United States of America v. $7,870,530.02 Formerly on deposit at BBVA Compass Bank in Account Number 2525668196, held in the name of Quad Graph et al

Filing 4

STIPULATION AND ORDER OF SETTLEMENT: The Defendant Funds shall be released to Conde Nast by payment of sum of $7,917,667.93 plus interest accrued thereon to an account to be designated by Conde Nast's counsel on form USM-3881, as set forth in this stipulation. (Signed by Judge Jed S. Rakoff on 6/6/2011) (jpo)

JTJN-06-20 11

17: 43

P.002

UNITED STATES DISTRICT COURT
SOUTHERN DISTRICT OF NEW YORK
-x
UNITED STATES OF AMERICA,
Plaintiff I
STIPULATION AND, ORDER
OF SETTLEMENT

- v. -

$7,870,530.02 FORMERLY ON DEPOSIT AT
BBVA COMPASS BANK IN ACCOUNT NUMBER
2525668196, HELD IN THE NAME Of QUAD
GRAPH, and

11 Civ. 2187 (JSR)

$47,137.91 FOffi1ERLY ON DEPOSIT AT
BBVA COMPASS BANK IN ACCOUNT NUMBER
2525763350, HELD IN THE NAME OF ANDY
SURF}l.CE;
Defendants~in-rem.

-x
WHEREAS, on March 30, 2011, the United States of
America brought this action pursuant to Title 18, Unitee; States
Code, Section 981 (a)

(1)

(A) by the filing of a Verified Complaint

seeking the forfeiture of the following:
$7,870,530.02 FORMERLY ON DEPOSIT AT BBVA
COMPASS BANK IN ACCOUNT NUMBER 2525668196,
HELD IN THE NAME OF QUAD GRAPH;
$47,137.91 FORMERLY ON DEPOSIT AT BBVA
COMPASS BANK IN ACCOUNT NUMBER 2525763350,
HELD IN THE NAME ANDY SURFACE;

(together, the

"Defendan~

Funds");

WHEREAS, in recognition of potential claims t6 the
Defendant Funds by Conde N<1st and for the purpose of se::tling
this matter without further litigation, the Office of

t~e

United

States Attorney for the Southern District of New York

a~d Cond~

JUN-06-2011

17:43

P.003

Nast agree that the Defendant Funds should be released

Conde

tCI

Nast on the terms and conditions set forth below.
NOW,

THEREFORE,

IT IS HEREBY STIPULATED, ORDERED AND
i~~s

AGREED by and between the United State1:l of Americ<l, by

attorney Preet Bh2lrara, United States Attorney for the $'mthern
District of

York, Assistant United States Attorney Mlchael D.

N~w

Lockard, of counsel, and Conde Nast, by and through its

,~ttorney

Yvonne Quinn, Esq., Sullivan & Cromwell, LLP, that:
1.

The Defendant Funds shall be released to

~ond'

Nast by payment of the sum of $7,917,667.93 plus interest accrued
thereon to an account to be designated by

Cond~

Nast's counsel on

Form USM-3881 (ACH Vendor/Miscellaneous Payment Enrollment Form)
( Rev.

03/10) .
2.

Condi Nast is hereby barred from

asserti~g,

or

aSSisting others in asserting, any claim against the Uni,:ted
States or any of its agents and employees (including, wfthout
limitation, th::; United States Attorney's Office for the.Southern
District of New York
Service ("USSS")

r

("USAO-SDNY~)

and the United

State~

and any agents and employees of the

Secret

U~IAO-SDNY

and the USSS), in connection with or arising out of the seizure,
restraint, and/or constructive possession of

~he

Def~nd~nt

Funds,

including, but not limited to, any claim that there was no
probable cause to seize the Defendant Funds, that

2

Conde.l~a$t

is a

JUN-06-2011

17:43

P.004

prevailing party f or that Conde Nast is entitled to

atto;~ney' B

fees or any award of interest.
3.

Conde Nast agrees to hold harmless and indemnify

the United States or any of :i.ts agents and employees

(in'~luding

but not limited to the USAO-SDNY and the USSS, and any aqents and
employees of the USAO-SDNY and the USSS), from any third'-party
claims of any interest in the Defendant Funds.
q.

This Stipulation and Order of Settlement 1hal1 in

no way be deemed an admission of culpability, liability/or guilt
on behalf of Conde Nast or the United States or any of

t~eir

respective agents, officers, or employees / past and pres,;nt.
Further, this Stipulation and Order shall in no way

con~titute

any reflection upon the merits of any claim and defenses.. that may
be asserted respectively by the United States and Cond& Nast.
5.

The pilrties hereby waive all rights to

c~'illlenge

or contest the validity of this Stipulation and Order.
6.

Each party to this Stipulation and Order

~hall

bear its own costs and attorney's fees.
7.

This Stipulation and Order constitutes

tt~

complete agreement betweon the parties hereto and may net be
amended except by written consent thereof.
8.

This Stipulation may be executed in counterparts,

each of which shall be deemed an original, and all of which, when
taken together, shall be deemed the complete Stipulatiok and

3

JUN-06-2011

P.OOS

17:43

Order.

Signature pages may be by fax

0=

by .pdf and

suc~

signatures shall be deemed as valid originals.
Agreed and consented to:
PREET BHA.RARA

United States Attorney for the
Southern District of New York
Attorney for Plaintiff

BY'~

MICHD ~L()RD

Assis ant United States Attorney

One St. Andrew's Plaza

New York, New York 10007

[phone]

CONDE NAST

By:
DATi

7

.

DAr)zf'.-­

ONNE S. QU N~ ESQ.
ullivan & Cromwell ~LP
125 Broad Street
New York, New. York 10004
[phone]
Atto=neys for Conde Nast
SO ORDERED:

DA.TE

,

4

TOTAL P.OOS