Assistant U.S. Attorney Nicole Cate argues that bilked foreign investors suing the state should not have access to documents provided to attorneys in a criminal case, calling a move by the lawyer seeking them an “end-run.”
No one’s been named yet, but draft purchase agreements have been submitted for the northern Vermont ski resort, according to the court-appointed receiver overseeing Jay Peak.
Bill Stenger, Jay Peak’s former CEO and president, is trying to avoid going to prison. His past business partners are ready to take the stand against him as prosecutors seek to show that he was more than a “bystander” in a scheme that bilked hundreds of foreign investors.
Roughly 600 pages of records unsealed in federal court last week provide new details about the lengths to which Vermont state officials went in concealing the Northeast Kingdom fraud from investors, the public and the press.
“These documents appear to shine a light on the critical question of when the State became aware of the largest financial fraud in Vermont’s history,” according to the amicus brief, which the news organization filed Wednesday.
The Shumlin administration misled investors and federal agencies in a push to finish the Burke hotel, according to a new filing in federal court.
A lawyer for Alex MacLean, who served as former Gov. Peter Shumlin’s deputy chief of staff, took strong exception to the claim included in a filing by attorneys for indicted former Jay Peak president and CEO Bill Stenger.
The agreement between the resort’s court-appointed receiver and its former owner resolves a lawsuit related to the purchase of the ski area by Ariel Quiros in 2008, allegedly with investor funds that were not supposed to be touched.
A lawsuit accused the former attorneys for Ariel Quiros, Jay Peak’s past owner, of breach of fiduciary duty, allowing investors to be out millions of dollars with little hope of ever receiving the permanent U.S. residency they sought through the federal EB-5 visa program.
William Kelly pleaded guilty to two of the 10 charges leveled against him in a project known as AnC Bio Vermont, termed by federal regulators “nearly a complete fraud.”
An assistant U.S. attorney wants defense attorneys for Bill Stenger, Jay Peak’s former CEO, to stop providing records to aid an investors’ case against the Vermont state government.
The news organization claims in a lawsuit filing that the state’s refusal to release EB-5 records and its “broad” interpretation of a Vermont Public Records Act exemption diverges from other jurisdictions in the nation.
The settlement agreement ends years of litigation between the parties over the financial institution’s alleged role in an EB-5 investor fraud scandal in Vermont’s Northeast Kingdom.
The reversal of the federal agency’s decision to shutter the state-run program in the wake of the Jay Peak scandal is good news for defrauded investors.