“SEC Battles For Asset Freeze In $23M Mortgage Fraud Suit”
The U.S. Securities and Exchange Commission told a Texas federal judge Tuesday that the court shouldn’t reconsider its emergency restraining order temporarily freezing the assets of multiple conspirators accused of running a phony mortgage investment scheme that took in $23 million but never invested money in mortgages.
Receiver Jennifer Ecklund told Law360 Tuesday that it is clear that Wammel and his firm were active participants in the scheme and they profited off of it. She said she’s provided “accurate undisputed evidence” showing that an asset freeze was necessary in order to protect the investors’ investments and that it’s telling that Wammel hasn’t challenged that evidence.
The receiver is represented by Timothy E. Hudson, Katharine Battaia Clark, Bill Banowsky and Mackenzie S. Wallace of Thompson & Knight LLP.