Steve Hall of Paul Allen’s Vulcan Capital tries to cloud fraudulent conveyance; check out the dates; see layers of lies
- May 1st, 2013
- Write comment
Posts Tagged ‘Steve Hall’
So, is the message I am getting, that what an idiot I am to think the law is protection for the more vulnerable among us who are so often taken advantage of? That judges are to halt the unscrupulous is a fairy tale that everyone knows doesn’t happen? That you have to cheat and bully and lie to to make your way in this world, that you must be callous and disregarding of anyone’s rights or interests except your own? Is that the message these men are sending to others? I get only anonymous comments on the blog: people are scared of these guys.
I feel like I’m drilling through a concrete of corruption I had no idea was so wide and deep; apparently I still haven’t come to the end of it. Continuing these machinations only provides even more evidence of how they consider themselves above the law, and a law unto themselves, answerable to no one.
“He that loveth not knoweth not God; for God is love”. 1John 4:8
The Word of God is always sown with blood.
“Except a corn of wheat fall into the ground and die, it abides alone: but if it die, it bringeth forth much fruit”
Quoting Richard Oldenburg, of the Museum of Modern Art in New York,
in the catalogue of my Dad, William S. Paley’s, collection of paintings, about working with Dad.
Mr. Allen, ‘substantial’ would be the value of my Dad’s paintings on view at the De Young in San Francisco, wouldn’t you say? Just so we’re clear on the terms. For a man worth $14 billion dollars who is not afraid to boast about it, and goes out of his way to show off his knickknacks, I’m sure you can agree that that would be a ‘substantial’ amount. In that case, we do have a deal.
The trial should be very interesting if it goes forward. All of you have demonstrated, as you have just kept trying to strong arm Kate Paley unrelentingly for going on 5 years, expressing your contempt, exceptionably notable in the 3 days of grueling deposition you put her through, that you go through life without a thought or care for anybody but yourselves, and that you truly believe no one has any worth or value except yourselves. Its been quite remarkable to witness this up close and personal as it were. To be the direct recipient, etc. Who would have thunk it?
Fontain De La Tour
“And he spake a parable unto them, saying,
the ground of a certain rich man brought forth
plentifully; and he thought within himself, saying,
There are more exhibits still under seal in which Steve Hall takes us
to task for implying he is not a man of his word, which we never
implied. However, it turns out otherwise. The fraudulent conveyance
was completed September 15 we later found out, just before this
correspondence was taking place.
All financials that as an investor we of course are entitled to see, were kept from us until after the trial was scheduled to begin, five months ago, when Mr. Hall and Mr. Levinsohn declared bankruptcy for the company they themselves own in order to stop the trial from going forward.
Mr. Hall, whose jujitsu legal tactics continue to manufacture, out of whole cloth, scenarios to obscure his fraudulent scheme to defraud Kate Paley and Worddiamonds, now wants to teach us how to proceed- not in truth, but in tactics?
According to the perverse logic he employed in declaring Radar Networks bankrupt the day before a trial that was scheduled for 2 years to begin? Mr. Hall do you think this is a chess game? You own Radar Networks, and, you are not bankrupt, nor is Vulcan Capital or your boss Paul Allen. Don’t you have any shame?
It seems you are all so accustomed to such a cesspool of murkiness and half truths you really don’t see that Worddiamonds itself is based on the Bible, and the American legal system is also based on the Bible, and that the full light of day and truth is shining on us.
The anger of the defendants attorneys is a wonder to behold- they are furious not to be getting away with legally twisting the truth, tactics that are second nature to them it seems.
Law360- Calif. Judge OKs Deal Lifting Stay On Radar Fraud Suit
A California federal judge on Friday agreed to approve a deal reached by the trustee overseeing Radar Networks Inc.’s bankruptcy proceedings that will allow a Radar investor’s fraud suit against former Yahoo Inc. CEO Ross Levinsohn and Vulcan Capital managing partner Steve Hall to go forward.
Attorneys for Kate Paley, a Radar investor who had been engaged in litigation with the company over the alleged fraudulent $3 million transfer before its bankruptcy, said Friday that U.S. District Judge Thomas E. Carlson accepted from the bench their motion to approve a deal that calls for Paley to fund the suit and turn over any money she makes to the trustee with the possibility of reimbursement.
The decision will allow the San Mateo Superior Court to lift its stay on Paley’s trial with Levinsohn, a Radar director who was Yahoo’s interim CEO until his replacement in July, and other Radar insiders who allegedly diverted money she lent to the company to another entity.
“Defendants invoked the bankruptcy stay as a delay tactic the night before trial was originally to begin, and today’s ruling ends more than five months of continued obstruction of the judicial process,” Doug Colt, an attorney for Paley, told Law360 Friday. “Ms. Paley looks forward to her day in court and is eager to resume trial of her fraud claims.”
Paley, the daughter of late CBS Corp. CEO William Paley, filed a complaint against Levinsohn, Hall, Radar founder Nova Spivack and third party company Evri Inc. in May 2010, alleging fraud, fraudulent conveyance, breach of contract and unfair competition.
The Radar “insiders” allegedly took a $3 million loan Paley had made to the company and improperly transferred it without authorization to Evri, a Vulcan Capital affiliate, which eventually bought Radar. Trial was scheduled to begin Feb. 27, but on that day the defendants stayed the action in state court pending Radar’s bankruptcy petition.
Paley argued in a motion to dismiss the Chapter 7 case that it was essentially a two-party dispute between her and the insiders, and that the bankruptcy was being used to thwart her prosecution of the state court action because the trustee did not have the funds to prosecute the Uniform Fraudulent Transfer Act claims.
The trustee reached an agreement with Paley in July, under which Paley would fund prosecution of the UFTA claims, choose the attorneys that prosecute the case, turn over any recovery to the trustee and subject any proposed settlement to the bankruptcy court.
Vulcan Capital’s Steve Hall objected to the agreement as “procedurally flawed” and argued that it would not be beneficial to the fair resolution of Radar’s bankruptcy proceedings.
He also claimed it would result in a conflict of interest for her counsel for ostensibly proposing to represent the debtor’s estate on the UFTA claims while simultaneously suing the debtor, but Judge Carlson deemed the stipulation appropriate.
Counsel for the defendants did not immediately respond to requests for comment Friday.
Paley is represented by Colt Wallerstin LLP and Goldberg Stinnett Davis & Linchey PC.
The trustee is represented by Michael A. Issacs of McKenna Long & Aldridge LLP.
Paley’s fraud action is Paley v. Radar Networks Inc. et al., case number CIV-494701, in the Superior Court of the State of California, County of Mateo.
The case is In re: Radar Networks Inc., case number 11-bk-33990, in the U.S. District Court for the Northern District of California.
–Additional reporting by Richard Vanderford. Editing by Richard McVay.
Paley v. Radar Networks
FOR IMMEDIATE RELEASE
Bankruptcy Court issues order permitting California fraud trial to resume against Ross Levinsohn, Steve Hall, and Nova Spivack.
On August 10, 2012, the United States Bankruptcy Court for the Northern District of California issued an order permitting plaintiff Kate Paley, daughter of CBS founder William Paley, to pursue causes of action for fraudulent transfer against defendants Ross Levinsohn, Steve Hall, and Nova Spivack, who have been sued in California state court.
This ruling ends a five-month delay that was orchestrated by defendants to avoid a public trial. On May 3, 2010, Ms. Paley filed a complaint in San Mateo Superior Court, alleging causes of action for fraud, fraudulent conveyance, breach of contract, unfair competition, and related claims.
Named as defendants were Ross Levinsohn (who most recently served as interim CEO of Yahoo!, Inc.), Steve Hall (managing partner of Silicon Valley venture capital firm Vulcan Capital), and Nova Spivack. Plaintiff Paley was the primary investor in Radar Networks, Inc., a Silicon Valley startup managed by defendants. Plaintiff contends that defendants mismanaged the company, resulting in its failure and the eventual fraudulent transfer of the company’s assets to another company controlled by Evri, Inc., another company controlled by defendant Hall.
Discovery in the case revealed that Levinsohn had an actual intent to defraud Ms. Paley. In September 2009, for example, Levinsohn voted in favor of a transaction that converted Ms. Paley, without her consent, from a creditor who was owed over $3 million by Radar to an equity holder . Levinsohn was told numerous times that converting Ms. Paley’s loan to equity was improper, but this conversion was a first and necessary step to making sure that Ms. Paley could not share any of the proceeds from the fraudulent sale of Radar’s assets to Evri. Thereafter, in February 2010, as the sole member of Radar’s “Acquisition Committee,” Levinsohn rejected an offer from Intellectual Ventures for more than twice the amount offered by Evri. Radar’s assets were then sold to Evri, giving defendants control over the assets, proceeds from the assets, and all the while leaving Ms. Paley with nothing from her investment. This carefully orchestrated scheme forms the basis for the California lawsuit.
In an attempt to avoid trial, defendants filed motions for summary judgment in the California suit, which were denied in February 2012. The case was set for trial to begin on February 27, 2012; that very day, defendants filed a notice of stay after orchestrating a bankruptcy filing on behalf of Radar Networks. For months in the bankruptcy suit, defendants attempted to delay the proceedings in order to avoid a public trial.
Following this order by the Bankruptcy Court, Ms. Paley will immediately move the Superior Court to lift its stay and allow trial to resume. The case is Paley et al v. Radar Networks, Inc. et al, Case No. CIV-494701, currently pending in San Mateo Superior Court in Redwood City, California.
[Note: to trigger a conversion, $4m of new capital was needed- however here, Steve Hall is testifying that he
and Ross Levinsohn "to the nickel" put up equal parts of only one million dollars. This in fact is not enough
to trigger a conversion, which the judge has ruled was not ambiguous. Only a new $4million dollars could trigger
a conversion.The judge has ruled that the conversion at $1 million dollars that Mr. Levinsohn and Mr. Hall
orchestrated was improper, and at the root of the fraud perpetrated. Because of the judge's ruling, the defendants
filed a bogus bankruptcy of Radar, literally on the eve before the trial that had been scheduled for over 2 years was
to begin to stop the trial from going forward. This same kind of bogus legal maneuvering is of a piece with the
improper, faudulent conveyance].
More to follow…