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ORLANDO-U.S. Bankruptcy Court Trustee Bill Cuthill Jr. has filed a civil suit in Nassau against mystery man Gregg A. White, alleging he was one of the early owners of the defunct Evergreen Security Ltd. whose principals are accused of fleecing 2,203 American and foreign investors out of a total $214 million over a 10-year period.

Evergreen sold unregistered mortgage-backed securities, promising returns of $10%-plus, court filings allege. Cuthill’s suit seeks $50 million in damages from White but so far the trustee hasn’t found him.

This is the first time White’s name has surfaced in the bizarre case. White is supposed to be a wealthy real estate owner/investor in the Bahamas with undetermined assets, Orlando lawyers intimate with the case tell GlobeSt.com on condition of anonymity.

Cuthill has recovered $4 million of the missing $214 million to date, according to court records. In May, the trustee sued 76 individuals and corporations to recover $8.1 million in the 18-month-old fraud investigation, the largest of its kind in Florida’s history, court filings state.

Cuthill still believes he can recover a total $53.5 million or about 25% of the missing money, he has told the court.

Evergreen Security Ltd. ownership changed hands several times over its 10-year existence, court pleadings show. The latest owner, William J. Zylka, 65, of New Vernon, NJ, has pleaded guilty in New York to fraud charges and is scheduled to be sentenced July 16.

He faces prison time of six years to 18 years, court deputies familiar with the case, tell GlobeSt.com.

Orlando lawyers Martin W. Boelens Jr., who managed Evergreen for Zylka, and Robert W. Boyd have been charged securities, mail and wire fraud. They have agreed to plead guilty in exchange for prison terms of less than 10 years, according to the U.S. Attorney’s office in Manhattan.

Two other lawyers being sued by Cuthill are Matthew A. Tavrides of Orlando and David H. Tedder of Longwood, FL.

Other local defendants in the same suit are Jim Kime, First American Life & Health Co., Winter Park, FL; Shari Larson, 37 N. Orange Ave., Orlando; and Paul DeLauro, 201 E. Pine St., Orlando.

Cuthill’s suits allege Zylka and his associates operated unobtrusively from 1991 to 2001 from leased class A offices at the Downtown 15-story Capital Plaza I at 201 E. Pine St.

The newest suit, like the previously filed complaints, alleges the Evergreen scheme unraveled when Boelens voluntarily placed Evergreen into Chapter 11 protection from creditors under the U.S. Bankruptcy Code in January 2001. Boelens managed the Evergreen fund for the last five years of its existence, court records show.

The Boston-based Evergreen Investments family of mutual funds, owned by Wachovia Corp. of Winston-Salem, is not associated or related to Evergreen Security Ltd.

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