Lawyer accused of harassing, intimidating state employees in EB-5 civil action
BURLINGTON, Vt. (WCAX) - Another legal battle in the Kingdom Con scandal. The Vermont Attorney General’s office is accusing lawyers representing swindled investors in a civil case of harassing and intimidating current and former state employees.
The foreign investors were victims in the massive EB-5 fraud involving Jay Peak and Newport. Their lawyers say Vermont officials knew about the “Ponzi scheme” but did nothing to protect investors.
The AG’s office says that’s false. In a new filing, they say state employees worked in concert with federal investigators. The filing also shows that Vermont employees alerted the U.S. Attorney, the FBI, and the IRS to the possible crimes and worked with Jay Peak receiver Michael Goldberg to recover investor funds. The AG’s office wants a judge to deny the investors’ efforts to amend their lawsuit against the state, arguing that the investors’ lawyers will continue to make “outlandish statements that have no support in an effort to make state employees look like criminals.”
Lawsuit claims Shumlin, state officials had prior knowledge of Kingdom Con
Copyright 2021 WCAX. All rights reserved.