Investors in the collapsed Sonoma Valley firm LeFever Mattson have overwhelmingly approved a plan to liquidate the company, despite a deepening legal rift among creditors.
According to the Press Democrat, preliminary counts show 95% of voting investors support the plan, which is expected to return only 20 to 40 cents on the dollar to those who lost money. Supporters say it’s the fastest way to recover funds from the multi-million dollar fraud allegedly orchestrated by Ken Mattson.
However, a splinter group of ‘opposing investors’ and several banks are fighting the move. They argue the plan is unfair to newer investors and lacks a clear timeline for selling off local real estate. A judge is expected to hold a final confirmation hearing in late March.