Judah victims ask judge to reject last week's auction results - KCBD NewsChannel 11 Lubbock

Judah victims ask judge to reject last week's auction results

Benny Judah Benny Judah
LUBBOCK, TX (KCBD) -

Lubbock area Ponzi scheme victims are protesting last week's sale of Benny Judah's accounts receivable.

Judah is serving a 25-year prison sentence. Meanwhile a court-appointed Receivership Trustee took possession of Judah's assets and has been selling them. Proceeds will go toward partially reimbursing his 250 or so victims.

The sale of accounts receivable worth a little less than $3 million were auctioned off for $30,001.

Five copies of the same letter were sent to U.S. District Judge Sam Cummings from the investors. The letter accuses the Receiver of starting the auction with a lowball offer.

"It is my opinion that these assets ... were not sold in a manner in the best interest of the investors," the letter says.

It continues, "I hold this court ultimately responsible for the final decisions made to satisfy the loss of these investors."

The five copies of the same letter were signed by Thressa Harp, Bill and Movelda Harp, Tim and Edwina Pettyjohn, Morris and Bonnie Tyler and Barry Weaver.

The Receiver, Fernando Bustos, responded Thursday in court records. He said, "Approximately $2 million of the approximately $3 million in auction assets consisted of judgments against former Excel Lease Fund lessees. In Texas, judgment debt typically sells for between one to three cents per face dollar valuation."

Bustos says the rest was "very distressed commercial paper" which he was unable to sell on the CMAX nationwide auction site.

Bustos also says prior to last weeks' auction, "the Receiver also published notice of the auction for 4 consecutive weeks with the Idalou Beacon newspaper, a newspaper of general circulation in Lubbock County."

Copyright 2011 KCBD NewsChannel 11

  • Local News on KCBD.comNewsMore>>

  • The Latest: Germany sweeps Nordic combined large hill podium

    The Latest: Germany sweeps Nordic combined large hill podium

    Monday, February 19 2018 8:21 PM EST2018-02-20 01:21:34 GMT
    Tuesday, February 20 2018 8:46 AM EST2018-02-20 13:46:09 GMT

    Canadian ice dancers Tessa Virtue and Scott Moir are aiming to become the most accomplished figure skaters in Olympic history as the free dance begins at Gangneung Ice Arena.

    Canadian ice dancers Tessa Virtue and Scott Moir are aiming to become the most accomplished figure skaters in Olympic history as the free dance begins at Gangneung Ice Arena.

  • Trump offers support for background checks on gun buys

    Trump offers support for background checks on gun buys

    Tuesday, February 20 2018 2:12 AM EST2018-02-20 07:12:04 GMT
    Tuesday, February 20 2018 8:46 AM EST2018-02-20 13:46:41 GMT

    Dozens of teens spread their bodies across the pavement outside the White House on Monday to symbolize the dead in the Florida school shooting and call for stronger gun controls.

    Dozens of teens spread their bodies across the pavement outside the White House on Monday to symbolize the dead in the Florida school shooting and call for stronger gun controls.

  • Students head to Florida capital to press for gun law change

    Students head to Florida capital to press for gun law change

    Monday, February 19 2018 11:32 PM EST2018-02-20 04:32:13 GMT
    Tuesday, February 20 2018 8:46 AM EST2018-02-20 13:46:33 GMT

    A hundred Marjory Stoneman Douglas High School students to head by bus to Florida's capital to urge lawmakers to act to prevent a repeat of massacre that claimed 17 lives.

    A hundred Marjory Stoneman Douglas High School students to head by bus to Florida's capital to urge lawmakers to act to prevent a repeat of massacre that claimed 17 lives.

Powered by Frankly