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deposited into her two personal checking accounts. In 1984,
Margaret was given 23 checks from Hitech totaling $54,500 from
funds that Hitech had obtained from Comstock Financial. In 1985,
Margaret received 15 Hitech checks totaling $140,500 from funds
that Hitech had obtained from Comstock Financial.
In 1984 and 1985 Margaret wrote checks on her accounts
totaling $78,781.38 and $149,444.32, respectively. Among other
things, these checks were for clothes for Margaret and her
daughters; loans to one daughter; charitable and political
contributions; entertainment and gifts; home furnishings; home
repair and maintenance; credit card payments; mortgage payments;
and numerous other miscellaneous expenses.
Sometime in 1985 an investigation of David's business was
initiated by the Securities and Exchange Commission (SEC). In
October, 1985, David told Margaret that the SEC had recently
issued a temporary restraining order against David and other
employees of Comstock Financial to prevent them from soliciting
further investment funds. Petitioner was also aware that her
husband's deposition was taken by the SEC in November, 1985, in
connection with activities that had gone on at Comstock
Financial.
In January or February, 1987, David was arrested and charged
with fraud in connection with a scam perpetrated by Roy Comstock,
Abraham Boldt, and David, wherein it was alleged that at least $2
million, fraudulently obtained from unsuspecting investors in
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Last modified: May 25, 2011