PETTERS CLAWBACK BY RECEIVER DENIED BY JUDGE

Strib - Tom Petters, Minnesota businessman, is in prison for 50 years for his $3.65 billion Ponzie scheme loss to investors (pages 101-105 in The Greedsters). Douglas Kelley was appointed by the court to be a receiver and clawback donations made by Petters  to various parties.  The College of St. Benedict in Avon, Minnesota received a pledge of $3 million from Petters, $2 million of which had been paid to the College who spent the money  to renovate and expand the Benedict Arts Center in St. Cloud, Minnesota and $1 million had never been  paid.  Receiver Kelley sued the College to clawback the $2 million.  U. S. District Judge Richard Kyle ruled Kelley had no authority to sue the College as the lawsuit filed under  the  Minnesota  Fraudulent Transfer Act and the Federal Debt Collection Procedures Act was governed by a new 2-year  limitations statute and therefore the Feds could not sue the College with new State limitations of 2 years (in this case) instead of the original  6 years.  Lucky St. Benedict College!!