Description: Provides compensation to victims of corporate fraud who have otherwise been unable to collect on their judgment. Corporations may also oppose an application by providing a written response that includes evidence that shows the application does not meet the conditions for payment.
Eligibility: Must be a victim of corporate fraud who:
1. have a final judgment, arbitration award, or criminal restitution order based on corporate fraud, misrepresentation, or deceit, made with intent to defraud
2. the civil judgment, judgment based on an arbitration award, or a criminal restitution order is from a California court or a federal court sitting to conduct its affairs within the State of California
3. is a California resident at the time the fraud occurred
4. the application will be delivered to the Secretary of State no more than 18 months after the judgment became final ("final" means the appeal period has expired)
5. at least one judgment debtor a California corporation or a foreign corporation qualified to transact business in California
6. the applicant has diligently pursued collection efforts on assets of all judgment debtors and any other person who may have been liable to applicant for the fraud
7. the judgment debtor has filed for bankruptcy, was the underlying judgment and debt declared nondischargeable (Nondischargeable debts are debts that have not been dissolved or forgiven in a bankruptcy proceeding.)
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