Federal Court Upholds RICO Claims Against Wachovia and Others Asserted by Kasowitz Client Le-Nature's Trustee
In three pathbreaking decisions last week, U.S. District Judge Donetta W. Ambrose in Pittsburgh upheld 25 of 26 fraud and RICO claims Kasowitz has asserted, on behalf of the Trustee for bankrupt beverage company Le-Nature's, against Wachovia and other defendants, to recover over $1.5 billion in actual and trebled damages for their participation in Le-Nature's massive Ponzi-scheme fraud. The court rejected defendants' contention, among others, that the claims against them should be dismissed on the purported ground that they only assisted in the Ponzi scheme, which was run by others. The court also confirmed that Wachovia and the other defendants could be held liable for all of the money raised and lost in the Ponzi scheme. Kasowitz partner David Rosner, special counsel Christine Montenegro and associate Kim Conroy represent the Trustee for Le-Nature's in this action.