EFTA02509272

From: jeffrey E. <[email protected]> Sent: Tuesday, February 24, 2015 1:21 PM To: Melanie Spinella Leon, Yesterday , I agai= spent hours upon hours of my time with your office. ,( =peak to brad to get flavor) and you and i will discuss the results in gory= gruesome detail on Friday. it mirrored many other weeks spent doing =he things that I don;t have the time to do. In order to keep things in perspe=tive, maybe reviewing an analogy I have used before with you, =A0might be helpful. You and your family are a 6 bill=on dollar corp. with an income between 250 -500 million dollars per year..C2 It contains a few operating biz's , a large wide array of =xisting investments, in various categories , a desire to enter into =thers. A panoply of loans, notes. purchases, wide range =f all types of taxes. , planes. boats homes.. trusts ,=rats. a crazy number of bank accts. ( with no oversight )=. law firms, acct firms, 800 page tax returns, foreign firms. art co=sultants. construction consultants bill payers, home mgmt.=vast multitude of Ilc's , including foreign, and =AO with all that you only have a combined overhead of less tha= 3 million dollars. I have previously se=t you the very same note that i have enclosed again belo= ,this time with highlights . I wrote it to you over a y=ar ago. As my acute disability ( selective memory) seems=to have been raised as one of your concerns , as a=rule I try to memorialize things in writing in an attempt to lay out=C2 issues that I fear may later turn out to be a problem. ie=C2 what i would and wouldn't do, - my responsibilities. etc =C2 and those things that are not. below you will find detail= of things that I thought needed to be done, so that yo= wouldn't find yourself in the very place where you curren=ly find yourself. however ,you chose to defer many of my sugge=tions- see below -,until only weeks ago. ! you chose to defer =the jpm acct. the art partnership on and on - into this year. an= though the 60- 50 40 timber emails all carried with it a clear warn=ng that you needed to do something re personnel if it were to stabil=ze,- you chose to wait. ONE YEAR AGO Feb 17 2014 i wr=te With =egard the more pressing issue I am uncertain of just how to proceed.=C2 I am torn, as my very strong inclination is not to be involved=at all . It is extremely time consuming, delicate, fraught with many=pitfall many that will make you very upset and a major pain in the ass. =AO I wrote you months ago that the quality of the people involved ne=d to be upgraded. ( lucky for me these last issues arose way b=fore the beginning of my involvement ) I am also aware however =AO of my overarching friendship obligations of ok, =given all the complexities who else can do it? problem. =A0Your family office needs a daddy. children with good intentions ar= running around , sniping , nitpicking with little direction. As a s=opgap measure I am suggesting , we put in Larry Delson to take c=arge Everyone would report t= him. Eileen included. He would however work for me. th=s is not, by a long shot my first choice as I prefer only bein= responsible and standing behind my own personal work ( i= the word DONE will no longer be transmitted to reflect status stated=C2 by others ) With no commitment on =y part whatsoever, to do it. So far as I have failed in my att=mpt in trying to think through the problem creatively .=C2 My organizations handling of=the more complex issues I believe you might find very costly,=C2 very ! ( however many structures available some risk sharing, m=ybe risk caps ,etc ) but would req=ire my teams doing the work , not yours. Ada shou=d be only a trust, grat administrator. not sure what=role you prefer for Eileen as you hired her initially to oversee inv=stments. whether Rich your controller stays or not, is not urg=nt. having EFTA_R1_01640506 EFTA02509272 Tom report to a new person,- is. coordi=ation with Suydam Kathy Gregory, I would suggest limiting to one=person. The increasing public profile needs to be taken into conside=ation. TODAY With y=ur acquiesence , Eileen did not report to Delson ( he acting as = conduit directly to me) , she continued to provide bad info to both=C2 you ( cash flows , stock accts, structures. sales Etc) =AO and me. and each time with my many annoying calls to you made immediate=y afterwards that she was g y !! No one was hired to run Y=UR office until two months ago , no one was even interviewed and ev=n now , Brad, a very nice man, is not even full time,(crazy ) Hours=upon hours of time need to be spent training him . and his new staff. =AO Eileen followed your instructions. not mine. in fact she continue= to ignore mine saying " but Leon said " or " i=s on Leon's desk etc " , You would become frust=ated when i pointed out each instance. of her obfuscation. original=y you were given the clear choice, but to save money ,you chose =AO not to hire my team . I was hired to do the architecture, you kep= your own team. with Eileen at the head. instructions were=given by me„ detailed but ignored by her. ( except in the instance= where I inserted myself and personally had to do the weeks of grunt=work ),ex. jpm morgan acct still not in u=e? That being said, If you do the cold calculation ,starting=C2 from where you were, to where you are currently . you h=ve made a hell of a deal. -- negotiating down my o=iginal amount requested , calling upon our friendship and sugg=sting that the Carlyn mess was partially my fault. (=though in that specific example , I had never been asked to do more than m=rely provide you the name of the most highly recognized =tty in the field, not consulted,nor even asked again =AO for my guidance along the way. ). I accepted t=e discount as your friend. ( by the way „suggesting now, tha= your Tom is now that last word on tax characterization, frankly is = bit much,-). however - that is all in the past. =AO In order to move forward I would ask =hat you realize that very unlike yours, My business is o=ly comprised of my personal attention and my personal time =AO . Time that I was forced to grossly overspend on your various iss=es last year. . As you are my very close friend I will not hav= you participate in a bidding process that I have decided i will hav= this year for my time . (hopefully a more fair way to allocat= ) I would also ask that you keep in mind that though our dea= expired months ago. (also keeping in mind , that your understanding of th= final payment terms neither reflected the emails or my memory, we f=nished it up your way. ) I have answered every call Brad , josl=n, Ada or you, have made . reviewed docs over and over/ u=til once again, I was forced to insert myself =trongly as I thought it dangerous not to. I made serious dollar and =ime concessions last year.very serious I am wiling to continue to a=commodate some of your concerns , but I am, under no circumsta=ces , none, willing to spend my time for free. its not fair. After c=eaning up Carlyn's mess, which was a few weeks and 30 million dollars=C2 . We were both highly aware of the dire circumstances in=which you found yourself last year, and in fact due predominately to its=C2 seriousness. and those very circumstances I took extra care in=our negotiations . (you had claimed I had you over a barrel , ( a ho=rible position to be in with my very close friend.), unfortunately I fear =hat if you are not cautious ,in the near future, another barrel will=appear of your own design ) I heard you when yo= said you believed i had already been paid for the work that is now requir=d. The art partnership has fully answered all your concerns and disc=arged all my obligations and more so.. ( FYI Carlyns art partnership that you referenced is =AOsimilar in only its title. ) You will also recall that you required that my pa=ments be at the end of my work not at the beginning as everyone else's=.( my work was never to include hours upon hours of training your st=ff). I eventually agreed, this of course should ma=e clear that the 2014 tax year that will close Oct 2015 =s not covered by our past agreement at all. I pointed this very fact out t= you when I initially proposed a multi year agreement right out of the box= you said you preferred not. As you said ,I have produced=C2 results to date, far in excess of even my own exalted opi=ion of my projections. I have devoted a monumental amount of my limited am=unt of time-- way, way in excess of our agreement. I will be f=ir, I am willing to roll in the amount still outstanding from last =ear if that helps .. However, As my best student , and m= only one, you are now capable of doing most, if not all= of the required work yourself. I can put my whiteboard away w=en you come to eat and just have fun, trade stories,. share moments =deas etc.. I am of course always available to guide you as a=friend if you choose that route . always . It will take a great deal=C2 of your time , but you will not have to spend any more money o= mine . We are scheduled to meet fri at 430 , I leave=at 5 am sat morning. 2 EFTA_R1_01640507 EFTA02509273 =AO please note The information conta=ned in this communication is confidential, may be attorney-client privi=eged, may constitute inside information, and is intended only for th= use of the addressee. It is the property of JEE Unauthorized use, d=sclosure or copying of this communication or any part thereof is strict=y prohibited and may be unlawful. If you have received this communic=tion in error, please notify us immediately by return e-mail or by e-ma=l to [email protected] <mailto:[email protected]> , and destroy this communication and all copies thereof,<=r>including all attachments. copyright -all rights reserved 3 EFTA_R1_01640508 EFTA02509274