continued One-time Dominelli attorney Norman Nouskajian spent eight months in prison for mail and securities violations. After he got out, he was reinstated by the bar and is practicing in San Diego. "It's an old story," he says.
Allan Frostrom, who was the final bankruptcy trustee, notes, "There were a billion dollars of claims [by investors]. When it was all sorted out, it seems to me that there were 1400 people that could prove they lost money. The final sum, it seems to me, was $93 million," but investors recovered much of that from deep-pocket suits. Today, Frostrom is an attorney who also has a real estate business.
Some people who were deep in the J. David adventure didn't fare well. Richard Silberman, who hoodwinked Dominelli into making a gold mine investment, later went to prison for money laundering. Attorney Nicholas Coscia, who had joined J. David and immediately smelled out the scam, pleaded guilty to manipulating a stock and was sentenced to two years of probation in 1996.
Beginning in the early 1990s, a lawyer and local judges became involved in ugly bribery cases. One of the lawyers pressing deep-pocket J. David suits, Patrick Frega, was convicted of racketeering charges for his gifts to local judges. Former judge James A. Malkus, who had handled one of the J. David cases, was convicted. Former judge Michael Greer, who had been a J. David investor, pleaded guilty to a bribery count.
Jerome Schneider, who sold Jerry and Nancy a bank on the offshore haven of Montserrat, was sentenced to six months in prison last year for defrauding the Internal Revenue Service. Richard P. Stark, jury foreman in Hedgecock's second trial, was sentenced to ten years in prison in 1993 after his real estate lending machine fell apart.
When Hedgecock was running for mayor, Larry Remer ran a publication that Nancy financed. Remer used the paper to plug Hedgecock and planned to use his mayoral connections to squeeze potential advertisers. Later he became a political consultant and is now under indictment for illegally using taxpayer funds to promote a bond campaign.
Some prominent personalities have died. U.S. district court judge Earl B. Gilliam, who heard Nancy's case and sentenced her, died in 2001. Retired Marine General Louis Metzger, the primary bankruptcy trustee, died last month at 88. M. Larry Lawrence, San Diego hotelier who loaned Dominelli money early on, then wised up, died a supposed war hero but was dug up in ignominy. He was buried in Arlington National Cemetery because of his purported heroics with the U.S. Merchant Marine. But it was all untrue, and his body was disinterred.