DBSI Trustee Wants IRS To Return All Ponzi Funds

Law360 (February 23, 2018, 8:36 PM EST) -- The bankruptcy trustee of doomed Ponzi vehicle DBSI Inc. has moved for a quick win in its claw back suit against the IRS in Idaho federal court, arguing the federal tax authority is still on the hook for $3.6 million the company used to pay its principals’ income taxes.

The IRS will already have to pay DBSI roughly $13.5 million, after Chapter 11 trustee James R. Zazzali successfully defended an earlier order by the bankruptcy court dismissing the agency’s “sovereign immunity” defense before the Ninth Circuit...
To view the full article, register now.
Law360 Pro Say Podcast
Check out Law360's new podcast, Pro Say, which offers a weekly recap of both the biggest stories and hidden gems from the world of law.