Irving H. Picard v. Saul B. Katz et al

Filing 153

DECLARATION of DANA M. SESHENS in Support re: 143 MOTION in Limine TO BAR USE OF PREJUDICIAL PHRASE., 145 MOTION in Limine TO EXCLUDE STERLING STAMOS DOCUMENTS.. Document filed by Charles 15 Associates, Charles 15 LLC, Charles Sterling LLC, Charles Sterling Sub LLC, College Place Enterprises LLC, Coney Island Baseball Holding Company LLC, Estate of Leonard Schreier, FFB Aviation LLC, FS Company LLC, Fred Wilpon Family Trust, Arthur Friedman, Ruth Friedman, Iris J. Katz and Saul B. Katz Family Foundation, Inc., Judy and Fred Wilpon Family Foundation, Inc., Amy Beth Katz, David Katz, Dayle Katz, Gregory Katz, Howard Katz, Iris Katz, 157 J.E.S. LLC, Air Sterling LLC, BAS Aircraft LLC, Jason Bacher, Bon Mick Family Partners LP, Bon-Mick, Inc., Brooklyn Baseball Company LLC, C.D.S. Corp., Michael Katz, Saul B. Katz, Todd Katz, Katz 2002 Descendants' Trust, Heather Katz Knopf, Natalie Katz O'Brien, Mets II LLC, Mets Limited Partnership, Mets One LLC, Mets Partners, Inc., Minor 1 (REDACTED), Minor 2 (REDACTED), L. Thomas Osterman, Phyllis Rebell Osterman, Realty Associates Madoff II, Red Valley Partners, Robbinsville Park LLC, Ruskin Garden Apartments LLC, Saul B. Katz Family Trust, Michael Schreier, Deyva Schreier Arthur, See Holdco LLC, See Holdings I, See Holdings II, Sterling 10 LLC, Sterling 15C LLC, Sterling 20 LLC, Sterling Acquisitions LLC, Sterling American Advisors II LP, Sterling American Property III LP, Sterling American Property IV LP, Sterling American Property V LP, Sterling Brunswick Corporation, Sterling Brunswick Seven LLC, Sterling Dist Properties LLC, Sterling Equities, Sterling Equities Associates, Sterling Equities Investors, Sterling Heritage LLC, Sterling Internal V LLC, Sterling Jet II Ltd., Sterling Jet Ltd., Sterling Mets Associates, Sterling Mets Associates II, Sterling Mets LP, Sterling Pathogenesis Company, Sterling Third Associates, Sterling Thirty Venture LLC, Sterling Tracing LLC, Sterling Twenty Five LLC, Sterling VC IV LLC, Sterling VC V LLC, Edward M. Tepper, Elise C. Tepper, Jacqueline G. Tepper, Marvin B. Tepper, Valley Harbor Associates, Kimberly Wachtler, Philip Wachtler, Bruce N. Wilpon, Daniel Wilpon, Debra Wilpon, Fred Wilpon, Jeffrey Wilpon, Jessica Wilpon, Judith Wilpon, Richard Wilpon, Scott Wilpon, Valerie Wilpon, Wilpon 2002 Descendants' Trust, Robin Wilpon Wachtler. (Attachments: # 1 Exhibit A, # 2 Exhibit B, # 3 Exhibit C, # 4 Exhibit D, # 5 Exhibit E, # 6 Exhibit F, # 7 Exhibit G, # 8 Exhibit H, # 9 Exhibit I, # 10 Exhibit J, # 11 Exhibit K, # 12 Exhibit L, # 13 Exhibit M, # 14 Exhibit N, # 15 Exhibit O, # 16 Exhibit P)(Seshens, Dana)

EXHIBIT I

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C O N F I D E N T I A L

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UNITED STATES DISTRICT COURT
SOUTHERN DISTRICT OF NEW YORK
11-CV-03605(JSR)(HBP)

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IRVING H. PICARD, Trustee for
the Liquidation of Bernard L.
Madoff Investment Securities LLC,

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Videotaped
Deposition of:

Plaintiff,
KEVIN OKIMOTO

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vs.
SAUL B. KATZ, et al.,
Defendants.
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Transcript of testimony as taken by and before

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LESLIE ROCKWOOD, Certified Shorthand Reporter, RPR and

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Notary Public of the State of California, at the offices

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of Shearman & Sterling, Four Embarcadero, Suite 3800,

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San Francisco, California, on Friday, January 6, 2012,

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commencing at 9:39 a.m.

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PICARD v. KATZ, et al.

CONFIDENTIAL

KEVIN OKIMOTO 1/6/12
139

1

Q.

BY MS. BELL:

Yes.

The Summary Statistics,

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do you have an understanding as to what's being conveyed

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in these summary statistics that's listed on this page,

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SSMT01238228?

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A.

Well, as you can see on the page, it's both

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specifics about the firm asset metrics as well as the

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metrics associated with one particular fund, the Security

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Fund on our platform.

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10

Q.

Would this document be sent to investors of

Sterling Stamos?

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A.

It could have been.

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Q.

Would this document be sent to potential

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investors of Sterling Stamos?

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A.

Potentially.

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Q.

If you flip through to internal 23, and I'm

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sorry the numbers are a little blurred, but it's

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SSMT01238242.

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Do you see that?

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A.

I do.

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Q.

It says:

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"Professionals, Senior Investment

Team."

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Do you see that?

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A.

I do.

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Q.

It says:

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"Peter Stamos, Ashok Chachra, Ellen

Horing, Saul Katz, David Katz."
BENDISH REPORTING, INC.
877.404.2193

PICARD v. KATZ, et al.

CONFIDENTIAL

KEVIN OKIMOTO 1/6/12
140

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On that page, do you see that?

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A.

I do.

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Q.

Do you have an understanding in December of

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2004 that these were the members of the senior investment

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team at Sterling Stamos?

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MS. BIEBER:

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MR. DITCHFIELD:

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THE WITNESS:

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Objection.

You can answer.

Objection.

This isn't how I would define

our investment team.

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Q.

BY MS. BELL:

Okay.

How -- is the

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information that's represented on page 23 accurate in

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terms of who the members of the senior investment team

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are at that time, December 2004?

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MS. BIEBER:

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MR. DITCHFIELD:

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THE WITNESS:

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Objection.

Again, it wouldn't be the way

that I would define it.

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Objection.

Q.

BY MS. BELL:

How would you define the senior

investment team?

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A.

I view the senior investment team as those

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individuals that were full-time employees and engaged on

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a day-to-day basis for investment decisions within the

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firm.

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Q.

Is the information -- I'll ask the question

again -- represented on page 23 of Trustee's 266,
BENDISH REPORTING, INC.
877.404.2193

PICARD v. KATZ, et al.

CONFIDENTIAL

KEVIN OKIMOTO 1/6/12
141

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SSMT01238242, an accurate representation of the senior

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investment team as of December 2004 at Sterling Stamos?

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MS. BIEBER:

Objection.

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MR. DITCHFIELD:

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MS. BELL:

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THE WITNESS:

Objection.

You can answer.
Again, I don't see how my

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answer is any different from what I just gave a second

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ago.

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Q.

BY MS. BELL:

So just so that the record is

clear, this is not an accurate --

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A.

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This isn't how I would define it.
MR. DITCHFIELD:

Also objection to the

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characterization of the testimony.

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MS. BIEBER:

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Q.

BY MS. BELL:

Objection.

Yeah.

Why don't we go through each of

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these.

Was Peter Stamos, in terms of how you would

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define it, was he a member of the senior investment team

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at Sterling Stamos as of December 2004?

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A.

I would include him in that group.

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Q.

Ashok Chachra, was he a member of the senior

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investment team at Sterling Stamos as of December 2004?

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A.

Yes.

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Q.

Ellen Horing, would she be a member in terms

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of how you would define it of the senior investment team

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at Sterling Stamos as of December 2004?
BENDISH REPORTING, INC.
877.404.2193

PICARD v. KATZ, et al.

CONFIDENTIAL

KEVIN OKIMOTO 1/6/12
142

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A.

I'm not sure if I'd include her in that group

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Q.

Okay.

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A.

She was more engaged with investment

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or not.

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decisions and day-to-day interactions with the portfolio

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management team, but I don't recall at this period of

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time how much time she was actually dedicating to

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Sterling Stamos versus some of her other pursuits.

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10

Q.

When you say "She was more engaged," more

engaged in relation to what, what are you referring to?

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A.

Some of these other names I see on the list.

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Q.

Let's talk about Saul B. Katz.

Was he a

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member of the senior investment team of Sterling Stamos

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as of December 2004 the way that you would define it?

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A.

I would not define him in that group.

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Q.

What about David M. Katz, was he a member of

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the senior investment team of Sterling Stamos as of

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December 2004?

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A.

I would not include him in that group.

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Q.

Okay.

If you go to the second document

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that's attached that begins with Bates Number

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SSMT01238252.

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Do you see that?

It's entitled "Sterling

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Stamos, Security Fund, LP, Marketing Supplement,

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October 2004."
BENDISH REPORTING, INC.
877.404.2193

PICARD v. KATZ, et al.

CONFIDENTIAL

KEVIN OKIMOTO 1/6/12
152

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A.

I do.

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Q.

If you flip over to page 3, the last heading

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says:

"Saul B. Katz: Mr. Katz is a General Partner of

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Sterling Stamos and is actively involved in the

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investment decisions as well as the management of

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Sterling Stamos."

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Do you see that?

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A.

I see that.

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Q.

Did you have an understanding in February of

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2005 that Mr. Saul Katz was involved in the investment

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decisions of Sterling Stamos?

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A.

I would not define him in that capacity and I

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don't know if -- who prepared this document and whether

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or not this document is final.

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draft form.

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to the final form or not.

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Q.

It looks like it's in

So I'm not sure if this even made it through

How did you come by the understanding that

this document is in draft form?
A.

On the first page there are open answers that

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say still to discuss with two lawyers in our firm, Jared

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Kanover and Jeremy Glaser.

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Q.

Okay.

Turn to page 4.

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time, so -- on the tape.

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We're almost out of

"Investment Management."

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Number 11, where it says

Do you see that?

"Peter, Ashok, Ellen, David

BENDISH REPORTING, INC.
877.404.2193

PICARD v. KATZ, et al.

CONFIDENTIAL

KEVIN OKIMOTO 1/6/12
153

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K. and Saul K."?

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A.

I do.

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Q.

Did you have an understanding of whether

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David Katz was part of the investment management team at

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Sterling Stamos as of February 2005?

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MS. BIEBER:

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THE WITNESS:

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MS. BELL:

I would not qualify him in my

You can put this exhibit to the

side.

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You can answer.

definition.

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Objection.

THE VIDEOGRAPHER:
Tape 2.

Okay.

This is the end of

We're off the record at 2:48.

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(Recess.)

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THE VIDEOGRAPHER:

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Tape 3.

This is the beginning of

We're on the record at 3:06.
Q.

BY MS. BELL:

Mr. Okimoto, you testified this

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morning that you gave deposition testimony in Bayou; is

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that correct?

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A.

Correct.

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Q.

Was Sterling Stamos an investor in Bayou?

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A.

Yes.

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Q.

And how did you come to give deposition

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testimony in Bayou?

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MS. BIEBER:

Objection.

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You can answer.
BENDISH REPORTING, INC.
877.404.2193