Investment Research Associates - Page 161




                                       - 237 -                                         
         liquidation of KWJ Corp., or the assignment of the contract                   
         rights to the KWJ Co. partnership until sometime around 1992.                 
              Furthermore, there was no reasonable explanation for                     
         Weaver's selling the stock in KWJ Corp. to IRA for $150,000 plus              
         an amount equal to 30 percent of all payments received by KWJ                 
         Corp. from Hyatt.  Weaver was experienced enough to know that the             
         contract was worth millions of dollars.  By selling the stock, he             
         effectively gave up 70 percent of the contract rights.  It would              
         have been less costly to hire another attorney to represent him               
         in enforcing the agreement.  Moreover, if Weaver had expected                 
         Hyatt to make the payments more readily because of Kanter's                   
         relationship to IRA and the Pritzkers, then Weaver would have                 
         notified Hyatt of the sale of the stock.  That he did not do.                 
         Instead, he continued to receive the payments from Hyatt which he             
         then forwarded to IRA.  It is clear that Weaver and Kanter                    
         intentionally concealed the sale of the KWJ Corp. stock from                  
         Hyatt until Kanter's relationship with Weaver deteriorated around             
         1992.                                                                         
              Similarly, the Court also finds that the "consulting                     
         payments" Kanter arranged to have KWJ Corp., and later the KWJ                
         Co. partnership, pay to Ballard's and Lisle's children from about             
         1983 through 1989 were part of the kickback scheme.  Although                 
         referred to as "children", they were adults and were all engaged              








Page:  Previous  227  228  229  230  231  232  233  234  235  236  237  238  239  240  241  242  243  244  245  246  Next

Last modified: May 25, 2011