.
18
known.
Infinite Management Corp., f/k/a Infinite Management
Sarah Kim, and any other names by which she might be
19
e.
20
Mice and Men LLC, and their successors and assigns, and each of
21
them by any other names by which they might be known.
22
9.
“Settling Relief Defendants” means Hold the Door, Corp. and
“Debt-Relief Service” means any program or service represented,
23
directly or by implication, to renegotiate, settle, or in any way alter the terms of
24
payment or other terms of the debt between a consumer and one or more unsecured
25
creditors or debt collectors, including but not limited to, a reduction in the balance,
26
interest rate, or fees owed by a consumer to an unsecured creditor or debt collector.
27
28
5
STIPULATED FINAL JUDGMENT AND ORDER
1
2
3
10.
“Effective Date” means the date on which this Order is entered by the
11.
“Enforcement Director” means the Assistant Director of the Office of
Court.
4
Enforcement for the Bureau of Consumer Financial Protection, or his or her
5
delegate.
6
12.
“Person” means an individual, partnership, company, corporation,
7
association (incorporated or unincorporated), trust, estate, cooperative
8
organization, or other entity;
9
13.
“Plaintiffs” means the Bureau of Consumer Financial Protection, the
10
State of Minnesota, the State of North Carolina, and the People of the State of
11
California, collectively, or in any combination.
12
14.
“Receiver” means Thomas W. McNamara.
13
15.
“Related Consumer Action” means a private action by or on behalf of
14
one or more consumers or an enforcement action by another governmental agency
15
brought against any Settling Relief Defendant based on substantially the same facts
16
as described in the Amended Complaint.
17
18
16.
“States” means the State of Minnesota, the State of North Carolina,
and the People of the State of California.
19
MONETARY PROVISIONS
20
I
21
Order to Pay Redress
22
23
24
It is FURTHER ORDERED that:
17.
A judgment for monetary relief is entered in favor of Plaintiffs and
against Settling Relief Defendants as set forth below:
25
26
27
28
6
STIPULATED FINAL JUDGMENT AND ORDER
1
a.
2
and severally liable for the amount of $1,638,687, such amount being
3
for the purpose of providing redress to Affected Consumers; and
4
b.
5
and severally liable for the amount of $5,041,069, such amount being
6
for the purpose of providing redress to Affected Consumers.
7
18.
Settling Relief Defendant Hold the Door, Corp. shall be jointly
Settling Relief Defendant Mice and Men LLC shall be jointly
However, full payment of each Settling Relief Defendant’s portion of
8
this judgment set forth in Paragraph 17 will be suspended, based on each Settling
9
Relief Defendant’s inability to pay, upon each Settling Relief Defendant’s
10
satisfaction of the obligations in Paragraphs 19-22 of this Section, Paragraph 33 of
11
Section III, and subject to Section II of this Order.
12
19.
Settling Relief Defendants hereby grant to the Bureau all rights and
13
claims they have to all Assets subject to the asset freeze imposed by the
14
Preliminary Injunction entered on November 15, 2019 (ECF 103), and all Assets
15
identified in Attachment A and Attachment B. Within 10 business days from
16
receipt of a copy of this Order by any means, including but not limited to via
17
facsimile or email, the financial institutions identified in Attachment A shall
18
transfer to the Bureau or its designated agent all funds held in the accounts listed in
19
Attachment A by wire transfer to the Bureau or the Bureau’s agent according to the
20
Bureau’s wiring instructions.
21
20.
To the extent they have not already done so, Settling Relief
22
Defendants are ordered to transfer and relinquish to the Receiver, or to its
23
designated agent, possession, custody, and control of the following Assets within 7
24
days of entry of this Order, unless otherwise stated: dominion and all legal and
25
equitable right, title, and interest in, as well as any accounts receivable from, the
26
following entities: Settling Relief Defendants, including their successors, assigns,
27
28
7
STIPULATED FINAL JUDGMENT AND ORDER
1
affiliates, or subsidiaries, and each of them by whatever names each might be
2
known.
3
21.
Settling Relief Defendants shall cooperate fully with the Receiver and
4
shall execute any instrument or document presented by the Receiver, and take any
5
other actions the Receiver deems necessary or appropriate to effect the transfers
6
required by Paragraph 20. All property set forth in Paragraph 20 shall constitute
7
Assets of the receivership estate.
8
9
22.
Settling Relief Defendants hereby grant to the Bureau all rights and
claims they have to any Assets not subject to Paragraph 19 that are currently in the
10
possession, custody, or control of the Receiver, including but not limited to any
11
such Assets identified in Paragraph 20, and shall forfeit any rights and claims to
12
the funds in the receivership estate, including but not limited to: all funds held,
13
obtained, or to be obtained by the Receiver since the inception of the receivership
14
whether through this Order or otherwise.
15
23.
The suspension of the monetary judgment in Paragraph 18 shall not
16
affect the Receiver’s ability to pursue recovery of funds from any third parties,
17
including family members of Defendants, to satisfy all or a portion of the full
18
monetary judgment entered in Paragraph 17. Settling Relief Defendants shall
19
remain jointly and severally liable for full payment of this judgment to the extent
20
that funds to satisfy all or a portion of this judgment are able to be recovered from
21
third parties by the Receiver acting on behalf of the Receivership Defendants.
22
24.
With regard to any redress that Settling Relief Defendants pay under
23
this Section, if Settling Relief Defendants receive, directly or indirectly, any
24
reimbursement or indemnification from any source, including but not limited to
25
payment made under any insurance policy, or if Settling Relief Defendants secure
26
a tax deduction or tax credit with regard to any federal, state, or local tax, Settling
27
28
8
STIPULATED FINAL JUDGMENT AND ORDER
1
Relief Defendants must: (a) immediately notify the Enforcement Director and
2
States in writing, and (b) within 10 days of receiving the funds or monetary
3
benefit, Settling Relief Defendants must transfer the full amount of such funds or
4
monetary benefit (Additional Payment) to the Bureau or to the Bureau’s agent
5
according to the Bureau’s wiring instructions. After the Bureau receives the
6
Additional Payment, the amount of the suspended judgment referenced in
7
Paragraph 18 will be reduced by the amount of the Additional Payment and the
8
Additional Payment will be applied toward satisfaction of the monetary judgment
9
entered in Paragraph 17.
10
25.
Any funds received by the Bureau in satisfaction of this judgment will
11
be deposited into a fund or funds administered by the Bureau or to the Bureau’s
12
agent according to applicable statutes and regulations to be used for redress for
13
Affected Consumers, including but not limited to refund of moneys, restitution,
14
damages or other monetary relief, and for any attendant expenses for the
15
administration of any such redress.
16
26.
If the Bureau determines, in its sole discretion, that providing redress
17
to consumers is wholly or partially impracticable or if funds remain after the
18
administration of redress is completed, the Bureau will deposit any remaining
19
funds in the U.S. Treasury as disgorgement. Settling Relief Defendants will have
20
no right to challenge the Bureau’s choice of remedies under this Section, and will
21
have no right to contest the manner of distribution chosen by the Bureau.
22
23
27.
Payment of redress to any Affected Consumer under this Order may
not be conditioned on that Affected Consumer waiving any right.
24
25
26
27
28
9
STIPULATED FINAL JUDGMENT AND ORDER
1
II
2
Misrepresentation or Omission Regarding Financial Condition or Non-
3
Compliance with Order to Pay Redress
4
5
It is FURTHER ORDERED that:
28.
The suspension of the monetary judgment entered in Section I of this
6
Order is expressly premised on the truthfulness, accuracy, and completeness of
7
Settling Relief Defendants’ sworn financial statements and supporting documents,
8
which each Settling Relief Defendant asserts are truthful, accurate, and complete,
9
and which include:
10
a.
11
attachments, signed on November 1, 2019, and submitted to the
12
Bureau on or about November 4, 2019, and supplemented on
13
December 5, 2019, and August 20, 2020; and
14
b.
15
attachments, signed on June 22, 2020, and submitted to the Bureau on
16
or about June 25, 2020.
17
29.
Financial Statement of Hold the Door, Corp., including all
Financial Statement of Mice and Men LLC, including all
If upon motion by any Plaintiff, the Court determines that any Settling
18
Relief Defendant has failed to disclose any material Asset or that any of their
19
financial statements contain any material misrepresentation or omission, including
20
materially misstating the value of any Asset, the Court shall terminate the
21
suspension of the monetary judgment for that Settling Relief Defendant entered in
22
Section I and without further adjudication, shall reinstate the judgment entered in
23
Section I of this Order and the full judgment set forth in that Section with respect
24
to that Settling Relief Defendant shall be immediately due and payable, less any
25
amounts paid to the Bureau under Section I of this Order by that Settling Relief
26
Defendant.
27
28
10
STIPULATED FINAL JUDGMENT AND ORDER
1
30.
If the Court terminates the suspension of the monetary judgment
2
under this Section, the Bureau will be entitled to interest on the judgment,
3
computed from the date of entry of this Order, at the rate prescribed by 28 U.S.C.
4
§ 1961, as amended, on any outstanding amounts not paid.
5
31.
Provided, however, that in all other respects this Order shall remain in
6
full force and effect unless otherwise ordered by the Court; and, provided further,
7
that proceedings instituted under this Section would be in addition to, and not in
8
lieu of any other civil or criminal remedies as may be provided by law, including
9
any other proceedings that Plaintiffs may initiate to enforce this Order.
10
III
11
Additional Monetary Provisions
12
13
It is FURTHER ORDERED that:
32.
In the event of any default on Settling Relief Defendants’ obligations
14
to make payment under this Order, interest, computed under 28 U.S.C. § 1961, as
15
amended, will accrue on any outstanding amounts not paid from the date of default
16
to the date of payment, and will immediately become due and payable by the
17
defaulting Settling Relief Defendant.
18
33.
Settling Relief Defendants relinquish all dominion, control, and title
19
to the funds and all other Assets transferred or paid under this Order to the fullest
20
extent permitted by law and no part of the funds or other Assets may be returned to
21
any Settling Relief Defendant.
22
34.
The facts alleged in the Amended Complaint will be taken as true and
23
given collateral estoppel effect, without further proof, in any proceeding based on
24
the entry of the Order, or in any subsequent civil litigation by or on behalf of the
25
Plaintiffs, including in a proceeding to enforce their rights to any payment or
26
monetary judgment under this Order, such as a non-dischargeability complaint in
27
28
11
STIPULATED FINAL JUDGMENT AND ORDER
1
2
any bankruptcy case.
35.
The facts alleged in the Amended Complaint establish all elements
3
necessary to sustain an action by the Plaintiffs under section 523(a)(2)(A) of the
4
Bankruptcy Code, 11 U.S.C. § 523(a)(2)(A), and for such purposes this Order will
5
have collateral estoppel effect against each Settling Relief Defendant, even in such
6
Defendant’s capacity as debtor-in-possession.
7
36.
Under 31 U.S.C. § 7701, Settling Relief Defendants, unless they
8
already have done so, must furnish to Plaintiffs any taxpayer-identifying numbers
9
associated with them or their Assets, which may be used for purposes of collecting
10
11
and reporting on any delinquent amount arising out of this Order.
37.
Within 30 days of the entry of a final judgment, order, or settlement in
12
a Related Consumer Action, Settling Relief Defendants must notify the
13
Enforcement Director of the final judgment, order, or settlement in writing. That
14
notification must indicate the amount of redress, if any, that the Settling Relief
15
Defendant paid or is required to pay to consumers and describe the consumers or
16
classes of consumers to whom that redress has been or will be paid.
17
IV
18
Lifting of Asset Freeze
19
20
It is FURTHER ORDERED that:
38.
The freeze on the Assets of Settling Relief Defendants is modified to
21
permit the payments and other transfers of Assets identified in Sections I and III of
22
this Order. Upon completion of all payments and other obligations identified in
23
Sections I and III of this Order, the freeze of the Settling Relief Defendants’ Assets
24
pursuant to the Preliminary Injunction entered on November 15, 2019 (ECF 103),
25
shall be dissolved.
26
27
28
12
STIPULATED FINAL JUDGMENT AND ORDER
1
COMPLIANCE PROVISIONS
2
V
3
Notices
4
5
It is FURTHER ORDERED that:
39.
Unless otherwise directed in writing by the Bureau, Settling Relief
6
Defendants must provide all submissions, requests, communications, or other
7
documents relating to this Order in writing, with the subject line, “CFPB, et al., v.
8
CAC, et al., Case No. 8:19-cv-01998-MWF-KS” and send them by overnight
9
courier or first-class mail to the below address and contemporaneously by email to
10
Enforcement_Compliance@cfpb.gov:
11
Assistant Director for Enforcement
12
Bureau of Consumer Financial Protection
13
ATTENTION: Office of Enforcement
14
1700 G Street, N.W.
15
Washington, D.C. 20552
16
40.
Unless otherwise directed by a representative of the State of
17
Minnesota in writing, all submissions to the State of Minnesota pursuant to this
18
Order must be sent by overnight courier or first-class mail to the below address and
19
contemporaneously by email to evan.romanoff@ag.state.mn.us:
20
Evan Romanoff, Assistant Attorney General
21
Office of the Minnesota Attorney General
22
445 Minnesota Street, Suite 1200
23
St. Paul, Minnesota 55101
24
25
41.
Unless otherwise directed by a representative of the State of North
Carolina in writing, all submissions to the State of North Carolina pursuant to this
26
27
28
13
STIPULATED FINAL JUDGMENT AND ORDER
1
Order must be sent by overnight courier or first-class mail to the below address and
2
contemporaneously by email to lweaver@ncdoj.gov:
3
M. Lynne Weaver, Special Deputy Attorney General
4
North Carolina Department of Justice
5
114 W. Edenton Street
6
Raleigh, North Carolina 27603
7
42.
Unless otherwise directed by the State of California in writing, all
8
submissions to the State of California pursuant to this Order must be sent by
9
overnight courier or first-class mail to the below address and contemporaneously
10
by email to christina.tusan@lacity.org:
11
Christina Tusan
12
Supervising Deputy City Attorney
13
Los Angeles City Attorney’s Office
14
200 N. Main Street, 5th Floor
15
Los Angeles, CA 90012
16
43.
The Enforcement Director may, in his or her discretion, modify any
17
non-material requirements of this Order (e.g., reasonable extensions of time and
18
changes to reporting requirements) if he or she determines good cause justifies the
19
modification. Any such modification by the Enforcement Director must be in
20
writing.
21
VI
22
Cooperation with Plaintiffs
23
24
It is FURTHER ORDERED that:
44.
Settling Relief Defendants must cooperate fully to help Plaintiffs
25
determine the identity, location, and contact information of any Defendant and any
26
Person who might have contact information for any Defendant. Settling Relief
27
28
14
STIPULATED FINAL JUDGMENT AND ORDER
1
Defendants must provide such information in their or their agents’ possession or
2
control within 14 days of receiving a written request from any Plaintiff.
3
45.
Settling Relief Defendants must cooperate fully to help Plaintiffs
4
determine the identity and location of, and the amount of injury sustained by, each
5
Affected Consumer. Settling Relief Defendants must provide such information in
6
their or their agents’ possession or control within 14 days of receiving a written
7
request from any Plaintiff.
8
VII
9
Compliance Monitoring
10
It is FURTHER ORDERED that, to monitor Settling Relief Defendants’
11
compliance with this Order, including the financial representations upon which
12
part of the judgment was suspended:
13
46.
Within 14 days of receipt of a written request from any Plaintiff, each
14
Settling Relief Defendant must submit additional Compliance Reports or other
15
requested information, which must be made under penalty of perjury; provide
16
sworn testimony; or produce documents.
17
47.
For purposes of this Section, Plaintiffs may communicate directly
18
with each Settling Relief Defendant, unless the Settling Relief Defendant retains
19
counsel related to these communications.
20
48.
Each Settling Relief Defendant must permit Plaintiffs’ representatives
21
to interview any employee or other Person affiliated with the Settling Relief
22
Defendant who has agreed to such an interview. The Person interviewed may have
23
counsel present. Nothing in this Order will limit the Bureau’s lawful use of civil
24
investigative demands under 12 C.F.R. § 1080.6 or any Plaintiff’s use of other
25
compulsory process.
26
///
27
28
15
STIPULATED FINAL JUDGMENT AND ORDER
1
VIII
2
Receivership
3
It is FURTHER ORDERED that:
4
49.
The receivership imposed by this Court shall continue in the manner
5
set forth in the Preliminary Injunction issued on November 15, 2019 (ECF 103), as
6
to all Defendants and Relief Defendants, except as modified by this Section and
7
Section IV, and the Receiver shall continue to have the full powers of an equity
8
receiver, as an agent of the Court, pursuant to Sections XIV and XV of the
9
Preliminary Injunction, which shall remain in effect until further order of the
10
Court.
11
50.
The Receiver shall promptly take all steps necessary to liquidate any
12
of Settling Relief Defendants’ Assets transferred under Paragraph 20 using any
13
commercially reasonable means, including auction and/or private sale, and all such
14
sales shall be deemed authorized and approved under 28 U.S.C. § 2004 without
15
further notice, hearing, or court order. After such liquidation, the Receiver shall
16
remit the net proceeds to the Bureau or its designated representative as payment
17
toward the monetary judgments entered against Settling Relief Defendants within
18
21 days of each such sale or liquidation.
19
51.
The Receiver and his representatives shall continue to be entitled to
20
reasonable compensation for the performance of their duties pursuant to this Order
21
from the Assets of the Receivership Defendants. The Receiver and his
22
representatives shall not increase their hourly rates without prior approval of the
23
Court.
24
///
25
///
26
///
27
28
16
STIPULATED FINAL JUDGMENT AND ORDER
1
IX
2
Retention of Jurisdiction
3
4
It is FURTHER ORDERED that:
52.
The Court will retain jurisdiction of this matter for the purpose of
5
enforcing this Order.
6
It is SO ORDERED, this eighth day of September, 2020.
7
8
9
____________________________________
Michael W. Fitzgerald
United States District Judge
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
17
STIPULATED FINAL JUDGMENT AND ORDER
ATTACHMENT A
Attachment A to Order
List of Assets Transferred Pursuant to Paragraph 19 of the Order
Any and all Assets at the following financial institutions and in the following
accounts:
1. UBS Financial Services Inc.:
a. account number ending in 5783 in the name of Mice and Men, LLC;
and
2. Wells Fargo Bank, N.A.:
a. account number ending in 7284 in the name of Hold the Door Corp.
Attachment A to Order
ATTACHMENT B
Attachment B to Order
Relief Defendant Hold the Door, Corp. grants to the Bureau all rights and
claims it has to the following Assets pursuant to Paragraph 19 of the Order:
1.
The following vehicle:
a. 2017 Lexus GS-F, white, VIN ending in 2471, owned by Hold the
Door, Corp. and Defendant Kaine Wen, and registered to Judy Dai.
2.
The following Assets:
a. All Assets identified at item no. 23 on the Financial Statement of
Hold the Door, Corp., including all attachments, signed on
November 1, 2019, and submitted to the Bureau on or about
November 4, 2019, and supplemented on December 5, 2019, and
August 20, 2020, including but not limited to the following items:
i. Audemars Piguet Royal Oak Offshore watch in black ($28,500
acquisition cost), owned by Hold the Door, Corp. and
Defendant Kaine Wen;
ii. Audemars Piguet Royal Oak Offshore watch in white ($58,000
acquisition cost), owned by Hold the Door, Corp. and
Defendant Kaine Wen;
iii. 3.584 carats round brilliant diamond AGS 104098736001
($240,000 acquisition cost), owned by Hold the Door, Corp.
and Defendant Kaine Wen;
iv. Three Maurits Cornelis Escher prints (acquisition value of
about $32,500, $32,500, and $39,500, respectively), owned by
Hold the Door, Corp. and Defendant Kaine Wen; and
v. All furniture, electronics, and artwork owned by Hold the Door,
Corp. and Defendant Kaine Wen.
Attachment B to Order
Disclaimer: Justia Dockets & Filings provides public litigation records from the federal appellate and district courts. These filings and docket sheets should not be considered findings of fact or liability, nor do they necessarily reflect the view of Justia.
Why Is My Information Online?