Deposition of Scott Rothstein re - Trustee Services
Deposition of Scott Rothstein re - Trustee Services Deposition of Scott Rothstein re - Trustee Services
1 BY MR. GAY: Page 100 2 Q. Do you remember that you were previously 3 deposed in a number of adversary proceedings and 4 actually the main bankruptcy case, in the RRA 5 bankruptcy case -- 6 A. I do. 7 Q. -- back in December of last year? 8 A. I do. 9 Q. Specifically on December 16th, in a 10 deposition noticed in the Morse V. Rothstein action 11 you were asked the question about whether Ted Morse 12 ever talked to any of the Ponzi investors. Do you 13 remember that testimony? 14 A. I do. 15 Q. And in part you answered, in addition to a 16 number of other investors, there were two other 17 investors, and then you named Mr. Lipsitz and 18 Mr. Tonacchio. Do you remember that? 19 MR. SALIM: What page? 20 THE WITNESS: I do. 21 MR. GAY: 1162 through 1163. 22 MR. SALIM: Thank you. 23 BY MR. GAY: 24 Q. You went on to say, "When I say we never 25 talked about the Ponzi scheme, I mean that when we
1 were sitting around in a group, like a meeting with Page 101 2 me, Domenick and Barry, we didn't say, 'How is the 3 Ponzi going?'" And then you -- 4 A. That's correct. 5 Q. -- went on and said, "Okay. We certainly, 6 individually, frequently talked about the fraud and 7 things that were going on; but that out-loud group 8 thing, that did not occur." Do you remember that 9 testimony? 10 A. Yes. You are not -- I don't think you are 11 understanding my prior testimony correctly. 12 Q. You think I'm not understanding it 13 correctly? 14 A. I'm certain you are not understanding it 15 correctly. 16 Q. Tell me what the understanding should be. 17 A. The bulk of the conversation I'm talking 18 about has to do with my conversations with Ted Morse, 19 because I discussed, as you know from prior deposition 20 testimony, significant fraudulent activity with Ted 21 that we did not discuss in person. There were other 22 fraudulent things that Domenick and Barry and I 23 discussed separately, but you'll see nowhere in my 24 testimony am I saying that I told Domenick or Barry 25 that this was a Ponzi scheme.
- Page 49 and 50: 1 very long period of time. Page 49
- Page 51 and 52: 1 they could make a lot of money wi
- Page 53 and 54: 1 in reference to the Picou loan? P
- Page 55 and 56: 1 e-mail that goes with this specif
- Page 57 and 58: 1 explain that to me? Page 57 2 A.
- Page 59 and 60: 1 BY MR. GAY: Page 59 2 Q. And look
- Page 61 and 62: 1 excuse me. "Late payment penalty
- Page 63 and 64: 1 Q. But you would refer to each of
- Page 65 and 66: 1 determine whether or not a specif
- Page 67 and 68: 1 Morse and the Levys. Was there an
- Page 69 and 70: 1 A. You know, I don't recall speci
- Page 71 and 72: 1 Q. If you'd look at Document 0022
- Page 73 and 74: 1 A. Yes. Page 73 2 Q. That's an e-
- Page 75 and 76: 1 and it says an hour or less. Page
- Page 77 and 78: 1 Q. So when you generally refer to
- Page 79 and 80: 1 A. Yes, sir. Page 79 2 Q. So acco
- Page 81 and 82: 1 it says, "It was great getting to
- Page 83 and 84: 1 THE WITNESS: I don't. I don't hav
- Page 85 and 86: 1 e-mail, no, sir. Page 85 2 Q. Loo
- Page 87 and 88: 1 then when I finally did have the
- Page 89 and 90: 1 construction loan or something of
- Page 91 and 92: 1 A. I do. Page 91 2 Q. About the m
- Page 93 and 94: 1 couldn't decipher what was being
- Page 95 and 96: 1 A. I do. Page 95 2 Q. George who?
- Page 97 and 98: 1 BY MR. GAY: Page 97 2 Q. A few mo
- Page 99: 1 MR. PHILLIPS: Same. Page 99 2 THE
- Page 103 and 104: 1 time between myself and these peo
- Page 105 and 106: 1 Q. Did you, in fact, invest money
- Page 107 and 108: 1 A. Specifically, no. Sounds like
- Page 109 and 110: 1 illegal activity that I did with
- Page 111 and 112: 1 other business deals. More than t
- Page 113 and 114: 1 MR. SALIM: Because he's a liar, p
- Page 115 and 116: 1 that were associated with organiz
- Page 117 and 118: 1 crime or associates of organized
- Page 119 and 120: 1 A. Both ones that I was an invest
- Page 121 and 122: 1 are saying? Page 121 2 A. It's no
- Page 123 and 124: 1 was a distinction between a "sett
- Page 125 and 126: 1 BY MR. SALIM: Page 125 2 Q. If yo
- Page 127 and 128: 1 note was usurious? Page 127 2 A.
- Page 129 and 130: 1 deals or structured settlement de
- Page 131 and 132: 1 been owed money from RRA? Page 13
- Page 133 and 134: 1 A. Yes, sir. Page 133 2 Q. All ri
- Page 135 and 136: 1 MR. GAY: Objection to form. Page
- Page 137 and 138: 1 Q. And did you have an opinion as
- Page 139 and 140: 1 clients and what was going on on
- Page 141 and 142: 1 broken down? Page 141 2 A. That i
- Page 143 and 144: 1 on these "settlement deals"? Page
- Page 145 and 146: 1 yes, sir. Page 145 2 MR. SALIM: A
- Page 147 and 148: 1 "loan." Page 147 2 I think you ca
- Page 149 and 150: 1 asking? I mean, just generally as
1 we<strong>re</strong> sitting around in a group, like a meeting with<br />
Page 101<br />
2 me, Domenick and Barry, we didn't say, 'How is the<br />
3 Ponzi going?'" And then you --<br />
4 A. That's cor<strong>re</strong>ct.<br />
5 Q. -- went on and said, "Okay. We certainly,<br />
6 individually, f<strong>re</strong>quently talked about the fraud and<br />
7 things that we<strong>re</strong> going on; but that out-loud group<br />
8 thing, that did not occur." Do you <strong>re</strong>member that<br />
9 testimony?<br />
10 A. Yes. You a<strong>re</strong> not -- I don't think you a<strong>re</strong><br />
11 understanding my prior testimony cor<strong>re</strong>ctly.<br />
12 Q. You think I'm not understanding it<br />
13 cor<strong>re</strong>ctly?<br />
14 A. I'm certain you a<strong>re</strong> not understanding it<br />
15 cor<strong>re</strong>ctly.<br />
16 Q. Tell me what the understanding should be.<br />
17 A. The bulk <strong>of</strong> the conversation I'm talking<br />
18 about has to do with my conversations with Ted Morse,<br />
19 because I discussed, as you know from prior deposition<br />
20 testimony, significant fraudulent activity with Ted<br />
21 that we did not discuss in person. The<strong>re</strong> we<strong>re</strong> other<br />
22 fraudulent things that Domenick and Barry and I<br />
23 discussed separately, but you'll see nowhe<strong>re</strong> in my<br />
24 testimony am I saying that I told Domenick or Barry<br />
25 that this was a Ponzi scheme.