Sheets v. Mullins

U.S. Court of Appeals for the Sixth Circuit

Sheets v. Mullins

Opinion

5(&200(1'(' )25 )8//7(;7 38%/,&$7,21  6KHHWVHWDOY0XOOLQV 1R 3XUVXDQW WR 6L[WK &LUFXLW 5XOH 

(/(&7521,& &,7$7,21  )(' $SS 3 WK &LU

DIWHU0XOOLQVjVDGYLFHDQGEHIRUH7LIIDQ\jVGHDWKGHPRQVWUDWH )LOH 1DPH DS

WKHZURQJQHVVRI0XOOLQVjVDGYLFHo0XOOLQVUHFRPPHQGHG DFRXUVHRIDFWLRQWKDWWRRNRYHUIRXUGD\VWRHIIHFWXDWHDIWHU 6KHHWVWROGKLPWKDW0RQWJRPHU\WKUHDWHQHGWRNLOOKHUDQG 81,7('67$7(6&28572)$33($/6 KHUFKLOGUHQ )257+(6,;7+&,5&8,7 ,QVXP,GLVDJUHHZLWKWKHPDMRULW\jVSRVLWLRQEHFDXVH, BBBBBBBBBBBBBBBBB EHOLHYHWKDW0XOOLQVLVOLDEOHDVORQJDVKLVDIILUPDWLYHDFW FRQWLQXHG WR LQFUHDVH 7LIIDQ\jV H[SRVXUH WR KDUP  +HUH 6KHHWV UHOLHG RQ 0XOOLQVjV DGYLFH XQWLO 7LIIDQ\jV GHDWK 7+(5(6$ 6+((76 7+(5(6$ ; 6KHHWVQHYHUHQJDJHGLQVHOIKHOSDQGVKHLQVWHDGVRXJKWD 6+((76DVWKH$GPLQLVWUDWRU  FXVWRG\RUGHUZKLFKWRRNIRXUGD\VWRREWDLQ$VORQJDV IRUWKH(VWDWHRI7LIIDQ\sHDQ  6KHHWV UHOLHG RQ 0XOOLQVjV DGYLFH JLYHQ ZKLOH KH KDG D  1R FRQIOLFWRILQWHUHVW E\FKRRVLQJWKHFRXUWFXVWRG\URXWHDQG 0RQWJRPHU\'HFHDVHG  IRUJRLQJVHOIKHOS0XOOLQVZDVOLDEOHIRUWKHLQFUHDVHGULVNRI 3ODLQWLIIV$SSHOOHHV !  GDQJHUWKDW7LIIDQ\H[SHULHQFHG  Y  ,QWHUORFXWRU\ $QDO\VLV 2I 7KH 6HFRQG 4XDOLILHG  ,PPXQLW\ 5HTXLUHPHQW  :KHWKHU $Q 2EMHFWLYHO\  5HDVRQDEOH 2IILFHU :RXOG 5HFRJQL]H 7KDW 0XOOLQVjV 6(5*($17 +2:$5' 08//,16  &RQGXFW9LRODWHG6XEVWDQWLYH'XH3URFHVV5LJKWV  'HIHQGDQW$SSHOODQW  7KHVHFRQGSRLQWRIDQDO\VLVLVZKHWKHUDSXEOLFRIILFLDOjV FRQGXFW YLRODWHGFOHDUO\HVWDEOLVKHGIHGHUDOULJKWV,DJUHH 1 ZLWK WKH PDMRULW\ LQ FRQFOXGLQJ WKDW QR VRXUFH RI ODZ KDV $SSHDOIURPWKH8QLWHG6WDWHV'LVWULFW&RXUW DGHTXDWHO\LQIRUPHGSROLFHRIILFHUVWKDWWKH\PD\EHOLDEOHIRU IRUWKH6RXWKHUQ'LVWULFWRI2KLRDW&ROXPEXV DGYLFH WKDW WKH\ JLYH ZKLOH RSHUDWLQJ XQGHU D FRQIOLFW RI 1R n(GPXQG$6DUJXVsU'LVWULFWsXGJH LQWHUHVW,EHOLHYHWKDWXQGHUWKHVHFRQGLWLRQVoZKHUHDSROLFH RIILFHUUHVSRQGVWRDTXHVWLRQIURPDGRPHVWLFDEXVHYLFWLP $UJXHG 2FWREHU oDUHDVRQDEOHSROLFHRIILFHUZRXOGQRWUHDOL]HWKDWLIKHDFWHG ZLWK D FRQIOLFW RI LQWHUHVW DQG LI KLV DFWLRQV LQFUHDVHG D 'HFLGHGDQG)LOHG $SULO SHUVRQjVH[SRVXUHWRKDUPWKRVHDFWLRQVYLRODWHGWKHSHUVRQjV VXEVWDQWLYHGXHSURFHVVULJKWV7KXVHYHQWKRXJK,EHOLHYH %HIRUH 6,/(5DQG&2/(&LUFXLWsXGJHV 67$))25' WKDW6KHHWVVHWVIRUWKDSULPDIDFLHFDVHRI0XOOLQVjVOLDELOLW\ 'LVWULFWsXGJH IRUDVXEVWDQWLYHGXHSURFHVVYLRODWLRQ0XOOLQVLVVWLOOHQWLWOHG WRTXDOLILHGLPPXQLW\EHFDXVHWKHULJKWKHYLRODWHGZDVQRW FOHDUO\HVWDEOLVKHG)RUWKDWUHDVRQ,FRQFXUZLWKWKHUHVXOW WKDWWKHPDMRULW\UHDFKHV

7KH +RQRUDEOH :LOOLDP 6WDIIRUG 8QLWHG 6WDWHV 'LVWULFW sXGJH IRU WKH 1RUWKHUQ 'LVWULFW RI )ORULGD VLWWLQJ E\ GHVLJQDWLRQ

  6KHHWVHWDOY0XOOLQV 1R 1R 6KHHWVHWDOY0XOOLQV 

BBBBBBBBBBBBBBBBB )LUVW WKH PDMRULW\ RSLQLRQ GULIWV LQWR D IDFWXDO DQDO\VLV ZKHQLWGHFLGHGWKDW0XOOLQVjVFRQGXFWZDVWRRUHPRWH7KH &2816(/ UHPRWHQHVVGHWHUPLQDWLRQLQYROYHVTXHVWLRQVRIIRUHVHHDELOLW\ DQGSUR[LPDWHFDXVHDQGERWKRIWKRVHTXHVWLRQVDUHJHQHUDOO\ $5*8(' 0DUN'/DQGHV,6$$&%5$17/('0$1 GHWHUPLQHGE\WKHILQGHURIIDFW6HH*URYHU+LOO*UDLQ&R 7((725 &ROXPEXV 2KLR IRU $SSHOODQW  sDPHV ' Y%DXJKPDQ2VWHU,QF)G  WK&LU  0F1DPDUD&ROXPEXV2KLRIRU$SSHOOHHV21%5,() m8OWLPDWHO\WKHGHWHUPLQDWLRQZKHWKHUDQLQGHSHQGHQWDQG 0DUN ' /DQGHV 'RXJODV & %RDWULJKW ,6$$& %5$17 LQWHUYHQLQJDFWLVVXIILFLHQWWRFXWRIIWKHFKDLQRIFDXVDWLRQ /('0$1  7((725 &ROXPEXV 2KLR IRU $SSHOODQW LV D IDFWXDO LVVXHl  VHH DOVR 6WDQIRUG Y .XZDLW $LUZD\V sDPHV'0F1DPDUD&ROXPEXV2KLRIRU$SSHOOHHV &RUS )G G&LU   m4XHVWLRQVUHJDUGLQJ ZKDW LV QRUPDO RU IRUHVHHDEOH OLNH RWKHU TXHVWLRQV RI 67$))25''sGHOLYHUHGWKHRSLQLRQRIWKHFRXUWLQ SUR[LPDWHFDXVHDUHJHQHUDOO\LVVXHVIRUWKHWULHURIIDFWl  ZKLFK6,/(5sMRLQHG&2/(s SS GHOLYHUHGD 7KLV&RXUWGRHVQRWKDYHMXULVGLFWLRQRQLQWHUORFXWRU\DSSHDO VHSDUDWHRSLQLRQFRQFXUULQJLQWKHFRQFOXVLRQ WR ZHLJK WKH IDFWV RI 6KHHWVjV FDVH  5DWKHU WKLV &RXUW LV FRQILQHGWRDQDUURZUHYLHZRILVVXHVRIODZ7KHLVVXHRI BBBBBBBBBBBBBBBBB ODZWKDWPD\EHUHYLHZHGKHUHLVZKHWKHU6KHHWVVHWVIRUWKD 23,1,21 SULPDIDFLHFDVHRIDYLRODWLRQRIVXEVWDQWLYHGXHSURFHVV BBBBBBBBBBBBBBBBB 7KLV &RXUW VKRXOG QRW H[SDQG WKDW UHYLHZ WR GHFLGH WKH EURDGHUTXHVWLRQRIZKHWKHU0XOOLQVGLGLQIDFWSUR[LPDWHO\ 67$))25''LVWULFWsXGJH$SSHOODQW6HUJHDQW+RZDUG FDXVHDQLQMXU\DVWKHPDMRULW\RSLQLRQGRHV 0XOOLQV m0XOOLQVl  DSSHDOV WKH GLVWULFW FRXUWjV GHFLVLRQ GHQ\LQJKLVPRWLRQIRUVXPPDU\MXGJPHQWRQWKHEDVLV RI 6HFRQG HYHQ LI SUR[LPDWH FDXVH ZHUH D OHJDO LVVXH DQG TXDOLILHGLPPXQLW\:HUHYHUVH UHYLHZDEOH RQ LQWHUORFXWRU\ DSSHDO , GLVDJUHH ZLWK WKH PDMRULW\RSLQLRQjVOHJDODQDO\VLV$FWVRIWKLUGSDUWLHVDUHQRW ,%$&.*5281' FRQVLGHUHGVXSHUVHGLQJDFWVLIWKH\DUHIRUHVHHDEOH6HH6X]LN Y6HD/DQG&RUS )G WK&LU   m,IDQ 7KHUHVD 6KHHWV m6KHHWVl  DQG 5RJHU 0RQWJRPHU\ DFWWKDWLQWHUYHQHVEHWZHHQWKHGHIHQGDQWjVFRQGXFWDQGWKH m0RQWJRPHU\l OLYHGWRJHWKHULQ*DOOLD&RXQW\2KLRZLWK SODLQWLIIjV LQMXU\ LV QRW UHDVRQDEO\ IRUHVHHDEOH WKLV WKHLUEDE\GDXJKWHU7LIIDQ\DQG6KHHWVjVVRQ6KDZQ2Q LQWHUYHQLQJDFWLVWKHLQGHSHQGHQWFDXVHRIWKHLQMXU\DQGLW 7KXUVGD\)HEUXDU\ 0RQWJRPHU\VKRWDQGNLOOHG EUHDNVWKHFDXVDOFKDLQWKDWZRXOGHVWDEOLVKWKHGHIHQGDQWjV 7LIIDQ\VHWILUHWRKLVUHVLGHQFHWKHQVKRWDQGNLOOHGKLPVHOI OLDELOLW\l 5(67$7(0(17 6(&21' 2) 72576 †DW †FPWFDW(DFKDFWWKDWWKHPDMRULW\RSLQLRQ $FFRUGLQJ WR 6KHHWV WKH WUDJLF HYHQWV RI )HEUXDU\ WK LGHQWLILHV FRXOG UHDVRQDEO\ EH YLHZHG DV D IRUHVHHDEOH ZHUHWKHUHVXOWRIDQLQFLGHQWWKDWRFFXUUHGIRXUGD\VHDUOLHU FRQVHTXHQFH RI 6KHHWV IROORZLQJ 0XOOLQVjV DGYLFH o HDFK RQ 6XQGD\ )HEUXDU\     7KDW 6XQGD\ PRUQLQJ UHODWHVWR6KHHWVSXUVXLQJDFXVWRG\RUGHUDQGQRWUHVRUWLQJWR 0RQWJRPHU\WKUHDWHQHG6KHHWVE\SXWWLQJDNQLIHWRKHUVLGH VHOIKHOS%HFDXVHHDFKDFWFRXOGEHYLHZHGDVIRUHVHHDEOH WKHQSXOOLQJDJXQRQKHU$WWKHWLPHQHLWKHU7LIIDQ\ZKR WKRVHDFWVFDQQRWDVDPDWWHURIODZSUHYHQW0XOOLQVIURP ZDVVSHQGLQJWKHZHHNHQGZLWK6KLUOH\/LOO\0RQWJRPHU\jV EHLQJ OLDEOH IRU 7LIIDQ\jV LQFUHDVHG H[SRVXUH WR KDUP VLVWHUQRU 6KDZQ ZDV DW KRPH  0RQWJRPHU\jV FRQGXFW 0RUHRYHU , KDYH WURXEOH VXEVFULELQJ WR WKH PDMRULW\jV FDXVHG6KHHWVWRSDFNKHUFORWKHVDQGOHDYHWKHUHVLGHQFHZLWK UHPRWHQHVVUHDVRQLQJEHFDXVHWKHVHYHUDO HYHQWVRFFXUULQJ  6KHHWVHWDOY0XOOLQV 1R 1R 6KHHWVHWDOY0XOOLQV 

FDOOLQJ DQRWKHU RIILFHU ZKR ZDV QRW XQGHU D FRQIOLFW RI KHU VLVWHU /LQGD ZKRP  0RQWJRPHU\ KDG FDOOHG  /LQGD LQWHUHVW 0XOOLQV DGYLVHG 6KHHWV QRW WR UHWULHYH 7LIIDQ\ GURYH 6KHHWV WR WKH KRXVH RI KHU QHSKHZ sHUU\ 5RDFK WKURXJK VHOIKHOS EXW UDWKHU WR REWDLQ FXVWRG\ RI 7LIIDQ\ m5RDFKl   :KHQ 6KHHWV DUULYHG DW KHU QHSKHZjV KRXVH WKURXJKWKHFRXUWV\VWHP%HFDXVH0XOOLQVKDGDFRQIOLFWRI 5RDFK LPPHGLDWHO\ FDOOHG WKH *DOOLD &RXQW\ 6KHULIIjV LQWHUHVWDQGVWLOODGYLVHG6KHHWVKLVFRQGXFWULVHVWRWKHOHYHO 'HSDUWPHQWWRUHSRUWWKDW0RQWJRPHU\KDGWKUHDWHQHGWRNLOO RI DQ DIILUPDWLYH DFW WKDW PD\ IRUP WKH EDVLV IRU †   6KHHWV DQG KHU FKLOGUHQ  1HLWKHU /LQGD QRU 5RDFK ZRXOG VXEVWDQWLYHGXHSURFHVVOLDELOLW\ DJUHH WR WDNH 6KHHWV WR 6KLUOH\ /LOO\jV KRXVH WR SLFN XS 7LIIDQ\/LQGDVDLGVKHGLGQRWKDYHHQRXJKJDVLQKHUFDU 2QOHVVH[WUHPHIDFWV,ZRXOGEHOHVVLQFOLQHGWRUHDFKWKLV 5RDFKVDLGKHGLGQRWZDQW6KHHWVWROHDYHKLVKRXVHEHFDXVH UHVXOW7RSURPRWHIULHQGOLHUFRPPXQLW\SROLFLQJDSROLFH 0RQWJRPHU\ZDVVRDQJU\ RIILFHUjVDGYLFHLQUHVSRQVHWRDSHUVRQjVLQTXLU\RIKRZWR EHVWREWDLQFXVWRG\RIKHUFKLOGVKRXOGQRWJHQHUDOO\ULVHWR 0XOOLQVZKRKDSSHQHGWREHDORQJWLPHSHUVRQDOIULHQGRI WKH OHYHO RI DQ DIILUPDWLYH DFW IRU SXUSRVHV RI †   0RQWJRPHU\jVZDVGLVSDWFKHGWRLQYHVWLJDWH5RDFKjVUHSRUW VXEVWDQWLYHGXHSURFHVVOLDELOLW\0RUHRYHUDSROLFHRIILFHU RIDGRPHVWLFGLVWXUEDQFH:KHQ0XOOLQVDUULYHGDW5RDFKjV ZLWK D FRQIOLFW RI LQWHUHVW GRHV QRW YLRODWH VXEVWDQWLYH GXH KRXVH 6KHHWV WROG 0XOOLQV WKDW 0RQWJRPHU\ KDG SXOOHG D SURFHVVULJKWVE\UHVSRQGLQJWRDUHSRUWRIGRPHVWLFDEXVH NQLIHRQKHUDQGWKDWKHKDGDJXQLQKLVFDU0XOOLQVFKHFNHG +RZHYHUZKHUHDSROLFHRIILFHUUHVSRQGVWRDVLWXDWLRQDQG 6KHHWV IRU LQMXULHV EXW IRXQG QR HYLGHQFH RI EUXLVHV UHG GLVFRYHUVWKDWKHKDVDFRQIOLFWRILQWHUHVWWKDWRIILFHUH[SRVHV PDUNVRURWKHUREYLRXVVLJQVRILQMXU\6KHHWVWROG0XOOLQV KLPVHOIWR† VXEVWDQWLYHGXHSURFHVVOLDELOLW\LIKHJLYHV WKDW7LIIDQ\ZDVQRWDW0RQWJRPHU\jVKRXVHEXWZDVVWD\LQJ DGYLFH WKDW LI IROORZHG LQFUHDVHV D SHUVRQjV H[SRVXUH WR ZLWK0RQWJRPHU\jVVLVWHUIRUWKHZHHNHQG KDUP 0XOOLQV LQVWUXFWHG 6KHHWV WKDW EHFDXVH 0RQGD\ ZDV D 7KHPDMRULW\RSLQLRQUHDFKHVDGLIIHUHQWUHVXOWDQGLQVWHDG KROLGD\VKHZRXOGKDYHWRZDLWXQWLO7XHVGD\)HEUXDU\ FRQFOXGHV WKDW 0XOOLQVjV FRQGXFW ZDV WRR UHPRWH WR EH  WRILOHFKDUJHVDJDLQVW0RQWJRPHU\:KHQ6KHHWVWROG DFWLRQDEOH,QUHDFKLQJWKDWFRQFOXVLRQWKHPDMRULW\RSLQLRQ 0XOOLQV WKDW VKH ZDQWHG WR JHW 7LIIDQ\ IURP 6KLUOH\ /LOO\ LGHQWLILHVVHYHUDOHYHQWVWKDWRFFXUUHGDIWHU0XOOLQVjVDGYLFH 0XOOLQVWROGKHUWRZDLWXQWLOVKHFRXOGJRWRFRXUW WR6KHHWV 6KHHWVREWDLQHGDQDWWRUQH\6KHHWVUHSRUWHGWKH VLWXDWLRQ WR WKH FLW\ VROLFLWRUjV RIILFH D MXYHQLOH MXGJH  0XOOLQVODWHUFRQFHGHGWKDWKHGRXEWHGWKHWUXWKIXOQHVVRI DZDUGHGFXVWRG\WR6KHHWVWKHVKHULIIjVGHSDUWPHQWGHFOLQHG WKHUHSRUWUHODWHGE\6KHHWV0XOOLQVH[SODLQHGWKDWNQRZLQJ WR KHOS 6KHHWV UHDFTXLUH SRVVHVVLRQ RI 7LIIDQ\ DQG D 0RQWJRPHU\DVKHGLGKHGLGQRWEHOLHYHWKDW0RQWJRPHU\ PXQLFLSDO MXGJH FRQGXFWHG D KHDULQJ DQG WKHQ UHOHDVHG ZRXOGKXUWDQ\RQH6KHHWVKHUVHOIODWHUDGPLWWHGWKDWEHIRUH 0RQWJRPHU\,QOLJKWRIWKHVHHYHQWVDQGEHFDXVH7LIIDQ\ )HEUXDU\ 0RQWJRPHU\KDGEHHQDJRRGIDWKHUWR ZDVVWLOODOLYHIRXUGD\VDIWHU0XOOLQVjVDGYLFHWKHPDMRULW\ 7LIIDQ\KDGQHYHUWKUHDWHQHGRUKDUPHG7LIIDQ\LQDQ\ZD\ RSLQLRQ UHDVRQV WKDW 0XOOLQVjV DGYLFH ZDV WRR UHPRWH DQ DQGKDGJLYHQ6KHHWVQRFDXVHWRWKLQNKHZRXOGNLOOHLWKHU HYHQW WR VXEMHFW KLP WR OLDELOLW\ IRU 7LIIDQ\jV GHDWK  7KH KLPVHOIRU7LIIDQ\ PDMRULW\RSLQLRQUHDFKHVWKLVUHPRWHQHVVFRQFOXVLRQZLWKRXW FLWLQJDQ\DXWKRULW\DQGZLWKRXWSURYLGLQJDQ\UHDVRQLQJoLW ,PPHGLDWHO\IROORZLQJKLVLQWHUYLHZZLWK6KHHWV0XOOLQV VLPSO\SUHVHQWVDFRQFOXVLRQ,GLVDJUHHZLWKWKDWFRQFOXVLRQ PDGHRQHXQVXFFHVVIXODWWHPSWWRORFDWH0RQWJRPHU\DWKLV IRUWZRUHDVRQV UHVLGHQFH  0XOOLQV PDGH QR RWKHU HIIRUW WR FRQWDFW 0RQWJRPHU\WRUHXQLWH7LIIDQ\ZLWKKHUPRWKHURUWRREWDLQ DZDUUDQWIRU0RQWJRPHU\jVDUUHVW)XUWKHUPRUHDWWKHHQG  6KHHWVHWDOY0XOOLQV 1R 1R 6KHHWVHWDOY0XOOLQV 

RI KLV VKLIW 0XOOLQV GLG QRW WHOO WKH RQFRPLQJ GHSXWLHV RU SROLFH RIILFHU LQ 0XOOLQVjV SRVLWLRQ ZRXOG NQRZ WKDW WKHLUVHUJHDQWWKDW0RQWJRPHU\KDGWKUHDWHQHGWRNLOO6KHHWV 0XOOLQVjVFRQGXFWYLRODWHG6KHHWVj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jV H[SRVXUH RU 6KHHWV VWD\HG DW 5RDFKjV KRXVH DOO GD\ 0RQGD\ YXOQHUDELOLW\WRGDQJHUWKDWRIILFHUPD\EHOLDEOHIRUYLRODWLQJ )HEUXDU\:KLOHWKHUH6KHHWVUHFHLYHGDFDOOIURP/LQGD WKDWSHUVRQjVVXEVWDQWLYHGXHSURFHVVULJKWV 86 ZKRDGYLVHGKHUWKDW7LIIDQ\ZDVVWLOOVWD\LQJZLWK6KLUOH\   VHH DOVR *D]HWWH Y &LW\ RI 3RQWLDF  )G  /LOO\ DQG WKDW 0RQWJRPHU\ZKR ZDV WKHQ ZLWK /LQGD  WK&LU   m,Q'H6KDQH\WKH6XSUHPH&RXUWZHQW ZDQWHGWRWDONZLWKKHU6KHHWVWROG/LQGDWKDWmLWZDVRYHU IXUWKHU DQG VWDWHG WKDW D GXW\ WR SURWHFW FDQ DULVH LQ D EHWZHHQPHDQG5RJHU>0RQWJRPHU\@l:KHQDVNHGDWKHU QRQFXVWRGLDOVHWWLQJLIWKHVWDWHGRHVDQ\WKLQJWRUHQGHUDQ GHSRVLWLRQZK\VKHGLGQRWPDNHDQ\HIIRUWWRJRWR6KLUOH\ LQGLYLGXDO PRUH YXOQHUDEOH WR GDQJHUl  )UHHPDQ Y /LOO\jV KRXVH WR JHW 7LIIDQ\ ZKLOH /LQGD ZDV ZLWK )HUJXVRQ )G WK&LU   QRWLQJWKDWmWKH 0RQWJRPHU\6KHHWVUHSOLHG m,GRQjWNQRZl SRVVLELOLW\WKDWDFRQVWLWXWLRQDOGXW\WRSURWHFWDQLQGLYLGXDO DJDLQVWSULYDWHYLROHQFHPD\H[LVWLQDQRQFXVWRGLDOVHWWLQJ (DUO\ RQ 7XHVGD\ )HEUXDU\    6KHHWV ILOHG D LIWKHVWDWHKDVWDNHQDIILUPDWLYHDFWLRQZKLFKLQFUHDVHVWKH FULPLQDOFRPSODLQWDJDLQVW0RQWJRPHU\LQPXQLFLSDOFRXUW LQGLYLGXDOjV GDQJHU RI RU YXOQHUDELOLW\ WR VXFK YLROHQFH DQGLQLWLDWHGSURFHHGLQJVLQMXYHQLOHFRXUWWRVHHNWHPSRUDU\ EH\RQGWKHOHYHOLWZRXOGKDYHEHHQDWDEVHQWVWDWHDFWLRQl  FXVWRG\RI7LIIDQ\sXGJH7KRPDV0RXOWRQRIWKHsXYHQLOH 7KLV FDVH SUHVHQWV RQH RI WKH VLWXDWLRQV ZKHUH DQ RIILFHUjV 'LYLVLRQ RI WKH *DOOLD &RXQW\ &RXUW RI &RPPRQ 3OHDV DIILUPDWLYHDFWRILQFUHDVLQJDVSHFLILFSHUVRQjVH[SRVXUHWR FRQGXFWHGDKHDULQJWKDWVDPH7XHVGD\DQGVLJQHGDQRUGHU DSDUWLFXODUGDQJHUVKRXOGEHDFWLRQDEOH GHVLJQDWLQJ6KHHWVDV7LIIDQ\jVOHJDOFXVWRGLDQ +HUH 0XOOLQV LQYHVWLJDWHG D GRPHVWLF YLROHQFH FDOO 2Q :HGQHVGD\ )HEUXDU\     6KHHWV PHW ZLWK D LQYROYLQJRQHRIKLVOLIHORQJIULHQGV0RQWJRPHU\0XOOLQV ODZ\HUZKRDFFRPSDQLHG6KHHWVWRWKHVKHULIIjVGHSDUWPHQW EHOLHYHG0RQWJRPHU\jVVLGHRIWKHVWRU\DQGQRW6KHHWVjVo :KHQ WKH\ SUHVHQWHG WKH FXVWRG\ RUGHU WR 6HUJHDQW 'DYLG GHVSLWH WKH GHDWK WKUHDWV WKDW 6KHHWV UHSRUWHG  %HFDXVH 0DUWLQ m0DUWLQl IRUHQIRUFHPHQWWKH\ZHUHDGYLVHGWKDWWKH 0XOOLQVjVMXGJPHQWZDVFRPSURPLVHGE\KLVIULHQGVKLSZLWK FXVWRG\RUGHUE\LWVHOIZDVLQVXIILFLHQWWRDOORZDGHSXW\WR 0RQWJRPHU\0XOOLQVKDGDFRQIOLFWRILQWHUHVWWKDWSUHYHQWHG SLFNXSDFKLOG0DUWLQWROGWKHPWKDWDFRXUWRUGHUGLUHFWLQJ KLP IURP IDLUO\ LQYHVWLJDWLQJ WKH GRPHVWLF DEXVH FDOO WKHGHSDUWPHQWWRDVVLVWLQWDNLQJFXVWRG\RIDFKLOGZDVDOVR )XUWKHUPRUHGXHWRKLVIULHQGVKLSZLWK0RQWJRPHU\0XOOLQV QHHGHG ZDVQRWLQDSRVLWLRQZKHUHKHFRXOGEHREMHFWLYH1RUZDV KH LQ D SRVLWLRQ ZKHUH KH FRXOG JLYH UHDVRQDEOH UHOLDEOH 2Q :HGQHVGD\ QLJKW )HEUXDU\   0RQWJRPHU\ FDOOHG DGYLFH WR 6KHHWV  ,QVWHDG RI GHFOLQLQJ WR JLYH DGYLFH RU 0XOOLQVDWKLVUHVLGHQFHWRDVNLIDZDUUDQWKDGEHHQLVVXHG  6KHHWVHWDOY0XOOLQV 1R 1R 6KHHWVHWDOY0XOOLQV 

BBBBBBBBBBBBBBBBBBBBB IRUKLVDUUHVW,QIDFWDZDUUDQWKDGEHHQLVVXHGEXW0XOOLQV ZKR KDGQRWEHHQLQYROYHGLQWKHPDWWHUVLQFHKLVLQLWLDO &21&855(1&( LQWHUYLHZZLWK6KHHWVZDVXQDZDUHRIZKDWLIDQ\WKLQJKDG BBBBBBBBBBBBBBBBBBBBB KDSSHQHG VLQFH 6XQGD\  0XOOLQV DGYLVHG 0RQWJRPHU\ WR FKHFNZLWKWKHFRXUWLQWKHPRUQLQJDQGWRWXUQKLPVHOILQLI 5*8<&2/(s5&LUFXLWsXGJH,UHVSHFWIXOO\GLVDJUHH DZDUUDQWKDGEHHQLVVXHG ZLWK WKH PDMRULW\jV DQDO\VLV  ,Q FRQWUDVW WR WKH PDMRULW\ RSLQLRQ,EHOLHYHWKDW6KHHWVVHWVIRUWKDSULPDIDFLHFDVHIRU 2Q 7KXUVGD\ PRUQLQJ )HEUXDU\    0RQWJRPHU\ DVXEVWDQWLYHGXHSURFHVVYLRODWLRQXQGHU86&†  YROXQWDULO\DSSHDUHGLQWKH*DOOLSROLV0XQLFLSDO&RXUWRQDQ 1HYHUWKHOHVV , UHDFK WKH VDPH FRQFOXVLRQ DV WKH PDMRULW\ LQLWLDO DSSHDUDQFH ZLWK UHJDUG WR WKH GRPHVWLF YLROHQFH EHFDXVH , DJUHH WKDW D UHDVRQDEOH RIILFHU ZRXOG QRW KDYH FRPSODLQW ILOHG E\ 6KHHWV  7KH PXQLFLSDO FRXUW MXGJH NQRZQWKDW0XOOLQVjVFRQGXFWYLRODWHGDIHGHUDOULJKW7KXV UHOHDVHG0RQWJRPHU\RQKLVRZQUHFRJQL]DQFHVXEMHFWWRWKH ,FRQFXULQWKHFRQFOXVLRQWKDWTXDOLILHGLPPXQLW\SURWHFWV SURYLVLRQVRIDWHPSRUDU\SURWHFWLYHRUGHULQIDYRURI6KHHWV 0XOOLQVIURPVXLW 7KHPXQLFLSDOFRXUWUHIXVHGWRRUGHU0RQWJRPHU\WRJLYHXS SK\VLFDOFXVWRG\RIWKHFKLOGILQGLQJWKDWWKHLVVXHZDVRQH 2Q LQWHUORFXWRU\ DSSHDO DQ DSSHOODWH FRXUW KDV OLPLWHG ZLWKLQWKHH[FOXVLYHMXULVGLFWLRQRIWKH*DOOLD&RXQW\sXYHQLOH DELOLW\WRFRQVLGHUDGHQLDORITXDOLILHGLPPXQLW\*HQHUDOO\ &RXUW7KHsXYHQLOH&RXUWWKURXJKsXGJH0RXOWRQHQWHUHG WKHGRFWULQHRITXDOLILHGLPPXQLW\SURWHFWVSXEOLFRIILFLDOV DQ RUGHU ODWHU WKDW GD\ GLUHFWLQJ WKH *DOOLD &RXQW\ 6KHULII IURP VXLW DV ORQJ DV WZR FRQGLWLRQV DUH VDWLVILHG  6HH 'HSDUWPHQW WR DFFRPSDQ\ DQG DVVLVW 6KHHWV LQ JHWWLQJ JHQHUDOO\+DUORZY)LW]JHUDOG86   SRVVHVVLRQRI7LIIDQ\8QIRUWXQDWHO\EHIRUHWKDWFRXUWRUGHU &KDUYDWY(2KLR5HJjO:DVWHZDWHU$XWK)G ZDVH[HFXWHG0RQWJRPHU\VKRWDQGNLOOHG7LIIDQ\DVZHOODV  WK&LU )LUVWWKHSODLQWLIIPXVWGHPRQVWUDWHD KLPVHOI YLRODWLRQRIDIHGHUDOULJKW6DXFLHUY.DW]86       6HFRQG WKH ULJKW YLRODWHG PXVW EH VR FOHDUO\ 6KHHWV ILOHG VXLW DJDLQVW 0XOOLQV DPRQJ RWKHUV RQ HVWDEOLVKHGWKDWDUHDVRQDEOHRIILFLDOZRXOGXQGHUVWDQGWKDW )HEUXDU\     6KH DOOHJHG WKDW E\ KLV DFWV 0XOOLQV KLV RU KHU FRQGXFW YLRODWHG WKDW ULJKW  ,G  $QGHUVRQ Y YLRODWHG7LIIDQ\j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j PRWLRQ ZLWK UHJDUG WR WKH FODLPV IRU    VHH DOVR sRKQVRQ Y sRQHV  86    SURFHGXUDOGXHSURFHVVDQGHTXDOSURWHFWLRQEXWGHQLHGKLV    GLVFXVVLQJ WKH VFRSH RI LQWHUORFXWRU\ DSSHDO PRWLRQZLWKUHVSHFWWRWKHVXEVWDQWLYHGXHSURFHVVFODLP7KH JHQHUDOO\   7KXV LQ UHYLHZLQJ WKH GHQLDO RI TXDOLILHG GLVWULFWFRXUWUHMHFWHG0XOOLQVjTXDOLILHGLPPXQLW\GHIHQVHDV LPPXQLW\ RQ LQWHUORFXWRU\ DSSHDO KHUH WKLV &RXUW PD\ WR WKH VXEVWDQWLYH GXH SURFHVV FODLP ILQGLQJ WKDW mD HYDOXDWH WZR TXHVWLRQV    ZKHWKHU WKH HYLGHQFH LQ WKH UHDVRQDEOHRIILFLDOLQWKHSRVLWLRQRI6HUJHDQW0XOOLQVVKRXOG IDFWXDOUHFRUGZKHQFRQVWUXHGLQDOLJKWPRVWIDYRUDEOHWR KDYHNQRZQWKDWDSDUW\jVULJKWWRVXEVWDQWLYHGXHSURFHVVLV 6KHHWV VHWV IRUWK D SULPD IDFLH FDVH RI D YLRODWLRQ RI KHU YLRODWHG E\ D SXEOLF DFWRU ZKRVH FRQGXFW VLJQLILFDQWO\ VXEVWDQWLYHGXHSURFHVVULJKWV DQG  ZKHWKHUDUHDVRQDEOH LQFUHDVHVWKHULVNRILQMXU\IURPDWKLUGSDUW\l0XOOLQVQRZ  6KHHWVHWDOY0XOOLQV 1R 1R 6KHHWVHWDOY0XOOLQV 

DSSHDOVWKHGLVWULFWFRXUWjVGHFLVLRQUHJDUGLQJKLV TXDOLILHG 0XOOLQV:HDFFRUGLQJO\5(0$1'WRWKHGLVWULFWFRXUWIRU LPPXQLW\GHIHQVH6KHHWVDUJXHVWKDWZHKDYHQRMXULVGLFWLRQ HQWU\RIMXGJPHQW RYHUWKHDSSHDO ,,',6&866,21 $sXULVGLFWLRQ 6KHHWVDUJXHVWKDWMXULVGLFWLRQRYHUWKLVLQWHUORFXWRU\DSSHDO LV ODFNLQJ EHFDXVH WKH WULDO FRXUW IRXQG WKDW WKHUH ZDV D JHQXLQHLVVXHRIPDWHULDOIDFWDVWRZKHWKHU0XOOLQVUHQGHUHG 7LIIDQ\ PRUH YXOQHUDEOH WR GDQJHU WKURXJK KLV DFWLRQV ,QGHHGDGHIHQGDQWPD\QRWDSSHDODGLVWULFWFRXUWjVRUGHU GHQ\LQJDFODLPRITXDOLILHGLPPXQLW\mLQVRIDUDVWKDWRUGHU GHWHUPLQHV ZKHWKHU RU QRW WKH SUHWULDO UHFRUG VHWV IRUWK D µJHQXLQHjLVVXHRIIDFWIRUWULDOlsRKQVRQYsRQHV86 6&W/(GG   7RWKH H[WHQW WKDW D GLVWULFW FRXUWjV GHQLDO RI D FODLP RI TXDOLILHG LPPXQLW\ WXUQV RQ DQ LVVXH RI ODZ KRZHYHU WKH 6XSUHPH &RXUWKDVKHOGWKDWWKHGHQLDOFRQVWLWXWHVDILQDODSSHDODEOH GHFLVLRQZLWKLQWKHPHDQLQJRI86&† 0LWFKHOOY )RUV\WK866&W/(GG    ,Q WKLV FLUFXLW LW LV ZHOO HVWDEOLVKHG WKDW IRU DSSHOODWH MXULVGLFWLRQWROLHRYHUDQLQWHUORFXWRU\DSSHDODGHIHQGDQW VHHNLQJTXDOLILHGLPPXQLW\PXVWEHZLOOLQJWRFRQFHGHWRWKH IDFWV DV DOOHJHG E\ WKH SODLQWLII DQG GLVFXVV RQO\ WKH OHJDO LVVXHVUDLVHGE\WKHFDVH6KHKHHY/XWWUHOO )G    WK&LU  FLWLQJ%HUU\PDQY5LHJHU)G  WK &LU    H[SODLQLQJ WKDW mLQ RUGHU IRU    DQ LQWHUORFXWRU\DSSHDOEDVHGRQTXDOLILHGLPPXQLW\WROLHWKH GHIHQGDQWPXVWEHSUHSDUHGWRRYHUORRNDQ\IDFWXDOGLVSXWH DQGWRFRQFHGHDQLQWHUSUHWDWLRQRIWKHIDFWVLQWKHOLJKWPRVW IDYRUDEOH WR WKH SODLQWLIIjV FDVHl  FHUW GHQLHG  86 6&W/(GG   +HUHIRU SXUSRVHVRIKLVPRWLRQIRUVXPPDU\MXGJPHQW0XOOLQVLVQRW GLVSXWLQJ WKH IDFWV  UDWKHU KH FRQWHQGV WKDW HYHQ LI WKH HYLGHQFHLVYLHZHGLQWKHOLJKWPRVWIDYRUDEOHWR6KHHWVKH FDQQRWEHKHOGOLDEOHIRUDYLRODWLRQRI6KHHWVjVVXEVWDQWLYH GXHSURFHVVULJKWV+HLVWKXVDUJXLQJWKHSXUHOHJDOTXHVWLRQ  6KHHWVHWDOY0XOOLQV 1R 1R 6KHHWVHWDOY0XOOLQV 

ZKHUHSROLFHRIILFHUVQRWRQO\IDLOHGWRLQYHVWLJDWHUHSRUWVRI RIZKHWKHUWKHIDFWVDVFRQVWUXHGLQIDYRURI6KHHWVFRQVWLWXWH DQDEGXFWLRQEXWDOVROLHGDERXWWKHLUDFWLRQV1HHGOHVVWR DYLRODWLRQRIFOHDUO\HVWDEOLVKHGODZ7KDWLVDTXHVWLRQRYHU VD\ZHGLGQRWVSHFLI\ZKDWSROLFHDFWLRQZRXOGKDYHEHHQ ZKLFKZHKDYHDSSHOODWHMXULVGLFWLRQ6HH1HDJXHY&\QNDU QHFHVVDU\ K\SRWKHWLFDOO\ WR VXSSRUW WKH LPSRVLWLRQ RI )G WK&LU  H[SODLQLQJWKDWDGLVWULFW OLDELOLW\IRUDVXEVWDQWLYHGXHSURFHVVYLRODWLRQ FRXUWj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mQRW HYHQ DOORZHG D SULYDWHDFWRIYLROHQFH FDVH WR VXUYLYH D YLRODWHFOHDUO\HVWDEOLVKHGVWDWXWRU\RUFRQVWLWXWLRQDOULJKWVRI PRWLRQIRUVXPPDU\MXGJPHQW6PLWKY&LW\RI(O\ULD ZKLFKDUHDVRQDEOHSHUVRQZRXOGKDYHNQRZQl+DUORZY )6XSSDW,Q6PLWKWKHGLVWULFWFRXUWGHQLHGWKHFLW\ )LW]JHUDOG866&W/(GG GHIHQGDQWjVPRWLRQIRUVXPPDU\MXGJPHQWEHFDXVHWKHUHZDV     :HUHYLHZDGLVWULFWFRXUWjVGHQLDORITXDOLILHG HYLGHQFHWKDWWKHYLFWLPjVDEXVLYHH[KXVEDQGPD\KDYHXVHG LPPXQLW\GHQRYR6KHKHH )GDW 7KHGHIHQGDQW WKHDSSDUHQWDXWKRULW\JLYHQWRKLPE\SROLFHRIILFHUVZKR EHDUV WKH EXUGHQ RI SOHDGLQJ WKH GHIHQVH EXW WKH SODLQWLII WROGKLPWRUHPDLQLQKLVH[ZLIH VKRPHDJDLQVWKHUZLOOWR EHDUV WKH EXUGHQ RI VKRZLQJ WKDW WKH GHIHQGDQWj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m>D@ QHFHVVDU\ FRQFRPLWDQW WR WKH ,,,&21&/86,21 GHWHUPLQDWLRQRIZKHWKHUWKHFRQVWLWXWLRQDOULJKWDVVHUWHGE\ DSODLQWLIILVµFOHDUO\HVWDEOLVKHGjDWWKHWLPHWKHGHIHQGDQW +DYLQJIRXQGWKDW0XOOLQVGLGQRWYLRODWHWKHVXEVWDQWLYH DFWHGLVWKHGHWHUPLQDWLRQRIZKHWKHUWKHSODLQWLIIKDVDVVHUWHG GXHSURFHVVULJKWVRI6KHHWVDQGRU7LIIDQ\PXFKOHVVWKHLU DYLRODWLRQRIDFRQVWLWXWLRQDOULJKWDWDOOl 7KHDQDO\VLVRI FOHDUO\HVWDEOLVKHGULJKWVZH5(9(56(WKHGLVWULFWFRXUWjV ZKHWKHU 6KHHWV KDV DVVHUWHG D YLRODWLRQ RI D FRQVWLWXWLRQDO RUGHUGHQ\LQJWKHGHIHQGDQWjVPRWLRQIRUVXPPDU\MXGJPHQW ULJKWEHJLQVZLWKWKH6XSUHPH&RXUWjVGHFLVLRQLQ'H6KDQH\ DV WR WKH SODLQWLIIVj VXEVWDQWLYH GXH SURFHVV FODLP DJDLQVW  6KHHWVHWDOY0XOOLQV 1R 1R 6KHHWVHWDOY0XOOLQV 

Y :LQQHEDJR &RXQW\ 'HSDUWPHQW RI 6RFLDO 6HUYLFHV  PXVWEHFOHDUO\HVWDEOLVKHGLQDSDUWLFXODUL]HGVHQVH $]HH] 86  6&W /(GG     Y)DLUPDQ )G  WK&LU   H[SODLQLQJ WKDWm>W@KHZRUGVµFOHDUO\HVWDEOLVKHGFRQVWLWXWLRQDOULJKWVj ,QsDQXDU\RI ZKHQsRVKXD'H6KDQH\ msRVKXDl ZDV PD\ QRW EH XVHG WR UHDG WKH GHIHQVH RI LPPXQLW\ RXW RI WKUHH\HDUVROGWKH:LQQHEDJR&RXQW\'HSDUWPHQWRI6RFLDO IHGHUDO WRUW ODZ E\ WKH IDFLOH H[SHGLHQW RI VWDWLQJ 6HUYLFHV m''6l  UHFHLYHG D UHSRUW WKDW sRVKXD ZDV EHLQJ FRQVWLWXWLRQDOULJKWVLQWKHPRVWJHQHUDOSRVVLEOHWHUPVl  SK\VLFDOO\DEXVHGE\KLVQDWXUDOIDWKHU''6LQYHVWLJDWHGWKH DEXVHFKDUJHVDJDLQVWsRVKXDjVIDWKHUEXWWRRNQRDFWLRQWR 7KHGLVWULFWFRXUWGHWHUPLQHGWKDWLWZDVFOHDUO\HVWDEOLVKHG UHPRYHWKHER\IURPWKHIDWKHUjVKRPH,QsDQXDU\RI  LQ )HEUXDU\   WKDW DQ RIILFHU ZRXOG YLRODWH WKH DIWHUsRVKXDZDVDGPLWWHGWRDKRVSLWDOZLWKPXOWLSOHEUXLVHV VXEVWDQWLYHGXHSURFHVVFODXVHE\VLJQLILFDQWO\LQFUHDVLQJDQ DQGDEUDVLRQVFXVWRG\ZDVWHPSRUDULO\ZLWKGUDZQIURPWKH LQGLYLGXDOjVULVNRILQMXU\IURPDWKLUGSDUW\7REHVXUHLQ IDWKHUsRVKXDZDVUHWXUQHGWRKLVIDWKHUjVFXVWRG\ZKHQD   LQ'H6KDQH\WKH6XSUHPH&RXUWVXJJHVWHGEXWGLGQRW WHDPRIFRXQW\RIILFLDOVGHWHUPLQHGWKDWWKHUHZDVLQVXIILFLHQW KROGWKDWVWDWHDFWRUVPD\EHOLDEOHLIWKH\KHOSFUHDWHWKH HYLGHQFHRIFKLOGDEXVH$PRQWKODWHUsRVKXDZDVWUHDWHGDW GDQJHUWKDWFDXVHVDQLQGLYLGXDOjVLQMXU\E\DSULYDWHSDUW\RU WKHHPHUJHQF\URRPIRUVXVSLFLRXVLQMXULHV'XULQJPRQWKO\ LIWKH\UHQGHUDQLQGLYLGXDOPRUHYXOQHUDEOHWRLQMXU\E\D YLVLWVLQWKHQH[WVL[PRQWKVWKH''6FDVHZRUNHUDVVLJQHGWR SULYDWH SDUW\  7KH 'H6KDQH\ &RXUW GLG QRW VSHFLI\ KRZ D PRQLWRUsRVKXDjVVLWXDWLRQREVHUYHGVXVSLFLRXVLQMXULHVRQWKH VWDWHPLJKWFUHDWHWKHGDQJHUFDXVLQJDQLQGLYLGXDOjVLQMXU\ ER\jVKHDG,Q1RYHPEHURI sRVKXDZDVDJDLQWUHDWHG ZKDW DFWLRQV RI D VWDWH ZRXOG UHQGHU DQ LQGLYLGXDO PRUH DWWKHHPHUJHQF\URRPIRULQMXULHVEHOLHYHGWREHFDXVHGE\ YXOQHUDEOHWRGDQJHURUE\KRZPXFKWKHVWDWHPXVWLQFUHDVH FKLOGDEXVH)RUWZRYLVLWVWKHUHDIWHUWKH FDVHZRUNHUZDV DQLQGLYLGXDOjVULVNRILQMXU\IURPDWKLUGSDUW\EHIRUHWKDW WROGWKDWsRVKXDZDVWRRLOOWRVHHKHU'HVSLWHWKHHYLGHQFH LQGLYLGXDOjV VXEVWDQWLYH GXH SURFHVV ULJKWV DUH YLRODWHG RIVXVSLFLRXVLQMXULHVDQGSRVVLEOHFKLOGDEXVHQRDWWHPSWV $OWKRXJKLWFRXOGEHVDLGWKDWWKHVWDWHDFWRUVLQ'H6KDQH\ ZHUHPDGHWRUHPRYHsRVKXDIURPKLVKRPH,Q0DUFKRI LQFUHDVHGWKHULVNWKDWsRVKXDZRXOGEHKDUPHGE\KLVDEXVLYH  ZKHQsRVKXDZDVIRXU\HDUVROGKLVIDWKHUEHDWKLPVR IDWKHUWKH&RXUWLQIDFWIRXQGQRVXEVWDQWLYHGXHSURFHVV VHYHUHO\WKDWKHVXVWDLQHGVHYHUHEUDLQGDPDJHDQGIHOOLQWRD YLRODWLRQ XQGHU WKH SDUWLFXODUL]HG FLUFXPVWDQFHV EHIRUH LW OLIHWKUHDWHQLQJFRPD 7KRVHFLUFXPVWDQFHVLQYROYHGVWDWHDFWRUVIDFHGZLWKVWURQJ HYLGHQFHRIDEXVHUHPRYLQJsRVKXDIURPWKHFXVWRG\RIKLV sRVKXD DQG KLV PRWKHU VXHG ''6 WKH FDVHZRUNHUV DQG IDWKHU WKHQ UHWXUQLQJ sRVKXD WR KLV IDWKHU WKHQGHVSLWH RWKHURIILFLDOVFODLPLQJWKDW''6DQGLWVHPSOR\HHVIDLOHGWR FRQWLQXHGHYLGHQFHRIDEXVHIDLOLQJWRDJDLQUHPRYHsRVKXD LQWHUYHQHWRSURWHFWsRVKXDDJDLQVWDNQRZQULVNRIYLROHQFH IURPWKHIDWKHUZKRVHDEXVHXOWLPDWHO\NLOOHGKLP $IILUPLQJWKHWULDOFRXUW VGLVPLVVDORIWKHFODLPWKH6XSUHPH &RXUWKHOGWKDWDVDJHQHUDOUXOHmD6WDWHjVIDLOXUHWRSURWHFW %HIRUH)HEUXDU\RI WKLVFLUFXLWKDGGHFLGHGRQO\RQH DQ LQGLYLGXDO DJDLQVW SULYDWH YLROHQFH VLPSO\ GRHV QRW SRVW'H6KDQH\FDVHLQYROYLQJDVXEVWDQWLYHGXHSURFHVVFODLP FRQVWLWXWHDYLRODWLRQRIWKH'XH3URFHVV&ODXVHl'H6KDQH\ LQWKHFRQWH[WRIDSULYDWHDFWRIYLROHQFH*D]HWWHY&LW\RI  86DW 7KH&RXUWUHMHFWHGWKHWKHRU\WKDWDGXW\WR 3RQWLDF)GDW,Q*D]HWWHZHLQGLFDWHGWKDWFRXUWV SURWHFWDULVHVIURPWKHVWDWHjVNQRZOHGJHRIDQLQGLYLGXDOjV DUH UHTXLUHG E\ 'H6KDQH\ WR DVN ZKHWKHU D VWDWH DFWRU KDV SUHGLFDPHQWRULWVH[SUHVVLRQVRILQWHQWWRKHOS7KH&RXUW UHQGHUHGDQLQGLYLGXDOPRUHYXOQHUDEOHWRWKHGDQJHUKHRU UHFRJQL]HG KRZHYHU WKDW LI D VWDWH KDV FUHDWHG D mVSHFLDO VKHZDVDOUHDG\LQ/LNHWKH6XSUHPH&RXUWLQ'H6KDQH\ UHODWLRQVKLSl ZLWK WKH YLFWLPL]HG LQGLYLGXDO WKHQ WKH VWDWH KRZHYHUZHUHMHFWHGWKHSODLQWLIIjVVXEVWDQWLYHGXHSURFHVV PD\KDYHDQDIILUPDWLYHGXW\WRSURWHFWWKDWLQGLYLGXDO6XFK FODLPJLYHQWKHSDUWLFXODUL]HGFLUFXPVWDQFHVEHIRUHLWWKDWLV  6KHHWVHWDOY0XOOLQV 1R 1R 6KHHWVHWDOY0XOOLQV

$VVXPLQJWKHIDFWVWREHDV6KHHWVPDLQWDLQVZHILQGWKDW DmVSHFLDOUHODWLRQVKLSlH[LVWVIRUH[DPSOHZKHUHWKHVWDWH 0XOOLQVGLGQRWYLRODWHWKH6XEVWDQWLYH'XH3URFHVV&ODXVH KDVVRPHVRUWRIFRQWURORUFXVWRG\RYHUWKHLQGLYLGXDODVLQ E\KLVFRQGXFWRQ)HEUXDU\:HDOVRILQGWKDW7LIIDQ\jV WKH FDVH RI SULVRQHUV LQYROXQWDULO\ FRPPLWWHG PHQWDOO\ LOO GHDWKZDVWRRUHPRWHIURP0XOOLQVjDOOHJHGO\ZURQJIXODFWV SHUVRQVRUIRVWHUFKLOGUHQ,QH[SODLQLQJWKDW''6DQGLWV WRVXSSRUWDILQGLQJRISUR[LPDWHFDXVH7LIIDQ\ZDVNLOOHG HPSOR\HHV GLG QRW KDYH VXFK D mVSHFLDO UHODWLRQVKLSl ZLWK IRXU GD\V DIWHU 0XOOLQV UHVSRQGHG WR 5RDFKjV FDOO DERXW sRVKXDWKH6XSUHPH&RXUWZURWH m:KLOHWKH6WDWHPD\KDYH 0RQWJRPHU\jVWKUHDWVRIYLROHQFHWR6KHHWV:KHQ0XOOLQV EHHQDZDUHRIWKHGDQJHUVWKDWsRVKXDIDFHGLQWKHIUHHZRUOG DUULYHGWRWDONZLWK6KHHWVKHIRXQGKHUVHFXUHLQ5RDFKjV LWSOD\HGQRSDUWLQWKHLUFUHDWLRQQRUGLGLWGRDQ\WKLQJWR UHVLGHQFHDQGVKRZLQJQRVLJQVRISK\VLFDODEXVH+HOHDUQHG UHQGHUKLPDQ\PRUHYXOQHUDEOHWRWKHPl'H6KDQH\ WKDW7LIIDQ\ZDVQRWSUHVHQWZKHQ0RQWJRPHU\WKUHDWHQHG 86DW 6KHHWVEXWZDVVWD\LQJZLWKDQDXQW7LIIDQ\ZDVVWLOODOLYH GD\V ODWHU DIWHU 6KHHWV KDG REWDLQHG DQ DWWRUQH\ DIWHU WKH $QXPEHURIFLUFXLWFRXUWVRIDSSHDOVLQFOXGLQJWKH6L[WK VLWXDWLRQ ZDV UHSRUWHG WR WKH FLW\ VROLFLWRUjV RIILFHDIWHU D &LUFXLWKDYH UHOLHG RQ WKLV SDVVDJH LQ 'H6KDQH\ WR MXYHQLOH FRXUW MXGJH VLJQHG DQ RUGHU DZDUGLQJ FXVWRG\ WR DFNQRZOHGJHWKDWOLDELOLW\PD\H[LVWZKHUHWKHVWDWHFUHDWHVD 6KHHWVDIWHUDVKHULIIjVGHSDUWPHQWVHUJHDQWQRW0XOOLQV GDQJHURXV VLWXDWLRQ RU UHQGHUV FLWL]HQV PRUH YXOQHUDEOH WR H[SODLQHGWR6KHHWVWKDWWKHVKHULIIjVGHSDUWPHQWFRXOGQRW GDQJHU6HHHJ.DOOVWURPY&LW\RI&ROXPEXV)G KHOSKHUJHWSK\VLFDOFXVWRG\RIKHUGDXJKWHUDEVHQWDFRXUW  WK&LU   DFNQRZOHGJLQJWKDWm>D@OWKRXJK RUGHUGLUHFWLQJWKHGHSDUWPHQWWRGRVRDQGDIWHUDPXQLFLSDO RXUFLUFXLWKDVQHYHUKHOGWKHVWDWHRUDVWDWHDFWRUOLDEOHXQGHU FRXUWMXGJHFRQGXFWHGDQLQLWLDODSSHDUDQFHRQWKHFULPLQDO WKH)RXUWHHQWK$PHQGPHQWIRUSULYDWHDFWVRIYLROHQFHZH FRPSODLQWDJDLQVW0RQWJRPHU\WKHQUHOHDVHG0RQWJRPHU\RQ QHYHUWKHOHVVKDYHUHFRJQL]HGWKHSRVVLELOLW\RIGRLQJVRXQGHU KLVRZQUHFRJQL]DQFH8QGHUWKHVHFLUFXPVWDQFHVZHILQGQR WKHVWDWHFUHDWHGGDQJHUWKHRU\l ,Q.DOOVWURPDULJKWWR PHULWWRWKHVXEVWDQWLYHGXHSURFHVVFODLPDJDLQVW0XOOLQV SULYDF\FDVHGHFLGHGRQH\HDUDIWHUWKHHYHQWVDWLVVXHKHUH WKLV FRXUW KHOG WKH &LW\ RI &ROXPEXV OLDEOH IRU UHOHDVLQJ ,QGHQ\LQJUHOLHIWR0XOOLQVWKHGLVWULFWFRXUWZURWH m%DVHG SULYDWH LQIRUPDWLRQ DERXW XQGHUFRYHU RIILFHUV DQG WKHLU XSRQ WKH VWDWH RI WKH ODZ LQ )HEUXDU\   WKLV &RXUW IDPLOLHVLQFOXGLQJ KRPH DGGUHVVHV SKRQH QXPEHUV DQG FRQFOXGHVWKDWDUHDVRQDEOHRIILFLDOLQWKHSRVLWLRQRI6HUJHDQW SLFWXUHVWR ODZ\HUV UHSUHVHQWLQJ YLROHQW JDQJ PHPEHUV 0XOOLQVVKRXOGKDYHNQRZQWKDWDSDUW\jVULJKWWRVXEVWDQWLYH DJDLQVWZKRPWKHXQGHUFRYHURIILFHUVKDGWHVWLILHG7KHFRXUW GXH SURFHVV LV YLRODWHG E\ D SXEOLF DFWRU ZKRVH FRQGXFW GHWHUPLQHGWKDWWKH&LW\jVDFWLRQSODFHGWKHRIILFHUVDQGWKHLU VLJQLILFDQWO\LQFUHDVHVWKHULVNRILQMXU\IURPDWKLUGSDUW\l IDPLOLHV LQ mVSHFLDO GDQJHUl DQG WKHUHIRUH FRQVWLWXWHG D :HWKLQNWKHGLVWULFWMXGJHGHVFULEHGWKHULJKWWKDW0XOOLQV YLRODWLRQRIWKHLUIXQGDPHQWDOULJKWVWRSULYDF\DQGSHUVRQDO DOOHJHGO\ YLRODWHG WRR EURDGO\  $V WKH 6XSUHPH &RXUW VHFXULW\XQGHUWKHVXEVWDQWLYHFRPSRQHQWRIWKH'XH3URFHVV H[SODLQHGLQ$QGHUVRQY&UHLJKWRQ86 &ODXVH 6&W /(GG   WKHmFOHDUO\HVWDEOLVKHGl VWDQGDUGEHFRPHVPHDQLQJOHVVLIWKHUHOHYDQWmOHJDOUXOHlLV ,QDQHDUOLHUFDVH*D]HWWHY&LW\RI3RQWLDF)G GHILQHG LQ DEVWUDFW RU JHQHUDO WHUPV  ,QVWHDG WKH UHOHYDQW WK&LU  ZHUHMHFWHGDVXEVWDQWLYHGXHSURFHVVFODLP mOHJDOUXOHlPXVWEHDUWLFXODWHGLQDSDUWLFXODUL]HGVHQVHVXFK PDGHE\&KHULHH*D]HWWH m*D]HWWHl ZKRVHPRWKHU3DPHOD WKDW WKH FRQWRXUV RI WKH UXOH DUH VXIILFLHQWO\ FOHDU WR SXW D %DQG\ m%DQG\l ZDVIRXQGGHDGLQWKHWUXQNRIKHUFDUVL[ UHDVRQDEOHRIILFLDORQQRWLFHWKDWZKDWKHLVGRLQJLVSUREDEO\ GD\V DIWHU VKH ZDV DEGXFWHG IURP D FDU ZDVK LQ 3RQWLDF XQODZIXO6HHHJ*DEOHY/HZLV)G  WK 0LFKLJDQ  %DQG\ GLHG IURP VWDUYDWLRQ GHK\GUDWLRQ DQG &LU  UHFRJQL]LQJWKDWWKHFRQVWLWXWLRQDOULJKWDVVHUWHG PHWKDQRO SRLVRQLQJ IURP GULQNLQJ ZLQGVKLHOG IOXLG LQ WKH  6KHHWVHWDOY0XOOLQV 1R 1R 6KHHWVHWDOY0XOOLQV 

WUXQN  2Q WKH PRUQLQJ RI %DQG\jV DEGXFWLRQ *D]HWWH GHFOLQHGWRRUGHUWKHH[KXVEDQGWROHDYHKHUKRXVH6PLWKY UHSRUWHGKHUPRWKHUjVGLVDSSHDUDQFHWRWKH&LW\RI3RQWLDF &LW\ RI (O\ULD  ) 6XSS  1' 2KLR     2Q 3ROLFH'HSDUWPHQW7KHSROLFHZKRZHUHZHOODFTXDLQWHG PRWLRQVIRUVXPPDU\MXGJPHQWWKHGLVWULFWFRXUWGHWHUPLQHG ZLWK%DQG\WROG*D]HWWHWKDWKHUPRWKHUZDVDQDOFRKROLFDQG WKDWWKHGHIHQGDQWSROLFHRIILFHUVZHUHHQWLWOHGWRTXDOLILHG ZRXOGFRPHKRPHZKHQVKHILQLVKHGmELQJHLQJl7KHSROLFH LPPXQLW\ IURP WKH YLFWLPjV FODLP WKDW WKH\ YLRODWHG KHU DOVRWROG*D]HWWHWKDWWKH\KDGLQYHVWLJDWHGWKHFDUZDVKIRU VXEVWDQWLYHGXHSURFHVVULJKWV7KHGLVWULFWMXGJHFRQFOXGHG HYLGHQFHRI%DQG\jVGLVDSSHDUDQFHZKHQLQIDFWWKH\KDG WKDWmWKH'H6KDQH\GHFLVLRQGLGQRWFOHDUO\HVWDEOLVKWKDWWKH QRW  )XUWKHUPRUH DOWKRXJK *D]HWWH JDYH WKH SROLFH SROLFHKDYHDGXW\WRSURWHFWZKHQWKH\FUHDWHRUHQKDQFHWKH LQIRUPDWLRQDERXW%DQG\jVEDQNDFFRXQWWKHSROLFHIDLOHGWR GDQJHUWRDSRWHQWLDOYLFWLPRISULYDWHYLROHQFHl6PLWK DFWRQWKHLQIRUPDWLRQOHDUQLQJRQO\DIWHU%DQG\jVGHDWKWKDW )6XSSDW HPSKDVLVLQRULJLQDO 7KHFLW\GHIHQGDQW DEDQNFDPHUDKDGYLGHRWDSHG%DQG\jVDEGXFWRUZLWKGUDZLQJ RQ WKH RWKHU KDQG ZDV GHQLHG VXPPDU\ MXGJPHQW RQ WKH DOOWKHIXQGVIURPKHUDFFRXQW YLFWLPjVVXEVWDQWLYHGXHSURFHVVFODLP EHFDXVHWKHGLVWULFW MXGJHGHWHUPLQHGWKDWWKHHYLGHQFHSUHVHQWHGDJHQXLQHLVVXH *D]HWWHVXHGWKHSROLFHFODLPLQJDPRQJRWKHUWKLQJVWKDW RI PDWHULDO IDFW DERXW ZKHWKHU WKH FLW\ WKURXJK WKH SROLFH WKHSROLFHKDGUHQGHUHG%DQG\PRUHYXOQHUDEOHWRWKHGDQJHU GHSDUWPHQWmDIILUPDWLYHO\LQFUHDVHGWKHGDQJHUWR>*XHUUDQW@ FUHDWHGE\KHUDEGXFWRU6SHFLILFDOO\*D]HWWHDVVHUWHGWKDW ZKLOHOLPLWLQJKHUDELOLW\WRKHOSKHUVHOIDQGPDGHKHUPRUH WKH SROLFH OLHG DERXW WKH LQYHVWLJDWLRQ WKDW WKHLU OLHV NHSW YXOQHUDEOHWRDWWDFNWKHQUHIXVHGWRKHOSKHUl6PLWK) %DQG\jV IDPLO\ DQGRU IULHQGV IURP FRQGXFWLQJ WKHLU RZQ 6XSSDW)LQGLQJHYLGHQFHLQWKHUHFRUGWKDWWKHSROLFH LQYHVWLJDWLRQDQGWKDWDVDUHVXOW%DQG\ZDVUHQGHUHGPRUH RIILFHUVDGYLVHGWKHH[KXVEDQGWRVWD\LQWKHKRXVHGHVSLWH YXOQHUDEOHWRWKHGDQJHUWKDQVKHZRXOGRWKHUZLVHKDYHEHHQ WKH YLFWLP V UHSHDWHG DWWHPSWV WR UHPRYH KLV SHUVRQDO :KLOH DFNQRZOHGJLQJ WKDW 'H6KDQH\ UHTXLUHG LW mWR DVN EHORQJLQJV IURP KHU KRPH WKH GLVWULFW MXGJH WKRXJKW LW ZKHWKHUWKH&LW\RUWKHSROLFHRIILFHUVUHQGHUHG%DQG\DQ\ LPSRUWDQWWKDWWKHH[KXVEDQGPD\KDYHmXVHGWKHDSSDUHQW PRUH YXOQHUDEOH WR WKH GDQJHU VKH ZDV DOUHDG\ LQ E\ WKHLU DXWKRULW\JLYHQWRKLPE\WKHSROLFHWRUHPDLQLQKLVH[ZLIH V DFWLRQVl*D]HWWH)GDWZHQRQHWKHOHVVUHMHFWHG KRPHDJDLQVWKHUZLOODQGODWHUNLOOHGKHUl,G *D]HWWHjVPRUHYXOQHUDEOHWRGDQJHUFODLP7KHFRXUWILUVW GHWHUPLQHGWKDWm>W@KHFDXVDOFRQQHFWLRQEHWZHHQWKHSROLFH ,QWKLVFDVH6KHHWVFODLPVWKDW0XOOLQVUHQGHUHG7LIIDQ\ RIILFHUVjOLHVDQG%DQG\jVGHDWKVLPSO\>ZD@VQRWVXIILFLHQWWR 0RQWJRPHU\PRUHYXOQHUDEOHWRGDQJHUE\SUHYHQWLQJ6KHHWV VXVWDLQD6HFWLRQ FODLPIRUGHSULYDWLRQRI%DQG\jVGXH IURPHQJDJLQJLQmVHOIKHOSl+HGLGVRVKHVD\VSULPDULO\ SURFHVVULJKWVl*D]HWWH)GDW7KHFRXUWWKHQ E\WHOOLQJKHUWKDWVKHVKRXOGJHWDFRXUWRUGHUEHIRUHVKHWULHG ZHQWRQWRVD\WKDWWKHmDFWlZKLFKPLJKWKDYHPDGH%DQG\ WRUHJDLQSK\VLFDOFXVWRG\RI7LIIDQ\6KHHWVDOVRVXJJHVWV PRUHYXOQHUDEOHWRGDQJHUWKDWLVWKHGHFLVLRQRIWKHSROLFH WKDW VKH PLJKW KDYH REWDLQHG FXVWRG\ RI 7LIIDQ\ WKXV QRWWRLQYHVWLJDWHWKHFDUZDVKDQG%DQG\jVEDQNDFFRXQW SUHYHQWLQJWKHFKLOGjVGHDWKLI0XOOLQVKDGVHFXUHGWKHFKLOG ZDV SUHFLVHO\ WKH NLQG RI DFW WKDW XQGHU 'H6KDQH\ ZDV WKH GD\ 6KHHWV FDOOHG IRU KHOS LI 0XOOLQV KDG DUUHVWHG LQVXIILFLHQWWRUHQGHUDSROLFHRIILFHUOLDEOHWRDYLFWLPKDUPHG 0RQWJRPHU\WKDWVDPHGD\RULI0XOOLQVKDGFRPPXQLFDWHG E\DSULYDWHDFWRU WKH VLWXDWLRQ WR RWKHU RIILFHUV LQ WKH GHSDUWPHQW ZKR WKHPVHOYHVPLJKWKDYHDUUHVWHG0RQWJRPHU\$FFRUGLQJWR sXVWPRQWKVEHIRUH*D]HWWHZDVGHFLGHGDGLVWULFWFRXUWLQ 6KHHWVLI0XOOLQVKDGDFWHGLQDQ\RIWKRVHZD\VVKHPLJKW WKH1RUWKHUQ'LVWULFWRI2KLRFRQVLGHUHGWKHFDVHRIDZRPDQ KDYHEHHQDEOHWRUHJDLQFXVWRG\RI7LIIDQ\ZLWKRXWIHDURIRU .DUHQ *XHUUDQW m*XHUUDQWl  ZKR ZDV NLOOHG E\ KHU H[ LQWHUIHUHQFHIURP0RQWJRPHU\ KXVEDQGDIWHUSROLFHRIILFHUVUHVSRQGHGWRKHUFDOOIRUKHOSEXW

Reference

Status
Published