EFTA01734957

Page 1 IN THE CIRCUIT COURT OF THE 17TH JUDICIAL CIRCUIT IN AND FOR BROWARD COUNTY, FLORIDA CASE NO: 09-062943 07 RAZORBACK FUNDING, LLC, et al, Plaintiffs, vs. SCOTT W. ROTHSTEIN, et al, Defendants. DAY 1 - AFTERNOON SESSION DEPOSITION OF SCOTT ROTHSTEIN DATE TAKEN: TIME: PLACE: Monday, December 12, 2011 1:00 p.m. - 5:00 p.m. 99 N.E. Fourth Street, Miami, FL Taken on Behalf of Razorback Examination of the witness taken before: Terri Wright United Reporting, Inc. 1218 Southeast Third Avenue Fort Lauderdale, Florida 33316 (954)525-2221 United Reporting, Inc. (954) 525- 2221 b97732c9•135c4176-8660-d4lcf251183a EFTA_R1_00015190 EFTA01734957 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Page 58 funds that were supposed to be held in trust? A It was simply what Frank and I had -- the whole reason it stayed in, Mr. Preve and I discussed from time to time the fact that anything we could do to add additional levels of security for the investors was good. So, it stayed in the package unless someone said they didn't want it. Q Now, the Epstein settlements were used by you based on actual cases with Jeffrey Epstein A Yes, on that. Q -- Palm Beach person? A Yes. Q Do you recall that? A Yes. Q And do you recall that my clients were D-3 investors who invested in that? A I do. Q That would be Discala and Von Allmen and other people of the Razorback group? A I do. Q Do you recall when they came to your office and you brought down boxes for Michael Legamaro to review? A The boxes were actually already in my office. Q Well, there's some testimony that you called and asked Ren Jenne and Fistas to bring them down and they United Reporting, Inc. (954) 525- 2221 b97732c9-e86c-41764660441c1251183a EFTA_R1_00015191 EFTA01734958 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Page 59 brought down boxes for you at a show, as to show these are the real cases? A I believe that a substantial number of the boxes were already in my office. And there were additional boxes and I did have people bring them to me. I don't remember who brought them to me, but yes. Q And do you recall Mr. Legamaro, what he did with respect to his review of those boxes of the cases? A I recall bringing the boxes in, the only real recollection I have of that meeting was after meeting with them and bringing the boxes in, I walked out for a period of time, let them go through the boxes, came back in, answered questions that they had and we went forward. Q You pulled out some kind of a flight manifest; do you recall that? A Yeah. At some point in time I believe it was either Brad Edwards or Russ Adler pointed out to me that one of the pieces of evidence they were using in the actual case was the flight manifest. And I actually used that to make a fairly big show. I found that those most of the time in these cases the more significant our underlying investigation was and the more tantalizing it was, the more interested the investors got. We had that real piece of evidence and we used it to our advantage to attempt to secure the investor. United Reporting, Inc. (954) 525- 2221 b97732c9-e85c-4176-a660-d41d251183a EFTA_R1_00015192 EFTA01734959 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Page 60 Q Did Russ help you make it more tantalizing, that manifest -- A Did he help me? Q Did he help you make it more tantalizing? A The only way Russ would have helped me make it more tantalizing was by just discussing the size of the case. But other than that, no, he didn't do anything that I recall during that meeting with regard to the actual manifest. I did. Q Didn't you add some sensational names to the manifest that weren't there to start with? A I did. I did. Q Tell us about that. A There were -- I said that there were additional manifests -- if I remember correctly, I said there were additional manifests that we had discovered containing Bill Clinton's name, Prince Andrew, all being shown flying with young girls on the plane. Q And do you know whether -- let me back up. The original manifests that were in evidence in the real case, didn't have those names on it? A No, but it's interesting you bring that up because the way I came up with Bill Clinton and Prince Andrew was Mr. Adler and Mr. Edwards both told me on different occasions that the reason the case - when we United Reporting, Inc. (954) 525- 2221 b97732c9•85c-4176-a660441c1261183a EFTA_R1_00015193 EFTA01734960 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Page 61 were discussing the actual real case, the reason it was becoming so, quote, unquote, tasty because they had information that he had been flying Bill Clinton around and Prince Andrews around, the piece that was missing from the real case was the connection to the young girls. Q The young girls - connection to the young girls was fiction, it was a lie? A Not as far as Mr. Epstein is concerned but as far as the other people are concerned, yes. Q Do you know whether Adler - Mr. Adler or Mr. Edwards injected any of that into the depositions in the real case in order to assist with the Ponzi? A I don't know -- No, no, I don't know whether they did that or not. I wouldn't think they would. Q When you were asked - this morning about Brad Edwards you really hesitated. I don't know if you know you did that. You were answering yes, no, maybe so. On him you really paused. A On the question as whether or not he would have turned us in, you mean? Q Whether he was a player or whether he was involved and you didn't quite answer. A Just because of the way I knew Brad and socialized with him, I did not know that he was at that level. There are certain people, Barry Stone, second he United Reporting, Inc. (954) 525- 2221 b97732e9-e86e-4176-3660-dticf2611133a EFTA_R1_00015194 EFTA01734961 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Page 62 found out about it would have absolutely done what was appropriately - supposed to do from an ethical standpoint. And then there were people who I would say would never do that. And then there are people in the middle. I believe Brad Edwards is probably in the middle. Q Did you have your investigators, that be Jenne and Wayne Black and Fistas investigate Epstein himself and try to get evidence from Epstein -- A I didn't know -- Q -- do you have of any knowledge of that? A No, sir. Q Did you instruct them to file any kind of pleadings in federal Court or anything like that in order to help you promote the Ponzi? A No. As far as the Epstein case is concerned, Mr. Scherer, I never asked Mr. Adler or Mr. Edwards or anyone else associated with that case to do anything for the purpose of furthering the Ponzi other than bring me the boxes. That was all my creation. Q Thank you. I'm going to talk to you about Ted Morse a little bit. You said he was one of your best friends, he was one of your intercircle? A Correct. United Reporting, Inc. (954) 525-2221 b97732c9-e85c-4176-a660-d41cf251183a EFTA_R1_00015195 EFTA01734962