Epstein Secrets

Tim:stamp: 2/22/2010 4:35 PM CST AFFIDAVIT OF JAMES CAYNE STATE OF NEW YORK ) ) ss.: COUNTY OF NEW YORK) James Cayne, being duly sworn, deposes and says: 1. I am over twenty-one years of age and am com

:stamp: 2/22/2010 4:35 PM CST AFFIDAVIT OF JAMES CAYNE STATE OF NEW YORK ) ) ss.: COUNTY OF NEW YORK)

e Chief Executive Officer of The Bear Steams Companies. I also was Chairman of the Board from 2001 to 2008. 3. Warren Spector was Co-President and Co-Chief Operating Officers of The Bear Steams Companies from 2001 until August 2007. Mr. Spector was responsible for overseeing the hedge fund business of

the Arbitration Between x FINANCIAL TRUST COMPANY, INC. AND THE COUQ FOUNDATION, INC., Case Number: 09-00979 Claimant, -against- AFFIDAVIT OF JAMES E. CAYNE WARREN SPECTOR, Respondent. x STATE OF NEW YORK ) SS.: COUNT OF NEW YORK ) JAMES E. CAYNE, being duly sworn, deposes and says: I. I am the f

979 Claimant, -against- AFFIDAVIT OF JAMES E. CAYNE WARREN SPECTOR, Respondent. x STATE OF NEW YO

Executive Officer on January 8, 2008, but remained with Bear Stearns as the non-executive chairman through 2. Warren Spector was Co-President and Co-Chief Operating Officer of Bear Stearns from June 2001 to August 2007. Warren was forced to resign from those positions on August 5, 2007, but remained e

sibility for the initial investment analysis, purchase decisions, ongoing financial analysis and sale decisions relating to Bear Stearns stock. 9. James Cayne ("Cayne") was the Chief Executive Officer of Bear Stearns from 1993 until January 2008 and Chairman of the Board from 2001 until Bear Stearns' coll

he initial investment analysis, purchase decisions, ongoing financial analysis and sale decisions relating to Bear Stearns stock. 9. James Cayne ("Cayne") was the Chief Executive Officer of Bear Stearns from 1993 until January 2008 and Chairman of the Board from 2001 until Bear Stearns' collapse in

January 2008 and Chairman of the Board from 2001 until Bear Stearns' collapse in March, 2008. 10. Warren Spector ("Spector") was Co-President and Co-Chief Operating Officer of Bear Stearns from 2001 until August 2007. Spector was forced to resign these EFTA00729584 Case: 3:09-cv-00106 Document #: 1

109 3. Inflation of Capital By Using Incorrect Marks 110 V. 4. Misrepresentations to Regulators Relating to VaR DEFENDANTS' SCIENTER 112 A. James E. Cayne 112 B. Alan D. Schwartz 115 C. Samuel L. Molinaro. Jr. 116 D. Warren J. Spector 120 E. Alan C. Greenberg 121 F. Michael J. Alix 123

ns: mortgages originated by BEARRES and ECC that were sent directly into the securitization process at Bear Steams. CAO: Center for Audit Quality. Cayne: James E. Cayne, a director, Chairman of the Board and Chief Executive Officer of Bear Stearns during the Class Period. Cioffi: Ralph Cioffi, the B

ation process. RSU: Restricted Stock Units. Sarbanes-Oxley Act: Sarbanes-Oxley Act of 2002. Schwartz: Defendant Alan D. Schwartz, Co-President and Co-Chief Operating Officer of Bear Stearns. He became sole President on August 5, 2007. Scratch and Dent Loans: Risky mortgages that were already in default

internal control structure and procedures of the issuer for financial reporting. 357. In connection with the Company's 2006 Form 10-K, Defendants Cayne and Molinaro executed the applicable Rule 302 certification. 358. Defendants Schwartz and Molinaro filed identical certifications with respect to

olders' equity was 18.3%. "We are pleased with this excellent performance, revenues for the first quarter were up for every business segment," said James E. Cayne, chairman and chief executive officer of The Bear Steams Companies Inc. "Growing the company remains a core focus as we 164 EFTA00316892 Case 1:

hen his resignation was announced, Bear Steams share price plunged nearly 7%. B. Alan D. Schwartz 464. As Chief Executive Officer, Co-President, Co-Chief Operating Officer, and director of Bear Steams, Defendant Schwartz participated in the issuance of, and signed and certified as accurate and comple