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7th Circuit rules on garnished 'Sidewalk Six' money

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One of East Chicago's so-called "Sidewalk Six" convicts is the subject of a 7th Circuit Court of Appeals ruling today, though the case more accurately centers on the $25 million in restitution he was ordered to repay and whether those garnishments should be considered marital assets during his subsequent divorce proceedings.

In U.S. v. Frank Kollintzas, Appeal of: Joanna Kollintzas, No. 06-2034, the appellate court affirmed a decision by U.S. District Chief Judge Robert Miller in South Bend that Joanna Kollintzas did not prove her property interest under Indiana law and the court properly granted a government motion to release the funds for garnishment.

Frank Kollintzas was convicted in November 2004 of converting money from East Chicago in the so-called Sidewalk Six scandal, which involved political allies of long-time Democratic Mayor Robert Pastrick who spent more than $25 million to lay free concrete and make improvements to properties in exchange for votes in the 1999 primary election. The criminal case surfaced in 2003, and eventually 12 city officials and contractors - including then-city councilor Frank Kollintzas - were sentenced to prison for taking part in the scheme. Kollintzas disappeared after trial and didn't appear at sentencing; he has not been found.

After being sentenced in absentia and ordered to repay the $25 million, the garnishment proceedings began in federal court and his wife Joanna subsequently filed for divorce in state court. She obtained from the state court an ex-parte temporary restraining order prohibiting the garnishee defendants from transferring any funds, but the District Court ultimately determined the government's liens relating to Frank Kollintzas' property were superior to her claim to martial property because "the liens were perfected before she filed for divorce," and she failed to specify how much income she had contributed to the "marital pot."

Circuit Judges Diane S. Sykes and her colleagues agreed, writing, "Her claim that she has a presumptive right to half of the marital property in her divorce action under Indiana law is subject to the government's previously perfected liens, which encumber the Assets to the extent they are part of the marital estate. Mrs. Kollintzas asserted a generalized marital property interest in the district court, but made no effort to establish the amounts (if any) she contributed to the various Assets subject to garnishment. Accordingly, the district court properly concluded that Mrs. Kollintzas failed to establish a claim to the Assets superior to that of the government."

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  1. I gave tempparry guardship to a friend of my granddaughter in 2012. I went to prison. I had custody. My daughter went to prison to. We are out. My daughter gave me custody but can get her back. She was not order to give me custody . but now we want granddaughter back from friend. She's 14 now. What rights do we have

  2. This sure is not what most who value good governance consider the Rule of Law to entail: "In a letter dated March 2, which Brizzi forwarded to IBJ, the commission dismissed the grievance “on grounds that there is not reasonable cause to believe that you are guilty of misconduct.”" Yet two month later reasonable cause does exist? (Or is the commission forging ahead, the need for reasonable belief be damned? -- A seeming violation of the Rules of Profession Ethics on the part of the commission) Could the rule of law theory cause one to believe that an explanation is in order? Could it be that Hoosier attorneys live under Imperial Law (which is also a t-word that rhymes with infamy) in which the Platonic guardians can do no wrong and never owe the plebeian class any explanation for their powerful actions. (Might makes it right?) Could this be a case of politics directing the commission, as celebrated IU Mauer Professor (the late) Patrick Baude warned was happening 20 years ago in his controversial (whisteblowing) ethics lecture on a quite similar topic: http://www.repository.law.indiana.edu/cgi/viewcontent.cgi?article=1498&context=ilj

  3. I have a case presently pending cert review before the SCOTUS that reveals just how Indiana regulates the bar. I have been denied licensure for life for holding the wrong views and questioning the grand inquisitors as to their duties as to state and federal constitutional due process. True story: https://www.scribd.com/doc/299040839/2016Petitionforcert-to-SCOTUS Shorter, Amici brief serving to frame issue as misuse of govt licensure: https://www.scribd.com/doc/312841269/Thomas-More-Society-Amicus-Brown-v-Ind-Bd-of-Law-Examiners

  4. Here's an idea...how about we MORE heavily regulate the law schools to reduce the surplus of graduates, driving starting salaries up for those new grads, so that we can all pay our insane amount of student loans off in a reasonable amount of time and then be able to afford to do pro bono & low-fee work? I've got friends in other industries, radiology for example, and their schools accept a very limited number of students so there will never be a glut of new grads and everyone's pay stays high. For example, my radiologist friend's school accepted just six new students per year.

  5. I totally agree with John Smith.

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