Updates to our Terms of Use

We are updating our Terms of Use. Please carefully review the updated Terms before proceeding to our website.

Saturday, May 25, 2024 | Back issues
Courthouse News Service Courthouse News Service

About That $38 Million …

CHICAGO (CN) - Wachovia Bank claims it wired Majapara Casa de Cambio, in Mexico City, 26 million Euros on Dec. 7, but Majapara never sent back the $38.1 million U.S. dollars, as promised. Wachovia also sues Harris Bank of Chicago, where Majapara has an account.

After Majapara stiffed it for the $38 million, Wachovia says, two deposits for Majapara, totaling $9.5 million, came to Wachovia, and Majapara had the brass to try to transfer that money out to another bank. Wachovia said it prevented the transfer, and that Majapara now owes it $24.7 million (sic).

And, Wachovia says, it expects it may be asked to cover $3 million in Majapara's bounced checks per month, "into the future."

Wachovia claims Majapara's CEO, Jorge Ortiz, admitted in a phone call that he owes Wachovia the $30 million; that he took the money because of a "liquidity crisis;" that he loaned the money to third parties; and that he knew that doing so was illegal, as Mexican casas de cambio are not allowed to make loans.

See complaintin Cook County Court.

Categories / Uncategorized

Subscribe to Closing Arguments

Sign up for new weekly newsletter Closing Arguments to get the latest about ongoing trials, major litigation and hot cases and rulings in courthouses around the U.S. and the world.