Stet Tin Report

So I was interested in seeing Judge Stettin's latest filing in bankruptcy court that details the finances at RRA.

You know, it's been a while since I've had a bankruptcy matter but I had completely forgotten how antiquated the CM/ECF system is over there.

It's like you're in a time warp and it's 1997 all over again.

Anyway, on page 5 the good Judge sets forth the salary structure at RRA for 2008 and through October 09, which the Sun-Sentinel also summarizes here:

Rothstein, chairman and CEO, pulled in $35.7 million in 2008 and $10.5 million up to Oct. 31 of this year.

Rosenfeldt, president and 50 percent partner, received more than $6 million in 2008 and $847,599 in the first 10 months of this year.

Russell Adler, vice president and name partner, was paid $888,318 last year and $853,666 through Oct. 31 this year.

Grant Smith, assistant managing shareholder, received $335,210 last year and $331,712 through October.

David Boden, general counsel, received compensation of $637,874 last year and $380,404 this year.

Given the current state of the firm’s books and records, Stettin wrote that it was impossible to establish the firm’s gross income.

Question -- Stu earned $6+ million in 08 as a fifty/fifty partner with Scott, who the same year earned nearly $36 million.

Huh? What did Stu think the revenues of the firm were? What did he think his earnings were based on -- or Scott's for that matter?

Adler, also a named partner but with no equity, took in around $800k both years, which is about all Stu had been earning for 09 thus far.

None of this makes any sense to me at all.

BTW, at 5 p.m. today the bankruptcy court will make an effort to join the 21st Century by migrating to new(er) CM/ECF system hardware.

In other words, Ervin is already getting results!

Actually, since our report yesterday Ervin has created a genuine Twitter account, though his tweets are protected -- just like he'll protect all of us when he becomes our next Bar President.

Glad we could be of service.

This part of John Pacenti's DBR article this morning was interesting:

The government confirmed through its filing that RRA employees accepted large work-related bonuses shortly after being instructed to make large campaign contributions to political candidates.

“Such conduct was designed to conceal the true sources of the contribution and to illegally circumvent campaign finance laws,” according to the filing signed by Sloman and three assistant U.S. attorneys.

When asked about that yesterday, Stu (who still hasn't learned to keep his pupik shut) said the following:

Rothstein law partner Stuart Rosenfeldt gave $150,000 to political committees to support Republican Broward Sheriff Al Lamberti and Democratic challenger Scott Israel last year. On Tuesday, Rosenfeldt said that came from his money, but he declined to say whether Rothstein directed him to make the contributions.

``I'm not going to comment on that stuff,'' Rosenfeldt said. ``Scott ran the place like a rooster. I don't think it's prudent to answer. It was my money.''

Stu, if it's "not prudent to answer" than why are you talking to the press?

Also, why then answer with two potentially contradictory things -- Scott "ran the place like a rooster" but "[i]t was my money."

It's not hard to find out more about political contributions on these here tubes.

Here are Kim's 2008 federally-reported contributions (about $100k), and here are Russell Adler's contributions.

Hmm, Russ donated $124k to the McCain-Palin Victory 2008 (barf) on October 21, 2008, whereas Stu donated $57k to the McCain-Palin Victory 2008 a whole six days later, on October 28, 2008.

Earlier, Russ donated $80k to the McCain-Palin Victory 2008 on June 12, 2008, whereas Stu donated $140k to the McCain-Palin Victory 2008 a whole two weeks before that, on May 28, 2008.

(For those keeping a scorecard, big bad Scottie donated $37.5k to the McCain-Palin Victory 2008 on October 14, 2008, and another $70k back on May 2, 2008.)

It's nice when partners share the same political interests, right?

BTW, in the prior Presidential campaign cycle, back in 2004, Stu donated a sum total of $5k to all candidates and campaign committees (oy with this Friends of Connie Mack).

By comparison, Scott donated a whopping $7.5k back in 2004.

What a difference four years make.

Well I hope everyone had a warm, loving, and peaceful Thanksgiving, and is now fighting over deals at Walmart -- that HDTV screen will only be on sale for two more hours!

I wonder if any meaning can be derived by looking at who is representing who in the Rothstein saga.

We know Scottie has loyal Marc Nurik, who recently has been cracking jokes and alternately acting as Scott's public psychologist:

"He did something that, when you think about it, is kind of extraordinary. He goes away to a country that has no extradition treaty with the U.S., reportedly, allegedly has a lot of money at his disposal, and chooses to come back and deal with this … I think because beneath it all, and not withstanding all the things that have been said about him, I believe that he is truly a decent human being, not withstanding flaws. I really do believe he did it out of, a true decent emotion to try to deal with this.''

Again, I have no problem with a public rehabilitation strategy. I just think, in the absence of other positive facts, this strategy is way too premature.

Marc would have you believe at the same time he is denying that Scott is cooperating with the feds and singing like a bird, Rothstein nonetheless has returned to "make everything right." How does that square up?

Rothstein's bankruptcy lawyer is Hinshaw's Michael D. Seese.

I agree with Bob Norman that Bill Scherer's amended complaint is an interesting read but a bit of a mess.

It is 289 pages long and asserts 245 counts. To be honest it reads like a placeholder, an effort to "occupy the field" and get in front of the other civil suits coming down the pike. Somebody at some point definitely needs to edit that thing.

Let's see -- Bob Josefsberg is representing Banyon COO Frank J. Preve -- what could that mean?

Bruce Lehr is representing Big Stu, Fred Haddad has Russ Adler's back, and Neal Sonnett is representing Grant Smith.

Russ even recently appeared in court on behalf of former Judge Seidlin.

It's a small town, huh?