Opinion ID: 3063949
Heading Depth: 3
Heading Rank: 2

Heading: The Hawksbay Ten Million

Text: In their brief, Defendants lay out the transfers of the Hawksbay ten million from 1998-2002. In 1999 the entire sum was transferred to IHAG Bank in Zurich. In 2000 the funds were combined with monies in which Reizen had an interest and used to purchase Powell Portfolio, Inc., BVI (“Powell”) bearer shares. These shares were held in a UBS account and then transferred to the Avenin Group Ltd., BVI (“Avenin”) where they were pooled in a one hundred million dollar investment.1 The proceeds from the sale of the Avenin Note were sent to the Canadian Brokerage Firm, Pentstone Investment, and then to Walter Schumacher’s client account in Switzerland in 2001. Hawksbay’s lawyer, Auberson, was able to 1 These transactions were facilitated by a Swiss lawyer, Walter Schumacher. Schumacher pooled Hawksbay’s funds with the resources of a number of his clients to invest in Avenin. 5 trace the funds to the Avenin account, but subsequently lost the trail. Auberson looked, but did not find any funds in the Swiss banks, Schumacher’s account, or in Canada. The parties dispute what happened to the money next. Hawksbay asserts that the funds in Schumacher’s client account were then transferred by Reizen to Solowsky’s Interest on Trust Account in October 2006 - the funds transferred to Solowsky’s trust account are discussed in detail below. Defendants, however, claim that after the funds were moved to Schumacher’s account the trail goes cold and that there is no evidence to link the funds in Switzerland with the funds Reizen transferred to Solowsky’s IOTA account.