Beleaguered Chattanooga auto dealer Joseph Prebul repeatedly took the fifth Tuesday during a brief meeting with creditors, after explaining that he will answer no questions until criminal charges filed against him in New York have been resolved.
“Due to wrongful allegations made against me by my sister’s husband . . . I have decided to decline to give any oral testimony to any party until the conclusion of that proceeding,” he said immediately after being sworn in. He said that decision was based on advice from his attorney.
Trial on the criminal charges that he swindled Danny Bensusan, his brother-in-law, out of millions of dollars is tentatively set for Nov. 16 in federal court in New York City.
Consequently, bankruptcy court officials here decided to continue Tuesday’s session until December, when they hope Mr. Prebul will be willing to answer questions.
“Of course, that meeting also may be premature,” one attorney commented, noting that trial dates often get postponed.
Although the former car dealer announced at the beginning of Tuesday’s session that he would not be answering any questions, the attorney for his brother-in-law nevertheless posed a series of 10 queries.
For example, Nashville attorney Austin McMullen wanted to know the identities of Mr. Prebul’s legal counsel and who his business partners were.
Ten times, responding to the questions, Mr. Prebul read his prepared statement.
“I decline to give any oral testimony to any party until the conclusion of (the New York) proceeding,” he repeated over and over.