Ponzi Asset Hunt Eyes Screech

PHILADELPHIA - "Saved by the Bell" star Dustin Diamond must turn over the funds he acquired from a $17 million Ponzi scheme, a court-appointed receiver says in Federal Court.

Robert Stinson, of Berwyn, Pa., is serving 33 years in federal prison for the scheme that defrauded 263 investors of more than $17 million, according to the Securities and Exchange Commission.

Kamian Schwartzman, the receiver appointed to sort out Stinson's assets, has set her sights on more than $136,000 that Stinson allegedly transferred out of his company, Life's Good, and related hedge funds.

Her federal complaint says the money went to Rogue International Talent Group dba Rogue Entertainment dba Rogue Talent Agency; Roger Paul Inc.; Roger Paul; High Idea Corp. dba High Ideas Inc.; and actor Dustin Diamond.

Rogue, Paul's Los Angeles talent agency, received $136,057.16 from Life's Good between November 2009 and July 2010, according to the complaint.

Life's Good allegedly provided the money so that Rogue could lease Sunset Boulevard office space from nonparty Paramount Contractors and Developers.

The money was also allegedly meant for Rogue's legal representation, accounting services, insurance and employee salaries.

"Moreover, Life's Good Funds and/or Life's Good, Inc. transferred $20,008.53 directly to Paul himself," according to the complaint.

Schwartzman says Rogue and Paul leant $43,960 in March 2010 to their "exclusive client" Diamond, who played the character Screech on "Saved by the Bell."

The loan to the Washington, Wisc.-based actor remains outstanding, according to the complaint.

"All transfers of the assets of the Life's Good Funds and Life's Good, Inc. to, for the benefit of, or at the request of defendants Rogue and Paul were fraudulent transfers within the meaning of the Pennsylvania Uniform Fraudulent Transfer Act," the complaint states.

"Because Stinson operated the Life's Good Fund and Life's Good, Inc. as a Ponzi scheme, all transfers of assets from the Life's Good Fund and Life's Good, Inc. to, for the benefit of, or at the request of defendants Rogue and Paul were made with the actual intent to hinder, delay and/or defraud any of the source entities' creditors and/or debtors, and are fraudulent."

The complaint states later: Because Stinson operated the Life's Good Fund and Life's Good, Inc. as a Ponzi scheme, and because all assets of the Life's Good Fund and Life's Good, Inc. were derived from said Ponzi scheme, all transfers of assets from the funds or Life's Good, Inc. to, for the benefit of, or at the request of defendants High Idea Corp. and Diamond were made with the actual intent to hinder, delay and/or defraud any of the source entities' creditors and/or debtors, and are fraudulent."

Schwartzman seeks an order to pierce corporate veil and an accounting, alleging fraudulent transfer and unjust enrichment. She is represented by Francesco Trapani with Pietragallo Gordon Alfano Bosick & Raspanti.

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