Estate of Paul Mitchell, Deceased - Page 10




                                       - 10 -                                         
          comprised Mr. DeJoria, Ms. Braa, Mr. Fujieki, and Ms. Re.)  At this         
          time, the trust was the shareholder of record of 49.04 percent of           
          the outstanding common shares of JPMS, of which 1 percent was to be         
          transferred to Mr. DeJoria in accordance with the terms of Mr.              
          Mitchell’s will and trust.                                                  
               In June 1989, Mr. Fujieki (in his capacities as director of            
          JPMS, trustee for the trust, and executor of Mr. Mitchell’s estate)         
          asked to inspect the JPMS corporate records and financial                   
          information.  On April 10, 1992, representatives of Mr. Fujieki             
          were permitted to review JPMS’s financial records but were not              
          allowed to make copies.  Before permitting Mr. Fujieki’s                    
          representatives to review its financial records, JPMS required Mr.          
          Fujieki and his representatives to execute confidentiality                  
          agreements.                                                                 
               Mr. Fujieki continually questioned the actions of the JPMS             
          board at its meetings and the accuracy of the corporate minutes.            
          Beginning July 30, 1992, through at least April 20, 1993, James             
          Ukropina, Esq., outside legal counsel for JPMS, attended the JPMS           
          board meetings.                                                             
               Mr. DeJoria assumed many of Mr. Mitchell’s corporate                   
          responsibilities following Mr. Mitchell’s death.  Between April 22          
          and July 31, 1989, JPMS paid Mr. DeJoria $4,901,537 as compensation         



               2(...continued)                                                        
          chief operating officer.                                                    





Page:  Previous  1  2  3  4  5  6  7  8  9  10  11  12  13  14  15  16  17  18  19  20  Next

Last modified: May 25, 2011