Beware of Mindset 24 – Review

A Mindset 24 defendants’ Telephonic Status Conference on April 15 has pushed them closer to an SEC settlement.

Individual ex parte phone sessions with the court are to be organized by the order. According to the ruling from April 15th, this is necessary “for the Court to evaluate if further ADR is warranted.”

Alternative Dispute Resolution, or “ADR,” is a process that, if it is successful, will result in a settlement between the parties.

A potential snag in the works is the defendant John Brian McLane’s lawyer’s desire to resign.

Four days before the teleconference, on April 11, McLane’s counsel submitted a Motion to Withdraw. The stated justification for the withdrawal request was “professional reasons”.

I entered “attorney withdraw” along with that into Google, and the Bar Association’s website appeared;

If a client requests that the lawyer participate in unlawful behavior, contravenes the Rules of Professional Conduct, or otherwise breaches the law, the lawyer often has to refuse or end the service.

As it is phrased, I can’t determine with certainty if it relates to McLane’s association with his alleged former lawyer. However, it seems like McLane (right) isn’t handling his SEC complaint too well in a vaguer context.

McLane’s counsel asked for a 90-day postponement of the currently planned pre-trial sessions as part of the Motion to Withdraw.

The SEC sent a response to the request on April 12. The SEC opposed the sought postponement, stating they had “no stance” on McLane’s attorney’s withdrawal request.

If, as the Motion suggests, Defendant McLane had been informed beforehand of Mr. Flynn’s intention to withdraw, McLane ought to have made plans to hire replacement counsel.

The SEC thinks a shorter window of 30 days to hire counsel would be more appropriate if he hasn’t done so.

The SEC wants to move as quickly as feasible with the remaining pre-trial deadlines specified in the Amended Scheduling Order.

The court took the withdrawal application under advisement during the hearing on April 15. However, certain deadlines have been postponed until the conclusion of the present settlement negotiations.

Last year, the SEC filed a lawsuit against Brian McClane and Paul Anthony Nash. According to the regulator, Mindset 24, the duo’s business, was a $1 million or more Ponzi scam.

Paul Nash has so far chosen to represent himself, which is an unusual choice.

Related Posts

Leave a Reply

Your email address will not be published.