April 12, 2018
The FBI is reportedly investigating possible financial wrongdoing at a local business. The HJH Consulting Group Inc, also known as The Salt Group, presumably filed for bankruptcy last week.
According to Monday’s court filing, the consulting company disclosed the reason for seeking bankruptcy is “due to the fact that one of its employees manipulated the accounting records of the Debtor to the Debtor’s detriment.” Also according to Monday’s court filing, “the Debtor is advancing a reorganization through a going concern sale” of the business.
The San Antonio Express-News was told on Wednesday from a female employee who didn’t wish to disclose her name, “We’re still operating.” She directed further inquiries to San Antonio attorney James Rosenblatt.
Stephan A. Canty, Salt Group’s former president declined to comment to San Antonio Express-News but stated that he was represented by San Antonio criminal defense lawyer Gerald “Gerry” Goldstein.
A person familiar with the bankruptcy case told San Antonio Express-News that a company official had overstated its receivables for years to obtain funding on a bank loan. The official recently confessed, triggering a criminal investigation.
FBI spokeswoman Michelle Lee said to San Antonio Express-News that the agency doesn’t confirm or deny the existence of investigations.
San Antonio Express-News reports that the company filed for Chapter 11 reorganization on April 2. Two related companies, US Tax Recovery Partners and B2B Prospecting, filed their own bankruptcy petitions but the three cases have since been consolidated. The three companies have substantially overlapping obligations, according to a court filing. Each listed assets of $50,000 or less and liabilities ranging from $10 million to $50 million. Texas Capital Bank is listed as the largest creditor in each petition, owed $24 million — of which $10 million is unsecured.
As Kerrville Breaking News learns more of the details regarding this investigation, we will keep our readers updated.