Sandy Hook families seek to reverse payments Alex Jones made to wife

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NEW YORK (Reuters) -The families of Sandy Hook shooting victims said they had a strong case to reverse payments received by Alex Jones’ wife and others in his family to help satisfy $1.5 billion in judgments they won against the bankrupt right wing conspiracy theorist over his lies about the 2012 elementary school massacre.

Jones has engaged in “financial gymnastics” to hide his assets and avoid paying the judgments, spreading money to friends, family members, and shell companies, David Zensky, a lawyer for the families, said on Friday during a bankruptcy court hearing in Houston.

The families of the children killed by a gunman in Newtown, Connecticut, have a “very strong case” to claw back certain payments to Jones’ family, including a $1 million payment from Jones to his wife, Zensky said.

U.S. bankruptcy law allows debtors or their creditors to unwind asset transfers that were made before bankruptcy in an attempt to avoid paying debts.

The Sandy Hook families have investigated $62 million that Jones has transferred out of his company, Free Speech Systems (FSS), and they accuse Jones of beginning to shift more money to friends and family members as the defamation cases neared trial.

Jones’ attorney, Vickie Driver, said Jones was not opposed to reversing payments if they were proven to be improper, but he would prefer to appoint an independent expert for that work.

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