Notable Litigation – January 2024

Notable litigation filed during January 2024 includes: (1) Bajuri v. Shiba Prop, LLC, et al. and (2) SEC v. Lee, et al.

Bajuri v. Shiba Prop, LLC, et al., No. 24-cv-00419 (Kan. Dist. Ct.).

A Ponzi victim filed suit against defendant schemers in the District Court of Johnson County, Kansas for losses arising from an alleged Ponzi scheme in which individuals were solicited to invest in limited liability companies for the purpose of purchasing real estate. The complaint alleges that defendants set up LLCs for the purpose of purchasing individual real estate investments, and defendants would create multiple operating agreements for each company to sell far more than 100% of the interests in the companies to investors. Plaintiff alleges that defendants used investor funds to liquidate certain of its real estate assets, among other things, through cash-out refinancing with the loan proceeds going to fund defendants' personal expenses like cars and jewelry. Plaintiff