A&O Update: Federal Judge Holds Wahab in Contempt
On October 16, 2009 a United States District Judge in Texas entered this Order holding Adley and Sarah Abdulwahab in civil contempt of court for failing to comply with the Court's July 30, 2008 order. Here is the SEC's motion to hold the Wahabs in contempt.
Here are some of the hi-lites of the Order:
- a warrant for the arrest for the Wahab's will be issued within 30 days;
- each Wahab is fined $500 per day until they comply with the Court's prior order;
- the W Financial Group receivership is expanded to include the Wahab's personal assets;
- the Wahab's must transfer to the receiver $735,000 held in off-shore accounts in Jersey in the Channel Islands and any other money held there; and
- the Wahabs must immediately surrender their passports to the SEC.
Is it just me, or is the Wahab saga starting to sound like the Martin Frankel story?
There was a good book written about Frankel, as well as the American Greed episode on CNBC.
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The SEC brief certainly paints a different picture of Mackert's involvement with A&O and Wahab. In fact, the A&O scandal is beginning to look like the tip of the iceberg. Mackert's protestations of ignorance concerning A&O's funds are impeached by the facts shown concerning the use of his trust account to transfer A&O funds to Wahab's offshore bank accounts. Mackert may find himself in jail for securities and bankruptcy fraud before this is over.
I think Mr. Mackert went to Al Gonzales's school of "I don't recall" before he appeared at the 341 meeting...totally unbelievable that he even expected anyone to believe his line. I think they're ALL in over their heads, and ought to be prosecuted.