Javitch v. Capwill

MEMORANDUM OPINION

KATZ, District Judge.

Background

This case is an outgrowth of the Liberte v. Capwill 1 litigation which has spawned related litigation both in the state and federal courts. Victor M. Javitch is presently the Receiver 2 in the Liberte litigation. In that litigation, Liberte Capital Group, Inc. (“Liberte”) and Alpha Capital Group (“Alpha”) contend that James A. Capwill (“Capwill”), through the entities Viatical Escrow Services, LLC (“VES”) and Capital Fund Leasing (“CFL”), unlawfully diverted investor funds escrowed for insurance premiums or awaiting placement in viatical…