Judgment

The Department of Finance and Mr. Breinholt have reached a settlement in this case. The judgment will be posted within the next week. is posted here.

Mr. Breinholt is permanently enjoined from further violations of Idaho's Uniform Security act. Judgment in the amount of $5,000,000, plus penalties of $240,000, have been entered against him in favor of the Department.

The terms are that Mr. Breinholt will pay the Department $1,000 per month for the next ten years, for a total payment of $120,000. The Dept. will prorate that amount and send it to investors.

If Mr. Breinholt makes all his payments, on time, at the end of ten years the Department will file a satisfaction of judgment and consider the matter closed. Penalties are suspended as long as Mr. Breinholt makes his payments, and will be waived once he has paid the $120,000.

If Mr. Breinholt fails to make all payments, on time, he will become responsible for the full judgment and penalties.

Questions can be directed to Chief Investigator Jim Burns at (208) 332-8080.

Status 4 June 08

The 2 June status conference did not result in any changes. Due to the ongoing settlement discussions the case was not set for trial. Another status conference is set for August 11, 2008, at which time the matter will probably be set for trial if it has not settled.

Again, investors are cautioned that the settlement discussions will not necessarily be successful. The parties have substantial differences at this point.

Status Report May 2008

The Department of Finance and Mr. Breinholt, through their lawyers, have exchanged drafts of what amount to settlement agreements but have not yet arrived at any final agreement. Discussions do not always lead to agreements so investors are cautioned not to assume that this case will settle any time soon, or at all.

A status conference is scheduled before District Judge Owen on May 2, 2008.

Some investors have inquired whether the Department has frozen bank accounts of Defendants. The Department has not frozen any bank account of any defendant, nor has it issued any directions to any defendant in this case about the disposition of money in the accounts.

About

This site is to keep consumers and investors informed about the status of Ada Counnty Idaho case number CV OC 07-21972, State of Idaho Department of Finance vs. Home Sweet Home, Streamline Financial, and Michael Breinholt. The site will be maintained, but given the nature of litigation there may be long periods between posts.