Gerg Martel has been found in civil contempt of court for not complying with court orders related to $226 million of investor funds that have gone missing.
In her ruling, Justice Shelley Fitzpatrick said it was clear Martel has not abided by numerous court orders compelling him to produce financial records and co-operate with court-appointed receiver PricewaterhouseCoopers in its work to find the missing millions and recover assets for investors. The change of counsel has had the effect of slowing court proceedings, which began on May 4 when Martel and his company, Shop Your Own Mortgage , were put into receivership.
But so far, investigators have not found a shred of evidence supporting the existence of the bridge loans. And Martel has only stymied their investigation. It also appears Martel has, in recent weeks, breached court orders freezing his assets. Rubin said PwC was aware a mansion owned by Martel in Las Vegas has been transferred to an American creditor.