Works Cited

1. "First Wamberg Asset Management Investment Forum Featured Alan Greenspan." First
Wamberg Asset Management Investment Forum Featured Alan Greenspan | Business Wire. A
Berkshire Hathaway Company. March 10, 2008. Accessed April 14, 2018.
https://www.businesswire.com/news/home/20080310006381/en/Wamberg-Asset-Management-
Investment-Forum-Featured-Alan

“Former Federal Reserve Chairman Alan Greenspan was the featured speaker at the first
annual Wamberg Asset Management Investment Forum: Absolute Return Conference for
Banks held February 27-29 at the Naples Grande Resort and Club in Naples, Florida. The
Wamberg Investment Forum hosted educational seminars for more than 60 top bank
investment officers, with sessions led by banking experts from the investment management,
accounting, legal, and regulatory fields. The Forum’s focus was on the changing investment
landscape for banks, and the impact of alternative investment strategies. As Tom Wamberg,
CEO of Wamberg Asset Management, noted, “It was an honor hosting the Forum and being
part of the great exchange of ideas amongst top bank investment officers and other leading
figures of the banking industry. Many in attendance commented that, given current market
conditions, banks need to re-evaluate their investment strategies and alternatives.”

2. Irwin, Neil. "Everything You Need to Know about JPMorgan's $13 Billion Settlement." The
Washington Post. November 19, 2013. Accessed April 14, 2018.
https://www.washingtonpost.com/news/wonk/wp/2013/10/21/everything-you-need-to-know-
about-jpmorgans-13-billion-settlement/

"One of the firms most heavily involved in this businesses of packaging and reselling subprime
mortgage-backed securities was Bear Stearns, then the fifth-largest U.S. investment bank.
One of the most active retail mortgage lenders was Washington Mutual. In March 2008, Bear
Stearns was on the verge of failure. In a last-minute deal to prevent the firm from collapsing,
facilitated with a $29 billion loan from the Federal Reserve, JPMorgan swooped in and
bought the company. Later in 2008, it bought up Washington Mutual out of FDIC
receivership."

3. Aegon. "Aegon to Sell Clark Consulting." Aegon. Accessed April 14, 2018.
https://www.aegon.com/en/Home/Investors/News/Press-Releases/Archive/Aegon-to-sell-Clark-
Consulting/

“Aegon USA, LLC has reached an agreement with Greenspoint Capital and The Newport Group
to sell Clark Consulting, its Bank-Owned Life Insurance (BOLI) distribution and servicing
unit in the US, for USD 177.5 million (EUR 160 million). Aegon aims to enhance its risk-
return profile and to improve capital efficiency. This transaction demonstrates the company's
ongoing efforts to further reduce the capital deployed to its run-off businesses and increase
the return on capital invested.”

4. "Annual Meetings: Clark/Bardes, Gallagher, CDW, Schawk." Crain's Chicago Business. June
02, 2001. Accessed February 25th, 2016.
http://www.chicagobusiness.com/article/20010602/issue01/100016515/annual-meetings-clark-
bardes-gallagher-cdw-schawk

"For Clark/Bardes, downturn's a plus: A specialist in executive compensation and benefits

consulting, Clark/Bardes Consulting smashed Wall Street expectations for first-quarter
profits and then watched its stock zoom. Until two years ago, Clark/Bardes was primarily a
specialist in executive benefits, reaping lucrative commissions by selling large life insurance
policies to top corporate executives. Last June, it entered the executive compensation arena
with the purchase of Pearle Meyer & Partners Inc. in New York, followed by the acquisition
of a similar firm, Compensation Resource Group Inc. in Los Angeles. Now, Clark/ Bardes
provides a host of executive consulting services in such areas as stock options, incentive
programs and even sevreance packages. Rivals such as Washington-DC based Watson Wyatt
& Co. are far bigger, but Clark/ Bardes has a firm grip on two industries: 1,600 of the
nation's 8,000 or so banks are clients, as are 450 of more than 2,000 health care
institutions."

5. Eisler, Kim. "Hired Guns: The City's 50 Top Lobbyists." Washingtonian. June 01, 2007.
Accessed April 14, 2018. https://www.washingtonian.com/2007/06/01/hired-guns-the-citys-50-
top-lobbyists/

"40. Kenneth Kies, Clark Consulting Federal Policy Group. Probably the leading pure tax
lobbyist in Washington, Kies once was chair of the tax practice at the Washington office of
white-shoe law firm Baker & Hostetler. He is a former chief counsel of the House Ways and
Means Committee and later was chief of staff for the House-Senate Joint Committee on
Taxation. He joined Illinois-based Clark Consulting in 2002. His blue-chip client list on tax
issues there is the best in town. Caterpillar, Michelin, and Microsoft all count on Kies to keep
their taxes low in a political atmosphere that could require all of Kies’s contacts and
experience."

6. "David Swinford Named CEO of Pearl Meyer & Partners." David Swinford Named CEO of
Pearl Meyer & Partners | Business Wire. A Berkshire Hathaway Company. May 15, 2007.
Accessed April 14, 2018.
https://www.businesswire.com/news//home/20070515006167/en/David-Swinford-Named-CEO-
Pearl-Meyer-Partners

'“Pearl Meyer & Partners has gained its reputation as a premier executive compensation
consulting firm thanks to a highly-skilled professional staff that is strongly committed to the
firm and its clients,” Mr. Swinford said. “I look forward to furthering our focus on providing
boards and their compensation committees with the insights and tailored solutions needed to
build and reward high quality senior management teams in an increasingly demanding
corporate governance environment.”
“This is a terrific opportunity for our firm,” said Mr. Rich. “Dave is a seasoned and well-
respected veteran of our industry whose leadership skills will prove invaluable in steering the
continued growth of Pearl Meyer & Partners." Mr. Swinford has 30 years of experience as a
compensation consultant and holds B.S., M.S. and J.D. degrees from the University of
 Wisconsin. Prior to joining Pearl Meyer & Partners, he held management and practice
leadership positions at William M. Mercer and Towers Perrin, as well as previous positions
at Sibson & Company and Harris Corporation.'

7. Angelides, Phil, Bill Thomas, Hon., Brooksley Born, and Bob Graham, Sen., et al. THE
FINANCIAL CRISIS INQUIRY REPORT. Report. THE NATIONAL COMMISSION ON THE
CAUSES OF THE FINANCIAL AND ECONOMIC CRISIS IN THE UNITED STATES.
Washington, District of Columbia: Government Printing Office, Feb. 25th, 2011. Pp. xviii.
https://www.gpo.gov/fdsys/pkg/GPO-FCIC/pdf/GPO-FCIC.pdf

"We conclude widespread failures in financial regulation and supervision proved devastating to
the stability of the nation’s financial markets. The sentries were not at their posts, in no small
part due to the widely accepted faith in the self-correcting nature of the markets and the
ability of financial institutions to effectively police themselves. More than 30 years of
deregulation and reliance on self-regulation by financial institutions, championed by former
Federal Reserve chairman Alan Greenspan and others, supported by successive
administrations and Congresses, and actively pushed by the powerful financial industry at
every turn, had stripped away key safeguards, which could have helped avoid catastrophe.
This approach had opened up gaps in oversight of critical areas with trillions of dollars at
risk, such as the shadow banking system and over-the-counter derivatives markets. In
addition, the government permitted financial firms to pick their preferred regulators in what
became a race to the weakest supervisor.”

8. "Lobbying Spending Database - Federal Policy Group, Donations 2006." OpenSecrets. Center
for Responsive Politics. Accessed April 14, 2018.
https://www.opensecrets.org/lobby/firmsum.php?id=D000022808&year=2006

Bank of America, $300,000. Deutsche Bank AG, $240,000. HSBC Holdings, $240,000. Mortgage
Bankers Assn of America, $140,000. Mortgage Insurance Companies of America, $360,000.
Visa International, $120,000.

9. Hansen, Liane, and Jesse Sheidlower. "A Lobbyist by Any Other Name?" NPR. January 22,
2006. Accessed April 14, 2018. https://www.npr.org/templates/story/story.php?storyId=5167187

"Last week, we aired a story about the Willard Hotel here in Washington. Barbara Bahny, the
public relations director for the hotel, told us that the word lobbyist was coined there during
the Ulysses S. Grant administration. It was said that President Grant used to come to the
hotel's lobby to have a brandy and a cigar and was often surrounded by petitioners who
eventually became known as lobbyists."

10. Lessig, Lawrence. Republic, Lost: How Money Corrupts Congress - and A Plan to Stop It.
New York: Twelve, Hachette Book Group, 2012. ISBN 978-0-446-57644-4.

"If the aim of the lobbyist, as Kenneth Crawford described it in 1939, was to 'burn [the] bridges
between the voter and what he voted for,' for most of its history, there were no obvious limits
on the means to that burning." (p.102)
11. Lynch, Loretta E., US Attny. Gen., Bill Baer, Principal Dep. US Attny. Gen., and Benjamin
C. Mizer, Principal. Dep. US Attny. Gen. "Deutsche Bank Agrees to Pay $7.2 Billion for
Misleading Investors in Its Sale of Residential Mortgage-Backed Securities." The United States
Department of Justice. January 17, 2017. Accessed April 14, 2018.
https://www.justice.gov/opa/pr/deutsche-bank-agrees-pay-72-billion-misleading-investors-its-
sale-residential-mortgage-backed

'The Justice Department, along with federal partners, announced today a $7.2 billion settlement
with Deutsche Bank resolving federal civil claims that Deutsche Bank misled investors in the
packaging, securitization, marketing, sale and issuance of residential mortgage-backed
securities (RMBS) between 2006 and 2007. “This resolution holds Deutsche Bank
accountable for its illegal conduct and irresponsible lending practices, which caused serious
and lasting damage to investors and the American public,” said Attorney General Loretta E.
Lynch. “Deutsche Bank did not merely mislead investors: it contributed directly to an
international financial crisis."'

12. Holder, Eric, US Attny. Gen., and Tony West, Dep. US Assoc. Attny. Gen. "Bank of
America to Pay $16.65 Billion in Historic Justice Department Settlement for Financial Fraud
Leading up to and During the Financial Crisis." The United States Department of Justice. August
21, 2014. Accessed April 14, 2018.
https://www.justice.gov/opa/pr/bank-america-pay-1665-billion-historic-justice-department-
settlement-financial-fraud-leading

'This settlement is part of the ongoing efforts of President Obama’s Financial Fraud
Enforcement Task Force and its Residential Mortgage-Backed Securities (RMBS) Working
Group, which has recovered $36.65 billion to date for American consumers and investors.
“At nearly $17 billion, today’s resolution with Bank of America is the largest the department
has ever reached with a single entity in American history,” said Associate Attorney General
West. “But the significance of this settlement lies not just in its size; this agreement is notable
because it achieves real accountability for the American people and helps to rectify the harm
caused by Bank of America’s conduct through a $7 billion consumer relief package that
could benefit hundreds of thousands of Americans still struggling to pull themselves out from
under the weight of the financial crisis.”'

13. Delery, Stuart F., Assoc. Attny. Gen., and Helen Kanovsky, Gen. Counsel. "Justice
Department Reaches $470 Million Joint State-Federal Settlement with HSBC to Address
Mortgage Loan Origination, Servicing and Foreclosure Abuses." The United States Department
of Justice. February 05, 2016. Accessed April 14, 2018.
https://www.justice.gov/opa/pr/justice-department-reaches-470-million-joint-state-federal-
settlement-hsbc-address-mortgage

"The settlement reflects a continuation of enforcement actions by the department and its federal
and state enforcement partners to hold financial institutions accountable for abusive
mortgage practices. The settlement parallels the $25 billion National Mortgage Settlement
(NMS) reached in February 2012 between the federal government, 49 state attorneys general
 and the District of Columbia’s attorney general and the five largest national mortgage
servicers, as well as the $968 million settlement reached in June 2014 between those same
federal and state partners and SunTrust Mortgage Inc. This settlement with HSBC is the
result of negotiations that, as has been reported in HSBC Holdings plc’s Annual Report and
Accounts, began following the announcement of the NMS."

14. Delery, Stuart F., Assoc. Attny. Gen., and Benjamin Mizer, Principal Dep. Assoc. Attny.
Gen.. "Goldman Sachs Agrees to Pay More than $5 Billion in Connection with Its Sale of
Residential Mortgage Backed Securities." The United States Department of Justice. April 11,
2016. Accessed April 14, 2018.
https://www.justice.gov/opa/pr/goldman-sachs-agrees-pay-more-5-billion-connection-its-sale-
residential-mortgage-backed

'The Justice Department, along with federal and state partners, announced today a $5.06 billion
settlement with Goldman Sachs related to Goldman’s conduct in the packaging,
securitization, marketing, sale and issuance of residential mortgage-backed securities
(RMBS) between 2005 and 2007. “Today’s settlement is another example of the department’s
resolve to hold accountable those whose illegal conduct resulted in the financial crisis of
2008,” said Principal Deputy Assistant Attorney General Benjamin C. Mizer, head of the
Justice Department’s Civil Division. “Viewed in conjunction with the previous multibillion-
dollar recoveries that the department has obtained for similar conduct, this settlement
demonstrates the pervasiveness of the banking industry’s fraudulent practices in selling
RMBS, and the power of the Financial Institutions Reform, Recovery and Enforcement Act as
a tool for combatting this type of wrongdoing.”'
15. Kies, Ken. "Services." The Federal Policy Group. Clark. Consulting. Accessed April 14,
2018.
http://www.fpgdc.com/services.html

"Tax Legislative Counseling and Advocacy: With experience, the respect of staff and lawmakers
and a proven ability to achieve client goals, the Federal Policy Group is the nation’s leading
tax legislative counseling firm. FPG directors have decades of experience both in private
practice and on the Hill. Our representation involves close interaction with Members of
Congress, key congressional staff, officials at the White House, Treasury Department and
other relevant Administration agencies. We develop and implement strategies to pursue
legislative changes and anticipate and respond to proposed legislative initiatives. Federal
Policy Group directors testify before Congress, the Department of Treasury, the Department
of Labor and other venues on behalf of our clients, raising their visibility while providing a
direct line of contact to policymakers.
Tax Regulatory: In-depth knowledge and technical expertise help the Federal Policy Group
shape administrative regulations and rulings on clients’ behalf. Recent successes include IRS
guidance promulgated in 2007 overturning an IRS position adversely affecting insurers that
own life insurance, IRS guidance clarifying the tax treatment of international shipping
income, and the initiation of an IRS project providing industry-favorable guidance permitting
modifications of commercial mortgages held by REMICs."
16. Securities and Exchange Commission. Letter to: Commission File No. S7-13-09. From: N.
Sean Harrison, Special Counsel, Office of Rulemaking, Division of Corporation Finance
(November 12, 2009). Retrieved February, 2016, from:
https://www.sec.gov/edgar/searchedgar/companysearch.html
Keyword: Clark & Wamberg

“Re: Proxy Disclosures and Solicitation Enhancements, Release Nos. 33-9052, 34-60280.
On November 9, 2009, members of the Division of Corporation Finance met with Messrs.
Kenneth J. Kies, of the Federal Policy Group; David Swinford, of Pearl Meyer & Partners;
and Tom Wamberg, of Clark and Wamberg LLC, to discuss matters raised in the comment
letter submitted by Pearl Meyer & Partners on the Commission's proposed rule amendments
to require disclosure of fees and potential conflicts of interest of compensation consultants."

*** See addendum***

17. "Lobbying Spending Database - Federal Policy Group, Firm Bills 2006."
OpenSecrets. Center for Responsive Politics. Accessed April 14, 2018.
https://www.opensecrets.org/lobby/firmbills.php?id=D000022808&year=2006
https://www.opensecrets.org/lobby/billsum.php?id=hr1010-109
https://www.opensecrets.org/lobby/billsum.php?id=s580-109
H.R. 1010, 109, Mortgage Bankers Assn of America, “To amend the Internal Revenue
Code of 1986 to allow certain modifications to be made to qualified mortgages held by a
REMIC or a grantor trust.”
S.580, 109, Mortgage Bankers Assn of America, “A bill to amend the Internal Revenue
Code of 1986 to allow certain modifications to be made to qualified mortgages held by a
REMIC or a grantor trust.”

18. Borden, Bradley T., and David J. Reiss. "Dirt Lawyers and Dirty REMICs." Probate &
Property Magazine27, no. No. 3 (May/June 2013). Accessed February 26, 2016.
https://www.americanbar.org/publications/probate_property_magazine_2012/2013/may_june_20
13/article_borden_reiss_dirt_lawyers_and_dirty_remics.html

"This article describes some of the practices with regard to the establishment of Real Estate
Mortgage Investment Conduits that invest in mortgage-backed securities, lists possible
consequences of those practices, and argues that lawyers have a duty to speak up for better
policies and practices to prevent a reoccurrence of such adverse consequences. The day-to-
day practice of real estate law typically does not touch on the intricacies of the securitization
of mortgages, let alone the tax laws that apply to mortgage-backed securities. And that is
okay. What is not okay is that when structuring mortgaged-backed securities, securitization
professionals did not account for the day-to-day practices of lawyers as they relate to the
transfer and assignment of mortgage notes and mortgages. This disregard may result in
severe consequences for investors, underwriters, and securitization professionals."
19. Sanders, William J., and John F. Crawford. "Major Changes to REMIC Rules Relating to
Modifications to Loans Secured by Commercial Property - A Mixed Bag." Real Estate Finance,
December 2009, pp. 19. University of Illinois – Chicago Daley Library.

"The Department of the Treasury recently issued important new rules addressing the types of
modifications that may be made to loans held by Real Estate Mortgage Investment Conduits
(REMICs). First, the Treasury released final REMIC regulations that could significantly
change the types of modifications permitted to be made to loans held by a REMIC. Second,
the Treasury issued Revenue Procedure 2009-45, which clarifies the servicer's analysis when
allowing for certain modifications, relying on the "reasonably foreseeable default" exception
contained in the REMIC Regulations. Although these changes could be important to both
services and borrowers, because, standing alone, they would now allow modifications to
loans that previously have been prohibited, they may be circumvented in many cases by the
Pooling and Servicing Agreement (the PSA). Additionally, these changes also may have
unintended consequences of prohibiting certain lien releases that were allowed under the
previous REMIC rules."

20. "Internal Revenue Bulletin: 2009-45." Internal Revenue Service. October 05, 2009. Accessed
April 14, 2018. https://www.irs.gov/irb/2009-40_IRB#RP-2009-45

Rev. Proc. 2009-45 SECTION 1. PURPOSE This revenue procedure describes the conditions
under which modifications to certain mortgage loans will not cause the Internal Revenue
Service (Service) to challenge the tax status of certain securitization vehicles that hold the
loans or to assert that those modifications give rise to prohibited transactions. No inference
should be drawn about whether similar consequences would obtain if a transaction falls
outside the limited scope of this revenue procedure. Furthermore, there should be no
inference that, in the absence of this revenue procedure, transactions within its scope would
have impaired the tax status of securitization vehicles or would have given rise to prohibited
transactions.
SECTION 2. BACKGROUND—COMMERCIAL MORTGAGE LOANS .01 Under the terms of
many commercial mortgage loans, all or a large portion of the original stated principal is
due at maturity. Typically, at the time of loan origination, both the borrower and the lender
expected the borrower to obtain funds to satisfy the large payment at maturity by obtaining a
new mortgage loan secured by the same underlying interest in real property. .03 Many
commercial mortgage loans are held in securitization vehicles such as investment trusts and
real estate mortgage investment conduits (REMICS). Typically, these pools of loans are
administered by servicers that handle the day-to-day operations of the mortgage loan pools
and by special servicers that handle the modification and restructuring of defaulted loans, as
well as foreclosure or similar conversion of defaulted mortgage loan property.
SECTION 3. BACKGROUND—REMICS .01 REMICs are widely used securitization vehicles for
mortgages. REMICs are governed by sections 860A through 860G of the Internal Revenue
Code.”

21. "Enron Accounting Scandal." CNNMoney. Accessed April 14, 2018.

http://money.cnn.com/gallery/news/2015/10/14/biggest-corporate-scandals/3.html
"Energy giant Enron collapsed in 2001, in what was then the biggest bankruptcy filing in U.S.
history. The company was brought down by a spectacular accounting fraud scheme,
masterminded by its executives. Thousands of employees saw their pension funds vanish
almost overnight, and the company's stock crashed from $90.75 to $0.67."

22. Bumiller, Elisabeth. "CORPORATE CONDUCT: THE PRESIDENT; Bush Signs Bill
Aimed at Fraud In Corporations." The New York Times. July 31, 2002. Accessed April 14,
2018. https://www.nytimes.com/2002/07/31/business/corporate-conduct-the-president-bush-
signs-bill-aimed-at-fraud-in-corporations.html

"The bill, an extensive overhaul of corporate fraud, securities and accounting laws, creates a
regulatory board with investigative and enforcement powers to oversee the accounting
industry and punish corrupt auditors. It also establishes new standards for prosecuting
wrongdoing and gives corporate whistle-blowers broad new protections. Executives who
deliberately defrauded investors would face long prison terms."

23. US Securities and Exchange Commission. "Sarbanes-Oxley Act of 2002." Final Rule:
Certification of Disclosure in Companies' Quarterly and Annual Reports. July 2002. Accessed
April 14, 2018. https://www.sec.gov/rules/final/33-8124.htm

"As directed by Section 302(a) of the Sarbanes-Oxley Act of 2002, we are adopting rules to
require an issuer's principal executive and financial officers each to certify the financial and
other information contained in the issuer's quarterly and annual reports. The rules also
require these officers to certify that: they are responsible for establishing, maintaining and
regularly evaluating the effectiveness of the issuer's internal controls; they have made certain
disclosures to the issuer's auditors and the audit committee of the board of directors about
the issuer's internal controls; and they have included information in the issuer's quarterly
and annual reports about their evaluation and whether there have been significant changes
in the issuer's internal controls or in other factors that could significantly affect internal
controls subsequent to the evaluation. In addition, we are adopting previously proposed rules
to require issuers to maintain, and regularly evaluate the effectiveness of, disclosure controls
and procedures designed to ensure that the information required in reports filed under the
Securities Exchange Act of 1934 is recorded, processed, summarized and reported on a
timely basis."

24. Norris, Floyd. "Goodbye to the Accounting Reforms of 2002." The New York Times.
November 05, 2009. Accessed April 14, 2018.
https://www.nytimes.com/2009/11/06/business/06norris.html

"It took just five weeks after the WorldCom accounting scandal erupted in 2002 for Congress to
pass, and President George W. Bush to sign, the Sarbanes-Oxley Act. That law required
public companies to make sure their internal controls against fraud were not full of holes.
Sarbanes-Oxley was passed, almost unanimously, by a Republican-controlled House and a
Democratic-controlled Senate. Now a Democratic Congress is gutting it with the apparent
approval of the Obama administration. The House Financial Services Committee this week
approved an amendment to the Investor Protection Act of 2009 — a name George Orwell
 would appreciate — to allow most companies to never comply with the law, and mandating a
study to see whether it would be a good idea to exempt additional ones as well."

25. The United States Senate. "Filings Search, Specific Lobbying Issue." Query the Lobbying
Disclosure Act Database. Accessed April 14, 2018.
https://soprweb.senate.gov/index.cfm?event=selectFields&reset=1

Keyword: Investor Protection Act of 2009.

Search Yields 458 Registrants, including Clark partners Akin Gump Strauss Hauer & Feld,
American Bankers Association, American Council of Life Insurers, BakerHostetler, General
Electric, HSBC, Mortgage Bankers Association, PriceWaterhouseCooper, and Goldman
Sachs Group

26. Lessig, Lawrence. Republic, Lost: How Money Corrupts Congress - and A Plan to Stop It.
New York: Twelve, Hachette Book Group, 2012. ISBN 978-0-446-57644-4.

"It was clear to most that the economy as a whole had this promise from the Federal Reserve.
This was the "Greenspan put," which referred to the policy by the Federal Reserve to
intervene to counteract a collapse in the market." A 'one-sided intervention policy on the part
of the Federal Reserve,' as Marcus Miller and his colleagues put it, led 'investors into the
erroneous belief that they [were] insured against downside risk.' (p.79)
"...an industry of such wealth and power would exert pressure on policy makers and regulators.
From 1999 to 2008, the financial sector expanded $2.7 billion in reported federal lobbying
expenses..." (p. 83)
"The report was criticized by many in the industry. As one industry representative told The
Washington Post, "I have a tough time conceiving of any event that would make derivatives
the culprit of something that really crashed the system." (p. 84)

27. Colbert, Stephen, Rich Dahm, Paul Dinello, and Andrew Matheson. America Again: Re-
Becoming the Greatness We Never Werent. New York: Grand Central Publishing, 2014.

“a sophisticated maneuver known as ‘short selling’ or ‘shorting,’ for short. I’ll try my best to
explain it, but you’ll have to wade through some esoteric and complicated financial jargon.
[A trader] uses money to place a bet that something’s price will go down… Short selling
allows Hedge Funds to rack up huge gains even while the rest of the economy collapses
around them, thus insulating [the] super-rich from cataclysmic market swings that someone
always seems to be causing.”

28. "Clark Consulting Receives ABA's Exclusive Endorsement as Provider of Bank-Owned Life
Insurance and Executive and Director Benefits Consulting." Clark Consulting Receives ABA's
Exclusive Endorsement as Provider of Bank-Owned Life Insurance and Executive and Director
Benefits Consulting | Business Wire. September 22, 2008. Accessed April 14, 2018.
https://www.businesswire.com/news/home/20080922006155/en/Clark-Consulting-Receives-
ABAs-Exclusive-Endorsement-Provider
"The ABA’s endorsement is awarded by the Corporation for American Banking (CAB), a
subsidiary of the ABA, for products and services that help banks improve profitability,
operate more efficiently and compete more effectively. Endorsed services are only selected by
CAB following a rigorous product evaluation and vendor due-diligence process. To earn the
endorsement, companies must meet stringent quality standards, fulfill industry needs, and
satisfy certain other key criteria, such as ability to meet the long term needs and of financial
institutions, customer service, financial soundness and management strength. Clark
Consulting has held the ABA’s exclusive endorsement as a preferred provider of BOLI and
executive and director benefits consulting services since 1990. However, CAB periodically
conducts a new due diligence and product evaluation process in order to ensure that the ABA
endorsement is held by a top service provider."

29. Mother Jones. "9 Wall Street Execs Who Cashed In on the Crisis." Mother Jones. June 27,
2017. Accessed April 14, 2018. https://www.motherjones.com/politics/2010/01/wall-street-
bailout-executive-compensation/

"After Goldman Sachs, JPMorgan Chase, and Morgan Stanley announced hefty profits last fall,
the Obama administration’s pay czar said that he’d cap pay at Citigroup, Bank of America,
and five other bailed-out companies. The move was largely symbolic: It capped salaries for
only 25 executives, kept big stock bonuses in place, and did nothing to address the culture of
rewarding folks who sowed our economic destruction."

30. Sorkin, Andrew Ross, Jenny Anderson, and Eric Dash. "Lehman Files for Bankruptcy;
Merrill Is Sold." The New York Times. September 14, 2008. Accessed April 14, 2018.
https://www.nytimes.com/2008/09/15/business/15lehman.html

"Early Monday morning, Lehman said it would file for Chapter 11 bankruptcy protection in New
York for its holding company in what would be the largest failure of an investment bank since
the collapse of Drexel Burnham Lambert 18 years ago, the Associated Press reported.
Questions remain about how the market will react Monday, particularly to Lehman’s plan to
wind down its trading operations, and whether other companies, like A.I.G. and Washington
Mutual, the nation’s largest savings and loan, might falter. Indeed, in a move that echoed
Wall Street’s rescue of a big hedge fund a decade ago this week, 10 major banks agreed to
create an emergency fund of $70 billion to $100 billion that financial institutions can use to
protect themselves from the fallout of Lehman’s failure."

31. Berman, Karen, and Joe Knight. "Lehman's Three Big Mistakes." Harvard Business Review.
July 23, 2014. Accessed April 14, 2018. https://hbr.org/2009/09/lessons-from-lehman

"Lehman Brothers was overleveraged. They borrowed money in order to invest in mortgage-
backed securities (MBS) (as well as a variety of other investments). In the case of the MBSs,
when it was revealed that the assets used as collateral for those mortgage-backed securities
were worth a lot less than they thought, the MBSs became worthless and Lehman Brothers’
spread went from positive to negative. In balance sheet terms, they started with a balance
sheet in which they owned more than they owed. They ended up with a balance sheet in which
they owed more than they owned. That’s never good, and Lehman Brothers went bankrupt.
 Taken together, the bias to use high levels of financial leverage to increase returns, combined
with risky debt-to-equity ratios and upside-only bonuses, was a recipe for disaster. In
hindsight, it’s easy to see how this happened. The Wall Street banks were designed in
multiple ways to take risk. Somehow, the system needs to match the risk with the potential
rewards."

32. US Securities and Exchange Commission. Pearl Meyer & Partners. (SEC filing containing
Presentation on Compensation Provisioning Best-Practices Delivered to National Association of
Corporate Directors). Retrieved February, 2016, from:
https://www.sec.gov/edgar/searchedgar/companysearch.html

“A Framework for Assessing Risk: A knowledge of the business strategy should be the
starting point for the assessment… Risk Assessment: Risk Time Horizon, Management
Profile, Corporate Governance, Shareholder Alignment, Upside/ Downside Leverage,
Positioning v. Market, Mix of Pay Elements, Balance of Performance Metrics.
Compensation Plans: Changes to Compensation plans may result from the Risk
Assessment.” (p.10)
Risk Matrix—Linking Business Risks with Compensation Programs (p.13)
‘Low Risk’ and ‘High Risk’ are not necessarily good and bad. High Risk Compensation
Strategies: Investment Banking Industry. Salary is less than 10% of total compensation.
Heavy reliance on annual performance measures, even if a portion is paid in deferred
shares. Uncapped upside opportunity. Multi-year guarantees as part of recruitment. (p.
14)
Acceptable Risk-Reward Relationships: … ‘May Be Questionable’ [strategies include those
where] Small variations in performance result in large variations in pay. Heavily lopsided
reward opportunity, e.g., uncapped upside or guaranteed minimum payouts. (p.15)
However, beware that mitigating risk could dampen the pay-for-performance linkage.
(p.19)”
*** See addendum***

33. Weber, Lara, and Drew Sottardi. "Get the Facts on Your Boss: RedEye Edition." Chicago
Tribune (Chicago, IL), July 31, 2003, RedEye sec. Accessed March 18, 2016 via ProQuest.
University of Illinois at Chicago Daley Library.

"But in these times of corporate scandal and surging executive pay, companies may need to
seriously evaluate how the top boss is compensated. That package can send a powerful
message to workers, said Tom Wamberg of Clark Consulting, a compensation consulting
firm. "The right pay packages with incentives can mobilize a workforce," he said. "The wrong
compensation has the power to destroy, as we have seen in the past few years with egregious
packages."

34. Goldenberg, Ilan, Joanne Kenen, Jack Shafer, and William Pesek. "Bush Signs Bank Bailout,
Oct. 3, 2008." POLITICO. October 03, 2013. Accessed April 14, 2018.
https://www.politico.com/story/2013/10/bush-signs-tarp-legislation-oct-3-2008-097742
"On this day in 2008, President George W. Bush signed legislation that allowed the U.S.
Treasury to put its proposed Troubled Asset Relief Program into effect. Treasury Secretary
Hank Paulson told Congress its implementation was required to stem a worldwide economic
collapse. Bush acted within hours of its passage by the House.
Paulson initially wanted the government to buy toxic assets held by insolvent banks and then
auction them off to private investors or companies. But he abandoned that approach on the
advice of Gordon Brown, the British prime minister, who came to the White House for an
international summit on the global credit crisis.
Formally called the Emergency Economic Stabilization Act, the measure bailed out banks in the
wake of the subprime mortgage debacle. It authorized the Treasury to spend as much as $700
billion in taxpayer funds to buy mortgage-backed securities and other distressed assets as a
means of restoring confidence in badly shaken credit markets. Initially, a coalition of
conservative free-market Republicans and liberal anti-Wall Street Democrats greeted
Paulson’s proposal with skepticism. On Sept. 29, the House unexpectedly rejected the plan by
a vote of 205-228, shaking the financial markets. Four days later, after some minor changes,
the House voted 263–171 to pass the bill into law."

35. Know, Need To. "The True Cost of the Bank Bailout." PBS. September 3, 2010. Accessed
April 14, 2018. http://www.pbs.org/wnet/need-to-know/economy/the-true-cost-of-the-bank-
bailout/3309/

"We all know about TARP, the Troubled Asset Relief Program, which spent $700 billion in
taxpayers’ money to bail out banks after the financial crisis. That money was scrutinized by
Congress and the media. But it turns out that that $700 billion is just a small part of a much
larger pool of money that has gone into propping up our nation’s financial system. And most
of that taxpayer money hasn’t had much public scrutiny at all. According to a team at
Bloomberg News, at one point last year the U.S. had lent, spent or guaranteed as much as
$12.8 trillion to rescue the economy. The Bloomberg reporters have been following that
money. Alison Stewart spoke with one, Bob Ivry, to talk about the true cost to the taxpayer of
the Wall Street bailout."

36. Wray, L. Randall. "Bernanke's Obfuscation Continues: The Fed's $29 Trillion Bail-Out Of
Wall Street." The Huffington Post. February 13, 2012. Accessed April 14, 2018.
https://www.huffingtonpost.com/l-randall-wray/bernankes-obfuscation-con_b_1147291.html

"And that is precisely what Nicola Matthews and James Felkerson have done. They are PhD
students at the University of Missouri-Kansas City, working on a Ford Foundation grant
under my direction, titled “A Research And Policy Dialogue Project On Improving
Governance Of The Government Safety Net In Financial Crisis.” To my knowledge it is the
most complete and accurate accounting of the Fed’s bail-out. Their results will be reported
in a series of Working Papers at the Levy Economics Institute (www.levy.org). The first one is
titled “$29,000,000,000: A Detailed Look at the Fed’s Bail-out by Funding Facility and
Recipient.” Here’s the shocker. The Fed’s bail-out was not $1.2 trillion, $7.77 trillion, $16
trillion, or even $24 trillion. It was $29 trillion. That is, of course, the cumulative total. But
even the peak outstanding numbers are bigger than previously reported."
37. Reyes, Jessica Masulli, and Saranac Hale Spencer. "Wilmington Trust Criminally Charged."
Delawareonline. January 07, 2016. Accessed April 14, 2018.
https://www.delawareonline.com/story/news/local/2016/01/06/defunct-wilmington-trust-
criminally-charged/78382480/

“Charge is tied to bank's role in 2008 financial meltdown. A federal grand jury has criminally
charged Wilmington Trust Corp., an unusual move that marks the first time a bank that
received federal bailout money has been indicted. M&T Bank could be on the hook for any
obligations because it assumed Wilmington Trust's assets and liabilities when it purchased
the bank at a steep discount in 2011. The grand jury returned a second superseding
indictment Wednesday that added Wilmington Trust as a defendant to the indictment already
pending against former senior bank executives David Gibson, Robert V.A. Harra, William
North and Kevyn Rakowski.
"I did not make the decision lightly to seek charges against the Wilmington Trust Corp.," United
States Attorney Charles M. Oberly III said in a statement released Wednesday evening.
"Ultimately, I have determined that bringing the second superseding indictment is necessary
to achieve justice and attempt to make whole those members of our community who suffered
significant financial harm as a result of the alleged criminal conduct perpetrated by
Wilmington Trust Corporation and its multiple senior bank officers."
It is unusual for executives to be criminally charged and equally unusual for a bank or a
corporation to be criminally charged, said University of Delaware business professor
Charles Elson, who spoke generally about the issue. If the case stems from a company
cheating shareholders out of money, as this one does, and the end result of the lawsuit is a
monetary penalty, it would be a "double whammy" for shareholders, Elson said, because
they're ultimately the ones who would pay for it.
"Wilmington Trust Corp. had an obligation, to its shareholders and to the public, to accurately
report the important financial metrics which enable investors to make informed decisions,"
Oberly said in the statement. "Difficult financial times may present significant business
challenges, but they do not excuse anyone or any entity from complying with the law."
Wilmington Trust received $330 million in TARP funds, Oberly said, referring to one of the
federal government's first efforts to ease the subprime mortgage crisis of 2008 – the Troubled
Asset Relief Program. Wilmington Trust is the first TARP recipient to be indicted, according
to Oberly.
The 107-year-old bank founded by du Pont family members was brought to its knees in 2010 with
the real estate crash in Kent and Sussex counties. The bank had made a big bet on
development in southern Delaware during the last decade and became a major commercial
lender.”

38. "Statement of United States Attorney Charles M. Oberly, III, Regarding Indictment of
Wilmington Trust Corporation." The United States Department of Justice. January 06, 2016.
Accessed April 14, 2018. https://www.justice.gov/usao-de/pr/statement-united-states-attorney-
charles-m-oberly-iii-regarding-indictment-wilmington

"WILMINGTON, Del. – Today, a federal grand jury returned a Second Superseding Indictment
adding the Wilmington Trust Corporation as a defendant to the indictment already pending
 against four former senior bank executives, David Gibson, Robert V.A. Harra, William
North, and Kevyn Rakowski, for their respective roles in concealing from the Federal
Reserve, the Securities and Exchange Commission (SEC) and the investing public the total
quantity of past due loans on Wilmington Trust’s books from October 2009 through
November 2010. The Nineteen-Count Second Superseding Indictment (15-23-RGA) charges
defendants with making false statements in securities filings and to agencies of the United
States government.
Wilmington Trust was required to report in its quarterly filings with both the SEC and the
Federal Reserve the quantity of its loans for which payment was past due for 90 days or
more. Investors and banking regulators consider the amount of past due loans at a bank as
an important metric in evaluating the health of a bank’s loan portfolio. According to the
Second Superseding Indictment, Wilmington Trust, through the actions of the charged senior
executives, concealed the truth about the health of its loan portfolio from the SEC, the
investing public and from Wilmington Trust’s regulators. During the course of the alleged
conspiracy, in February 2010, Wilmington Trust raised approximately $273.9 million
through a public stock offering.
I am grateful to the Federal Bureau of Investigation, the Special Inspector General for the
Troubled Asset Relief Program, the Internal Revenue Service’s Criminal Investigative
Division, the Office of Inspector General for the Board of Governors of the Federal Reserve
System and the Consumer Financial Protection Bureau for their diligent and thorough
investigation of these matters, as well as to the staff of the United States Attorney’s Office for
their hard work and commitment to achieving justice."

39. "Former Executives of Wilmington Trust Indicted for Conspiracy and False Statements." The
United States Department of Justice. August 05, 2015. Accessed April 14, 2018.
https://www.justice.gov/usao-de/pr/former-executives-wilmington-trust-indicted-conspiracy-and-
false-statements

"WILMINGTON, Del. – Robert V.A. Harra, age 66, of Wilmington, David Gibson, age 58, of
Wilmington, William North, age 55 of Bryn Mawr, Pennsylvania, and Kevyn Rakowski, age
61, of Lakewood Ranch, Florida, were indicted today for their respective roles in concealing
from the Federal Reserve, the Securities and Exchange Commission (SEC) and the investing
public the total quantity of past due loans on Wilmington Trust’s books from October 2009
until November 2010. The Nineteen-Count Superseding Indictment charges defendants with
making false statements in securities filings and to agencies of the United States government.
All defendants are charged with conspiracy to defraud the United States, to commit fraud in
connection with the purchase and sale of securities, and making false statements to
regulators (18 U.S.C. § 371). All defendants are charged with one count of false statements
in connection with the purchase or sale of securities (18 U.S.C. § 1348), four counts of
making false entries in banking records (18 U.S.C. § 1005), seven counts of making false
statements to agencies of the United States government (18 U.S.C. § 1001), and two counts of
making false statements in SEC reports (15 U.S.C. §§ 78m(a) and 78ff). Harra and Gibson
are also charged with two additional counts of making false statements in SEC reports and
Gibson is charged with three counts of falsely certifying financial reports (18 U.S.C. § 1348).
North and Rakowski were previously charged with two counts of making false statements to
an agency of the United States, relating to the concealment from the market and the Federal
 Reserve the total quantity of past due loans on the bank’s books during the months of October
and November 2009."

40. "Division of Corporations Entity Lookup." Division of Corporations - Filing. Accessed Feb.
24th, 2016. https://icis.corp.delaware.gov/ecorp/entitysearch/namesearch.aspx

File Number: 3657333, Entity Name: Clark/Bardes Capital Trust I

File Number: 3735312, Entity Name: Clark Consulting Capital Trust II
File Number: 3804689, Entity Name: Clark Consulting Capital Trust III
Wilmington Trust Company
Rodney Square North
1100 N. Market Street
Wilmington, DE 19890

41. "BrokerCheck - Find a Broker, Investment or Financial Advisor." Wilmington Brokerage

Services Company. Accessed March 5, 2016. https://brokercheck.finra.org/

Wilmington Brokerage Services Company

CRD# 14942; SEC# 8-31441; Report #97396-79102
Main Office Location:
1100 North Market St
Wilmington, DE 19890-0001

42. Chase, Randall. "Wilmington Trust Reaches $60M Settlement with Prosecutors." AP News.
October 10, 2017. Accessed April 14, 2018.
https://www.apnews.com/b2c70760e7104cd69af60a8f67cdfc76

“Wilmington Trust, a century-old institution founded by members of the DuPont family, was
hastily sold in 2011 to M&T Bank at a steep discount as it teetered on the edge of collapse.
The bank imploded despite receiving $330 million from the federal government’s Troubled Asset
Relief Program. Prosecutors accused Wilmington Trust, through its senior executives, of
concealing the truth about the bank’s deteriorating commercial real estate loan portfolio
from bank regulators, investors and the Securities and Exchange Commission.”

43. Global Market Intelligence, S&P. "Company Overview of WT Mutual Fund - Wilmington
Multi-Manager International Fund." Bloomberg.com. Accessed April 14, 2018.
https://www.bloomberg.com/research/stocks/private/snapshot.asp?privcapId=28126314

"Company Overview: As of March 12, 2012 the fund has been acquired by Wilmington Funds -
Wilmington Multi-Manager International Fund. WT Investment Trust I - International Multi-
Manager Series is an open ended equity mutual fund launched by Rodney Square
Management Corporation. The fund is managed by Goldman Sachs Asset Management, L.P.
It invests in public equity markets across the globe. The fund seeks to invest in stocks of
companies operating across diversified sectors. It benchmarks the performance of its
portfolio against the MSCI EAFE Index. WT Investment Trust I - International Multi-
Manager Series was formed on November 1, 2000 and is domiciled in the United States."
44. U.S. Securities and Exchange Commission. Wilmington Trust Corporation. (2007 Annual
10-K Report, pp. 31). Retrieved February, 2016, from:
https://www.sec.gov/Archives/edgar/data/872821/000089322008000585/w47647exv13.htm

"Affiliate Money Managers: ...We affiliated with CRM and RCM in 1998 to gain expertise in
stylized investment management, and to help us establish offices in New York and southern
California. We subsequently adopted an open-architecture approach to investment
management that uses a variety of independent, third party money managers."

45. U.S. Securities and Exchange Commission. Wilmington Trust Corporation. (2010 Annual
10-K Report, pp. 104). Retrieved February, 2016, from:
https://www.sec.gov/Archives/edgar/data/872821/000095012311020427/w80859e10vk.htm

“Legal Entities and Subidiaries: We provide our services through various legal entities and
subsidiaries that we own wholly or in part. Our primary wholly owned subsidiary is
Wilmington Trust Company, a Delaware-chartered bank and trust company formed in 1903.
We have 48 branch offices and one trust office in Delaware. Our other wholly owned
depository institution is Wilmington Trust FSB, through which we conduct business in the
United States outside of Delaware. Wilmington Trust FSB is a federally chartered savings
bank with offices in California, Florida, Georgia, Maryland, Massachusetts, Michigan,
Minnesota, Nevada, New Jersey, New York and Pennsylvania.
We own three registered investment advisors. These include: Rodney Square Management
Corporation, which oversees the Wilmington family of mutual funds. Wilmington Trust
Investment Management, LLC (WTIM), which sets our investment and allocation policies,
provides economic forecasts and analyses, manages portfolios, and selects independent asset
managers we use in our investment services. Wilmington Brokerage Services company, which
is also a licensed broker-dealer.
We own four investment holding companies: WT Investments, Inc. (WTI) which holds interests in
five asset management firms: our two affiliate money managers, Cramer Rosenthal McGlynn,
LLC (CRM) and Roxbury Capital Management, LLC (RCM); Camden Partners Holdings,
LLC and Camden Partners Private Equity Advisors, LLC; and Grant Tani Barash & Altman,
LLC. Wilmington Trust (UK) Limited, through which we conduct business outside the United
States through Wilmington Trust SP Services (London) Limited and its subsidiaries. WTC
Camden, Inc., which holds our interest in Camden Partners Equity Managers I, LLC.
Wilmington Trust CI Holdings Limited, which owns Wilmington Trust Corporate Services
(Cayman) Limited and its subsidiaries.
In addition to the locations already noted, we and our affiliates have offices in Arizona,
Connecticut, South Carolina, Vermont, the Cayman Islands, the Channel Islands, Amsterdam
(The Netherlands), Dublin (Ireland), London (England), Frankfurt am Main (Germany), and
Luxembourg.” (p.31)

46. Jacobo, Julia. "A Look at the Russian Compounds Nestled in New York Suburb and Small
Maryland Town." ABC News. July 18, 2017. Accessed April 14, 2018.
http://abcnews.go.com/US/russian-compounds-nestled-york-washington-dc-
suburbs/story?id=44457023
"Pioneer Point was the estate of former DuPont and General Motors executive John J. Raskob,
according to the Hagley Museum and Library. Raskob is best known for building the Empire
State Building. In 1972, the Soviet government paid $1.2 million -- in cash -- for two Raskob
mansions to be used as a vacation spot for diplomats, The New York Times reported."

47. Windrem, Robert, Tom Winter, Kenzi Abou-Sabe, and William A. Arkin. "The Spy next
Door: What Went on in Those Mysterious Russian Compounds?" NBCNews.com. December 30,
2016. Accessed April 14, 2018. https://www.nbcnews.com/news/us-news/spy-next-door-what-
went-russia-s-shuttered-u-s-n701581

"The Centreville compound consists of a three-story mansion and ten Russian-style "dachas" on
the Chester River on Maryland’s Eastern Shore. The mansion is a monument to American
capitalism — it was built by Jacob Raskob, a financial advisor to the duPont family and the
builder of the Empire State Building. Raskob chose the location because of its spectacular
views. Those same views, from an electronic viewpoint, were ideal for the Russians,
according to U.S. intelligence officials and a high-ranking Soviet defector who told his tale to
the FBI and NSA."

48. Parra, Esteban. "U.S. Attorney Charles M. Oberly III Asked to Resign." Delawareonline.
March 12, 2017. Accessed April 14, 2018.
https://www.delawareonline.com/story/news/local/2017/03/11/us-attorney-delaware-charles-
oberly-asked-resign/99051952/

"U.S. Attorney Charles M. Oberly III will clean out his desk Monday morning, as ordered by
Attorney General Jeff Sessions.
"I just want to praise the staff. The staff has been great," said Oberly, who answered the door of
his Brandywine Hunt home in pajama pants and an undershirt. "The thing I'll probably miss
the most is I might not be there for the culmination of the Wilmington Trust case, which has
been there since I started in the office."
Oberly was one of the 46 U.S. attorneys appointed by former President Barack Obama who were
asked by Sessions to submit their resignations as the new administration moves to "ensure a
uniform transition." Oberly said the email telling him to resign immediately landed in his
inbox about 9 p.m. Friday.”

49. "Statement of Acting United States Attorney David C. Weiss on the Wilmington Trust
Corporation Settlement." The United States Department of Justice. October 10, 2017. Accessed
April 14, 2018. https://www.justice.gov/usao-de/pr/statement-acting-united-states-attorney-
david-c-weiss-wilmington-trust-corporation

"Wilmington Trust Company (WT) has been a fixture in this community for more than 100 years.
This is why the bank’s decline and the fire sale acquisition by M&T Bank was such a
significant development in this community; and why this office has invested substantial time,
energy and resources in the investigation and prosecution of this case. The United States
Attorney’s Office fort the District of Delaware has reached a resolution with WT. The key
terms, from our perspective, are as follows: WT admits that it agreed to submit Monthly
 Regulatory Reports to the Federal Reserve between October 2009 and July; Those reports
included past due loan information. The past due loan numbers submitted to the Federal
Reserve did not include past due loans that WT chose to “waive.”
We say that those monthly reports were false. These facts and those set forth in the Civil
Forfeiture Complaint filed earlier today, provide a basis to forfeit the proceeds of this
unlawful activity. As a result, WT and the USAO have agreed to a total settlement amount of
$60,000,000, which credits WT with its prior payment to the SEC in the amount of
$16,000,000, and requires an additional forfeiture payment of $44,000,000. Further, WT
agrees to cooperate with the USAO moving forward. In return, the USAO has agreed to
dismiss all criminal charges pending against WT, and the parties have agreed to exchange
mutual releases.
To function effectively, our financial markets require accurate disclosures—and regulators need
to receive accurate information. That didn’t happen here. We believe today’s resolution
accomplished three important objectives. First, we secured a substantial payment for victims
who sustained losses as a result of what transpired. Second, WT accepted responsibility for
its actions. And third, if possible, we wanted to avoid the collateral consequences of a
criminal conviction for the bank, which could have resulted in the loss of jobs and revenue
for our community."

50. "Sen. Jeff Sessions - Alabama Campaign Finance Disclosures (2006, 2008, 2010)."
OpenSecrets. Center for Responsive Politics. Accessed April 14, 2018.
https://www.opensecrets.org/members-of-
congress/contributors?cid=N00003062&cycle=2006&recs=100&type=I

https://www.opensecrets.org/members-of-
congress/contributors?cid=N00003062&cycle=2008&recs=100&type=I.

https://www.opensecrets.org/members-of-
congress/contributors?cid=N00003062&cycle=2010&recs=100&type=I

Contributors: DuPont Co. - 2006, 2008, 2010

51. United States Securities and Exchange Commission. Wilmington Trust Corporation. (2006
Annual 10-K Report, pp. 3).
https://www.sec.gov/Archives/edgar/data/872821/000089322007000535/w28749exv13.htm

"We elected two new directors in 2006: Thomas L. du Pont and Donald E. Foley. Tom and Don
add perspectives that complement the diverse expertise our directors possess. We welcome
them to our Board and we look forward to their leadership in the years to come. Tom du Pont
is chairman and publisher of duPont Publishing, Inc., which is based in St. Petersburg,
Florida. Tom’s company publishes six luxury lifestyle magazines, under the duPont
REGISTRY™ label, which specialize in topics of considerable interest to affluent individuals
and families. As one of two du Pont family members on our Board, Tom’s presence will
perpetuate a legacy that dates to 1903, when three du Pont cousins founded our company."
52. Parra, Esteban. "U.S. Attorney Charles M. Oberly III Asked to Resign." Delawareonline.
March 12, 2017. Accessed April 14, 2018.
https://www.delawareonline.com/story/news/local/2017/03/11/us-attorney-delaware-charles-
oberly-asked-resign/99051952/

"It's certainly customary for an incoming president to appoint new U.S. attorneys," said Brandon
Garrett, author of "Too Big to Jail: How Prosecutors Compromise with Corporations" and a
law professor at the University of Virginia School of Law. "Such appointments are, however,
a reminder of the need for independent investigations when ethical conflicts and even
potential crimes affect an administration."
What will happen under a more business-friendly administration is unknown, Garrett said. Last
year, federal prosecutors under Oberly were able to add Wilmington Trust as a defendant to
the criminal indictment already pending against four top-tier bank executives. Following the
January 2016 indictment, some said it could send a message that banks will no longer be
immune to criminal prosecution – and signal a prosecutorial push to hold financial
institutions accountable. Sessions' request came as a surprise to 70-year-old Oberly, who
learned of his termination when a friend called to offer his condolences. Oberly said he
accepts the decision, adding there are no guarantees when one is a political appointee."

53. Kopan, Tal. "Jeff Sessions: 'I'm Not Part of a Façade'." CNN. October 26, 2017. Accessed
April 14, 2018. https://www.cnn.com/2017/10/18/politics/jeff-sessions-senate-
testimony/index.html

"Attorney General Jeff Sessions on Wednesday faced tough questions from his former colleagues
on the Senate judiciary committee -- forcing him to once again repeatedly deny any improper
contacts with the Russian government during the presidential campaign. "My concern is you
were part of the Russian facade and went along with it," Vermont Democrat Sen. Patrick
Leahy said after a second round of tense questioning as the hearing stretched into the
afternoon. "I'm sorry, I've known you for years, and I'm sorry you would do that. "
Sessions denied the allegation and expressed dismay that his former committee chairman would
make it. "It did hurt me to hear you say I'm part of a façade, I'm not part of a façade,"
Sessions said.
Over the hours of his testimony, Sessions defended his integrity amid sharp questioning from
Democrats -- in particular Sen. Al Franken of Minnesota -- who grilled Sessions over
previous comments he made during his confirmation process where he said he had not had
been in contact with anyone connected to the Russian government during the presidential
campaign, a topic of keen interest amid the ongoing investigation into Russian meddling in
the US election. It was later revealed that Sessions met with then-Russian Ambassador to the
US Sergey Kislyak on multiple occasions."

54. Abramson, Jill. "The Business of Persuasion Thrives in Nation's Capital." The New York
Times. September 29, 1998. Accessed April 15, 2018.
https://www.nytimes.com/1998/09/29/us/the-business-of-persuasion-thrives-in-nation-s-
capital.html
"All last week, for example, while the klieg lights were shining on the House Judiciary
Committee's debate about the Starr report, swarms of tax lobbyists were crisscrossing the
hallways outside the House Ways and Means Committee, known as Gucci Gulch, in an effort
to preserve an array of business tax breaks in the House's $80 billion tax-cut package. The
influence industry was already on a growth curve in the 1980's, but that growth has exploded
in recent years with the advent of a divided Government.
A new cast of Republican Congressional committee and subcommittee chairmen as well as
Washington's increasing impact on highly regulated industries like financial services,
telecommunications and health care has meant that corporations and lobbying firms are
reaching much deeper into the bureaucracy in order to wield influence.
When Kenneth J. Kies left his Congressional staff position last winter for a million-dollar job
lobbying for PricewaterhouseCoopers, Congressional committee chairmen, senior Treasury
Department and White House officials turned out for a lavish farewell in the House Ways and
Means Committee room, a testament to his connectedness. The eye-popping salary package
commanded by Mr. Kies, a 46-year-old Republican tax lawyer who earned $132,000 as chief
of staff of the Joint Committee on Taxation, was fresh evidence of a culture of money that in
the 1990's has begun to transform Washington's image as a power city."

55. "Annual Tax and Budget Seminar." The Federal Policy Group. Clark Consulting. Accessed
April 15, 2018. http://www.fpgdc.com/annual-tax-and-budget-seminar.html.

27th Annual Legislative and U.S. Government Policy Seminar

Wednesday, May 11th, 2016
Hyatt Regency Capitol Hill,
Washington, DC

“Each year the Federal Policy Group, Baker & Hostetler LLP and The Yale Club of
Washington, D.C. cohost their Tax, Budget, and Legislative Policy Seminar. The one-day
seminar founded by Federal Policy Group Managing Director Kenneth J. Kies in 1990 has
become one of the premier, bipartisan events in Washington and features top Congressional
and Administration leaders outlining their policy and legislative agendas for the months
ahead."
Past speakers include: Roy Blunt, James Clyburn, John Boehner, Mike Castle, and Jon Kyl.

56. Rogin, Josh. "Inside the Link between the Russian Lawyer Who Met Donald Trump Jr. and
the Trump Dossier." The Washington Post. July 11, 2017. Accessed April 15, 2018.
https://www.washingtonpost.com/news/josh-rogin/wp/2017/07/11/inside-the-link-between-the-
russian-lawyer-who-met-donald-trump-jr-and-the-trump-dossier/

"“Repealing the Magnitsky Act was the single biggest priority of Vladimir Putin and she was
acting as the single most active proxy of the Russian government to achieve that objective in
Washington,” Browder said. “I’m sure that this was an attempt by the Russian government to
repeal sanctions that annoyed them by going to the possible next president of the United
States.”
Fusion GPS has said that it was working for the law firm BakerHostetler, which was
representing Prevezon, a Russian holding company based in Cyprus, in its defense against
 Justice Department allegations that Prevezon laundered money stolen in the fraud Magnitsky
uncovered. Veselnitskaya was Prevezon’s lawyer. Fusion GPS started working on the case in
2013 and the case settled in May with no admission of guilt by Prevezon.
As a subcontractor for BakerHostetler, Fusion GPS would not have been required to register
under FARA. Senators may want to know why BakerHostetler decided that it did not need to
register. Neither Veselnitskaya nor Mark Cymrot of BakerHostetler, who handled the
Prevezon case, responded to requests for comment.
Regardless, senators on the committee may now use the FARA hearing to press Justice
Department officials on what they know about Veselnitskaya, Prevezon, Fusion GPS and
their connections to both the Trump campaign or the Russian government. Prevezon is owned
by Russian businessman Denis Katsyv. His father, Pyotr Katsyv, was vice premier and
minister of transport of Moscow region from 2004 to 2012. Katsyv’s deputy minister was
Alexander Mitusov, Veselnitskaya’s ex-husband.”

57. "Revolving Door: Kenneth J Kies Employment Summary." OpenSecrets. Center for
Responsive Politics. Accessed April 15, 2018.
https://www.opensecrets.org/revolving/rev_summary.php?id=14763

2002 - Present: Clark/ Bardes Consulting Federal Policy Group, Director

1998 - 2002: PriceWaterhousCooper, Co-managing Partner
1995 - 1998: Joint Committee on Taxation, Chief of Staff
1988 - 1994: BakerHostetler, Chair
1982 - 1987: House Ways & Means Committe, Chief Republican Tax Counsel
1977 - 1981: BakerHostetler, Tax Associate

58. Gray, Rosie. "Bill Browder's Testimony to the Senate Judiciary Committee." The Atlantic.
July 25, 2017. Accessed April 15, 2018.
https://www.theatlantic.com/politics/archive/2017/07/bill-browders-testimony-to-the-senate-
judiciary-committee/534864/

"In addition to working on the Katsyv’ s money laundering defense, Ms. Veselnitskaya also
headed the aforementioned lobbying campaign to repeal the Magnitsky Act. She hired a
number of lobbyists, public relations executives, lawyers, and investigators to assist her in
this task. Her first step was to set up a fake NGO that would ostensibly promote Russian
adoptions, although it quickly became clear that the NGO’s sole purpose was to repeal the
Magnitsky Act. This NGO was called the Human Rights Accountability Global Initiative
Foundation (HRAGI). It was registered as a corporation in Delaware with two employees on
February 18, 2016. HRAGI was used to pay Washington lobbyists and other agents for the
anti-Magnitsky campaign. (HRAGI now seems to be defunct, with taxes due.)
Through HRAGI, Rinat Akhmetshin, a former Soviet intelligence officer naturalised as an
American citizen, was hired to lead the Magnitsky repeal effort. Mr. Akhmetshin has been
involved in a number of similar campaigns where he’s been accused of various unethical and
potentially illegal actions like computer hacking. Veselnitskaya also instructed U.S. law firm
Baker Hostetler and their Washington, D.C.-based partner Marc Cymrot to lobby members
of Congress to support an amendment taking Sergei Magnitsky’s name off the Global
Magnitsky Act. Mr. Cymrot was in contact with Paul Behrends, a congressional staffer on the
 House Foreign Affairs Committee at the time, as part of the anti-Magnitsky lobbying
campaign.
Veselnitskaya, through Baker Hostetler, hired Glenn Simpson of the firm Fusion GPS to conduct
a smear campaign against me and Sergei Magnitsky in advance of congressional hearings on
the Global Magnitsky Act. He contacted a number of major newspapers and other
publications to spread false information that Sergei Magnitsky was not murdered, was not a
whistle-blower, and was instead a criminal. They also spread false information that my
presentations to lawmakers around the world were untrue."

59. “Oversight of the Foreign Agents Registration Act and Attempts to Influence U.S. Elections:
Lessons Learned from Current and Prior Administrations”, Senate Judiciary Committee. (2017)
(testimony of Bill Browder).
https://www.judiciary.senate.gov/imo/media/doc/Browder%20Responses%20to%20QFRs.pdf

"Sen. Feinstein: If an individual is suspected of acting as a foreign agent under FARA, should
the Justice Department’s investigation of that individual include an examination of that
individual’s finances and business records?
Browder: There are obviously a number of investigative avenues in cases of a suspected
FARA violation that have to be pursued. A very important tool is to be able to understand
and obtain evidence of who is ultimately paying for the foreign propaganda. In the case of
the Russian anti-Magnitsky propaganda, some of it was paid using an account of a US
law firm, Baker Hostetler, who then distributed funds to US persons, like Fusion GPS,
who pitched anti-Magnitsky stories to journalists. Baker Hostetler's account in turn was
funded by a son of a Russian government official (the Katsyv family). In addition,
lobbying disclosure forms for the Anti-Magnitsky propaganda vehicle, HRAGI, registered
in Delaware, shows Vladimir Lelyukh, without identifying him. A person with such name
works as Deputy CEO of an affiliate of Russia's state-ownedbank, Sberbank.
Sen. Kennedy: Do you know of any examples of foreign commercial entities in the United
States that have used non-profit groups, think tanks, media outlets or grass roots groups
as a means of influencing policy? Do you know of examples where this has occurred and
such entities did not register under Foreign Agents Registration Act?
Browder: Yes. Russia’s anti-Magnitsky Act lobbying campaign took place in the spring and
summer of 2016. The campaign was financed by the family of a senior Putin regime
official (the Katsyv family). The Katsyv family registered a corporation in Delaware
called HRAGI (or the "Human Rights Global Accountability Initiative Foundation"). This
fake NGO presented itself as an advocacy organization for Russian adoptions when in
reality it was a front for Russia to lobby against the Magnitsky Act. This organization and
the Katsyv family hired lobbying and PR consultants, including Fusion GPS, Potomac
Strategies, Cozen O’Connor, the Washington DC office of Baker Hostetler, Rinat
Akhmetshin and others who did not register under the Foreign Agents Registration Act."

60. Reuters Staff. "Russia Sentences Fund Head Browder Who Campaigned in Magnitsky Case."
Reuters. December 29, 2017. Accessed April 15, 2018. https://uk.reuters.com/article/uk-russia-
court-browder/russia-sentences-fund-head-browder-who-campaigned-in-magnitsky-case-
idUKKBN1EN17K
 "MOSCOW (Reuters) - A Russian court on Friday sentenced British investment fund head
William Browder to nine years in prison in absentia after finding him guilty of deliberate
bankruptcy and tax evasion, the country’s general prosecutor said.
Browder, head of investment fund Hermitage Capital Management, led a campaign to expose
corruption and punish Russian officials he blames for the 2009 death of Sergei Magnitsky,
who he employed as a lawyer, in a Moscow prison. Magnitsky was arrested in 2008
shortly after alleging that Russian officials were involved in large-scale tax fraud. His
death nearly a year later while awaiting trial caused an international uproar.
Magnitsky had said he was mistreated in jail and denied medical care in an effort to get him
to confess to tax evasion and give evidence against Browder Browder, who has dismissed
the allegations against him, said on Twitter on Friday the ruling was President Vladimir
Putin’s reaction to his efforts to get five countries, including the United States, to impose
so-called Magnitsky sanctions against Russian individuals.
The U.S. Treasury Department imposed its sanctions, which freeze the banks accounts of
those targeted, under a 2012 law known as the Magnitsky Act. The act imposed visa bans
and asset freezes on Russian officials linked to the death of Magnitsky."

61. Yaffa, Joshua. "The Russians at the Center of the Donald Trump, Jr., E-mails." The New
Yorker. Conde Naste Publishing. July 12, 2017. Accessed April 15, 2018.
https://www.newyorker.com/news/news-desk/the-russians-at-the-center-of-the-donald-trump-jr-
e-mails

"The Russian lawyer and real-estate tycoon described in the e-mail exchange between Donald
Trump, Jr., and a British entertainment publicist are being described in American press
reports as having “connections to the Kremlin” or even “close ties to Vladimir Putin.” Both
individuals, the lawyer Natalia Veselnitskaya and the construction oligarch Aras Agalarov,
indeed have ties that link them to centers of power in Moscow. But who are they exactly, how
much do their interests align with the Kremlin’s, and what exactly were they doing mixed up
with the Trump family?
Veselnitskaya’s past as a lawyer for state officials and those close to them in murky real-estate
deals in the Moscow region suggests a proximity to the world of Russian officialdom, but far
from its most powerful or well-connected members. She had an apparent specialty working at
the nexus in which mysteriously wealthy Russian bureaucrats and their family members and
business associates all stew. That is what brought her to New York in recent years: she
defended a man named Denis Katsyv, the son of a Russian transport official and the owner of
a real-estate company that, as U.S. federal prosecutors alleged, laundered millions in corrupt
profits through the purchase of luxury properties in Manhattan.
Katsyv denied any wrongdoing, but prosecutors alleged that this money in part came from a tax
scam worth two hundred and thirty million dollars uncovered by a Russian lawyer named
Sergey Magnitsky. His death in a Moscow jail ultimately led to the passage of the Magnitsky
Act, in 2012, which froze the U.S. assets of Russian officials implicated in corruption or
human-rights violations. It’s hard to remember now, given the acerbic state of U.S.-Russian
relations, but at the time, no U.S. move in years incensed the Kremlin as much. (Putin’s
revenge was cutting: he responded by banning U.S. adoptions of Russian children, the issue
that, in early versions of the story, Veselnitskaya supposedly wanted to discuss with Trump,
Jr.) Leonid Bershidsky, a cautious and astute Russia-watcher, argued in Bloomberg View
 that the Trump Tower meeting was more likely a personal stunt for Veselnitskaya, “the
tenacious and ambitious lawyer who could pull every string in the Moscow region, did so to
get her pet issue—the repeal of the Magnitsky Act, which was getting her major client in
trouble—in front of some important Americans.”

62. Feeley, Jef, and Bob Van Voris. "Laundering Suit Ends as Russian Firm, U.S. Claim
Victory." Bloomberg.com. May 13, 2017. Accessed April 15, 2018.
https://www.bloomberg.com/news/articles/2017-05-13/u-s-reaches-5-9-million-deal-in-russian-
fraud-laundering-case

"Both the U.S. and a Cyprus-based company controlled by a Russian businessman [Katsyv]
claimed victory in avoiding a trial that promised to shed light on an intricate web of shell
companies and middlemen that were allegedly used to spirit dirty money out of Russia in
violation of international financial regulations.
Prevezon Holdings Ltd. said in an emailed statement that it agreed to settle the U.S. claims for
less than 3 percent of the amount initially sought by the U.S. government. Acting Manhattan
U.S. Attorney Joon Kim said the settlement amount was roughly 10 times the money that was
allegedly traced directly into U.S. accounts and real estate.
"This settlement is nothing short of a victory for Prevezon," Faith Gay, a lawyer for the
company, said in a phone interview. "It’s almost an apology by the government."
The attempt to seize a lower Manhattan condominium acquired by the Russians and other assets
began four years ago with then-Manhattan U.S. Attorney Preet Bharara filing the claim.
Bharara was fired in March by President Donald Trump and Kim, Bharara’s successor,
announced the settlement late on Friday."

63. Arnsdorf, Isaac. "Who Is the Russian Lobbyist Who Met With Donald Trump Jr.?"
ProPublica. July 14, 2017. Accessed April 15, 2018. https://www.propublica.org/article/who-is-
the-russian-lobbyist-who-met-with-donald-trump-jr

"When Donald Trump Jr., his brother-in-law and his father’s campaign chairman sat down with
a Russian lawyer last June expecting to receive incriminating information about Hillary
Clinton, the lawyer brought along a chatty Russian-born Washington lobbyist named Rinat
Akhmetshin. Akhmetshin’s presence at the meeting, reported today by the Associated Press,
only deepens the mystery surrounding that encounter.
Like Natalia Veselnitskaya, the Kremlin-linked lawyer who showed up at the Trump Tower
meeting, Akhmetshin is a colorful character, with a murky personal history and myriad ties to
powerful Russian political and business leaders.
When I interviewed Akhmetshin last year, he told me he had served in military intelligence after
being drafted as a young man growing up in the former Soviet Union. But he cut a figure
unlike any Cold War thriller: a squat man in his late 40s with upright coils of graying hair,
he arrived on a bright orange bicycle, wearing trendy glasses, a cardigan sweater and purple
loafers.
American officials quoted by NBC News said Akhmetshin was a military counterintelligence
officer, and may still have links with Russian spy agencies, an assertion he adamantly denied
to both NBC and the AP. This much is clear: Since immigrating to the United States in the
1990s and becoming a dual citizen, Akhmetshin has worked as a lobbyist and public affairs
 consultant in Washington. Last year, he joined Veselnitskaya in a fight to overturn an
American law that imposes financial and travel sanctions against Russians accused of
violating human rights.
He is one of a growing number of figures with mysterious links to Russian government and
business leaders whose names have surfaced in the sprawling investigations of Russia’s role
in the 2016 election."

64. Dilanian, Ken, Natasha Lebedeva, and Hallie Jackson. "Former Soviet Counterintelligence
Officer at Meeting With Donald Trump Jr. and Russian Lawyer." NBCNews.com. July 14, 2017.
Accessed April 15, 2018. https://www.nbcnews.com/news/us-news/russian-lawyer-brought-ex-
soviet-counter-intelligence-officer-trump-team-n782851

"WASHINGTON — The Russian lawyer who met with Donald Trump Jr. and others on the
Trump team after a promise of compromising material on Hillary Clinton was accompanied
by a Russian-American lobbyist — a former Soviet counterintelligence officer who is
suspected by some U.S. officials of having ongoing ties to Russian intelligence, NBC News
has learned.
The lobbyist, first identified by the Associated Press as Rinat Akhmetshin, denies any current ties
to Russian spy agencies. He accompanied the lawyer, Natalia Veselnitskaya, to the June 2016
meeting at Trump Tower attended by Donald Trump Jr.; Jared Kushner, the president's son-
in-law; and Paul Manafort, former chairman of the Trump campaign.
Born in Russia, Akhmetshin served in the Soviet military and emigrated to the U.S., where he
holds dual citizenship. He did not respond to NBC News requests for comment Friday, but he
told the AP the meeting was not substantive. “I never thought this would be such a big deal,
to be honest,” he told the AP.
He had been working with Veselnitskaya on a campaign against the Magnitsky Act, a set of
sanctions against alleged Russian human rights violators. That issue, which is also related to
a ban on American adoptions of Russian children, is what Veselnitskaya told NBC News she
discussed with the Trump team.
But, given the email traffic suggesting the meeting was part of a Russian effort to help Trump’s
candidacy, the presence at the meeting of a Russian-American with suspected intelligence
ties is likely to be of interest to special counsel Robert Mueller and the House and Senate
panels investigating the Russian election interference campaign."

65. Sneed, Tierney. "Mueller Probing Foundation Linked To Trump Tower Meeting Attendees."
Talking Points Memo. December 21, 2017. Accessed April 15, 2018.
https://talkingpointsmemo.com/muckraker/mueller-foundation-akhmetshin-veselnitskaya

“The creation and funding of a foundation ostensibly seeking to lax Russia’s ban on U.S.
adoption is being examined by Special Counsel Robert Mueller, Bloomberg reported
Thursday. Rinat Akhmetshin — a Russian-American lobbyist with ties to Russian intelligence
who attended the 2016 Trump Tower meeting — is a registered lobbyist for the foundation,
the Human Rights Accountability Global Initiative. Another employee at the foundation,
Robert Arakelian, has testified in front of Mueller’s team, Bloomberg reported.
The foundation was reportedly part of a larger crusade to roll back a U.S. sanctions program
known as the Magnitsky Act. Natalia Veselnitskaya, a Russian lawyer who also attended the
 Trump Tower meeting, was part of that endeavor on behalf of one of her clients, Denys
Katsyv, who is listed on the lobbying registration documents for the foundation.
While the lobbying forms say the foundation’s goal was to “restart US adoptions of Russian
children,” previous reporting as well as Bloomberg’s latest story suggest that Russia’s
adoption policy was a fig leaf to obscure its larger agenda to alter the Magnitsky Act, which
was initially enacted in 2012. A broader version, known as Global Magnitsky Act, became
law in 2016. The legislation levies targeted sanctions and visa bans on foreign individuals
responsible for human rights violations.
Russia banned U.S. adoptions in its country to retaliate against the law, particularly because it
was named after an accountant, Sergei Magnitsky, who died in a Russian prison in 2009. The
law’s supporters say Magnitsky’s was beaten to death by Russian authorities after Magnitsky
exposed an alleged money-laundering scheme implicating Kremlin allies, including Katsyv.
Katsyv had retained Veselnitskaya to represent him a money laundering case brought by U.S.
government brought against his company Prevezon Holdings LTD.
The case was settled without an admission of guilty, but litigation has continued surrounding the
enforcement of the settlement. Veselnitskaya, according to CNN, established the Human
Rights Accountability Global Initiative. According to the Bloomberg report, Veselnitskaya in
January met with Sarah Peterson, who had reached out to the foundation seeking to work on
the adoption issue. “I don’t think adoptions were their primary agenda,” Peterson said of a
meeting she held with Akhmetshin in August 2016 about the foundation. A meeting that
Veselnitskaya, Akhmetshin and other figures held with Jared Kushner, Donald Trump Jr.,
and Paul Manafort in Trump Tower in June 2016 has become the focal point of the multiple
investigations into Russian meddling.
Trump Jr.’s initial statement explaining the meeting — which was reportedly dictated to him by
President Trump from Air Force One — claimed that the primary subject discussion was
adoptions. Revelations after that initial statement, including emails sent to Trump Jr. setting
up the meeting promising incriminating information about Hillary Clinton, proved the
explanation to be misleading. A memo Veselnitskaya reportedly took to the meeting focused
on criticizing the Magnitsky Act and rebuking the claims by the law’s champion, Bill
Browder, who had hired Magnitsky to investigate his Russian business dealings.”

66. Becker, Jo, Matt Apuzzo, and Adam Goldman. "Trump Team Met With Lawyer Linked to
Kremlin During Campaign." The New York Times. July 08, 2017. Accessed April 15, 2018.
https://www.nytimes.com/2017/07/08/us/politics/trump-russia-kushner-manafort.html

"Two weeks after Donald J. Trump clinched the Republican presidential nomination last year,
his eldest son arranged a meeting at Trump Tower in Manhattan with a Russian lawyer who
has connections to the Kremlin, according to confidential government records described to
The New York Times.
The previously unreported meeting was also attended by Mr. Trump’s campaign chairman at the
time, Paul J. Manafort, as well as the president’s son-in-law, Jared Kushner, according to
interviews and the documents, which were outlined by people familiar with them. While
President Trump has been dogged by revelations of undisclosed meetings between his
associates and Russians, this episode at Trump Tower on June 9, 2016, is the first confirmed
private meeting between a Russian national and members of Mr. Trump’s inner circle during
the campaign.
It is also the first time that his son Donald Trump Jr. is known to have been involved in such a
meeting. Representatives of Donald Trump Jr. and Mr. Kushner confirmed the meeting after
The Times approached them with information about it. In a statement, Donald Jr. described
the meeting as primarily about an adoption program.
The adoption impasse is a frequently used talking point for opponents of the Magnitsky Act. Ms.
Veselnitskaya’s campaign against the law has also included attempts to discredit its
namesake, Sergei L. Magnitsky, a lawyer and auditor who died in mysterious circumstances
in a Russian prison in 2009 after exposing one of the biggest corruption scandals during Mr.
Putin’s rule.
Ms. Veselnitskaya was formerly married to a former deputy transportation minister of the
Moscow region, and her clients include state-owned businesses and a senior government
official’s son, whose company was under investigation in the United States at the time of the
meeting. Her activities and associations had previously drawn the attention of the F.B.I.,
according to a former senior law enforcement official."

67. Blake, Aaron. "Analysis | The 12-count Manafort and Gates Indictment, Annotated." The
Washington Post. October 30, 2017. Accessed April 15, 2018.
https://www.washingtonpost.com/news/the-fix/wp/2017/10/30/the-paul-manafort-and-rick-gates-
indictment-annotated/

"President Trump's former campaign chairman, Paul Manafort, and Manafort's former business
partner Rick Gates have both been indicted in the investigation into Russia's role in the 2016
election, headed by special counsel Robert S. Mueller III. There are 12 counts, including
conspiracy against the United States, conspiracy to launder money and making false
statements."

68. Kenney, Allen. "Four Quick Questions With Federal Policy Groups Ken Kies." National
Association of Real Estate Investment Trusts. January 22, 2016. Accessed April 15, 2018.
https://www.reit.com/news/reit-magazine/january-february-2016/four-quick-questions-federal-
policy-groups-ken-kies

"Ken Kies is the managing director of the Federal Policy Group, LLC, which advises clients on
tax policy matters before Congress, the Treasury Department, the Internal Revenue Service
and the OECD.
Q: What do the PATH Act reforms to the Foreign Investment in Real Property Tax Act (FIRPTA)
mean for the real estate industry?
Kies: It’s a win because it loosens the rules under which foriegn investment can occur. It’s
something the industry has been pushing for for a long time. It will attract more capital, and
capital is the name of the game in real estate."

69. Cassidy, John. "Robert Mueller Jumps Onto the Trump Money Trail." The New Yorker.
December 07, 2017. Accessed April 15, 2018. https://www.newyorker.com/news/our-
columnists/robert-mueller-jumps-onto-the-trump-money-trail

"In an interview earlier this year, Sir Richard Dearlove, a former head of Britain’s spying
agency, MI6, said, “What lingers for Trump may be what deals—on what terms—he did after
 the financial crisis of 2008 to borrow Russian money when others in the West apparently
would not lend to him.” Dearlove didn’t provide any evidence to support this theory. Nobody
else has, either, although not for the want of trying. A number of news organizations have
dispatched reporters to Iceland, Cyprus, and other jurisdictions through which hot money
can flow anonymously. So far, these journalistic diggers have failed to identify any hidden
Russian lenders to the Trump Organization.
At the same time, though, numerous reports have detailed how funds from wealthy Russians and
citizens of other former Soviet states have flowed into ritzy Trump-owned or Trump-branded
real-estate properties, such as the Trump SoHo building, in New York, and the Trump
International Beach Resort, in Florida. (Last month, the owner of Trump SoHo announced
that the Trump Organization would no longer be involved with the property.) The
Washington Post has revealed how, as recently as late 2015 and early 2016, when Trump
was already running for President, a Russian-born business associate of his, Felix Sater, was
“pursuing a plan to develop a massive Trump Tower in Moscow.” And The New Yorker’s
Adam Davidson has shown how Trump and his family entered into partnerships with
politicians and oligarchs in Azerbaijan and Georgia, two countries with close ties to Russia.
Enter Robert Mueller, the special counsel investigating Russia’s meddling in last year’s election.
On Tuesday, the German newspaper Handelsblatt and other media outlets reported that
Mueller’s office has demanded financial records from Deutsche Bank, a large German bank
that is one of the biggest lenders to companies associated with Trump, and that has also had
controversial ties to Russia. The news reports said that Mueller’s office issued a subpoena to
the bank earlier this fall; the impression was that the bank, despite its public refusal to
confirm any details, was willingly coöperating with the investigation."

70. Berthelsen, Christian, and Greg Farrell. "Deutsche Bank Said Near Fed Deal on Russia; DOJ
Probe Looms." Bloomberg.com. May 24, 2017. Accessed April 15, 2018.
https://www.bloomberg.com/news/articles/2017-05-24/deutsche-bank-eyes-fed-deal-as-u-s-
stays-mum-on-russia-probe
"Deutsche Bank AG may be close to settling a U.S. Federal Reserve inquiry into how billions of
dollars moved through the bank and out of Russia. But it’s still waiting for U.S. prosecutors
to resolve a potentially more consequential investigation.
The Fed settlement is being finalized and could be announced in coming weeks, according to
people familiar with the situation. They declined to discuss the size of any fine, which would
follow $630 million that the German lender has paid the U.K. and New York state over lax
anti-money-laundering practices. Officials from Deutsche Bank and the Fed declined to
comment.
After a Fed settlement, the remaining question is how hard the U.S. Justice Department might
come down on the bank. Federal authorities who can bring criminal cases are investigating
how Deutsche Bank helped clients move $10 billion out of Russia from 2011 to 2015, after
the bank’s internal review of the trades found “systemic” compliance failures.
Developments in the Justice Department’s case will be closely watched, including on Capitol
Hill. Representative Maxine Waters and other House Democrats have previously raised
concerns that investigators’ independence could be compromised because the leaders of the
Justice Department are appointees of President Donald Trump, a longtime Deutsche Bank
client."
71. Caesar, Ed. "Deutsche Bank's $10-Billion Scandal." The New Yorker. July 10, 2017.
Accessed April 15, 2018. https://www.newyorker.com/magazine/2016/08/29/deutsche-banks-10-
billion-scandal

"Almost every weekday between the fall of 2011 and early 2015, a Russian broker named Igor
Volkov called the equities desk of Deutsche Bank’s Moscow headquarters. Volkov would
speak to a sales trader—often, a young woman named Dina Maksutova—and ask her to place
two trades simultaneously. In one, he would use Russian rubles to buy a blue-chip Russian
stock, such as Lukoil, for a Russian company that he represented. Usually, the order was for
about ten million dollars’ worth of the stock. In the second trade, Volkov—acting on behalf of
a different company, which typically was registered in an offshore territory, such as the
British Virgin Islands—would sell the same Russian stock, in the same quantity, in London, in
exchange for dollars, pounds, or euros. Both the Russian company and the offshore company
had the same owner. Deutsche Bank was helping the client to buy and sell to himself.
At first glance, the trades appeared banal, even pointless. Deutsche Bank earned a small
commission for executing the buy and sell orders, but in financial terms the clients finished
roughly where they began. To inspect the trades individually, however, was like standing too
close to an Impressionist painting—you saw the brushstrokes and missed the lilies. These
transactions had nothing to do with pursuing profit. They were a way to expatriate money.
Because the Russian company and the offshore company both belonged to the same owner,
these ordinary-seeming trades had an alchemical purpose: to turn rubles that were stuck in
Russia into dollars stashed outside Russia. On the Moscow markets, this sleight of hand had
a nickname: konvert, which means “envelope” and echoes the English verb “convert.” In the
English-language media, the scheme has become known as “mirror trading.”
Mirror trades are not inherently illegal. The purpose of an equities desk at an investment bank is
to help approved clients buy and sell stock, and there could be legitimate reasons for making
a simultaneous trade. A client might want to benefit, say, from the difference between the
local and the foreign price of a stock. Indeed, because the individual transactions involved in
mirror trades did not directly contravene any regulations, some employees who worked at
Deutsche Bank’s Russian headquarters at the time deny that such activity was improper.
(Fourteen former and current employees of Deutsche Bank in Moscow spoke to me about the
mirror trades, as did several people involved with the clients. Most of them asked not to be
named, either because they had signed nondisclosure agreements or because they still work
in banking.)
Viewed with detachment, however, repeated mirror trades suggest a sustained plot to shift and
hide money of possibly dubious origin. Deutsche Bank’s actions are now under investigation
by the U.S. Department of Justice, the New York State Department of Financial Services, and
financial regulators in the U.K. and in Germany. In an internal report, Deutsche Bank has
admitted that, until April, 2015, when three members of its Russian equities desk were
suspended for their role in the mirror trades, about ten billion dollars was spirited out of
Russia through the scheme. The lingering question is whose money was moved, and why.
Deutsche Bank is an unwieldy institution with headquarters in Frankfurt and about a hundred
thousand employees in seventy countries. When it was founded, in 1870, its stated purpose
was to facilitate trade between Germany and other countries. It soon established footholds in
Shanghai, London, and Buenos Aires. In 1881, the bank arrived in Russia, financing railways
commissioned by Alexander III. It has operated there ever since.
During the Nazi era, Deutsche Bank sullied its reputation by financing Hitler’s regime and
purchasing stolen Jewish gold. After the war, the bank concentrated on its domestic market,
playing a significant role in Germany’s so-called economic miracle, in which the country
regained its position as the most potent state in Europe. After the deregulation of the U.S.
and U.K. financial markets, in the nineteen-eighties, Deutsche Bank refreshed its overseas
ambitions, acquiring prominent investment banks: the London firm Morgan Grenfell, in
1989, and the American firm Bankers Trust, in 1998. By the new millennium, Deutsche Bank
had become one of the world’s ten largest banks. In October, 2001, it débuted on the New
York Stock Exchange.
In 2007, the bank’s share price hit an all-time peak: a hundred and fifty-nine dollars. But as it
grew fast it also grew loose. Before the housing market collapsed in the United States, in
2008, sparking a global financial crisis, Deutsche Bank created about thirty-two billion
dollars’ worth of collateralized debt obligations, which helped to inflate the housing bubble.
In 2010, Deutsche Bank’s own staff accused it of having masked twelve billion dollars’ worth
of losses. Eric Ben-Artzi, a former risk analyst, was one of three whistle-blowers. He told the
Securities and Exchange Commission that, had the bank’s true financial health been known
in 2008, it might have folded, as Lehman Brothers had. Last year, Deutsche Bank paid the
S.E.C. a fifty-five-million-dollar fine but admitted no wrongdoing. Ben-Artzi told me that
bank executives had incurred a tiny penalty for a huge crime. “There was cultural
criminality,” he said. “Deutsche Bank was structurally designed by management to allow
corrupt individuals to commit fraud."
Scandals have proliferated at Deutsche Bank. Since 2008, it has paid more than nine billion
dollars in fines and settlements for such improprieties as conspiring to manipulate the price
of gold and silver, defrauding mortgage companies, and violating U.S. sanctions by trading
in Iran, Syria, Libya, Myanmar, and Sudan. Last year, Deutsche Bank was ordered to pay
regulators in the U.S. and the U.K. two and a half billion dollars, and to dismiss seven
employees, for its role in manipulating the London Interbank Offered Rate, or libor, which is
the interest rate banks charge one another. The Financial Conduct Authority, in Britain,
chastised Deutsche Bank not only for its manipulation of libor but also for its subsequent lack
of candor. “Deutsche Bank’s failings were compounded by them repeatedly misleading us,”
Georgina Philippou, of the F.C.A., declared. “The bank took far too long to produce vital
documents and it moved far too slowly to fix relevant systems.”
In April, 2015, the mirror-trades scheme unravelled. After a two-month internal investigation,
the three Deutsche Bank employees were suspended. One was Tim Wiswell, a thirty-seven-
year-old American who was then the head of Russian equities at the bank. The others were
Russian sales traders on the equities desk: Dina Maksutova and Georgiy Buznik. Afterward,
Bloomberg News suggested that some of the money diverted through mirror trades belonged
to Igor Putin, a cousin of the Russian President, and to Arkady and Boris Rotenberg. The
Rotenberg brothers own Russia’s largest construction company, S.G.M., and are old friends
of Vladimir Putin. They are on the U.S. government’s list of sanctioned Russians, which was
compiled in response to Putin’s aggression in Ukraine. According to the U.S. Treasury, the
Rotenbergs have “made billions of dollars in contracts” that were awarded to their company
by the Russian state, often without a transparent bidding process. (Last year, S.G.M. was
awarded a contract worth $5.8 billion to build a twelve-mile bridge between Russia and
Crimea.)"
72. Arons, Steven. "Deutsche Bank Records Said to Be Subpoenaed by Mueller."
Bloomberg.com. December 05, 2017. Accessed April 15, 2018.
https://www.bloomberg.com/news/articles/2017-12-05/deutsche-bank-said-to-be-subpoenaed-
by-mueller

"Deutsche Bank AG provided records to special prosecutor Robert Mueller’s investigation after
receiving a subpoena several weeks ago, according to a person briefed on the matter. Those
records pertain to people affiliated with President Donald Trump, said the person, who asked
not to be identified because the action hasn’t been announced. Several news outlets --
including Bloomberg -- reported yesterday that the subpoena targeted Trump and his
family’s bank records, which was disputed by Trump’s personal lawyer and the White
House."

73. Caesar, Ed. "Deutsche Bank, Mirror Trades, and More Russian Threads." The New Yorker.
June 19, 2017. Accessed April 15, 2018.
https://www.newyorker.com/business/currency/deutsche-bank-mirror-trades-and-more-russian-
threads
"On March 10th, Congresswoman Maxine Waters, the ranking Democratic member on the
House Committee on Financial Services, wrote a letter with four other Democrats to
Congressman Jeb Hensarling, the Republican chairman of that committee, the contents of
which would have been considered extraordinary in a less chaotic and febrile political
atmosphere. The letter began: Consistent with your past practice of monitoring the
Department of Justice’s (“the Department”) investigations, we write to request that the
Committee conduct a formal assessment of the Department’s investigation into Deutsche
Bank’s Russian money-laundering scheme, including a review of the new Attorney General’s
role in continuing the investigation. We also urge the Committee to initiate its own
investigation, using the full range of the Committee’s oversight authorities, to determine the
nature of the Russian money-laundering scheme, including who participated in the
arrangement and whether violations of U.S. Law, beyond the failure to maintain appropriate
anti-money laundering controls, may have occurred.
The letter then outlined the anxieties shared by Congresswoman Waters and her Democratic
colleagues on the committee. They included a concern “about the integrity of this criminal
probe . . . given the President’s ongoing conflicts of interest with Deutsche Bank”—Trump
businesses owe hundreds of millions of dollars to Deutsche Bank—and that “suspicious ties
between President Trump’s inner circle and the Russian government . . . raise concerns that
the Department may fail to implicate those who benefited from Deutsche Bank’s trading
scheme.”
I read the letter with interest. Last year, I reported on the ten-billion-dollar Russian money-
laundering scheme in question, Deutsche Bank’s so-called “mirror trades,” for the
magazine. It worked like this: between 2011 and 2015, related corporate entities in Moscow
and London bought and sold identical quantities of the same stock, through Deutsche Bank’s
Moscow equities desk. By this alchemy, rubles in Russia were transformed into dollars in
London. The process bypassed tax officials, currency regulators, and anti-money-laundering
controls.
In January, Deutsche Bank agreed to pay six hundred and thirty million dollars in fines levied by
financial regulators in the U.S. and the U.K. over the mirror-trades scandal. The report from
the New York State Department of Financial Services was particularly damning. It said that
the mirror trades lacked “obvious economic purpose,” and, as such, were “highly suggestive
of financial crime.” The Justice Department was also investigating the trades, and has the
power to bring criminal charges, but no action has yet been taken. The implication of
Waters’s letter was that the investigation appears to have stalled.
Whatever view the Justice Department ultimately takes on whether mirror trades constituted
“violations of U.S. Law,” there is a clear path to investigate at least one member of the
Russian branch of Deutsche Bank, Tim Wiswell, a U.S. citizen. Between 2011 and 2015, he
supervised the desk in Moscow where the suspicious trades were made. According to
professional money launderers who spoke to me in Moscow, as well as a report from the New
York State Department of Financial Services that appears to identify him, Wiswell took
millions in bribes to facilitate the scheme. (Wiswell was last thought to be in Indonesia with
his family, involved in a surf school run by Russians, TakeOff, near Seminyak, Bali.
Coincidence or not, Indonesia has no extradition treaty with the United States.)"

74. Arnsdorf, Isaac, Ilan Goldenberg, Jack Shafer, Emily Gogolak, and William Pesek. "FARA
Complaint Alleges Pro-Russian Lobbying." POLITICO. December 08, 2016. Accessed April 15,
2018. https://www.politico.com/tipsheets/politico-influence/2016/12/fara-complaint-alleges-pro-
russian-lobbying-217776

“Akhmetshin recruited Lanny Wiles, a McCain campaign hand who has known Rohrabacher
since their Reagan days. Wiles said he told Akhmetshin he didn't want to work for a foreign
entity, which would require registering under FARA. Akhmetshin told Wiles he wouldn't have
to register because he would be working for the law firm BakerHostetler, according to Wiles.
Wiles said Akhmetshin paid him but not in full. Akhmetshin denied paying him.
BakerHostetler represented Katsyv in the money-laundering case at the time. The lead attorney,
Mark Cymrot, briefed congressional staff about the case, people familiar with the discussions
said. Cymrot's defense strategy paralleled Akhmetshin's lobbying effort in Congress: trying to
discredit the U.S. government's version of events and pin the tax fraud of Magnitsky and
Browder. (The firm was later disqualified from the case because it had previously
represented Browder.)
BakerHostetler hired a private research firm known as Fusion GPS led by Glenn Simpson, a
former Wall Street Journal reporter. (The firm also discussed information with journalists
about Trump and his associates’ ties to Russia.) Simpson and his firm found records on
Browder’s property and finances and tracked down potential witnesses, the company said in
a statement to POLITICO. Fusion GPS also discussed the case record with several reporters,
according to the statement.
Both Cymrot and Fusion GPS said they didn't lobby or do anything that required registering
under FARA. “From time to time, we received inquiries about the lawsuit from the media and
others and would respond by providing information on the public record,” Cymrot said in an
email. He did not answer whether he communicated with congressional staff, but added, “We
did not engage in lobbying and did not pay any lobbyists.”
As Cymrot pointed out in his email to POLITICO, FARA does contain an exception for lawyers.
But it doesn’t apply if their work goes beyond the courtroom to include influencing public
officials or journalists, according to the Justice Department’s website.
"The so-called lawyers' exemption does not extend as widely as it might originally seem," said
William Minor, an attorney at DLA Piper who specializes in lobbying rules. "The exception
doesn’t carry on to others who might be engaged in public relations or lobbying activities
simply because the main firm is itself exempt."

75. Berenson, Tessa. "Paul Manafort and the Foreign Agents Registration Act." Time. November
01, 2017. Accessed April 15, 2018. http://time.com/5005142/paul-manafort-indictment-foreign-
agents-registration-act-fara/

"The indictment of President Trump’s former campaign chief could lead some Washington
lobbyists for foreign interests to double-check the paperwork they file under an often-ignored
federal statute. As part of a 12-count indictment of Paul Manafort, prosecutors included
charges that the longtime Republican operative misled the government about the nature of
his work for the Ukrainian government under the Foreign Agent Registration Act, or FARA.
The law was created decades ago to curb Nazi propaganda efforts in the U.S., but the
Manafort case could prove to be the biggest time in recent memory that it’s been used,
perhaps indirectly strengthening it as a result."

76. Winter, Tom, and Julia Ainsley. "Mueller Now Investigating Democratic Lobbyist Tony
Podesta." NBCNews.com. October 23, 2017. Accessed April 15, 2018.
https://www.nbcnews.com/news/us-news/mueller-now-investigating-democratic-lobbyist-tony-
podesta-n812776

WASHINGTON — Tony Podesta and the Podesta Group are now the subjects of a federal
investigation being led by Special Counsel Robert Mueller, three sources with knowledge of
the matter told NBC News. The probe of Podesta and his Democratic-leaning lobbying firm
grew out of Mueller's inquiry into the finances of former Trump campaign chairman Paul
Manafort, according to the sources.
As special counsel, Mueller has been tasked with investigating possible collusion between the
Trump campaign and Russia. Manafort had organized a public relations campaign for a non-
profit called the European Centre for a Modern Ukraine (ECMU). Podesta's company was
one of many firms that worked on the campaign, which promoted Ukraine's image in the
West. The sources said the investigation into Podesta and his company began as more of a
fact-finding mission about the ECMU and Manafort's role in the campaign, but has now
morphed into a criminal inquiry into whether the firm violated the Foreign Agents
Registration Act, known as FARA.
Under FARA, people who lobby on behalf of foreign governments, leaders or political parties
must file detailed disclosures about their spending and activities with the Justice Department.
Willful failure to file the forms is a felony and can result in up to five years in prison, though
such prosecutions are rare.
The Podesta Group amended its FARA registration to accurately reflect its work with ECMU
only after the payments were reported by the media. Manafort's firm also filed a FARA
registration after media reports in June disclosed its work in Ukraine from 2012 through
 2014. A spokeswoman said the Podesta Group’s original filing was submitted after the advice
of legal experts because the ECMU "had certified that it was neither funded nor directed by a
foreign government or political party."
After the media reports, said the spokeswoman, the Podesta Group reached out to FARA
regulators who instructed how the firm should file. The ECMU was reportedly backed by the
Party of Regions, the pro-Russian and oligarch-funded Ukrainian political party for which
Manafort worked as a consultant, and which paid his firm millions. [Putin ally] Viktor
Yanukovych of the Party of Regions, a Manafort client, was president of Ukraine during the
ECMU campaign, which ran from 2012 to 2014."

77. Cillizza, Chris. "How Much Trouble Is Tony Podesta In?" CNN. November 03, 2017.
Accessed April 15, 2018. https://www.cnn.com/2017/10/31/politics/tony-podesta-
trump/index.html
"The ECFMU was a non-profit group whose true goal was allegedly to soften the Obama
administration's opposition to the pro-Russian Ukrainian government in power at the time.
(Several Ukrainian leaders were facing public condemnation from the American government
for their treatment of political opponents.)
The Podesta Group, along with Manafort's firm, were tasked with leading that effort on behalf of
the European Centre for a Modern Ukraine. (In the indictment of Manafort unsealed on
Monday, the Podesta Group appears to be referred to as "Company B" but never referred to
specifically by name.)
The Podesta Group didn't properly file disclosure forms detailing the 32 meetings it had with
government officials at the State Department and the Vice President's office on behalf of the
European Centre for a Modern Ukraine, according to CNN reporting."

78. Gray, Rosie. "How the Manafort Indictment Gave Bite to a Toothless Law." The Atlantic.
October 30, 2017. Accessed April 15, 2018.
https://www.theatlantic.com/politics/archive/2017/10/how-the-manafort-indictment-gave-bite-to-
a-toothless-law/544448/
"The indictment of the Trump campaign officials Paul Manafort and Rick Gates on Monday is,
among many other things, the most significant prosecution of a Foreign Agents Registration
Act violation ever.
Manafort and Gates have been charged with a litany of federal crimes, including conspiracy
against the United States and tax fraud. They’ve also been accused of having acted as agents
of a foreign power—in this case, the Ukrainian government under Viktor Yanukovych, the
pro-Russia former president—without registering their activities with the Department of
Justice, as is required by law under FARA. The Department of Justice’s fara unit is small and
it’s easy to skirt or violate the law and get away with it, and it’s commonplace on K Street to
do so. This is why the possibility that Manafort and Gates could go to prison for violating
fara could have reverberations across the lobbying world.
“There has not been as high a profile prosecution for FARA as this one, in recent decades,” said
Joseph Sandler, an attorney and expert on FARA compliance with the firm Sandler Reiff
Lamb Rosenstein & Birkenstock. “This will certainly cause individuals and firms who rep
foreign governments and government-controlled organizations in a variety of ways, to take
the FARA requirements much more seriously going forward.”
The highest-profile recent FARA prosecutions in recent decades include the ring of Russian spies
arrested in 2010, who were charged with violating the law, and the Cuban 5 spy ring in 1998.
But for highly paid Washington lobbyists representing foreign governments, these
prosecutions are rare."

79. "FARA Quick Search: Clark Consulting." The United States Department of Justice.
Accessed April 15, 2018. https://efile.fara.gov/pls/apex/f?p=185:1:::::P1_DISPLAY

https://efile.fara.gov/pls/apex/f?p=185:200:11409310466950::NO:RP,200:P200_REG_NUMBE
R,P200_RETURN_PAGE:5611,140.

28 Reported filings between 03/2004 and 04/18/2007. No filings available for viewing reflect
agency for Germany, where Frankfurt based Clark Client Deutsche Bank is located.

*** 2016 SEC HACK – EDGAR Data Loss, Jay Clayton’s Delayed Response and Promises
of Protectionism, Sullivan & Cromwell, German Business, and the CIA
A) Bain, Benjamin, Annie Massa, and Robert Schmidt. "SEC Hack Threatens a Bedrock of U.S.
Capitalism: Transparency." Bloomberg.com. September 22, 2017. Accessed April 14, 2018.
https://www.bloomberg.com/news/articles/2017-09-22/sec-hack-threatens-a-bedrock-of-u-s-
capitalism-transparency.

"The U.S. Securities and Exchange Commission hails its database of company filings as an
innovation that’s dramatically boosted corporate transparency. But a hack that led to the
theft of market-moving secrets is the latest sign that technology also brings dangers the SEC
is struggling to combat. The breach adds to a growing list of SEC embarrassments over
Edgar, a massive online system where companies are required to disclose everything from
stock sales by top executives to regulatory investigations. Past setbacks include fraudsters
posting fake takeover announcements and allegations that some traders were getting access
to market-moving news before others.
The cyberattack that occurred last year -- but wasn’t disclosed until Wednesday -- could be the
most problematic incident, because it casts doubt on the SEC’s ability to safeguard data that
fuels billions of dollars in daily financial transactions. The regulator was already grappling
with hackers infiltrating companies to profit from insider trading, and now it turns out its
own systems are a target. If such breaches continue, or if the SEC is too underfunded or
outgunned to fix them, it could undermine company and investor confidence in the agency.
That might threaten the regulator’s ability to provide a bedrock principle of the U.S.
financial system: market transparency."

B) "Statement on Cybersecurity." Public Statement by Chairman John Clayton. September 20,

2017. Accessed April 14, 2018.
https://www.sec.gov/news/public-statement/statement-clayton-2017-09-20.

"Data collection, storage, analysis, availability and protection (including security, validation
and recovery) have become fundamental to the function and performance of our capital
markets, the individuals and entities that participate in those markets, and the U.S. Securities
and Exchange Commission ("Commission" or "SEC"). As a result of these and other
developments, the scope and severity of risks that cyber threats present have increased
dramatically, and constant vigilance is required to protect against intrusions.
In today's environment, cyberattacks are perpetrated by identity thieves, unscrupulous
contractors and vendors, malicious employees, business competitors, prospective insider
traders and market manipulators, so-called "hacktivists," terrorists, state-sponsored actors
and others. Cyber intrusions can create significant risks to the operational performance of
market participants and of markets as a whole. These risks can take the form of denials of
service and the destruction of systems, potentially resulting in impediments to account access
and transaction execution, and disruption of other important market system functionalities.
The risks associated with cyber intrusions may also include loss or exposure of consumer
data, theft or exposure of intellectual property, and investor losses resulting from the theft of
funds or market value declines in companies subject to cyberattacks, among others. Market
participants also face regulatory, reputational and litigation risks resulting from cyber
incidents, as well as the potential of incurring significant remediation costs. Ultimately, a
large portion of the costs incurred in connection with these risks, including the costs of
 mitigation, are borne by investors, consumers, and other important constituents.
Cybersecurity risks extend beyond data storage and transmission systems. Maintaining
reliability of data operations also depends on the continued functioning of other services that
themselves face significant cyber risks, including, most notably, critical infrastructure such
as electric power and communications grids.
In support of its mission, the Commission receives, stores and transmits data falling under three
broad categories. These activities are critical to our tri-partite mission of investor protection,
the maintenance of fair, orderly and efficient markets, and the facilitation of capital
formation. The first category of data includes public-facing data that is transmitted to and
accessed through Commission systems. Since its creation in 1934, a critical part of the SEC's
mission has been its oversight of the system of public reporting by issuers and other
registrants, and in 1984 the Commission began collecting, and making publicly available,
disclosure documents through its EDGAR system. In 2017, on a typical day, investors and
other market participants access more than 50 million pages of disclosure documents
through the EDGAR system, which receives and processes over 1.7 million electronic filings
per year.”

C) "Chairman Clayton Provides Update on Review of 2016 Cyber Intrusion Involving EDGAR
System." US Securities and Exchange Commission. October 02, 2017. Accessed April 14, 2018.
https://www.sec.gov/news/press-release/2017-186.

"SEC Chairman Jay Clayton today provided an update on the status of the agency’s review and
investigation of the 2016 intrusion into the EDGAR system. In addition to updating previous
disclosures, today's announcement also includes additional information on the agency’s
efforts to strengthen its cybersecurity risk profile going forward.
The agency’s efforts going forward are organized into five principal work streams: 1) The
review of the 2016 EDGAR intrusion by the Office of Inspector General. Staff have been
instructed to provide their full cooperation with this effort 2) The investigation by the
Division of Enforcement into the potential illicit trading resulting from the 2016 EDGAR
intrusion 3) A focused review of and, as necessary or appropriate, uplift of the EDGAR
system. The EDGAR system has been undergoing modernization efforts. The agency has
added, and expects to continue to add, additional resources to these efforts, which are
expected to include outside consultants, and will increase the focus on cybersecurity matters
4) The more general assessment and uplift of the agency’s cybersecurity risk profile and
efforts that were initiated shortly after the Chairman’s arrival at the Commission this past
May, including, without limitation, the identification and review of all systems, current and
planned (e.g., the Consolidated Audit Trail or CAT), that hold market sensitive data or
personally identifiable information 5) The agency’s internal review of the 2016 EDGAR
intrusion to determine, among other things, the procedures followed in response to the
intrusion. This review is being overseen by the Office of the General Counsel and has an
interdisciplinary investigative team that includes personnel from regional offices and will
involve outside technology consultants.
Looking forward, and to further the efforts discussed above, Chairman Clayton has authorized
the immediate hiring of additional staff and outside technology consultants to aid in the
agency’s efforts to protect the security of its network, systems and data. Chairman Clayton
also has directed the staff to take a number of steps designed to strengthen the agency’s
 cybersecurity risk profile, with an initial focus on EDGAR. This effort includes assessing the
types of data the SEC takes in through the EDGAR system, and whether EDGAR is the
appropriate mechanism to obtain that data. Another part of this effort includes reviewing the
security systems, processes and controls in place to protect data submitted through EDGAR.
The staff also will conduct similar reviews of other systems in use at the SEC, assessing the
types of data the agency keeps and the related security systems, processes and controls. The
staff also will work to enhance escalation protocols for cybersecurity incidents in order to
enable greater agency-wide visibility and understanding of potential cyber vulnerabilities
and attacks."

D) Angelides, Phil, Bill Thomas, Hon., Brooksley Born, and Bob Graham, Sen., et al. THE
FINANCIAL CRISIS INQUIRY REPORT. Report. THE NATIONAL COMMISSION ON THE
CAUSES OF THE FINANCIAL AND ECONOMIC CRISIS IN THE UNITED STATES.
Washington, District of Columbia: Government Printing Office, Feb. 25th, 2011. Pp. xviii.
https://www.gpo.gov/fdsys/pkg/GPO-FCIC/pdf/GPO-FCIC.pdf

“Yet we do not accept the view that regulators lacked the power to protect the financial system.
They had ample power in many arenas and they chose not to use it. To give just three
examples: the Securities and Exchange Commission could have required more capital and
halted risky practices at the big investment banks. It did not. The Federal Reserve Bank of
New York and other regulators could have clamped down on Citigroup’s excesses in the run-
up to the crisis. They did not. Policy makers and regulators could have stopped the runaway
mortgage securitization train. They did not. In case after case after case, regulators
continued to rate the institutions they oversaw as safe and sound even in the face of mounting
troubles, often downgrading them just before their collapse. And where regulators lacked
authority, they could have sought it. Too often, they lacked the political will—in a political
and ideological environment that constrained it—as well as the fortitude to critically
challenge the institutions and the entire system they were entrusted to oversee.”

E) Sultan, Niv M. "The Revolving Door Always Spins for Goldman Sachs - by Design."
OpenSecrets Blog. Center for Responsive Politics. March 23, 2017. Accessed April 14, 2018.
https://www.opensecrets.org/news/2017/03/revolving-door-goldman-sachs/.

"No wonder some call it “Government Sachs.” Along with Donovan and Mnuchin, who worked
at Goldman for 17 years until 2002, other veterans of the firm now with Trump’s team
include Gary Cohn, who left his position as COO to become Trump’s National Economic
Council director; Deputy National Security Adviser Dina Powell, who was there for nine
years and acted as president of the Goldman Sachs Foundation until she joined Trump; and
Steve Bannon, now Trump’s chief White House strategist, who also was once an executive at
the firm. And although he’s not quite a Goldman alum, attorney Jay Clayton, Trump’s
nominee to chair the Securities and Exchange Commission, represented the firm during
the 2008 financial crisis. (There’s more: His wife, Gretchen, works at Goldman, though his
letter to the Office of Government Ethics stated that she plans on retiring upon his
confirmation; his hearing was held today.)"
F) Protess, Ben, and Matthew Goldstein. "Trumps S.E.C. Nominee Disclosure Offers Rare
Glimpse of Clients and Conflicts." The New York Times. March 08, 2017. Accessed April 14,
2018. https://www.nytimes.com/2017/03/08/business/dealbook/sec-nominee-jay-clayton-client-
list-conflicts-interest.html.

"After spending years cultivating an elite roster of Wall Street and corporate clients, Jay Clayton
will now be responsible for policing some of those same types of companies. Mr. Clayton, a
longtime partner at the law firm Sullivan & Cromwell who is President Trump’s pick to lead
the Securities and Exchange Commission, has represented big banks like Goldman Sachs
and Barclays as well as prominent hedge funds and corporate executives, according to a
financial disclosure form made public on Wednesday by the Office of Government Ethics.
Some of the clients were listed on Sullivan & Cromwell’s website — and Mr. Clayton kept
nine others confidential — but the filing reveals a number of previously unadvertised
assignments, including work he has done for companies facing intense government scrutiny:
Deutsche Bank, UBS and Volkswagen. Other well-known clients represented by Mr. Clayton,
whose given name is Walter, include the Japanese conglomerate SoftBank, the film studio the
Weinstein Company, Reid Hoffman, a founder of LinkedIn, and William C. Erbey, former
head of the mortgage firm Ocwen."

G) "Jay Clayton, Partner." Lawyers - Biography. February 2017. Accessed April 14, 2018.
https://web.archive.org/web/20170226222028/https:/www.sullcrom.com/lawyers/Jay-Clayton.

"Jay Clayton’s practice involves public and private mergers and acquisitions transactions,
capital markets offerings, regulatory and enforcement proceedings, and other matters where
multidisciplinary advice and experience is valued. Mr. Clayton also advises several high-net-
worth families regarding their public and private investments.
Representative Engagements: Goldman Sachs in connection with the investment of $5 billion by
Berkshire Hathaway and the U.S. Treasury’s TARP Investment. Bear Stearns in connection
with the sale of Bear Stearns to JPMorgan Chase and related matters. Goldman Sachs and
affiliated funds in connection with various acquisitions and investments in companies
involved in financial services, banking, telecom and other industries.
Corporate Governance, Regulatory and Contested Matters: A large financial institution in
connection with the settlement of mortgage related securities claims with the FHFA. A large
financial institution in connection with the settlement of mortgage related claims with the
DOJ, HUD and FHFA."

H) Kinzer, Stephen. "Opinion | When a C.I.A. Director Had Scores of Affairs." The New York
Times. November 10, 2012. Accessed April 14, 2018.
https://www.nytimes.com/2012/11/10/opinion/when-a-cia-director-had-scores-of-affairs.html.

“WALKING through the lobby of the Central Intelligence Agency headquarters in Langley, Va.,
after handing in his resignation on Friday, David H. Petraeus passed a bas-relief sculpture
of Allen Dulles, who led the agency in the 1950s and early ’60s. Below it is the motto, “His
Monument Is Around Us.”
Dulles ran the agency from 1953 to 1961, and he had a profound effect on America’s role in the
cold war. Together with his brother, Secretary of State John Foster Dulles, he exercised
enormous power and helped overthrow governments from Iran to Guatemala to Congo.
Both men ran the C.I.A. during some of its most active years, Dulles during the early cold war
and Mr. Petraeus during the era of drone strikes and counterinsurgency operations. And
both, it turns out, had high-profile extramarital affairs. For most of the 1920 and ’30s,
Dulles worked with his brother at the Wall Street law firm of Sullivan & Cromwell."

I) LeBor, Adam. "'The Brothers,' by Stephen Kinzer." The New York Times. November 08,
2013. Accessed April 14, 2018. https://www.nytimes.com/2013/11/10/books/review/the-
brothers-by-stephen-kinzer.html.

"John Foster Dulles and his brother, Allen, were scions of the American establishment. Their
grandfather John Watson Foster served as secretary of state, as had their uncle Robert
Lansing. Both brothers were lawyers, partners in the immensely powerful firm of Sullivan
& Cromwell, whose New York offices were for decades an important link between big
business and American policy making. John Foster Dulles served as secretary of state from
1953 to 1959; his brother ran the C.I.A. from 1953 to 1961.
Kinzer highlights John Foster Dulles’s central role in channeling funds from the United States to
Nazi Germany in the 1930s. Indeed, his friendship with Hjalmar Schacht, the Reichsbank
president and Hitler’s minister of economics, was crucial to the rebuilding of the German
economy. Sullivan & Cromwell floated bonds for Krupp A. G., the arms manufacturer, and
also worked for I. G. Farben, the chemicals conglomerate that later manufactured Zyklon B,
the gas used to murder millions of Jews. Of course, the Dulles brothers’ law firm was hardly
alone in its eagerness to do business with the Nazis — many on Wall Street and numerous
American corporations, including Standard Oil and General Electric, had “interests” in
Berlin. And Allen Dulles at least had qualms about operating in Nazi Germany, pushing
through the closure of the Sullivan & Cromwell office there in 1935, a move his brother
opposed. Allen Dulles spent much of World War II working for the Office of Strategic
Services, running the American intelligence operation out of the United States Embassy in
Bern, Switzerland. His shadowy networks extended across Europe, and his assets included
his old friend Thomas McKittrick, the American president of the Bank for International
Settlements in Basel, a key point in the transnational money network that helped keep
Germany in business during the war. The O.S.S. was dissolved in 1945 by President Truman,
but was soon reborn as the C.I.A."

J) Clayton, John. "Remarks at the Economic Club of New York." July 12, 2017. Accessed April
14, 2018. https://www.sec.gov/news/speech/remarks-economic-club-new-york.

"A. Enforcement and Examinations: "As a final comment on enforcement, I want to go back to
cybersecurity. Public companies have a clear obligation to disclose material information
about cyber risks and cyber events. I expect them to take this requirement seriously. I also
recognize that the cyber space has many bad actors, including nation states that have
resources far beyond anything a single company can muster. Being a victim of a cyber
 penetration is not, in itself, an excuse. But, I think we need to be cautious about punishing
responsible companies who nevertheless are victims of sophisticated cyber penetrations.
B. Capital Formation: "My last point on capital formation is a reminder. There are
circumstances in which the Commission’s reporting rules may require publicly traded
companies to make disclosures that are burdensome to generate, but may not be material to
the total mix of information available to investors. Under Rule 3-13 of Regulation S-X,
issuers can request modifications to their financial reporting requirements in these
situations. I want to encourage companies to consider whether such modifications may be
helpful in connection with their capital raising activities and assure you that SEC staff is
placing a high priority on responding with timely guidance.

After the hack:

K) April 2018 Search for “Federal Policy Group” yields No Results

https://www.sec.gov/cgi-bin/browse-
edgar?company=federal+policy+group&owner=exclude&action=getcompany

L) April 2018 Search for “Clark Consulting” yields 3 results dating back only as far as August
2016
https://www.sec.gov/cgi-bin/browse-
edgar?company=clark+consulting&owner=exclude&action=getcompany

M) April 2018 Search for “Clark & Wamberg” yields No Results

https://www.sec.gov/cgi-bin/browse-
edgar?company=clark+%26+wamberg&owner=exclude&action=getcompany

N) April 2018 Search for Clark Inc. CEO “Wamberg” yields 38 Results spanning Jan 2006-Feb
2007 https://www.sec.gov/cgi-bin/srch-edgar?text=wamberg&first=2006&last=2018
O) April 2018 Search for “Pearl Meyer” yields No Results
https://www.sec.gov/cgi-bin/browse-
edgar?company=pearl+meyer+%26+partners&owner=exclude&action=getcompany

But, wholly incongrusously,

PROXY DISCLOSURE ENHANCEMENTS: Final Rule, SECURITIES AND EXCHANGE
COMMISSION § 17 CFR PARTS 229, 239, 240, 249 and 274 (2009). [RELEASE NOS. 33-
9089; 34-61175; IC-29092; File No. S7-13-09].

Hosted on: https://www.sec.gov/rules/final/2009/33-9089.pdf

"37. See letters from ABA and Pearl Meyer & Partners (“Pearl Meyer”) 59. See, e.g., letters
from ABA, Business Roundtable, Center on Executive Compensation, Cleary Gottlieb,
Compensia, Honeywell, Frederic W. Cook & Co., Inc., Pearl Meyer, Protective Life
Corporation, Securities Industry and Financial Markets Association (SIFMA), SCSGP, and
Towers Perrin. 64. See letters from Center on Executive Compensation, Hewitt, Pearl Meyer,
 Towers Perrin, and UniversitiesSuperannuation Scheme, et al. 66. See letters from Center on
Executive Compensation, and Pearl Meyer. 68. See, e.g., letters from ABA, Business
Roundtable, Center on Executive Compensation, Cleary Gottlieb, Compensia, Honeywell,
Frederic W. Cook & Co., Inc., Pearl Meyer, Protective Life Corporation, SIFMA,
SCSGP,and Towers Perrin. 74. See letters from Buck Consultants, Compensia, Pearl Meyer,
Protective Life Corporation, and United Brotherhood of Carpenters. 78. See, e.g., letters
from Center on Executive Compensation and Pearl Meyer. 80. See letters from Center on
Executive Compensation and Pearl Meyer. 87. See, e.g., letters from Cleary Gottlieb,
Compensia, Grant Thornton, Hewitt, Pearl Meyer, and Towers Perrin. We would not object if
companies voluntarily add a column captioned “Value of unexercised in-the-money
options/SARs at fiscal year end ($)” to the Outstanding Awards at Fiscal Year-End Table to
report these fiscal year end intrinsic values. 89. Commenters who addressed these topics
generally opposed expanding executive compensation disclosure beyond the named executive
officers, stating that it would not add meaningful information. See, e.g., letters from
BorgWarner, Business Roundtable, Hewitt, Pearl Meyer, SCSGP and SIFMA. 159. See
letters from Hewitt, Mercer, Pearl Meyer, and Towers Perrin."

mentions “Pearl Meyer” at least a dozen times. From this we know Pearl Meyer should have
some sort of indexed results in EDGAR. It is a reasonable reductive conclusion that data for
Pearl Meyer was lost in the hack. This is also true of Clark Consulting, who has been in the
securities industry for over 30 years and should have a bounty of search results available to
replicate and further examine.