Best quote, from attorney for the CEO of one of the failed 1031 custodians who is accused in a civil suit of misappropriating funds:
"There were contracts, but there were no restrictions on what could be done with the money once it was obtained,'' Dzarnoski said. ``There's a spectrum between throwing money on a gaming table and investing in government securities. McGhan's use fell somewhere between those endpoints, and what's going to be determined in court is whether or not that's OK.''
Well heck, he didn't throw it on the crap tables, so he must be in the clear!