James D. Sallah
Court Appointed Receiver

Jeffrey L. Cox, Esq.
Counsel for the Receiver

Sallah Astarita & Cox, LLC
Attorneys at Law
Telephone: (561) 989-9080

Latest News

The Receiver has entered into a conditional asset purchase agreement ("APA") to sell a combination of the Estate's assets for $1,536,971.75. Details are in the Receiver's Motion, linked here. A complete list of important court documents and others related to this motion is available here.

Receiver to hold Town Hall Meeting on September 19, 2014.

List and Description of Assets of JCS Enterprises, Inc.; T.B.T.I., Inc., and My Gee Bo, Inc. for Court-Approved Sale is now available

On July 31, 2014 the receiver filed his First Report with the Court, which is available here.

On April 22, 2014, the Receiver filed a Motion to Stay Lawsuits and Expand the Stay. Currently, there are at least six pending lawsuits by creditors in various state courts...Read more.

JAMES D. SALLAH, COURT-APPOINTED RECEIVER FOR
JCS ENTERPRISES, INC., d/b/a JCS ENTERPRISES SERVICES, INC., and T.B.T.I. INC.

NOTICE OF PUBLIC AUCTION

JAMES D. SALLAH, ESQ. solely in his capacity as the Court-appointed Receiver in SEC v. JCS Enterprises, Inc., et al., Case No. 14-80468-CV-Middlebrooks/Brannon (U.S.D.C., S.D. Fla.), under Court authority and 28 U.S.C. §§ 2001 and 2004, gives notice of an auction at Sallah Astarita & Cox, LLC, 2255 Glades Road, Ste. 300E, Boca Raton, FL 33431 on February 20, 2015 at 11:00 a.m., of the personal property described in the Asset Purchase Agreement (APA) located on the Receiver’s website at www.jcs-tbtireceivership.com, "as is where is" and free and clear of all liens, claims or encumbrances. Among other assets, the property includes virtual concierge machines, related electronic equipment, office furniture, related intellectual property, and certain contracts. Bidders other than the buyer under the APA must pre-qualify at least seventy-two (72) hours before the auction to make cash bids. Pre-qualification requirements, bid procedures, and other details are available at www.jcs-tbtireceivership.com or by contacting Receiver’s counsel at (561) 989-9080.

To review a copy of the Asset Purchase Agreement containing the pre-qualification, overbid, and auction procedures as well as an attached list of the assets, please click here. Both the Receiver’s Motion seeking Court approval regarding the APA and auction along with the Court’s Order approving such Motion are available for review under the "Court Documents" dropdown link above.

COURT-ORDERED RECEIVERSHIP

As background, on April 7, 2014, the United States Securities and Exchange Commission ("SEC") filed an emergency action alleging that JCS Enterprises, Inc., d/b/a JCS Enterprises Services, Inc., T.B.T.I. Inc., Joseph Signore, and Paul L. Schumack II (the "Defendants") were violating the federal securities laws by, among other things, engaging in a Ponzi scheme. As part of the action, the SEC filed a Complaint and sought emergency relief from the United States District Court for the Southern District of Florida, including an Ex Parte Motion for a Temporary Restraining Order to freeze assets and an Emergency Motion Seeking the Appointment of a Receiver over both JCS Enterprises, Inc., d/b/a JCS Enterprises Services, ("JCS") and T.B.T.I. Inc. ("T.B.T.I.") (collectively, the "Receivership Entities"). Specifically, the SEC's Complaint alleges that, from at least 2011 through the present, the Defendants fraudulently raised at least $40 million from hundreds of investors nationwide through the ongoing sale of investments in virtual concierge machines.

On the same day, the Honorable Donald M. Middlebrooks, United States District Judge for the Southern District of Florida, granted the SEC's Emergency Motion Seeking the Appointment of a Receiver and issued an order entitled Amended Receivership Order, which appointed James D. Sallah, Esq. as the Receiver over both JCS and T.B.T.I. This means that the Court ordered Mr. Sallah, in his capacity as the Receiver, to "take immediate possession of all property, assets and estates of every kind of JCS and T.B.T.I., among numerous other things." On April 14, 2014, the Court expanded the Receivership Entities to include a company named My Gee Bo, Inc. On December 11, 2014, the Court again expanded the Receivership Entities to include two companies named JOLA Enterprises Inc. and PSCS Holdings, LLC. On December 12, the Court reappointed Mr. Sallah as Receiver.

Since his initial appointment as Receiver, Mr. Sallah and his engaged professionals, including accountants, lawyers, and investigators, have been working to identify and secure assets of the Receivership Entities. This web site was created to provide information to investors regarding the efforts of the Receiver to discover, marshal, and preserve for the benefit of all investors the funds and assets of the Receivership Entities. As this web site will be updated frequently with selected Court filings, investor letters, and other materials, we encourage all investors and interested persons to visit frequently. Any interested person may review all of the publicly-available court filings for the instant matter by creating an account and accessing the federal court system’s "Public Access to Court Electronic Records," or "PACER," which is located at https://www.pacer.gov. In the event that any investor or individual concern is not addressed within this website, please contact the Receiver by email at info@jcs-tbtireceivership.com.