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He better be preparing things now
After the SEC gets through with him I'm pretty sure he won't be able to be an officer of a company ever again.
They did not disclose the settlement
Maybe Taub knew that getting money out of the company due to the Schena judgement would be a tall order and took the insurance settlement. Hard to say.
Maybe released from the burden of the legal proceedings
But not from the judgment of the settlement. Considering all of the other trouble they have been in, this might be heaping more debt on the pile.
Anyone hear about the Dollinger judgement?
The Taub settlement
This is what was proposed before Rene balked:
The parties filed, with Defendants’ confirmation, a joint status report on December 5, 2022 reporting they had reached a settlement
in principle: (1) entry of judgment in favor of Plaintiffs against Arrayit on consent for $20,000,000; and (2) assignment to Plaintiffs of Arrayit’s insurance policy with Berkley mandating payment to Plaintiffs for $500,000 in full satisfaction of the judgment.
I wonder what the final settlement looked like.
Sentencing as to Paul Haje set for 3/4/2024 is Continued to 8/29/2024
Looks like something popped up in the BOP parole report where they (the defense) requested more time. Not really sure what that could be as nothing was mentioned. I'm sure part of his plea was he had to be honest so maybe they found out he wasn't. I'm just guessing. I'm sure everyone will find out on 8/29.
Schena has a status conference for the SEC case scheduled for 7/18/2024. Not sure if there's anything connected there.
Judgment: Default
Looks like a default judgement for roughly $260,000 was entered on 3/8. You can check the Santa Clara County Court site for updates
Yes I knew you were joking
But there has been some wild comments here over the years that have been more far fetched than that. We know now that quite a few comments that came from the company were flat out lies and fraud. I always enjoyed the comments about having a building next to Apple and the twitter followers comments.
Can you give updates from Atwater?
I would think that would be frowned upon. I did think the post comparing ARYC to bitcoin was a bit suspicious. I guess old habits die hard.
But it sure burned to the ground quickly
Didn't it. It's too bad someone wasn't around to fiddle while ARYC felons burned to the ground.
He didn't really do that did he?
He gave out bibles to people on company tours?? Did he grab them from the back of his Porsche? That should have told people something right then and there.
Yes of course
People on here talking about the prison time for all the felons is a great benchmark for you to stay tuned. Just a reminder that anything said on this board neg or pos has no bearing in the reality of what they did to themselves. There's some serious questions moving forward with this company.
So after all the carnage there are two or three people here that still believe and follow the company like nothing has happened in the past couple of years. That's fine, but please don't make it seem like it's all sunshine or people commenting here about the past events are trying to cover things up somehow.
If there's actual good things happening, please try to include facts. General comments, or even worse flat out BS is what got them in trouble with the law in the first place. I'm not against them moving forward at all. I'm just against general comments such as "Oh people are bashing, great things to come!!" type of comments. There's nothing anyone can do now as this is not traded publicly. If there's actual events that are going to take place that would benefit people here that hold shares please discuss. I would still expect negative comments on this board as lot of people got stung by the fraud. And I don't blame them one bit.
Just a few comments
First your numbers are very inflated since the court documents basically said the company was bankrupt. They had every chance to "keep up" with filings when they really needed to, but did not. There's been zero movement on that front. I would doubt anyone would be looking at a company for investment or purchase that was close to bankruptcy. It does not pass the sniff test. Maybe a fire sale type of purchase nothing more. If the products and technology were so great, why almost bankrupt? Pretty much that says either the technology was not proven, or the management was terrible or the worst scenario, a combination of both. They had plenty of time to prove to the market that they had something to offer, but ended up pretty much stiffing everyone, then lying to the public with the result of people going to prison. In any way shape or form, that's not attractive to potential buyers. It sure doesn't help that every press release called Mark out for lying saying he was on the Nobel list and valued the company at 12 Billion and in was not even close (see trial transcript from the expert forensic accountant) .
They stated in the record that they did sell their house to cover legal bills. Mark went from a public defender back to Pickles after the sale was complete.
Rene has 75 Million?? If that's the case, why did Mark stiff his lawyer (see the public record) and file for Paupus (Lat. 'in the form of a pauper. ' Someone who is without the funds to pursue the normal costs of a lawsuit or criminal defense.) Pickles stated on the record that he did not think Mark would ever have the funds to pay. Pickles finished the trial without payment. Kinda odd for a person whos wife would have 75 million. Also, the DOJ has the right to go in and take that money to cover restitution. That has not been covered (as far as public knowledge).
So if the company is going to stay private, why say anything on this board. The attention here is not sudden at all. It's after years of misinformation and gaslighting. Comments now are just updates on the punishment of the felons.
So this is not to say that a purchase could not happen, it's more to say it's unlikely. Either way the funding they received in the final years (or pre trial years) were from "Death Spiral" firms with very unfavorable terms (see court records). That does not seem to me that anyone was willing to purchase or fund anything of substance in a time before all of the legal/DOJ/SEC mess started to come down. Why would that suddenly change? You can add 10,000 new products to the website. If they don't sell or don't have any value technology wise, who cares?
So it's great you remain optimistic. I just think that if anyone decides to drop a sack of money at their doorstep there would have to be some products with a solid history backed with VERY solid financials. So if they do have NDA's or new products coming they will be under extreme scrutiny given their history as a company and what's been made public from the trial. Not to mention they would need time, effort and a strategy to introduce anything new to the marketplace. Right now it seems like a brother and sister doing the best they can to keep the boat above water given flooding from all sides. No more family workers, no more brick and mortar address with still a few lawsuits hanging out there.
Release on November 15, 2030
And I believe that has good time baked into the release date. If he decides to throw any binders in there, he could do the full 8 years. But 11/15/2030 is a long way out. I'm sure there will be some soul searching in there.
Yes that is good news
He will be back home for Thanksgiving and Christmas 2030! I'm sure come November 2023 this board will start to fire up again telling tales of victory and new products coming that will change the world. He will just have that pesky 24 Million to pay back and keep his parole officer happy until 2033. But after that we can expect new buildings by Apple (I would actually choose something next to NVIDA now), big surges of twitter followers and some great post prison partnerships to look forward to.
Cleaned up and finalized
Yes the appeal will be the final part of the legal process. The appeal will review to see if there was any irregularities in the trial. There will not be. The appeal will be denied and will conclude the legal process. The appeal might take years. At a trial in a U.S. District Court, witnesses give testimony and a judge or jury decides who is guilty or not guilty — or who is liable or not liable. The appellate courts do not retry cases or hear new evidence. They do not hear witnesses testify. There is no jury. Appellate courts review the procedures and the decisions in the trial court to make sure that the proceedings were fair and that the proper law was applied correctly.
But if this is a last cry to try and put out there that somehow someway Schena and all of the conspirators will somehow magically get put back in time and absolved of their crimes & good name restored, well that's just not going to happen. Judge Davila is a seasoned judge. The jury gave a unanimous decision on all counts. The appeal will fail.
Winning an appeal in federal court is a huge challenge. The odds are stacked against appellants from the get-go. The vast majority of appeals fail.
Funny, but this board has always been a source of false and misguided hope in the light of overwhelming evidence:
1: Schena Arrested and charged: Postmaster blamed. People on this board accused of being over zealous for reporting to the SEC/DOJ. US Justice system blamed. Big Pharma blamed. Gaslighting was a standard here on the science, the law and just about everything else to try and dismiss what was happening.
2. Schena decides to go to trial: Gaslighting continues. The "REAL" reason they committed crimes will be coming to light! The kickback laws are garbage!! Schena has a right to defend himself!!!! The DOJ is garbage. The legal system is garbage. The SEC took too long to penalize them! Medicare approved the claims so it must be fine!!!!!
3. Schena and all of the conspirators convicted. ALL conspirators go to trial and take the stand against Schena under the penalty of perjury. Any discussion about the what, where and legally why (according to Schena) this all happened was not brought to light in trial. There was no legal justification for these actions. They were caught, brought to trial (or they admitted their guilt) and convicted. If there was anything that could have absolved them from the crimes, the trial was the place to bring it to light. That did not happen. They are now all felons. Criminals. Convicts. Period.
4. The appeal: Yes the appeal has been filed. And it will be denied. There is no magic wand here that absolves Schena from what he did. There will be no magic release from Atwater Camp. There will be no part of the appeal that says "Wait, the grand jury, trial jury, judge or any other part of this process was wrong. Of course Mark Schena is innocent. We restore his name and will let him make his rhubarb and strawberry pies. We called the Nobel Prize people and Schena really WAS on the short list!!!. Of course the company was worth 4 Billion!! How did we miss it all during the years of the trial process??" See how ridiculous that sounds? Why, because it's not reality. The reality is they were all caught, convicted and now must pay their debt to society.
So the date for release is 11/15/2030. I would get used to that, unless he decides to throw some binders at someone in Atwater. Then he will do the full 8 years.
So if anyone believes a White Knight is going to sweep in here and make it all better.....Don't.
What type of filing is due on the 29th?
Didn't they file paperwork absolving them of filing
any SEC documents? I don't believe they will be filing anything. I could be wrong here, I just don't think there's a need and I don't think they have the money to put together a proper filing.
Go back and check the history here
And see why people were put in prison and given millions in restitution. Arrayit was a viable company for many years and went public. Then as the company struggled they stopped filing SEC documents but keep telling investors that everything was on the up and up. They spun marketing stories and avoided their duties as a public company. They fabricated documents to pass lab certifications. They inappropriately filed claims to Medicare by bundling unreliable Covid tests with unwanted/un-needed allergy tests. They paid kickbacks to clinics that used their tests. This is all public information that you can review online.
If you go back and read this board during the time when all this came down, you will see people pointing the fingers everywhere except at the people who committed the crimes. It took a few years, but the DOJ built their case and convicted those involved. All the gaslighters and "disciples" must now see the reality of those actions. So if you are new here there's quite a few years of history to catch up on. And there's quite a few years of prison time for the people that broke the law.
I would say accountability
would be a positive note here. They signed up to be a public company. Then as the company struggled instead of being up front and admitting it, they lied and and committed crimes in the hopes of keeping everything on the up and up. It was a long and frustrating road, but once the music finally stopped people were held accountable regardless of what spin was given and who supported the lie. You can't white wash the truth by telling everyone your building is by Apple or counting twitter followers. You had a greater responsibility which you avoided. You were caught and made accountable for your actions. That's positive and just.
Release Date: 11/15/2030
I'm pretty sure that the appeals will run their course and uphold the trial results. Davala is a seasoned judge and as the DOJ noted they had a wealth of evidence against Dr Schena. That's including 4 conspirators that testified against him. I think we can all feel safe that he will be inside until at least 11/15/2030. That's of course assuming that there's no binder throwing or other such behavior that would extend his sentence to the full 8 years.
It must have been really interesting being a retired lawyer seeing all of this unfold. Most of this defies common sense.
Violating Fiduciary Responsibility
There might be some legal remedy for the people that were damaged here. Fraud was proven at ARYC so the veil of limited corporate liability will not protect the owner in such a case:
https://smallbusiness.chron.com/can-person-owns-corporation-sued-fraud-59472.html
The owner of a corporation has a fiduciary responsibility. That means the investors have placed trust in the owner to manage and protect the company's money and property. If the owner violates that trust by mishandling funds or other company assets and then covering up that violation, investors can claim fraud. The liability protection of corporate status will not protect the owner from this kind of wrongdoing.
A corporate owner also has a fiduciary responsibility to the public and can be found liable if he perpetuates fraud on the public as well. For example, if he forms a corporation that has no money but claims it has cash reserves, and he uses that corporation to sell bonds to the public, he has committed fraud. The veil of limited corporate liability will not protect the owner in such a case.
Not sure what people could go after since there's already 24M in restitution outlined. But I'm guessing if they are still going on as a company then there are assets that might be retrievable. Check with legal resources.
I guess the SEC is the least of his concerns at this point
We still have Paul Haje to be sentenced.
Then the chapter will be closed on all the felons. I'm thinking they give him two years. We will see in March.
It's very sad and confusing on exactly why this unfolded like it did. But we know the consequences now of what happens when you do break the law and then try to gaslight everyone into thinking that you did nothing wrong. Dr Schena has roughly 7 years in an Atwater bunk bed to think about things. Then after 2030 he has three more years to report to the parole board. Not to mention the millions in restitution. Anyone see what the SEC handed down? I'm guessing he's banned forever from being part of a public company.
Hopefully it brings a sense of justice for people who lost a lot of money, and a cautionary tale to those who even think about getting around the system for their own benefit.
Schena stiffed his lawyer so he withdrew
Pickles finished the trial without getting paid. I think Schena has been assigned council Forma Pauperis:
Lat. 'in the form of a pauper.' Someone who is without the funds to pursue the normal costs of a lawsuit or criminal defense. Upon the court's granting of this status the person is entitled to waiver of normal costs and/or appointment of counsel (but seldom in other than a criminal case).
It can also refer to a petition filed by a poor person in order to proceed in court without having to pay court costs such as filing fees.
So I'm sure these are just standard appeals that will run their course and get denied. There would have to be some gross error in the trial format to overturn what has been handed down. I'm sure he's appealing the sentence AND the money he has to pay for restitution. Both will be denied in time. I would expect he would be in camp until 2031 or so.
He's in the minimum security satellite camp
Not that it's any better but he won't be with the hard criminals. He'll be in the bunks in the barracks.
I'm guessing the appeal is pretty standard
Unless there was some error in the trial I think Schena should get comfortable at Atwater Camp.
I don't believe he's been assigned a prison
His report date got moved to 1/24 so I'm sure they will have something by then. Paul Haje is the last to hear his fate. I believe he gets sentenced in March 2024.
Sentencing held on 12/11/2023 for Julie Taguchi
Sentenced on Count(s) 1 of the Information (ECF No. 1 filed June 9, 2020) to One Year Probation with 40 hours of community service; $13,961.45 in restitution, $7,500.00 in fine, $100.00 special assessment.
No prison time. I agree with the court here as it seemed like she got wrapped into this mess. I bet she was lied to as well.
Jablonski & Mohan get their fate
Marc Jablonski (1). Sentenced on Count(s) 1 of the Information (ECF No. 1 , filed May 25, 2021) to 10 months BOP custody, 3 years supervised release, $1,488,202.00 in restitution joint and several with Mark Schena (CR-20-00425-EJD) & Paul Haje (CR 21-00425-EJD), $100.00 special assessment.
Madan Mohan (1). Sentenced on Count(s) 1 of the Information (ECF No. 1 , filed November 20, 2020) to 60 days BOP custody; 3 years supervised release, $71,058.53 in restitution to the healthcare providers; $10,000.00 in fine, $100.00 special assessment.
Sentencing as to Julie Taguchi is continued to 12/11/2023
Looks like the probation department recommended 12 months prison. She's asking for time served, no fine and 3 years probation after paying back the 13K restitution.
Sounds like she has a few health issues as well. She seems like a pretty straight arrow that stupidly got wrapped into all of this. I'm thinking she gets what she wants here. She threw herself on the mercy of the court and took ownership of it all.
The other conspirators will be seeing their fate soon
I believe Madan Mohan & Marc Jablonski gets sentenced on Dec 4. Then Dr Julie. Looks like Paul Haje pushed out his sentence till March as the BOP found something in their review for probation. At least Neilson got a few months for his SEC troubles.
It's been a long time but the wheels of justice finally caught up.
Commissary List
When they designate which prison he is going to, you can always put some dollars there for him 😂
"In 1930 the Department of Justice authorized and established a Commissary at each Federal institution. The Commissary provides a bank type account for your money & for the procurement of articles not issued regularly as part of the institution administration. Funds deposited by your family, friends, or other sources are stored in your commissary account that we maintain"
The defendant shall surrender for service of sentence at the institution designated by the Bureau of Prisons:
on 1/10/2024 (no later than 2:00 pm).
But I'm sure he will do the Balwani/Holmes last min appeal to the 9th which will buy him a few more weeks.
In Forma Pauperis
Looks like Schena's lawyer Pickles has withdrawn from the case and he filed In Forma Pauperis for his appeal. Had to look up “ in forma pauperis”. In forma pauperis is a Latin term meaning "in the manner of a pauper." Maybe the DOJ coming in swiftly and taking that 3 million had an immediate effect.
I'm sure the Taub people are watching closely
You might want to speak with council
I think the investors will be standing in line as there's so many judgements to pay; however there is an option to sue in Civil Court. Since fraud has been proven there's no corporate veil anymore and you can come after personal assets.
But make sure you talk with your lawyer about all options.
Not sure really
I don't know how much they pocketed over those fraud years but he might have had some money saved away. He just filed an appeal after the sentencing (100% expected) so I'm sure he has some money saved away for legal costs. I think that order for the 3 million was no joke and gave the courts full reign to go wherever they needed to grab that money. Then he has the restitution to think about once he serves his time. The courts went in with forensic accountants once all of this came down to make sure he wont try to illegally move money anywhere. I don't know about you but that sounds awful to me.
I also saw Taub's team submitted a document to the court to enforce the settlement or award them 28.5 Million so if that comes down there will be all kinds of hands out for repayment. I believe that was not just Schena but his wife and brother in law too named in the lawsuit.
I don't have the legal experience here to figure out how things get repaid, but IMHO it sounds like Schena and ARYC might be in for a lot of liens on property/bank accounts and any profit that comes out of the company. Not to mention that the corporate veil was pierced once fraud was proven so people can come after them in civil suits as well.
So I know there was a little back and forth on here if justice was served. I think there's nothing good in the future. Schena will go to prison, and then have the restitution hanging over him. I believe that bleeds to the company as well as he was president. So if they sell any technology or have profits the court and others can take it. More lawsuits can come. And that's leaving out the Taub case if it does not go in their favor. If that ruling comes down against them there's another 20-28.5 Million people are going to be clawing for. I totally forgot their old landlord was coming after them as well. And that's the public stuff. Maybe there's more going on than we know.
Sounds to me like prison and years and years of fighting off people that are looking for their judgements. Sounds like hell.
Federal Rules and Criminal Procedure: a Forfeiture Money Judgment in the amount of $2,727,240.
IT IS HEREBY ORDERED that the following property is forfeited to the United States pursuant to Title 18, United States Code, Sections 982(a) and the procedures outlined in Rule 32.2 of the Federal Rules and Criminal Procedure: a Forfeiture Money Judgment in the amount of $2,727,240.
So the restitution might be harder to squeeze out, but this 3M is coming right out now.
Civil Suits
I'm sure investors are very pleased to see new products and the company functioning. When restitution is not moving along they can file civil suits.
Any of the NDA project or/and sale of the company will now be under the restitution rules. Mark will be serving 6.8 years under federal rules (unless he acts up in prison and breaks the rules then he will do the full 8). And they are going to come after the 3 million for the health care fraud right now. Not piece by piece under the 21 million stock fraud. And if when he gets out, if he's not making good on that restitution then they can throw him back in the can.
Sounds like a very rough road ahead for all involved. I'm sure everyone will be moving on the best they can. But it will be a struggle no matter how you look at it
He will have to serve 6.8-7 Years
That's still a decent sentence. Davila really did give him a break and a chance to get out before he's 70 and try to repay his victims.
I think they will immediately go for the 3 million in the health care fraud payback. Then the 21 million will be restitution.
Next up is what the SEC is going to do. Then the rest of the "gang" will see their fate as well. Oh yeah, and the Taub trial should be coming to a resolution as now Schena has received his sentence. Sounds like rocky times ahead.
And the lesson remains, just tell the damn truth. Don't try to posture or embellish, just give everyone the straight shot. Especially if you decide to become a public company. You owe it to everyone to just give it to everyone straight. And if you don't?? You will be in camp fed for 7 years, shamed publicly as a fraud and have 24 million of payback hanging over your head. These are facts now. No amount of "I think this, or the DOJ that" will change it now. Sad, sad story.
Still it's a decent sentence
He will still have to get up at 6AM and lights out at 9 every day. Have limited access to the outside world. Still sounds like prison to me even if there's a tennis court out there. He was not violent so I expected he would be going to camp. But still, for a guy like Schena that's going to be hard time as he's admitted to nothing.
And once a restitution order is entered, it has the same effect as an IRS Lien and allows the government to seize property or assets of any kind without prior notice to help satisfy the judgment. Incarceration does not stop the federal process to enforce the lien.
If a defendant receives “substantial resources” from any source, including inheritance, insurance settlement, life insurance as a beneficiary, or any other windfall, those funds must apply to any outstanding restitution or fine.
Victims, for their part, may secure liens in their own names against the defendant’s property (which could include the company) in order to secure restitution, and they may also bring other civil actions against the defendant.
So he won't be going to Sing Sing, but he will go to prison and have 24 million attached to him for 20 years after he gets out. Not sure how that affects ArrayIt but I'm sure it's not good.