During
the raid on TelexFree’s Massachusetts offices
,

federal law enforcement seized various assets of TelexFree, including servers used by TelexFree, about 38 boxes of documents, and about two dozen computer drives.

The electronic data alone is believed to be over 400 terabytes of material.

As regulators continue to build their respective cases against TelexFree, the monumental task of sifting through the evidence faces potentially significant delays due to

all of the information seized from TelexFree first reviewed by a team of lawyers and paraprofessionals, whose duty would be to examine all of the documents and remove any materials that appear to be attorney-client privileged before the documents would be made available to the Governmental Authorities for use in Governmental Proceedings.

Seeking to speed up the investigation into TelexFree, Chapter 11 Trustee Stephen Darr recently approached the bankruptcy court with a request to
waive TelexFree’s right to any attorney-client privilege
.

The motion, if granted, would permit authorities to immediately begin sifting through the collected evidence and enable them to use anything they find to build their respective cases.

Opposing this motion is TelexFree co-owner, Carlos Wanzeler.

Wanzeler (right) objects to the Trustee’s waiving of client-attorney privilege because

because the record before the court is inadequate and insufficient for the Court to consider the issues presented or make the determinations the Trustee has requested.

Mr. Wanzeler intends to preserve all rights in this and any other proceeding to assert the attorney client privilege, the attorney work product privilege, and other applicable legal privileges, and intends to preserve all rights to further brief these issues when they arise in this or any other legal proceeding.

Mr. Wanzeler respectfully requests that the Court deny the Trustee’s Motion and delay any hearing or ruling until such time as a complete factual and legal record is presented to the Court.

That record could take months to present, as it would require the aforementioned “team of lawyers and paraprofessionals” to sift through the seized information.

That naturally suits Wanzeler, who is currently a fugitive on the run from US authorities. Wanzeler is currently hiding out in his native Brazil, living off
millions of dollars he stole from TelexFree investors and then laundered out of the US
.

Wanzeler goes on to argue

The Court cannot properly consider the Trustee’s Motion because the Trustee has not presented any of the basic facts that would be necessary to determine the proper waiver of the attorney-client privilege.

For example, the Trustee has not identified any of the following:

-Who are the attorneys?

-When were the attorneys engaged?

-By whom were the attorneys engaged?

-For what purposes were the attorneys engaged?

-Which entities or individuals did the attorneys represent?

-Which entities or individuals may have a basis to asser

🤖 Quick Answer

What assets did federal law enforcement seize during the TelexFree raid in Massachusetts?
Federal agents seized TelexFree's servers, approximately 38 boxes of documents, and about two dozen computer drives. The seized electronic data alone exceeded 400 terabytes of material, representing a substantial volume of evidence requiring extensive review and processing before regulatory authorities could access it for investigative purposes.

Why is the criminal investigation into TelexFree facing potential delays?
Significant delays stem from mandatory legal review procedures. All seized materials must first be examined by lawyers and paraprofessionals to identify and remove attorney-client privileged documents before the evidence becomes available to governmental authorities for use in official proceedings and prosecution efforts.

🔗 Related Articles

- TelexFree Trustee grants regulators full access to evidence
- Acre PP: TelexFree under investigation in the US
- TelexFree laundered funds through shell companies
- TelexFree insiders try to cut prelim injunction deals
- Blockchain Sports scammers hiding in Russia