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

in Privileged Communications between DBZCO and Legal Counsel or May Constitute Attorney Work Product The Buyer Enters into Guaranty Agreements with David Lee, Lawrence Cutler and Other DBZCO Employees Providing Transition Services, Pursuant to Which Guaranty Agreements the Buyer Guarantees Salary, Bonus

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

been approved by Schulte in the calls he made to investors. 9 EFTA00613916 Mr. Gruss resigned on the verge of being fired in early October 2006. David Lee was appointed to replace him as DBZ's Acting CFO. Mr. Zwirn informed investors of Mr. Gruss's separation from DBZ in mid-October 2006, using a scri

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

w subscription for an investment was treated as a separate "tranche," with its own cycle of rolling lock-ups. (See Exhibit Q; Exhibit R.) Mr. Zwim, David Lee (former President and acting CFO of the Fund manager) and Elise Hubsher (former head of the Marketing and Investor Relations Group for the Fund man

ding to the Securities and Exchange Commission, remained a sub-advisor through at least 2007. 3. Mr. Epstein has had virtually no contact with Mr. Zwirn, except for a five minute face-to-face introduction and various telephone calls trying to resolve disputes. 4. Glenn Dubin negotiated and solicit

uction and various telephone calls trying to resolve disputes. 4. Glenn Dubin negotiated and solicited each of Mr. Epstein's investments with the Zwirn fund, as well as the commissions and the other terms in respect thereof. For example, at Mr. Zwirn's request, Mr. Dubin requested that Mr. Epstein

AR END 2006 TO HIGHBRIDGE. SO THE QUESTION IS HOW MUCH OF PAGES 80-86 DO YOU WANT TO INCLUDE?) 6. According to sworn deposition testimony given by David Lee, Mr. Dubin continued to advise on investments, though the events of mismanagement (e.g., withdrawing funds for management fees that were not actual

cited each of Mr. Epstein's investments with the Zwirn fund, as well as the commissions and the other terms in respect thereof. For example, at Mr. Zwirn's request, Mr. Dubin requested that Mr. Epstein pay a 2% management fee to the Zwim fund, rather than Mr. Epstein's offer of 1.3%. In addition, aft

duction and various telephone calls trying to resolve disputes. 4. Glenn Dubin negotiated and solicited each of Mr. Epstein's investments with the Zwirn fund, as well as the commissions and the other terms in respect thereof. For example, at Mr. Zwirn's request, Mr. Dubin requested that Mr. Epstein p

ter Mr Dubin reqlinguished his interest when the fund was transferred tp fortress investments. 6. According to sworn deposition testimony given by David Lee, Mr. Dubin continued to advise on investments, though the events of mismanagement (e.g., withdrawing funds for management fees that were not actual

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

to a bunch of unreturned 8 telephone calls, basically saying don't -- don't 9 reach out for Dan Zwirn anymore, speak to somebody 10 else, call David Lee. 02:40:19 11 Q. So you believe that this e-mail was 12 sent because you wanted to talk to Dan and they 13 were trying to deflect you to David

first deposed- (principal of leepers, Inc.) Daniel B. Zwim (individually and principal of D.B. Zwirn Special Opportunities Fund, L.P. and related Zwirn entities) Glenn Dubin Harry Beller David Lee (non-party witnesses) -second deposed- -third deposed- 3. The dates contained in Scheduling order

Daniel B. Zwim (individually and principal of D.B. Zwirn Special Opportunities Fund, L.P. and related Zwirn entities) Glenn Dubin Harry Beller David Lee (non-party witnesses) -second deposed- -third deposed- 3. The dates contained in Scheduling order No. I regarding Exchange of information (para 1

to press for more details. Mr. Epstein contacted his long-time friend and associate Glenn Dubin, a former partner of Daniel Zwim who introduced Mr. Zwirn to Mr. Epstein, and asked Mr. Dubin to help Mr. Epstein find out the truth about what was going on at the Fund. A few days after the initial phone c

6. After FTC submitted its notice of withdrawal, and well before the November 30, 2006 cutoff date, Harry Beller, an FTC representative, spoke with David Lee, D.B. Zwim's new CFO. During that conversation, Mr. Lee informed Mr. Beller that D.B. Zwim would not honor the notice of withdrawal because, accord