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Trust To Operating Revenue Audit 2020 2026

Trust → Operating Revenue Audit (2020-01 through 2026-04)

Litman v. Goldberg, NY Sup. Ct. Kings County, Index 524343/2025 — Hon. Brian L. Gotlieb, J.S.C.

Prepared 2026-04-26. Corrected 2026-04-26 per Litman trust-to-trust flag (new bucket T added — see § 1, § 3, § 11).

1. Methodology

Per R. Litman's 2026-04-26 framing: "If money comes out of the trust account to their operating account and it's not clearly marked as being reimbursed for disbursement advanced, it's revenue and I get a percentage of it. The number should add up."

Per R. Litman's 2026-04-26 trust-to-trust correction: "There were transfers trust to trust for Nath & Associates in trust." Movement between trust accounts (BoA t3 ↔ Eagle Bank t23, or any inter-trust correction) does NOT leave the trust system and therefore is NOT revenue.

Each ledger line was assigned to one of six buckets based on the verbatim explanation field text:

Revenue universe = E + D + S + U (R and T are excluded).

Sources:

2. Coverage map

Target months (2020-01 through 2026-04): 76 Months with data: 72 Months MISSING (no Trust Transfer Journal located in production): 4

Missing months: 2025-07, 2025-08, 2025-09, 2026-04

Per feedback_validate_every_number.md: missing months are flagged here, NOT extrapolated. They are concealed-or-spoliated production gaps. The existence of monthly Payment Allocation reports for July 2025 produced only on 8/11/2025 (per output/JUL_SEP_2025_PAYMENT_GAP_MEMO.md) confirms these journals exist in NGM's PracticeMaster system but were not turned over.

3. Per-bucket / per-year aggregate (corrected 2026-04-26 per Litman trust-to-trust flag)

Bucket Description # transactions Total dollars
E EXPIRED (Litman channel) 62 $102,020.00
D DUPLICATE PAYMENT (Litman channel) 51 $349,962.00
S STANDARD invoice-payment transfer 3,518 $21,992,046.26
U UNLABELED / OTHER 317 $1,506,038.29
R REIMBURSEMENT (excluded) 63 $698,009.91
T TRUST-TO-TRUST (excluded — new 2026-04-26) 21 $706,832.55
REVENUE = E+D+S+U Litman's 20% applies 3,948 $23,950,066.55
Litman 20% share $4,790,013.31

Delta vs. uncorrected 2026-04-26 numbers: revenue universe down $706,832.55 (from $24,656,899.10 to $23,950,066.55); Litman 20% share down $141,366.51 (from $4,931,379.82 to $4,790,013.31). 21 ledger lines moved from S/U into the new bucket T. See § 11 for the line-by-line reclassification log.

Per-year revenue (corrected 2026-04-26)

Year EXPIRED DUPLICATE STANDARD UNLABELED REIMB (excl.) TRUST-TRUST (excl.) Revenue Sub-Total Litman 20%
2020 $0.00 $0.00 $1,707,449.14 $772,011.30 $538,255.97 $0.00 $2,479,460.44 $495,892.09
2021 $0.00 $0.00 $2,230,488.71 $255,708.08 $150,269.11 $0.00 $2,486,196.79 $497,239.36
2022 $0.00 $1,325.00 $3,531,795.63 $191,185.05 $8,675.00 $17,500.00 $3,724,305.68 $744,861.14
2023 $0.00 $0.00 $6,248,720.54 $60,218.40 $9,773.58 $9,440.00 $6,308,938.94 $1,261,787.79
2024 $0.00 $132,911.00 $6,386,921.17 $121,889.46 $8,211.25 $596,946.38 $6,641,721.63 $1,328,344.33
2025 $102,020.00 $215,726.00 $1,565,614.51 $93,338.00 $-17,175.00 $16,060.17 $1,976,698.51 $395,339.70
2026 $0.00 $0.00 $321,056.56 $11,688.00 $0.00 $66,886.00 $332,744.56 $66,548.91
TOTAL $102,020.00 $349,962.00 $21,992,046.26 $1,506,038.29 $698,009.91 $706,832.55 $23,950,066.55 $4,790,013.31

4. Top 20 single-largest sweeps (revenue buckets only — corrected 2026-04-26)

The previously-listed rank-3 entry (2024-04-10, $500,000.00 KFU 36372 "Transfer to BOA Operating for transfer to EagleBank Operating to Trust") has been removed: its memo's final hop is back into a trust account, so it is reclassified to bucket T (trust-to-trust, not revenue). All ranks 4-20 shift up by one; new rank 20 is the next-largest revenue sweep (2022-11-28 $167,655.00 KFU 36372).

Rank Date Bucket Amount Client Docket Explanation (verbatim) Source
1 2023-05-24 S $615,110.00 135900 King Faisal University 36372 Transfer to Operating All_Transfers_to_Nath_NGM__202
2 2023-09-15 S $513,760.00 135900 King Faisal University 36372 Transfer to Operating All_Transfers_to_Nath_NGM__202
3 2024-10-28 S $497,252.00 135900 King Faisal University 135900 Transfer to Operating KFU Payment Multiple Dockets 135900 / 36372 All_Transfers_to_Nath_NGM__202
4 2024-11-20 S $493,898.00 135900 King Faisal University 36372 Transfer to Operating All_Transfers_to_Nath_NGM__202
5 2024-11-08 S $490,490.00 135900 King Faisal University 36372 Transfer to Operating Multiple Invoices paid EFT All_Transfers_to_Nath_NGM__202
6 2025-03-12 S $457,990.00 135576 King Saud University 35610 Trust to Operating Multiple KSU invoices All_Transfers_to_Nath_NGM__202
7 2023-12-27 S $420,488.00 135900 King Faisal University 36372 Transfer to Operating All_Transfers_to_Nath_NGM__202
8 2022-12-28 S $384,250.00 135576 King Saud University 35610 Transfer to Operating All_Transfers_to_Nath_NGM__202
9 2022-12-28 S $359,770.00 135576 King Saud University 35610 Transfer to Operating All_Transfers_to_Nath_NGM__202
10 2023-12-27 S $347,520.00 135900 King Faisal University 36372 Transfer to Operating All_Transfers_to_Nath_NGM__202
11 2024-02-29 S $337,320.00 135900 King Faisal University 36372 Transfer to Operating All_Transfers_to_Nath_NGM__202
12 2024-10-21 S $308,054.00 135576 King Saud University 35610 Transfer to Operating KSU 35610/ 135576 Multiple Invoices All_Transfers_to_Nath_NGM__202
13 2022-12-27 S $281,129.01 135576 King Saud University 35610 Transfer to Operating All_Transfers_to_Nath_NGM__202
14 2022-12-28 S $262,571.55 135576 King Saud University 35610 Transfer to Operating All_Transfers_to_Nath_NGM__202
15 2023-12-20 S $250,000.00 1242 Nath Associates PLLC/Nath, Go 00052 Transfer to Operating per the partners. All_Transfers_to_Nath_NGM__202
16 2022-09-09 S $217,710.00 135900 King Faisal University 36372 Transfer to Operating All_Transfers_to_Nath_NGM__202
17 2023-12-29 S $182,291.87 135800 United Arab Emirates Universit 35994 Transfer to Operating UAEU 35994 All_Transfers_to_Nath_NGM__202
18 2024-03-08 S $175,200.00 135900 King Faisal University 36372 Transfer to Operating All_Transfers_to_Nath_NGM__202
19 2023-09-15 S $172,672.00 135900 King Faisal University 36372 Transfer to Operating All_Transfers_to_Nath_NGM__202
20 2022-11-28 S $167,655.00 135900 King Faisal University 36372 Transfer to Operating All_Transfers_to_Nath_NGM__202

5. Per-client revenue summary (top 30 by dollars — corrected 2026-04-26)

KFU 135900 dropped by $666,279.87 (mostly the 2024-04-10 $500K + $87,358.87 multi-leg + 8 × 2026-02-17 trust-to-trust legs + 2024-11-08 $2,100). Cui Kan 137089 dropped $17,500 (2022-11-17 "Merchant to trust" correction). Hymed 136437 dropped $2,953.50 (2025-01-28 "Transfer to Trust"). Kuwait Univ 137247 dropped $13,106.67 (2025-05-30 t23→t3 inter-trust correction). Three sub-$5K t3-account-line entries (USGI, Genvida, EcoPlanet, MSI STEM, Concord, Whitman) also dropped small trust-to-trust amounts.

Client # Client name # txns Total revenue swept Litman 20%
135900 King Faisal University 524 $9,673,253.25 $1,934,650.65
135576 King Saud University 424 $4,688,566.01 $937,713.20
135800 United Arab Emirates University 69 $1,263,723.98 $252,744.80
1242 Nath Associates PLLC/Nath, Goldberg Me 10 $844,238.06 $168,847.61
137247 Kuwait University 188 $746,227.00 $149,245.40
200168 USGI Medical, Inc. 220 $659,582.00 $131,916.40
135813 Qatar Foundation 45 $454,895.48 $90,979.10
136493 Sabah Al-Ahmad Center for Giftedness Cr 34 $439,687.15 $87,937.43
140400 Litman, Richard C. 5 $264,917.65 $52,983.53
136756 Kuwait Institute for Scientific Research 25 $206,647.30 $41,329.46
8779 Nanomed Skincare, Inc. 113 $200,832.00 $40,166.40
121700 LM Wind Power 3 $195,084.00 $39,016.80
137035 Kador, Peter F. 165 $193,939.50 $38,787.90
137339 MSI STEM Research Development Consortiu 57 $164,200.00 $32,840.00
137089 Cui, Kan 49 $143,147.50 $28,629.50
140587 EcoPlanet Environmental, LLC 50 $110,588.80 $22,117.76
143532 Dasman Diabetes Institute 18 $102,427.00 $20,485.40
136848 Sultan Qaboos University 24 $98,182.00 $19,636.40
200293 Imam Mohammad Ibn Saud Islamic Universit 19 $90,988.00 $18,197.60
136437 The Hymed Group Corporation 54 $89,801.00 $17,960.20
144010 Columbia University 15 $83,499.90 $16,699.98
140191 3-A Sanitary Standards Inc. 42 $76,565.77 $15,313.15
137566 Arabian Gulf University 25 $75,988.02 $15,197.60
140276 Vaghi, Nino 39 $74,236.99 $14,847.40
140321 Hershberger, Nelson 35 $71,873.00 $14,374.60
135790 Concord Supply, Inc. 30 $70,794.33 $14,158.87
200123 Genvida Technology Company Limited 63 $67,412.00 $13,482.40
200299 Hussain, Raja Rizwan 23 $62,915.00 $12,583.00
136968 Superior Products International II, Inc. 42 $62,029.00 $12,405.80
136955 Whitman, Lucian D. 33 $60,800.00 $12,160.00

6. Per-signer (firm-user code) summary (corrected 2026-04-26 — revenue rows only)

The signer column is populated for the 2025-06 → 2026-03 monthly Trust Transfer Journals (where PracticeMaster captures the user code). The 2020-2025 pre-existing aggregate did not include the user code; those rows show as (unsigned).

Signer # txns (revenue) Total amount (revenue)
(unsigned) 3,528 $22,856,021.80
VG 387 $1,034,901.75
TC 33 $59,143.00

Observed pattern (matches project_turn_and_burn_template.md): of the rows that DO carry a signer code, VG (Valencia Gray) signs the overwhelming majority of trust→operating revenue sweeps. Goldberg's own initials (JBG) appear on virtually no rows. The firm's authorial signature on the revenue-sweep channel is, materially, a single accounting clerk acting across hundreds of dockets per month.

7. Litman's actually-credited share — the obscured gap

Per memory project_payment_history_evolution.md and project_q1_2026_payment.md, the funds ACTUALLY credited to Litman during the audit window have been:

The Litman 20% share per this primary-source ledger audit (corrected 2026-04-26 per Litman trust-to-trust flag) is:

Prior uncorrected figures of $24,656,899.10 / $4,931,379.82 included 21 trust-to-trust ledger lines totaling $706,832.55 that should not have been counted as revenue. See § 11 for the line-by-line reclassification.

Litman's "$16M to be found" framing was conservative: the primary-source aggregate is materially HIGHER. The above figure is what NGM's own books show came out of trust into Nath operating during the audit window — net of reimbursement-marked rows. Any portion not actually paid to Litman is the obscured/uncredited gap that the Eagle Bank and BoA subpoenas should independently confirm.

Each transfer was tagged with cross-links to identity-attribution events:

Cross-link Revenue-bucket transfers % of revenue txns Revenue dollars % of revenue $
MARTHA_LITMAN_EMAIL 1,099 27.8% $3,278,275.54 13.7%
POST_SOL_LITMAN_PTOL85B 7 0.2% $45,840.75 0.2%

Cross-link counts above reflect the corrected revenue universe (E+D+S+U) after the 2026-04-26 trust-to-trust reclassification. Three MARTHA_LITMAN_EMAIL- tagged rows ($29,893.50) moved from revenue to bucket T (the Hymed Group $2,953.50 plus two of the 2026-02-17 KFU $10,856 / $11,906 / $350 lines that carried the docket cross-link).

9. Verification gaps

The following labels and conditions were treated as out-of-scope or could not be classified with certainty against the produced primary source:

10. Provenance

Built by scripts/build_trust_to_operating_revenue_audit.py. Companion machine-readable per-line output: output/TRUST_TO_OPERATING_REVENUE_AUDIT_2020_2026.csv. 2026-04-26 trust-to-trust correction line-by-line log: output/TRUST_TO_OPERATING_REVENUE_AUDIT_RECLASS_LOG.csv.

Style notes: identity-exploitation framing per feedback_identity_framing.md; NY State court rules per feedback_ny_state_rules.md (CPLR 4518 business records, CPLR 4540 public records, NY Civil Rights Law §§ 50-51). No FRE / 28 USC. Litman's USPTO Reg. No. 30,868 (per reference_litman_uspto_reg.md); Goldberg's Reg. No. 44,126.

11. Trust-to-trust reclassification log (2026-04-26)

Per R. Litman's 2026-04-26 trust-to-trust flag, the following 21 ledger lines were reclassified out of revenue (S/U) into the new excluded bucket T. Each entry traces to a verbatim explanation in the primary source: the 2020-2025 entries trace to evidence/aaa_lawsuit_package_20250728/MISC/All_Transfers_to_Nath_NGM__2020_2025_.csv; the 2026 entries trace to the produced Trust Transfer Journal PDFs.

Date Amount Acct Client # Docket Orig New Verbatim explanation
2022-11-17 $17,500.00 t3 137089 Cui, Kan 10057.42U U T Correction Only wire today. Merchant to trust.
2023-07-19 $9,440.00 t3 135900 KFU 33110.58U U T Transfer to Trust
2024-04-10 $500,000.00 t3 135900 KFU 36372 S T Transfer to BOA Operating for transfer to EagleBank Operating to Trust
2024-04-10 $87,358.87 t3 135900 KFU 36372 S T Transfer to BOA Operating for transfer to EagleBank Operating to Trust
2024-10-01 $1,150.00 t3 200730 200730 S T Trust to Trust Transfer BoA to EagleBank 200730 / 200730.01T
2024-10-01 $3,117.00 t3 200234 200234 S T Trust to Trust Transfer BoA to EagleBank 200234 / 33088.00
2024-10-01 $700.00 t3 200600 200600 S T Trust to Trust Transfer BoA to EagleBank 200600 / 39250U
2024-10-03 $2,500.00 t3 137339 MSI STEM 32679.02 S T Trust to Trust transfer BoA to EagleBank 32679.02 / 137339
2024-10-16 $5.51 t3 2976 AG37069FSCA S T Transfer ag37069fsca Trust to trust BoA to EagleBank
2024-10-28 $15.00 t3 200168 USGI 37338IT S T Trust to Trust BoA to EagleBank Transfer
2024-11-08 $2,100.00 t3 135900 KFU 36372 S T Trust to Trust Transfer BoA to EagleBank KFU 36372
2025-01-28 $2,953.50 t23 136437 Hymed 11719.61U U T Transfer to Trust
2025-05-30 $13,106.67 t23 137247 Kuwait Univ 35663 U T Trust Account 23 to Trust Account T3 to correct Trust Account
2026-02-17 $11,906.00 t23 135900 KFU 36372 S T King Faisal University Trust to Trust 33190.39U Invoice 423118
2026-02-17 $10,856.00 t23 135900 KFU 36372 S T King Faisal University 36372 Trust to Trust 33190.40U Invoice 423135
2026-02-17 $10,856.00 t23 135900 KFU 36372 S T King Faisal University 36372 Trust to Trust 33190.41U Invoice 423173
2026-02-17 $10,856.00 t23 135900 KFU 36372 S T King Faisal University 36372 Trust to Trust 33190.42U Invoice 423205
2026-02-17 $10,856.00 t23 135900 KFU 36372 S T King Faisal University 36372 Trust to Trust 33190.44U Invoice 423210
2026-02-17 $10,856.00 t23 135900 KFU 36372 S T King Faisal University 36372 Trust to Trust 33190.45U Invoice 423211
2026-02-17 $350.00 t23 135900 KFU 36372 S T King Faisal University 36372 Trust to Trust 33190.47S Invoice 423204
2026-02-17 $350.00 t23 135900 KFU 36372 S T King Faisal University 36372 Trust to Trust 33190.48S Invoice 423241
TOTAL $706,832.55 T (21 txns)

Patterns flagged for follow-up

Validation

Per feedback_validate_every_number.md: each of the 21 reclassified entries was traced back to the primary-source line (verbatim explanation field cited above). The 21-row sum of $706,832.55 was cross-checked by re-aggregating the corrected CSV (output/TRUST_TO_OPERATING_REVENUE_AUDIT_2020_2026.csv) and against the standalone log (output/TRUST_TO_OPERATING_REVENUE_AUDIT_RECLASS_LOG.csv). The corrected revenue universe ($23,950,066.55) plus the new T bucket ($706,832.55) plus the unchanged R bucket ($698,009.91) sum to $25,354,909.01, which equals the pre-correction sum of all six buckets (unchanged total ledger volume — only the bucket assignment moved).