Michael Jackson‘s former dermatologist Dr. Arnold Klein is accused of hiding a $76,000 Rolex watch from his Bankruptcy Estate so a judge slapped him with a restraining order in an effort for the Trustee to seize the watch from him, RadarOnline.com is exclusively reporting.
Klein listed the high-end watch in his original bankruptcy filing back in 2011, describing the “gold case, double diamond bezel, 6 rows of diamonds encompass the entire band, oyster pearl face” Rolex as being valued at $76,000.
Then in 2012 the Trustee demanded all Rolex watches in Klein’s possession, but was told by his attorneys they were gifted to others pre-petition and he no longer had them.
A year later during a deposition conducted by the Trustee, Klein invoked the fifth amendment and wouldn’t answer any questions about the watches.
According to the legal documents filed on June 10, 2014, the Trustee was informed earlier this year that Klein indeed DID have possession of the Rolex all along and had actually used the watch as collateral to obtain a $10,000 loan.
“I believe that the Rolex Watch referenced in the Appraisal and in the Loan Contract is the Rolex Watch listed on the Declarations Page, the Rolex Watch is property of the Estate, the Rolex Watch currently is in the possession of the Lender, and the Rolex Watch will be released by the Lender upon payment of the Loan,” the papers read.
It should also be noted that the lender only valued the Rolex at $35,000, not the $76,000 Klein claimed it was worth.
The filing was made as an emergency motion because based on Klein’s past conduct, they were afraid he would try to keep the Rolex from the bankruptcy estate.
“I believe that if Dr. Klein became aware that the Trustee knows the current location of the Rolex Watch, Dr. Klein would act promptly to take back possession of the Rolex Watch in order to keep it from the Trustee,” the declaration continues.
The Trustee is asking the Bankruptcy Court to order the Rolex as their property and allow them to go to the lender of the $10,000 loan and retrieve it from them.
On July 2 the judge granted the motion and ordered a temporary injunction against Klein that prevents him from retrieving the watch or transferring it in any way shape or form.