Doc 341 Extract Part 2
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Altomare produced on July 2, 2008, copies of the 2008 bank statements for his Wachovia checking account 5480.[2] These bank statements show deposits of $51,406.13 during the month
ending February 6, 2008, $5,971.50 during the month ending March 6, 2008, $20,650.68 during the month ended April 8, 2008, $11,998.94 during the month ended May 6, 2008, and $1,490.21 during the month ended June 5, 2008. However, Altomare has provided no explanation of the sources of the $91,517.46 in funds, other than the recurring monthly payment of $305.53 from a retirement fund that are noted on the account statements. Altomare has not produced copies on his wife’s account at Commerce Bank for the period from January 9, through June 12, 2008.
Altomare has failed to provide evidence on the disposition of the $571,000 in cash that he received from his transfer of jewelry, watches and silver bars to The Estate Department in September 2007. The Second Hand Dealer forms completed by The Estate Department and filed with the Palm Beach County Sheriff’s Department indicate the sales occurred on September 24, and 25, 2007. The SEC has requested that Altomare identify every cash deposit made from the $571,000 in proceeds received from the sale of the jewelry and other items. He has not provided that information to date. Assuming that all the cash deposits into the Wachovia account 5480 after September 24, 2007 through June 5, 2008 came from the proceeds from the jewelry transactions, these deposits total $243,750 during 2007, and an additional $90,000 during 2008, which is less than the $371,000 represented in Altomare’s Response at p. 20. Altomare testified that they deposited $200,000 from the jewelry proceeds into his wife’s account at Commerce Bank. Together these amounts total $533,750, which is $37,250 less than the total proceeds from the jewelry transactions. Altomare has provided no information on where the $37,250 in
funds is currently located or proof of his disposition of those funds.
[1] Altomare did not provide a copy of the insurance policy with Chubb, so the SEC has no information on what assets that policy covers.
[2] These documents were requested in Plaintiff’s Third Request for Production of Documents issued on June 12, 2008.
Altomare claims that $1.7 million in compensation that he received from Universal Express in 2007 has been spent. Response at 40. His bank records for the Wachovia checking account 5480 document the receipt and disbursement of $825,669.72 of those funds, and the payroll records show tax deductions of $607,628.97. Exhibit 11, [Docket # 338-10]. Yet he has not been able to explain into what account or accounts he received the benefit of the balance of $311,204.95. He claims this information is available through the controller of the Universal Express, but he has failed to meet his burden of providing an affidavit from her explaining these transactions.
Altomare has failed to produce complete records of the credit card statements for the more than fifteen credit card accounts that he and his wife have. These accounts have been the source, on occasion, of cash advances paid into the Wachovia checking account 5480, but Altomare could not identify the third parties to whom other cash advances had been paid. See
Altomare deposition transcript at pp. 75- 79, 104-106, which is Attachment A to SEC Second Submission on Contempt [Docket # 338-1], and attached deposition Exhibit 22, at p. 50113, Exhibit 37 at p. 50125, Exhibit 38 at p. 50196. He did not identify the source of $8,000 in cash deposited by Mrs. Altomare on September 5, 2006. Response at 39.
Altomare asserts his only assets are his ownership of Universal Express securities, a percentage ownership in the Jackson Family Memorabilia Collection, and partial ownership of
two judgments obtained by Universal Express. He has not yet produced documents showing his ownership of part of the Jackson Family Memorabilia although requested during his June 26, 2008 deposition. Altomare has also failed to produce any documents related to his personal transfer of 8,500,000 shares to Segoes Trust located in the Grand Cayman Islands or his receipt of compensation related to that transaction.[3] See Exhibit 69 attached. From this transaction, it appears Altomare has an interest in an offshore entity. He has not tendered any of these assets to the SEC toward satisfaction of the judgment.
[3] Altomare’s passport indicates that he traveled to the Cayman Islands.
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07/18/2008 341 STATUS REPORT. Reply to Second Submission on Altomare Contempt Document filed by U.S. Securities and Exchange Commission. |
