Chrysler CEO Robert Nardelli, Ex Merrill Lynch CEO Stanley O’Neal, and former Lehman Brothers’ CEO Dick Fuld are all CEOs who have allegedly transferred property into their wives’ names for a very small sum, (or in legalese “consideration” sometimes as little as $100), even though the property is worth several million dollars.
I wonder what the rational is with that, if in fact this is accurate? And then, because this is the Divorce Saloon, I wonder if it is “smart’ on their part to take such a risk and put the property in their wives’ names (perhaps to evade creditors, or protect against lawsuits that are bound to mushroom as the financial crisis mounts) when there is always a risk that the marriage could end in divorce?
Besides, who was the woman? Oh, it was Janet Walsh. I did a post about her here http://www.divorcesaloon.com/why-the-janet-walsh-case-is-a-cautionary-tale-for-deborah-madoff-and-other-trophy-wives. The feds came back years later and are trying to take her apartment because they are saying that it was obtained with fraudulent funds….that her husband used….
The CEOs (or former CEO’s) of Merrill, Chrysler and Lehman are not being accused of fraud, maybe gross mismanagement, but I don’t think there are any fraud charges yet. But still. They could be opening themselves up to “fraudulent conveyance” charges by doing this, transferring these properties at this time under these terms. Although, I was reading that they do this for “estate tax” reasons. Hme….
But if these conveyances took place (there has been denials in at least the case of Chrysler’s Nardelli), it worries me as a divorce attorney because I wonder if they are setting themselves up if a divorce were to come about, sort of the way it did for Bernie Ecclestone, the English billionaire who put everything in his wife Slavica Ecclestone’s name (for tax reasons, reportedly) and now, she’s slapped him with divorce and he’s got to be slightly worried that she’s going to take him to the cleaners; http://www.divorcesaloon.com/when-billionaires-marry-up but it’s all his fault for being so short-sighted and forgetting that he is dealing with, well, a woman.
A man has to be ultra trusting of his wife to pull moves like this. Well, trusting, or desperate. Because, not for nothing, but what if the woman is a “Delilah”? Remember Delilah? In the Bible? There are some women who are Delilahs, you know!
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