Long Report Short On Utsick
Securities and Exchange Commission receiver Michael Goldberg filed an August 21 update on the progress of the receiverships of Worldwide Entertainment, The Entertainment Group Fund and related companies.
Goldberg has been untangling the financial web of Worldwide Entertainment founder Jack Utsick, who was accused of defrauding more than 3,000 investors in his company.
The parties agreed to a settlement that included an agreement to place the companies in receivership and freeze the assets of all parties, without admission of guilt or wrongdoing.
The notice gives a comprehensive update on the financial status of former Worldwide Entertainment investments like Keswick Theatre, Luna Restaurant and the show “Sinatra,” but the update on Utsick himself is noticeably vacant.
In fact, although a section in the report concerning Utsick’s former associates Robert and Donna Yeager says they are “close to completing their obligation” to the receiver, Utsick’s section is absent of similar language.
What is said is that Utsick provided the SEC with an accounting that his personal assets consist of approximately $85,000 in unrestricted bank accounts, $23,000 in IRAs, a $500,000 prepayment to the IRS, a small monthly pension benefit and di minimis personal property.
Also, Goldberg “uncovered” nine life insurance policies, six of which are active and consist of $54 million in death benefits. Two policies were assigned to the receiver Goldberg, who is paying the premiums. Goldberg has liquidated Utsick’s all known unrestricted bank accounts in the approximate amount of $87,000 and the remaining IRA accounts have been frozen.
“The Receiver continues to attempt to verify the accuracy of this accounting,” the SEC filing says.