Judicial Corruption in Chapter 11 Bankruptcy Courts
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Judicial Corruption in Chapter 11 Courts his chapter focuses upon still another form of corruption that inflicts enormous harm upon the American people, and which was used in an effort to silence me. The sham California lawsuit and the refusal by California and federal judges to provide relief from the judicial civil right violations were inflicting serious financial harm upon my real estate business. Mortgage loans that periodically came due could not be refinanced because of the lis pendens the Friedman law firm had placed on my properties. Valuable properties with hundreds of thousands of dollars in equities were lost. Other loans were coming due and I had to do something to circumvent the judicial scheme misusing the courts to destroy me financially. The Friedman law firm refused to allow the existing loans to be replaced with comparable loans, even though the properties they claimed their Texas client owned with me as community property would be lost. Their intent was to destroy me financially. Exercising Chapter 11 Remedies for Civil Rights Violations Chapter 11 is intended to provide time for people with net worth to pay a particular financial obligation and to remain in control of their business and other assets. I had no financial problems. My problems consisted of the deluge of civil right violations judicially inflicted and the concurrent voiding, for me, the state and federal protections that would have halted the attacks in their track. Taking the plain language of Chapter 11 at its word, I exercised Chapter 11 protections for these violations, which was probably the only time in history this was done. This approach was unorthodox, exercising Chapter 11 courts to force federal judges to provide declaratory and injunctive relief to which I was entitled and long overdue. I filed two cases in May of 1987. One was a personal Chapter 11 filing and the other was for my corporation, Western Diablo Enterprises. My plan was to bring the block of civil right violations to the attention of the Chapter 11 judges and have the lis pendens associated with the sham California action dismissed. The idea had merit, but unknown to me at that time, the judicial corruption didn’t stop at the state level, or at the federal district and appellate levels. It was even worse in the Chapter 11 courts. I discovered an entirely new area of corruption that had a devastating influT 34 Defrauding America, Volume One ence upon thousands of American citizens who fell victim to tentacles of the same corruption. Because of the media cover-up of the bankruptcy court corruption, I had no warning of the endemic corruption in the Chapter 11 courts. I hired a San Francisco area lawyer to file a personal and a corporate Chapter 11 case for me, and he in turn hired Las Vegas lawyer, Joshua Landish.45 The cases were filed in Las Vegas where I owned a condominium. The intent of filing the two Chapter 11 cases was to have federal judges declare my personal and property rights legally established in the five divorce judgments by applying federal law; and to have the related lis pendens removed. The cases were assigned to federal Judge Robert Jones. Instead of providing relief, Judge Jones protected the Friedman law firm and the California judges who committed the civil right violations. He was duty-bound to halt these violations. Jones duplicated the tactics of the U.S. District Judges, and refused to address the violations of my federally protected rights by the Friedman law firm and California judges. However, Judge Jones did provide some relief initially. During a September 11, 1987, hearing, he rendered an order refusing to accept jurisdiction over the two cases, ordered the removal of the lis pendens, and stated he was dismissing the two Chapter 11 filings. He delayed executing the order dismissing the cases for sixty days, permitting me time to refinance the mortgages that came due. On the basis of the verbal order lifting the lis pendens, I obtained a firm refinancing commitment to pay off the $550,000 in mortgages that had come due46 and felt a sigh of relief that part of my problems were now addressed. But my relief was short-lived. Someone apparently got to Judge Jones after his September 11 decision. Sabotage by My Own Lawyers Las Vegas lawyer Joshua Landish, hired to protect my assets, proceeded to sabotage me. He did not notify me that there was a court hearing on September 28, 1987, for the personal bankruptcy case. This hearing was on a motion by lawyer Estelle Mannis (Oakland, CA) for mortgage holder Robil, Inc., and Superior Home Loans, both of Hayward, California, to obtain relief from the automatic stay so they could foreclose on several of my properties.47 They filed this motion immediately after Judge Jones rendered a decision refusing to accept jurisdiction and ordering removal of the lis pendens, permitting me to refinance the mortgage and pay it off. Disregarding the absence of jurisdiction to hear the motion because of the refusal to accept jurisdiction, that hearing to remove the automatic stay had to be limited to that issue and to the personal Chapter 11 case, which contained only a small part of the $10 million in assets. Nothing could be addressed concerning the corporate filing that contained most of the $10