TRUSTEE ROBERT GELTZER ORDERED TO TESTIFY IN SDNY BANKRUPTCY COURT-March 6th; 2:00pm

• Purchased in 1990, “The Griffin House” Bed & Breakfast and catering facility was successfully owned and operated for nearly twenty years by Paul and Irene Griffin.
• In June of 2000, Paul and Irene purchased The Meadows Resort and Catering.
• In June, 2004: Kollel Mateh Efraim, LLC, a Religious Corporation, and their Hasidic Jewish congregation fraudulently occupied The Meadows Resort property.
• October 4^th, 2004: Religious Corporation, Kollel Mateh Efraim, LLC filed a fraudulent chapter 11 bankruptcy and as a "debtor in possession" in a bankruptcy stay, remained on the property for four years. 
• March 2007: Debtor, Kollel Mateh Efraim, LLC was converted to Chapter 7 Bankruptcy. Trustee, Robert Geltzer was obligated to liquidate the debtor's assets. 
• November 2007: The Debtors continued to occupy The Meadows and resisted eviction.
• June 2009: The Meadows was lost in a subsequent foreclosure and consequently, The Griffin House B&B was also lost. 
• March 2013: Debtors remain in Chapter 7 Bankruptcy. None of the debtor's assets have been liquidated. Amazingly, trustee Robert Geltzer contrived to liquidate assets belonging to the creditor.
• March 6, 2013: Trustee, Robert Geltzer ordered to testify in SDNY Bankruptcy Court.

Ironically, the debtor/defendant at the center of this criminal fraud is a religious corporation, while the victim of this (RICO) criminal conspiracy  is a combat veteran and senior citizen.

This criminal epoch began nine years ago (2004) with: fraudulent contracts, fraudulent occupancy of property; fraudulent use of property; fraudulent use of government programs; fraudulent Chapter 11 filings, fraudulent bankruptcy schedules, Bank Fraud; Money Laundering; fraudulent allegations, theft of property, destruction of property. These are the tools of Economic Terrorism.

At a hearing in federal bankruptcy court, held on January 31st, 2008, the trustee reported to the court that "the debtors, and their alter-ego: the religious corporation, had been interchangeable for years as suited their own purposes.” However, through a strategy of Fraudulent Contracts, "Hot Potato" Assignments, "Friday Night" Document Dumps, Malicious and False Allegations and Frustratingly Frivolous Actions, this consortium of self righteous conspirators managed to mesmerize the court for NineYears!  

Hiding behind corporate law is bad enough, but hiding a non-existent entity behind a corporate veil is criminal fraud! There's nobody there! Voila. An "Immaculate Deception." Our very first response filing to Judge Cornelius Blackshear, eight years ago stated, "This entity does not exist as filed!" We sought a declaratory judgment to determine their identity and to lift the bankruptcy stay since they did not legally exist. We were denied! The court had an obligation under the law and yet, the courts knowingly allowed the bankruptcy case to proceed for eight years and even rendered determinations in favor of this non-existent entity! This "non-existent entity" has enjoyed "The Fruit of the Poisoned Tree" and "The Fruits Of Our Labors!" To this date, the courts have yet to determine the true identity of these defendants. Absolutely masterful! Seemingly, the fruit continues to grow sweeter for this debtor/defendant.

Standing alone against a Religious Corporation and its congregation is not without its many challenges. Behind closed doors, and even in open court within hearing of the victim, religious zealotry and bigotry have boiled to the surface. This congregations’ deep pockets for litigation has bought them a complete convolution of the judicial system while utilizing their vast experience within the Judicial/Legal Complex...Lady Justice blinked and we lost everything...business, savings and even our award winning Bed and Breakfast Home, "The Griffin House."

A wealthy real estate developer, Jack Lefkowitz, rabbi Abraham C. Steinwurzel and his congregation, Kollel Mateh Efraim, LLC and Maskil El Dal, LLC brought together their superior organizational wealth, predatory stealth, and non-profit status while they violated every ethical, moral and sacred covenant that they profess to represent; all while subverting our bankruptcy courts. They have demonstrated that they have unlimited funds for litigation, and for convolution of the judicial process, but purportedly, none to pay their debts. And so...with the law firm of  Backenroth, Frankel & Krinsky, LLP paving their way with unethical and immoral distractions, diversions, and delays, we have been denied access to our own resort property, (Four years of an enforced bankruptcy stay and still another year as they fought the eviction process.) and thus we have been completely depleted of our resources while the debtor Religious Corporation populated our property with their friends and families, and sub-leased it to others for their own financial gain! As a consequence, our investment property, THE MEADOWS RESORT & CATERING-(You Tube) was acquired in a well orchestrated foreclosure on July 24th, 2009.

Their eight year strategy has been:  

• Default: On the terms of a legal and binding contract
• Declare: False and fraudulent chapter 11 bankruptcy protection
• Distract: from fraudulent filings and schedules
• Divert: Funds through co-mingled personal, corporate and non-profit accounts
• Delay: through adjournments, and convoluted process
• Deny: creditor access to, or income from their own property
• Deplete: creditor's asset and resources and force them into
• Default: thus gaining control of the property at a foreclosure sale.

 This has been an important, precedent setting case in the federal bankruptcy system, as attested to by the fact that it has been featured on page one of The National Law Journal. Also, it has been discussed in several law blogs, including: Stupid Bankruptcy Lawyer Tricks, by the Chicago based Coleman Law Firm, which shines the light on just one of their many "dirty tricks!" Irene & I are convinced that this constituted a blatant conspiracy (RICO) and that such convolution of our legal system lies at the very epicenter of our nation's current crisis.

The attorney who made an unauthorized settlement on July 20th, 2005,Gerald Orseck, admitted within two days of doing so and that he had not been authorized to do so! He wrote a letter to the court stating such. Yet, Judge Stewart M Bernstein of the Southern District of New York, permitted and encouraged eighteen months of costly litigation in order to conclude that the settlement was unauthorized. This legal jousting at windmills perpetuated the rent free occupancy of our property.

It has now been nine years since these debtor/defendants invaded our lives. Their deep pockets for litigation has bought them a complete convolution of the bankruptcy system. They are serial bankruptcy filers and over the years they have found bankruptcy fraud to be a prosperous venture and an unethical/immoral means for acquiring the assets of others. Ultimately, the court dismissed the chapter 7 bankruptcy case against the debtors based on some very flawed reasoning and stating as "fact" those statements by the debtor that were perjured and were anything but the facts. 

Judge Stewart M Bernstein: Finding of Fact dated April 28, 2011. (A Gross Misstatement of Fact.!!!)

“I conclude that Lefkowitz has carried his burden of showing that his decision to continue the Debtor’s occupancy of the Property was both fair and reasonable. The Property was valuable and the Debtor’s Contract rights were a significant asset. While in the hands of Helen-May, the Property had deteriorated and further deterioration threatened to reduce its value.”

The fact is that the property was not under the control of the owner/creditor; it was under the control of the debtor/defendant, the trustee, the court and the debtor's congregation! Judge Stewart Bernstein failed to acknowledge that the court had itself prohibited the owners from even inspecting the property during the defendant’s outrageous “rent free” four years of occupancy enforced by bankruptcy stay. As to any purported contract rights, not only were they based on a major fraud, but they were terminated with the pre-filing issuance of a false instrument. (a bad check!)

Judge Stewart M Bernstein also ignored the existence of pictures, video and sworn statements as to the pristine condition of the property at the time that the debtor/defendants entered into a contract to purchase the property. (Subsequently, the debtor/defendants entered into an occupancy agreement until such time as they would close on the purchase of the property.) The terms of the agreement expressly forbid any alterations to the property whatsoever! Yet, the debtor arrogantly ignored no fewer than seven letters from the owner's attorney ordering them to cease and desist their demolition, destruction and vandalism of the property. An inspection was finally permitted by the court, however, and as the foregoing “statement of facts” reflects that the court once again chose to ignore the evidence thus gathered. (Response From Court)

Damage, demolition and deliberate vandalism of a disgustingly biased nature that the defendant and his congregation had inflicted upon our property was conspicuous and telling. There is no doubt in our minds that this constituted a criminal act and was conceived in hate! The defendant went so far as to place a notice in a prominent Hebrew magazine (Hamodia) for all followers of the Hebrew faith to refer all offers of purchase through them.  The trustee personally (with others in his presence) witnessed the extent of the damages to our property when he auctioned two of debtor/defendant’s adjacent parcels? This was concurrent with the imposed bankruptcy stay. The trustee expressed his disgust at the obvious destruction/vandalization and graffiti of a grossly biased nature, written in Hebrew, with blue paint sprayed on doors, walls, windows and fittings. The strings of the owner’s Grand piano had been violently ripped out and left hanging as a further statement of the debtor/defendant’s disdain for the owners. Also during the enforced bankruptcy stay, fixtures and fittings were removed from the property without trustee authorization. The trustee made no effort to secure the property nor to restrain the debtor from their plundering of the property. A complete fraud! When presented with this evidence, the court rendered no comment. We can only conclude that the implications were more than the court could handle.

Judge Bernstein’s finding of fact goes on to state: “Occupancy permitted Lefkowitz to spend substantial funds of his own to upgrade the infrastructure of the Property,”

The occupancy agreement expressly forbid any and all alterations whatsoever to the property barring written permission from the owner, Helen-May Holdings, LLC (Irene Griffin sole member) who, through her attorney sent seven letters demanding that the debtor/occupier “cease and desist” what amounted to demolition and destruction of our property! The debtor/defendant was clearly paving his way for his future development plans for our property…Before he owned the property!

Post bankruptcy filing, all debtor expenditures were required to have been approved and administered to by the trustee. The trustee never authorized any of these purported upgrades. Neither did the trustee authorize the debtor to settle with their “insider creditors!” The trustee had an obligation to ensure that the property was maintained during the term of the bankruptcy stay. Instead, the trustee continued to litigate against the creditor/owner regarding purported equitable interests that the debtor might hold in the creditor/owner's property. This hostile action by the trustee effectively deprived the creditor/owner of any efforts to sell their own property.

Judge Bernstein’s “Finding Of Fact” continues: “protecting the Debtor’s asset and future development plans. Although many of these expenditures also benefitted the camp, they maintained and enhanced the value of the Debtor’s investment. Furthermore, there was a substantial question, at least until the end of February 2007, whether the Debtor would ever have to pay the accruing Adequate Protection Payments, and the Debtor was still challenging the order denying the settlement’s enforcement as late as July 31, 2007, the end of the period covered by the Judgment. Hence, the decision to continue to occupy the Property through July 2007 was fair and reasonable when made, and the Trustee has not sustained his burden of ultimate persuasion that Lefkowitz breached his fiduciary duty in deciding to continue the Debtor’s occupancy.”

"Protecting The Debtor's Asset?" When did our property become the debtor's asset? Which legally executed document conveyed our property to the debtor? Answer: None! There were no legally executed documents by these debtor/criminals. This was not the debtor's asset. What a convolution of facts, semantics and logic. Furthermore, as provided for by law, did the trustee ever approve any expenditures on the property? Did the trustee witness such expenditures on the property? The debtor claimed to have spent $2,000,000.00 in improvements to the property...unauthorized by the trustee. Did the trustee ever witness said improvements? Why is it that the property appraised for considerably less after the debtors supposed $2,000,000.00 of improvements and four year occupancy, than it did at the time of their initial occupancy in June of 2004? Together, the trustee and our attorneys witnessed first hand the destruction left behind by this debtor/defendant. A subsequent letter was written to Judge Bernstein and pictures were made available to him. 

The debtor/defendant has demonstrated a complete lack of respect for the court while the court bows to the debtor’s superior arrogance. Evidently, court orders are meaningless. As we know and “the facts” firmly reflect; the debtor/defendant lived defiantly and rent-free on our property for nearly four years. As to the debtor challenging the order declaring an unauthorized settlement, the decision was reaffirmed in an appeals court. Illogically, Judge Bernstein has stated: that while they were litigating and appealing this issue, (nearly six years by the time of his "Finding of Facts") and while they remained on our property under the guise of a bankruptcy stay, the question was "whether the debtor would ever have to pay the accruing Adequate Protection Payment" Use & Occupancy, Lis Pendens, Contract Violations, Fraud, Damages, Etc.! With the assistance of the court and in an obvious strategy designed to deplete the creditor's ability to survive their onslaught of frivolous and fraudulent litigation, the debtor/defendant has continued to kick the can down the road. 

December 2010: The Federal Bankruptcy System having failed miserably, the case was refiled in the United States District Court For The Southern District of New York. (Case # 1:10-cv-07123-PAE Kollel Mateh Efraim, LLC et al v. Kollel Mateh Efraim, LLC) 

May 7th, 2012: Scheduled for a jury trial in front of Judge Paul A Englemayer. After two years of awaiting the jury trial that the debtor/defendants had so litigiously sought; at the eleventh hour, the trustee and the defendant Kollel, Mateh, Efraim agreed to settle out of ear-shot of a jury. Judge Englemayer would not approve an order for this Stipulation of Settlement but instead ordered the case to be returned to the bankruptcy court of Judge Stuart M Bernstein. The trustee has refiled his disgusting Stipulation of Settlement in exactly the same form as was thrown out of the Southern District Court. 

July 19, 2012: A hearing took place in judge Bernstein's court where once again, we were witness to the utterance of an extremely biased comment against us. However, the court determined that the trustee's stipulation of settlement did not rise to the basic standards. The trustee neither procured proof of officer's and director's insurance for the debtor nor depositions of those officers and directors. The trustee has been grossly negligent in the performance of his duties under the FRBP. 

October 16, 2012: A hearing was held and adjourned in Judge Bernstein’s Federal Bankruptcy Court. 

December, 2012: At a hearing, trustee Robert Geltzer was ordered to testify in SDNY Bankruptcy Court. 

March 6th, 2013: At an Evidentiary Hearing, Trustee Robert Geltzer  testified and was cross examined by creditor's attorney, David Carlebach.

Trustee Failed To Perform His Duties Under The Guidelines

Statutory and General Duties Of A Chapter 7 Trustee FRBP

1. To collect and reduce to money the property of the estate and close the estate as expeditiously as compatible with the best interests of the parties in interest;

i.                Trustee Robert Geltzer engaged in protracted litigation that was not in the best interests of the parties. (2004-2012 and still going)

ii.            After three years of intense litigation, the court signed the order converting the chapter 11 bankruptcy to a chapter 7,  trustee Geltzer ignored his “chapter 7” obligations to expedite.

iii.        Trustee Geltzer engaged in frivolous litigation against the creditor based on flawed theories prior to investigating the veracity of his own arguments or the legitimacy of the debtors.

iv.         Trustee perpetuated violation of court ordered adequate protection

v.             Trustee Geltzer’s own confirmation of the debtor’s lack of standing, integrity and truthfulness is apparent in his depositions of the debtors.

vi.         At a hearing in federal bankruptcy court, held on January 31st, 2008, the trustee reported to the court that "the debtors, and their alter-ego: the religious corporation, had been interchangeable for years as suited their own purposes.”

vii.     Thus, trustee Geltzer was and remains well aware of this debtor’s predisposition for altering documents and hiding assets.

viii.  Trustee Geltzer assumed this chapter 7 bankruptcy case in November of 2007. It is now June of 2012 and still litigating...and not liquidating! (Eight Years!)

ix.         Trustee Geltzer effectively liquidated the assets of The Creditor when he sold at auction those properties against which this creditor had secured judgments.

x.             Trustee failed to pursue liquidation of The Debtor's assets!

 2. To be accountable for all property received;

i.                Trustee Geltzer allowed the chapter 7 debtor to continue to occupy the creditor’s resort property under a bankruptcy stay.

ii.     In deference to his obligation to mitigate losses in a chapter 7 bankruptcy, trustee Geltzer was a direct cause for greater losses incurred by this creditor.

ii.            Trustee Geltzer permitted the debtor to further utilize and subsequently vandalize creditor’s resort property for a prolonged period of time after conversion.

iii.        Trustee Geltzer was notified and was otherwise aware of the debtor’s deliberate malice toward this creditor and that the debtor allowed the unchecked vandalizing of the property. Trustee Geltzer took no remedial action.

iv.         Trustee failed to enforce and permitted debtor/defendants to remain in violation of court ordered adequate protection in perpetuity.

v.             Trustee failed to investigate and otherwise permitted third party, Maskil El Dal, LLC to fund bankruptcy

 3. To ensure that the debtor performs his or her intention as to retaining or surrendering property of the estate that secures consumer debt;

i.                Trustee Geltzer grossly ignored this responsibility.

ii.            Trustee Geltzer remained ambivalent in his stated intentions with regards to this responsibility, and instead chose to litigate against the creditor.

iii.        Trustee’s self serving litigation against the creditor ensured that the debtor would remain on the creditor’s property for still another year.

 4. To investigate the financial affairs of the debtor;

i.                Trustee Geltzer failed to fully investigate co-mingling of bank accounts of debtor’s and all aliases, including funding corporation, Maskil El Dal, LLC. And personal accounts of principals.

ii.            There are several Principals of the debtor LLC and many “culpable parties.”

iii.        Trustee Geltzer failed to fully investigate bankruptcy schedules of debtor/defendant after they had been amended time and again.

iv.         Trustee Geltzer failed to fully investigate debtor’s claims of $2M in “improvements” to creditor’s property. The Occupancy Agreement expressly prohibited any alterations, or “improvements” whatsoever and the property was accepted, “As Is.” $2M in improvements claimed were post bankruptcy filing. Did the trustee approve any improvements? Did the trustee investigate the veracity of the debtor’s claim? The condition of the property post occupancy indicates nothing of “improvements.” Post occupancy appraisal is illuminating when compared to pre-occupancy appraisal.

v.             Trustee Geltzer states in a recent stipulation to settle, that the debtor is “administratively insolvent.” Nothing could be further from the truth. With limited research abilities, this creditor has noted countless real estate assets, corporate assets, and personal assets belonging to just one of the debtor principals. Indeed, many of these can be found in court documents relating to this serial bankruptcy filer.

vi.         Trustee Geltzer attempted to perform “an end run” around this creditor by not even advising the creditor that in December of 2010, a civil case had been filed in the southern district of New York.

vii.     Trustee Geltzer failed to advise creditor of impending jury trial and of proposed stipulation of settlement.

viii.  Trustee Geltzer recently (May, 2012) proposed a stipulation of settlement that would deprive the creditor of any compensation at all for the loss of assets and property caused entirely by debtors fraudulent bankruptcy and exacerbated by trustee’s time consuming, costly, frivolous and apparently ineffective litigation.

ix.         This creditor’s “Proof of Claims” identified secured claims of $3M plus unsecured claims in excess of $8M.

 5. If a purpose would be served, to examine proofs of claims and object to any that are improper;

i.                Upon information and belief, lacking trustee approval, the debtor has settled with their insider creditors utilizing funds from another of their corporate entities, Maskil El Dal, LLC.

ii.            Our attorney engaged the services of experts in the field whose investigative reports confirmed that insider creditors had greatly exaggerated their claims.

 6. If advisable, to oppose the discharge of the debtor;

i.                Trustee Geltzer failed to oppose false assumptions and conclusions not based in fact when the court erred in opinions or proffered misstatements of fact. August 18, 2009 the court reversed itself in a long held ruling from July 20, 2005. In an illogical attempt to wind back the clock, the court paved the way for a compounding and confounding dismissal of the entire bankruptcy case which took place one year later.

ii.            Lacking trustee approval, Trustee Geltzer was negligent when debtor filed a concurrent case in a state court. Not only did the trustee not authorize this frivolous expenditure of debtor monetary assets, but the trustee remained blissfully ignorant and uninvolved. All expense and litigation was left to this creditor in order to have case remanded back to the Southern District Bankruptcy Court of Stuart M Bernstein.

 7. Unless the court orders otherwise, to furnish information concerning the estate and the estate's administration as requested by a party in interest;

i.                Never done!

ii.            Many times this creditor alerted the trustee and the court as to the deliberate abuse, neglect and vandalism of the creditor’s property during the prolonged bankruptcy stay of the debtor.

iii.        The debtor was uninhibited as they illegally removed fittings and fixtures from the property during their bankruptcy stay.

iv.         The trustee did not take any remedial action and did not assist the creditor in any attempts at mitigation and remediation.

 8. If the debtor's business is authorized to continue operating, to file with the court appropriate reports and summaries, including a statement of receipts and disbursements;

i.                Never Done!

 9. And To file a final account of the administration of the estate with the United States Trustee and the court.

i.                This creditor has no knowledge of this ever happening. 

 Fraud is "ground zero" for our nation's fall from grace. It is at the epicenter of Healthcare, Medicare, Social Security, etc. It is a greed that knows no bounds! Until we address fraud at the very top, we will simply continue to "rearrange deck chairs on the Titanic."

Bankruptcy Fraud is a vast paradigm of frauds wrapped into a writhing mass of pedantic, judicial complexity, complicity and legal gobbledygook!  It's all smoke and mirrors. The Economic Underworld of Bankruptcy for Profit: Trickle up economics, wealth redistribution from the bottom up and a Lemming-like "race to the bottom" represents a self fulfilling prophecy from the top down that even the blind can hear and the deaf can see.

Senior Citizens, and a Combat Veteran...Awarded the Foreign Expeditionary Medal, Paul Griffin also served in the Honor Guard at the White House for the funeral of our President, John F Kennedy. “It was my time and place in our nation’s history.” Now, forty-eight years hence and followed by a lifetime of hard work, this veteran and his wife have been robbed of their business, their home and their retirement. “Swearing an oath to protect our country from all enemies, both foreign and domestic”...Mr. Griffin states that he never would have believed that one day he would be standing alone against such an enemy...and a “Religious Corporation” at that!  Even our constitutional rights were violated!