East Coast Brokers trustee looks to avoid $2.5 million sale transfer

By Caroline Salls

Pittsburgh, Jan. 8 - East Coast Brokers & Packers, Inc. trustee Gerard A. McHale Jr. filed a complaint Wednesday against Professional Talent Group, LLC in an effort to avoid a $2.5 million allegedly fraudulent transfer, according to a filing with the U.S. Bankruptcy Court for the Middle District of Florida.

McHale is also asking the court to impose a constructive trust on property owned by the defendant or impose an equitable lien and foreclose that equitable lien on the property.

According to the complaint, Professional Talent contracted to purchase a home for $6.5 million in May 2011. In August 2011, East Coast transferred $2.5 million to a settlement agent in connection with the purchase.

The trustee said the property is used or occupied by Professional Talent beneficial owner and East Coast insider Batista J. Madonia Jr., but East Coast received little or no consideration in exchange for the transfer, which enabled the defendant to purchase the property.

McHale said the transfer was allegedly made by East Coast for the benefit of the defendant to hinder, delay or defraud creditors.

Mulberry, Fla.-based former tomato grower-shipper East Coast Brokers & Packers filed bankruptcy on March 6, 2013 under Chapter 11 case number 13-02894.

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