Readers of this blog have been writing and asking about the status of this case, so we are providing an update.The June sentencing of the owner of Mutual Benefits Corp., the life settlement firm that was a $1.2bn Ponzi scheme, has been reset to July 18th at 9 AM. Counsel for Joel Steinger had requested a delay, to allow him to properly prepare for the hearing, to which the Court has now assigned two hours.
Given the ten year sentence recently meted out to the former Mutual Benefits trustee, Fort Lauderdale attorney Anthony Livoti, many court observers believe that Mr. Steinger will receive a life sentence, rather than the 50-year sentence some have calculated that he will get, because the length of the sentence given to Livoti was twice what was expected. Given that Mutual Benefits was reportedly the largest life settlement operating in the United States, and investors sustained huge losses, the sentences of those involved have been lengthy. We will update you when more information becomes available.