EFTA02633422

From: Richard Kahn < Sent: Wednesday, February 27, 2019 6:41 PM To: Jeffrey Epstein Subject: Fwd: ASU Origins to MIT Media Lab - Enhanced Education Richard Kahn HBRK Associates Inc. Begin forwarded message: From: =/b>Virginia DeSanto < Subject: =/b>RE: ASU Origins =o MIT Media Lab - Enhanced Education Date: =/b>February 27, 2019 at 11:34:31 =M EST To: =/b>Richard Kahn < Cc: Gretchen Buhlig < >, Helen Pearson < Explanations to your questions are in red =elow. Thanks, Ginny Virginia (Ginny) =eSanto, CPA, CGMA Treasurer EFTA_R1_01856431 EFTA02633422 ASU=Enterprise Partners ASU Foundation — University =ealty Skysong Innovations — ASURE — RCASU <mailto From: Richard Kahn < Sent: Wednesday, Februar 27, =019 7:26 AM To: Virginia DeSanto Cc: Gretchen Buhlig < >; =elen Pearson < > > Subject: Re: ASU Origins to MIT =edia Lab - Enhanced Education i reviewed the spreadsheet and do not =nderstand the following: a) way was =oundation A included in return of proceeds when their gifts were from =009-2015 In Dr. =rauss's termination agreement from ASU, it was committed that =e allow for the refund of gifts that fall into 2 categories: 1. Any donor who gave $4000 or more since 1/1/2017 would be =onsidered eligible for refund of those gifts; 2. Any donor who gave $300,000 or more since 2010 would be =onsidered eligible for refund of those gifts. Therefore we =ncluded all of Foundation A's gifts. There were over 500 =ndividual gifts into the project account and of them, there were only 2 =hat exceeded the $300,000 amount during fiscal year 2010 - 2019. =owever, it is a moot point since Foundation A did not request a refund =r redirection. b) it =ppears that only 707,122 was redistributed however your schedule shows =,209,479 remains The =ermination agreement also stated that ASU Foundation would determine =ow much of the gifts were considered unspent. It was determined =hat 35% (796,509) of the gifts given throughout the 10 years =emained unspent and that of the total amount of gifts given 76% related =o the 2 large gifts. The 707,122 is =he amount that is eligible for refunding. We received around 10 =equests for refund and we allowed certain donors (led by you) to =edirect their donations to MIT Media, which we agreed to in the spirit =f cooperation. The funds remaining in the account, after all refunds =nd redirections are completed, is considered to be from other donors =ho have not requested refunds or who were ineligible to make that =equest. &nb=p; Please remember that there is no legal requirement for the =oundation to refund or re-direct gifts since all gifts are =rrevocable. please =dvise thank you Richard Kahn HBRK Associates Inc. 2 EFTA_R1_01856432 EFTA02633423 On Feb 19, 2019, at 11:54 AM, Virginia =eSanto < <mailto > wrote: Please see below and attached. In =he spreadsheet, you can see that there were 2 donors whose remaining =unds added together totaled the $607 (cell J-26). The part that =elated to the Black's gift is marked as Foundation B which =otaled $467.150.08 (cell I-26). Thanks, Ginny <mailto <image001.jpg> Virginia =Ginny) DeSanto, CPA, CGMA Treasurer ASU Enterprise =artners ASU=Foundation — University Realty Skysong =nnovations — ASU RE — RCASU From: Virginia =eSanto Sent: Monday, January 14, 2019 =:57 PM To: 'Richard Kahn' < > > Cc: Helen=Pearson <- >; =retchen Buhlig < <mailto Subject: RE: ASU Origins to MIT =edia Lab - Enhanced Education Dear Mr. Kahn, >>; I =eceived your voicemail as well as your request below. I'm sorry =t's been a bit for me to respond. I have been in meetings =11 morning and was traveling last week, so there has been a lot to =atch up on. I thought it would be =ood to share with you our method for thinking through many gifts that =ame in for the Origins Project, some of which have been spent on work =t ASU on the project and some that remain unspent. 3 EFTA_R1_01856433 EFTA02633424 We have received over =00 gifts for this project since 2009 totaling $3.3 million. Since =he numerous gifts come in with various timings and amounts and the use =f the funds also happens with various timing and amounts, it is not =ractical to provide an exact accounting first in/first out to see which =ctual dollars were spent. So instead, we looked at the data for =atural break points to estimate how much of the remaining funds might =e available. In negotiations with =r. Krauss, we agreed that if requested we would return gifts to donors =ased on the following criteria. Please notice that in doing so, =e are assuming that the earlier gifts would likely be spent in total =nd later gifts might have some portion left over. 1. Criteria A — we would return =00% of certain gifts (greater than $4000 each donation) that were =eceived after 7/1/2017, if requested by the donor. 2. Criteria B — we would return some =ercentage of the very large gifts (greater than $300k cumulative from =ne donor) based on a calculation of how much might be left of the =riginal gift. For Enhanced =ducation's request below, Criteria A would apply and we have =greed to refund or redirect the $25,000 gift that we received on =/3/2017. The earlier gifts from them are presumed spent. =hank you for providing the letter from them. On the attached =preadsheet, I am sharing the calculation for Criteria B. The =alculation looks at the amount of very large gifts to total gifts and =he amount of total gifts that remain unspent. Using that =nformation it determines that of the $2.6 m of very large gifts, $607k =emains unspent and that amount is pro-rated between the two qualifying =ery large donors. The Leon Black Family Foundation is represented =s Foundation B on this spreadsheet. I'm sorry for =he confusion between conversations and the calculated amount. As = nonprofit and in considering our fiduciary responsibility to all =onors and to the institution we exist to support (ASU), this is the =airest approach. We have decided to allow re-direction of the =emaining gift funds in place of a refund of the remaining gift funds in =n effort to accommodate the needs of the donors. Thank you for the =upport provided to ASU while Dr. Krauss's work was conducted =ere. Please feel free to contact me again at or via =eply to this email if you have any questions. Thanks, Ginny Virginia =Ginny) DeSanto, CPA, CGMA d Treasurer <image001.jpg> ASU Enterprise =artners ASU=Foundation — University Realty Skysong =nnovations — ASU RE — RCASU From: Richard =ahn < <mailto Sent: Monday, January 14, 2019 =:53 AM > > 4 EFTA_R1_01856434 EFTA02633425 To: Gretchen Buhlig < Cc: Virginia DeSanto < Subject: Re: ASU Origins to MIT =edia Lab - Enhanced Education Thank you Gretchen. Ginny =lease advise when I can expect as i would like to finalize ASAP. Thank =ou. Richard Kahn On Jan =4, 2019, at 10:50 AM, Gretchen Buhlig < > =rote: Mr.=Kahn, I have asked Ginny =eSanto, ASUF Treasurer, to send you the calculation for the Black =amily contribution to the Origins Project. Thanks, Gretchen Gretchen Buhlig CEO, ASU =oundation <image001.jpg> 11111111111 From: Richard Kahn < Sent: Monday, January 14, 2019 =:42 AM To: Gretchen Buhlig < Subject: Re: ASU Origins to MIT =edia Lab - Enhanced Education can you please send the =alculation this am.. thank =ou rich On Fri, Jan =1, 2019 at 5:05 PM Gretchen Buhlig < > =rote: Thank you for the Enhanced Education =uthorization. I will send the Black calculation on Monday. Sent from my iPhone 5 EFTA_R1_01856435 EFTA02633426 <mailto: On Jan 11, 2019, at 12:41 PM, =ichard Kahn < » wrote: attached is the signed authorization =rom Enhanced Education regarding Leon Black can you please provide =alculation on the 467,150 amount to be transferred as Mr Epstein was =nder the impression from previous conversations that the amount was =loser to 700,000 <mailto: > <mailto: thank you Richard Kahn Begin forwarded message: From: Richard =ahn < Subject: MIT Date: January =1, 2019 at 2:28:53 PM EST To: Rich Kahn = ICE < <image002.jpg> Richard =ahn HBRK Associates Inc 6 EFTA_R1_01856436 EFTA02633427 <=div> <Bookl.xlsx> 4=iv> 7 EFTA_R1_01856437 EFTA02633428