Stolen Watch Incident in Spain Sparks Probe of $5M Bankruptcy Case of American Tourist’s Company

Stolen Watch Incident in Spain Sparks Probe of $5M Bankruptcy Case of American Tourist’s Company  

Edited by: TJVNews.com

The old adage goes “What a tangled web we weave, when we practice to deceive.” Another version of that would be “honesty is the best policy.” It appears that these dictums are quite true; especially for a guy named Seth Bernstein.

The New York Post reported that Bernstein, who once owned a charter jet company known as “JetReady” apparently inflated the value of a watch that was stolen from him while he was in Spain on a vacation with his wife and kids.

Bernstein, 46, allegedly told cops that the Hublot watch ripped off his wrist in Barcelona was worth more than $800,000, but the Swiss watchmaker put its value at less than $45,000, a police spokeswoman for the Mossos d’Esquadra in Catalonia said Wednesday, as was reported by the Post.

The Post also learned that Bernstein is being investigated by a bankruptcy trustee over $1.6 million in questionable transfers shortly before his charter-jet company went under financially; leaving creditors on the hook for approximately $5 million worth of debt

According to the trustee in the bankruptcy case involving his Bernstein’s now defunct JetReady company, he has been “credibly” accused of funneling $1 million in federal COVID-19 relief funds to an investment bank he co-owns, as was reported by the NY Post.

Late last month, lawyers for trustee Yann Geron wrote: “This was among over $1.6 million allegedly transferred on account of monies loaned by Bernstein in the few months leading up to the Debtor’s bankruptcy filing. This type of activity alone warrants a full investigation of the Debtor’s financial affairs and conduct of its management, “ according to the Post report.

Geron, however, has now been allowed to hit Bernstein and other former JetReady “insiders” and associates with subpoenas to produce records and to submit to questioning under oath, as Manhattan federal bankruptcy Judge Michael Wiles granted him the request he submitted to the court, according to the report.

Bernstein was the sole owner of JetReady and he filed for bankruptcy protection in August 2020. According to court documentation, Bernstein owes 43 creditors a total of nearly $5.7 million in unsecured debt.

The Post reported that the creditors include the Port Authority of New York and New Jersey, which submitted a claim for $45,579 in unpaid landing fees, and the state Department of Transportation and Department of Labor, which are seeking $183 and $2, respectively.

The DOT said it was owed rental fees at Long Island’s Republic Airport and late charges. The Labor Department declined to comment, citing “privacy laws.”

Under a Chapter 11 reorganization plan that the judge signed off on in November, the IRS — which is owed $795,532 — “will receive all of the proceeds” from the $650,000 sale of JetReady to the Flying Zebra charter company.