Receivership is the situation when an enterprise is held by a receiver, defined as an individual who is given “custodial responsibility” for the property, including tangible and intangible assets. Receiverships are commonly used when an enterprise cannot meets its financial obligations or in bankruptcy cases.
A receiver can be appointed privately, by a government body, or by the courts. The terms of the appointment dictate the power of the receiver in the individual case.
Once appointed, a receiver governs all the affairs of the enterprise with an eye toward protecting assets and charting a path for the future, a path that may include liquidation.
Cauthorn Nohr & Owen has several attorneys, including Tom Cauthorn and Jason Nohr, experienced in managing receiverships.
SEC vs. MSC Holdings USA, LLC, McClintock, Alexander, et al.
Jason L. Nohr appointed as Receiver by United States District Court for the Northern District of Georgia, pursuant to recommendation by the Securities Exchange Commission (“SEC”).
On November 19, 2012, the U.S. Securities and Exchange Commission (“SEC”) filed an application for a temporary restraining order and other equitable relief, alleging that Defendants Billy Wayne McClintock, individually and doing business as MSC Holdings (“McClintock”), and Dianne Alexander a/k/a Linda Dianne Alexander (“Alexander”) were operating a type of Ponzi scheme known as a “prime bank fraud” from 2002 to the present using entities called MSC Holdings, Inc., MSC GA Holdings, LLC, and MSC Holdings USA, LLC (collectively “relief defendants”).
The SEC alleged that McClintock and Alexander raised over $15 million from over 200 investors in more than 20 states, including Georgia, by telling investors that their money would be placed with a clandestine overseas entity that McClintock and Alexander refer to only as “the Trust.” McClintock and Alexander misrepresented that the Trust would generate a return of at least 38 percent.
On the same day, November 19, 2012, U.S. District Judge Steve Jones granted the SEC application and entered an Order freezing assets of the Defendants, prohibiting the destruction of documents, and granting additional relief. The Defendants later agreed to the entry of permanent injunctions against them.
Upon recommendation of the SEC, U.S. District Judge Steve Jones appointed Jason Nohr as the Receiver for MSC Holdings and related companies on February 11, 2013
The Receiver and his team have been working diligently to uncover the money Defendants fraudulently obtained from investors and locate assets purchased with those ill-gotten gains in an effort to ultimately return those funds to the victims of the Defendants’ illicit scheme.
Those who have invested money in this scheme may access information and filings in this case, including the SEC’s Complaint and the Receiver’s Interim Reports. In addition, defrauded investors should provide the Receiver with detailed information about their claim, including their contact information, through this website.
If you were an investor in the illicit scheme described by the SEC’s Complaint for Injunctive Relief, please provide us with your name, address, contact information, and the amounts that you invested in the fund in the form below.