Virtually none of it will ever be paid. That's a simple fact. Go check out almost every other pennyscam restitution award and see how much is actually paid out.
If they are LUCKY, they'll get pennies on the dollar.
Pennyscammers don't comply. They usually don't take jobs that produce W-2s so there is little wage income to garnish. They have put all the assets in trusts and in their spouse/parent's names early on.
Hstorically, over 95 percent of SEC penalties, fines, disgorgements, and restitution awards go unpaid. That's just a simple fact.
And no fool will pay $50,00 to a lawyer to get an unenforceable judgement - that would be both pointless and fruitless.
Look up the term "judgment proof" and you'll figure out why 95 percent of assessments go unpaid.
Of look at the Wolf of Wall Street - he left prison, made millions, and paid virtually nothing on his restitution.
It's easy to avoid and there is no real recourse. You can't get blood from a stone, and nobody is going to work on the books only to see their salary garnished - so they don't work on the books. Their income doesn't even flow to them - it goes to LLCs, family members, or other places that are untraceable.
Here's how I'd do it if I was Mosky (just off the cuff here). Set up an LLC with mom, dad, and wifey as the directors and management - Steve's name nowhere. Have the company shares held in a trust for the family (nott Steve) and also in family member names if you want. Have LLC "hire" Steve for minimum wage and ungarnishable fringe benefits like full-paid health insurance for the whole family, life insurance, disability insurance (disability payments cannot be garnished in most states), company 401(k) plan and company full contribution, full vision and dental for the family - none of these can be garnished nor are considered income.
Steve goes out and conducts business - let's say the LLC sells kosher foods and sports/concert tickets - or anything really. All income is to the LLC, nott Steve - he only gets minimum wage and those non-garnishable benefits. The LLC pays all the family's expenses - the house is in wifey's name or in a trust.
Steve is untouchable. He'll live a comfy life and he'll pay not a penny in restitution. Good luck even getting a garnishment order against a guy getting paid minimum wage - better luck collecting that judgment.
He owns nothing. His income doesn't go to him - only a minimum wage and some awesome benefits. He's in a tax bracket where he'll pay virtually no taxes on his personal income.
There are thousands of other ways to do it.
If the restitution awardees get 1 or 2 cents on the dollar, they will be very, very lucky. Think about it - if the SEC can't even collect on 95 percent of the judgments due to the SEC (who has the lawyers to go after the restitution payors), how would one expect private parties to do any better - and pay out of their own pockets for lawyers to go get judgments/court orders that will never be collected anyway.
