Tuesday, January 29, 2008

Luigi Di Fonzo ran the greatest PONZI schemes

My father talked to Di Fonzo wife and she gave him some tid bits about his life. Its quite a read. He Ponzi scammed million's from the NFL and other security operation's. From Chicago to Boston to California and oversea's. She gave us several items and TV show's that "Louie" that how I knew him. It's a good read he did more scam's in one years than anybody did in their own life. A true grifter.

My father and his wife told me a story on how Di Fonzo needed money fast. He took out several ad's for apartments in Boston for Harvard law student's. So he hired a couple of actors and then rented out the apartment to over 200 student's . He took the down payments and cashed them and dissappeared.

Here's the article.

By Order of the U.S. Bankruptcy Court entered April 6, 2000, the former President of DFJ Italia, Luigi DiFonzo, was designated as the representative of the Debtor DFJ Italia for purposes of the Trustee's examination of the Debtor and Luigi DiFonzo was required to attend his separate 2004 examination. The 341(a) examination of the Debtor was scheduled to take place on May 26, 2000, at the Ronald Reagan Federal Building, Suite 301, 411 West Fourth Street, Santa Ana, CA 92701. Despite the Court Order requiring his attendance, Luigi DiFonzo failed to attend the Debtor's 341(a) examination and his 2004 examination On June 16, 2000 the Trustee filed in the U.S. Bankruptcy Court a Motion For Order To Compel Luigi DiFonzo To Attend Examinations. After hearing on July 12, 2000, the U.S. Bankruptcy Court granted the Trustee's Motion To Compel Luigi DiFonzo To Attend Examinations. The U.S. Bankruptcy Court Order granting the Trustee's Motion authorized the issuance of an Order directing the U.S. Marshals to apprehend Luigi DiFonzo to ensure his compliance with the Court's Orders. By Order entered July 20, 2000, the U.S. Bankruptcy Court issued a Warrant For Arrest On Court Order against Luigi DiFonzo. U.S. Marshals arrested Luigi DiFonzo the evening of July 20, 2000 and detained him until the hearing on his initial appearance and bond hearing held the afternoon of July 21, 2000. Luigi DiFonzo was escorted into the U.S. Bankruptcy Court hearing room in handcuffs and wearing prisoner clothing. At the July 20, 2000 hearing the U.S. Bankruptcy Court, the Honorable John E. Ryan presiding, accepted the representations of DiFonzo's counsel that DiFonzo would appear for the scheduled examinations but warned DiFonzo that if he failed to attend his examinations he would not hesitate to send out the U.S. Marshals again to arrest him. Luigi DiFonzo attended his July 25, 2000, 2004 examination and consistently invoked his Fifth Amendment rights. The Trustee continued the DFJ Italia 341(a) examination to August 21, 2000 at 10:00 a.m. On August 14, 2000, Luigi DiFonzo was found dead in his 3 Inspiration Point Laguna Niguel, CA residence from an apparent suicide attempt. The Trustee will be present at the scheduled August 21, 2000, 341(a) examination to answer questions from investors. Trustee's Employment of Professionals To Assist In His Administration of Estate. The Trustee has employed various professionals to assist him in his investigation and administration of the DFJ Italia bankruptcy estate. The Trustee has employed Albert, Weiland & Golden, LLP as his special counsel, Squar, Milner, Rehl & Williamson LLP as his accountants; and Independent Management Services, Inc. as his Trustee agents. ...On April 3, 2000, the Trustee filed a Complaint alleging fraudulent conveyances against various individuals including but not limited to Luigi DiFonzo, Brenda DiFonzo, The Luigi DiFonzo Irrevocable Trust, Angelo Ales, Rosalinda Lopez, Guy Scarpelli individually and doing business as Scarpelli Furniture and Antiques, Overture Films, Inc., John Loy and KED Investments, Inc., Adversary Case No. SA00-012174JR. ...Luigi DiFonzo filed an Answer to the Complaint pro per (without counsel) invoking his Fifth Amendment rights. On April 6, 2000, the Trustee filed a First Amended Complaint against the same Defendants referenced above and an Ex Parte Application For Right To Attach Order; Temporary Protective Order and Order For Issuance of Writ of Attachment whereby the Trustee requested a Writ of Attachment be issued against Defendant Guy Scarpelli's residence located at 1 Sierra Vista, Laguna Niguel, CA. After the initial hearing on the Trustee's Ex Parte Application the Trustee filed a Second Amended Complaint and another Ex Parte Application against Defendant Scarpelli which was granted after hearing on July 14, 2000. On June 23, 2000 the Trustee filed and requested a Motion For Summary Judgment on the First and Sixth Claims in the Amended Complaint whereby the Trustee sought to impose a constructive trust on the real and personal property held by Luigi DiFonzo, Brenda DiFonzo, the Luigi DiFonzo Irrevocable Family Trust, John Loy, Overture Films, Inc., and KED Investments, Inc. ...As a practical matter the Trustee's Motion For Summary Judgment sought to recover legal title to Luigi DiFonzo's 14,000 square foot mansion at 3 Inspiration Point, Laguna Niguel, CA and all of the expensive furnishings inside the mansion. Defendant John Loy stipulated to the Trustee's Motion For Summary Judgment. After hearing on July 20, 2000, the U.S. Bankruptcy Court granted the Trustee's Motion For Summary Judgment.