Securities & Exchange Commission v. Platinum Management (NY) LLC, et al.

Platinum Receivership


Frequently Asked Questions

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1. Who is the Receiver and what are her responsibilities?

The Court appointed Melanie L. Cyganowski, Esq., as Receiver to marshal the assets of the entities in Receivership and, ultimately, develop a plan for the disposition of these assets. In addition, the Receiver will file periodic reports with the Court regarding her activities. These reports will be posted to this website after they are filed with the Court.

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2. Can I get my money back now?

All funds must remain frozen until the Court authorizes otherwise.

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3. Will I get all of my money back?

It is too soon to determine how much investors will receive or when. Although the Receiver cannot provide a date certain for when distributions will be made, based upon her review to date of all the assets of the entities in Receivership, she does not expect that investors will recover 100% of their invested funds. Indeed, it is likely that they will recover significantly less. The Receiver will make every effort, within the context of a liquidation process, to recover and distribute as much as possible to investors.

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4. If the Receiver believes that it is likely investors will not recover 100% of their invested funds, then should investors “write-off” their investment?

The Receiver cannot provide investors with tax advice; thus, everyone should consult their own tax advisor on this issue.

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5. How can I stay informed of progress in this case?

Periodic review of this website is the best way to stay abreast of developments in this Receivership. The website will be updated on a regular basis.

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6. Do I need to file a claim form?

Not at this time. At some point, the Receiver will recommend that the Court approve a process for investors to submit claims. Once the protocol is approved and established, the Receiver will provide notice of it to investors, including by posting the relevant details on this website.

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7. What if I already filed a claim form with the prior receiver, Bart M. Schwartz?

Previously filed claim forms do not need to be resubmitted to the Receiver.

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8. If I have other questions, how can I get them answered?

You can contact the Receiver by emailing platinumreceiver@otterbourg.com or calling William Edwards at Goldin Associates, tel. no. (212) 593-2255.

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9. Is the Receiver my lawyer?

The Receiver is not your lawyer, and she cannot provide you with legal advice. She is the Court’s agent, and she is charged with effectuating the provisions of the Court’s Orders. The Receiver will, however, be investigating potential claims and/or methods of recovery for the benefit of investors.

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10. I have not received a K-1 for this tax year. When can I expect to receive one?

K-1s for members invested in PPCO Fund LLC were sent their K-1 statements via U.S. Mail on December 13, 2017. The Receiver expects Deloitte Tax LLP to complete its work soon on the remaining K-1s, which will be issued shortly thereafter.

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11. Will any investors be paid ahead of others?

The Receiver has not yet devised a plan by which funds will be distributed to investors. The Receiver, however, is mindful that any such plan must be fair and equitable. That plan will ultimately be subject to review and approval by the Court upon proper adequate notice to all investors.

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12. Who can I contact regarding any of my questions as a PPVA (USA) investor?

Borrelli Walsh has been appointed in the Cayman Islands to serve as liquidator of PPVA (USA). If you are a PPVA investor, please email your questions to ppvaonshore@borelliwalsh.com or call Robert Shifman at (345) 743-8800.

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