Big win in the courts of appeal for Alex Mendieta

Sad news for ADTA, as Supreme Court of appeals in Victoria rules in favor of Alex Mendieta, the young gold and diamond dealer. After ADTC, a diamond wholesale business, this battle has bought to the courts, accused Mendieta’s company of keeping their diamonds given to now-bankrupt jeweler Ron Bensimon as a part of a collateralized loan.

Bensimon had filed for bankruptcy after his gambling habits had racked up a staggering loss of close to Twelve million dollars. The bankruptcy documents make it clear that his betting losses from horse races, online casinos, and the Melbourne crown casino make it clear that it is one of the biggest betting losses that has been incurred till now.

To save himself, he ripped off around 2 million from his parents and sister. The rest of the amount was acquired from other companies by making them prey to his lucrative scam whereby he uses to get diamonds on consignment from multiple diamond wholesalers. One such unfortunate company is ADTC. It is estimated that the consignment given to Mr. Bensimon is worth at least $1.5 to 2 million dollars.

ADTC, in the lawsuit, claims that Mr. Mendieta’s gold company, Sell Your Gold Pty Ltd, was withholding 5 large diamonds, which has a retail value of over 250,000 dollars. This accusation arose from an affidavit made by Mr. Bensimon as a part of his bankruptcy statements. These statements claimed that he borrowed from a lot of companies to feed his gambling addiction, including Mr. Mendieta’s company, all of which interest rates of up to 5% per month.

ADTC claimed that the diamonds were their property and should be returned; however, Mendieta had evidence in text messages to show that the diamonds were returned to Mr. Bensimon. These messages were produced in front of the court; however, the clever legal representation of ADTC used a very old law that stated that an individual or entity is still liable even after the deal is concluded.

A few months passed, and the Victorian County Court judge ruled in favor of ADTC. Mendieta’s legal team promptly appealed to the Supreme Court. Mr. Mendieta hired the best legal team to represent him, and it quickly paid off as the supreme court of appeals overturned the decision made by the County Court.

As a result of the new judgment, ADTC had to cover all the legal fees and related expenses incurred by Mr. Mendieta’s company. It is estimated that the ADTC’s payment to the Colombian gold dealers to be around $200,000, and to top it off, they also had to cover the expenses of their legal fees, which is estimated to be around $250,000. All in all, we can say that the company has suffered a major blow. Mr. Paul XXXX, the director of ADTC, was contacted to comment, which he refused. We can only imagine how frustrated he must feel after suffering from losses close to $500,000 in this legal battle along with the $2,000,000 to the scam artist, Ron Bensimon.