Update: Victims Move To Force Rothstein’s Firm Into Bankrupcy


Three victims of Scott Rothstein’s scams have filed an involuntary bankruptcy petition against Rothstein Rosenfeldt Aldler.

An emergency hearing has been scheduled for Nov. 12, 9:30 a.m. at the Fort Lauderdale federal courthouse.

The petition was filed for Bonnie Barnett, a Fort Lauderdale socialite who claims to have lost $500,000 in Rothstein’s alleged swindle; Aran Development, a firm that contends it lost $345,000 and Universal Legal, which says it lost $7,800.

Filed in bankruptcy court this afternoon, the petition asks that a Chapter 11 trustee be appointed to “to preserve funds on deposit and to “secure business records. 

 It also requests that the trustee “vigorously investigate the causes of the alleged $500 million scam and “commence litigation against responsible third parties to recover the victims’ money.

Unless a trustee is appointed, there will be continued “loss, concealment, dissipation and/or destruction of RRA’s property which would harm the victims.

If a bankruptcy trustee is appointed, usually all state action against the firm is frozen.

The petition was filed by John Genovese at Genovese Joblove & Battista along with Jeffrey Sonn at Sonn and Erez.

One Response to “Update: Victims Move To Force Rothstein’s Firm Into Bankrupcy”

  1. Robert says:

    I just read the phony Morse pleadings available at the Sun Sentinel Site. They are full of incomprehensible and ungrammatical moronic babbling.Presumably written by Scotty. A first year associate would be fired instantly for such drivel. I am also now convinced that he was smoking a crack pipe.