Cover UP

Please take Note -
Corruption within our federal systems of justice (especially the bankruptcy court realm);
has become systemic and incestuous purveyance of organized criminal raping of America.

Bankruptcy cases are big business -
unless we pay attention to this devouring,
mendacious beast of bad faith. They nefarious hordes will continue to ravage American
The Federal Court is
required by LAW
(18 USC 3057(a))
to Notify & Refer
any and all crimes
to the US Attorney

US Trustee shirks
fiduciary police duty
despite Congressional
mandates to do the

Notify & Refer
28 USC 586(a)(3)(F)
Dept of Justice Office
of Special Counsel
Scott Bloch's in charge
of whistle blowing
is raided by the FBI
including his home for
files &

Did the OSC bury the
eToys case
Or did Scott Bloch
toss the files?
3rd Circuit remarks
Congressional insight of
Crime known as a
Bankruptcy Ring
(see case of In re
Arkansas (

Wall St Journal
notes UCLA Law
report of
Bankruptcy Judges
Routinely making
illegal rulings
DOJ Director Friedman replaced Region 3 Trustee Roberta DeAngelis
the very day of our Emergency hearing in eToys -- on Fraud (Dec 22, 2004 (here))

DOJ Deputy Director Friedman -
Resigned (here) due to our emails to him.
Reporting additional $100 million Fraud to the Deputy Director of DOJ
in charge of the US Trustee's who gave Paul Traub illegitimate immunity
is followed by Friedman's
There are only 21 Police (US Trustee's)
in charge of all 1.5 million bankruptcy cases (more than $500 Billion annually)
-- this is a recipe to guarantee corruption of our federal courts.

The testimony of Francis C P Knize ( here ) defines to Congress (by documenting former AG
Ashcroft remarks to the Hague in Corruption) -  
that our federal bankruptcy courts' are Corrupt

AG Ashcroft condemned the judicial branch of government entitling it as "organized crime".
Former AG Ashcroft stipulated to the Hague on the Global Forum on Corruption - that:

As AG Aschcroft continued to remark about Federal Judges and US Trustee Corruption;

The corruption has advanced to punishing any and all who mention the criminal acts of trustees and
organized crime operating through the United States Bankruptcy Courts
. As though greed is not
the trustees, in collusion with others, intentionally go forth to destroy lives. Exemptions
provided by law are denied debtors. Cases are intentionally, and unreasonably kept open for years.
Parties in cases are sanctioned to discourage them from pursuing justice
Contempt of court powers are misused to coerce litigants
into agreeing with extortion demands.
This does not ensure integrity and restore public confidence
    The American public,
      victimized and held hostage by bankruptcy court corruption
         -- have no where to turn."
This Affidavit is from I, Steven Haas, (a/k/a Laser Haas) who doth hereby testify this day - Dec 9,
2010 - reaffirmed May 20, 2011 -
Under Penalty of Perjury - that more than 100 felony violations
have transpired in the Petters and eToys bankruptcy cases.
Doug Kelley's attorney - Lindquist & Vennum emailed a threat to me; which compounds their
bad faith acts  heinously.
The real question is not if they are protecting - it is how many?
"Bankruptcy court corruption  -- is not just a matter of bankruptcy trustees in collusion
corrupt bankruptcy judges. The corruption is supported, and justice hindered by
high ranking officials in the United States Trustee Program.
Then MNAT sought& received permission to Destroy Books n Records (here)

The DE powerhouse firm became eToys primary
when the DE DoJ Attorney (Mark Kenney) fired CA firm Irell & Manella
This scheme part permitted documents harmful Goldman Sachs doc's to be Destroyed
MNAT's  conspired with Paul Traub to plant a paid associate in as eToys CEO (Barry Gold).
Proof is the
clandestine Hiring Letter; that was hidden for 4 years (see last pages (here))

Scheme includes scienter clause permitting Barry Gold to circumvent the court's approval
Smoking Gun forces US Trustee seeks to Disgorge Traub $1.6 million (here)
DOJ Asst US Trustee Testified Paul Traub was Forewarned
against committing the very crime perpetrated through
Intentional Fraud on the Court
A Motion to Disgorge Paul Traub's firm states that the scheme was deliberate
(please see parts 19 & 35 of Asst US Trustee testimony
DOJ illegal immunity foster's additional $100 million in Fraud  ( here )

DOJ Obstructs Justice on many occasion rescuing MNAT and Paul Traub Illegally
Dept of Justice Trial Attorney Mark Kenney defends Paul Traub and MNAT's next fraud
by DOJ successfully asking the Court to Strike & Expunge Evidence (here)
Paul Traub confessed of payments to Barry Gold
During March 1, 2005 evidence hearing Paul Traub admits to paying
Barry Gold 4 payments of $30k before sneaking Gold in (transcript pg 60 (
here )
DE Bankruptcy Court
punishes Whistle
Absurdly -
eToys Courts admit into
evidence Forged pleading
by MNAT stating Haas/
CLI graciously "waived"
$3.7 million in Fees
Judge Dismiss Haas/ CLI
with Prejudic
e (here)
If anyone looks at the
Forged document it does
not state Waiver
Actually states in
part 11
CLI can seek Success

The Federal Cover Up by
DOJ Roberta DeAngelis,
DOJ Mark Kenney with the
US Attorney Colm Connolly  
and help of former Chief
Justice Mary F Walrath will
be exposed in our book and
docudrama to be completed
late in 2011/ 2012
Yet --- DE BK CT Opinion says lying is not Perjury

Speciously, the DE Chief Justice took 6 months to opine on the eToys fraud and perjury only to rule
despite confessions to 34 false affidavits no Perjury occurred (see page 52 of Opinion (here))
Whistle Blower Haas
files action against
Dept of Justice
we filed pleadings
in central CA US
Attorneys office
where the home of the
Public Corruption
Removed Region 3 Trustee is named DOJ EOUST General Counsel (here)

Speciously, after Director Friedman resigned the removed Region 3 Trustee DeAngelis was
promoted to Acting General Counsel of Exec Office US Trustees They kept it hidden until we
reported it in 2007. This results in
DeAngelis investigating herself!
US Attorney Colm
Connolly was a partner
with MNAT in 2001

the very year the Fraud
and Perjury began
(see Colm Connolly's
Resume (
DOJ goes on the Circuit Ct record saying it did not/ Will Not address MNAT issues
DE DOJ stipulates to 3rd Circuit (see 1st footnote by GC of EOSUT pg numbered 2 (here)
MNAT confesses that it secretly represents Goldman Sachs (here)

But the confessions are still an effort to stymie justice as MNAT conceals the fact that
they are also Bain's (buyer of eToys assets) and Mattel's (eToys no. 1 creditor)  attorney (here)
Paul Traub, Tom Petters partner received a similar
eToys Get out of Jail Free Card ( here )
Then, Paul Traub continued his felonious ways,
doing an additional
$100 million dollar fraud in
the Kay Bee Toys case - resulting in the Deputy
Director of the Dept of Justice US Trustee -
Lawrence Friedman - Resignation (
here ).
Friedman was rewarded for his cowardice. He
became a Director at Bear Sterns (we all know
how that went) and then a partner of a neat
scheme at Bader Co. (
here ). Soon we shall
reveal details of Bader Co's. schemes.
Federal Judge Ann Montgomery and Receiver/Bankruptcy Trustee Doug Kelley are cronies
They, with the assistance of MN US Trustee and MN Dept of Justice - are assisting organized crime.

well before Traub was "caught" red-handed, in his criminal endeavors in eToys. Traub had worked
with Tom Petters in the unsuccessful bid for the bankrupt PillowTex. After that, Paul Traub illegally
settled the eToys litigation with Fingerhut; whereupon Tom Petters and Paul Traub acquired
Fingerhut with Ponzi Scheme monies. To date Doug Kelley has mentioned nothing about all the
entities Paul Traub was partners with Petters on. Ubid, Fingerhut and RedTag have not even any
proper honorable mention; in the Tom Petters bankruptcies or fraud cases.

Paul Traub did wind up as owner of Polaroid with the help of his clients, Gordon
Brothers, Hilco (
Goldman Sachs & Cerberus); awarded Polaroid under a surreptitious bidding
process. Paul Traub went to Gordon Brothers after they were awarded Polaroid for $87 million;
where GB then announced a $2 Billion dollar series of contracts were developed for Polaroid. Why
has no one at the Dept of Justice looked into the blatant/flagrant obvious fraud issues on this fact.

We also have information from several persons that
Traub was in MN just before the FBI raids
. At that time arrangements were made to make sure that Petters Fingerhut had new
ownerships structures. It was easy to do,Traub simply tapped his clients who owed him (BAIN and
Goldman Sachs); where a $50 million dollar restructuring loan occurred in July/August 2008 (
here ).
History is repeating itself

The 3rd Circuit Court
warned about [organized criminal] Bankruptcy Rings

In the case of In re Arkansas 798 F.2d 645
55 USLW 2110, 14 Bankr.Ct.Dec. 1112,  Bankr. L. Rep. P 71,400
The Third Circuit detailed the fact that;
US Trustee has picked crooks to head Petters Creditors Committee
while Doug Kelley and his cohorts get rich - settling with the Crooks

Doug Kelley was settling with Acorn while the SEC sues Acorn Capital chief (Quan) for duplicity in
Petters Fraud - Bloomberg Story
( here ) Court grants TRO to halt the payments as the SEC -
Ritchie, object halting $14 million + payment to Acorn
( here ) - as Clawbacks loom ( here )

Jeffries, Paul Traub, Baer, O'Shaughnessy - schemers w/illicit DOJ Get out of Jail Free Cards

Another crook
that helped the schemes is Arrowhead - where Exec Pleads Guilty ( here )(here)
The Police of the system is the US Trustee, who hand picked these crooks to head the Creditors
Committee - Who sided with Kelley to do the bogus Coordination Agreement
Proof ( here )
Arrowhead was Frank Vennes's account. Receivers' also approved Vennes  Chase's Holdings settle.
Traub,  Charles Chase, Howse, Miller & O'Shaughnessy -
all Scott Free - WHY?
It is significant that Congress chose to place the requirement of court approval for the employment of
an attorney, accountant, or other professional by the creditors committee directly in the Bankruptcy
Code in 1978. 11 U.S.C. Sec. 1103(a). The legislative history makes clear that the
1978 Code was
designed to eliminate the abuses and detrimental practices
that had been found to prevail. Among
such practices was the
cronyism of the "bankruptcy ring"
and attorney control of bankruptcy cases.
The 3rd Circuit Court of Appeals also denoted that Congress stipulated;

In fact, the House Report noted that "[i]n practice ... the bankruptcy system operates more
for the benefit of attorneys than for the benefit of creditors
." H.R. No. 595, 95th
Cong., 2d Sess. 92, reprinted in 1978 U.S. Code Cong. & Ad. News 5787, 5963, 6053.  
emphasis added)
The great website
Stop the Petters Scam
the Second Fraud
Petters Victims
by the very
legal system
that is supposed to
serve and protect.
Doug Kelley gets illegal judicial immunity from Judge and willful blindness of US Trustee
Jay Salmen was just handed Sun Country Airlines for Free - WHY?
Paul Traub owns UBid, RedTag, Fingerhut with petters - yet they/he are ???
Bernie Madoff fee feeding frenzy is estimated to go beyond $1 Billion $
Paul Traub's partner and Doug Kelley's key to Wealth n Riches
Doug Kelley n cohorts have tens of millions in fees thus far while Victims are screwd
eToys files for bankruptcy protection ( here )

Goldman Sachs took eToys  IPO in 1999

When eToys filed for bankruptcy, it claimed
nearly $290 million dollars in debt.
The claim was a fraudulent pretense.

BAIN wanted eToys  and Johnson & Johnson
wanted Both wanted their
entities without any public company issues.

eToys founder - Toby Lenk - sought to
abandon his entity; creating no client status.
So a replacement had to be found.
Paul Traub as creditors counsel and
MNAT as eToys debtors counsel schemed to
steal eToys to benefit their secret clients.

Thus they Planted Barry Gold in as Pres/CEO
Paul Traub accomplished billions of dollars in fraud prior to Petters

What has happened was, Traub realized that rogue federal agents would protect their Organized
Criminal enterprises. Therefore, it was no longer necessary for him and his cohorts to take the risks of
scheming with false affidavits and lying under oath.
They simply do their crimes openly.
Protected by Judges like Ann Montgomery giving illegal Judicial Immunity - Viola!
US Trustee testifies
that Paul Traub and MNAT were Forewarned -
against replacing  any eToys executive with
anyone directly connected to the professionals.

MNAT and Traub conspired to steal eToys
because BAIN, who acquired the bankruptcy
estate; was a client of both Traub and MNAT.
BAIN and its entity Kay Bee Toys acquired the
bulk of the eToys estate for pennies on the $.

To cement their scheme, MNAT and Traub
needed a new CEOfor eToys that would play ball
so Traub put in his partner Barry Gold
Traub and Barry Gold
are caught 3 years later by Laser Haas
- due to a
Smoking GUN affidavit (here)
shows that Traub & Gold were secret Partners
Dept of Justice grants illegitimate, implied, blanket immunity
Instead of Notify & Referring Traub and MNAT for prosecution (here)
WHEREAS clauses granted to Traub only 10 days after the Disgorge Motion
Promise US Trustee Breach of Fiduciary Duty & Willful Blindness violating the Law
Jack Abramoff
schemed to control US
Trustee in DE
Congressional report
with emails revealed
(pg 12 of 50 PDF)
Karl Rove email

(Congress removed if
from (
here)   we have it
archived pg 12
Wall Street Journal
publishes small part
about the
Conflicts Story
July 25, 2005
US Attorney Threatens career Asst US Attorneys to Keep their mouths shut or Else!
CA US Attorney O'Brien shuts down Public Corruption Unit when he walked into a weekly
staff meeting and actually yelled at several career Asst US Attorneys stipulating erroneously &
heinously that --
"there were no public corruption cases to prosecute"
See the L A Times story (Here) "Shake-up roils federal Prosecutors"
Paul Traub (here) was also a partners with
Marc Dreier (20 years in prison for fraud)
here) - & Tom Petters (50 years in
prison) (
here). Traub was also a partner in
Petters Ubid, RedTag, Fingerhut and
here) and worked both sides of OKUN
(100 years) (
We will now show you crimes by Rogue Federal Agents Massive & DOJ Cover Ups
More than 100 felony violations, Confessions to 34 acts of Perjury - with NO arrests

DE Dept of Justice US Attorney was a partner with fraudster Goldman Sachs law firm ( here )
CA US Attorney O'Brien shuts down Public Corruption Unit to halt all investigations ( here )
The US Trustee & Doug Kelley have schemed the Petters case and victims a 2nd time
Michael O'Shaughnessy, Paul Traub, Jay Saleman, Mary Jeffries, David Baer have
all received an illicit
DOJ Get out of Jail Free Card pass for their crimes. WHY?
Paul Traub had been partners with Tom Petters - since the outset
is stolen property

Bain/KB Toys engaged in
Bankruptcy Fraud thru
their UN-disclosed counsel
MNAT and conspired with
Barry Gold and Traub.

eToys is stolen
property and by the rules
of equitable justice the
stolen property must be
returned to the estate!
Dept of Justice Schemes and efforts to Cover Up Organized Crimes
I get all this and the POTUS - Too - Hot Damn!
How Laser Haas learned to properly fight Mitt Romney & Gang