Member of Delaware Limited Liability Company Indicted for Bankruptcy Fraud

Wilmington, Del. – Deborah Evans Mott, a 69-year-old Virginia woman, has been indicted for making material false statements under oath and under penalty of perjury during a bankruptcy proceeding, announced David C. Weiss, U.S. Attorney for the District of Delaware.  

According to the indictment, in January 2022, Team Systems International, LLC (“TSI”) filed a voluntary petition for relief under Chapter 11 of the Bankruptcy Code in U.S. Bankruptcy Court for the District of Delaware (No. 22-10066-CTG).  During the relevant time period, Mott was a member of TSI, had sole signatory authority over all of its bank accounts, and acted as its bookkeeper.  The indictment alleges that Mott declared under penalty of perjury that TSI’s bankruptcy filings were true and correct despite knowing that the filings failed to disclose, among other things, several million dollars in transfers to Mott and other TSI insiders.  The indictment also alleges that Mott was deposed under oath during the bankruptcy and falsely testified regarding various financial transfers from TSI.

Mott is charged with one count of making false statements under penalty of perjury during a bankruptcy proceeding and one count of making false statements under oath during a bankruptcy proceeding.  If convicted, she faces a maximum period of five years in prison for each count.  A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.

The investigation was conducted by the FBI.  Assistant U.S. Attorney Claudia L. Pare and Special Assistant U.S. Attorney Hannah J. McCollum are assigned to prosecute this case.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the District of Delaware.  Related court documents and information is located on the website of the District Court for the District of Delaware or on PACER.

An indictment contains allegations that a defendant has committed a crime. Every defendant is presumed to be innocent until and unless proven guilty in court.