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Judge Herbert Stettin, trustee of Ponzi schemer Scott Rothstein’s bankruptcy estate, will hold onto
claim to the assets of Rothstein’s former law firm, per the ruling of U.S. District Judge James I. Cohn,
but the feds are not done with him just yet.
Cohn’s decision represented a blow to federal prosecutors’ hopes to take over all of Rothstein’s assets
and distribute them to his victims before attorneys could grab a high percentage of the money in fees.
Stettin and his cohorts at Berger-Singerman, the law firm handling the Rothstein Rosenfeldt Adler
bankruptcy shouldn’t celebrate too soon.
Federal prosecutors are livid and have turned their sites on Stettin, whose reign as a judge and
bankruptcy judge have been marred by allegations of impropriety.
Lawyers in the Rothstein case were poised to have a “bonanza” before the government looked to
intervene, Bob Norman wrote in March, noting that Berger Singerman, the law firm Stettin hired to
represent him in the bankruptcy case, requested a fee of more than $1.25 million for work and
expenses between November 10 through January 31.
The federal government filed a forfeiture motion in April that might have not only required Stettin and
co. to hand over the remaining assets but even return legal fees that had already been paid out.
Now it looks like Stettin, who told one lawyer in the courthouse crowd he expected to make enough
on the Rothstein case to step down as a judge and retire, will get to keep his nest egg after all, but
questions persist about his fitness to act as the trustee.
Federal prosecutors are investigating Stettin on a series of allegations similar to those raised in
November by Miami attorney Richard Sharpstein, according to a source familiar with the matter.
1 of 5 8/31/10 10:37 AM
Stettin Under Fed Microscope | Florida Clarion http://floridaclarion.com/2010/07/stettin-fed-microscope/
Abusing his judicial office and the Miami Dade Courthouse for personal gain by conducting a
constitutionally prohibited private law practice while concurrently serving as an appointed
sitting Senior Circuit and Associate Fourth District Court of Appeals Judge with chambers and
a courtroom in the Miami Dade Courthouse;
Filing false sworn financial and gift disclosures with the State of Florida since 1999 that conceal
the sources of millions of dollars in payments and mislead as to the activity of his sole
proprietorship law firm, Hebert Stettin P.A.;
Using the American Arbitration Association as a billing conduit to facilitate the ability of local
lawyers and law firms to secretly and indirectly hire and pay Judge Stettin while at the same
time appearing in his courtroom;
Wielding his judiciary power, under color of state authority as a sitting judge, in private
arbitration proceedings to improperly confiscate millions of dollars in assets to fund his law
firm’s activity;
Appointing “cronies” to a receivership whereby over a span of five years millions of dollars
were misappropriated;
Accepting his appointment as receiver in the Rothstein scandal given either the real or
appearance of conflicts created by Judge Stettin’s ties to members of the Rothstein Law Firm.
Such ties include: Judge Stettin’s recruitment by and lengthy collaboration with Judge Barry
Stone (now a member of the Rothstein Law Firm), on the 4th District Court of Appeals; Judge
Stettin’s service on the 4th DCA with Judge Gary Farmer Sr., father of Rothstein partner Gary
Farmer Jr.; alleged scamster Scott Rothstein’s position on the 4th DCA nominating commission;
and Gary Farmer Jr.’s relationship with Eric Stettin, Judge Herbert Stettin’s son.
Feds are also scrutinizing Berger-Singerman lawyer Charles Lichtman and his arrest for DUI and drug
possession to determine why he was not prosecuted.
Comments 6 Comments
Categories News
Author Bryan Lopez
Princeton Capital Group lends residential and commercial hard money throughout the state of
Florida.
Florida Hard Money
2.
2 of 5 8/31/10 10:37 AM
Stettin Under Fed Microscope | Florida Clarion http://floridaclarion.com/2010/07/stettin-fed-microscope/
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