}

Wednesday, April 15, 2015

LAW & ORDER: CRIMINAL ASSET FORFEITURE UNIT! Is $teven Ingersoll Liquidating Assets? Criminal Defense Team Responds To Government Motion For Pre-Sentencing Restraining Order

$teven Ingersoll's criminal defense team, headed by Detroit attorney Martin E. Crandall, filed its response late yesterday to the government's March 31 motion for a restraining order

In its motion, the government asserted that since his trial began on February 10, and continuing after the jury returned its verdicts on March 10, Ingersoll has been taking various steps to “cloud the title to property owned by his various entities and to put his property interests beyond the reach of the court.”

Based on the timing of the transfers, as well as the participants in the transactions, the government motion stated that
it appears that $teven Ingersoll is engaging in a course of conduct intended to put title to his assets into friendly hands to keep liens based on the anticipated restitution and costs of prosecution provision in the forthcoming judgment from attaching to those properties.

However, in its response, Ingersoll's attorneys state the government's motion for a restraining order presents an incomplete picture of the facts, fails to establish the lack of an adequate remedy at law required before resorting to equitable relief, and fails to satisfy the test for imposition of a preliminary injunction.

Alleging that the government seeks to hold a “quasi-sentencing
hearing” on May 6, despite what the defense calls the
clear statutory scheme put in place by Congress governing the procedure of criminal sentencing, Ingersoll's response requests that the government's motion be denied.

I'll leave the “governing law” cases cited by the defense in its rebuttal of the government's reliance on the All Writs Act” to the legal crowd to chew over, and focus instead on the clinically insane claim that by selling off property for a buck, Ingersoll was actually working in the public's interest!



PEANUT REDUX: HARDSHIP EXEMPTION...OR A NEARLY-FREE RIDE?


Chez Peanut, courtesy of Miss Fortune
Kyle Andrezjewski, known to the readers of this blog as 'Peanut', successfully snagged 111 N. Monroe (at left) from $teven Ingersoll for one dollar.

According to federal court records, Andrezjewski worked for Roy Bradley's Thunder Builders during the Bay City Academy renovation. 

On March 26, the same day the quit claim deed for 111 N. Monroe was filed by Ingersoll, the IRS affidavit states that Andrezjewski went into the Bay County Treasurer’s office to request a "hardship exemption" from the $10,247.44 owed in back property taxes.

But that's not entirely correct—a check with the Bay County Treasurer's office this morning reveals that 'Peanut' Andrezjewski's one-year exemption only covers roughly $3,000 owed by Ingersoll for 2012, sticking Peanut with over $7,000 racked up by Ingersoll in successive years, not to mention the property taxes 'Peanut' will owe from this year!

While the hardship exemption requires Andrezjewski to pay approximately $250.00 per month over the next 12 months, and he's now legally holding the bag for Ingersoll's 2013 and 2014 tax debts, Ingersoll's attorneys still brazenly use 'Peanut' as proof that Ingersoll "was able to transfer the properties to new buyers who agreed to pay the back taxes. Society is better off when properties are owned by persons able to pay taxes and maintain land versus the county land bank, which is already overflowing with seized, unowned, and unwanted properties." 

What the f**k?!

It's clear that while Andrezjewski is required to pay off Ingersoll's 2012 tax delinquency over the next 12 months, it's still unclear whether he has the assets or income required to prevent the property from returning to tax forfeiture foreclosure...again! 

Admitting in its response that the five properties referenced
by the government in its March 31 motion had "no equity and were due to revert to the Bay County Treasurer due to unpaid property taxes", the defense asserts Ingersoll owns other, similar low-value properties in Bay City, which he can no longer maintain due to his "now-limited ability to earn a living following the prosecution and conviction". 


A felony fraud conviction will do that, dontcha know?

It's just too damn bad!

However, official Bay City property records show that Ingersoll stopped paying property taxes when he was still flushway back in January 2012 when he was still awash in literally millions in taxpayer-funded charter school management fees extracted from both the Grand Traverse and Bay City Academies—not to mention the proceeds of his notorious $3.5 million dollar, five-finger Grand Traverse Academy "loan"! 

In addition, while the government did not include tax years 2012 and 2013 in its fraud investigation of $teven Ingersoll, his Smart Schools Management, Inc. official Department of Labor Form 5500 reports for 2012 and 2013 reveal that Ingersoll took over $423,000 in early 401K cash distributions during that two year period: $217,562 in 2012 and $205,556 in 2013. 

Looks like despite having a healthy six-figure annual income, Ingersoll simply chose not to pay his bills...and let someone else pick up his tab

The defense response focuses on Ingersoll's five low-value properties, curiously neglecting to address an even more interesting facet of this fraud fandango: the $250,000 line of credit "future advance mortgage" provided by to Ingersoll by his tax attorney, Jan Geht, and secured by several of Ingersoll's so-called "high-value" properties.

As I revealed on February 28, Geht provided Ingersoll with access to a $250,000 line of credit secured by seven of his client's most desirable Bay City properties just days before the start of Ingersoll's federal fraud trial—with Geht's representative officially registering the "future advance mortgage" with the Bay County Register of Deeds on February 10 as Ingersoll's jury was being selected. 


The Perry House, located at 2230 Center Avenue in Bay City, is among the seven residential and commercial properties securing the collateral interest of Geht and his Traverse City-based law firm, Bowerman, Bowden, Ford, Clulo & Luyt, which funded the $250,000 mortgage.

Funny, that transaction didn't rate a mention in the defense response—guess it doesn't fit neatly into its "he's actually working in the public interest" bullshit narrative!

Hardship, my ass!

45 comments:

  1. There is no public interest. There was no student interest. There is only Ingersoll interests. This man should be in jail awaiting this prison sentence. No public funds for school materials or rent should ever be given to this criminal. All funds should go to restitution. He should have his debt paid or all property seized.

    ReplyDelete
    Replies
    1. So I take it that you're not buying the defense argument?

      Delete
    2. Defense arguments? No one with common sense believes any of the Ingersoll fantasy. His defended team does not buy this garbage. Their interest is collecting as much money as they can. They do not care about the Ingersoll anymore than we do. I am surprised the divorce has not been filed yet. Ingersoll wife would keep her half of the assets. I wonder if she had filed and it is not public yet?

      Delete
    3. Ingersoll's wife is not going to file for divorce. She is living high on the hog and benefiting from their crooked ways. As such as I live and breathe, I am certain Steve has made sure that she will be well cared for while he is in the slammer. God forbid she ever has to give up her high maintenance lifestyle, leather boots and the like. Oops. Did I really type that? She will probably read this and have her poor feelings hurt .... and why did Deborah's attorney come to a decision to refuse to represent her?

      Delete
    4. I was thinking divorce for asset protection.

      Delete
  2. Claiming Ingersoll is doing a greater good! OMG. These people never stop!

    Are we really surprised that he is continuing his same old games?

    Ingersoll will stop at nothing to shirk his responsibilities. From all appearances, his attorneys have the same morals that he does.

    ReplyDelete
    Replies
    1. Let the guessing game begin: what will $teve do next?

      Delete
    2. My guess: Instead of attending sentencing, certain parties will make appearances at MBS, TVC, DTW or GRR in route to countries without extradition treaties. Family, friends and colleagues will claim to have no inclination or advanced warning of these visits.

      Delete
    3. He will do whatever he can to get his wife a cell. Leave her to defend against the hidden assets charges. She will claim lack of knowledge or to stupid to realize her husband is a criminal. She just signed the papers because she trusted her husband and he told her it was necessary. She did not know it was illegal to dispose assets. Just my guess.

      Delete
    4. Who really knows how he feels about his wife? Or how she feels about him (deep down, other than surface affection). She could be part of the scheme and just be playing dumb and/or innocent. They're both birds of a feather and try to intimidate anyone and everyone and/or not pay people. Interesting, they must have some cozy arrangement with Mr. Essex, the man with the red truck that is often parked at the other potential Bed and Breakfast on Center. Miss Fortune did report that Mr. Essex obtained the 241 N Farragut address about a week after he and Roy Bradley were indicted.
      They're all shady... both of the Ingersolls, Bradley and Essex... who knows how much and for long they can trust one another. It will be even more interesting as to what happens in the next two months. Tomorrow, April 16, will be two months before Steven Ingersoll's sentencing. Many people say that the government needs to set an example with him... give him a good jail sentence on all three counts. And hopefully the Feds are taking a closer look at the GTA, BCA and all the Ingersolls' properties and other criminal charges. I wonder how they sleep at night....

      Delete
    5. There may be some real live mice in the building, but we have to remember to keep our eyes on the 'rats' too!

      Delete
    6. Thanks for the research and humor, Miss Fortune. Just love the huge red magnet pulling all that money... Keep up the great work... Miss Fortune!

      Delete
    7. The 'spin' the defense team and Ingersolls are putting or trying to make people believe is just amazing. They stop at nothing... they think that people will actually believe all this nonsense and believe they're trying to help the community.... what arrogance and bull.

      Delete
    8. Kathleen you have an awesome guess on what the Ingersolls will do.

      Delete
    9. I don't believe for one second that Deborah Ingersoll was an unknowing participant in this scandal. A normal person does not deposit checks at different branches all over town in an attempt to hide the fact she is actually depositing large amounts of money. She is a fully invested player who is now trying to get us to believe this is so painful for her. Bullshit. She should be thanking her lucky stars that she got off.

      Delete
    10. Lucky she has not been convicted in round one. The federal asset disposal may open her up to some wonderful charges. She would look so good in orange.

      Delete
  3. Even after all this, BCA still has close ties with Ingersoll and Bradley. Bradley was there, in the school, last week with his daughter Kristie (who is married to the custodian) to look at the work he was going to do (fixing holes b/c of the mice problem). And where Bradley is, Ingersoll isn't far behind.

    ReplyDelete
    Replies
    1. I thought all public schools were required to do back ground checks on personnel allowed in public schools? How does a convicted felon have the ability to be at a public school? Judge Ludington is allowing student exposure?

      Delete
    2. Being a convicted felon doesn't impact the head of a charter school management company. If Ingersoll had been the member of a school board, he would have been required to resign immediately after his felony fraud conviction.

      Delete
    3. I thought Bradley wad a convicted felon awaiting a prison cell. Why would he be in a public school?

      Delete
  4. This whole case is frustrating. Ingersoll set up charter schools to steal financial resources from children. His financial resources are from over charges to the charter schools. He is so smug because he has has over 2 years to reduce assets available. His appointed board members are not going after the money owed. The charter should use any of the Ingersoll assets available to them and amy payment should reduction of what he owes - Ingersoll income- but receivable reduction for the charter. No more money should ever be paid by a charter school to Ingersoll. Bay City Academy should be closed at the end of the school year. Put Ingersoll out of public funds.

    ReplyDelete
  5. The Bay City Academy's authorizer, Lake Superior State University, SHOULD rescind the charter immediately. I mean really, a convicted felon is allowed to run a for profit charter school with a superintendent who has absolutely no credentials to be one (just happens to be the son-in-law of his BFF and business partner, Mark Noss), and where enrollment is down over 25%. But don't expect any action from them as they make a pretty penny off this school while doing nothing. And speaking of doing nothing, how about the Department of Education removing LSSU, and others like them from the "at risk" list of authorizers. That list was all a show to pretend that someone in this state was doing something about the abuses exposed on this blog and by the Detroit Free Press. Unbelievable!

    ReplyDelete
    Replies
    1. End of school year is the best case of ending charter. The schools get a year approval. LSSU board should handle this closure at next board meeting.

      Delete
    2. From your mouth to God's ears...let's hope She's listening!

      Delete
    3. Since the Superintendent of schools just took Lake Superior off the list of chartering agents with issues - they should do the right thing and vote for the closure.

      Delete
  6. Where do criminals like Ingersoll serve their prison sentences? I have read 85% of time sentenced is served with "good" behavior reductions. If he has not left the country does anyone know where his type of crime goes? Does he have a tracker device on his ankle? How does the court's get criminals to show up for sentencing ?

    ReplyDelete
    Replies
    1. Ingersoll would serve his sentence in a federal prison. I'm not certain if the terms of his bond require Ingersoll to wear a GPS-linked ankle monitor, or if he had to relinquish his passport.

      Delete
  7. How many clients has the Gent law firm provided "loans"? Is this standard practice? Does Gent claim he had no prior knowledge of the Ingersoll tax liability when he attempted to defraud the government with a $250000 mortgage? Time for a Gent IRS audit if these are typical business procedures. Interestingly even the big bucks firm could not keep Ingersoll out of a conviction. Even Ingersoll does not trust Gent in front of a Judge. Does the $250000 become a receivable to the Gent firm if the IRS seizes the property and declares the "mortgage" a fraudulent act? Can Gent be charged with a criminal act when he actively stops being the attorney and becomes a co-conspirator in the intent to defraud? Could the first conviction just be the start of the financial pit this case could become? Could Ingersoll really end his life behind bars?

    ReplyDelete
    Replies
    1. I can't answer this question, but an attorney I checked with regarding the "future advance mortgage" assured me it was legal, though unusual in his experience. Geht's law firm holds an interest in seven of Ingersoll's properties until Ingersoll repays whatever has been advanced.

      Delete
    2. I don't believe Ingersoll would ever consider ending his life. In his narcissistic mind, he believes he did nothing wrong.

      Delete
    3. I do not think he would kill himself. I think he might get enough time with what he has done and is doing to spend his life in prison. I do not believe the government is done investigating these criminals.

      Delete
    4. You're probably right - he would never kill himself. He's too naricssistic, arrogant and a real sociopath.

      Delete
    5. Oops... typos.... meant "narcissistic" but you knew what I meant.

      Delete
  8. Spoken like a true cynic! Miss Fortune applauds your comment.

    ReplyDelete
  9. The Ingersoll defense motion states that "Society is better off when property is owned by persons able to pay their taxes and maintain land." But is society better off when sly lawyers do all they can to help people get away with anything they can and stiffing the general public? I hope Mr. Crandall and Mr. Geht's law firm reap what they sow in their dealings with the Ingersolls. Maybe the Ingersolls will find another law team to help them try to wiggle out of the monies they borrowed with the $250,000 Future Advance Mortgage, claiming some stress or pressure, or who knows what? Wouldn't that be poetic justice to the defense team? One wonders what that criminal legal defense team would think then! Maybe that they should have never touched dealing /representing Mr. Ingersoll et al with a 10-foot pole?!

    ReplyDelete
  10. I do not realty think Gent gave Ingersoll any money. I think it is a paper transaction to tie up the property with liens- mortgages - cash advances and allow Ingersoll to pull money out hiding to paysone expenses. He has had cash coming in and had not paid since he knew the charges were coming. The property could not be dropped publicly without looking suspicious.

    ReplyDelete
    Replies
    1. Very interesting point/idea.... that Geht's law firm would give the Future Advance Mortgage to the Ingersolls and that it would tie up more properties, etc. without looking too suspicious.

      On another point, is it true that Geht, a CPA, filed for bankruptcy for $100,000...largely credit card debt? What kind of certified public accountant is that...one who shirks his financial responsibilties and who doesn't know or care how to control spending? Makes it look like the Ingersolls and Geht went to the same 'School of How to Spend Money and Not Feel Responsible for Paying It Back"! Maybe that's the course title of a post graduate-level course for being crooks?

      Delete
    2. For the record, Jan Geht has never personally filed for bankruptcy.

      Delete
    3. Thank you for the correction of some misinformation being circulated.

      Delete
    4. You're welcome. Miss Fortune is all about the facts, Jack!

      Delete
  11. Who thinks he is going to cash out as much ad possible. Passports was surrendered. He might have an enhanced license to go to Canada. I would guess he would tell people he is going to spend some quiet time. Pack up and go south. Get on a boat and disappear. Gent will sell the propertyas his convience with Deborah and when all assets as liquidated after IRS she will keep balance. Ingersoll is to arrogant to believe he deserves prison. I would enjoy seeing him on cuffs but he had nothing. More important than his freedom. When he accepts the verdict and finishes his cash grab he is gone.

    ReplyDelete
    Replies
    1. With approximately $2,700,000 in back taxes and penalties owed for just 2009, 2010, 2011, and not counting the years 2012, 2013, 2014 or the cost of the federal criminal trial (which Ingersoll would have to reimburse the government), there will probably be no assets left for the Ingersolls... just their ASSES, and his will be in jail. Hope her ass gets to go along with her husband's ass if /when the feds find some shenanigans that they can prosecute them both for (him for a longer stay in prison, and her, for her first round there).

      Delete
  12. Do you really believe the no assets? No assets the government can find outside of property. It is why all the quick claim is happening to allow the disposal of traceable assets. His attorneys firm advanced him $250000.- to allow Ingersoll to continue his normal life while claiming poverty to the feds. He has known for three years he was being investigated. The rat has hidden the assets.

    ReplyDelete
  13. Normal people facing a reduction in income would be changing spending patterns. Disposing of assets to obtain the most money available to pay attorney fees and liabilities - not dumping at minimal amounts. Quick claim his interest in "valuable" property to spouse? Who thinks Ingersoll will find the money to enjoy the summer playing around TC this summer out on the greens? Looks like September is the sailing date to ship out of the country.

    ReplyDelete
  14. He is going to run if his verdict is not over turned.

    ReplyDelete