PAUL R. MAZZONI ATTORNEY-AT-LAW SUITE 631-635 CONNEL BUILDING SCRANTON, PENNSYLVANIA 18503 March 27, 1981 Chief Judge William J. Nealon United States District Court Middle District of Pennsylvania Scranton, Pennsylvania 18501 RE: United States -vs- Jack Halperin No. 80-00080 Criminal Dear Judge Nealon: As you are aware, Jack Halperin is scheduled to begin serving a term of incarceration on May 5, 1981. Our client has requested us to file a Motion for Reconsideration of the Original Sentence. In lieu of such a Motion, we wish to alert the Court, by this letter, of the precarious situation Mr. Halperin now finds himself. It was pointed out to the Court at the time Mr. Halperin entered his "Nolo Contendere" Plea and at the time of sentencing that Mr. Halperin did not litigate the contentions of the Government because of the Bankruptcy proceedings in the Southern District of Florida. These matters have not been completely resolved. Mr. Halperin has until April 6, 1981, to come up with a plan to satisfy the creditors in the Chapter 11 proceedings. The plan must involve commitments from lending institutions of between 13 and 15 million dollars. These commitments must be both interim and permanent. Mr. Halperin has received from a lending institution a commitment for the permanent financing and has also indications that he will be able to obtain interim financing. The problem is simple. These com- mitments hinge on Mr. Halperin remaining debtor in possession. Mr. Halperin cannot remain debtor in possession if he is incarcerated prior to the resolution of the Bankruptcy proceedings. Mr. Halperin, as the Court is aware, has successfully refuted the attempt of Aetna Business to take over the properties involved in the Bankruptcy proceedings. This was in part accomplished because of the credibility of Mr. Halperin and the hard work he has demonstrated in attempting to satisfy the creditors. In addition, Chief Judge William J. Nealon Page Two (2) March 27, 1981 RE: United States -vs- Jack Halperin No. 80-00080 Criminal the bad faith acts that Aetna Business had engaged in to date has so permeated the entire proceedings that it has sufficiently impressed the Couit to rule in Mr. Halperin's favor. This is pointed because we suspect that Aetna Business has been the source of some adverse comments about Mr, Halperin that may have reached this Court and contributed to his present predicament in Pennsylvania. The Court had a specific reason for the sentence it imposed and intended certain effects of that sentence, The Court certainly did not intend that the Chapter 11 proceedings be converted into a straight Bankruptcy proceeding and the dilatorious effect that said action would have on creditors and employees. The creditors and employees of Mr. Halperin would be unintended victims of the Court's sentence. The matter is so close to resolution that a delay in the incarceration date would not effect any result intended by this Court. There are numerous reasons for the Court to reconsider its original sentence, but now is not the time to address this matter. What we are only respectfully requesting is a four (4) month delay from the May 5th incarceration date. Further, it is respectfully requested that the original sentence be amended to include an affirmative recommendation from this Court that Mr. Halperin be placed in a New York Half -way House. Both these requests are consistent with fundamental fairness and the interest of justice. Thank you for the opportunity to address Mr. Halperin's problem and what would be the problem of many creditors listed in the Bankruptcy proceeding in this manner. Very respectfully yours, /s/ PAUL R. MAZZONI PRM:kap
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