Kathy Bazoian Phelps
Senior Counsel in Ponzi Scheme Litigation
and Bankruptcy Matters

Kathy is a senior business trial attorney with more than 30 years experience prosecuting and defending claims for high net worth clients involved in Ponzi scheme matters and in bankruptcy proceedings. Kathy’s practice includes recovering assets for clients in complex fraud cases under standard fee and alternative fee arrangements. She also handles SEC and CFTC whistleblower claims. Kathy also serves as a mediator in bankruptcy matters, in complex business disputes, and in matters requiring detailed knowledge about fraud or Ponzi schemes.

Kathy’s Clients in Ponzi Scheme Cases and Bankruptcy Matters
Equity Receivers
Bankruptcy Trustees
High Net Worth Investors
Debtors in Bankruptcy
Secured and Unsecured Creditors

Sunday, July 31, 2022

July 2022 Ponzi Scheme Roundup

Posted by Kathy Bazoian Phelps 

Below is a summary of the activity reported for July 2022. The reported stories reflect at least 3 new Ponzi schemes worldwide, 2 guilty pleas, more than 53 years of prison sentences, and an average age of approximately 47 for the alleged Ponzi schemers. Please feel free to post comments about these or other Ponzi schemes that I may have missed. 

Paulette Carpoff, 48, was sentenced to 11 years in prison and ordered to pay $661 million in restitution in connection with the scheme run with her husband, Jeff Carpoff, through DC Solar. Jeff Carpoff was previously sentenced to 30 years in prison and ordered to pay $790.6 million in restitution. DC Solar manufactured solar generator units to be mounted on trailers, but generators were sold that did not exist.

Sunday, July 24, 2022

Cryptocurrency in Bankruptcy: Breaking It Into Small Bytes

By Kathy Bazoian Phelps

July 24, 2022

This article covers the Who, What, Where and Hows of issues arising when cryptocurrency lands in a bankruptcy proceeding, with a particular focus on cryptocurrency exchanges and investment funds. Those who think they own the cryptocurrency reflected on their monthly statements may want to keep reading to learn how to assess the risks associated with those exchanges and investments.