Saturday, September 09, 2006

State To Dwek: Pay Up

From the Asbury Park Press:

Judge orders state repaid for Dwek's bad tax check

After the state of New Jersey complained that Solomon Dwek's $205,000 income tax check bounced, a Superior Court judge Friday ordered that the full amount be paid from Dwek's frozen assets.

Judge Alexander D. Lehrer also allowed one of Dwek's largest claimants, PNC Bank, to pursue its lawsuit against HSBC Bank, the world's largest bank. Dwek is accused of defrauding PNC of $21 million after he deposited a $25.2 million check that bounced. Dwek spirited away most of the money, leaving PNC with a multi-million dollar shortfall, according to the FBI.

Dwek, 33, of Ocean Township, a major land developer in the area with an empire worth an estimated $420 million, faces federal bank fraud charges in criminal court.

Lehrer, a civil court judge, ordered that the state of New Jersey be paid $205,000 immediately to satisfy Dwek's estimated state income tax for 2005 and the first quarter of 2006.
Weir told Lehrer in court Friday that an investigator from the state had arrived at Dwek's house and threatened Dwek's wife, Pearl, "with arrest unless they paid their bill'' immediately.

More than 80 claimants say Dwek owes them $338 million.


Anonymous Anonymous said...

This is going to be one of the big stories of the bubble. Recently the receiver overseeing the dissolution of Dwek's empire upped the expected value of his assets to $420M. Some of that was stuff he was trying to hide, but he also raised the value of the existing assets based on early asset sales.

I've got a feeling they were cherry picking the best stuff early and the numbers aren't going to quite get to where Lomurro thinks they are.

9/09/2006 08:51:00 AM  

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