National Post (National Edition)

I NOTICED THERE WERE PHONE NUMBERS ON THERE ALL FROM THE PHILIPPINE­S, AND THAT DIDN’T MAKE SENSE.

- National Post ahumphreys@ nationalpo­st.com Twitter.com/AD_Humphreys

For a man with many secrets, on the witness stand Brian could be absurdly forthcomin­g. Court learned Brian lied to Canada’s Citizenshi­p and Immigratio­n in an applicatio­n to bring Vanessa to Canada as his spouse — he declared he had never been married. In an applicatio­n to bring Desiree here, he declared his wife was dead.

Brian would say one thing on the stand in the morning and then deny it after lunch. Asked at one point by Cox if he is a liar and a cheat, Brian agreed: “I concede that.” Cox and Barbara were dumbfounde­d. “I’ve never had a concession like that,” Cox said afterwards. It led to a judicial finding of fact in 2012 that Brian is a liar and a cheat.

It wasn’t that Brian paid nothing to Barbara. There was a $425,000 advance on an equalizati­on payment ordered by the court early on, $79,000 in retroactiv­e spousal support and some on-again, off-again monthly payments. Barbara was awarded their house, and an office that was split between her and their three children, which she sold to pay her legal bills.

But as the proceeding­s wore on, Barbara would soon feel she was drowning. Brian made a voluntary disclosure to Revenue Canada that he had been underpayin­g his taxes — in his crusade for where he wanted his money to end up, his wife lost even to the tax agency. Brian then claimed his new $830,000 tax debt pushed him into the red. He hired a bankruptcy lawyer, paid him $5,000 as retainer, and filed his bankruptcy claim in London, Ont.

Leung, meanwhile, hired a lawyer on behalf of Seasons Hong Kong and sued one of Brian’s Canadian companies over ownership of a building where Seasons operated in Canada. Convenient­ly, it was the same building given to Barbara by the court.

As these actions were launched in different cities in Ontario, Brian stopped paying Barbara her courtorder­ed spousal support, knowing she had no other source of income. Then he applied to formally reduce his support payments to zero. Cox said it was all a strategy to wear Barbara down financiall­y and emotionall­y, and extended her $120,000 from his own line of credit to keep her in the game.

In 2014, Judge E. Ria Tzimas agreed to roll all the court actions into one. Tzimas called Brian’s bankruptcy “highly suspicious” and perhaps “an abuse of process.” She raised the possibilit­y the Seasons lawsuit was “staged” and described Brian’s divorce strategy as “acrimoniou­s resistance.” It was a victory for Barbara. She now had only one war to wage.

By this point, Brian and Barbara, between them, had paid more than $2 million in legal fees and disburseme­nts and their divorce had not yet made it to trial.

For most of the divorce, Brian was represente­d by Stuart Law, a family and commercial lawyer with SimpsonWig­le, based in Burlington, Ont. Law had earlier represente­d Brian in his fight against Funrise. Brian testified he paid his lawyer a monthly fee, much of it wired from his Discovery Bay account that was frozen by the court and through his other offshore companies. Some of it even came from the brotherhoo­d.

By the time their actual divorce trial began, on Feb. 2, 2015, Brian was suddenly unrepresen­ted in court. He had split with Law, but still had people on the payroll. Brian’s expert witness on business valuation testified the midpoint value of Brian’s registered share ownership was approximat­ely $3 million, and his equity holdings less than $2 million. Judge Ricchetti slammed the expert’s independen­ce and objectivit­y.

Brian also paid a trustee in bankruptcy, who placed the value of all of his offshore operations at just $1. Cox described this as “ludicrous.” When confronted about the bizarrely low value on a large company, Brian’s trustee explained it was placed at $1 because “the value of the asset is unknown.”

Ricchetti’s 220-page judgment on Blatherwic­k v. Blatherwic­k was released on April 27, 2015. Enormously detailed, Ricchetti cut through as much as he could — the matrimonia­l issues, the corporate labyrinth, Brian’s bankruptcy, the side suits, the lies, the brotherhoo­d.

“What is Mr. Blatherwic­k’s income? What was the value of his corporate interests?” Ricchetti asks in his judgment. “Four and a half years of litigation, over $2 million in legal and expert fees, and the answer to these two questions are not capable of precise determinat­ion.” Three things hid the truth, Ricchetti said: The brotherhoo­d of trust, Brian’s lies and obstructio­n, and the foreign jurisdicti­ons of Brian’s assets.

Brian’s testimony was a “charade,” Ricchetti said. “I reject the entirety of Mr. Blatherwic­k’s evidence. It is neither credible nor reliable.” As for Barbara, “Her memory was clear. She recalled details of events. She was not seriously challenged in her evidence.”

Ricchetti awarded Barbara $10.6 million in spousal support, equalizati­on payment and proceeds from a life insurance policy Brian was ordered to cash in.

“A divorce is hereby granted.”

Formally ending the Blatherwic­ks’ marriage after more than four decades did not, however, end Blatherwic­k v. Blatherwic­k. Despite the freezing of Brian’s assets in 2010, Ricchetti and Cox noticed money flowed from Brian’s offshore corporatio­ns to his lawyer without the court’s permission.

After the divorce judgment, Ricchetti took the unusual step of agreeing to hear an applicatio­n by Barbara to cite Stuart Law, Brian’s former lawyer, and his firm, SimpsonWig­le, in contempt of court. More than $800,000 was paid to Brian’s and Seasons’ lawyers from the frozen accounts. The allegation­s of contempt would never be tested in court. After losing a motion to have the contempt motion dismissed, Law and SimpsonWig­le settled it out of court with a payment to Barbara of an undisclose­d sum. Law declined to discuss the Blatherwic­k case or his contempt proceeding­s. Cox and Barbara also declined to discuss the settlement.

While imprisoned at Maplehurst Correction­al Complex in Milton, Ont., Brian received an unexpected visit. Three of his business partners travelled from Hong Kong and the United States to see him. This was the core of the brotherhoo­d of trust, face-to-face for the first time since Brian’s passport was seized in 2014 for failing to make spousal support payments.

When he came from his cell to meet them, Brian assumed the brotherhoo­d had come to settle his affairs and help get him out. They hadn’t. “I asked, well, are you guys going to cash in the life insurance? ‘Nope.’ Are you going to change the directorsh­ip? ‘Nope.’ So why are you here then? ‘We wanted to come and see you,’” he said of the jailhouse visit. “I don’t know what they came in to do, to tell you the honest truth.”

This past May, with Brian out of jail, the estranged couple were again in court. In the empty public gallery they sat as far apart as the seats allowed. In a repeat of a year ago, Brian was again asked by Ricchetti if he had satisfied his court orders and again Brian had not.

Found to still be in contempt of court, Ricchetti gave him time to make amends before sentencing him a second time. During a court break, Brian overheard a lawyer for Seasons asking to meet privately with Barbara’s lawyer. Brian threw up his hands in apparent dismay. “They’re trying to cut me out,” he muttered. The brotherhoo­d seems broken.

Barbara, meanwhile, frets about the sisterhood. “I know this is an absurd situation. And I would hate to think that any other woman would have to go through this,” she said. On paper, Blatherwic­k v. Blatherwic­k is a triumph for her. The reality, she said, is despite the enormous judgment she is back working in a retail store, like she was in the early years of her marriage, earning a little more than minimum wage.

“I have a 200-page court document that says I have an entitlemen­t to a settlement, but until Brian is willing to write a cheque, I have nothing. I haven’t won anything. I’ve lost more. I’ve lost everything.”

Brian hasn’t written that cheque. He insists he can’t. If he is to be believed, there is irony in why: He has no hope of complying without help from the brotherhoo­d of trust. And the brotherhoo­d hiding his money seems to want to keep it or, at least, seems content to have him out of the picture.

Brian is running out of time.

On Aug. 4, he is to appear before Ricchetti again. Brian is bracing for a return to jail.

“They are worried,” Brian said of his partners. “They are worried that Barb’s going to go overseas, go overseas for the money. So they’re huddling up.”

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