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Court Decides Outcome of Fraudulent Transfer Charges

The plaintiff in this case is the Banco Nacional Ultramarino. The defendants in the case are Maria F. Chan et al. The case is being heard in the Supreme Court of the State of New York located in New York County. Justice Lorraine Miller is overhearing the case.

Case Introduction

This case deals with complex financial transactions in the amount of $6,580,150 in stolen funds (white collar crime) from the plaintiff. The transactions spread across four continents, U.S. Secret Service, IRS, Interpol, the FBI, the United States Drug Enforcement agency, the United States Customs Service and both federal and foreign tribunals as well as banking institutions located around the world. The motion in this particular case deals with approximately $1,000,000 of the funds that are in New York.

The defendant, Money Center Trust Company is seeking a dismissal of the complaint made against it. They also seek denial of the attachment of part of the money that is located in New York City Banks that is sought by the plaintiff. Defendant Steve Global Services has moved to stay the litigation because of federal criminal indictments that are pending in New Jersey against them.

Case Background

The defendant, Maria Fatima Chan was an employee of the plaintiff. She worked as a manager of Trade Finance Operations for the company. From January through June of 1995, Chan allegedly stole $6,580,150 from the company by transferring funds to different BNU accounts in Macau. The accounts were owned by Brigette Trading and Luen Hin Fat, who were principals in the conspiracy for the perpetrated fraud.

The funds were then transferred from the accounts in Macau to other locations throughout the world. Nineteen of the wire transfers were processed through the Bank of New York, Bankers Trust Company, and Citibank in New York City. Defendants Money Center Trust, a Nigerian Company, and Steve Global Services at the Bank of New York and Citibank received deposits in the amount of $637,000 and $400,000 from Brigette Trading and another company named Keymon International. Both companies are owned by David Lok.

The complaint states that Steve’s and Money Center were both part of the conspiracy to defraud the plaintiff and that they helped to convert the stolen funds.

A decision made by the court on the 24th of July, 1995, extended a restraining order on the funds in Steve’s Citibank Account, up to $637,000 and on Money Center’s Bank of New York Account in the amount of $400,000.

Court Discussion and Decision

It is clear that the scheme to defraud the plaintiff was a multi-national effort as money went out through 19 different transfers to various locations. New York became the hub for the activities involving the money.

The cross motion for further discover made by the Bank of New York will be granted. A witness with knowledge for deposition shall be produced on their behalf.

Defendant Steve has moved to have an order of stay in the instant litigation pending a resolution in the related matter that is being held in New Jersey. This stay is granted in favor of defendant Steve’s.

The motion made by Money Center to dismiss the case is denied.

If you would like legal advice pertaining to any type of legal issue, whether it concerns bank fraud or credit card fraud, contact Stephen Bilkis & Associates. Our offices are located in New York City. You may call us at any time to set up an appointment for a free consultation. We are happy to discuss your legal rights with you and help you determine your best course of action.

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