Ng’s Keep the Judicial System Busy

It’s been awhile since we’ve all gathered in a courtroom, but on Tuesday, August 28, 2012 there are two legal proceedings happening the same day in two different court systems, both in Oakland. Attorney Robert Brower has provided the tentative ruling for the Wells Fargo consolidated class action suits, which denies Wells Fargo’s request for demurrer. Seems likely that Wells Fargo will throw lots of legal fees at trying to change the judge’s mind, so Attorney Brower recommends checking back here Monday night for an update. If court is happening, it will be at:

Alameda County Administration Building
1221 Oak Street
Oakland, CA 94612
Judge Steven A. Brick, Dept 17
3:00 pm Tuesday August 28

** Note correction on the name of the building**

Small courtroom, first come seating, leave time for security. You all know the drill by now. But this would be our first opportunity to meet the class actions attorneys, and show some support for our own cause.

If you’re in town early, several blocks away at our familiar haunt; the courtroom of Judge Efremsky at the US Bankruptcy Court, the bidding on Walter and Maribel Ng’s rugs and household goods resumes at 11:00 am.

U.S. Bankruptcy Court
1300 Clay St. Room 201
Oakland, CA

Walter and Maribel lied on their personal bankruptcy filing, and these are the goods which are in excess of what they claimed and are legally allowed to own. This meeting will be where Kelly Ng uses money he got from us to bid on the items seized from Walter Ng and Maribel Ng, which they bought over the years with money they got from us. But it’s not like we got nothing out of the deal–there was dinner at the Silver Dragon.

At the price range these are bidding in, it will hardly make a dent in the legal bills, so we’re unlikely to see a penny out of it. But if the recording from the last meeting is any indication, there will probably be plenty of eye-rolling and heavy sighing entertainment from the family drama queen, Kelly Ng.

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15 thoughts on “Ng’s Keep the Judicial System Busy

  1. The hearing is on, tomorrow at 3:00 p.m. Wells Fargo will argue in an attempt to convince Judge Brick to change his tentative ruling.

    If you go, remember that Department 17 is in the Alameda County Administration Building. It is not in the Alameda County Court House.

    Arrive early if you want a seat.

  2. Any reviews on the class action legal team in action? Who is the new owner of Walter and Maribel’s clutter?

    And whatever happened with that faux donation to Culture to Culture? I noticed there are no updated tax returns online for them since Walter filed, so either the state is pokey about putting them online, or they haven’t filed. But they are still advertising their annual luncheon. It seems that the scope of their work is the have a big lunch once a year and give awards to people they deem worthy.

    • There were 3 attorneys representing Wells Fargo entities at the hearing on the demurrer. There were 2 attorneys representing Greenberg Traurig and by my count, 6 attorneys representing the class action plaintiffs.

      Andy Friedman argued for the class action plaintiffs. He was in complete control of the material and, when he spoke, he appeared to have control of the courtroom. He presented a picture of wrongdoing that indicted (1) the managers of R.E. Loans and Mortgage Fund ’08, (2) Wells Fargo and (3) Greenberg Traurig. The three were connected by the line of credit agreement itself, which included references to the exchange agreement and a “new” fund. Andy Friedman claimed that this line of credit was unique and intentionally designed to harm the investors.

      The issue at the hearing concerned what and when Wells Fargo knew about the managers misconduct. Although some of us knew that Andy Friedman was arguing some facts that were not true and could never be proven, there was no effective rebuttal from Wells Fargo. We will have to wait and see if the true facts make the class action case weaker or stronger.

      There was a settlement with Culture to Culture. If there is no objection, Culture to Culture will pay $152,000 into the Walter Ng bankruptcy.

      Kelly bought the “clutter” for $10,000. He has plenty of cash because he recently sold the 201 Lafayette Circle building.

      On another front, Kelly Ng’s deposition was taken in the Mortgage Fund ’08 case. With the exception of his name and whether he was familiar with an entity known as Mortgage Fund ’08, Kelly Ng asserted his Fifth Amendment right to remain silent to every question. Kelly Ng, for example, asserted his Fifth Amendment right to remain silent when asked if Walter Ng was his father.

  3. In the hierarchy of things, where/when does a Class 9 Claim in the REL get paid? (before or after us?). I note that DSI has been allowed a Class 9 Claim for $750,000.
    Wasn’t DSI supposed to look out for our interests?

  4. Robert W. Brower wrote;

    “There was a settlement with Culture to Culture. If there is no objection, Culture to Culture will pay $152,000 into the Walter Ng bankruptcy.”

    Question: What happens if there is an objection? Who can make one and what would be the effect?

    “Although some of us knew that Andy Friedman was arguing some facts that were not true and could never be proven, there was no effective rebuttal from Wells Fargo.”

    Comment: The fact that “Andy Friedman was arguing some facts that were not true and could never be proven” is disconcerting. The repercussions could be very bad for the class action suit.

    “Kelly bought the “clutter” for $10,000. He has plenty of cash because he recently sold the 201 Lafayette Circle building.”

    Question: Wasn’t the building owned by, or in the name of, BARNEY Ng?

    kmum wrote;

    “But they are still advertising their annual luncheon.”

    Question: Who is “they”. Where/how is it being advertised? For what group of investors is it being held? When and where is it to be held?

    • Culture to Culture does an annual lunch and gives out awards to volunteers. Sept 1 is the deadline to nominate, so if any of you volunteer with seniors in Contra Costa County, have a friend nominate you today. Recipients get a $250 award.. which is more than most of us have gotten from Ngs in recent years. There is some info here.
      http://www.sanramonexpress.com/news/show_story.php?id=6172

      Here’s their flyer: http://www.culturetoculture.org/pdf/flyer_2012_-v-05-28-2012.pdf

      It looks like the organization shifted their direction. For awhile they gave away some scholarships, but their website doesn’t show any of those since 2006. Before that they were focused on psychological health of Asian seniors. Now their focus seems to be an annual awards luncheon.

      I was also wondering if we could object. Why should they get to keep some of the money Walter illegally gave them, when the rest of us have to wait for the pennies on the dollar–if we even get that? Even though it’s less than they wanted to keep, letting them keep any still rewards them for being in Walter’s circle, and leaves less for the larger pool of people who lost so much.

    • AnotherNGVictim wrote:

      Robert W. Brower wrote;

      “There was a settlement with Culture to Culture. If there is no objection, Culture to Culture will pay $152,000 into the Walter Ng bankruptcy.”

      Question: What happens if there is an objection? Who can make one and what would be the effect?

      Answer: Objections can be filed with the Bankruptcy Court. Any creditor can object. In my opinion, an objection to this settlement would not have much chance of success. The legal validity of this clawback is disputed. Culture to Culture has competent pro bono legal representation and the cost of a trial to the trustee and the risk of total defeat of the clawback both weigh in favor of a settlement. The amount of the settlement seems to be an amount well within the trustee’s “business judgement.” The Bankruptcy Court does not like to “second-guess” the trustee and his counsel in order to reject the trustee’s “business judgement.”

      I also wrote: “Although some of us knew that Andy Friedman was arguing some facts that were not true and could never be proven, there was no effective rebuttal from Wells Fargo.”

      Comment: The fact that “Andy Friedman was arguing some facts that were not true and could never be proven” is disconcerting. The repercussions could be very bad for the class action suit.

      Response: We should ask Equitatus, the best researcher we have, to try and get a copy of the transcript of the hearing and post it on his site. With a transcript, I could point out the places where Andy Friedman’s argument was untrue and unprovable and offer some solutions to any problem for the class action. In that regard, I recently spoke with one of the attorneys for Wells Fargo. We discussed the true facts and he agreed to the truth of those facts and that they were harmful to Wells Fargo’s position. Don’t give up on Andy Friedman and his team of attorneys. This was just Round One of a heavyweight fight.

      I also wrote: “Kelly bought the “clutter” for $10,000. He has plenty of cash because he recently sold the 201 Lafayette Circle building.”

      Question: Wasn’t the building owned by, or in the name of, BARNEY Ng?

      Answer: For some technical reasons, irrelevant now, Barney Ng was never on record title. Barney Ng’s name, therefore, was never public record. Kelly Ng tried to defeat Barney Ng’s valid unrecorded rights by transferring title to BRAY, LLC, a new Nevada limited liability company, which was created by Kelly Ng. Barney Ng sued Kelly Ng and recorded a lis pendens to protect his unrecorded interest. Barney Ng and Kelly Ng settled and BRAY, LLC, sold the property to a good faith purchaser.

      • I am a bit concerned about undermining Andy Friedman’s statements/arguments in a public forum. Mr. Brower, I am sure your information and expertise would be of great value, could you please address any concerns with Andy in private? His litigation seems o be my only hope of any recovery. I worry that postings on this blog may undermine his efforts.

  5. Sorry ‘bluemoonagency’. I don’t agree with the premise of your post. I don’t agree with lies, untruths, spinning, misstatements, or any other evasion, intentional or unintentional, of the TRUTH re. our fleecing by the Ng family and their partner and co-conspirator, Bruce Horwitz.

    They lied to and deceived us. We need to expose those lies and deceptions. We, and those representing us should not engage in the same type of conduct.

    The stated purpose of this blog is “SEEKING THE TRUTH FOR INVESTORS IN THE MANY FAILED BAR-K FUNDS”.

    The TRUTH about what the Ngs, WF, GT, etc. did to us is our only salvation. If Mr. Friedman made statements not provable by fact than those misstatements will come back to haunt all of us. They will not further our cause and are better corrected now, in the cold light of day, than later used as a tool against us.

    Less than the TRUTH (correct, provable information) from us, and/or those representing us, will only come back to bite us in our collective butts.

    Please encourage those who would speak for us, but who make less than candid statements, to correct their misstatements as soon as possible so as not to compound the problems that will later caste doubt upon the veracity of our case.

    I believe that only the TRUTH will win our case; and the TRUTH will be enough.

    • Here is an example of how incorrect statements in Court can be so damaging.

      Assume that someone owns a piece of real property and hires a contractor to do work on the property. The contractor has laborers do the work and the contractor pays for the supplies. If the property owner does not pay for the work, the contractor has the right to record a mechanic’s lien against the property for the value of the labor and the supplies.

      Seems pretty fair and simple, right? If you develop your property and you do not pay for the work, then your property gets hit with a mechanic’s lien for the value of the work. Development of a property gives rise to the right to assert a mechanic’s lien against the property.

      With me, so far?

      On September 12, 2012, at 2:00 p.m., the Liquidating Trustee for Mortgage Fund ’08 will ask Judge Efremsky to approve a sale of the Alligator Bay property to Focus Realty for $1,793,600, or to the highest bidder at an in-Court auction.

      In her moving papers, the Liquidating Trustee for Mortgage Fund ’08 tells Judge Efremsky several things about the Alligator Bay property.

      1. The Liquidating Trustee for Mortgage Fund ’08 states that the property is not developed.

      2. The Liquidating Trustee for Mortgage Fund ’08 states that she is aware of approximately $625,000 in potential mechanic’s liens asserted against the Property.

      One of these two statements must be incorrect. If the property is not developed, then there cannot be $625,000 in potential mechanic’s liens asserted against it. If there are $625,000 in potential mechanic’s lien asserted against the property, then the Alligator Bay property must be developed.

      Which is it?

      The truth is: The property is developed, there are $625,000 in potential mechanic’s liens, and it is being sold to Focus Realty with deception to the Court.

      In a recent blast e-mail to some Mortgage Fund ’08 investors, one Mortgage Fund ’08 investor stated: “It appears from real estate circles, one of the consultants (using the information from his engagement) is trying to buy MF08 property at pennies on the dollar.”

      That property must be Alligator Bay.

      This “discounted” sale of developed property, as if it were undeveloped property, to Focus Realty, an insider, will clearly hurt the Mortgage Fund ’08 investors. In my view, however, incorrect statements to the Court, or in Court, are a type of deception that is much more damaging to our judicial system. They should not be corrected in private.

      • I don’t know the specifics of Alligator Bay, but is very possible for a property to be “undeveloped” and still carry mechanic’s liens. Surveyors, land planners, engineers, architects, etc., all have lien rights.

        • As to Alligator Bay, the Court rejected those professional services liens. The valid mechanics liens are for the roads, the underground electrical, the water service including fire hydrants, the sewer system, and the sewer treatment plant.

          The hearing and auction is tomorrow at 2:00 p.m. before Judge Efremsky.

  6. All I am saying is the WFF and Greenberg Trauig attorneys could access this blog as easy as anyone else. Let’s not provide them any information that could hurt our chance of recovery.

    • For everyone at the hearing and involved in the post-hearing culinary discussion, the restaurant is Phil’s Fish Market and Eatery on the beach at Moss Landing and the “secret” ingredient is cinnamon.

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