Epstein Secrets

M. Zwirn Asia/Pacific Special Opportunities Fund, M. (the "Asia Pacific Fund"). These funds are referred to collectively herein as the "Funds". The Zwirn Entities M. Zwirn Partners, LLC, the General Partner of the Domestic Fund, the TE Fund and the Asia Pacific Fund prior to the transition from Zwirn

Fund prior to the transition from Zwirn to Fortress ("DBZGP"). M. Zwirn & Co., M., the Investment Manager of the Funds prior to the transition from Zwirn to Fortress ("DBZCO"). The Fortress Entities Fortress Investment Group LLC, a registered investment advisor that is affiliated with the entities t

n-privileged or, if privileged, is relevant to the business of managing the Funds and the Managed Accounts. I cannot be certain, but I suspect that Schulte is the legal counsel in respect of which those attorney client privileges are claimed by DBZCO under the Information Sharing Agreement It is my und

were invalid and set forth the schedule of eligible withdrawal dates for FTC's investments. FTC did not respond to the letter by claiming that Mr. Zwirn had promised to honor FTC's demand for $80 million. 17 EFTA00613924 FTC subsequently submitted a request for complete withdrawal on February 13,

Zwinz & Co., L.P., DBZ GP, LLC, and Zwirn Holdings, LLC EFTA00613904 Table of Contents Preliminary Statement 1 Statement of Facts 2 A. Mr. Zwirn's Personal Background 2 B. DBZ Background 2 I. DBZ's Investment Strategy 3 2. Mr. Zwirn's Role at DBZ 3 3. Mr. Dubin's Involvement with D

. 8 EFTA00613915 By June 2006, Messrs. Cutler and Proshan reported back to Mr. Zwim. They recommended that DBZ retain Schulte Roth & Zabel LLP ("Schulte") to investigate the management-fee and airplane issues, determine what had occurred, and provide legal advice on potential disclosure and employme

after the Fund self-reported the issues in 2006. At the conclusion of its investigation, the SEC elected not to charge Mr. Zwirn or any of the other Zwirn Parties with any wrongdoing, but charged Mr. Gruss with aiding and abetting violations of the Investment Advisers Act for knowingly misusing his au

COUNTERCLAIMS 42 A. Jeepers Has No Claim for Promissory Estoppel Because There Was No Promise 42 B. Jeepers Has No Claim for Fraud Because Mr. Zwirn Fully Disclosed All Accounting Irregularities and Made No Misrepresentations to Mr. Epstein 43 C. Jeepers's Claim for Breach of Fiduciary Duty o

payment for the purchase of an airplane to be used by Mr. Zwirn for business travel. Mr. Zwirn then caused the law firm Schulte Roth & Zabel LLP ("Schulte") to undertake an investigation into what had occurred. The investigation was apparently completed in mid-September 2006. Thereafter, in early Octo

kinds of investments the fund made; 3 correct? 4 A. Correct. 5 Q. Prior to October 2006 -- 11:48:45 6 A. Yes. 7 Q. -- you had met Mr. Zwirn once; correct? 8 A. Yes. 9 Q. And you had never spoken to him on the 10 phone; correct? 11:48:56 11 A. To the best -- 12 Q. That you re

03:38 6 Q. And he told you it was managed by Dan 7 Zwirn? 8 A. I doubt it. 9 Q. What did he tell you about Dan Zwirn? 10 A. He said the Zwirn fund was a fund that 11:03:44 11 I should put some money in. 12 Q. Did he tell you why? 13 A. They were going to be doing PIPE 14 investme

t.com EFTA00299206 Page 123 1 2 about it. 3 4 5 have considered to be material? 6 7 8 9 10 11 12 bells and whistles 13 time, when Schulte 14 '06 to investigate 15 16 17 18 19 20 21 22 23 24 25 Q• Epstein And the materiality being that there was a thief, which was someth

all. 10 Q. Up to February 14th -- up to February 03:06:39 11 14th, 2007, other than the conversations that 12 you've testified about with Mr. Zwirn, do you 13 recall any other conversations with him? 14 A. Through the date -- there was some 15 conversation, I believe, with respect to Georg

eritext.com EFTA00299289 Page 206 1 Epstein 2 Q. Do you know who prepared it? 3 A. No. 4 Q. Did you have any conversations with Dan 5 Zwirn after this letter was sent? 03:09:03 6 A. Not that I recall. With regard to the 7 investments? 8 Q. With regard to the investments. 9 A.

03:16:18 6 That Mr. Kahn had showed up on most of 7 the e-mail with respect to the airplane which 8 Schulte Roth had been -- I believe it was, Schulte 9 Roth had been called in in May of '06, my best 10 recollection, sir, to deal with the issues of the 03:16:38 11 airplane, which was never di

equirements applicable to its operations and (iii) retain brokers and borrow money on behalf of the Fund. • August 1, 2003 Agreement - relating to Zwirn's transition out of direct employment by Highbridge to serving as investment advisor of all of the Funds and a Highbridge managed account. See Harr

ccording to Zwirn) he has no right to this. • March 26, 2007 Memo from Zwirn to Investors re Completion of Independent Review • March 27, 2007, Schulte (Mark Elovitz) letter to Darren Indyke claiming that the February 14, 2007 withdrawal notice was invalid because it was not 6 EFTA00722301 given

ich no response is required. 7. Admit the allegations of Paragraph 7. 2 EFTA00731280 8. Deny the allegations of Paragraph 8, except admit that Zwirn lives in New York, New York, and at times was referred to as the "Managing Partner" of the Company; and aver that Zwirn was the managing member of

rued but before they were due; that the Company immediately brought these issues to the attention of its outside counsel Schulte Roth & Zabel LLP ("Schulte") for review; that subsequently the Company retained Gibson Dunn & Crutcher LLP ("Gibson Dunn") to conduct an independent review of these issues an