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Date Signed:
September 3, 2015

UNITED STATES BANKRUPTCY COURT

DISTRICT OF HAWAII
In re

Case No. 15-00044

Chapter 13

HENRY MACASIO MALINAY and

MARILYN CORPUZ MALINAY,
Debtors.
STATE OF HAWAII, by its OFFICE
OF CONSUMER PROTECTION,

Adv. Pro. No. 15-90017

Related Docket No. 11

Plaintiff,
vs.
HENRY MACASIO MALINAY,
Defendant.

FINAL JUDGMENT
For the reasons stated in this Courts Findings of Fact and Conclusions of Law,
IT IS ORDERED, ADJUDGED, AND DECREED:

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1.

Final judgment is hereby entered in favor of Plaintiff State of Hawaii Office

of Consumer Protection (OCP), and against Defendant Henry Macasio Malinay

(Defendant), for all of the relief requested in OCPs Complaint filed March 16, 2015.
2.

The people identified in the following table are awarded restitution from

Defendant in the amount of SEVENTY-FOUR THOUSAND DOLLARS ($74,000),

computed and allocable as follows:
Consumer

Restitution Award

Sally Haber Pico

$2,900

Rodrigo Simon

$3,900

Hilaria F. Taborada

$4,000

Romeo Lopez

$3,400

Prima Gijal

$2,450

Marites C. Quedding

$2,950

Margarita Barut

$1,500

Reina M. Mata & Robert Mata

$3,100

Ceasar Lizada & Luz Lizada (re E. Lipoa St.)

$4,300

Ceasar Lizada & Luz Lizada (re Huaka St.)

$4,000

Froilan Lagazo

$3,500

Rudy Gazmen & Bessie Gazmen

$4,500

Loreto B. Callos & Jusepina B. Callos

$3,300

Loreto B. Callos & Clarita R. Callos

$5,500

Felicitas C. Pasion

$4,300

Elvira Y. Andaya & Larry C. Andaya Sr.

$4,050
2

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Nelia A. Fabella

$4,050

Gudencia Simon & Herminio Simon

$3,900

Rosario L. Kalb

$3,900

Antonio Palacio & Enriqueta Palacio

$4,500

3.

OCP is awarded non-compensatory fines and penalties against Defendant

Henry Malinay in the amount of TWO HUNDRED THOUSAND DOLLARS

($200,000).
4.

The restitution awarded to the consumer-complainants totaling $74,000 is

nondischargeable in this bankruptcy proceeding and in any future bankruptcy filing in

which Henry Malinay is a debtor.
5.

The non-compensatory fines and penalties awarded to OCP totaling

$200,000 are nondischargeable in this bankruptcy proceeding and in any future

bankruptcy filing in which Henry Malinay is a debtor.
6.

Defendant Henry Malinay, and his agents, successors, assigns and all other

persons acting in concert or in participation with him are permanently enjoined from:
a.

Publishing, broadcasting or disseminating through any medium,

including the internet and email, any advertisement, announcement, promotion or statement
to homeowners offering services in any way related to mortgages, foreclosure, loans, liens,
debt relief, or debt adjustment, including but not limited to services pertaining to mortgage
reduction, foreclosure avoidance, foreclosure relief, foreclosure defense, loan modification,

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refinancing, debt counseling, debt relief, debt forgiveness, debt consolidation, and credit
counseling.
b.

Providing any kind of financial advice to homeowners, including

advising homeowners not to pay their mortgages, creditors or debts, or advising homeowners
not to communicate with their creditors.
c.

Recording any documents in the Bureau of Conveyances of the State

of Hawaii, whether directly or indirectly through any third party, except those legitimate
filings which pertain personally to Henry Malinay or Marilyn Malinay.
d.

Acting as a distressed property consultant as that term is defined

in HRS 480E-2.
e.

Engaging in any and all activity that involves real property in which

the real property:

i.

is in foreclosure, or at risk of foreclosure because payment on

any loan secured by residential property is more than sixty days delinquent;
ii.

has had a lien or encumbrance charged against it because of

nonpayment of any taxes, lease assessments, association fees, or maintenance fees;

iii.

is at risk of having a lien or encumbrance charged against it

because the payment of any taxes, lease assessments, association fees, or maintenance fees
was more than ninety days delinquent;
iv.

secures a loan for which notice of default had been given; or

4

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v.

secures a loan that has been accelerated.

f.

Advising or discussing matters of consumer credit with anyone.

g.

Promoting any debt elimination service.

h.

Claiming to have the ability to eliminate debt.

i.

Advising consumers, as the term consumer is defined in HRS

480-1 (consumers), to apply for credit cards or raise their credit limits.
j.

Advising consumers how to use their credit cards.

k.

Advising consumers not to pay their credit card debt.

l.

Acting as a Provider of a Mortgage Assistance Relief Service, as

those terms are defined in Section 1015.2 of 12 C.F.R. Part 1015, commonly known as
the MARS Rule.
7.

This judgment shall be effective immediately, and not subject to any stay

under the Bankruptcy Code, the Federal Rules of Civil Procedure, or the Federal Rules
of Bankruptcy Procedure.
8.

This Court shall retain jurisdiction of this matter for purposes of

construction, modification and enforcement of this judgment and for all other purposes,
particularly enforcement of the permanent injunction, although as the need may arise the
permanent injunction may also be enforced before any court where venue is proper based
upon alleged conduct in that venue which is enjoined by the terms of this permanent
injunction.
5

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9.

This judgment fully adjudicates all claims pled by all parties, and there are

no remaining unresolved claims by any party hereto.

END OF FINAL JUDGMENT

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