EFTA01734809.pdf

:bon Dbg- 1 2'111 ROTHSTEIN FALLOUT Ruling could affect 29 suits a Trustee battles bank over answers from firm's ex-officer by John Parent' watentinairoarei After kid-starting a fight for the de. posit& of sneniser Scot: itathasin. ti K: court-appointed bankruptcy trustee iv] Lis iiefunct law fine pined the Ilanday us a battle over the Erin's tt Debra YEllegas' proffer to investor attia neys. Attorney John Coaliontot represent- ing the urn's bankruptcy trustee. said he is afraid opening the ;troffer would have impteadons for the 29c:se/back lawsuits filed on behalf of investors by altering settlement talks and the ability to get proffers in those cases. %Mesas has been sentenced to 10 years in prison for helping Rothstein fleece investors by forging documents In a S12 billion settlement financing scheme. He received a 50-year sen- Lena. I ler attorney also offered answers to questions from invatorsrepresented by the Fort Lauderdale law flan Conrad & Scherer in a lawsuit against third par- ties in Broward Orcuit Court The prof- fer doesn't waive the Fifth Amendment right against seffinairnination but is of- fanner C00 Dena Wirers was given a ten discoverable by opposing parties. leyearpison unwire She told her sentencing judge she would assist in the recovery of assets 'to get at the wort product and thought for investors btr. is refusing to cooperate process &Its adversary? with one of Rothstein's Conner banks. DeMaria told Ray all his client wants Coral Gables-based Gibraltar Private to see Ls Meg& answers, not the area Bank &True. forrail S Sdiertg Lein% pined by Co. Gibraltar, which wants the Mllegas don't baleen answers by a witness proffer, is one of many tartish of the will ever be work product.' he said ling:then in state court and a defendant %Alleges' attorney. Robert Sodomy of in a clawlack suit flied by bank ropey hes said he want. to prolat Le trustee Herbert Stettin. dent because she could (toe erintleal *The trustee and Conrad & Scherer charges in state court or other federal aro trying to ea heel-lamer &men: sad courts. But he sad he knows ofno other Gebrettat attorney Joseph Detdarta. criminal Investigators. punter atTew Dirdoints in Miami they An ancillary issue at the hearing was are trying to as Like they how the same the U.S. attorney's objectior. filed Friday eight to do thew proffers as the govern- to allowingRothstein to be questioned by ment does. but they do not; dvil attorneys The U-S. attorneys office U.S. Bankruptcy Judge Raymond said It is preparing cases against more Ray earlier this month ordered %Sagas than the six people already charged and to answer foundational questions for doesn't want the investigation jeopar- Gibraltar. but Conrad Si Scherer filed dized by dsil depositions that could alert a motion for an emergency beenr.g to would-be defendant& protect what It said was work product 'It is difficult to media with exac- in anddparion Gibraltar would renew titude when the proposed inclement its motion for the fail proffer. will be returned, but such indictment is Gibraltar is mulling over whether to anticipated within the next six months,' renew the motion for the rest of her an- prosecutors wrote Friday in their &ec- swers after learning this week that she tions to a Rot sash deposition. is not under any investigation by other Prosecutors also said in a arm foot- law enforcement note that they wouldn't grant Stetting At the haring on the emergency mo- request for limited questioning of tion Ibrisday. Genovese said a ruling In Rothstem but would help. ill favor of Gtbrahar would set a precedent The government is prepared lomake for third parties to aquest svort product accommodations to the trustee which from Stettin. This would jeopardize the will enable hint to receive al of the infer- defeats bargaining with others involved maton necessary to his carrying out his in the Pont scheme and at the law firm responsffoilities; the response read& who are targets of federal investigators. Stein said the dock is ticking on the "We have great concern: said November deadline to file adversarial Genovese,a partner at GenoveseJoblove lawsuits. He has said he might file place- & Batista in Miura. holder lawsuits that could be expanded His objection got Rays &mention, and later against people who profited from he allowed Conrad & Scherer to inter- Rothstein's scheme vene in Gibraltar's action. Ray said he DeMaria said outside court that wanted briefs from Stettin on the legal prosecutors are offering what would issue because more defendants am ex- constitute 'a secret meeting: which pected Ray warned against in recommertirg Attorney JIm Silver, a partner at Rothstein be made available Conrad &Scherer. told Ray that Gibraltar John Pace& an tatnashed at (305) is not interested in %lieges' answers but 347-663a. EFTA_R1_00013300 EFTA01734809