Luxury Yacht Seized in Zetta Jet Bankruptcy Case

 - March 13, 2018, 11:57 AM

Global law firm DLA Piper said Australian authorities have seized the luxury yacht Dragon Pearl, which the firm claims was purchased with "misappropriated" Zetta Jet funds by former company managing director Geoffery Cassidy. DLA Piper is advising now-defunct air charter company Zetta Jet in its ongoing bankruptcy proceedings in the U.S., Singapore, and Australia. Zetta Jet filed for bankruptcy protection in September and ceased operations in late November.

According to DLA Piper, it is leading investigations into the conduct of Cassidy, “who is accused of misappropriating company funds and spending them on yachts, houses, luxury cars, and other personal expenses.” The firm’s restructuring team lawyers have worked collaboratively, across three countries, to attempt to sell the business, pursue the asset recoveries for Zetta Jet's stakeholders, and “advocate for the best possible outcome for the estates and their creditors.”

Jon King, global co-head of DLA Piper's white collar, corporate crime, and investigations practice in Chicago, has been appointed trustee in the Chapter 7 proceedings. At the same time, the Singapore team has been responding to an injunction brought by two Zetta Jet shareholders—among them Cassidy—seeking to prevent the U.S. bankruptcy proceedings from taking effect. The Singapore court has so far granted limited recognition to allow King, as trustee, to seek dissolution of the injunction.