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Case Status Report: Operation Wooden Nickel

  • OPERATION WOODEN NICKEL

    Updated July 01, 2011

    FINAL COURT-APPROVED ASSET-ALLOCATION PLAN

    To the Former Clients of:

    • First Lexington Group, LLC

    • Free Star Capital, Inc.

    • ISB Clearing Corporation

    Itradecurrency USA, LLC

    • Madison Deane & Associates, Inc.

    • Madison Deane Asia Corporation

    • New York Capital Assets, Inc.

    • Oxford Capital Group LLC

    • William, Holbrook & Associates LLC

    On August 19, 2010, Judge Daniels entered an order preliminarily approving a revised asset-allocation plan under which two additional classes have been created, trade creditors and shareholder/investor creditors, with such classes only receiving distributions once former clients have been fully reimbursed for their net investments. Please be advised that, under the revised plan, the asset payout rates to the former clients remain the same.

    The court has considered all timely objections to the preliminary and revised plans and entered an order on June 3, 2011 approving the asset-allocation plan on a final basis (the “Final Plan”). The Receiver will issue checks in accordance with the Final Plan on or before July 31, 2011.

    In the event that you are a former client of the above-referenced entities and have not received a communication or check from the Receiver, please contact Natalie A. Napierala, Esq., Rosner & Napierala, LLP, at (212) 785-2577.

    Updated September 2009:

    PRELIMINARILY-APPROVED ASSET-ALLOCATION PLAN

    On August 4, 2009, Honorable George B. Daniels, United States District Judge for the Southern District of New York, entered an order preliminarily approving an asset-allocation plan under which former clients of the following entities will receive a pro rata distribution of restrained assets:

    • First Lexington Group, LLC,
    • Free Star Capital, Inc.,
    • ISB Clearing Corporation,
    • Itradecurrency USA, LLC,
    • Madison Deane & Associates, Inc.,
    • Madison Deane Asia Corporation,
    • New York Capital Assets, Inc.,
    • Oxford Capital Group LLC and
    • William, Holbrook & Associates LLC

    In late August 2009, the Receiver for the above-referenced entities sent out letters to former clients concerning specifics of the preliminarily approved asset-allocation plan. Former clients will have the opportunity to submit objections to the preliminarily approved asset-allocation plan prior to approval of the final asset-allocation plan.

    In the event that you are a former client of the above-referenced entities and as of September 15, 2009 you have not received a communication directly from the Receiver, please contact the Receiver’s law firm, Rosner & Napierala, LLP, at (212) 785-2577.

    Updated 2009

    To the Former Clients of:

    • First Lexington Group, LLC
    • Free Star Capital, Inc.
    • ISB Clearing Corporation
    • Itradecurrency USA, LLC
    • Madison Deane & Associates, Inc.
    • Madison Deane Asia Corporation
    • New York Capital Assets, Inc.
    • Oxford Capital Group LLC
    • William, Holbrook & Associates LLC

    On August 19, 2010, Honorable George B. Daniels, United States District Judge for the Southern District of New York, entered an order preliminarily approving a revised asset-allocation plan under which two additional classes have been created, trade creditors and shareholder/investor creditors, with such classes only receiving distributions once former clients have been fully reimbursed for their net investments. Please be advised that, under the revised plan, the asset payout rates to the former clients, as set forth in the August 2009 letter to former clients, will remain the same. Under the preliminarily-approved plans, former clients of the above-referenced entities will receive pro rata distributions of restrained and recovered assets.

    The Receiver provided the two additional classes of creditors with an opportunity to object to the revised preliminarily-approved asset-allocation plan. The deadline for objecting has passed. The Receiver received one objection and did not recommend any modification to the revised preliminarily-approved asset-allocation plan. The Receiver will submit a final asset-allocation plan to the Court for approval. Once the final plan is approved, the Receiver will distribute assets in accordance with the approved plan.

    In the event that you are a former client of the above-referenced entities and have not received a communication directly from the Receiver, please contact Natalie A. Napierala, Esq., Rosner & Napierala, LLP, at (212) 785-2577.

    Related Documents:

    To the Former Clients of:

    • First Lexington Group, LLC
    • Free Star Capital, Inc.
    • ISB Clearing Corporation
    • Itradecurrency USA, LLC
    • Madison Deane & Associates, Inc.
    • Madison Deane Asia Corporation
    • New York Capital Assets, Inc.
    • Oxford Capital Group LLC
    • William, Holbrook & Associates LLC

    On August 19, 2010, Honorable George B. Daniels, United States District Judge for the Southern District of New York, entered an order preliminarily approving a revised asset-allocation plan under which two additional classes have been created, trade creditors and shareholder/investor creditors, with such classes only receiving distributions once former clients have been fully reimbursed for their net investments. Please be advised that, under the revised plan, the asset payout rates to the former clients, as set forth in the August 2009 letter to former clients, will remain the same. Under the preliminarily-approved plans, former clients of the above-referenced entities will receive pro rata distributions of restrained and recovered assets.

    The Receiver provided the two additional classes of creditors with an opportunity to object to the revised preliminarily-approved asset-allocation plan. The deadline for objecting has passed. The Receiver received one objection and did not recommend any modification to the revised preliminarily-approved asset-allocation plan. The Receiver will submit a final asset-allocation plan to the Court for approval. Once the final plan is approved, the Receiver will distribute assets in accordance with the approved plan.

    In the event that you are a former client of the above-referenced entities and have not received a communication directly from the Receiver, please contact Natalie A. Napierala, Esq., Rosner & Napierala, LLP, at (212) 785-2577.

    Last Updated: July 1, 2011



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