The delayed trial of an investment group seeking damages from a South Florida bank for its alleged role in facilitating Scott Rothstein's massive multi-billion dollar Ponzi scheme is scheduled to begin tomorrow. Originally set to start October 24th, United States District Judge Marcia Cooke postponed the suit while the parties attempted to settle through mediation. As expected, the parties were unable to amicably resolve the dispute.
The suit is an attempt of Coquina Investments, a Texas-based investment partnership, to recover damages from TD Bank stemming from the actions of several employees that allegedly covered up Rothstein's crimes or otherwise aided his efforts. The South Florida Business Journal reports that TD Bank's attorneys recently filed several motions to exclude several pieces of supposedly-prejudicial evidence. These motions, known as motions in limine, seek to exclude the mention of criminal charges against Rothstein or his co-conspirators, the mention of bribes or improper payments by Rothstein to TD Bank employees, Rothstein's wire transfers to Morocco immediately prior to his arrest in 2009, and information about other investors related to Coquina.
The suit is seeking compensatory and punitive damages against TD Bank, along with Coquina's costs and fees incurred in prosecuting the action. Judge Cooke previously granted the dismissal of racketeering claims brought by Coquina, holding that Coquina had failed to allege a pattern of racketeering activity.
A copy of Coquina's complaint against TD Bank is here.