|By PR Newswire||
|March 6, 2014 09:00 PM EST||
LOS ANGELES, March 6, 2014 /PRNewswire/ -- Yesterday, Federal Judge Barry Russell granted David Bergstein a pivotal motion disallowing all of remaining claims filed by David Molner's entities (Aramid, Screen Capital, etc.) in the R2D2 and related involuntary bankruptcy cases initiated by Aramid former executive David Molner. In addition to the dismissal of claims brought against Bergstein, Judge Russell's rulings disallow the administrative claims (legal fees) for approximately $3 million brought by Screen Capital's attorneys – Levene Neale and Stroock, Stroock and Lavan. The ruling confirms that the David Molner parties in fact never had any legitimate claims against Bergstein and no basis to have filed the involuntary proceedings in the first instance. Judge Russell further agreed that the initial claim which Screen Capital utilized for the involuntary filings now 4 years ago, was a claim that in fact was purchased from a third party (The Salter Group) for the express purpose of wrongfully attempting to put certain of Bergstein's companies into involuntary bankruptcy – a violation of Federal Law. This ruling suggests allegations that the filings were made in bad faith and that they were a fraud perpetrated on the court, the Bergstein parties and the creditors. David Bergstein adds, "These rulings along with the victories we have had in the majority of the astonishing nearly 100 cases which Molner filed against me and my affiliates expose the fraud and other illegal conduct orchestrated by David Molner as part of his elaborate scheme to defraud the investors in the Aramid Fund. We expect future proceedings in Bankruptcy and other courts to further detail the surreptitious behavior and abuse of the system which Molner and his associates engaged in."
The result of this ruling is that David Molner (and its affiliates, such as Aramid) are now completely out of the bankruptcy cases. In a related prior case, Bergstein was awarded a $50 Million judgment against attorney Susan Tregub for her role in Molner's campaign against Bergstein. Yesterday's decision by Judge Russell triggers significant liability for costs and damages (asserted in various filings to be well over $100 Million) for David Molner, the Aramid Entertainment Fund, and the primary attorneys involved in the filings – David Neale of the Levene Neale firm and Dan Rozansky of Stroock, Stroock and Lavan.
For more on the rulings and implications, contact Alex M. Weingarten at Weingarten Brown LLP – www.wbllp.com.
SOURCE David Bergstein