Bankrupt former rich-lister “Diamond” Joe Gutnick has faced a court grilling over loans to a New York fraudster and Brooklyn-based community organisation.
In a fiery examination at the Federal Court on Thursday, Mr Gutnick was challenged over the validity of two major debts declared in his bankrupt estate, including a $33 million debt to Nochum Sternberg, a long-time friend who was convicted in 1987 for his role in a $US130 million ($174 million) tax evasion scheme.
Lawyer for creditors also challenged a $10 million loan he received from Machne Israel, a Chabbad community organisation based in Brooklyn.
Raising his voice, leaning over the witness…
Read the full article at: http://www.smh.com.au/business/bankrupt-joseph-gutnick-grilled-over-debts-20170427-gvu0o6.html
