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bringing investors and capital to his condominium conversion
projects.
The Frey/Zeus agreement formalized Frey’s and Kanter’s prior
oral agreement to share development fees and expanded that
agreement to include “assigned profits” on Prudential condominium
conversion projects. In particular, Frey agreed to remit to Zeus
a 5-percent share of development fees and a 20-percent share of
assigned profits earned on Prudential conversion projects because
Kanter promised to use his influence to aid Frey in obtaining
additional condominium conversion projects from Prudential.
There is no direct documentary evidence that Kanter agreed
to share with Ballard and Lisle any payments he might receive
from Frey. Nevertheless, considering all the circumstances,
including Ballard’s role in the Village of King’s Creek
transaction, the numerous Prudential projects initiated with Frey
in the fall of 1981, and the division of the Frey payments as
discussed in the flow-of-funds analysis below, we infer Kanter
surreptitiously agreed with Ballard and Lisle that if they used
their positions of authority at Prudential to influence
Prudential to contract with Frey as the developer in the
conversion of Prudential properties, Kanter would share with
Ballard and Lisle the development fees and assigned profits
payments that he expected to receive from Frey. Kanter also
agreed to share with Ballard and Lisle any profits that Zeus
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