Former CEO and WorldVentures Director Michael Azcue has settled with the Spherature Investments Liquidating Trustee.
WorldVentures was a travel-themed MLM pyramid scheme that collapsed by chapter in 2020. Spherature Investments was WorldVentures’ mum or dad firm at time of collapse.
As a part of his duties, the Spherature Investments Trustee sued Azcue (proper) in October 2022.
As per the Trustee’s filed Grievance;
WorldVentures’ insolvency was in the end inevitable. Within the years main as much as its downfall, WorldVentures’ general worth was on a constant decline.
Over the course of its life, WorldVentures incurred greater than $80 million in tax losses. And as of the date it sought chapter safety and reduction, WorldVentures stood in $60 million of excellent unpaid debt.
Regardless of the monetary turmoil WorldVentures had been dealing with, it nonetheless agreed to purchase out Azcue’s stake in WorldVentures for about $35 million, which was paid over a number of installments from July 2015 by June 2017.
WorldVentures did so regardless that it, by its administration, knew that Azcue’s curiosity in WorldVentures was not price anyplace close to $35 million.
Because of these fraudulent transfers, the Trustee seeks to keep away from and get well the $35 million that rightfully belongs to the Belief and its collectors.
On July third, 2024, the Trustee filed a settlement settlement resolving his claims in opposition to Azcue;
Azcue shall pay $850,000 in good funds, to the Trustee by no later than fourteen days after this Settlement has been permitted by the Chapter Court docket as set forth in Paragraph 3(B) of this Settlement and such order has develop into ultimate.
A restoration of $850,000 represents simply 2.4% of the $35 million Azcue misappropriated by WorldVentures.
Azcue’s Spherature Investments settlement acquired court docket approval on August twenty third, 2024.
As a part of his settlement, Azcue agreed to testify in opposition to WorldVentures co-founder Wayne Nugent.
If requested by the Trustee, Azcue agrees to look to testify in individual at trial in Adversary Continuing No. 21-4120, Coleman v. Wayne Nugent, et al,
The Spherature Investments Trustee sued Nugent in 2021, accusing him of “push[ing] the ladies and youngsters out of the best way to save lots of himself”.
As a substitute of honoring the Firm’s debt obligations, Nugent as an alternative selected to “push the ladies and youngsters out of the best way” and save himself.
Certainly, on November 10, 2020 and November 11, 2020, respectively, Nugent executed two authorized paperwork … forcing the Firm out of business and inflicting greater than $100,000,000 in damages to the Firm.
The Trustee alleges Nugent pocketed not less than $1,500,000 because of breaching his fiduciary duties to WorldVentures.
The end result of the Trustee’s lawsuit in opposition to Nugent stays pending.