Daniel Francis Kelly, Jr. - Page 6




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          alleged sexual assault and rape.  The two women then proceeded to           
          a hospital where Ms. Doe was examined with a "rape kit", and both           
          were questioned by the police.  The police obtained a search                
          warrant for the hotel room where they seized certain pieces of              
          evidence.                                                                   
               Petitioner was arrested and charged with the sexual assault            
          of Ms. Doe and was indicted by a grand jury on charges of sexual            
          assault.  In March 1992 the prosecutor's office filed a motion to           
          dismiss the sexual assault charges against petitioner due to a              
          lack of "sufficient evidence at this time to present to a jury              
          and prove the case beyond a reasonable doubt".  The prosecutor's            
          motion was granted, and the court entered an order dismissing the           
          charges.  Petitioner spent $45,431 of his personal funds                    
          defending the criminal charges against him.  No part of these               
          expenses were reimbursed by petitioner's employer, GBC.                     
               On June 12, 1992, Ms. Doe filed a civil action against                 
          petitioner, GBC, The Pointe, various insurance companies, and               
          other entities and individuals owned or employed by GBC or any of           
          its subsidiaries.  In her civil suit, Ms. Doe alleged various               
          injuries and damages incurred by her as a result of the sexual              
          assault by petitioner.  After the filing of various pleadings and           
          completion of discovery, the defendants made out-of-court                   
          settlements with Ms. Doe.  On November 3, 1993, petitioner and              
          his personal liability insurance company, United Services                   
          Automobile Association (USAA), entered into an out-of-court                 
          settlement with Ms. Doe that called for the payment of $30,000 to           

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