Should I take the word diverted to mean stole? If so I'd bet the claim is Elaut owns JJP! I would advise JJP to actually pay for real legal counsel and not a 3rd rate attorney forget "free labor" in this matter. Those are some very serious claims and no matter what this is going to get real expensive $$$$$!! I'd bet someone at Elaut had an Audit done and the final results show someones hand in the "Cookie Jar" for sometime! This happens all the time with companies, most keep it quiet because it shows a lack of oversight and poor business. What Karma? The guy that runs around pinball claiming "I'll sue" gets sued for a Million six Plus!! The retainer is going to be a big one.. I'm sure this will be why your games are being delayed!! Great day!!!

Totally incorrect! As posted the accounting issues clearly hid the issues until an Audit most likely. 3 years is nothing. The Audit could have taken a year just to track down the issue. Elaut has made a very serious claim don't kid yourself. The tax issue a lone is huge, think about it.

REALLY? Key here word is accounts and used to transfer money or assets. This is why it can take years to find out a company has or had an issue.

Auditing is a systematic examination of books,accounts, documents and vouchers of a business to ascertain how far the financial statements present a true and fair view of the concern. It also ensures that the books of accounts are properly maintained by the concern as required by law. The main object of Audit is to find out whether the financial statements of a particular concern show a true and fair view of the earning and financial position of a business. It is considered as review function.

Embezzlement:

Embezzlement is defined as the misappropriation of items with which a person has been entrusted. Embezzlement differs from larceny in that the perpetrator of embezzlement comes into possession of property legally, but fraudulently assumes rights to it. Charges of embezzlement can even be levied if the embezzler intended to return the property later.

BTW when you've done nothing wrong you can always comment!

Anyone want to put money down another JJP game??

OCEAN COUNTY, NJ -- Elaut USA Inc. is seeking to recover more than $1.6 million that it alleges was stolen by two former top executives. The lawsuit, filed in the Superior Court of New Jersey, charges that Jack Guarnieri began redirecting cash payments, which should have gone to an Elaut subsidiary, into various accounts Guarnieri personally controlled after he took the helm at the Lakewood, NJ, amusement company in October 2008. Elaut USA is a subsidiary of Belgium's Elaut nv/sa, a 60-year-old amusement machine manufacturer, which began its American expansion in 2008 with the acquisition of Monduce Inc., an operating company specializing in arcade concessions at amusement parks. That same year, Elaut appointed Guarnieri to manage its U.S. interests as president and chief executive. Guarnieri also continued to run his own Pinballsales.com business, one of the largest resellers of classic coin machines. Guarnieri resigned his post at Elaut USA in 2012, after announcing the formation of Jersey Jack Pinball, which is also named as a defendant in the lawsuit. Another codefendant is Michael Carle who, according to Elaut, was appointed by Guarnieri to replace the company's longtime chief financial officer. As CFO, Carle "hid Guarnieri's audacious scheme with several accounting tricks," the lawsuit claims. Other charges include false write-downs of inventory and check receivables, along with intra-company loans to a subsidiary unable to repay them because money had been funneled to Guarnieri. Elaut alleges that some monies were fraudulently transferred to Guarnieri's pinball startup. While the lawsuit was filed in December, news of the action was not publicized until Replay Magazine published a report about it on Feb. 2. - See more at: http://www.vendingtimes.com

Try years!

Maybe but you now have a previous employer with some hard claims that JJP and his racetrack crew point blank stole $1.6+ million. That's not some internet jokers having fun about a pinball machine, it's a suit filed in court. It's clear they claim JJP and the crew STOLE the money. I'd be worried the IRS is going to show up and start looking if taxes have been paid on said money. That's how the "crew" will end up in jail. Forget the stupid hobbit, people will land behind bars up in CT! If anyone thinks the Hobbit is coming anytime soon need to read the claims! JJP is DONE! Put a fork in him and the crew!

The paper trail is what their claims are based? That's how they know the accounting isn't correct. Read the claims, just follow the money trail.

I'm sure Elaut just wants the money back and that's all. What follows could be real painful! IRS!

Before or after!!!

Not much in the photo's! You actually have no proof when those photo's were taken. Elaut want's their money back so get those game moving down the line. Where's the photo of the production line running? Anyone there?

Go look at Stern FB if you want to see a factory.