Federal Trade Commission v. Crittenden

ORDER GRANTING IRS’ MOTION TO DISALLOW RECEIVER’S INTENDED DISTRIBUTION TO FRANCHISE TAX BOARD

On February 16, 1993, the Internal Revenue Service filed its Motion to Disallow the Receiver’s Intended Distribution to the Franchise Tax Board. After reviewing the respective parties’ written submissions, the Court HEREBY GRANTS the Internal Revenue Service motion and ORDERS the Receiver to distribute the receivership funds allocated to Defendant Mark R. Crittenden’s tax liability to the Internal Revenue Service.

FACTUAL BACKGROUND

Defendant Mark R. Crittenden’s copier supply business, including Regional Supply Company, Regional Supply Center, Regional Copier Supply and United Supply Company were shut down and seized by the Federal Trade Commission (“FTC”) pursuant to a temporary restraining order issued by this Court on April 15, 1991. The temporary restraining order froze the assets of Defendants Mark R. Crittenden (“Crittenden”) and Regional Supply Company, and placed the property and business of Regional Supply Company in the control of the Receiver, George E. Schulman. On May 2, 1992, the Court issued an Injunction Order providing that the Receiver take custody, control, and…