United States v. Henning

Opinion

5(&200(1'(' )25 )8//7(;7 38%/,&$7,21 3XUVXDQW WR 6L[WK &LUFXLW 5XOH 

(/(&7521,& &,7$7,21  )(' $SS 3 WK &LU )LOH 1DPH DS

81,7('67$7(6&28572)$33($/6 )257+(6,;7+&,5&8,7 BBBBBBBBBBBBBBBBB

81,7(' 67$7(6 2) $0(5,&$ ; 3ODLQWLII$SSHOOHH    1R Y  !  )5(' ( +(11,1*  'HIHQGDQW$SSHOODQW  1 $SSHDOIURPWKH8QLWHG6WDWHV'LVWULFW&RXUW IRUWKH1RUWKHUQ'LVWULFWRI2KLRDW7ROHGR 1RnsDPHV*&DUU'LVWULFWsXGJH $UJXHGsXQH 'HFLGHGDQG)LOHG$SULO %HIRUH%2**6DQG68+5+(,15,&+&LUFXLWsXGJHV &/(/$1''LVWULFWsXGJH BBBBBBBBBBBBBBBBB &2816(/ $5*8('  7KRPDV s .HOOH\ &/,1( &22. :(,6(1%85*(5 &2 7ROHGR 2KLR IRU $SSHOODQW sRQDWKDQ / 0DUFXV '(3$570(17 2) s867,&(

7KH +RQRUDEOH 5REHUW + &OHODQG 8QLWHG 6WDWHV 'LVWULFW sXGJH IRU WKH (DVWHUQ 'LVWULFW RI 0LFKLJDQ VLWWLQJ E\ GHVLJQDWLRQ

  8QLWHG6WDWHVY+HQQLQJ 1R

:DVKLQJWRQ'&IRU$SSHOOHH21%5,()7KRPDVs .HOOH\ (XJHQH ) &DQHVWUDUR &/,1( &22. :(,6(1%85*(5 &2 7ROHGR 2KLR IRU $SSHOODQW sRQDWKDQ / 0DUFXV '(3$570(17 2) s867,&( :DVKLQJWRQ'&IRU$SSHOOHH BBBBBBBBBBBBBBBBB 23,1,21 BBBBBBBBBBBBBBBBB &/(/$1' 'LVWULFW sXGJH  7KLV FDVH LV EHIRUH XV IRU UHYLHZ IRU D VHFRQG WLPH  ,Q WKLV DSSHDO 'HIHQGDQW $SSHOODQW)UHG(+HQQLQJFKDOODQJHVKLVFRQYLFWLRQVRQWZR FRXQWVRIEDQNIUDXGLQYLRODWLRQRI86&†DQG WKUHHFRXQWVRIPLVDSSOLFDWLRQRIEDQNIXQGVLQYLRODWLRQRI 86&†)RUWKHUHDVRQVVWDWHGEHORZZH5(9(56( WKH MXGJPHQWV LPSRVHG DJDLQVW +HQQLQJ 9$&$7( WKH FRQYLFWLRQVDQG5(0$1' ,%DFNJURXQG $)DFWXDO%DFNJURXQG 'HIHQGDQW)UHG(+HQQLQJEHFDPHWKHYLFHSUHVLGHQWDQG JHQHUDO FRXQVHO RI )LUVW )HGHUDO 6DYLQJV DQG /RDQ $VVRFLDWLRQ RI 7ROHGR m)LUVW )HGHUDOl LQ   +H DOVR VHUYHG RQ )LUVW )HGHUDOjV ERDUG RI GLUHFWRUV DQG DV D SHUPDQHQWPHPEHURIWKHORDQFRPPLWWHH'RQDOG%DNHUWKH FKLHIH[HFXWLYHRIILFHUDQGFKDLUPDQRIWKHERDUGDQGsRKQ

 7KLV FDVH SUHYLRXVO\ FDPH EHIRUH XV RQ WKH *RYHUQPHQWjV DSSHDO $V ZLOO EH GLVFXVVHG LQ WKH IDFWXDO VHFWLRQ WKH GLVWULFW FRXUW KDG JUDQWHG 'HIHQGDQW +HQQLQJjV PRWLRQ WR YDFDWH KLV VXEVWDQWLYH FRQYLFWLRQV 2Q DSSHDO ZH KHOG WKDW WKH GLVWULFW FRXUW ZDV ZLWKRXW MXULVGLFWLRQ WR JUDQW WKH PRWLRQ 8QLWHG 6WDWHV Y +HQQLQJ 1R   :/  WK &LU   8QLWHG6WDWHVY+HQQLQJ 1R 1R 8QLWHG6WDWHVY+HQQLQJ 

FRQIHUUHG E\ 5XOH E VKRXOG EH HPSOR\HG µLQ WKRVH :DOGYRJHO WKH SUHVLGHQW RI )LUVW )HGHUDO ZHUH WKH RWKHU FLUFXPVWDQFHV LQ ZKLFK D PLVFDUULDJH RI MXVWLFH ZRXOG SHUPDQHQWPHPEHUVRIWKHORDQFRPPLWWHH RWKHUZLVHUHVXOWjl2ODQR86DWTXRWLQJ8QLWHG 6WDWHVYV@WKHIDLUQHVVLQWHJULW\RUSXEOLFUHSXWDWLRQ +HQQLQJVLJQHGDOHWWHUWRWKH)+/%%DVVXULQJWKDWQRORDQV RIMXGLFLDOSURFHHGLQJVjl,GDOWHUDWLRQLQRULJLQDOTXRWLQJ ZRXOG EH DSSURYHG mZLWKRXW WKH FRPSOHWHG DSSUDLVDO LQ 8QLWHG 6WDWHV Y $WNLQVRQ  86     $Q KDQGl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jVHUURULQ EHIRUHEDQNH[DPLQHUVDUULYHGWRFRQGXFWDQDXGLW IDLOLQJWRDGGUHVVWKH3LQNHUWRQLVVXHUXQVmFRQWUDU\WRWKH DGPLQLVWUDWLRQ RI MXVWLFHl DQG mVXEVWDQWLDOO\ DQG DGYHUVHO\ 2QHRI)LUVW)HGHUDOjVODUJHVWERUURZHUVGXULQJWKLVWLPH DIIHFWVWKHLQWHJULW\RIWKHMXGLFLDOSURFHVVl8QLWHG6WDWHVY ZDV:LOOLDP%DNHUm%LOO%DNHUlDUHDOHVWDWHGHYHORSHUDQG 6WXEEV)GWK&LU:HZLOOWKHUHIRUH 'RQ%DNHUjVVRQ:KHQ%LOO%DNHUVRXJKWORDQVIURP)LUVW H[HUFLVHRXUGLVFUHWLRQXQGHU)HGHUDO5XOHRI&LYLO3URFHGXUH )HGHUDO'RQ%DNHUGLUHFWHG/HRQ&RUQV)LUVW)HGHUDOjVLQ EDQGFRUUHFWWKHSODLQHUURU KRXVH DSSUDLVHU WR SUHSDUH OHWWHU DSSUDLVDOV WKDW ZRXOG VXSSRUW%LOO%DNHUjVORDQDSSOLFDWLRQV,QSDUWLFXODURQ'RQ ,9&RQFOXVLRQ %DNHUjVLQVWUXFWLRQV&RUQVSUHSDUHGIDOVHDSSUDLVDOVIRU%LOO %DNHUjV ORDQ DSSOLFDWLRQV LQ FRQQHFWLRQ ZLWK %UDQG\ZLQH )RUWKHUHDVRQVVWDWHGDERYHZHILQGWKDWWKHGLVWULFWFRXUW &RXQWU\ &OXE m%UDQG\ZLQHl DQG $QFKRU 3RLQWH 0DULQD FRPPLWWHGSODLQHUURUE\IDLOLQJWRUHFRJQL]HWKH3LQNHUWRQ m$QFKRU3RLQWHlWZRSURSHUWLHV%LOO%DNHUSXUFKDVHGIURP LPSOLFDWLRQV WKDW UHPDLQHG DIWHU LW UHYHUVHG WKH FRQVSLUDF\ )LUVW )HGHUDO  %\ RYHUYDOXLQJ ERWK SURSHUWLHV &RUQVjV FRQYLFWLRQ  $FFRUGLQJO\ ZH 5(9(56( WKH MXGJPHQWV DSSUDLVDOVDOORZHG)LUVW)HGHUDOWRGLVSRVHRIWKHPZLWKRXW LPSRVHG DJDLQVW +HQQLQJ 9$&$7( WKH FRQYLFWLRQV DQG VKRZLQJDORVVRQLWVERRNVDQGPDGHLWDSSHDUWKDWWKHEDQN 5(0$1'WKLVPDWWHUIRUIXUWKHUSURFHHGLQJVFRQVLVWHQWZLWK ZDVUHFHLYLQJJUHDWHUVHFXULW\IRULWVORDQVWR%LOO%DNHUWKDQ WKLVRSLQLRQ LW DFWXDOO\ ZDV  &RUQVjV DSSUDLVDOV DOVR RYHUYDOXHG WKH

 'RQ %DNHU SOHDGHG JXLOW\ WR WKUHH FRXQWV RI PLVDSSOLFDWLRQ RI EDQN IXQGV DQG :DOGYRJHO SOHDGHG JXLOW\ WR RQH FRXQW RI EDQN IUDXG

 %LOO %DNHU SOHDGHG JXLOW\ WR WKUHH FRXQWV RI PLVDSSOLFDWLRQ RI EDQN IXQGV

 7KH *RYHUQPHQW GHFLGHG QRW WR SURVHFXWH &RUQV LQ H[FKDQJH IRU KLV FRRSHUDWLRQ  8QLWHG6WDWHVY+HQQLQJ 1R 1R 8QLWHG6WDWHVY+HQQLQJ 

SURSHUWLHVWKDW%LOO%DNHUWUDGHGLQIRUHTXLW\FUHGLWRQWKH 3LQNHUWRQ LVVXH  ,Q LWV sXQH  RUGHU WKH GLVWULFW FRXUW %UDQG\ZLQH DQG $QFKRU 3RLQWH SXUFKDVHV  $OO WROG )LUVW VWDWHGWKDWLWZDVmFRQYLQFHGWKDW>LWV@HUURQHRXVVXEPLVVLRQ )HGHUDOH[WHQGHGILYHORDQVWR%LOO%DNHURQ%UDQG\ZLQHDQG WRWKHMXU\RID3LQNHUWRQFKDUJHLVOLNHO\WRKDYHUHVXOWHGLQ RQHORDQRQ$QFKRU3RLQWH VXEVWDQWLDOLQMXVWLFHWRWKH GHIHQGDQWLQWKDWWKHMXU\TXLWH SRVVLEO\FRQYLFWHGKLPRQDQLQYDOLGJURXQGUDWKHUWKDQRQH $V D PHPEHU RI WKH ORDQ FRPPLWWHH +HQQLQJ YRWHG WR RIWZRSRVVLEOHYDOLGRQHVl7KXVLIWKHGLVWULFWFRXUWKDG DSSURYHHDFKRIWKHVHORDQV)%,6SHFLDO$JHQW0LNH5ROI FRQVLGHUHGWKH3LQNHUWRQLPSOLFDWLRQVZKHQLWUHYHUVHGWKH DFFRPSDQLHGE\6SHFLDO$JHQW:LOOLDP&RPHVLQWHUYLHZHG FRQVSLUDF\FRQYLFWLRQLWZRXOGKDYHYDFDWHGWKHVXEVWDQWLYH +HQQLQJ LQ 'HFHPEHU  DV SDUW RI DQ LQYHVWLJDWLRQ RI FRQYLFWLRQV  +HQQLQJ KDV WKHUHIRUH HVWDEOLVKHG WKDW KLV SRVVLEOHZURQJGRLQJVDW)LUVW)HGHUDO+HQQLQJZDVQRWD VXEVWDQWLDOULJKWVZHUHDIIHFWHGE\WKHGLVWULFWFRXUWjVHUURURI WDUJHWRIWKHLQYHVWLJDWLRQDWWKHWLPH'XULQJWKHLQWHUYLHZ IDLOLQJ WR FRQVLGHUWKH HIIHFW RI LWV $XJXVW  RUGHU RQ WKH +HQQLQJPDGHFRPPHQWVWKDWWKH*RYHUQPHQWXQGHUVWRRGWR VXEVWDQWLYHFULPHV  EHDGPLVVLRQVWKDWZKHQKHYRWHGWRDSSURYHWKHORDQVKH NQHZ %UDQG\ZLQH DQG $QFKRU 3RLQWH DV ZHOO DV WKH ')DLUQHVV,QWHJULW\RU3XEOLF5HSXWDWLRQ SURSHUWLHV%LOO%DNHUWUDGHGLQIRU%UDQG\ZLQHDQG$QFKRU 3RLQWHZHUHRYHUYDOXHG,QSDUWLFXODU+HQQLQJUHIHUUHGWR :KHQWKHILUVWWKUHHUHTXLUHPHQWVRI5XOHEDUHPHW WKH$QFKRU3RLQWHWUDQVDFWLRQDVmJDUEDJHLQJDUEDJHRXWlDQG WKLV FRXUW PD\ H[HUFLVH LWV GLVFUHWLRQ DQG RYHUWXUQ D MXU\ XVHGWKHSKUDVHm,NQHZlDQGmZHNQHZlZKHQGHVFULELQJKLV YHUGLFWRQO\ZKHQWKHHUURUDIIHFWVWKHIDLUQHVVLQWHJULW\RU NQRZOHGJH WKDW &RUQVjV DSSUDLVDOV RYHUYDOXHG WKH $QFKRU SXEOLFUHSXWDWLRQRIMXGLFLDOSURFHHGLQJVm>7@KHGLVFUHWLRQ 3RLQWHDQG%UDQG\ZLQHSURSHUWLHVDQG%LOO%DNHUjVWUDGHLQ SURSHUWLHV  $FFRUGLQJWRWKH*RYHUQPHQW+HQQLQJODWHUDWWHPSWHGWR 8QIRUWXQDWHO\ DV ZH KHOG LQ WKH HDUOLHU DSSHDO RI WKLV RUGHU WKH FKDQJHKLVVWRU\WRGHQ\NQRZOHGJHRIWKHIDOVHDSSUDLVDOV GLVWULFW FRXUW ZDV ZLWKRXW MXULVGLFWLRQ WR KHDU WKH PRWLRQ XSRQ ZKLFK WKH

+HQQLQJ DOVR GLVFXVVHG KRZ LW ZDV GLIILFXOW WR UDLVH KLV sXQH  RUGHU ZDV SUHGLFDWHG +HQQLQJ  :/ 

FRQFHUQVZLWK'RQ%DNHUZKRZDVDGRPLQHHULQJLQGLYLGXDO  7KH*RYHUQPHQWDVVHUWVWKDW+HQQLQJFRRSHUDWHGZLWK'RQ 7KLV KROGLQJ LV OLPLWHG WR WKH XQLTXH IDFWV RI WKLV FDVH 2WKHU

%DNHUEHFDXVHKHGLGQRWZDQWWRORVHKLVMRE FRXUWV KDYH KHOG WKDW UHYHUVDO LV QRW PDQGDWHG ZKHUH WKH FRXUW LV SHUVXDGHG EH\RQG D UHDVRQDEOH GRXEW WKDW WKH MXU\ ZRXOG KDYH FRQYLFWHG WKH GHIHQGDQW RI WKH VXEVWDQWLYH FRXQW HLWKHU DV DLGHUV DQG DEHWWRUV RU DV SULQFLSDOV 6HH HJ 8QLWHG 6WDWHV Y 2ODQR  )G   WK &LU  8QLWHG 6WDWHV Y 0DQDULWH  )G   Q WK  7KLV DVVHUWLRQ ZDV EDVHG  RQ sRVHSK 2j/HDU\jV SHUVRQDO RSLQLRQ &LU  8QLWHG 6WDWHV Y &DVWDQHGD  )G   WK &LU WKDW +HQQLQJ ZDV FRQFHUQHG DERXW ORVLQJ KLV MRE LI KH WULHG WR VWRS WKH  %DNHU ORDQV DQG  5REHUW :DONHUjV WULDO WHVWLPRQ\ WKDW :H QHHG QRW GHFLGH LI WKH FRQYLFWLRQV ZRXOG UHPDLQ XQGHU VXFK FLUFXPVWDQFHV EHFDXVH LQ WKLV FDVH UHDVRQDEOH GRXEW FOHDUO\ H[LVWV 'LVFXVVLRQ ZDV JRLQJ RQ DIWHU RQH RI WKH ORDQ FRPPLWWHHV DQG ZKHWKHU WKH MXU\ ZRXOG KDYH FRQYLFWHG +HQQLQJ DV D SULQFLSDO RU DV DQ >+HQQLQJ DQG :DOGYRJHO@ UHDOL]HG RQ WKH SDUWLFXODU ORDQ WKDW DLGHU DQG DEHWWRU $V LQGLFWHG LQ WKH m)DFWXDO %DFNJURXQGl VHFWLRQ WKHUH ZDV PDGH WKH DSSUDLVDO ZDV TXHVWLRQDEOH WKRXJK QRQH RI XV ZDV VXIILFLHQW EXW QRW RYHUZKHOPLQJ HYLGHQFH WR FRQYLFW +HQQLQJ RI WKH ZHUH DSSUDLVHUV DQG WKHQ WKH\ ZRXOG TXHVWLRQ WKH IDFW WKDW WKH\ VXEVWDQWLYH FRXQWV DV D SULQFLSDO RU DV DQ DLGHU DQG DEHWWRU ,Q LWV sXQH  FRXOGQjW GR DQ\WKLQJ DERXW LW EHFDXVH 0U >'RQ@ %DNHU KDG WKH RUGHU WKH GLVWULFW FRXUW IRXQG WKDW WKHUH ZDV UHDVRQDEOH GRXEW ZKHWKHU WKH QHFHVVDU\ YRWHV KH ZRXOG QHHG ZLWK WKH RXWVLGH GLUHFWRUV WR SDVV MXU\ ZRXOG KDYH FRQYLFWHG DEVHQW WKH 3LQNHUWRQ FKDUJH ,QGHHG WKH WKH ORDQ EXW WKH\ WKHQ ZRXOG VD\ WKDW WKHUH ZDV QR RQH ORDQ GLVWULFW FRXUW FRXOG QRW HYHQ ILQG WKDW LW ZDV PRUH OLNHO\ WKDQ QRW WKDW WKH ZRUWK ORVLQJ WKHLU MRE RYHU MXU\ ZRXOG KDYH FRQYLFWHG  8QLWHG6WDWHVY+HQQLQJ 1R 1R 8QLWHG6WDWHVY+HQQLQJ 

,Q*ULIILQWKH6XSUHPH&RXUWQRWHGWKDWZKLOHm>M@XURUVDUH +HQQLQJ GHQLHV KDYLQJ NQRZQ DW WKH WLPH KH YRWHG WR QRW JHQHUDOO\ HTXLSSHG WR GHWHUPLQH ZKHWKHU D SDUWLFXODU DSSURYHWKH%DNHUORDQVWKDWWKHDSSUDLVDOVVXEPLWWHGZHUH WKHRU\RIFRQYLFWLRQVXEPLWWHGWRWKHPLVFRQWUDU\WRODZl IDOVH+HDUJXHVWKDWWKHH[SUHVVLRQmJDUEDJHLQJDUEDJHRXWl WKH\mDUHZHOOHTXLSSHGWRDQDO\]HWKHHYLGHQFHl,GDW PHDQWWKDWWKHSURSHUWLHVDWLVVXHZHUHEXUGHQVRPHWRWKHLU HPSKDVLVLQRULJLQDO:KHQIDFHGZLWKDOWHUQDWLYHWKHRULHV RZQHUVDQGWKDWWKHm,NQHZlRUmZHNQHZlSKUDVHVUHIHUUHG RI OLDELOLW\ MXURUV FDQ UHO\ RQ WKHLU RZQ LQWHOOLJHQFH DQG WRKLVNQRZOHGJHWKDWWKHYDOXHVRI%DNHUjVWUDGHLQSURSHUWLHV H[SHULHQFH WR VDYH WKHP IURP UHO\LQJ XSRQ D IDFWXDOO\ ZHUHLQIODWHGWKRXJKKHPDLQWDLQVWKDWKHGLGQRWJDLQWKLV LQDGHTXDWHWKHRU\,G7KXVWKH&RXUWUHFRJQL]HGWKHJHQHUDO NQRZOHGJHXQWLO+HQQLQJDGPLWVWKDWOHWWHUDSSUDLVDOV UXOHWKDWmLQWKHDEVHQFHRIDQ\WKLQJLQWKHUHFRUGWRVKRZWKH ZHUHURXWLQHO\XVHGLQFOXGLQJRQWKH%UDQG\ZLQHDQG$QFKRU FRQWUDU\WKHSUHVXPSWLRQRIODZLVWKDWWKHFRXUWDZDUGHG 3RLQWH WUDQVDFWLRQV HYHQ DIWHU )LUVW )HGHUDO DJUHHG ZLWK VHQWHQFHRQWKHJRRGFRXQWRQO\l,GDWHPSKDVLVDGGHG )+/%%WRFHDVHUHO\LQJXSRQWKHP)LQDOO\KHDYHUVWKDWKH TXRWLQJ&ODDVVHQY8QLWHG6WDWHV86 ZDV mFRQFHUQHGl DERXW WKH DSSUDLVDOV DQG UHFRJQL]HG WKDW   VRPHWKLQJZDVZURQJZLWK%LOO%DNHUjVQHWZRUWKVWDWHPHQW :KLOH QRUPDOO\ WKH *RYHUQPHQW FRXOG UHO\ RQ WKH ,Q FRQQHFWLRQ ZLWK WKH )LUVW )HGHUDO LQYHVWLJDWLRQ WKH SUHVXPSWLRQWKDWMXURUVFRQYLFWHGRQWKHIDFWXDOO\VXIILFLHQW *RYHUQPHQW FKDUJHG +HQQLQJ ZLWK FRQVSLUDF\ XQGHU  WKHRU\ LQ WKLV FDVH WKHUH LV HYLGHQFH WR WKH FRQWUDU\ 86& †  EDQN IUDXG XQGHU  86& †  DQG LQGLFDWLQJWKDWWKHMXURUVPD\KDYHFRQYLFWHGRQWKHIDFWXDOO\ PLVDSSOLFDWLRQRIEDQNIXQGVXQGHU86&† LQDGHTXDWHWKHRU\7KHMXURUVRULJLQDOO\FRQYLFWHG+HQQLQJ RQWKHFRQVSLUDF\FKDUJHZKLFKWKHGLVWULFWFRXUWMXGJHODWHU %3URFHGXUDO%DFNJURXQG GHWHUPLQHGZDVQRWVXSSRUWHGE\VXIILFLHQWHYLGHQFH,WLV WKHUHIRUHQRWRQO\ORJLFDOEXWOLNHO\WKDWWKHMXURUVPD\KDYH 2Q)HEUXDU\WKHGLVWULFWFRXUWFKDUJHGWKHMXU\ FRQYLFWHG +HQQLQJ RQ WKH VXEVWDQWLYH FRXQWV EDVHG XSRQ EDVHGXSRQWKHOHJDOUXOHHVWDEOLVKHGE\WKH6XSUHPH&RXUWLQ 3LQNHUWRQOLDELOLW\,QGHHGFRXUWVSUHVXPHWKDWMXURUVmDWWHQG 3LQNHUWRQ Y 8QLWHG 6WDWHV  86    ,Q WKH FORVHO\WKHSDUWLFXODUODQJXDJHRIWKHWULDOFRXUWjVLQVWUXFWLRQV 3LQNHUWRQFKDUJHWKHFRXUWLQVWUXFWHGWKHMXU\WKDWLWFRXOG LQDFULPLQDOFDVHDQGVWULYHWRXQGHUVWDQGPDNHVHQVHRIDQG FRQYLFW+HQQLQJRQWKHVXEVWDQWLYHFRXQWVHLWKHUEDVHGXSRQ IROORZWKHLQVWUXFWLRQVJLYHQWKHPl)UDQFLVY)UDQNOLQ KLVRZQDFWVDVDQDLGHUDQGDEHWWRURULIWKHMXU\IRXQGWKDW 86Q7KHSUREOHPZLWKWKHVXEVWDQWLYH +HQQLQJ ZDV D FRQVSLUDWRU EDVHG XSRQ WKH DFWV RI KLV FR FRQYLFWLRQVLVWKDWWKHMXU\FRXOGKDYHFORVHO\IROORZHGWKH FRQVSLUDWRUV MXU\ LQVWUXFWLRQV DQG FRQYLFWHG +HQQLQJ EDVHG XSRQ WKH DFWLRQV RI KLV DVVRFLDWHV  7KXV *ULIILQ ZRXOG QRW KDYH FRQWUROOHGWKHGLVWULFWFRXUWjVDQDO\VLVRIWKH3LQNHUWRQLVVXH  7KH GLVWULFW FRXUW LQVWUXFWHG WKH MXU\ DV IROORZV

,QVWHDG KDG WKH GLVWULFW FRXUW FRQVLGHUHG WKH 3LQNHUWRQ ,QVWUXFWLRQ  /LDELOLW\ IRU VXEVWDQWLYH RIIHQVHV FRPPLWWHG E\ LPSOLFDWLRQVLWZRXOGKDYHYDFDWHGWKHFRQYLFWLRQDQGRUGHUHG RWKHUV

DQHZWULDO7KLVLVREYLRXVEDVHGXSRQWKHFRXUWjVGHFLVLRQ LQ LWV sXQH  RUGHU ZKHQ LW XOWLPDWHO\ FRQVLGHUHG WKH &RXQWV   DQG  RI WKH LQGLFWPHQW DFFXVH WKH GHIHQGDQW RI FRPPLWWLQJ WKH FULPH RI EDQN IUDXG &RXQWV     DQG  RI WKH LQGLFWPHQW DFFXVH WKH GHIHQGDQW RI FRPPLWWLQJ WKH FULPH RI PLVDSSOLFDWLRQ RI )LUVW )HGHUDOjV IXQGV

7KHUH DUH WZR ZD\V WKDW WKH JRYHUQPHQW FDQ SURYH WKH GHIHQGDQW  8QLWHG6WDWHVY+HQQLQJ 1R 1R 8QLWHG6WDWHVY+HQQLQJ 

FDQQRWEHFRQYLFWHGIRUWKHFULPHVRIDQRWKHU7KXVLQWKLV FDVH WKH )LIWK DQG 6L[WK $PHQGPHQWV UHTXLUHG WKH *RYHUQPHQW WR SURYH DPRQJ RWKHU HOHPHQWV WKH SHUVRQDO JXLOW\ RI WKHVH FULPHV 7KH ILUVW LV E\ FRQYLQFLQJ \RX WKDW KH JXLOWRI+HQQLQJ SHUVRQDOO\ FRPPLWWHG RU SDUWLFLSDWHG LQ WKH FULPH 7KH VHFRQG LV EDVHG RQ WKH OHJDO UXOH WKDW DOO PHPEHUV RI D FRQVSLUDF\ DUH UHVSRQVLEOH IRU WKH DFWV FRPPLWWHG E\ WKH RWKHU PHPEHUV DV ORQJ ,QOLJKWRIWKH$XJXVWUXOLQJKRZHYHULWLVSRVVLEOHWKDW DV WKRVH DFWV DUH FRPPLWWHG WR KHOS DGYDQFH WKH FRQVSLUDF\ DQG WKH *RYHUQPHQW REWDLQHG D FRQYLFWLRQ EDVHG XSRQ WKH DUH ZLWKLQ WKH UHDVRQDEO\ IRUHVHHDEOH VFRSH RI WKH DJUHHPHQW FXOSDELOLW\ RI RWKHUV HYHQ WKRXJK WKHUH ZDV QR SURRI RI D FRQVSLUDF\  )DLOXUH WR UHFRJQL]H WKLV LVVXH DQG SURSHUO\ ,Q RWKHU ZRUGV XQGHU FHUWDLQ FLUFXPVWDQFHV WKH DFW RI RQH DGGUHVVLWZDVSODLQHUURU FRQVSLUDWRU PD\ EH WUHDWHG DV WKH DFW RI DOO 7KLV PHDQV WKDW DOO WKH FRQVSLUDWRUV PD\ EH FRQYLFWHG RI D FULPH FRPPLWWHG E\ RQO\ RQH RI WKHP HYHQ WKRXJK WKH\ GLG QRW SHUVRQDOO\ SDUWLFLSDWH LQ &6XEVWDQWLDO5LJKWV WKDW FULPH KLPVHOI +DYLQJIRXQGWKDWWKHGLVWULFWFRXUWFRPPLWWHGSODLQHUURU %XW IRU \RX WR ILQG WKH GHIHQGDQW JXLOW\ RI EDQN IUDXG RU LQIDLOLQJWRUHFRJQL]HWKHLPSOLFDWLRQVRILWV$XJXVWUXOLQJ PLVDSSOLFDWLRQ RI )LUVW )HGHUDOjV IXQGV EDVHG RQ WKLV OHJDO UXOH ZHPXVWQRZGHWHUPLQHZKHWKHUWKLVHUURUDIIHFWHG+HQQLQJjV \RX PXVW EH FRQYLQFHG WKDW WKH JRYHUQPHQW KDV SURYHG HDFK DQG VXEVWDQWLDOULJKWV7KXVZHPXVWGHWHUPLQHZKHWKHUWKHHUURU ZDVSUHMXGLFLDOWKDWLVZKHWKHULWmDIIHFWHGWKHRXWFRPHRI HYHU\ RQH RI WKH IROORZLQJ HOHPHQWV EH\RQG D UHDVRQDEOH GRXEW

)LUVW WKH GHIHQGDQW ZDV D PHPEHU RI WKH FRQVSLUDF\ FKDUJHG LQ WKHGLVWULFWFRXUWSURFHHGLQJVl2ODQR86DW$V FRXQW RQH RI WKH LQGLFWPHQW WKLVLVDSODLQHUURUFDVHLWLV'HIHQGDQWjVEXUGHQWRHVWDEOLVK SUHMXGLFH,G 6HFRQG WKDW DIWHU KH MRLQHG WKH FRQVSLUDF\ DQG ZKLOH VWLOO D PHPEHU RI LW RQH RU PRUH RI WKH RWKHU PHPEHUVZKLOH KH ZDV $WILUVWEOXVKWKLVFDVHDSSHDUVWREHFRQWUROOHGE\*ULIILQ Y8QLWHG6WDWHV86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

 ,I \RX DUH FRQYLQFHG WKDW WKH JRYHUQPHQW KDV SURYHG DOO RI WKH 3RVVLEO\ UHFRJQL]LQJ WKH GHILFLHQFLHV LQ D *ULIILQ DUJXPHQW WKH HOHPHQWV E\ SURRI EH\RQG D UHDVRQDEOH GRXEW VD\ VR E\ *RYHUQPHQW mGHFLGHG QRW WR SUHVV *ULIILQjV DSSOLFDELOLW\ RQ WKLV DSSHDOl  8QLWHG6WDWHVY+HQQLQJ 1R 1R 8QLWHG6WDWHVY+HQQLQJ 

FRQVLGHUWKDWSXUVXDQWWRWKH3LQNHUWRQLQVWUXFWLRQWKHMXU\ 7KHMXU\FRQYLFWHG+HQQLQJRQRQHFRXQWRIFRQVSLUDF\WR PD\KDYHFRQYLFWHG+HQQLQJRQWKHVXEVWDQWLYHFRXQWVRQO\ GHIUDXGWKH8QLWHG6WDWHVLQYLRODWLRQRI86&† EHFDXVHWKH\EHOLHYHGKHZDVJXLOW\RIFRQVSLUDF\'XHWRWKH WZRFRXQWVRIEDQNIUDXGLQYLRODWLRQRI86&† FORVH UHODWLRQVKLS EHWZHHQ WKH VXEVWDQWLYH DQG FRQVSLUDF\ DQGWKUHHFRXQWVRIPLVDSSOLFDWLRQRIEDQNIXQGVLQYLRODWLRQ FULPHVZKLFKZDVFUHDWHGE\WKH3LQNHUWRQLQVWUXFWLRQDQ RI86&† DXWRPDWLF FRQVLGHUDWLRQ RI WKH YLDELOLW\ RI WKH VXEVWDQWLYH FRQYLFWLRQVVKRXOGKDYHEHHQXQGHUWDNHQE\WKHGLVWULFWFRXUW 2Q 0DUFK   ZLWKLQ VHYHQ GD\V DIWHU WKH MXU\jV ZKHQ WKH GHIHQGDQW ZDV DFTXLWWHG RI WKH FRQVSLUDF\ YHUGLFW'HIHQGDQWILOHGDPRWLRQIRUMXGJPHQWRIDFTXLWWDO FRQYLFWLRQLQDSRVWWULDORUGHU7KHGLVWULFWFRXUWFRPPLWWHG DQGDPRWLRQIRUQHZWULDO2Q$XJXVWWKHGLVWULFW HUURUE\IDLOLQJWRXQGHUWDNHVXFKDFRQVLGHUDWLRQ FRXUW LVVXHG DQ RUGHU JUDQWLQJ 'HIHQGDQWjV PRWLRQ IRU MXGJPHQWRIDFTXLWWDORQWKHFRQVSLUDF\FRXQWDQGGHQ\LQJWKH %3ODLQ(UURU PRWLRQDVWRWKHILYHVXEVWDQWLYHFRXQWV6SHFLILFDOO\WKH FRXUWIRXQGWKDWWKHUHZDVLQVXIILFLHQWHYLGHQFHWRFRQYLFW 7KHHUURUWKHGLVWULFWFRXUWFRPPLWWHGZDVSODLQ7KHZRUG +HQQLQJRQWKHFRQVSLUDF\FKDUJH mSODLQl LV mV\QRQ\PRXV ZLWK µFOHDUj RU HTXLYDOHQWO\ µREYLRXVjl   8QLWHG 6WDWHV Y 2ODQR  86   2Q 'HFHPEHU   +HQQLQJ ILOHG D m0RWLRQ WR 7RVDWLVI\WKLVWHVWWKHHUURUPXVWEHSODLQXQGHU &RQVLGHU)XUWKHU0RWLRQ)RU1HZ7ULDO%DVHG8SRQ&RXUWjV FXUUHQWODZ,Gm&XUUHQWODZlLVODZDVLWH[LVWVDWWKHWLPH 2UGHU'DWHG$XJXVWl2QsXQHWKHFRXUW RIDSSHOODWHUHYLHZsRKQVRQ86DWm3ODLQHUURUV JUDQWHGWKLVPRWLRQYDFDWLQJ'HIHQGDQWjVFRQYLFWLRQRQWKH DUHOLPLWHGWRWKRVHKDUPIXORQHVWKDWDUHVRUDQNWKDWWKH\ VXEVWDQWLYHFRXQWVDQGJUDQWLQJDQHZWULDO7KHFRXUWIRXQG VKRXOG KDYH EHHQ DSSDUHQW WR WKH WULDO MXGJH ZLWKRXW WKDWLQOLJKWRILWVVXEPLVVLRQRID3LQNHUWRQLQVWUXFWLRQWRWKH REMHFWLRQRUWKDWVWULNHDWWKHIXQGDPHQWDOIDLUQHVVKRQHVW\ MXU\LWVKRXOGKDYHYDFDWHGWKHVXEVWDQWLYHFRQYLFWLRQVZKHQ RUSXEOLFUHSXWDWLRQRIWKHWULDOl8QLWHG6WDWHVY*RRGOHWW LWUHYHUVHGWKHFRQVSLUDF\FRQYLFWLRQLQWKH$XJXVWRUGHU  )G   WK &LU  FLWLQJ 8QLWHG 6WDWHV Y 7KH *RYHUQPHQW DSSHDOHG WKH sXQH  YDFDWLRQ RI WKH &DXVH\)GWK&LU m3ODLQHUURULV VXEVWDQWLYHFRXQWVDQGZHUHYHUVHGILQGLQJWKDWWKHGLVWULFW GHILQHG DV DQ HJUHJLRXV HUURU RQH WKDW GLUHFWO\ OHDGV WR D FRXUWZDVZLWKRXWMXULVGLFWLRQWRKHDU+HQQLQJjVm0RWLRQWR PLVFDUULDJHRIMXVWLFHl8QLWHG6WDWHVY%XVDFFD)G &RQVLGHU)XUWKHU0RWLRQl8QLWHG6WDWHVY+HQQLQJ1R WK&LU :/WK&LU7KHFDVHZDVWKHQ UHPDQGHGIRUVHQWHQFLQJ 7KH 6L[WK $PHQGPHQW SURYLGHV WKDW m>L@Q DOO FULPLQDO SURVHFXWLRQVWKHDFFXVHGVKDOOHQMR\WKHULJKWWRDVSHHG\DQG SXEOLFWULDOE\DQLPSDUWLDOMXU\l86&RQVWDPHQG9,FO   7KLV ULJKW LQFOXGHV mDV LWV PRVW LPSRUWDQW HOHPHQW WKH ULJKWWRKDYHWKHMXU\UDWKHUWKDQWKHMXGJHUHDFKWKHUHTXLVLWH UHWXUQLQJ D JXLOW\ YHUGLFW RQ WKLV FKDUJH ,I \RX KDYH DLI \RX

ILQGLQJRIµJXLOW\jl6XOOLYDQY/RXLVLDQD86 KDYH D UHDVRQDEOH GRXEW DERXW DQ\ RQH RI WKHP WKHQ WKH OHJDO UXOH WKDW WKH DFW RI RQH FRQVSLUDWRU LV WKH DFW RI DOO ZRXOG QRW )XUWKHUPRUHWKH6L[WK$PHQGPHQWLVLQWHUUHODWHG DSSO\

ZLWKWKH'XH3URFHVV&ODXVHRIWKH)LIWK$PHQGPHQWZKLFK UHTXLUHVWKHSURVHFXWLRQWRSURYHHDFKRIWKHHOHPHQWVRIWKH  7KH MXU\ DFTXLWWHG 'HIHQGDQW RQ RQH FRXQW RI EDQN IUDXG DQG WZR DOOHJHGRIIHQVHmEH\RQGDUHDVRQDEOHGRXEWl,GDW FRXQWV RI PLVDSSOLFDWLRQ RI EDQN IXQGV

,W LV D[LRPDWLF WKDW DEVHQW HYLGHQFH RI D FRQVSLUDF\ RQH  7KH FRXUW DOVR GHQLHG 'HIHQGDQWjV PRWLRQ IRU D QHZ WULDO  8QLWHG6WDWHVY+HQQLQJ 1R 1R 8QLWHG6WDWHVY+HQQLQJ 

2Q $SULO   +HQQLQJ ZDV ILQHG  DQG VXEVWDQWLYHFRQYLFWLRQVLQOLJKWRIWKH3LQNHUWRQLQVWUXFWLRQ VHQWHQFHGWRIRXUPRQWKVLPSULVRQPHQWWREHIROORZHGE\ IRUSODLQHUURU WZR\HDUVVXSHUYLVHGUHOHDVH7KLVDSSHDOIROORZHG ,,,'LVFXVVLRQ +HQQLQJDVVHUWVWKDWDQHZWULDORQWKHVXEVWDQWLYHFRXQWV LVQHFHVVDU\EHFDXVHLQKLQGVLJKWWKHMXU\ZDVLQFRUUHFWO\ 7KH6XSUHPH&RXUWKDVHVWDEOLVKHGDIRXUSDUWWHVWWKDWD FKDUJHGZLWKWKH3LQNHUWRQLQVWUXFWLRQ6SHFLILFDOO\+HQQLQJ GHIHQGDQWPXVWPHHWLQRUGHUWRHVWDEOLVKSODLQHUURU6HH FRQWHQGVWKDWLQVRIDUDVWKHMXU\UHQGHUHGDJHQHUDOYHUGLFW sRKQVRQY8QLWHG6WDWHV868QGHU ILQGLQJKLPJXLOW\RIFRQVSLUDF\DQGRIFHUWDLQVXEVWDQWLYH 5XOHEmDGHIHQGDQWPXVWVKRZWKDWDQHUURURFFXUUHG RIIHQVHVDQGKHZDVDFTXLWWHGRIWKHFRQVSLUDF\FRQYLFWLRQ LQWKHGLVWULFWFRXUWWKDWWKHHUURUZDVSODLQLHREYLRXV LQ D SRVWWULDO RUGHU WKH VXEVWDQWLYH FRQYLFWLRQV PXVW EH RU FOHDU  WKDW WKH HUURU DIIHFWHG GHIHQGDQWjV VXEVWDQWLDO YDFDWHG EHFDXVH LW LV LPSRVVLEOH WR NQRZ ZKHWKHU WKH MXU\ ULJKWVDQGWKDWWKLVDGYHUVHLPSDFWVHULRXVO\DIIHFWHGWKH FRQYLFWHGKLPOHJDOO\EDVHGXSRQKLVRZQDFWVRULOOHJDOO\ IDLUQHVV LQWHJULW\ RU SXEOLF UHSXWDWLRQ RI WKH MXGLFLDO EDVHGXSRQWKHDFWVRIRWKHUV7KH*RYHUQPHQWGLVDJUHHV SURFHHGLQJVl  .RHEHUOHLQ  )G DW  UHO\LQJ RQ DUJXLQJWKDWWKHVXEPLVVLRQRIWKH3LQNHUWRQFKDUJHZDVQRW sRKQVRQ86DW)ROORZLQJWKHVHIDFWRUVWKHFRXUW HUURQHRXVEHFDXVHWKHUHZDVVXIILFLHQWHYLGHQFHWRVXSSRUW FRQFOXGHV WKDW WKH GLVWULFW FRXUWjV IDLOXUH WR DGGUHVV WKH WKDW+HQQLQJZDVDPHPEHURIWKHFRQVSLUDF\WRGHIUDXG)LUVW 3LQNHUWRQLVVXHLQLWV$XJXVWRUGHUZDVSODLQHUURU )HGHUDO$OWHUQDWLYHO\WKH*RYHUQPHQWDUJXHVWKDWWKHHUURU LIDQ\ZDVQRWSODLQEHFDXVHWKHVXIILFLHQF\TXHVWLRQZDVD $(UURU FORVH RQH WKDW +HQQLQJ ZDV QRW SUHMXGLFHG E\ WKH DOOHJHG HUURUEHFDXVHWKHMXU\FOHDUO\ZRXOGKDYHFRQYLFWHGKLPRIWKH +HQQLQJ FRUUHFWO\ DGPLWV WKDW m>R@QFH WKH WULDO FRXUW VXEVWDQWLYH FKDUJHV LQ WKH DEVHQFH RI WKH 3LQNHUWRQ GHWHUPLQHGWRVHQGWKHFRQVSLUDF\FKDUJHWRWKHMXU\LWFRXOG LQVWUXFWLRQDQGWKDWJLYLQJWKH3LQNHUWRQLQVWUXFWLRQGLGQRW QRW KDYH EHHQ HUURU WR DOVR JLYH D 3LQNHUWRQ LQVWUXFWLRQl FRQVWLWXWHDPLVFDUULDJHRIMXVWLFH ,QGHHGZKLOHLQKLQGVLJKWWKHFRQVSLUDF\FRXQWVKRXOGQRW KDYHEHHQVXEPLWWHGWRWKHMXU\GXHWRWKHLQVXIILFLHQF\RIWKH ,,6WDQGDUG HYLGHQFH LW ZDV QRW LQDSSURSULDWH IRU WKH GLVWULFW FRXUW WR FKDUJH WKH MXU\ ZLWK D 3LQNHUWRQ LQVWUXFWLRQ RQFH LW KDG :KHQDFULPLQDOGHIHQGDQWKDVIDLOHGWRREMHFWEHORZKH GHFLGHGWKDWWKHFRQVSLUDF\ FRXQWZRXOGJRWRWKHMXU\IRU PXVW GHPRQVWUDWH WKDW WKH HUURU ZDV SODLQ DV GHILQHG E\ UHVROXWLRQ )HGHUDO5XOHRI&ULPLQDO3URFHGXUHEEHIRUHWKHFRXUW PD\H[HUFLVHMXULVGLFWLRQWRFRUUHFWWKHHUURU8QLWHG6WDWHV :H ILQG KRZHYHU WKDW WKH GLVWULFW FRXUW HUUHG LQ LWV Y .RHEHUOHLQ  )G   WK &LU  )HGHUDO $XJXVWRUGHULQZKLFK+HQQLQJZDVDFTXLWWHGRIWKH 5XOHRI&ULPLQDO3URFHGXUHESURYLGHVWKDWm>S@ODLQHUURUV FRQVSLUDF\FRQYLFWLRQE\IDLOLQJWRUHFRJQL]HWKHSUREOHPV RUGHIHFWVDIIHFWLQJVXEVWDQWLDOULJKWVPD\EHQRWLFHGDOWKRXJK ZLWKWKH3LQNHUWRQLQVWUXFWLRQLQOLJKWRILWVUXOLQJ WKH\ZHUHQRWEURXJKWWRWKHDWWHQWLRQRIWKHFRXUWl,G7KH 3LQNHUWRQLVVXHZDVQRWWLPHO\UDLVHGE\WKHSDUWLHVRUWKH 7KH3LQNHUWRQUXOHLVQHFHVVDULO\SUHPLVHGRQWKHH[LVWHQFH WULDO FRXUW  7KXV ZH UHYLHZ WKH GLVWULFW FRXUWjV IDLOXUH WR RIDFRQVSLUDF\6HHJHQHUDOO\3LQNHUWRQ86DW DGGUHVVWKHSRVVLELOLW\RIFRQIOLFWEHWZHHQLWV$XJXVW ,Q WKLV FDVH WKHUHIRUH WKH MXU\ ZDV FRUUHFWO\ LQVWUXFWHG WR UHYHUVDORIWKHFRQVSLUDF\FRQYLFWLRQDQGWKHYLDELOLW\RIWKH DQDO\]HZKHWKHUWKHVXEVWDQWLYHFULPHVZHUHFRPPLWWHGLQ IXUWKHUDQFH RI WKH FRQVSLUDF\   ,G DW