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OK - It's US v. #Avenatti trial Day 6, #Nike lawyer from Oregon Q-ed by AUSA Richenthal. patreon.com/posts/33748692 Disclosure: juggling Avenatti trial with the CIA leaks trial US v. Schulte But doing as much as possible. Intermittent thread
@MatthewLeeICP @sdnylive @businessinsider @dcexaminer @WashTimes @KTVZ @nakednews AUSA Richenthal: So let's go through the meeting. Who spoke first?
Nike lawyer: First Mr. Geragos. Then Mr. Avenatti. He wanted to confirm this meeting followed Rule 408 of the Evidence Code, if there's a lawsuit, what's said doesn't come in.
@MatthewLeeICP @sdnylive @businessinsider @dcexaminer @WashTimes @KTVZ @nakednews AUSA Richenthal: Did you think it was a settlement conference?
Nike lawyer: No. Mr. Avenatti mostly spoke about his media presence and his demand that we hire his firm to do an investigation.
@MatthewLeeICP @sdnylive @businessinsider @dcexaminer @WashTimes @KTVZ @nakednews AUSA Richenthal: In the initial part of the meeting, did Mr. Avenatti identify his client?
Nike lawyer: No. He said it wasn't the client that was important but the claim. Later when Mr. Wilson pushed for it, Mr. Avenatti identified Mr. Franklin.
@MatthewLeeICP @sdnylive @businessinsider @dcexaminer @WashTimes @KTVZ @nakednews Nike lawyer: In the college basketball case, I think it was $100,000 to a high school player to go to Louisville, an Adidas school... Mr. Avenatti described Mr. Franklin's claim and demanded $1.5 million for that & that he and Mr. Geragos get hired to investigate.
@MatthewLeeICP @sdnylive @businessinsider @dcexaminer @WashTimes @KTVZ @nakednews Nike lawyer: I had never heard a person say, You have to hire me or I will hold a press conference. It's like someone walks into your store and messes it up then says, You need protection. From who? From me.
Srebnick: Objection.
Judge Gardephe: Overruled.
@MatthewLeeICP @sdnylive @businessinsider @dcexaminer @WashTimes @KTVZ @nakednews Nike lawyer: Mr. Avenatti said he had a New York Times reporter, Rebecca Ruiz, who would write a story around what he said.
[nytimes.com/by/rebecca-r-r…]
@MatthewLeeICP @sdnylive @businessinsider @dcexaminer @WashTimes @KTVZ @nakednews Nike lawyer: Mr. Avenatti pointed at Scott [Wilson] and said, if you hire another firm, you'll have to pay us twice that. He called it the Most Favored Nation clause.
AUSA Richenthal: Do you recall Mr. Avenatti using the word "costs"?
Nike lawyer: Yes.
@MatthewLeeICP @sdnylive @businessinsider @dcexaminer @WashTimes @KTVZ @nakednews Nike lawyer: He told some story about a company could have settled for $40 million but he won a $400 million verdict.
AUSA Richenthal: Does a verdict require a lawsuit?
Nike lawyer: Yes. And Mr. Avenatti never mentioned any lawsuit.
@MatthewLeeICP @sdnylive @businessinsider @dcexaminer @WashTimes @KTVZ @nakednews AUSA Richenthal: What if anything did you understand Nike could do to stop this tweet from Mr. Avenatti?
Nike lawyer: Pay him.
AUSA Richenthal: No further questions.
@MatthewLeeICP @sdnylive @businessinsider @dcexaminer @WashTimes @KTVZ @nakednews Avenatti lawyer 4 (neither Srebnick nor Quinon) You've been involved in 100s of settlement negotiations?
Nike lawyer: That is correct.
Avenatti lawyer: And you've heard demands you felt were outrageous?
Nike lawyer: Where the money was too high, yes.
@MatthewLeeICP @sdnylive @businessinsider @dcexaminer @WashTimes @KTVZ @nakednews Avenatti lawyer: When a lawsuit it become public, right?
Nike lawyer: Yes.
Avenatti lawyer: And the plaintiff's counsel could hold a press conference, right? Nothing wrong with that?
Nike lawyer: They could hold a press conference, yes.
@MatthewLeeICP @sdnylive @businessinsider @dcexaminer @WashTimes @KTVZ @nakednews Avenatti lawyer: The arrest of former Nike executive Jim Gatto, the Adidas arrests, that was a bombshell, no?
Nike lawyer: I wouldn't call it a bombshell... And he hasn't an executive, he was a director.
@MatthewLeeICP @sdnylive @businessinsider @dcexaminer @WashTimes @KTVZ @nakednews Avenatti lawyer: You hired Boies Schiller to deal with the SDNY subpoena, correct?
Nike lawyer. Correct... It's one of the firms that we use.
Avenatti lawyer: Mr Skinner was a former prosecutor with the SDNY, correct?
AUSA: Objection!
Judge Gardephe: Overruled.
@MatthewLeeICP @sdnylive @businessinsider @dcexaminer @WashTimes @KTVZ @nakednews Avenatti trial taking lunch break before which Judge Gardephe reiterated for the record that this is NOT a case about whether Nike engaged in corruption in youth basketball. Avenatti's lawyers argue they want to show Nike wants to curry favor with the prosecutors.
@MatthewLeeICP @sdnylive @businessinsider @dcexaminer @WashTimes @KTVZ @nakednews Back: Avenatti's lawyer: But you never told the US that the invoices were fake?
Judge Gardephe: Can you explain what you are referring to?
Avenatti's lawyer: the Memo of Action, a gov't exhibit. So "Mister Lyman" (sp? Nike lawyer) this purports to an invoice...
@MatthewLeeICP @sdnylive @businessinsider @dcexaminer @WashTimes @KTVZ @nakednews Avenatti's lawyer: It says it was for back to school. But it was for a player, right?
Nike lawyer: If you pay a handler, or a coach, like Shawn Manning, he was running a program...
Avenatti's lawyer: So this invoice is not a cover up for a payment to a player?
@MatthewLeeICP @sdnylive @businessinsider @dcexaminer @WashTimes @KTVZ @nakednews Judge Gardephe: It's not clear what you're asking.
Avenatti's lawyer: I'm referring to Cal Supreme mid summer challenge. Did you learn this was papering over a payment to a player?
AUSA: Your Honor, may we approach?
Judge Gardephe: Yes.
Sidebar.
@MatthewLeeICP @sdnylive @businessinsider @dcexaminer @WashTimes @KTVZ @nakednews Now the sidebar discussion is taking so long that the jury is leaving, and the witness, squeezing by AUSA Richenthal. Mag court awaits...
@MatthewLeeICP @sdnylive @businessinsider @dcexaminer @WashTimes @KTVZ @nakednews Judge Gardephe (raising his voice) - If he [the Nike lawyer] withheld information from the US Attorney's office, it goes to his credibility. I can't see how you [AUSA Richenthal, maybe other 2 AUSAs] can think different. But we're waiting the jury's time.
@MatthewLeeICP @sdnylive @businessinsider @dcexaminer @WashTimes @KTVZ @nakednews Judge Gardephe: It's my understanding that an hour or so after the meeting with Avenatti, the witness and some Boies Schiller lawyer brought the invoices to the attention of the US Attorney's Office. Does the defense what to ask if he knew they were misleading?
@MatthewLeeICP @sdnylive @businessinsider @dcexaminer @WashTimes @KTVZ @nakednews AUSA Richenthal: My memory is he said he brought the documents to the attention of the government. I think they can't asking what they want
Judge Gardephe: I disagree. You are overruled. She can ask if he came to know they were bogus. 2 invoices attached to GX 312
@MatthewLeeICP @sdnylive @businessinsider @dcexaminer @WashTimes @KTVZ @nakednews AUSA Richenthal: If he misled the government, it is relevant, I never meant to suggest otherwise.
Avenatti lawyer E. Danya Perry: He is in charge of other lawyers. I want to ask him about their meetings with the government.
@MatthewLeeICP @sdnylive @businessinsider @dcexaminer @WashTimes @KTVZ @nakednews Judge Gardephe: Are we clear? Should be take five minutes?
No one says no.
Mr. Ruocco: "All rise."
Now Judge leaves courtroom too.
@MatthewLeeICP @sdnylive @businessinsider @dcexaminer @WashTimes @KTVZ @nakednews And they're back.
Avenatti's lawyer Ms. Perry: So about this $15,000 invoice... Before the meeting with Mr. Avenatti, nothing was told to the US about it, and now you know it is not accurate?
Nike lawyer: It was for Shaun Manning to move players to Peach Jam.
@MatthewLeeICP @sdnylive @businessinsider @dcexaminer @WashTimes @KTVZ @nakednews Perry: So Nike told the government that it was for travel?
Nike lawyer: We did later tell them.
Perry: Were there other invoices you learned were incorrect?
AUSA Richenthal: Objection. Beyond the scope of what we discussed.
Judge Gardephe: Overruled.
@MatthewLeeICP @sdnylive @businessinsider @dcexaminer @WashTimes @KTVZ @nakednews Perry: You found out the invoices did not accurately reflect what the payments were for, correct?
Nike lawyer: We have to tell me which invoice.
Perry: I'm asking about other invoices.
Nike lawyer: Mr Avenatti brought 2. I'd have to see.
@MatthewLeeICP @sdnylive @businessinsider @dcexaminer @WashTimes @KTVZ @nakednews Perry: You're aware there's an SEC investigation?
Nike lawyer: We've gotten two subpoenas from the SEC.
Perry: About an investigation?
Nike lawyer: An investigation of grassroots basketball.
@MatthewLeeICP @sdnylive @businessinsider @dcexaminer @WashTimes @KTVZ @nakednews Perry: Are you aware the US Attorney's office held a press conference at the time of Mr. Avenatti's arrest?
AUSA Richenthal: Objection.
Judge Gardephe: Sustained.
@MatthewLeeICP @sdnylive @businessinsider @dcexaminer @WashTimes @KTVZ @nakednews Perry: Have you decided if any employees... Withdrawn. I'm sorry. I guess I'm getting tired. (Pause). Has it been decided if there will be any terminations?
AUSA Richenthal: Objection.
Judge Gardephe: Overruled.
But nevertheless, there is now another sidebar.
@MatthewLeeICP @sdnylive @businessinsider @dcexaminer @WashTimes @KTVZ @nakednews Re-direct: AUSA Richenthal: Did Mr. Avenatti say his press conference would be about more than Mr. Franklin?
Nike Lawyer: He said it would be about us having a bigger problem than Adidas.
@MatthewLeeICP @sdnylive @businessinsider @dcexaminer @WashTimes @KTVZ @nakednews Nike lawyer: Mr. Wilson was trying to by time, bringing up possible harm to the young players, the kids. Then I remember Mr. Avenatti leaned back and said, You have kids, I have kids, I don't give a f*ck about those kids.
@MatthewLeeICP @sdnylive @businessinsider @dcexaminer @WashTimes @KTVZ @nakednews AUSA Richenthal: In your mind, what was this?
Nike lawyer: It was a shakedown, it was, give me this or I'm going to do that to your company.
@MatthewLeeICP @sdnylive @businessinsider @dcexaminer @WashTimes @KTVZ @nakednews Re-cross: Ms. Perry: Did you ever tell Mr. Avenatti that you did not view the meeting as a settlement meeting?
Nike lawyer: No.
Re-re-direct: AUSA Richenthal: Why didn't you tell Mr. Avenatti Rule 408 didn't apply?
Nike lawyer: He wasn't talking about litigation.
@MatthewLeeICP @sdnylive @businessinsider @dcexaminer @WashTimes @KTVZ @nakednews Nike lawyer: Mr. Avenatti's a lawyer, he should know that Rule 408 didn't apply.
Ms Perry: Objection.
Judge Gardephe: Overruled. Jurors, you may go for the evening.
@MatthewLeeICP @sdnylive @businessinsider @dcexaminer @WashTimes @KTVZ @nakednews Now with jury gone, Judge Gardephe raises his voice to AUSA Sobelman, The health insurance is not coming in, for reasons I've explained to you five times. And if you have the same arguments, the payroll is not coming in either.
@MatthewLeeICP @sdnylive @businessinsider @dcexaminer @WashTimes @KTVZ @nakednews Finally over, sounds like defense case will begin Monday. Inner City Press will stay on it: patreon.com/posts/33777943
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