EFTA Document EFTA01406598

Subject: RE: Southern Financial LLC - KYC and credit derivatives/convertible bonds onboarding [C] [I] From: Zack Bunimovich Date: Fri, 30 Mar 2018 12:53:31 -0400 To: Xavier Avila Cc: Nina Tona Martin Zeman Davide-A Sferrazza Liam Osullivan Classification: For internal use only I believe the Credit Derivatives side can only be opened under DBAG. From: Xavier Avila Sent: Friday, March 30, 2018 12:34 PM To: Zack Bunimovich Cc: Nina Tona ; Martin Zeman a; Davide- A Sferrazza ; Liam Osullivan Subject: RE: Southern Financial LLC - KYC and credit derivatives/convertible bonds onboarding [C] [I] Thanks Zack, good to know on GED DBSI, I will speak to the Equities team on Monday and confirm if we need DBAG. On the Credit Derivatives side do we know if DBAG or DBSI? We should match what we have for example with Parkwood, Nina? Xavier Avila Managing Director Deutsche Bank Securities Inc EFTA01406598 From: Zack Bunimovich Date: Friday, Mar 30, 2018, 12:12 To: Xavier Avila Subject: RE: Southern Financial LLC - KYC and credit derivatives/convertible bonds onboarding [C] [I] Classification: For internal use only Hey — are you looking for GED out of DBAG? We have GED OTC already opened out of DBSI. Thanks, Zack From: Xavier Avila Sent: Friday, March 30, 2018 12:02 PM To: Zack Bunimovich Cc: Mathew Ne us Anthony Lentini ; Liam Osullivan Nina Tona Martin Zeman ; Rita Shte nberg Alastair Mackinla ; Davide-A Sferrazza ; ; Stephanie Dotto Subject: RE: Southern Financial LLC - KYC and credit derivatives/convertible bonds onboarding [C] [I] Thanks everyone, we are looking to extend relationship to OTC Credit Derivatives and GED (OTC Equity Derivatives). We have trades to execute when this is done. EFTA01406599 Xavier Avila Managing Director Deutsche Bank Securities Inc From: Zack Bunimovich Date: Friday, Mar 30, 2018, 11:26 To: Liam Osullivan , Nina Tona , Xavier Avila Martin Zeman , Rita Shteynberg Cc: Mathew Ne us , Alastair Mackinlay , Davide-A Sferrazza Anthony Lentini Subject: RE: Southern Financial LLC - KYC and credit derivatives/convertible bonds onboarding [C] [I] Classification: For internal use only Hi Liam, Thanks for this. We are good to go from a KYC perspective. The team is just working on the operational/downstream pieces now. Thanks, Zack From: Liam Osullivan EFTA01406600 Sent: Friday, March 30, 2018 10:32 AM To: Zack Bunimovich Xavier Avila Shteynberg Cc: Mathew Ne us Anthony Lentini Subject: RE: Southern Financial LLC - KYC and credit derivatives/convertible bonds onboarding [C] [I] Nina Tona ; Martin Zeman ; ; Rita ; Alastair Mackinlay Davide-A Sferrazza Zack, Richard is on the board of Southern Trust Co. Southern Trust Co. is the sole member of Southern Financial LLC. The first page of the attached lays out the relationship between Southern Trust Co. and Southern Financial LLC. The 16th page named Richard as member of the board of Sourhern Trust Co. Thanks Liam Sent with BlackBerry Work (www.blackberry.com) From: Zack Bunimovich e > Date: Friday, Mar 30, 2018, 9:13 AM EFTA01406601 To: Nina Tona , Xavier Avila < , Martin Zeman , Rita Shteynberg Cc: Liam Osullivan , Alastair Mackinla Davide-A Sferrazza , Anthony Lentini , Mathew Ne'us Subject: RE: Southern Financial LLC - KYC and credit derivatives/convertible bonds onboarding [C] [I] Classification: For internal use only Hi Nina, Can you clarify the relationship between Richard Kahn at HBRK Associated and Southern Financial? To the KYC team this note from Richard can seem like a random associate from a different firm is confirming information for Southern. Additionally the team will need confirmation that Richard is an authorized signatory, on the board for Southern, a C-suite executive, or within the Legal department? Thanks, Zack From: Nina Tona Sent: Thursday, March 29, 2018 11:23 AM To: Zack Bunimovich Cc: Liam Osullivan ; Alastair Mackinla Davide-A Sferrazza ; Anthony Lentini Martin Zeman ; Mathew Ne'us ; Xavier Avila ; Rita Shteynberg EFTA01406602 Subject: RE: Southern Financial LLC - KYC and credit derivatives/convertible bonds onboarding [C] [I] Classification: For internal use only Hi Zack, Please see the attached confirmation from the client. Let us know what the next step is. Thank you Nina Tona From: Zack Bunimovich Sent: Tuesday, March 27, 2018 5:53 PM To: Xavier Avila Rita Shteynberg Nina Tona Cc: Liam Osullivan < Davide-A Sferrazza < Martin Zeman ; Jitan Patel ; Alastair Mackinlay ; Mathew Ne us ; Anthony Lentini Subject: RE: Southern Financial LLC - KYC and credit derivatives/convertible bonds onboarding [C] [I] Classification: For internal use only Hi Xavier, EFTA01406603 I believe Martin was reaching out to Southern to obtain one more confirmation regarding the KYC information that was provided. We spoke last week. Thanks, Zack From: Xavier Avila Sent: Tuesday, March 27, 2018 4:01 PM To: Martin Zeman ; Zack Bunimovich >; Rita Shteynber' Patel • Nina Tona Cc: Liam Osullivan ; Mathew Ne us ; Alastair Mackinla Davide-A Sferrazza ; Anthony Lentini ; Jitan Subject: RE: Southern Financial LLC - KYC and credit derivatives/convertible bonds onboarding [C] Zack/Nina, what is the latest on SF KYC/Extension to Credit Derivs? Thanks Xavier Avila Managing Director Deutsche Bank Securities Inc From: Martin Zeman ‹ > Date: Thursday, Mar 15, 2018, 13:08 To: Zack Bunimovich , Rita Shte nberg >, Jitan Patel , Nina Tona Cc: Xavier Avila Liam Osullivan EFTA01406604 , Mathew Ne us , Alastair Mackinlay < , Davide-A Sferrazza , Anthony Lentini Subject: RE: Southern Financial LLC - KYC and credit derivatives/convertible bonds onboarding [C] Classification: Confidential Zack — thanks, please keep the foot on the pedal. Also, adding Nina Tona who I forgot to include on last email. From: Zack Bunimovich Sent: Thursday, March 15, To: Martin Zeman Cc: Xavier Avila Mackinlay Anthony Lentini Subject: RE: Southern Financial LLC bonds onboarding [C] 2018 12:29 PM >; Rita Shte nber Patel ; Liam Osullivan ; Alastair ; Davide-A Sferrazza Classification: Confidential Classification: Confidential Hi Martin, < M> - KYC and credit derivatives/convertible I'm verifying with the KYC team that the provided documents and the information below fulfills all of the requirements. We have this account set as one of the highest priorities in our pipeline, so operational setups will be focused on as soon as this piece is settled. EFTA01406605 Thanks, Zack From: Martin Zeman Sent: Wednesday, March 14, 2018 5:09 PM To: Zack Bunimovich Cc: Xavier Avila Mackinlay < ; Rita Shte nberg ; Liam Osullivan us a; Alastair ; Davide-A Sferrazza Anthony Lentini Subject: Southern Financial LLC - KYC and credit derivatives/convertible bonds onboarding [C] Importance: High Classification: Confidential Zack, See attached for what Nina Tona sent in the last email in this chain and I am adding the Formation Document. This should complete everything you asked for in your email from March 13. We have a pending trade with the client in credit derivatives next week. Can you please put this as a priority? Source of Wealth: The source of wealth is Jeffrey Epstein as the sole shareholder. Jeffery Epstein began his financial career in 1976 as an options trader at Bear Stearns and became a partner in 1980. In 1982, Epstein founded his own financial management firm, J. Epstein & Co., managing the assets of clients with more than a billion in net worth. In 1996, Epstein changed the name of his firm to The Financial Trust Company and based it on the island of St. Thomas in the US Virgin Islands, which merged into Southern Financial LLC. EFTA01406606 All of his clients were anonymous except for the very wealthy businessman Leslie Wexner. His wealth has come from his days at Bear Stearns and his financial management firms. Client Contact: Richard Kahn Formation Document: Attached LLC Documents include the Articles of Organization, Thanks, Martin From: Nina Tona Sent: Tuesday, March 13, 2018 11:41 AM To: Zack Bunimovich < >; Xavier Avila Cc: Rita Shteynberg Martin Zeman ; Mathew Negus ; Jitan Patel ; Davide-A Sferrazza Anthony Lentini < Subject: RE: SF [I] [C] Classification: Confidential Zack, ; Alastair Mackinlay EFTA01406607 I believe some of the below was already provided back in Feb. Please review below and attached to make sure they are sufficient and we'll get back on the additonal. Ownership - Broken down to 10% (Org chart with %'s of ownership or confirmation from Senior Client Rep explaining the ownership breakdown) Legal Reps — Identify and Verify UBO's - Identify and Verify Source of Funds — Identification & Verification (Annual Report) Source of Wealth — Identify and Verify Client Contact for Patriot Act disclosure email Formation Document (Cert of Incorp, etc) Nature of Business Doc Organization Chart o Per attachment "Southern Financial Operating Agreement" (pages 1, 16) § Southern Trust Company Inc. is the sole member of Southern Financial LLC Jeffrey Epstein is the sole shareholder of Southern Trust Company Inc. UBOs (Owners) that own greater than 10% o Jeffrey Epstein is the sole UBO (see "Organization Chart" above) The source of funds for the UBOs (owners) that are greater than 10% EFTA01406608 o Jeffery Epstein began his financial career in 1976 as an options trader at Bear Stearns and became a partner in 1980. In 1982, Epstein founded his own financial management firm, J. Epstein & Co., managing the assets of clients with more than a billion in net worth. In 1996, Epstein changed the name of his firm to The Financial Trust Company and based it on the island of St. Thomas in the US Virgin Islands, which merged into Southern Financial LLC. All of his clients were anonymous except for the very wealthy businessman Leslie Wexner. His wealth has come from his days at Bear Stearns and his financial management firms. List of Legal representatives o Per attachment "Southern Financial Operating Agreement" (pages 16) § Jeffrey Epstein, Darren K. Indyke, Richard Kahn Annual report o See attachments "Southern Financial LLC Financials June 2017" and "Southern Trust Company Inc. Financials June 2017" for latest financial statements Thank you Nina Tona From: Zack Bunimovich Sent: Tuesday, March 13, 2018 11:16 AM To: Martin Zeman ; Xavier Avila Cc: Nina Tona ; Rita Shteynberg Mathew Negus ›; Jitan Patel Alastair Mackinlay >.; Davide-A Sferrazza ; Anthony Lentini Subject: RE: SF [I] [C] EFTA01406609 Classification: Confidential Hi Martin, I just received the finalized KYC review yesterday. Even though the entity is opened for other products, it is outside of its KYC review date and is triggering a high risk rating. In order to approve the account, the team will need the following: Ownership - Broken down to 10% (Org chart with %'s of ownership or confirmation from Senior Client Rep explaining the ownership breakdown) Legal Reps — Identify and Verify UBO's - Identify and Verify Source of Funds — Identification & Verification (Annual Report) Source of Wealth — Identify and Verify Client Contact for Patriot Act disclosure email Formation Document (Cert of Incorp, etc) Nature of Business Doc Thanks, Zack From: Martin Zeman Sent: Monday, March 12, 2018 10:19 AM To: Zack Bunimovich <M >; Xavier Avila Cc: Nina Tona Mathew Negus Alastair Mackinlay ; Zach Subject: RE: SF [I] [C] Price ; Rita Shteynberg ; ; Jitan Patel ; Davide-A Sferrazza EFTA01406610 Classification: Confidential Morning Zack, We haven't heard back from you on Friday. Can you let us know what the timeline looks like today please? Thanks, Martin From: Zack Bunimovich Sent: Friday, March 09, 2018 11:30 AM To: Xavier Avila ; Martin Zeman < Cc: Nina Tona ; Rita Shteynberg < Mathew Negus ; Jitan Patel Alastair Mackinlay ; Davide-A Sferrazza Zach Price Subject: RE: SF [I] [C] Classification: Confidential Xavier, The fund was still undergoing a KYC review per my last contact with the team. I will check again today. Thanks, Zack EFTA01406611 Subject: Re: SF [I] From: Xavier Avila Sent: Friday, March 09, 2018 10:32 AM To: Martin Zeman Cc: Nina Tona Rita Shte nber ; Zack Bunimovich <a• ; Mathew Ne us ; Jitan Patel ; Alastair Mackinlay ; Davide-A Sferrazza Zack, what is the status on this urgent request? Xavier Avila Managing Director Deutsche Bank Securities Inc Mobile: Email: On Mar 5, 2018, at 15:09, Martin Zeman < › wrote: Classification: For internal use only Zack, Please go ahead and set them up for credit derivatives as well as convertible bonds. The credit derivatives is a priority and rather urgent. Client is ready to trade. Thanks Martin EFTA01406612 From: Nina Tona Sent: Monday, March 05, 2018 3:07 PM To: Martin Zeman Shteynberg titan Patel Cc: Alastair Mackinla Subject: RE: SF [I] Zack Bunimovich ; Xavier Avila ; Rita ; Mathew Negus < ; Mathew Negus Classification: For internal use only ; Davide-A Sferrazza Martin — Please confirm we don't need SF to be extended for anything else besides credit derivatives and the products already onboarded. Thank you Nina Tona From: Zack Bunimovich Sent: Monday, March 05, 2018 12:58 PM To: Xavier Avila Cc: Alastair Mackinlay ; Davide-A Sferrazza Mathew Negus ; Nina Tona Subject: RE: SF [I] Shte Mathew Negus ; Jitan Patel Classification: For internal use only ; Martin Zeman Hi Xavier, EFTA01406613 Nothing else is needed from your end at the moment. I will send this request to the KYC team for review and then setup. Can you confirm Credit Derivatives is the only necessary extension? I know Convertible Bonds were also in the discussion. I see the BR 1007494283 set up for a decent amount of products already. See below. <image001.jpg> Thanks, Zack From: Xavier Avila Sent: Monday, March 05, 2018 11:45 AM To: Rita Shteynberg ; Mathew Negus ; Jitan Patel ; Zack Bunimovich Cc: Alastair Mackinlay • Davide-A Sferrazza Mathew Negus < >; Nina Tona Subject: RE: SF [I] Thanks Rita. Zack, let us know what next steps are. From: Rita Shteynberg Sent: Monday, March 05, 2018 11:08 AM ; Martin Zeman EFTA01406614 Jitan Patel Zack Bunimovich < ; Mathew Negus < ; To: Xavier Avila Cc: Alastair Mackinlay ; Martin Zeman ; Davide-A Sferrazza Mathew Negus < >; Nina Tona Subject: RE: SF [I] Including Zack who will be the case manager on this. From: Xavier Avila Sent: Monday, March 05, 2018 10:59 AM To: Rita Shte nber Mathew Negus ; Jitan Patel Cc: Alastair Mackinlay Martin Zeman ; Davide-A Sferrazza Mathew Negus < >; Nina Tona Subject: RE: SF [I] Hi Rita/Mat, let us know what we need to extend SF to Credit Derivatives as the client is still live in one trade they want to execute. Thanks From: Rita Shteynberg Sent: Friday, March 02, 2018 12:41 PM To: Mathew Ne. Varley ; GM ACO ; lain Macara US Cc: Alastair Mackinlay ; Davide-A Sferrazza Anwar ; Tanushree Kirti Bunimovich Subject: RE: SF [I] ; Nina Tona < ; Jane ; Xavier Avila ; Jitan Patel ; Martin Zeman ; Aziz ; Zack EFTA01406615 Thanks for the confirmation. We will proceed with the onboarding. From: Mathew Negus Sent: Friday, March 02, 2018 12:34 PM To: Nina Tona ; Jane Varle Cc: Alastair Mackinlay ; Davide-A Sferrazza Anwar >; Tanushree Kirti Subject: RE: SF [I] GM ACO ; lain Macara ; Jitan Patel ; Martin Zeman ; Aziz I'll take this one for Jitan. As CIB green please proceed with the NCA process and the inherent KYC update. Thank you Mathew Negus Director I ICG Business Management I From: Nina Tona Sent: Friday, March 02 2018 12:22 PM To: Jane Varle ; GM ACO ; lain Macara ; Jitan Patel I I ; Xavier Avila Rita Shteynberg ; Mathew Negus Cc: Alastair Mackinlay < ~>; Martin Zeman EFTA01406616 ; Davide-A Sferrazza ; Aziz Anwar ; Tanushree Kirti Subject: RE: SF [I] Importance: High Classification: For internal use only Jane — NCA is still in progress. Rita and her team are working on it. They stopped the NCA once they found out it was in red. Jitan will inform them now to complete the NCA. @Jitan — Please inform Rita to continue with the NCA. Thank you Nina Tona From: Jane Varley Sent: Friday March 02 2018 11:04 AM To: GM ACO ; Xavier Avila ; Rita Shteynber ; Mathew Negus Cc: Nina Tona ; Alastair ; Martin Zeman Sferrazza ; Aziz Anwar Tanushree Kirti Subject: RE: SF [I] Classification: For internal use only +Aziz and Tanu Mackinlay ; lain Macara ; Jitan Patel EFTA01406617 Hi Monika, This was a WM US retain from the Offboarding Clearing House process, that currently reflects in the overall CIB file colour (not coverage colour). Hence green. Nina — was NCA completed? We can't see it reflected in dbCAR (still appears delinquent) but I know that is part of the broader conversation that Julia is having with Paul Chapman. Thanks Jane From: Monika Valantiejute On Behalf Of GM ACO Sent: 02 March 2018 15:22 To: Xavier Avila ; lain Macara Rita Shteynber' ; Jitan Patel Mathew Negus ; Jane Varlet' Cc: Nina Tona - Alastair Mackin a Martin Zeman ; ; Davide-A Sferrazza < Subject: RE: SF [I] Classification: For internal use only Hi Xavier The GB adoption location is Red across all business but this is CIB Green for the US adoption location — as one of the businesses has asked to retain this. @Jane please confirm which business asked to retain? EFTA01406618 In these instances, the GM products will not be offboarded if another business has asked to retain and the KYC/ACO responsibility sits with that business. However, please also be aware that this is a High Risk client which is KYC deficient and was last reviewed in 2015. Please let me know if any other questions. Kind regards, <image002.png> Monika Valantiejute GM Project Mercury Deutsche Bank Winchester House, 1 Great Winchester Street, London, EC2N 2DB Tel. + Email From: Xavier Avila EFTA01406619 Sent: 02 March 2018 13:53 To: GM ACO Shteynberg ; lain Macara Rita ; Jitan Patel • Mathew Negus < Cc: Nina Tona < Alastair Mackinla ; Martin Zeman ; Davide-A Sferrazza < Subject: RE: SF [I] Thanks Monica, did we hear anything back? The client is asking questions and we have no clear answers or timeframe to give him. Thanks Xavier Avila Managing Director Deutsche Bank Securities Office: Mobile: From: GM ACO <= > Date: Thursday, Mar 01, 2018, 15:09 To: Xavier Avila >, Lain Macara < , Rita Shteynber >, Jitan Patel Mathew Negus >, GM ACO Cc: Nina Tona , Alastair Mackinla , Martin Zeman , Davide-A Sferrazza < Subject: RE: SF [I] Classification: For internal use only Hi Xavier EFTA01406620 I've reached out to Central Mercury to find out the CIB colour - I will update as soon as I hear back. Kind regards, <image002.png> Monika Valantiejute GM Project Mercury Deutsche Bank Winchester House, 1 Great Winchester Street, London, EC2N 2DB Tel. Email From: Xavier Avila Sent: 01 March 2018 19:25 To: lain Macara < Cc: Nina Tona Sferrazza Subject: RE: SF [I] ; Rita Shte nber ; Jitan Patel ; Mathew Negus ; Alastair Mackinla Martin Zeman ; Davide-A EFTA01406621 GM ACO, can you pls let us know what the issue is? We have a client trying to execute a transaction. Thanks From: lain Macara Sent: Thursday, March 01, 2018 11:48 AM To: Xavier Avila ; Rita Shteynber ; Mathew Negus Cc: Nina Tona ; Alastair Mackinlay ; Martin Zeman <a; Davide-A Sferrazza Subject: RE: SF [I] Gm ACO — can you liaise with central merc and establish the CIB colour on the rhp below? thx From: Xavier Avila Sent: 01 March 2018 16:08 To: lain Macara ; Jitan Patel Rita Shte nber ; Mathew Negus Cc: Nina Tona ; Alastair Mackinlay ; Martin Zeman < )-; Davide-A Sferrazza Subject: SF Ian, thanks for the call. So Rita who is the Case Manager seems to suggest that she sees Southern EFTA01406622 Financial Red and therefore we cannot extend it to Credit Derivatives, while we think we should see this Green from a KCP perspective. Bu you explain to me that the Red might be only when it comes to your ICG world. Can you pls clarify if this client is Red for everyone including KCP and if so how do we turn it Green, as discussed this is an example of a KCP Americas account that is ACOed by us, in this case myself. Thanks Xavi From: Nina Tona Sent: Thursday, March 01, 2018 11:00 AM To: Xavier Avila ‹ > Subject: SF <image003.png> Kind regards, <image004.gif> Nina Tona Associate Business Control Manager, Key Client Partners — Americas Deutsche Bank Wealth Management 5022 Gate Parkway EFTA01406623 Jacksonville, Florida 32256 Tel. 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