On Sept. 14, the younger Wasendorf and his wife, Amber, sued U.S. Bank NA, alleging an employee at its Cedar Falls branch enabled his father to perpetrate his crimes by failing to comply with CFTC account management regulations.
Wasendorf Jr.
The bank's alleged assurances led Wasendorf Jr. and his wife to personally guarantee loans made by the bank to his father's business, Wasendorf Construction LLC, owner of Peregrine's Cedar Falls headquarters, according to the complaint. The younger Wasendorf now seeks to have those guarantees voided by an Iowa state court.
"The Wasendorfs' lawsuit is entirely without merit," Tom Joyce, a spokesman for the bank's parent company, Minneapolis- based U.S. Bancorp, said in an e-mailed statement. "There is no evidence of any employee misconduct by anyone at U.S. Bank."
Michael Eidelman, the receiver appointed to marshal and liquidate the older Wasendorf's assets in the CFTC case, today filed papers seeking permission to sell the Peregrine headquarters and other Wasendorf Construction assets including the Italian restaurant in Cedar Falls.
Eidelman also asked U.S. District Judge Rebecca Pallmeyer for permission to liquidate assets owned jointly by Wasendorf Sr. and Paladino.
"Paladino consents to the entry of this order," the receiver said.
'Love You'
In his suicide note to her, Wasendorf told his new bride, "I love you so much and I so wanted to spend my final years growing old with you. I am so sorry that this will not happen."
Citing the concealment of his crimes, she has asked a Nevada state court in Las Vegas to annul their June 30 marriage. Livingston told Scoles Sept. 11 that Paladino's filing was motivated by the need to insulate herself from financial liability and that she is still committed to Wasendorf.