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“Mr. Banks has been convicted for breach of trust in 18 cases,” Kruse said in an email.

“He therefore was convicted to serve a time in prison for six years. On Nov. 27, 2007, Mr. Banks was deported from Germany. According to our file he was flown to New York.”

The federal government launched civil suits against Banks in 2004 and Hendriks in 2007. So far, the government has managed to recover only $358,000 — or around 10 per cent — of the misappropriated money.

Public Works hired a debt-collection agency in January 2011 to track down Banks in the United States. After more than a year, the collection agency found him but determined Banks had few assets.

The collection agency told Public Works that Banks lived with his partner in a home valued at US$43,000.

Searches failed to turn up any money stashed in domestic and offshore bank accounts, nor did the agency find any cash in places such as Germany, Switzerland, the Cayman Islands and Saudi Arabia.

Banks did not appear to have a valid driver’s licence or a job, the documents say.

Based on Banks’ meagre assets, Public Works stopped trying to collect money from him.

“The department has also taken all necessary measures to inquire about the financial situation of Mr. Banks and about the possible collection measures that could be taken against his assets,” says a memo to the deputy minister.

“The department has been informed that the total value of Mr. Banks’ personal assets is very small (i.e. less than US$45,000). Taking costly collection measures in the U.S. against such low-value assets is not justified.

“For all of these reasons, we submit that due process has been followed by the department for this file. No further actions will be taken.”