Saturday, April 27, 2013

Zeek Rewards Update: Some Lawyers are trying to DELAY the claims process

According to Jordan "Ponzitracker" Maglich, who has been keeping track of court documents involving the Zeek case, the receiver Ken Bell filed a document with the court explaining that some lawyers are holding up the claims process with minutiae procedural objections

According to the document, a certain lawyer representing "Belsome" has filed 3 objections to the proposed claims process filed by Ken Bell, who hoped to get the whole thing started by end of April. The objections are summarized as follows:

1) Receiver said he will mail all the claimants a letter via USPS, as it is the most efficient way to reach them. The lawyer objected that he already represents some of the claimants and having Bell contact them "directly" through mail is a violation of lawyer ethics code. Bell said that's ridiculous, as this lawyer ethics rule is to prevent direct contact from ADVERSE (i.e. hostile) lawyers whereas he's the receiver and he's contacting people he's trying to PAY (i.e. friendly lawyer).

2) The lawyer objected that Bell may be trying to prevent lawyers from representing some of the victims. Bell said oh, really, aren't YOU one of those lawyers representing some of the victims? Well, he didn't really say that, but his point is clear.

3) The lawyer objected that Bell is proposing the claimants sign a release that absolves the Zeek estate (and the receiver and his team) from further liability once the claimants got paid, as it prevents them from filing further lawsuits. Bell's reaction is why would you allow certain people to get paid, THEN continue to sue for MORE money than people who didn't sue?

Bell basically said that certain lawyers are filing bogus objections to drive up the cost of receivership, thus decreasing the amount of money that can be paid to the victims. Such frivolous demands are to be dismissed and his proposed claim process be approved ASAP so he can get started.

You can read Mr Maglich's summary here, with a link to the action "motion" filed with the court.
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