David Brooks, now dead , was a big time scamster who sold defective body armor to the Dept of Defense. After much litigation, on November 5, 2018 U.S. District Judge Joanna Seybert entered an order forfeiting more than $143 million in assets that had been seized from David H. Brooks. David H. Brooks was controlling shareholder of DHB Industries, Inc. The armor was used extensively in Afghanistan and Iraq and was defective. David H Brooks (DHB) was also a supplier of body armor to law enforcement agencies.
In 2010, Brooks was convicted of mail and wire fraud, securities fraud obstruction of justice and filing false tax returns. The Court had ordered forfeiture and restitution to victims. Brooks died in prison while an appeal of that case was pending.
Brooks cooked DHB’s books and records and then lied to auditors to cover-up. DHB’s shares were artificially inflated through the scams to $20 per share. Brooks started selling DHB shares which delivered $185 million. Thereafter, the price of DHB stock declined to pennies. Brooks spent DHB’s funds to finance his family’s extensive spending, including an expensive bat mitzvah party, vacations and other personal spending.