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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Segoes defying court order
Alan Markoff
Thursday 19th May, 2005 Posted: 16:53 CIT (21:53 GMT)
caycompass.com
The Cayman Islands Monetary Authority issued a statement Tuesday stating John Kaweske and James Fontanetta, directors of Segoes Services Ltd, have not complied with two court orders for information concerning the company’s business practices.
Segoes Services Ltd. was put into joint provisional liquidation on 29 April. This morning in Grand Court, a petition is being made to wind up the company by putting it into formal liquation.
“The winding up process would allow us to start dealing with creditors and distributing assets,” said Kenneth Krys one of the joint provisional liquidators of RSM Cayman Islands.
CIMA’s public notice stated: “The primary duties of the JPLs are to locate, protect, secure and take into their possession and control all assets, books, papers and records to which the Company is or appears to be entitled.”
Mr. Krys said he and the other joint provisional liquidator, Christopher Stride, have been doing just that, both here and overseas.
“We’ve taken a number of steps,” he said, noting that he had just returned from the United States where he had obtained a temporary restraining order through a Miami court to freeze Segoes assets in Florida and New York.
Mr. Kyrs said injunctions against third parties have been issued to hold assets of Segoes and its related entities in other countries as well.
The companies include Segoes Services Ltd., Segoes Trust and Segoes Holdings Ltd. here in Cayman; Segoes Bond Fund and Segoes Administration in the British Virgin Islands; Segoes Holding Ltd., Segoes Services and Segoes Securities in Belize; and Laxberg SA in Ecuador.
CIMA issued a public notice 26 October, 2004, stating that Segoes was not authorised to conduct securities investment business in or from the Cayman Islands and that it was not otherwise regulated by the Authority.
Segoes then withdrew its licensing application and started doing business here as Segoes Services Ltd. instead of Segoes Securities Ltd.
At that point CIMA sought additional information from Segoes.
“Pursuant to Section 34(8) of the Monetary Authority Law (2004 Revision) the Authority required John Kaweske, James Fontanetta and the company to provide the information,” CIMA said in Tuesday’s statement.
“Adequate answers were not provided…and as a result…the Authority applied to the Grand Court for an order requiring John Kaweske, James Fontanetta, and the Company to comply with the Authority’s request for information in order to determine whether the Company was conducting securities investment business in contravention of Securities Investments Business Law.
CIMA noted that court orders dated 22 December 2004 and 24 March 2004 had not been complied with.
Mr. Krys confirmed that Mr. Kaweske and Mr. Fontanetta were directors of Segoes Services and many of its related entities.
Contrary to a recent statement made by another Segoes employee, Rebeca Gonzalez, Mr. Krys said his investigation did in fact find Ms Gonzalez was a director of one Segoes entity, Segoes Administration Ltd. in the British Virgin Islands.
Ms Gonzalez reiterated in a telephone interview on Wednesday that she was not a director of any Segoes company to her knowledge.
“I’ve never even heard of a company called Segoes Administration,” she said. “I didn’t even know we had companies in the British Virgin Islands.”
Mr. Krys said he had discovered only limited Segoes assets here in the Cayman Islands.
“We’re still in the initial step of gaining information,” he said, adding that he expects to learn some things from the interested parties who will speak at the Grand Court proceedings today.
In another development in the matter, the two petitioners for the liquidation will have new counsel today, with Attorney Peter Broadhurst of Broadhurst Barristers now representing them.
The petitioners were represented in court by Alistair Walters of Campbells when the joint provisional liquidators were appointed.
Mr. Krys said the switch of attorneys had to do with avoiding a potential conflict of interest.
Campbells was acting for the petitioners, who are potential creditors of the company. The firm also instructs the joint provisional liquidators, who represent the interests of Segoes as a company.
In an affidavit sworn by Mr. Kaweske and published in the 12 May issue of KYC Alert, Mr. Kaweske states that Campbells also represents Myron Gushlak.
Mr. Gushlak’s name has been mentioned in connection with Segoes, but Mr. Krys said he did not believe the change in attorneys had anything to do with Mr. Gushlak.
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