Garage overhead storage units are a multi-million dollar business. Many households purchase the Hyloft brand of storage racks for their garages through retailers like Home Depot, Menards, Sears, and online.
This is not about the quality of the product. It is about the ethics of key Hyloft owners and what they did to deceive our Bankruptcy Court, the California District Court, Chinese Manufacturers, and their supporting investors.
This is the story of the machinations of a nationally distributed product through a Las Vegas corporation known as Hyloft, Inc., Hyloft USA LLC and KE Investments, LLC. It is also a request to help.
It is not easy seeking justice. You do the crime, you do the time, seems like a simple statement. It should be, you see a crime, try to find an agency that has the time to prosecute the crime. Why isn't the FBI investigating this matter? Want to help? Write the Las Vegas office an email and ask why:
Lasvegas@ic. Fbi. Gov
This is a case of a white collar crime; fraudulent transfer of assets and a corporate raid that also involves scandalous behavior and treatment of Chinese Manufacturers. The implications are many. One Chinese manufacturer has spent three years fighting through the U.S. Courts to get his million dollar account paid. He does not understand why no one is being prosecuted as he stated, They belong in jail for what they have done!
Hyloft is currently in bankruptcy chapter 7 after failure to pay a one million dollar bank loan to City National Bank. With $8-10 million in yearly sales and assets with an estimated value of $8-10 million, the creditors; representing $2.6 million in private investors, coupled with the Chinese Manufacturers who are owed millions, collectively face some very serious losses by the unauthorized transfer of Hylofts assets. If the bankruptcy is discharged, it is easy to assume a zero return to all.
Bank Fraud filing inaccurate financial's in order to obtain a million dollar loan, Signed UCC-1s to the bank In Oct. 2007 on all of Hylofts assets to be used as collateral, yet telling the Bankruptcy court the transfer of IPs took place in April - would you dare lie to a bank or a bankruptcy trustee, Mikich and Torosian would.
Bankruptcy Fraud failure to disclose all creditors (preferential treatment), failure to disclose accurate names of CPAs and accountants, failure to disclose salaries due to a Chinese Employee that worked from China;
Filing a frivolous lawsuit against home improvement giant Lowes based on a suspicion of patent infringement, filed by KE Investments LLC where 38%, or 13 individuals of Hylofts owners state that KEI doesn't even own the patents and that they were illegally transferred
Embezzlement by the former Hyloft Treasurer and President who wrote himself an unauthorized, $40,000 check after enticing an investor, Mark Heffner of Las Vegas, to part with $500,000 for Hyloft inventory.
International Fraud involving numerous Chinese Manufacturers
Mail Fraud promises to pay if additional shipments could be sent when the company was broke and had no means to pay back the invoices
Corporate Fraud the illegal transfer of IPs valued at $6-8 million to another company prior to bankruptcy without complete corporate approval; no corporate approval to file a bankruptcy petition
IRS Fraud erroneous tax filings; LLC vs C-Corp; non issuance of K-1s to members for 5 years; illegal charge offs; back dating change in patent ownership details; failure to provide members any copies of tax returns & financials after years of demands.
Court fraud representing Patent ownership in Ca. District Court as Hyloft, but in Bankruptcy Court, representing ownership as KE Investments LLC
Former President of Hyloft, Dan Coletti, opened Diamond Storage Concepts, LLC, 4 days after Hyloft closed, using Hylofts assets and IPs and hired the embezzler to manage the operation. Is this justice?
We realize this isn't the magnitude of Bernie Madoff, but it still is fraud and shouldnt go unattended.
The product is great... It is just too bad Hyloft was so in debt... Enabling a grand take over or transfer to another corporation without all the bills... A fresh start some might say...
This isn't a Bernie Madoff magnitude case, but it still is Fraud. If we allow this abuse of our laws, this activity will just continue. It is time to speak up, be a whistleblower, let the world know! Now, more than ever, we need the satisfaction of justice.
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