DFC TRIES TO RECOVER MILLIONS FROM NOVELO BROTHERS

October 31, 2008

This morning in the Supreme Court, the Development Finance Corporation continued its efforts to secure payment of millions of dollars it is owed by Tony, David and Hipolito Novelo. According to the DFC’s attorney Michele Chebat, following a default judgment against the three businessmen earlier this year, the corporation is now moving against the men personally and will examine the personal financial circumstance of each of them to determine what assets or monies can be used to settle the debt, which the DFC says now stands at twenty-four million dollars including interest. Tony Novelo was the first to be examined today before the registrar of the Supreme Court in which he claims that he is a “broke man.” Before leaving the stand, Tony Novelo maintained that he believes the debt could be repaid if he is given an accounting by the receivers appointed by the DFC and the Atlantic Bank. This afternoon Tony's brother David similarly told the court that all his property and assets are encumbered and that the bulk of his current salary is used to pay off separate loans at Scotia Bank and Belize Bank so he is personally unable to pay off the DFC. Like his brother David Novelo also claims that he only found out that a default judgment had been made against his family last week when he was served notice that his financial circumstances would be examined. The DFC's case is scheduled to continue on December fifth when Hipolito Novelo, Tony and David's father, will appear to tell his court if he is able to repay the debt. Of note this afternoon, Dr. Elson Kaseke indicated that on behalf of the Novelo brothers, he will be filing an application to set aside the default judgement made against the Novelos in February on the basis that the summonses were improperly served.

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