Dallas businessman Sam Wyly files for bankruptcy over $300 million forfeiture

[TexasTowelie]

Source: Bloomberg News

Oct. 20 (Bloomberg) — Sam Wyly, the U.S. businessman who may have to forfeit as much as $400 million after being found liable for using offshore trusts to hide stock holdings and make illegal trades, filed for bankruptcy.

Wyly, blaming “massive costs” from a U.S. Securities and Exchange Commission probe and litigation, yesterday listed assets and debt ranging from $100 million to $500 million each in a Chapter 11 petition in U.S. Bankruptcy Court in Dallas, where he lives.

The SEC, which sued Wyly in 2010, is Wyly’s second-biggest creditor, with a “disputed” claim of $198.1 million, according to the court papers. Wyly listed the Internal Revenue Service as his biggest creditor, saying the size of that debt, also disputed, is unknown.

Other debts include a $20,000 grant commitment to the Third Church of Christ, Scientist in Dallas and $383.20 in membership dues for the Dallas Country Club, Wyly said in his filing.

Read more: http://www.dallasnews.com/business/business-headlines/20141020-dallas-businessman-sam-wyly-files-for-bankruptcy-over-300-million-forfeiture.ece

[PeoViejo]

1. Greed

Psychopath bites it.

[jtuck004]

2. So his two biggest creditors are us? n/t

[TexasTowelie]

4. Yes.

He will be kicked out of the country club and standing in the welfare line tomorrow.

[rpannier]

3. So sad

Can you see the tears?
- King Louis XIII (Jean-Pierre Cassel). The Three Musketeers. 1973

[blm]

5. Swiftboat funding liar!

I heard his brother regretted the lies before he died. Yeah....AFTER they helped Bush drive the nation to the edge of a cliff.

[karynnj]

16. Thanks BLM - I thought Wyly sounded familiar

It is amazing that so many that funded that band of liars are in many other ways cheats. Amazing that they had so little patriotism that they did not even pay the taxes they should of, but thought they could smear John Kerry's real patriotism and love of country.

As to his brother regretting the lies before he died, I have as little real respect for that as I do for Atwater's end of life regrets. ( I also think of Chuck Colson, who went to prison for his Nixon era behavior and "found God" there. While he has used that to have a new life - if he REALLY repented and regretted the actions he did in the 1970s, he could have REALLY atoned in real life by speaking out against the lies of his 1970 era puppet O'Neil in 2004. It is rare when someone does something wrong of that sort, that they get such a perfect opportunity to actually act on the repentance they say they feel. He did after all apologize to Kerry back in the 1980s, but that was not atonement. )

[Downwinder]

6. The offshore trusts sink?

Losing $1.1 billion must be some sort of a record.

Better not stiff the Dallas Country Club might lose golf privileges. Notice AMEX is not listed. He will get to keep his card.

[valerief]

7. Wonder where he's hiding most of his money now. nt

[TBF]

20. That's what I was thinking!

There's probably plenty more hidden away in other accounts.

[FSogol]

22. Hopefully Ireland.

http://online.wsj.com/articles/ireland-to-close-double-irish-tax-loophole-1413295755

[valerief]

23. Ha!

[PeoViejo]

8. Big Karma bites.

No Mordida for you.

[herding cats]

9. Wyly Brothers, Top Republican Bankrollers, Accused of Massive Fraud

Charles Wyly Jr. and Samuel Wyly, Texas businessmen and brothers who are among the nation’s most generous campaign donors to Republican political candidates and causes, were today hit with a Securities and Exchange Commission lawsuit accusing them of fraud worth hundreds of millions of dollars.

Beneficiaries of Wyly brothers cash together compose a who’s who of the decade’s most notable Republicans, with dozens of top GOP partisans’ campaign coffers touched by Wyly money.

Together with their wives, the Wyly brothers have donated nearly $2.5 million to Republican candidates and committees during the past 20 years, a Center for Responsive Politics analysis reveals.

During the past 20 years, Charles and Dee Wyly have donated $855,150 to the Republican National Committee, while Samuel and Cheryl Wyly donated $483,900 to the RNC, the Center’s research indicates.

Both brothers have also contributed more than $100,000 each to the National Republican Senatorial Committee. The National Republican Congressional Committee, meanwhile has received $106,000 and $44,500 from Samuel Wyly and Charles Wyly respectively.

http://www.opensecrets.org/news/2010/07/wyly-brothers-top-gop-bankrollers-a/

Just to make sure everyone is fully up to date on this man.

[TexasTowelie]

12. Thanks.

Here are some other threads that I posted about the Wylys:

U.S. judge orders Sam Wyly and Charles Wyly's estate to surrender more than $187M in fraud case
http://www.democraticunderground.com/107820993

Rep. Jeb Hensarling's deep ties to billionaire Wyly brothers could bring trouble
http://www.democraticunderground.com/107818071

[Hoppy]

10. Why no criminal indictment for illegal activiti......

Oh, I forgot. Holder is the attorney general.

[freshwest]

11. Losing money and face to these guys is worse than jail. May he think a long time on his shenanigans.

[Curmudgeoness]

15. They don't see it as losing face.

I was shocked the first time I heard a businessman tell me that bankruptcy was a "business strategy".

[freshwest]

17. Not talking about the bankruptcy, about the financial loss. Less money to buy friends.

[alcibiades_mystery]

13. Debts discharged for the multi-millionaire swindlers, but not the student with $40,000 in loans

FUCK THE BANKRUPTCY LAWS SIDEWAYS.

[rhett o rick]

14. And little or no protection for people losing their homes. We need more change than HRC will

bring. Just sayin'.

[mb999]

19. The plutocraps are allowed to shuffle personal debts into corporations

"personal responsibility" is for the peons.

[closeupready]

21. Right? Orwellian = 2005 Bankruptcy Abuse Prevention Act.

Stripping many little people from the right to appeal to the federal government for protection from creditors in matters relating to financial health and which act did nothing to stop serial bankruptcy abuse like this.

[calimary]

18. Here:

Got this for him: