The US soldier accused of killing 16 civilians in Afghanistan left for war without paying a $1.5 million judgment for defrauding an elderly client in a stock scheme, and remains shielded from the obligation as long as he remains in the military, legal experts said.
Before beginning his military career in November 2001, Sgt Bales worked almost 5½ years at a series of largely intertwined brokerages that received repeated regulatory censures, according to regulatory records. Sgt Bales joined the army 18 months after an Ohio investor filed an arbitration complaint alleging unauthorised trading, breach of contract and other abuses against him, his firm and its owner. In 2003 the arbitration panel ordered them to pay the investor $1.2 million, including $637,000 in punitive damages for wilful or malicious conduct. Sgt Bales never appeared before the panel. Earle Frost, a lawyer for the victim, Gary Liebschner, said his client never received any payment and could have taken Sgt Bales to court to enforce the award, but “we couldn’t find him”. Even if his victim had pressed the claim, Sgt Bales had protection under laws that shield members of the military from some financial obligations. – (Reuters)