Willis Carto archive

Including information about his associates

Carto Stopped Cold in DC Bankruptcy Court

June 6, 2001

Today marked another courtroom defeat for Willis Carto and Liberty Lobby, the Washington, DC-based populist institution he founded and runs.

This morning a Washington, DC, bankruptcy court rejected Carto’s attempt to persuade it not to give full faith and credit to an adverse ruling in California. Judge Teel ruled that Liberty Lobby’s motion to deny the jurisdiction of California Superior Court Judge Runston over Liberty Lobby, suffered from procedural deficiencies and lack of merit. Teel further acknowledged the authority of Maino, informed Carto that Liberty Lobby has no possibility of redress in DC Bankruptcy Court, and refused to allow Liberty Lobby to modify their bankruptcy reorganization plan.

This means that Carto must go before Judge Maino with any further arguments he wishes to make. Unfortunately for Carto, Maino is the judge who issued the multi-million dollar ruling against him in the first place, found him and Elisabeth Carto guilty of multiple counts of contempt of court, permitted the seizure of Carto’s mail, and ordered the sale of the Carto’s hillside estate.

It is expected that Liberty Lobby will soon file for Chapter 7 bankruptcy protection as the result of this and other recent adverse decisions.

The Carto’s next court appearance is scheduled for June 15, in front of Judge Maino in Vista, California. He has been ordered to answer questions about his assets on or before that date.

Related files:

  • Transcript of the June 6, 2001, hearing on Liberty Lobby’s defective motion for relief
  • Transcript of the June 6, 2001, status conference on Liberty Lobby’s lawsuit against LSF/IHR in DC bankruptcy court
  • Transcript of the June 18, 2001, hearing in DC bankruptcy court
  • Order of June 26, 2001, dismissing Liberty Lobby’s second bankruptcy filing