Trustee In $500M DBSI Ponzi Scheme Sues Broker-Dealers

Law360, New York (June 27, 2012, 6:28 PM EDT) -- The litigation trustee for bankrupt real estate investment firm DBSI Inc. filed an investor lawsuit against a host of broker-dealer firms in Delaware federal court Wednesday, accusing them of aiding DBSI officials in conducting a $500 million Ponzi scheme.

Trustee James R. Zazzali filed suit against 40 brokerages and brokerage parent firms and more than 100 named individuals for alleged securities violations related to the sale of DBSI financial instruments to investors. Zazzali is seeking millions in compensatory damages from the firms to pay back investors...
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Case Information

Case Title

Zazzali v. Alexander Partners LLC et al


Case Number

1:12-cv-00828

Court

Delaware

Nature of Suit

Securities/Commodities

Judge

Gregory M. Sleet

Date Filed

June 27, 2012

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