The opinion of the court was delivered by: ROBERT W. SWEET
Pro se Defendant and judgment debtor Marcello Vallenzano ("Vallenzano") has moved, pursuant to Rule 60(b), Fed. R. Civ. P., for reconsideration of the Court's Opinion of May 21, 1992, granting Plaintiff and judgment creditor Brian Petersen's ("Petersen") motion for summary judgment. See Petersen v. Vallenzano [sic], No. 89 Civ. 5346 (RWS), 1992 U.S. Dist. LEXIS 6922 (S.D.N.Y. 1992). Vallenzano also has moved for a stay pursuant to Rule 62(b), Fed. R. Civ. P., pending the disposition of the Rule 60(b) motion. For the reasons set forth below, Vallenzano's motion for reconsideration is denied.
Petersen is a citizen of California and a judgment creditor of Abco Tek Technologies, Inc. ("Abco") and Vallenzano.
Vallenzano, a New York resident, is the sole officer as well as a shareholder of Abco. Abco is a Delaware corporation with offices in New York.
This motion follows a lengthy series of proceedings that are described in the Opinion of May 21, 1992, familiarity with which is assumed. See id. In that opinion, the Court granted Petersen's second motion for summary judgment, piercing Abco's corporate veiling and holding Abco to be Vallenzano's alter ego. Thus, Vallenzano was held to be personally liable for the judgment of $ 200,000 Petersen had obtained against Abco in a 1987 jury trial.
On July 7, 1992, Vallenzano filed the present motion, and it was taken on submission on August 19, 1992.
In the May 22, 1992 opinion, after considering the relationship and interaction between Vallenzano and Abco, the Court found that:
corporate formalities were not observed and Abco was inadequately capitalized. Overwhelming evidence has been presented showing that personal and corporate funds were intermingled in the account, and that corporate funds often were used for personal purposes. Evidence has been submitted showing that personal and business telephones were one and the same, and that personal assets, such as automobiles, were used for corporate purposes. Dealings between Vallenzano and the corporation were not at arms-length. Loans made to Abco and payments on those loans to Vallenzano are undocumented and appear to have been made randomly, and extensive Abco funds were used to pay for Vallenzano's interest in a Portuguese venture. Vallenzano transferred his stock brokerage accounts to Abco solely to avoid personal tax liability, and plainly traded the accounts as if they were his own accounts.
Vallenzano has failed to offer any evidence refuting the evidence Petersen has submitted showing the extensive intermingling of personal and corporate assets. The only evidence he has submitted are two 1978 documents establishing an operating agreement between he and Abco, and appointing him the President, Chief Executive Officer, and Treasurer of Abco. No other documentation showing that the corporate form was respected has been presented. Given the totality of the ...