Bacchus Capital & Meridian Equipment File Partial Motion for Summary Judgment Against Scoot M. Seidel’s Complaint To Recover Alleged Insider Transfers
November 10, 2021, Northern District of Texas – Defendants Bacchus Capital Trading, LLC (“Bacchus “) and Meridian Equipment Leasing, LLC (“Meridian “) file a partial motion for summary judgment as to Counts 5, 6, and 7 of the Trustee Scoot M. Seidel’s complaint to avoid and recover “insider transfers” in the bankruptcy case of Jupiter Marketing & Trading, LLC.
The Defendants request the Court to grant summary judgment in Bacchus’s favor as to Counts 5 and 7 of the complaint through their motion. The Defendants allege that the transfers to Bacchus “constitute settlement payments” made to a forward contract merchant under a master netting agreement, constituting a “forward contract” and, therefore, not recoverable by the Trustee. The Defendants also urge Court to grant summary judgment in favor of Meridian as to Counts 6 and 7 by finding that Meridian did not receive the alleged transfers and that the Trustee did not meet his burden.
The complaint asserts that the “insiders” of the Debtor, led by Ballengee, “orchestrated” a taking for themselves of tens of millions of dollars in cash and other value while leaving crumbs for all other creditors. The complaint further alleged that Ballangee, whether as an undisclosed principal, or buyer, or agent and advisor, “orchestrated” $13 million in transfers in one week to Bacchus, which he controlled, and almost $16 million to Transport in only a few months, an entity that “he was buying through Meridian”.
In re Jupiter Marketing & Trading, LLC, Case No. 19-32329-mvl-7