Alex Murdaugh admits inventing lies in federal lawsuit, but suggests victims pay

Convicted murderer and accused serial fraudster Richard "Alex" Murdaugh has admitted to inventing lies in a recent federal court filing, then suggests that his alleged victims, not he, should be made to pay back money he stole.

On May 1, Murdaugh attorneys Phillip Barber and Jim Griffin filed a response in South Carolina's federal district court to a May 11, 2022, lawsuit complaint by Nautilus Insurance Company. Nautilus was one of the insurance companies that Murdaugh allegedly defrauded following the 2018 death of his longtime household employee, Gloria Satterfield.

The Nautilus lawsuit names Murdaugh; his alleged accomplice, suspended and criminally charged Beaufort attorney Cory Fleming, along with his former law firm of Moss & Kuhn, P.A.; and Hampton County banker Chad Westendorf and his bank of employment, Palmetto State Bank in Hampton.

Nautilus, the Scottsdale, Arizona, insurance agency that provided a $5 million umbrella policy for Murdaugh that paid out claims to the Satterfields after Gloria's death from a reported trip and fall at Murdaugh's home, alleges fraud and conspiracy to commit fraud in its federal suit.

The Nautilus lawsuit made several revealing allegations, and Murdaugh's response is equally telling.

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Murdaugh denies some allegations, admits others in Satterfield scheme

Murdaugh's attorneys denied several of Nautilus's allegations, while admitting to others. In the filing, Murdaugh admitted that he approached Satterfield's heirs after their mother's death and orchestrated a fraudulent insurance claim, and then pressured Nautilus to settle that claim so he could steal the money. He denies, however, that he was "abusive" to the insurance adjusters.

Murdaugh admitted that he had the insurance payout deposited into a fraudulent account, but denied that Fleming and his firm, and Westendorf and his bank, had any part in the criminal wrongdoing.

Murdaugh further admits that on Feb. 2, 2018, when he heard about Satterfield's fall down steps at his Moselle home in Colleton County, he "rushed to the scene, arriving before EMS," and then fabricated a story about what caused the fall that eventually lead to her death weeks later.

Gloria's Gift Foundation: Satterfield remembered as 'champion for love and charity'

In that false story, Murdaugh originally told insurance adjusters that Satterfield tripped over his dogs, yet in the May 1 filing he admits that "No dogs were involved in the fall of Gloria Satterfield on February 2, 2018. After Ms. Satterfield’s death, Defendant invented Ms. Satterfield’s purported statement that dogs caused her fall to force his insurers to make a settlement payment... "

The accused former attorney also admitted that "his actions were reprehensible in that he misused vulnerable persons who trusted him."

Who should pay back stolen insurance money?

Who should have to reimburse Nautilus for its stolen money? Murdaugh's court filing appears to point a finger at his victims as a liable party, even though he admits that he stole the money from Nautilus.

Murdaugh's response claims that the Nautilus lawsuit "failed to join necessary parties" under Federal Rules of Civil Procedure; namely Satterfield's sons, Brian Harriott and Tony Satterfield, the personal representative of the Satterfield Estate, along with their attorneys, Bland Richter, LLP.

After the Satterfield scandal was exposed, and Murdaugh faced criminal charges, Bland Richter recovered more than $7.5 million in settlements from a lawsuit in the S.C. Court of Common Pleas for Hampton County, and Murdaugh himself signed a $4.3 million confession of judgement in the Satterfield's favor.

Murdaugh's federal response goes on to claim that "If Nautilus never should have made any payment to the Satterfield estate and only attempted to do so because it was the victim of fraud, then the parties in possession of a recovery of the money allegedly stolen from Nautilus are necessary parties to an action by Nautilus for recovery of that money... "

The response adds that if the Satterfields and Bland Richter are not included in this lawsuit then the court can not award "complete relief" and he would be subjected to a "substantial risk of incurring double, multiple, or otherwise inconsistent obligations... "

Bland Richter responds to Murdaugh's "bizarre" answer to Nautilus lawsuit

Bland Richter attorneys Ronnie Richter and Eric Bland took to social media to respond to Murdaugh's filing, and debunk the notion that the victims, their clients, should have to pay back any damages.

"This is nothing but noise," Bland said in a May 2 Tweet. "Just gutless people trying to continue to victimize Gloria’s siblings and children."

In a three-part Twitter thread, Richter called Murdaugh's legal answer "bizzare" and stated, "Neither myself, my law firm, or my clients have ever possessed even $1 of the stolen Nautilus money," adding that settlement funds came from other parties involved.

Hampton County Guardian Editor Michael DeWitt, the Greenville News and USA TODAY Network will continue to follow the ongoing criminal and civil cases surrounding the Murdaugh crime saga. Follow DeWitt on Twitter at @mmdewittjr and support his local and national journalism with a digital subscription.

This article originally appeared on Greenville News: Alex Murdaugh admits lies in federal lawsuit, suggests victims pay