In The Matter Of: Rhode Island Economic Development Corporation vs Wells Fargo Securities, LLC Steven M. Costantino July 22, 2014 Min-U-Script® with Word Index Steven M. Costantino July 22, 2014 Rhode Island Economic Development Corporation vs Wells Fargo Securities, LLC Page 1 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 STATE OF RHODE ISLAND SUPERIOR COURT PROVIDENCE, Sc. RHODE ISLAND ECONOMIC DEVELOPMENT CORPORATION VS. C.A. NO. P.B. 12-5616 WELLS FARGO SECURITIES, LLC; BARCLAYS CAPITAL, INC.; FIRST SOUTHWEST COMPANY; STARR INDEMNITY AND LIABILITY COMPANY; CURT SCHILLING; THOMAS ZACCAGNINO; RICHARD WESTER; JENNIFER MACLEAN; ROBERT I. STOLZMAN; ADLER POLLOCK & SHEEHAN, P.C.; MOSES AFONSO RYAN LTD.; ANTONIO AFONSO, JR.; KEITH STOKES; and J. MICHAEL SAUL Deposition of STEVEN M. COSTANTINO, taken on behalf of Keith Stokes, a Defendant in this case, pursuant to the Rhode Island Rules of Civil Procedure, on Tuesday, July 22, 2014, at the offices of Cameron & Mittleman, LLP, 301 Promenade Street, Providence, Rhode Island, before Sally Brassard, Certified Shorthand Reporter and Notary Public, convening at 10:00 a.m. Page 3 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 I-N-D-E-X DEPOSITION OF STEVEN M. COSTANTINO PAGE Examination by Mr. Martland................ 4 Examination by Mr. Gladstone............... 99 Examination by Mr. Martland................ 102 E-X-H-I-B-I-T-S DEFENDANT'S NO. DESCRIPTION 625 E-mail dated 4/2/10 from Keith Stokes (1 pg)................................ 625 627 E-mail dated 4/2/10 to Michael Saul (3 pgs)............................... 627 629 E-mail from Rob Stolzman dated 5/20/10 (1 pg)................................ 629 631 E-mail dated 6/16/10 from Rob Stolzman (2 pgs)............................... 631 REPORTER'S NOTE: Odd numbers are being used for exhibits due to other depositions being taken on the same day at another location. Page 2 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 APPEARANCES: WISTOW, BARYLICK, SHEEHAN & LOVELEY, PC BY: STEPHEN P. SHEEHAN, ESQUIRE Counsel for Plaintiff SILVA, THOMAS, MARTLAND & OFFENBERG, LTD. BY: DAVID P. MARTLAND, ESQUIRE Counsel for Defendant Keith Stokes DeSISTO LAW BY: MARC DeSISTO, ESQUIRE Counsel for Witness Steven M. Costantino K&L GATES LLP BY: TIMOTHY J. GRIMES, ESQUIRE (Via Telephone) Counsel for Defendant Wells Fargo Securities, LLC CAMERON & MITTLEMAN LLP BY: BRUCE W. GLADSTONE, ESQUIRE (Via Telephone) Counsel for Defendant J. Michael Saul DONOGHUE BARRETT & SINGAL, P.C. BY: WILLIAM M. DOLAN, III, ESQUIRE (Via telephone) Counsel for Defendants Adler Pollock & Sheehan, P.C., and Robert Stolzman HINCKLEY ALLEN SYNDER, LLP BY: GERALD J. PETROS, ESQUIRE (Via Telephone) Counsel for Defendant First Southwest Company PAGE Page 4 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 (DEPOSITION COMMENCED AT 10:05 A.M.) STEVEN M. COSTANTINO, having first been duly sworn by the Notary Public, testified as follows: THE COURT REPORTER: Please state your full name and spell your last name for the record. THE WITNESS: Steven M. Costantino (C-o-s-t-a-n-t-i-n-o). MR. PETROS: For the record, Gerry Petros is on the phone on behalf of First Southwest Company. MR. MARTLAND: Hi, Gerry. MR. PETROS: Hi, David, thank you. EXAMINATION BY MR. MARTLAND: Q. Secretary Costantino, good morning. A. Good morning. Q. My name is David Martland. I represent Keith Stokes in connection with this litigation of the Rhode Island Economic Development Corporation versus Wells Fargo Securities, et. al. Today, I'll be asking you questions about your knowledge regarding 38 Studios and the Rhode Island Jobs Creation Guaranty Program. If you don't understand any of my questions, please let me know, and I will try to rephrase them. Min-U-Script® Allied Court Reporters, Inc. (401)946-5500 (1) Pages 1 - 4 115 Phenix Avenue, Cranston, RI 02920 www.alliedcourtreporters.com Rhode Island Economic Development Corporation vs Wells Fargo Securities, LLC Steven M. Costantino July 22, 2014 Page 5 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Often in a deposition, things can seem to be conversational, and you may try to anticipate what my question is and answer it before I've asked it. The stenographer can only take down one individual at a time. So, I would ask you if you could wait 'til I finish the question and, likewise, I'll allow you to finish your answer before asking another question. The stenographer can only take down what is said, so verbal nods of the head aren't going to be sufficient. So, if you could please just verbalize all of your answers. Have you ever attended a deposition before? A. No. Q. Okay. Could you please just describe your educational background? A. Sure. I went to the Holy Ghost School. I don't know how far back you want me to go, but I went to Holy Ghost School, then went to LaSalle Academy. Graduated in 1975. I then went to Providence College, graduated in psychology in 1979. I then went to Italy for three years. Actually, started Italian medical school and decided to not continue. So, I left Italy in '83, 1983. That is my educational background. Q. Okay. So, when you left Italy, did you come back Page 7 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 kind of a community action program officer, and that really was in the -- you know, I gave out cheese to the poor. I assisted in programs like that, and in-services. So it started kind of in the middle of the operation and moved my way up to be operations manager. Q. Okay. All right. And as the operations manager, did you have any oversight over the fiscal matters? A. Yeah. There was some fiscal matters I had oversight. Certainly, the programs that were under me, I had to make sure they were within budget. I wasn't the CFO in the organization, but basically, you know, I had people reporting to me to make sure that their programs were meeting the requirements of the grants as well as within fiscal -- within the fiscal boundaries of the agency. Q. Were these federal grants? A. Federal, state, city. So, it was a combination. Q. And how long were you -A. Three years. Q. So, roughly, 'til 1986? A. Yes. Page 6 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 to Rhode Island? A. Yes, I came back to Rhode Island. Q. And what did you do when you got back to Rhode Island? A. I got a job in a Providence Community Action Program, became the operations manager there and did that for three years. Q. What was that program? A. That was a nonprofit community action program. It basically gave out services to the needy in the City of Providence, and it ranged from food, housing, fuel assistance. Those type of services to the citizens of the city. Q. What was your position? A. Operations manager. Q. Operations manager? A. That was back in '83. Q. What were your duties and responsibilities? A. Pretty much in that job, I was kind of the second to the executive director. Just made sure the programs were running efficiently. I oversaw most of the staff, the senior staff. I actually -- let me make a correction. I actually started not as the operations manager; I ended up being the operations manager. I actually started as Page 8 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q. And what happened in 1986? A. In 1986, I got a new job. Became the executive director of the drug and alcohol treatment association, and I did that for 9 1/2 years. Q. And what were your duties? A. The duties there, started off as a very small organization, trade association, of treatment prevention providers across the State of Rhode Island. It then grew to a larger organization and, actually, received a major federal grant during the ten years to provide case management services to minorities who had HIV. And probably represented -- I don't remember the exact how many programs but thirty or more treatment and prevention programs across the state. What was included in those responsibilities were, obviously, the management of a federal grant and regular budget dues paying organizations as well as a state grant at the time to do training for substance abuse professionals. Also -- so, what was included not only was budget development as well as, you know, getting grants, securing the finances of the agency, doing advocacy at the State House. Doing advocacy to Min-U-Script® Allied Court Reporters, Inc. (401)946-5500 (2) Pages 5 - 8 115 Phenix Avenue, Cranston, RI 02920 www.alliedcourtreporters.com Rhode Island Economic Development Corporation vs Wells Fargo Securities, LLC Steven M. Costantino July 22, 2014 Page 9 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 the federal government and, also, doing as much advocacy in terms of not only getting grants but also writing out bid pieces and things like that. Did that for, like I said, 9 1/2 years. Q. Now, the revenues for the association, were they all grant-based? A. No. Q. Okay. A. There were dues. Programs paid dues to be in an association. So all the programs were assessed dues based on a formula. That was one source of funds. Another source of funds would have been the federal grant, and that was just a portion, and I don't exactly remember the years that the federal grant lasted, but that would have been a portion of my tenure there. I also received a state grant at the time, which did training, provided training to substance abuse professionals, counselors, prevention experts. So, that predominantly was the sources of funds. The core source of funds was the dues, though, because grants come and go, so that was kind of the core of the association. Q. Okay. And you were in charge of the budget development? Page 11 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Page 10 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. Well, I was the executive director. I was the CEO. We use the term "executive director" in those days of the agency. So, I did have a finance officer, so to speak, who reported to me. So I oversaw the budget as well. Q. How large was the budget annually? A. It ranged from smallest, probably when I first started, $50,000 to -- during the end -- you know, during the federal grant because it was a large relatively speaking in those days, probably 3 or 4 million dollars. So, depending on what year you're talking about, that was the range. Q. Was that three or four million yearly, or was that a one-time grant? A. No, no, that would have been -- the grant, you know, I don't exactly remember the amount of that grant. It might have been a one-time grant. A lot of the grant was a passthrough, which means we got a bunch of money, and we passed it on to the treatment providers because it was to provide HIV case management services to substance abusers. Q. Okay. Now -- so you were there until about 1995, would that be correct? A. Yeah. Q. And -- A. Yes, '95, that's correct. Q. And why did you leave that position? A. Because I ran for office. Q. And what office did you run for? A. I ran for state representative in 1994. Q. Okay. A. And won. Which means I started that inauguration day January of whatever the inauguration day of '95. Q. And did you seek other employment? A. Yes. Q. And where was that? A. I was -- I invested in a health clinic, Providence Medical Health Care, and I worked there for five years. I was an owner and administrator. Q. And what did -A. It's an Urgent Care Center. Q. How many staff did you employ? A. In -- I'd say about 15, and that was -- about 15. Q. Does that include doctors? A. Yes. Q. How many doctors? A. And there were part-time doctors. They weren't all full-time, so these aren't full-time Page 12 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 equivalents. Probably, about five docs. Q. Now, what were your duties and responsibilities as an owner or administrator? A. Right. Basically, I ran the operations of the place as well as being an owner. So, day-to-day operations. Making sure schedules for everyone was being done; doctors, nurses, x-ray technician, receptionist. It was a six-day operation, so scheduling was very important, particularly amongst doctors. Also, payables/receivables, cash flow analysis, expansion of business. So pretty much very hands-on in terms of the operation of the place. Q. How many clinics did you operate? A. Just one. Q. Okay. It was just one. What do you think the yearly operations budget was for the center? A. I really don't remember. Q. Did you have any partners in that venture? A. Yes, I did. Q. Who were they? A. Dr. William Palumbo and Dr. Vincent Pera. Q. Where was the center located? A. It was on 90 Dean Street. Q. Now, did Drs. Palumbo and Pera provide any Min-U-Script® Allied Court Reporters, Inc. (401)946-5500 (3) Pages 9 - 12 115 Phenix Avenue, Cranston, RI 02920 www.alliedcourtreporters.com Rhode Island Economic Development Corporation vs Wells Fargo Securities, LLC Steven M. Costantino July 22, 2014 Page 13 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 operational management support? A. Dr. Palumbo actually worked there as a physician. Q. Okay. A. Dr. Pera didn't. Q. As the administrator, you were in charge of developing the budget on an annual basis? A. Yes. Q. So, I think you indicated you were there for five years? A. Yes. Q. What happened? A. I sold out to another doctor. I got out of the business. Q. Okay. Why was that? A. I just felt that as I was moving up into different things and, plus, my brother's business, Venda Ravioli, was putting some pressure on me to go there, and I also felt that, you know, some of the legislative issues that we were dealing with kind of were, you know, a little fuzzy, and I wanted to get out of it because a lot of the issues we deal with were healthcare issues. So I pulled myself out of the healthcare arena at that time. Page 15 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. Alan (A-l-a-n). Q. Are you still affiliated with Venda Ravioli? A. No. Q. Okay. A. Still related, though. Q. So you started with Venda Ravioli in 2000? A. Let's see if the year is correct here. I would say 2002. Q. 2002. When did you sell your interest in the urgent healthcare clinic? A. Let' see. It was, I believe, around 2000 -2000/2001. I'm not sure exactly what year it was. Q. Did you do anything between? A. Yeah, I did. I forgot to say I became kind of a consultant between Venda and selling -- so what I did was, I finished out a -- I got hired to finish out a federal grant for the City of Providence as a consultant on the Southeast Asian substance abuse arena, and just ended -- just kind of phased out the grant. I was asked to help out and do that. Advanced Management Consultants was the name of my consultant company, but I only did that for about a year or a year-and-a-half. Q. Did you approach the city or did the city approach you with respect to that program? Page 14 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q. And did you go over to Venda Ravioli at that point? A. Yes. Q. What did you do at Venda Ravioli? A. It's a family business, so you do everything from, you know, trying to expand business to being the eyes of my brother in terms of product development. One of the things that my venture in Italy did was give the business some expertise in their own product development and where they should go as a business. So, pretty much -- and Venda was making at the time a major move from a smaller store to a larger store. And, so, I was very involved in developing, you know, what we should sell and, you know, how to merchandise some of the products from Italy. Q. What was your position with Venda Ravioli? A. I don't remember my title. I was a manager, but not -- I would just say a manager. Q. Were you in charge of any of the fiscal matters for Venda Ravioli? A. No, not so much the fiscal matters. It was more the product development in that situation. Q. Now, what is your brother's name? Page 16 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. When I was -- I'm trying to get the years. Could you hold on for a second? Q. Certainly. A. I don't remember how it happened, how the approach was, because I had an expertise in the area because of the data job, and they'd asked me just to phase -- it was more the federal reporting piece of the job of the grant, but I don't remember how it actually happened. Q. Okay. Was this a grant the city already had? A. Yes. Q. And so you came in to administer what they had already received -A. Right. Q. -- and make those reports to the federal government? A. Exactly. Q. And whose administration was that? A. That was the Cianci administration. Q. Cianci, two? A. Two. Q. After Venda Ravioli, did you have any other employment? A. After Venda, no, that was pretty much it. Q. Okay. And how long -- Min-U-Script® Allied Court Reporters, Inc. (401)946-5500 (4) Pages 13 - 16 115 Phenix Avenue, Cranston, RI 02920 www.alliedcourtreporters.com Rhode Island Economic Development Corporation vs Wells Fargo Securities, LLC Steven M. Costantino July 22, 2014 Page 17 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. Remember, I was in the legislature at the time, too. Q. Right. How long were you with Venda? A. 'Til '07. Q. And what happened with the legislature in 2007 to change -A. Well, nothing happened. I was finding -- I was chairman at the time. So, I became chairman in 2004. Q. This is chairman of the House of Finance? A. The finance committee. Q. Okay. A. And it was taking up a lot of time. Q. And the Speaker of the House at that point, that would have been Speaker Murphy? A. Yes. Q. If we can just step back for a moment. So you first ran for office in '94? A. Correct. Q. And you were elected to the House of Representatives? A. Yes. Q. And you continued to serve up until 2004? A. No. Q. No? Page 19 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 of Finance? A. Yes. Q. And you served as Chairman of the House Finance Committee through 2010? A. Correct. Q. What were your duties and responsibilities as a Chairman of the House Finance Committee? A. Basically, you are the chair of the committee that writes the budget for the State of Rhode Island after the budget is proposed by the governor. Q. Okay. And how do you go about writing that budget? MR. DeSISTO: How much time do we have? A. The budget -- they used the term "budget writing." You know, the budget is -- actually, it's a bill that is proposed by the governor. It is sent to -- it's introduced into the House of Representatives. It is then sent to Finance Committee. At that point, staff does an analysis of what is in the governor's budget and holds -and I will say on an average, usually 100 or so hearings as it relates to bills and budget processes. Every article of the budget usually has its own hearing. Page 18 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. No. I served for sixteen years 'til 2010. Q. I'm sorry. It's the way I phrased the question. I'm just sort of focusing on that -A. That period? Q. That period of time before 2004. A. Okay. Q. Did you hold any committee positions in that first ten-year period while you were in the House? A. So I got elected in '94, start in '95. I got placed in the Health Education Welfare Committee as a member for four years. Q. So, you were a member of that committee for four years? A. For four years. Then, I was placed on finance as a member. Q. And that would have been in, roughly, 2000? A. Yes. Roughly, 2000. Q. And you served as a member on that committee until 2004? A. If we're stopping at 2004, yes. Q. If we're stopping at 2004. Did you also serve on Health Education and Welfare at that time? A. No, I went from Health Education and Welfare to the House Committee on Finance. Q. And then in 2004, you became chairman of the House Page 20 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Each department -- so the committee is divided into subcommittee chairs based on -- and they're grouped by departments. The subcommittee chair will have for transportation, for example, will have the Department of Transportation, RIPTA, et cetera. Those -- they run departmental hearings. So, as well as articles of the budget, there are departmental hearings that are also run. That hearing process, as that is going on, senate actually does their own process. A little bit parallel, not quite exactly the same, but they run hearings, and they're organized a little differently. And, so, based on, you know, those hearings and what other facts come up, you know, you change the budget appropriately based on the information you're receiving in that process. What's also involved in that process is that every November and May, okay, is what they call a Case Estimating and Revenue Conference. So, when the budget is presented by the governor, he's basing it on what November said revenues were, and what case estimating -- case estimating is in Medicaid, how many cases you have to taper with the cost of -- case loads go up, case loads go down, depending on the year. So, Min-U-Script® Allied Court Reporters, Inc. (401)946-5500 (5) Pages 17 - 20 115 Phenix Avenue, Cranston, RI 02920 www.alliedcourtreporters.com Rhode Island Economic Development Corporation vs Wells Fargo Securities, LLC Page 21 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 same thing with revenues. So, as you're writing or doing this hearing process in the budget, in May, you're given a new number to work with, both on the revenue and on the case side, which affects your revenue side and your expense side. So, even though you've gone through a whole bunch of hearings, and you think you're in a spot, what May tells you may alter your decision on where you might be in terms of having a balanced budget. So, the real goal of the committee is to present a balanced budget to the assembly based on the information that November -- May gives you as well as, as you're going through this hearing process, which should be in the budget. Q. Okay. So, in May -A. Of every year. Q. -- of every year, the governor, through -- is it the Department of Administration, budget, presents a supplemental budget? A. No. Q. No, okay. A. In May -- I probably should have been a little more explicit -- is what they call a conference. And they're representatives from the governor, the Page 23 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Page 22 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 administration, the House and the Senate, and they call them the conferees, and they basically go through a very exhaustive estimating process. They actually bring in a national group to do the economic forecast to the state. They also look at trends on the major revenue sources, whether it's the income tax, the sales tax, all the revenue pieces, and they estimate how much is -- needs to be adjusted in the current year and how much they both estimate will bring in next year. The same conferees do the case estimating piece of that, and that's more on the expense side. So, if under Medicaid, the caseload has gone up, they have to adjust the expense side both in the current year and the year that they're actually doing the budget for, which is the year after. So, that's actually what the legislature will get as the new number to work with. All right, the governor -- remember, I said there's one done in November, the previous November -- his budget is based on what the November number was. So, obviously, between November and May there are sometimes changes in our economic forecast which changes the actual number you have to work with to Steven M. Costantino July 22, 2014 balance the budget. Q. Now, the conferees, who are the conferees from the House? A. It tends to be the fiscal advisor in the House, the fiscal advisor in the senate, and the budget officer, which is part of the Department of Administration and, of course, there's staff is there. Q. Okay. Who is the fiscal advisor of the House, or who was the fiscal advisor of the House during your term as chair? A. I had two. I had Michael O'Keefe and Sharon Reynolds. Q. Did they serve at the same time? A. No, no. Michael retired, and Sharon -Q. So, Michael was from 2004 until when? A. Michael was there before I was there, but I believe he retired in '08. Q. And then -A. Sharon took over. Q. -- Sharon Reynolds. Was Sharon Reynolds working with the House prior to that? A. Yes, she was there. I don't know when she started, but she was there for many years. Q. Was she in the House Finance Office? Page 24 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. Yes. Q. As chairman of House finance, would you also be one of the conferees? A. No. Q. So, it's really a staff -A. Yes. Q. -- group. Okay. Now, the -- your fiscal advisor, would they report findings to you as the chair? A. Findings? Q. Findings, conclusions, recommendations, as a result of the conference. A. Yes. What I -- if I may? Q. Yeah. Any time you want to correct or add or supplement a prior answer, please feel free. A. There's actually a report that's done after the conference that is a public report that basically says, "These are your new revenue numbers. These are your new case estimates." So it's a pretty public document. So I forgot to add that into my explanation. Q. Now, in connection with developing or writing the budget, would you have -- you, personally, have discussions with the House Speaker? A. Yes. Q. Okay. And would you meet with the governor's Min-U-Script® Allied Court Reporters, Inc. (401)946-5500 (6) Pages 21 - 24 115 Phenix Avenue, Cranston, RI 02920 www.alliedcourtreporters.com Rhode Island Economic Development Corporation vs Wells Fargo Securities, LLC Steven M. Costantino July 22, 2014 Page 25 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 office at all? A. Periodically, there would be meetings with the governor's staff. Q. With the governor's staff. Which staff? A. Yeah, depending who was there at the time. It changed over the years, though. Q. Do you recall who you would meet with regarding the budget? A. Over the span of these years? Q. Yes. A. I could probably give you, you know, periodically who the individuals were that we met with, yes. Q. Could you try to do that? A. Yes. I'm trying to go back. It started with Jeff Grybowski and Brian Stern, Gary Sasse, Rosemary Gallogly. At this point, that's pretty much over that span of time that I can remember who would -- we would have some discussions over the issues. Q. Would you ever have any meetings with Andy Hodgkin? A. Yes, Andy Hodgkin. Q. What about Jaime McDonald? A. No. Jaime, McDonald did testify in front of Page 27 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Page 26 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 the committee one or two times, but I didn't have any meetings with her. I don't remember having any meetings with Jaime McDonald. Q. Did would have any meetings with the governor? A. As finance chair, right? Q. As finance chair, yes. Would you have any meetings with the governor? A. Rarely. Q. So you did have at least some meetings with the governor? A. I would say -- I guess it would be fair to say I had some meetings. If you asked me how many, that's how rare it was. I just want to make that clear. But some, yes. Q. Do you recall what the substance of those meetings were? A. No, I do not. Q. Now, the House Finance Office, what size was the staff? A. Okay. Again, in the course of my years as chair, depending on vacancies and things like that, so I'll give you a range. Q. Okay. A. I would say between 13 and 15. Q. Now, they primarily worked on budget issues; correct? A. Yes. Yes. Q. Were there any other issues that -- if I could just finish for the record. Were there any other issues that the House Finance staff would work on other than the budget? A. Any piece of legislation that is considered -that has a financial impact would be sent to Finance Committee. Q. And who would make that determination? A. That's usually made by -- it's usually the legal counsel for the speaker. Q. Okay. A. That comes -- they assign the bills. Now -Q. Now, in 2004, that would have been -- is it John Flynn? A. Was John there, then? I don't remember the years John started, so I'm not sure if it was -- I just don't remember who was there in '04. Q. So, as you understand it, the legal counsel would decide where to distribute the bills to? A. Yes. Q. And at that point when a bill comes to House Finance, other than the budget, what is the general process? Page 28 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. The general process is usually a hearing is heard. The bill has a hearing. It's scheduled. You have to give two days in advance, post it, at a minimum, two days, and we have a hearing. Sometimes there's a second hearing if it's -- you know, we haven't -- we're waiting for more information or -- and pretty much amendments, you know, you have pros and cons usually come in, or if it wasn't drafted correctly and there's an error, the committee will note it and, you know, it's usually -- at that point, a decision is made at some point whether to vote on the bill or not vote on the bill and hold it for further study. Q. Okay. Did you have counsel for the House Finance Committee? A. Yes. Q. And who was that? A. Bobby Carr (C-a-r-r). Q. And was that during -- from the period 2004 through 2010? A. Yes. Q. So, if there were going to be changes to a proposed legislation, would typically Mr. Carr draft those and send them to the legislative department? Min-U-Script® Allied Court Reporters, Inc. (401)946-5500 (7) Pages 25 - 28 115 Phenix Avenue, Cranston, RI 02920 www.alliedcourtreporters.com Rhode Island Economic Development Corporation vs Wells Fargo Securities, LLC Page 29 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. There really wasn't a legislative department. Bob would just draft -- he would amend the bills, and he was the -- really the legal counsel who was the drafter of any of the changes that would happen in a process. So, he would just draft the bills and correct the bills and, you know -- and then present them to the committee. Q. Okay. So they either get -- at that point there's a vote to recommend passage, and that would go to the full House? A. There's actually a step in between. Q. Okay. A. It's a very technical step, which means I have to transmit the bill. So you have to -- even with a vote, a positive vote, there has to be a transmittal letter, which is kind of a formality, but it's still a process, and then it goes to the House calendar. It gets put on the House calendar. Q. Okay. The staff in the House Finance Office, this is sort of a very open-ended question, but what credentials does the staff have? I mean, obvious -- for instance, Sharon Reynolds, what credentials did Sharon possess? A. Sharon has a master's. I'm not sure what it's Page 31 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Page 30 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 in. I don't remember what it's in. Q. Okay. What about the other folks in the staff? A. At the time, other than my administrative assistant, obviously, legal counsel has a juris doctorate, but the staff have master's degrees. Again, I don't know in what. I know I believe when we recruited for staff, a master's was required. Q. Okay. Who was your administrative assistant? A. Leslie Smith. Q. And was she your administrative assistant for all six years? A. Yes. She was there before that as well. Q. Okay. Did she keep your calendar? A. Yes. Q. Previously, there had been a subpoena duces tecum issued by Wells Fargo relating to a document request. I understand from your counsel that you don't have possession of any of the documents requested; is that correct? A. That is correct. Q. What did you do to prepare for the deposition today? I'm not asking you about any substance of conversations you had with your counsel. A. Oh, okay. So, what did I do to prepare for Steven M. Costantino July 22, 2014 it? Q. Yeah. A. Not much. Q. Did you review any documents? A. No. Q. When was the first time you spoke with Mr. DeSisto about this? A. I don't even remember. Quite frankly, I got served in my office, and -MR. DeSISTO: Do you remember when? A. No, I don't remember when. Q. And that was the document request subpoena; is that correct? A. Yes. Q. Do you know how many times you met with Mr. DeSisto? A. Yes. Q. Okay. How many times did you meet with him? A. Twice. Q. And how much time did you spend with Mr. DeSisto? A. Approximately, two hours the first time and forty-five minutes the second time. Q. Okay. Did you review any documents? A. No. Q. Have you seen the complaint that's been filed in Page 32 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 this matter? A. No. Q. Now, going back now to 2009/2010 and 38 Studios, when did you first learn of 38 Studios' interest in coming to Rhode Island? A. Approximately the end of March, beginning of April of '10. Q. Okay. And how did you come to learn of this interest? A. Actually, got a call from the Speaker. Yes, the Speaker, to visit 38 Studios. Q. Okay. And did you visit 38 Studios? A. I did. Q. Do you know -- do you recall when that was? A. Like I said, it was around the end of March, beginning of April. It's in that time frame. Q. Okay. Fair enough. And who attended this meeting? A. I know, obviously, the Speaker was there. Q. Okay. A. Curt Schilling was there. Q. Was Tom Zaccagnino there? A. I don't remember. Q. Okay. Was Michael Corso there? A. I don't remember. Min-U-Script® Allied Court Reporters, Inc. (401)946-5500 (8) Pages 29 - 32 115 Phenix Avenue, Cranston, RI 02920 www.alliedcourtreporters.com Rhode Island Economic Development Corporation vs Wells Fargo Securities, LLC Steven M. Costantino July 22, 2014 Page 33 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q. Other than the Speaker, yourself, and Curt Schilling, do you recall any other people attending the -A. I believe Keith Stokes was there. Q. Okay. A. I don't remember anyone else. Q. Was Rob Stolzman there? A. I don't remember. Q. Michael Saul? A. I don't remember. Q. So, as you sit here today, your memory is that yourself, the Speaker, Curt Schilling and Keith Stokes were the attendees at the meeting? A. There were other people there, I just don't remember who they were. Q. Okay. Now, what was discussed at this meeting? A. It was pretty much a company that was interested in coming to Rhode Island. It was, basically, a meet-and-greet kind of show, you know, what they did kind of situation. So, we walked around and, you know, it was a gaming -you know, they're involved in gaming, not gambling gaming, but video games. And, you know, talked about, you know, RISD students working there, and this would be -- they had a strong interest in Page 35 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q. Okay. What about Jen MacLean? A. I don't remember. Q. Don't remember. And Rick Wester? A. I don't remember. Q. How long was this meeting? A. Probably, a couple of hours. Q. And did you develop any impressions as a result of that meeting? A. Impressions, not really. The word "impression" is -Q. Okay. How did you get to the meeting? A. The Speaker picked me up or -- yeah, I drove with the Speaker. Q. Was it just you and the Speaker? A. No, there was other people in the car. I just don't remember who because someone was driving, and I don't remember. Q. Did you have any discussions about 38 Studios in the car ride either to or back? A. I do not recall any. Q. So, on the car ride back you don't recall, you know, discussing what occurred at the meeting at 38 Studios? A. I don't recall, no. Q. At that point, did you believe that 38 Studios Page 34 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 coming to Rhode Island. Q. What, if anything, do you recall the Speaker saying during this meeting? A. I don't remember the Speaker saying anything. Q. Okay. What about Mr. Schilling? A. All I recall is basically saying that, you know -- just this was a great opportunity for the State of Rhode Island in general. Things like that. Nothing very -- I can't remember anything specific, you know, in terms of that. Q. What about Keith Stokes, do you recall him saying anything? A. No. When you say "recall," it's a pretty open question. Q. I'm asking if you specifically recall any of these individuals making any statements. MR. DeSISTO: Substantive. I think what he's talking about is "Hello. How are you?" THE WITNESS: Yeah. Q. Okay. Who did the majority of the speaking at this meeting? A. Curt Schilling. Q. Okay. Was there any one else from 38 Studios that spoke? A. Yes, but I don't remember who they were. Page 36 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 presented an interesting opportunity for the State of Rhode Island? A. Yes. Q. And why did you come to that understanding? A. Because any time a company wants to move to Rhode Island, it's an interesting opportunity. Q. And why is that? Is that because they bring jobs with them? A. Because, at the time, Rhode Island was under tremendous economic distress. We were losing jobs, and there isn't -- often, do you get any company line, at that point, wanting to move into Rhode Island. So, that's why it was interesting. Q. Do you recall if there were supposed to be any next steps following that meeting? A. Yes. Q. And what were those? A. Pretty much there was -- again, what usually happens, and this is probably staff would probably work with EDC on next steps. Q. When you say "staff", do you mean -A. My physical staff. Q. And did that, in fact, occur? A. Yes. Q. And do you know -- as you sit here today, do you Min-U-Script® Allied Court Reporters, Inc. (401)946-5500 (9) Pages 33 - 36 115 Phenix Avenue, Cranston, RI 02920 www.alliedcourtreporters.com Rhode Island Economic Development Corporation vs Wells Fargo Securities, LLC Page 37 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 recall what occurred as far as the staff working together? A. I knew there was interest in a Loan Guarantee Program. And, so, staff would work on the details of that legislation. Q. Okay. A. I also -- I think you mentioned it earlier -I mentioned earlier that you have a hearing process. So, what normally happens is you would have a hearing on the Loan Guarantee Program. Q. Was there such a hearing? A. Yes. Q. Okay. Who developed the legislation that was known as the Rhode Island Jobs Creation Guaranty Program? A. EDC developed the legislation, but the staff would review it. Q. And can you -- did you have any meetings with Keith Stokes relating to that legislation? A. I do not remember. Q. Okay. Do you ever recall telling Mr. Stokes that in order to accommodate the request of 38 Studios, a proposed $50 million program could be increased to 125 million? A. No, I do not remember saying that. Page 39 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Page 38 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q. Do you know whose idea it was to increase the proposed $50 million Jobs Creation Guaranty Program to 125 million? MR. DeSISTO: Objection. You can answer. A. The reason it was $125 million was because that was the demand in the community. Q. Could you explain what the demand in the community refers to? A. So, I do remember -- and, again, I'm not sure with whom, but basically asking the question, well, "What's the demand out there in the business community that wants the program, that could use the program, the Loan Guarantee Program?" So what number would EDC need to fulfill its obligation to the entire need in the community? And that's what I remember as the figure being $125 million. Q. Were you aware, at the time, that 38 Studios was looking for 75 million? MR. DeSISTO: At the time of what? Q. At the time that the program was proposed for 125 million? A. I knew they were interested. Q. When you visited Maynard, Massachusetts and 38 Studios, were you aware that they were interested in 75 million? Steven M. Costantino July 22, 2014 A. I knew they were interested. I did not know what the exact figure was. Q. Okay. Do you recall when you learned that they were looking for 75 million? MR. DeSISTO: The date? MR. MARTLAND: Yes. A. I do not remember. Q. Do you know how you found out they were looking for 75 million? Who told you? A. I do not remember. Q. Okay. According to some recent news reports, it -- apparently, Speaker Murphy, and at the time I think it was Deputy Majority Leader Fox -A. I'm not supposed to interrupt you. Q. -- visited, or had some contact with 38 Studios in October of 2009. Are you familiar with those reports? A. Only what I have read in the newspaper. Q. Okay. Did either Speaker Murphy or Mr. Fox ever discuss with you their interactions with 38 Studios from it during that time frame? A. 2009? Which time frame? Q. 2009. A. No. Q. So, at no time between October 2009 and the end of Page 40 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 March 2010, did you ever have any discussions with Speaker Fox or Speaker Murphy regarding 38 Studios? A. That is correct. Q. Do you know who Michael Corso is? A. Yes. Q. And who is Michael Corso? A. Michael Corso is someone who over the years has been involved in certain issues at the State House, predominantly historical tax credits, where I had much of my interaction with him in the past. So, he, you know -- I know he's involved in the brokering of tax credits and those issues. Q. Did you know -- how long have you known Mr. Corso? A. I don't remember when I first started knowing him. Probably -- I just don't remember. I just know it started with the historical tax credit program. Q. So the first time you met Mr. Corso, you were the House Finance Chair; is that fair to say? A. It may have been before I was House Finance Chair. I can't answer it only because it's really tied to the date of when the Historical Tax Credit Program started, and I don't remember that date. Q. Okay. Other than the Historical Tax Credit Min-U-Script® Allied Court Reporters, Inc. (401)946-5500 (10) Pages 37 - 40 115 Phenix Avenue, Cranston, RI 02920 www.alliedcourtreporters.com Rhode Island Economic Development Corporation vs Wells Fargo Securities, LLC Page 41 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Program, did you have any interactions with Mr. Corso? A. Any interactions? You mean like if I met him in the corridor and said "hi" to him? Q. No, I'm sorry, it's a bad question. Did you have a personal friendship, or do you have a personal friendship with Mr. Corso? A. No. Q. Has Mr. Corso ever held any fund-raisers for you? A. No. Q. Has he ever donated to any of your campaigns that you're aware of? A. I don't remember. Q. Have you ever met with Mr. Corso outside of the State House? A. There were two occasions that I remember. But, again -- I once -- we were in a restaurant, and I think I had a drink with him at one time. They were in my family restaurant at one point, as well, that I sat down and had a drink with him with a group of people. And, again, I would see him at in the corridor, the State House, or at Venda Ravioli and stuff like that. Q. All right. Did you select Mr. Corso to be on a working group, or subcommittee, to study tax Page 43 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Page 42 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 credits? A. No. Q. Did you ever discuss tax credits as a means for the financing of 38 Studios with Mr. Corso? A. No. Q. Did you discuss tax credits as a means for financing 38 Studios with anyone else? A. No. Q. Do you recall that ever being explored as a means for financing? A. No. Q. Now, did you have any conversations with Mr. Corso regarding 38 Studios? A. I do not remember. Q. Do you know if Mr. Corso had any conversations with Speaker Fox regarding 38 Studios? A. I have no idea. Q. Do you recall Mr. Corso having any meetings with Speaker Fox about anything? A. I don't know. Q. Did Speaker Fox ever tell you he met with Mr. Corso? A. On this issue? Q. On 38 Studios. A. No. Steven M. Costantino July 22, 2014 Q. Do you know what Mr. Corso's role was with respect to 38 Studios? A. I have no idea. THE WITNESS: I may have to go to the bathroom. MR. MARTLAND: Any time you want to take a break. We'll take a five-minute break. (A SHORT RECESS WAS TAKEN AT 11:08 A.M.) (RESUMED TESTIMONY AT 11:13 A.M.) Q. If we could just step back to the meeting in Maynard, Mass. Do you know if there were any EDC board members at that meeting? A. I don't remember. Q. All right. Do you know if Alfred Verrecchia attended? A. No. Q. Steven Lane? A. No. Q. Paul Choquet? A. No. Q. The other attendees at the meeting, do you know if they were affiliated with 38 Studios, or the EDC, or another entity? A. I believe there was a combination of both. Q. Okay. Page 44 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. I just don't remember who. Q. They were either -A. Affiliated with EDC or 38 Studios. Q. There weren't any third parties? A. I don't remember. Q. Okay. Now, going back to the Rhode Island Jobs Creation Guaranty Program. Could you sort of explain what the purpose of the program was in your understanding? A. My understanding, it was a Loan Guarantee Program that was available -- it was an authorization. It's an authorization, it's not a -- so it authorized EDC to develop a Loan Guarantee Program and, you know, obviously if the company wanted a Loan Guarantee, they would apply to EDC and EDC would administer and decide whether a company is eligible or not. Q. Okay. Now, Keith Stokes has indicated that you had suggested increasing the program from 50 million to 125 million. Do you dispute that representation? MR. DeSISTO: Objection. But you can go ahead and answer. A. I believe I answered that earlier when I said the 125 came from me asking EDC, "What is the Min-U-Script® Allied Court Reporters, Inc. (401)946-5500 (11) Pages 41 - 44 115 Phenix Avenue, Cranston, RI 02920 www.alliedcourtreporters.com Rhode Island Economic Development Corporation vs Wells Fargo Securities, LLC Page 45 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 demand in the community?" Q. Okay. And who at EDC did you ask? A. I don't remember -Q. Okay. A. -- who I asked, but I remember asking the question. Q. Was this on a telephone conference or a meeting? A. I don't remember. Q. Now, I think you had said earlier you don't recall having any meetings with Keith Stokes regarding 38 Studios; is that correct? A. Correct. Q. Okay. Do you recall having any meetings with Keith Stokes regarding the Jobs Creation Guaranty Program? A. I don't remember. Q. Okay. Did you have any meetings with anyone from EDC regarding 38 Studios? A. I don't remember. Q. Did you have any meetings with anyone from EDC regarding the Rhode Island Jobs Creation Guaranty Program? A. I don't remember. I don't remember. Q. Did you have any meetings with Robert Stolzman regarding 38 Studios or the Jobs Creation Guaranty Page 47 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Page 46 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Program? A. I do not remember. Q. Okay. Did you have any meetings with Speaker Fox regarding -A. I do not remember. Q. Did you have any meetings with Governor Carcieri or anyone on his staff regarding either the Jobs Creation Guaranty Program or 38 Studios? A. I don't remember. Q. Did you have any meetings with anyone from the Senate regarding those issues? A. 38 Studios, I don't remember. On the Loan Guarantee Program part of the process, if we can get back to the process. Q. The process? A. Obviously, the budget is an agreement between the House and Senate. So, we go through the articles together at meetings, so there was probably an agreement on the Loan Guarantee Program, and that's why it got into the budget. Q. How did the -- strike that. There was a bill submitted for the Rhode Island Jobs Creation Guaranty Program in the beginning of April of 2010; is that correct? A. I'm not sure when the date was. Steven M. Costantino July 22, 2014 Q. Would it be -- was there a bill submitted? A. What? Q. Was there a bill submitted? A. Yes. I just don't remember the date. Q. And getting back to the process, what was done when that bill was submitted? A. Okay. So, basically, I took the -- there were some other programs that -- as well as the Loan Guarantee Program -- that were economic development programs. So we took the article of the budget and we added, I believe -- I know we added one program, there may have been more to what we called an Economic Development Bill, and I submitted it. My name is -- I'm the sponsor of it. Q. And was that posted for a hearing? A. I believe it was, but I'm not -- I don't remember. Q. Do you recall there being a hearing at House Finance? A. I don't remember. Q. Do you remember Keith Stokes and Rob Stolzman testifying at House Finance in support of the bill? A. I don't remember. Page 48 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q. Did you discuss that bill with any of the other members of the House Finance Committee? A. I don't remember. Q. At the time that that bill was pending before the House Finance Committee, you were aware of the 38 Studios request for 75 million; is that correct? A. Their interest. Q. Their interest; is that correct? A. Yes. Q. Did you discuss that with any of the other members of the House Finance Committee? A. I don't remember. Q. Now, again, I've seen media reports indicating that the other members of the House Finance Committee have indicated that they had no knowledge of the interest of 38 Studios at the time that this bill was pending before the committee. Do you dispute what those members have indicated? MR. DeSISTO: Objection. You can answer. A. I have no idea what was in their minds or what they knew. Q. Would you dispute any statements that you didn't tell them that 38 Studios had an interest in 75 Min-U-Script® Allied Court Reporters, Inc. (401)946-5500 (12) Pages 45 - 48 115 Phenix Avenue, Cranston, RI 02920 www.alliedcourtreporters.com Rhode Island Economic Development Corporation vs Wells Fargo Securities, LLC Page 49 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 million? MR. DeSISTO: Objection. You can answer. A. Could you rephrase that? Q. Yeah. Would you dispute their assertion, or the assertion of members of the House Finance Committee that you did not tell them of the interest of 38 Studios in $75 million at the time that this bill was pending before the Finance Committee? MR. DeSISTO: Objection. Do you understand the question? Let me turn it around, and you can correct me. I'm not trying to coach him. Did you tell -- do you know whether or not you told any member of the House Committee Finance of the interest of -A. I do not remember that. Q. Well, would you dispute their assertion that you didn't tell them? MR. DeSISTO: Are you able to dispute or confirm? A. I cannot. I cannot dispute or confirm what they thought. MR. DeSISTO: No. Let me -- to move this along. MR. MARTLAND: Okay. Page 51 1 amount I know they were interested in, as I said 2 earlier, but you rely on the agency to make the 3 right decision in terms of whether it is -4 agency, meaning, EDC, whether it is doable or not. 5 Simply interest doesn't really mean -- that's 6 really up to EDC to decide. 7 Q. All right. I appreciate that answer. I think my 8 question was whether or not you thought it would 9 be important for the other members of the House 10 Finance Committee to know the interest. 11 MR. DeSISTO: Well, objection. Don't 12 answer that for a minute. Let me state on the 13 record, I think he's gone as far as I'll allow him 14 to go without getting into his thought process a 15 legislative bill, having read Judge Silverstein's 16 recent decision on deliberative process and 17 legislative privilege. 18 I think he's gone as far as he can, so I'm 19 going to instruct him to answer. However, at the 20 break we can talk about it, maybe I'll allow him 21 to expand on it, but for now, I'm going to ask him 22 not to talk. 23 MR. MARTLAND: Okay. 24 Q. Did you have any discussions with Speaker Fox to 25 the effect that -- strike that. Did you have any Page 50 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 MR. DeSISTO: Can you confirm or dispute whether or not their assertion that you didn't tell them is correct? Are you able to do that one way or another? A. I don't dispute what they said. Q. Okay. Now, $75 million is a significant amount of money for one company; is that correct? Would you agree with that? MR. DeSISTO: In terms of -MR. MARTLAND: In terms of a state guarantee. MR. DeSISTO: All right. A. Yes, it is. Q. Okay. Do you think it would -- it's important, or would it have been important to the other members of the House Finance Committee to know that one company was seeking or interested in that large amount of the guarantee at the time that they voted on this matter? MR. DeSISTO: Objection. A. Knowing companies are interested, there's a whole bunch of companies that are interested in programs in the EDC and across the State of Rhode Island in any department. Because they're interested is one thing, and it was a very large Steven M. Costantino July 22, 2014 Page 52 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 conversations with Speaker Fox about keeping the interest of 38 Studios secret during this process? A. I do not recall. Q. Did you have any conversations with anyone else about keeping the interest of 38 Studios secret during the process of the adoption of the Rhode Island Jobs Creation Guaranty Program? A. I do not recall. Q. Did either you or the House Finance Office ever receive any financial information relating to 38 Studios? A. I do not recall. Q. Do you know if -- do you recall ever reviewing any financial information relating to 38 Studios? A. No. Q. Do you know if the staff at House Finance reviewed any financial information relating to 38 Studios? A. No. Sorry, I do not know. Q. When you were chairman of the House Finance, did you have an e-mail address? A. Yes. Q. Did you also have a personal e-mail address? A. Yes. Personal, you mean, my home? Q. Yes. A. Yes. Min-U-Script® Allied Court Reporters, Inc. (401)946-5500 (13) Pages 49 - 52 115 Phenix Avenue, Cranston, RI 02920 www.alliedcourtreporters.com Rhode Island Economic Development Corporation vs Wells Fargo Securities, LLC Page 53 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q. Did you review that e-mail address to see if you had any e-mail correspondence related to 38 Studios, the personal e-mail address? A. No. Q. You did not review it? A. Let me just correct that. When I got the records' request, I checked it and did not find any. Q. And who is the domain web server for that e-mail address? A. My personal? Q. Your personal. A. AOL. Q. Did you review or have access to any of the e-mail correspondence or records from when you were the House Finance Chair when you put together your response for the record's request? A. I don't have access to the State House e-mails. Q. Do you take notes during any meetings? A. No. Q. No, okay. Do you keep a diary? A. No. Q. Calendar? Do you keep a calendar? A. The State House calendar. I mean -- Page 55 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Page 54 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q. The one Leslie Smith would have maintained for you? A. Right. Q. Okay. Do you recall any conversations you had with Sharon Reynolds regarding 38 Studios? A. Specific conversations? You mean, going back? Q. Well, let me ask more generally. Did you have any conversations with Sharon Reynolds regarding 38 Studios? A. Yes. Q. And do you recall what the substance of those conversations -A. In general. Q. And what would that be? A. Basically, to make sure there are -- you know, that they were working with EDC. I always wanted to make sure there were performance standards and, you know, monitoring entities involved in any of these programs. Q. And what do you mean by "performance standards"? A. Well, in many of the programs, you know, you look at -- you know, if they're promising certain things, if they're promising jobs, if they're, you know -- things like that. You know, when they say they're hiring people at a certain wage, and not Steven M. Costantino July 22, 2014 specific to the Loan Guarantee, but any of the programs in EDC, we always wanted to make sure that what the company said they were going to bring, they actually were monitored and were kept to it. So, I would always be concerned about, you know, the way we monitored these programs. So, I remembered having a general conversation with her to make sure that they're guaranteeing their monitoring, and what the company says they're doing, somebody is actually overseeing it and doing it. Very general, though. Q. Did any of those conversations involve the ability of 38 Studios to pay back the loan that they were going to receive? A. I don't know. Q. When you say you "don't know," you don't recall or -A. Well, you're asking me my conversations with Sharon, you mean? Q. With Sharon. A. Oh, I thought you meant Sharon's conversations with other people. Q. Oh, I'm sorry. A. All right. I don't recall. Q. Do you know if anyone from the House Finance staff Page 56 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 attended meetings at the EDC regarding the 38 Studios' request? A. I don't recall. Q. I've got what's been marked as Plaintiff's Exhibit 38, I'd like to provide to you. Now, this is an e-mail from Rob Stolzman dated Wednesday, March 31, 2010, to Keith Stokes, Michael Saul and Fred Hashway. I would direct your attention to the third paragraph. It says, "Michael Corso, for 38 Studios has already begun asking to see the Kushner, and Sharon Reynolds from House Finance also called on behalf of Chairman Costantino, and we exchanged calls, so I imagine we will be under pressure to start circulating drafts tomorrow." Do you see that? A. I see it. Q. Have I read that accurately? A. You have. Q. Do you know why Sharon Reynolds would have been calling Rob Stolzman? MR. DeSISTO: Objection, but, go ahead. A. I do not. Q. It indicates she was calling on your behalf? A. Right. Q. You don't recall? Min-U-Script® Allied Court Reporters, Inc. (401)946-5500 (14) Pages 53 - 56 115 Phenix Avenue, Cranston, RI 02920 www.alliedcourtreporters.com Rhode Island Economic Development Corporation vs Wells Fargo Securities, LLC Steven M. Costantino July 22, 2014 Page 57 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. No, I do not. Do I go through this memo? Q. No, you don't have to. I've got what's been marked as Plaintiff's Exhibit 42. This is an e-mail from Rob Stolzman dated Thursday, April 1, 2010 to S. Reynolds. That's Sharon Reynolds; is that correct? A. Yes. Q. And if you could just take a moment to read that. A. Okay. Q. Okay. And there is a memo that's attached to it to Governor Carcieri. This is a draft of the memo. A. Okay. Do you want me to read this memo? Q. Well, what I wanted to ask you is, do you recall receiving either this e-mail or the memo? A. I do not. Q. Okay. Well, would you dispute that you received it, or do you not recall? MR. DeSISTO: You mean, received it from one of the recipients? MR. MARTLAND: Correct. THE WITNESS: Because I'm not on it. It doesn't come to me. Q. Well, I'll just direct your attention to paragraph 1 of the e-mail, the second sentence. "This is a Page 59 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 I'm going to ask: Did you have any conversations with any other parties concerning the memo or this e-mail? A. I don't know. I don't remember. Q. I'm going to present you with Plaintiff's Exhibit Number 40. This is an e-mail from Rob Stolzman dated Thursday, April 1, 2010 to ahodgkin@gov.state.ri.us. It's to Andy Hodgkin. It reads, "Hi, Andy. Keith asked that I forward to you the drafts of the attached documents. They include a draft memo from Keith to the Governor that is a very brief background and summary of the proposed transaction and development of 38 Studios in RI, a draft letter of intent between 38 Studios and the RIEDC further outlining some basic terms, and a draft 'Kushner' authorizing the RIEDC to guarantee 38 Studios' debt (at the suggestion of House Finance Chairman Costantino, the Kushner draft reflects a larger authorization for this as a Jobs Creation Guaranty Program.)" Have I read that correctly? A. Yes. Q. Do you dispute this characterization that the Kushner reflects a larger authorization for the Job Creation Guaranty Program at your suggestion? Page 58 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 draft and has not been yet reviewed by the Governor, but I wanted you and Chairman Costantino to have the benefit of the background portions of the discussions." A. Okay. I don't remember this. Q. You don't remember that? A. No. Q. Would you dispute having received it? A. I don't remember. I can't answer if I disputed it, if I don't remember it. Q. Would it normally be the custom and practice of the House Finance Office to provide you with information such as this? A. They may have provided it to me, but it doesn't necessarily mean I read it. Q. Okay. A. I don't remember it at all. Q. Okay. MR. PETROS: David, what Exhibit number was that? MR. MARTLAND: That is Exhibit 42. MR. PETROS: Thank you. Q. I think I know what your answer to this is going to be. I'm going to ask it for the record, anyway. I understand you don't remember it, but Page 60 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 MR. DeSISTO: Objection. Are you able to confirm or dispute? You can answer. A. I don't dispute this. Q. I'm sorry, if we could just jump back to Exhibit 42. MR. PETROS: David, did he answer that question? MR. MARTLAND: Yeah, he says he does not dispute that. MR. DeSISTO: Is that Gerry? MR. PETROS: Yeah. Mark, his answers are cutting in and out. It's hard to hear him sometimes. I don't know if the mic is in the right place, but you might just want to let him know. MR. DeSISTO: You're getting older, too, so, I'm wondering if -MR. PETROS: I've got the volume all the way up. MR. DeSISTO: We'll speak loud. Q. If we could just go back to Exhibit 42. Following the memo, there is a draft term sheet, and that's got Bates number APS 002376. A. 42, you said? Q. Yes. On Exhibit 42. Min-U-Script® Allied Court Reporters, Inc. (401)946-5500 (15) Pages 57 - 60 115 Phenix Avenue, Cranston, RI 02920 www.alliedcourtreporters.com Rhode Island Economic Development Corporation vs Wells Fargo Securities, LLC Page 61 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. You said after the memo? MR. DeSISTO: Yeah. Go to the back. Let me get it for you. THE WITNESS: Okay. Q. Do you recall reviewing, or seeing, or being provided a copy of this draft term sheet for 38 Studios? A. No, I do not recall. Q. Does this look familiar to you at all? A. It does not. Q. Do you recall having any conversations with anyone regarding the term sheet? A. No. Q. You don't recall any conversations with your staff? A. No. Q. With anyone at EDC? A. No. Q. Let me show you a document that's been marked as Plaintiff's 44. It's an e-mail from Rob Stolzman to Sharon Reynolds dated Friday, April 2nd, 2010. This is actually a string of e-mails. A. Yeah. Q. The e-mail below Rob's e-mail indicates that it's from Sharon Reynolds Ferland to Rob Stolzman. It Page 63 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Page 62 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 states: "Rob, the Chairman has scheduled a hearing on EDC issues to include this concept for Tuesday, April 6 at the rise. I left you a voice message about this." Does this refresh your recollection as to when the hearing took place before the House Finance Committee? A. Sure, it does. Q. And when did that hearing take place? A. I don't remember. Q. Okay. Would you dispute that it took place on April 6th? A. I can't confirm that it took place on April 6th because we sometimes change dates, so. Q. That's fine. I'm only asking you, you know, to the best of your recollection what occurred. A. Yeah. Q. Do you recall if anyone testified at that hearing? A. On this hearing on EDC issues? Q. Yes. A. I do believe Rob Stolzman testified and Keith Stokes. Q. And do you recall if the Rhode Island Jobs Creation Guaranty Program was part of that testimony? A. It was. Steven M. Costantino July 22, 2014 Q. It was, okay. A. One part of the testimony. Q. Okay. And, now, what occurred as a result of that hearing? MR. DeSISTO: Well, objection. Q. If you recall? MR. DeSISTO: You're asking him what happened after the hearing? Q. I should say, what action did the House Finance Committee take as a result of that hearing? A. Well, what we do is, we find out who opposed and supported the issues at the hearing and take that into consideration. We gauge if there's a lot of opposition. I do not remember there being much opposition to the programs within that hearing, and we take that into consideration as we draft a piece of legislation. Q. Do you recall if there were any supporters? A. I don't recall. Q. Was the Speaker a supporter of the legislation? A. I would say yes, but not because of the hearing. He didn't testify at the hearing. Q. Understood. I was just asking if he was supportive. What about the governor; were you aware of whether or not he was a supporter? Page 64 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. Not directly. Q. Indirectly? A. Well, if a department is supporting something, you generally -- it means that the governor is supporting it. Q. And, so, if EDC was supporting it and proposing it, you assume that the governor -A. Governor, exactly. Q. Because the governor sits as the chairman of the EDC; is that correct? A. That is correct, but he is the chairman. Q. He is the chairman? A. Yeah. Q. Does he set the policy and the agenda for the EDC? A. I have no knowledge of that. Q. Going back to 2009. Was the subject of the EDC -was the EDC the subject of hearings in the House Finance Committee and proposals to restructure the EDC, do you recall? A. I believe there were restructuring proposals. I'm not sure what year it was. Q. Okay. Were you an advocate for restructuring of the EDC, or dismantling of the EDC? And I don't mean to make those terms pejorative at all. A. Again, I'm not really -- I do not remember Min-U-Script® Allied Court Reporters, Inc. (401)946-5500 (16) Pages 61 - 64 115 Phenix Avenue, Cranston, RI 02920 www.alliedcourtreporters.com Rhode Island Economic Development Corporation vs Wells Fargo Securities, LLC Steven M. Costantino July 22, 2014 Page 65 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 dates, but there were discussions on reorganizing and restructuring of the EDC. Q. Do you recall what those conversations were? A. No, I don't. Q. Do you recall what the proposals were? A. No. Q. Do you recall what your position was relating to those proposals? MR. DeSISTO: Well, yes or no, first. A. I do not recall. (DEFENDANT'S EXHIBIT 625 MARKED FOR I.D.) Q. Exhibit 625 bears a Bates stamp of APS 13. It is an e-mail from Keith Stokes to Michael Saul, Rob Stolzman, Fred Hashway. Do you see that at the top? A. Yeah. Q. And it reads as follows: "I have been speaking with Steve Constantino" that a misspelling -"regarding our project and he has been directed by Speaker to post for hearing next Tuesday the budget article for EDC. I told Steve we are nowhere ready for a public hearing and I am arranging for meeting with Gov and several EDC board members that will not happen until next Thursday. Also, I will be briefing Senator Page 67 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Page 66 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 DaPonte tomorrow. I will speak with Gordon and Mike Corso tonight with a request that we may not go the supplemental budget route, but instead drop legislation or place in FY2011 budget. The question is, will a month + delay loose (sic) the interest of 38? I am very concerned that a hearing Tuesday is premature. Your thoughts, Keith." Have I read that correctly? A. You have. Q. Does this refresh your recollection regarding any conversations you had with Mr. Stokes? A. No. Q. Okay. He indicates here that the Speaker directed you to post a matter involving 38 and the budget article for EDC for Tuesday. Do you recall that? MR. DeSISTO: Objection to your characterization, but go ahead. Q. If I could just correct? MR. DeSISTO: Yeah. Q. The subject line of this e-mail, do you see that? It says "38"; is that correct? A. I see it, yes. Q. And Mr. Stokes indicates as a result of a conversation he had with you, that the Speaker directed you to post the budget article for EDC for Tuesday. Do you dispute that contention? MR. SHEEHAN: Objection. A. Do I dispute it? I can't confirm it. I don't know if that answers the question. I can't confirm this. MR. DeSISTO: Are you able to dispute it one way or another? A. I can't dispute it one way or another. Q. Okay. Mr. Stokes goes on to indicate, "I've told Steve we are nowhere ready FOR a public hearing." Do you recall Mr. Stokes indicating that to you in a conversation? A. I do not recall. Q. Okay. Would you dispute? A. I can't dispute it one way or another. Q. Okay. Now, what is the "supplemental budget route" that is referenced in this e-mail? Do you have any idea? A. I know what a "supplemental budget route" is, yes. Q. Could you explain? A. A supplemental budget is a budget that strictly pertains in the current year that you're dealing with, not the year you're writing, which is the next fiscal year. So, a supplemental Page 68 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 budget is always -- over the years, it's been done two ways. It can be part of the budget, so there will be an article that's called a supplemental budget, or it can be separate from the budget. A separate bill that's the supplemental budget and the regular budget. But what supplemental means is that you have to pass a budget for the year you're in to either adjust appropriations or if there are articles that have to be done in the current year versus the year after. That's supplementing. You're supplementing the budget you passed last year. That's what it really means and making changes. I mean, so you're supplementing the existing budget that you're in. Q. Okay. And was the legislation involving the Rhode Island Jobs Creation Guaranty Program proposed to be part of the supplemental budget? A. I don't recall. Q. Do you know if it was included in a 2011 budget, or was it a separate piece of legislation? A. I don't -- well, it became a separate piece of legislation. Q. Okay. Do you know why that was? MR. DeSISTO: Yes or no. Min-U-Script® Allied Court Reporters, Inc. (401)946-5500 (17) Pages 65 - 68 115 Phenix Avenue, Cranston, RI 02920 www.alliedcourtreporters.com Rhode Island Economic Development Corporation vs Wells Fargo Securities, LLC Steven M. Costantino July 22, 2014 Page 69 1 A. Yes. 2 Q. Okay. And why was that? 3 MR. DeSISTO: Wait, hold on a minute. I'm 4 trying to factor in if this is privileged, either 5 speech and debate or legislative or deliberative. 6 You're asking his thought process of why it went 7 the route it did, but I suppose you're asking it 8 generally. Okay. So, go ahead. 9 MR. SHEEHAN: Do you have any objection, 10 Dave, if the witness testifies to this, agreeing 11 that it won't be a waiver of any privileges he may 12 have with respect to any other questions you might 13 ask? He's not my client, but I'm just wondering 14 if that's one way to handle this. 15 MR. MARTLAND: Yeah, I would have an 16 objection to that. 17 MR. DeSISTO: Don't answer it then. 18 MR. MARTLAND: So, you're instructing him 19 not to answer whether or not he knows "why"? 20 MR. SHEEHAN: He already answered he knows 21 why. 22 MR. MARTLAND: I said "why." 23 MR. SHEEHAN: You said whether or not he 24 knows why. He said he does know why. So, he 25 answered that question. Page 71 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Page 70 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 MR. MARTLAND: And I am asking what the "why" is. MR. DeSISTO: So, I'm instructing him not to answer, but at a break let's talk through it, see if we can get through it. But for now don't answer. MR. MARTLAND: Okay. Q. Did you have any conversations with Speaker Fox to have this piece of legislation as its own separate piece of legislation? A. I don't remember. Q. Did you discuss making this a separate piece of legislation with any other members of the House of Representatives? A. I don't remember. Q. Did you discuss making it a separate piece of legislation with any of your staff? A. I do not remember. Q. Then, I would ask -- I would pose the question again: Why was it its own piece of separate legislation? MR. DeSISTO: Let me take two minutes. I want to speak to my client because I don't want to waste time. If the answer is something that doesn't touch on any of those privileges -- MR. MARTLAND: Okay. MR. DeSISTO: Thank you for that opportunity. Because I think it will alleviate the situation, there's a mechanical reason for why it happened, which doesn't touch on a privilege, which I will allow him to testify to. MR. MARTLAND: Okay. Thank you very much. A. The reason -- the article passed in the budget, okay. The Loan Guarantee Program article passed in the budget, was sent over to the Senate. That was the year the Senate sent it back. Q. Sent the budget back? A. Back for an unrelated issue. There was a disagreement on how we balanced the budget over pension, re-amortization versus rainy day fund. That was the disagreement. They sent the budget back. As a procedural mechanical move, all right, I pulled the article out and submitted it as a bill. Q. Okay. I'm going to show you -- we're all done with that exhibit for now -- what's been marked as Plaintiff's 36. This is an e-mail from Rob Stolzman to Keith Stokes dated Wednesday, March 31, 2010. Do you see that at the top? A. I do. Page 72 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q. Okay. And this reads in the first paragraph, "Hello, all. I just got a call from Michael Corso. He told me that his post meeting meetings went well last night and that Gordon and Steve C want to put the 'moral ob program' in the FY10 supplemental budget, which currently might be heard as early as next week. This coincides with Sharon Reynolds calling me from the House Fiscal while I was at your office and leaving a message that Steve C said I'll have something for her (while she didn't say what or for the supplemental). I've returned her call. Good news." Do you recall having -MR. SHEEHAN: I have to take this. Excuse me, it will take one second. (SHORT RECESS WAS TAKEN) MR. MARTLAND: Back on the record. Q. Do you recall having a meeting on March -- the evening of March 30, 2010 with Gordon and Michael Corso? A. I do not recall. Q. Would you dispute that there was a meeting that occurred? A. I'm not able to dispute or confirm it. Q. Did the "moral ob program" get put into the FY2010 Min-U-Script® Allied Court Reporters, Inc. (401)946-5500 (18) Pages 69 - 72 115 Phenix Avenue, Cranston, RI 02920 www.alliedcourtreporters.com Rhode Island Economic Development Corporation vs Wells Fargo Securities, LLC Steven M. Costantino July 22, 2014 Page 73 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 supplemental budget? A. I do not remember. Q. Okay. Now, the third paragraph states: "As a soft heads up, Michael said that he thinks there is some confusion in that he believes Gordon and Steve see this as a 'digital media industry' program, with 75 million of 125 million 'committed' to 38 Studios, and the rest to be worked out on an industry based program, the details of which are to be developed by the RIEDC and the legislative policy folks with industry input." Did I read that correctly? A. Yes. Q. Did you believe that this was a "digital media industry" program? A. I don't recall. Q. Do you know what is meant by a "digital media industry" program? A. No. Q. Did you believe that 75 million of the 125 was committed to 38 Studios? A. No. Q. So you would -- do you dispute? A. I dispute "committed." Q. Okay. Did you have any conversations with Mr. Page 75 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Page 74 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Corso regarding the interest of 38 Studios in seeking the 75 million? A. I don't recall. Q. You don't recall any conversations whatsoever? MR. DeSISTO: With Corso about 38 Studios? MR. MARTLAND: With Corso about 38 Studios. MR. DeSISTO: I think you've answered it, but go ahead. Answer it. A. Yeah, I mean, you referenced in the beginning. Q. Yeah, if I could just for a moment -- I did go through that, and I was trying to exhaust your memory at that point in time, and now I'm showing you documents, and they may or may not refresh your recollection of events, and so I'm posing that question to you again. A. All right. It's simply I knew that he was involved in 38 Studios, but these details, these discussions, I have no recall -- recollection. Q. Okay. Now, you don't dispute that you had a conversation with him, but you dispute that the 75 million was committed? A. Correct. Q. Do you -- strike that. If Mr. Corso relayed to Rob Stolzman that you and -- that you believed 75 million was committed to 38 Studios, would that be a misrepresentation on Mr. Corso's part? MR. DeSISTO: Well, objection. I suppose you can answer it. A. If you're asking me to comment on an "if." Q. That's correct. MR. DeSISTO: If you can. Q. Well, here, this e-mail indicates that you told Mr. Corso, or he came away with the impression that you believed 75 million was committed to 38 Studios, and he relayed that to Mr. Stolzman? A. Can I read this? Q. Certainly. A. "Michael said that he thinks there is some confusion in that he believes Gordon and Steve see this as a 'digital media industry' with 75 to 125 committed.'" He thinks, and he believes, okay. So, getting back to your question. I've answered the fact that, you know, I don't believe there was any commitment on my part in this, and the "digital media industry" program, I don't recall if that was even the term used. So, I'm trying to get at what you're asking me, because I'm trying to answer it, but I don't have any recollection of this kind of conversation. Page 76 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q. Okay. Do you believe that Gordon, Speaker Fox -do you have reason to believe that Speaker Fox believed that 75 million was committed to 38 Studios? A. I do not know if Speaker Fox believed in this. Q. Did you have any conversations with Steven Lane regarding 38 Studios or the Rhode Island Jobs Creation Guaranty Program? A. I do not recall. (DEFENDANT'S EXHIBIT 627 MARKED FOR I.D.) Q. 627 has got a Bates stamp -- for those on the phone, of BRNonPrivileged016249. It is an e-mail from Michael Saul to Keith Stokes dated Friday, April 2nd, 2010. Do you have that exhibit in front of you, Secretary? A. Yes. Q. If you go down about eight lines, there's a string of e-mails, and there's an e-mail from Keith Stokes to Michael Saul regarding 38 Studios, and it reads: "Steve Costantino wants to move on it next week. He has also spoken to Steve Lane." Did I read that correctly? A. You did. Q. Does this refresh your recollection of having any conversations with Mr. Lane regarding 38 Studios? Min-U-Script® Allied Court Reporters, Inc. (401)946-5500 (19) Pages 73 - 76 115 Phenix Avenue, Cranston, RI 02920 www.alliedcourtreporters.com Rhode Island Economic Development Corporation vs Wells Fargo Securities, LLC Page 77 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. No. Q. Would you dispute that you had any conversations with Steve Lane on or around the beginning of April, 2010? A. I would not dispute that. Q. Okay. Do you recall having conversations with any EDC board members? Do you know who the EDC board members at that point in time were? A. Not all of them. Q. Not all of them, okay. Did you have any conversations with Alfred Verrecchia regarding 38 Studios? A. No. Q. That's not an "I don't recall"; that's a "no"? A. Well, specific to 38 Studios is the question? Q. That's correct. A. All right. I'll say I don't recall. Q. Did you have any meetings with Alfred Verrecchia? A. Yes. Q. And what were those meetings about? A. They were more social, and I shouldn't say "social." I would have a coffee with him every now and then just to talk about the Rhode Island economy. Q. Okay. Page 78 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. So they weren't specific to programs. Q. Did you discuss EDC matters? A. No. Q. Was it -- were these meetings taking place during, I will say the first part of 2010? A. I don't recall the dates. Q. Okay. Do you know if he was the -- a member of the EDC board at the time? A. I don't recall if I knew that. Q. Okay. Would there be any record of when these meetings, or coffee meetings, or breakfast meetings occurred? A. If they were, they would be on the State House, you know. Q. Would be whatever Leslie Smith kept? A. Whatever the -Q. Okay. Do you recall ever having any meetings with Paul Choquet? A. No. Q. I'm sorry, do you know who Paul Choquet is? A. I know who Paul Choquet is. Q. Okay. Are you aware of any criminal investigations by the federal or state law enforcement agencies relating to 38 Studios? MR. DeSISTO: I'm going to allow him to Steven M. Costantino July 22, 2014 Page 79 1 answer that yes or no. I'm going to tell you in 2 advance that's as far as he's going to go. Go 3 ahead. Are you aware? 4 A. Yes. 5 Q. How are you -- how did you become aware of those 6 investigations? 7 MR. DeSISTO: I'm going to instruct my 8 client not to answer any questions about any 9 current or past investigations. 10 MR. MARTLAND: On what basis? 11 MR. DeSISTO: I'm trying to think if it's 12 privileged, but I think it makes good sense not 13 for him to talk about any investigative matters 14 that are going forward now. So that's about all I 15 can tell you. 16 Q. Are you under a confidentiality order? 17 MR. DeSISTO: Don't answer that. Please, 18 respectfully, I'm not going to have him testify or 19 answer any questions about any criminal 20 investigation in this matter. 21 MR. MARTLAND: Well -22 MR. DeSISTO: I think we'll have to go see 23 Judge Silverstein on this, respectfully. 24 MR. MARTLAND: All right. That's fine. 25 No, I understand your position. Page 80 1 MR. DeSISTO: You know, I don't want to 2 belabor it, but I'm not going to have him answer 3 questions on it. 4 MR. MARTLAND: All right. Well, it's 5 12:30 now. Do you want to take a lunch break? 6 MR. DeSISTO: I'm not holding you to this, 7 but if you just had an hour to go, I'd say let's 8 move through. 9 MR. MARTLAND: I think it probably makes 10 sense to just take half-an-hour for a quick lunch 11 break. 12 MR. DeSISTO: Okay. 13 (A SHORT RECESS WAS TAKEN AT 12:29 P.M.) 14 (TESTIMONY RESUMED AT 1:08 P.M.) 15 MR. MARTLAND: We're back on the record. 16 Q. When you were a House Finance Chair, who would you 17 include in the group known as House Leadership? 18 When an individual might refer to House 19 Leadership, what members of the House would that 20 include? 21 MR. DeSISTO: By title? 22 MR. MARTLAND: Correct. 23 A. Speaker. The Majority Leader, Deputy Majority 24 Leader, House Whip. 25 Q. In 2010, the Speaker was Gordon Fox; correct? Min-U-Script® Allied Court Reporters, Inc. (401)946-5500 (20) Pages 77 - 80 115 Phenix Avenue, Cranston, RI 02920 www.alliedcourtreporters.com Rhode Island Economic Development Corporation vs Wells Fargo Securities, LLC Page 81 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. For a portion of the year. Q. Right. That was the transition from Speaker Murphy to Gordon Fox. Okay. Who was the Majority Leader? A. Nick Mattiello. Q. The Deputy Majority Leader, or was there more than one? A. Well, I don't remember who the Deputy Majority Leader was, actually. Q. And the Whip? A. The Whip was Peter Kilmartin. Q. Were any members of House Leadership aware of the interest of 38 Studios in obtaining $75 million during the -- while the Rhode Island Jobs Guaranty Program was? A. The term is "interest," you said? Q. Interest. A. I would say the Speaker. Q. The Speaker, okay. Nick Mattiello had no knowledge of that? A. I have no idea. Q. And you didn't have any conversations with him? A. No, I did not. Q. And what are the duties of the Majority Leader, if you know? Page 83 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Page 82 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. Traditionally, and I say traditionally because it can change with any leadership over the history. You know, everybody has a different style. They manage all the bills. When I say "manage" usually the office decides whether the bill goes in committee. They work on separate legislation in terms with committee chairs, you know. They manage the floor during a debate. They pretty much are very involved in the rules of the chamber, how the chamber runs, and so that's pretty much what the responsibility of the Majority Leader is. Q. Okay. What about the Majority Whip? A. The Majority Whip usually -- the Whip and the Majority Whip, so, are you talking about the whip or the Majority Whip. Q. I thought earlier when you were describing House Leadership -A. I thought I said the House Whip. There was a Majority Whip as well. It's two positions. Q. All right. Well, who is the House Whip? A. That was Peter Kilmartin. Q. And what were the duties and responsibilities of the House Whip at the -- during 2010? A. I mean, generally, the House Whip, make sure, Steven M. Costantino July 22, 2014 you know -- gets kind of a tally of how many votes are on the House floor for a certain issue. Q. Okay. Do they talk to the members about lining up votes to pass legislation? A. Yeah. They find out where members are on certain yes or no, or non-voting, you know. Q. If a member is inclined to vote "no" on legislation that leadership wants, what is done with that information? MR. DeSISTO: Say that again. Q. If a House member is inclined to vote no on legislation that leadership wants passed, after the Whip finds out about that member's position what, if anything, would generally happen? MR. DeSISTO: Objection. This gets into legislation process and speech and debate in a general way. I think it's something that he shouldn't testify to. So I'm going to instruct him not to. MR. MARTLAND: Okay. Q. Did you have any conversations with Peter Kilmartin regarding 38 Studios in the spring and early summer of 2010? A. I do not recall. Q. So that -- so you may have had conversations with Page 84 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 him? A. I don't recall. Q. Okay. And the reason why I say that is, you know, "I don't recall" means you might have or you might not have. A. I know what it means. I realize that. Q. All right. Would -- this program was $125 million, and other than the Speaker, you don't recall having any conversations with anyone else in the House regarding this program? A. Regarding the program? Q. Regarding the Rhode Island Jobs Creation Guaranty Program. A. I don't recall. Q. Do you recall if anyone came to you and said, "Chairman, why 125 million?" A. I don't recall having a question asked like that. Although -- well, let me say that. Let me correct that. I've answered earlier that you asked me the question about why $125 million, and I said because that was the demand in the community. So, I don't recall an individual -when you say a "person," you're talking about a rep? Q. A rep, yes. Min-U-Script® Allied Court Reporters, Inc. (401)946-5500 (21) Pages 81 - 84 115 Phenix Avenue, Cranston, RI 02920 www.alliedcourtreporters.com Rhode Island Economic Development Corporation vs Wells Fargo Securities, LLC Page 85 1 A. Okay. I do not recall. 2 (DEFENDANT'S EXHIBIT 629 MARKED FOR I.D.) 3 Q. Exhibit 629 bears the Bates number 38MAR000962, 4 and this is an e-mail from Rob Stolzman -- to Rob 5 Stolzman, Daniel Waugh, Keith Stokes, Michael 6 Saul, Fred Hashway, Sean Esten, Antonio Afonso and 7 Maureen Gurhigian dated May 20. It reads, "Hello 8 all. After much scuffling last evening, the House 9 Finance Chair introduced a Bill (8158 - link 10 attached below) for the Kushner on the Jobs 11 Guaranty Program. They agreed with our need to 12 assure that the $125 million cap applies to 13 'principal' only, and kept some of Dan's 14 clarification language in that regard. 15 Notwithstanding my arguments that the statutory 16 changes suggested by Dan were better drafting 17 (adding section 18.1 to the RIEDC statute and 18 carving out the program from the Kushner Act), the 19 Chairman does not want to do it that way and wants 20 to use the resolution format. I've only scanned 21 the attached, so let's all review it and see if 22 there are any fatal flaws. If not, the Chairman 23 will try to have the House pass it on Tuesday." 24 Have I read that correctly? 25 A. Yes. Page 87 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Page 86 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q. The -- why did you want to use the resolution format that Mr. Stolzman indicates in here? MR. DeSISTO: Objection. Notwithstanding the foundation, but the "why" question anyway would be a speech and debate on legislative process. So, I would instruct him not to answer it even if he -- even if the question was "did you do that?" Q. Did you have any conversations with any members of the House regarding the use of the resolution format with respect to this particular legislation? MR. DeSISTO: Just for purposes of my being able to object, it's "yes," "no," or "I don't know," then we'll go on from that, or I -MR. STEVE: Or, I don't recall. THE WITNESS: Can you repeat the question? Q. Did you have any discussions with any members of the House about using the resolution format with respect to this particular piece of legislation? A. I don't recall. Q. Did you use the resolution format for this particular piece of legislation? A. I don't recall. Q. Do you know the reasons why you would have used Steven M. Costantino July 22, 2014 the resolution format? MR. DeSISTO: Objection. Don't answer that based on those privileges. MR. MARTLAND: I'm not asking him what the reasons are. I'm asking him if he simply knows. MR. DeSISTO: Why he would have, or he doesn't know whether or not he did? MR. MARTLAND: Yes. MR. DeSISTO: That's so speculative, I'll instruct -- go ahead. A. I don't recall. Q. Now, Mr. Stolzman indicates in his e-mail that there was "scuffling last evening." Do you see that? A. Yeah. Q. Do you have any idea what he's speaking of? A. No, I do not. (DEFENDANT'S EXHIBIT 631 MARKED FOR I.D.) Q. Exhibit 631 bears a Bates stamp of BRNon-Privileged 031601 -A. That's my birthday. Q. It's an e-mail from Rob Stolzman to Keith Stokes, Melissa Chambers, Michael Saul, Fred Hashway. Subject: RIEDC/38 Studios. It's dated Wednesday, June 16, 2010. Do you see that? Page 88 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. It's my birthday, yes. I do see it. Q. If you want to take a moment to review that? A. I see it. Q. Okay. Do you recall speaking with Mr. Stolzman on June 16th, 2010? A. I don't recall it. Q. Do you recall giving an interview with Andy Smith from the Providence Journal? A. I do recall having an interview. Q. Did you tell Mr. Smith that "this was not a 'cooked' deal"? A. I don't remember using that term. Q. Now, Mr. Stolzman puts in here that at least what he understood you relayed to him was that you indicated "this was not a 'cooked' deal for 38 Studios, but it is true that the company's interest in this program helped convince the legislature that this program would be well received (sic) in the marketplace." Do you see that? A. Yeah, I see it. I do. Q. Do you agree with that representation? A. Do I agree with it? Q. Yes. A. Not completely. Min-U-Script® Allied Court Reporters, Inc. (401)946-5500 (22) Pages 85 - 88 115 Phenix Avenue, Cranston, RI 02920 www.alliedcourtreporters.com Rhode Island Economic Development Corporation vs Wells Fargo Securities, LLC Page 89 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q. In what way do you not agree? MR. DeSISTO: Well, objection. Now you're asking him as to why the legislation as to whether or not 38 Studios helped the legislation pass. I just think that falls within that legislative privilege or speech and debate, so I'm going to instruct him not to answer. MR. MARTLAND: Well, presumably, he had this conversation with Mr. Stolzman and also with Mr. Smith from the Providence Journal. MR. SHEEHAN: He says he doesn't recall. MR. DeSISTO: Go ahead, Steve. He says he doesn't remember the one with Stolzman, and he had a conversation with Smith, but that doesn't mean that he's waived it. I don't know what he talked to with Smith, so I'm going to have him hold on that. MR. MARTLAND: All right. Q. Did you have a conversation with Mr. Smith about 38 Studios and the Rhode Island Jobs Creation Guaranty Program? A. Yes. Q. And what did you discuss with Mr. Smith? Do you recall the specifics? A. I don't recall the specifics. Page 91 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Page 90 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q. So, as we sit here today, you can't indicate whether or not you discussed -- the issue at 38 Studios helped convince the legislature to pass that program? A. Correct. Q. Now, this indicates that you did not offer to the Providence Journal, and they didn't ask you about any visits to 38 Studios? A. Correct. Q. And you wanted to know if EDC had commented on your involvement? A. Right. Q. Do you recall having that conversation? A. I don't recall having the conversation. Q. Is there a reason why you wouldn't want the Providence Journal to have known that you had visited 38 Studios? MR. DeSISTO: Objection. You can answer. A. Was there a reason? No, there wasn't a reason. Q. After the legislation passed the House, it was shortly thereafter it became public knowledge that 38 Studios was seeking $75 million from the EDC under this new creative program; do you recall that? Steven M. Costantino July 22, 2014 A. After it passed, yes. Q. That it became public knowledge? A. Yes. Q. Did you have any conversations with any legislatures regarding the program or 38 Studios after the passage? A. I don't recall. Q. Did you have any further involvement with 38 Studios after the passage? A. Further involvement? Q. Further involvement with 38 Studios after the passage of the Rhode Island Jobs Creation Guaranty program. A. Pretty general question, "further involvement." I don't recall. Q. Did you have any meetings with officials at 38 Studios? A. I don't recall. Q. Did you have any meetings with Michael Corso? A. I don't recall. Q. Were you aware that Michael Corso was willing to receive remuneration from 38 Studios as a result of his efforts? A. No. Q. Did you -- and this is after at passage -- did you Page 92 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 have any meetings with Robert Stolzman regarding Rhode Island Jobs Creation Guaranty Program and 38 Studios? A. I don't recall. Q. Did you -- at the time in the summer of 2010, you were a candidate for Mayor of Providence; is that correct? A. That's correct. Q. Did you have any meetings with Mr. Stolzman regarding the implications of this program, the Jobs Creation Guaranty Program and 38 Studios might have on your mayoral bid? A. I don't recall. Q. You were appointed by Governor Chafee to be the Secretary of Health and Human Services; is that correct? A. That is correct. Q. How did that come to be, if you know? Did Governor Chafee reach out to you? Did you reach out to the governor? A. So, as you know, I lost the bid for mayor, and I'm trying to think how it actually happened. I made it clear -- I think I reached out to them, I'm not sure in which form, that I would be, you know, open to serving in the administration. It Min-U-Script® Allied Court Reporters, Inc. (401)946-5500 (23) Pages 89 - 92 115 Phenix Avenue, Cranston, RI 02920 www.alliedcourtreporters.com Rhode Island Economic Development Corporation vs Wells Fargo Securities, LLC Steven M. Costantino July 22, 2014 Page 93 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 wasn't specific to the secretary's job, just general. Q. Just general? A. Serving in the administration. Q. And who did you have conversations with about that? A. I've had conversations with Pat Rogers, who was on the transition team. Q. Was he the only -A. He was the general contact. Q. And did he come back and indicate to you that -A. He gave me a sense that I would be considered. Q. Okay. During this process, did you have any conversations about 38 Studios? A. No. Q. Did you ever have any conversations about 38 Studios with Governor Chafee? A. No. Q. Did you have any conversations about 38 Studios with anyone in Governor Chafee's office? A. No. Q. Never had any conversations with -- to Jaime McDonald or Andy Hodgkin? A. Any? Q. About 38 Studios. Page 95 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. No. Q. Are you familiar with the allegations of the complaint that have been brought against the various defendants? A. Am I familiar with the allegations? Can I ask you a question? MR. DeSISTO: Apart from anything I've told you, are you familiar with the allegations? A. I'm familiar with some of them. Q. Okay. And what allegations are you familiar with? A. Simply that Wells Fargo -- that's the one I'm really more familiar with in terms of what I've read -- there's a suit against Wells Fargo in disclosing, you know, all the facts to the state when they made their decision. That's about all I really know. Q. And how did you come into that knowledge? A. Reading. Q. Newspaper? A. Newspaper. Q. Now, during the process in which the House Finance Committee was involved in the Jobs Creation Guaranty Program and 38 Studios, you didn't have any meetings with any representatives from Wells Fargo? Page 94 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. No. Q. Did you have any conversations with Governor Chafee or anyone on his staff regarding Keith Stokes? A. I don't recall. Q. Other than Mr. DeSisto, did you meet with any other attorneys in connection with this matter? MR. DeSISTO: Let me put on the record that that will depend on what Judge Silverstein decides on the issue we're going to bring to him. But if you split it and ask him notwithstanding in any criminal -MR. SHEEHAN: Putting aside any criminal? MR. DeSISTO: Yes, what did I say? Putting aside criminal, you can answer that. Q. I will amend the question to put aside any consultations relating to the criminal investigation. A. No. Q. Did you ever meet with anyone from Mr. Sheehan's office or Max Wistow? A. Correction. I did call Claire Richards up, who referred me to Mr. Wistow. Q. Okay. Did you ever meet with either Mr. Sheehan or Mr. Wistow? Page 96 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. No. Q. I forget to ask you earlier, have you served on any boards or commissions? A. Yes. Q. And I'll keep it to the time frame of, say, from 2000 to the present, and if you could enumerate whatever boards or commissions you were a part of. A. It's a change to my memory. Q. We're trying to keep your mind fit. A. Boards and commissions, are you talking about non-profits? Are you talking about legislative commission on, you know, DCYF system of care? Q. I am going to say not related to the legislature. A. You mean, outside boards and commissions? Q. Outside boards and commissions. A. During my legislative time? Q. During your legislative time, yes. A. I tried, really, to get off most. So that's why it's -- I was on the International Institute Board, but I then got off it. So, again, I don't remember the time frames. Q. What was that? A. It's called something else now. It's a big nonprofit in South Providence that deals with refugees and immigration. That's the only one I Min-U-Script® Allied Court Reporters, Inc. (401)946-5500 (24) Pages 93 - 96 115 Phenix Avenue, Cranston, RI 02920 www.alliedcourtreporters.com Rhode Island Economic Development Corporation vs Wells Fargo Securities, LLC Page 97 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 remember. That's all I recall at this point. MR. MARTLAND: I don't think I have any other questions except those related to the -MR. DeSISTO: Do you want to keep going until we hear from Judge Silverstein? MR. SHEEHAN: I don't have any questions. MR. DeSISTO: All right. Does anyone on the phone have any questions? MR. GLADSTONE: Bruce Gladstone is on the phone. MR. MARTLAND: Hi, Bruce. MR. GRIMES: This is Timothy Grimes for Wells. I do not have any questions at this time, but just to make a suggestion, I have not yet heard back from the clerk or from the judge at this point in time. Would it make sense to make a record, Marc, and we will acknowledge that you will be instructing the witness not to answer any questions related to any criminal investigation, and then if we are able to get a hold of the judge, we'll be able to return to those questions? At least, we'll have a record made. MR. DeSISTO: Well, haven't we just made the record, Tim? In other words, what do you want, the questions, the specific questions on the Page 99 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Page 98 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 record? MR. GRIMES: The specific questions with my suggestion, but it is David's deposition to run. MR. DeSISTO: That's a good suggestion, but I'm just trying to make this as easy as possible. I'm going to instruct him not to answer any questions concerning his knowledge or involvement in any criminal investigation pending an informal conference with Judge Silverstein, and I will take whatever advice he gives. I'm letting everyone know that. So, if he says over the phone or later on, no, he's got to testify; and if it's not today then, unfortunately, my client will have to come back. MR. MARTLAND: Tim, do you want to try to reach Jennie again? MR. GRIMES: I can try and give a call again. From my recollection clerking in the courthouse, it's a pretty quiet area around 1:45, but I will try and give her a call back on my cell phone. So I'm going to go mute on this phone and, hopefully, I can get in contract with her. MR. MARTLAND: All right. Thank you. MR. SHEEHAN: Could I just have a minute Steven M. Costantino July 22, 2014 to talk to Mr. DeSisto? MR. MARTLAND: Sure. We can go off the record. (RECESS TAKEN AT THIS TIME) MR. GLADSTONE: I just have one or two follow-up questions, but let's see if the judge is available first. EXAMINATION BY MR. GLADSTONE: Q. Okay. This is Bruce Gladstone representing J. Michael Saul. I just have a few follow-up questions. After the 38 Studios closing happened and 38 Studios moved to Rhode Island, did anyone communicate -- anybody from 38 Studios ever try to communicate with you indicating that they want to have a meeting about modifying their observations under their loan that they received from the EDC? A. I don't recall. Q. Okay. Do you recall whether Mr. Corso ever tried to contact you or did contact you to discuss performance under the loan? A. I don't recall. Q. Do you recall whether David Gilden ever attempted to contact you or did contact you regarding performance by 38 Studios under the loan? A. No, he didn't. Page 100 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q. Okay. Do you recall when the first time was that you heard that 38 Studios may be having financial difficulties such that they would not be able to repay under the loan? A. I don't recall when I knew. Q. All right. Do you recall how you found out? A. Through the newspaper. Q. Okay. Was there any discussion with you and anyone else concerning trying to assist 38 Studios -THE WITNESS: Could you repeat that, please? Q. Was there any discussion after the closing once 38 Studios moved to Rhode Island as to assisting 38 Studios financially through the issuance of tax credits? A. No. THE WITNESS: The stenographer did not hear your question. MR. DeSISTO: Bruce, can you repeat your question again? Bruce withdraw your earlier question for the record. MR. GLADSTONE: Let me restate my earlier question. Q. Once the closing took place and 38 Studios was Min-U-Script® Allied Court Reporters, Inc. (401)946-5500 (25) Pages 97 - 100 115 Phenix Avenue, Cranston, RI 02920 www.alliedcourtreporters.com Rhode Island Economic Development Corporation vs Wells Fargo Securities, LLC Page 101 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 operating in Rhode Island, were you involved in any discussions concerning the issuance of tax credits to assist 38 Studios financially? A. No. Q. Do you know if anyone else -- other than through things you may have through the newspaper, do you know that there were discussions going on between 38 Studios and anyone else in the legislature? A. I don't recall. Can I ask a clarification, if I may? When you say "closing," what do you mean? Q. I mean that the -- all the documents for the loan were signed, and the funding was received, bonds were issued. A. Okay, thank you. Q. So, does your answer stay the same? A. Yes. MR. GLADSTONE: I don't have any other questions right now. MR. DeSISTO: Okay. So, as I understand it, the only questions left are what we're bringing up with Judge Silverstein, and we're waiting for Jennie and the judge? MR. MARTLAND: That's correct. MR. DeSISTO: Okay. (DISCUSSION HELD OFF THE RECORD BETWEEN Page 103 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Page 102 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 JUDGE SILVERSTEIN AND ATTORNEYS PRESENT OVER THE PHONE AND IN THE CONFERENCE ROOM) MR. DeSISTO: Okay. I'd like the record to reflect that we had a telephone conference with Judge Silverstein where we made our respective arguments, and the judge has indicated that the questions regarding my client's involvement or knowledge in a criminal investigation should go forward. And if the questions get too probing, we can call him back. I hope I've stated that correctly. MR. MARTLAND: You have. MR. DeSISTO: All right. Based upon that, go ahead. EXAMINATION BY MR. MARTLAND: Q. Secretary Costantino, how did you come into knowledge that there was a criminal investigation into matters related to 38 Studios? A. I was visited by two State Police officers at my office. Q. And when was that? A. I don't recall. MR. DeSISTO: Give him an estimate. A. A month ago. Q. So, fairly recently? Steven M. Costantino July 22, 2014 A. Yeah. Q. Did you discuss Michael Corso's dealings with 38 Studios and the legislature, the Rhode Island legislature, during the period of -- the first half of 2010? MR. DeSISTO: Did he discuss with the State Police? Did they ask him questions about it? MR. MARTLAND: Yes. MR. DeSISTO: Go ahead. A. They asked me questions about Michael Corso. Q. Did they -- and what did you tell them about Michael Corso? MR. DeSISTO: What do you recall? A. Yeah. They asked if I socialized with him. I said no. They asked me kind of, you know, "What kind of general meetings did you have with him?" I said, "There weren't." They asked the same question, "Are you talking about when you meet him in the corridor, are you talking about an official meeting?" I basically told them I did not recall having any meetings with him like that. I told them about going to 38 Studios. I told them -you know, so that was -- I'm trying to remember. Even though it was a short time ago, I don't Page 104 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 recall many of the questions. The whole interview lasted forty-five minutes. As it relates to Michael Corso, that's all I remember. Q. Did you tell the State Police investigators anything different than your testimony today? A. I'm comparing two processes. MR. DeSISTO: And, also, let me clarify. You mean, did he tell them something you didn't ask today that didn't come up today? MR. MARTLAND: Correct. MR. DeSISTO: Okay. A. I'm going through all your questions in my head right now. This is not an easy -- you know, it's too simultaneous. Q. Well, let me withdraw that and just try to recap some of the testimony today and try to make this a little bit more direct. You've testified that you don't recall having meetings with Michael Corso during 2010 related to 38 Studios? A. I did not tell them anything different than that, all right. Q. You've indicated that when you went to Maynard, the only individuals that you can recall being at the meeting were yourself, Speaker Fox, Curt Schilling. You thought Keith Stokes was there as Min-U-Script® Allied Court Reporters, Inc. (401)946-5500 (26) Pages 101 - 104 115 Phenix Avenue, Cranston, RI 02920 www.alliedcourtreporters.com Rhode Island Economic Development Corporation vs Wells Fargo Securities, LLC Steven M. Costantino July 22, 2014 Page 105 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 well, and couldn't recall any of the other attendants; correct? A. Correct. Q. Is that the same information you provided to the investigators? A. What if I don't recall? MR. DeSISTO: Just say it. A. I don't recall what I said on this issue, okay. Q. Okay. Did they ask you about whether or not Nicholas Mattiello had knowledge of 38 Studios? A. No, they did not ask. Q. Okay. Did they ask whether or not you discussed 38 Studios with any of the other representatives? A. No, they did not ask. Q. Other than the State Police, have you been contacted by any other agencies? A. No, I have not. Q. Are you aware of any other investigations? A. No. Could you be more specific? Q. Other criminal investigations. A. On 38 Studios? Q. On 38 Studios. A. So, if I read something in the paper, does that -- I mean, this whole thing with the Speaker, Page 107 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 to the House floor? You know, really legislative process. MR. MARTLAND: Okay. I don't have any further questions. Does anyone on the phone have any questions? MR. DeSISTO: Okay. MR. GRIMES: This is Tim, I have no questions. MR. TUGAN: This is Andy, I have no questions. MR. GLADSTONE: No further questions. MR. SHEEHAN: I have none. THE REPORTER: Mr. DeSisto, are you ordering a copy? MR. DeSISTO: Yes. Read and sign. (DEPOSITION CONCLUDED AT 2:36 P.M.) Page 106 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 I mean, I'm not sure if that's -- I'm just trying to be -- is that -Q. Wherever your knowledge comes from. A. All right. All I know about other investigations is what I read in the newspaper, all right. And I don't even know if that's about 38 Studios, that's why I asked that. Q. And you're referring to the raid on the Speaker's office? A. Right. Q. Have you had any conversations with the Speaker about that? A. No. Q. Have any attorneys for the Speaker contacted you? A. No. Q. Has anyone on behalf of the Speaker contacted you? A. No. Q. Did the investigators ask what your role was in relation to the Jobs Creation Guaranty program? A. My role, yes. Q. And what did you tell them? A. Pretty much they asked about process. Q. Okay. A. Similar to the, you know, how to become a bill, the whole thing. Hearings. How did he get Page 108 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 C-E-R-T-I-F-I-C-A-T-E I, SALLY BRASSARD, a Notary Public in and for the State of Rhode Island, duly commissioned and qualified to administer oaths, do hereby certify that the foregoing deposition of STEVEN M. COSTANTINO, a witness in the above-entitled cause, was taken before me on behalf of the Defendant, Keith Stokes, at the offices of Cameron & Mittleman, LLP, 301 Promenade Street, Providence, Rhode Island, on July 22, 2014, at 10:00 A.M., that previous to examination of said witness, who was of lawful age, he was first sworn by me and duly cautioned and sworn to testify the truth, the whole truth, and nothing but the truth, and that he thereupon testified as in the foregoing manner as set out in the aforesaid transcript. I further certify that the foregoing deposition was taken down by me in machine shorthand and was later transcribed by computer, and that the foregoing deposition is a true and accurate record of the testimony of said witness. Pursuant to Rule 5 (d) and 30 (f) of the Federal Rules of Civil Procedure, original transcripts shall not be filed in court; therefore, the original is delivered and retained by Defendant's attorney. I have enclosed with a copy of the deposition a correction and signature page, which must be signed before a Notary Public. IN WITNESS WHEREOF, I have hereunto set my hand this 24th day of July, 2014. ___________________________________________ SALLY BRASSARD, NOTARY PUBLIC/CSR-RPR (MY COMMISSION EXPIRES JANUARY 16, 2017) Min-U-Script® Allied Court Reporters, Inc. (401)946-5500 (27) Pages 105 - 108 115 Phenix Avenue, Cranston, RI 02920 www.alliedcourtreporters.com Steven M. Costantino July 22, 2014 Rhode Island Economic Development Corporation vs Wells Fargo Securities, LLC $ $125 (5) 38:5,16;84:7,20; 85:12 $50 (2) 37:23;38:2 $50,000 (1) 10:8 $75 (4) 49:7;50:6;81:13; 90:23 A ability (1) 55:12 able (9) 49:19;50:3;60:1; 67:6;72:24;86:14; 97:20,21;100:3 abuse (3) 8:21;9:19;15:19 abusers (1) 10:21 Academy (1) 5:19 access (2) 53:14,18 accommodate (1) 37:22 According (1) 39:11 accurately (1) 56:17 acknowledge (1) 97:17 across (3) 8:9,16;50:23 Act (1) 85:18 Action (4) 6:5,9;7:1;63:9 actual (1) 22:25 Actually (20) 5:22;6:22,23,25; 8:11;13:2;16:9;19:16; 20:10;22:4,16,18; 24:15;29:11;32:10; 55:4,10;61:22;81:9; 92:22 add (2) 24:13,19 added (2) 47:11,12 adding (1) 85:17 address (5) 52:20,22;53:1,3,10 adjust (2) 22:14;68:9 Min-U-Script® adjusted (1) 22:9 administer (2) 16:12;44:16 administration (7) 16:18,19;21:19;22:1; 23:7;92:25;93:4 administrative (3) 30:3,9,11 administrator (3) 11:15;12:3;13:6 adoption (1) 52:6 advance (2) 28:3;79:2 Advanced (1) 15:21 advice (1) 98:11 advisor (5) 23:4,5,9,10;24:7 advocacy (3) 8:25,25;9:2 advocate (1) 64:22 affects (1) 21:5 affiliated (3) 15:2;43:22;44:3 Afonso (1) 85:6 Again (15) 26:20;30:6;36:18; 38:9;41:17,21;48:14; 64:25;70:20;74:16; 83:10;96:20;98:17,19; 100:21 against (2) 95:3,13 agencies (2) 78:24;105:17 agency (5) 7:18;8:24;10:3;51:2, 4 agenda (1) 64:14 ago (2) 102:24;103:25 agree (4) 50:8;88:22,23;89:1 agreed (1) 85:11 agreeing (1) 69:10 agreement (2) 46:16,19 ahead (10) 44:23;56:21;66:17; 69:8;74:9;79:3;87:10; 89:12;102:14;103:10 4:20 Alan (1) 15:1 A-l-a-n (1) 15:1 alcohol (1) 8:3 Alfred (3) 43:14;77:11,18 allegations (4) 95:2,5,8,10 alleviate (1) 71:3 allow (5) 5:7;51:13,20;71:6; 78:25 along (1) 49:24 alter (1) 21:8 Although (1) 84:18 always (4) 54:16;55:2,5;68:1 amend (2) 29:2;94:16 amendments (1) 28:7 amongst (1) 12:10 amount (4) 10:16;50:6,18;51:1 analysis (2) 12:11;19:20 Andy (7) 25:21,23;59:8,9; 88:7;93:23;107:9 annual (1) 13:7 annually (1) 10:6 answered (6) 44:24;69:20,25;74:8; 75:18;84:19 anticipate (1) 5:2 Antonio (1) 85:6 AOL (1) 53:13 Apart (1) 95:7 apparently (1) 39:12 applies (1) 85:12 apply (1) 44:15 appointed (1) 92:14 ahodgkin@govstaterius (1) appreciate (1) 59:8 51:7 al (1) approach (3) 15:24,24;16:5 appropriately (1) 20:15 appropriations (1) 68:9 Approximately (2) 31:21;32:6 April (11) 32:7,16;46:23;57:4; 59:7;61:21;62:3,11,12; 76:14;77:4 APS (2) 60:23;65:12 area (2) 16:6;98:20 arena (2) 13:24;15:19 arguments (2) 85:15;102:6 around (6) 15:11;32:15;33:21; 49:11;77:3;98:20 arranging (1) 65:23 article (9) 19:24;47:10;65:21; 66:15,25;68:3;71:8,9, 18 articles (3) 20:7;46:18;68:9 Asian (1) 15:18 aside (3) 94:13,15,16 assembly (1) 21:12 assertion (4) 49:4,5,17;50:2 assessed (1) 9:10 assign (1) 27:14 assist (2) 100:9;101:3 assistance (1) 6:12 assistant (3) 30:4,9,11 assisted (1) 7:3 assisting (1) 100:14 association (5) 8:4,8;9:5,10,23 assume (1) 64:7 assure (1) 85:12 attached (4) 57:10;59:10;85:10, 21 attempted (1) 99:22 Allied Court Reporters, Inc. (401)946-5500 115 Phenix Avenue, Cranston, RI 02920 www.alliedcourtreporters.com attendants (1) 105:2 attended (4) 5:12;32:17;43:15; 56:1 attendees (2) 33:13;43:21 attending (1) 33:3 attention (2) 56:8;57:24 attorneys (3) 94:7;102:1;106:14 authorization (4) 44:12,12;59:19,24 authorized (1) 44:13 authorizing (1) 59:16 available (2) 44:11;99:7 average (1) 19:22 aware (11) 38:17,24;41:12;48:5; 63:25;78:22;79:3,5; 81:12;91:21;105:19 away (1) 75:9 B back (32) 5:17,25;6:2,3,17; 17:17;25:15;32:3; 35:19,21;43:10;44:6; 46:14;47:5;54:6;55:13; 60:4,21;61:2;64:16; 71:11,12,13,17;72:17; 75:18;80:15;93:11; 97:15;98:15,21;102:10 background (4) 5:15,24;58:3;59:12 bad (1) 41:5 balance (1) 23:1 balanced (3) 21:10,12;71:14 based (9) 9:11;20:2,13,16; 21:12;22:22;73:9;87:3; 102:13 basic (1) 59:15 basically (12) 6:10;7:14;12:4;19:8; 22:2;24:17;33:19;34:6; 38:10;47:7;54:15; 103:21 basing (1) 20:21 basis (2) (1) $125 - basis Steven M. Costantino July 22, 2014 Rhode Island Economic Development Corporation vs Wells Fargo Securities, LLC 13:7;79:10 Bates (5) 60:23;65:12;76:11; 85:3;87:19 bathroom (1) 43:5 bears (3) 65:12;85:3;87:19 became (8) 6:6;8:2;15:14;17:8; 18:25;68:22;90:22; 91:2 become (2) 79:5;106:24 beginning (5) 32:6,16;46:23;74:10; 77:3 begun (1) 56:10 behalf (4) 4:10;56:12,23; 106:16 belabor (1) 80:2 believes (3) 73:5;75:15,17 below (2) 61:24;85:10 benefit (1) 58:3 best (1) 62:15 better (1) 85:16 bid (3) 9:3;92:12,21 big (1) 96:23 bill (22) 19:17;27:23;28:2,12, 13;29:14;46:21;47:1,3, 6,13,24;48:1,4,18;49:8; 51:15;68:5;71:19;82:6; 85:9;106:25 bills (7) 19:23;27:14,21;29:2, 6,6;82:4 birthday (2) 87:21;88:1 bit (2) 20:11;104:17 board (6) 43:12;65:24;77:7,7; 78:8;96:20 boards (5) 96:3,7,10,14,15 Bob (1) 29:2 Bobby (1) 28:18 bonds (1) 101:12 both (4) Min-U-Script® 21:4;22:10,15;43:24 boundaries (1) 7:17 break (6) 43:7,7;51:20;70:4; 80:5,11 breakfast (1) 78:11 Brian (1) 25:16 brief (1) 59:12 briefing (1) 65:25 bring (5) 22:4,10;36:7;55:4; 94:10 bringing (1) 101:21 BRNon-Privileged (1) 87:20 BRNonPrivileged016249 (1) 76:12 brokering (1) 40:13 brother (1) 14:7 brother's (2) 13:17;14:25 brought (1) 95:3 Bruce (5) 97:9,11;99:9;100:20, 21 budget (65) 7:13;8:19,23;9:24; 10:5,6;12:17;13:7; 19:9,10,13,15,15,16,21, 23,24;20:7,15,20;21:3, 10,12,15,19,20;22:16, 21;23:1,6;24:22;25:8; 26:25;27:6,24;46:16, 20;47:11;65:21;66:3,4, 14,25;67:16,19,22,22; 68:1,2,4,4,5,6,8,12,14, 18,20;71:9,10,12,14, 16;72:6;73:1 bunch (3) 10:19;21:7;50:22 business (8) 12:11;13:14,17;14:5, 6,9,11;38:11 C calendar (6) 29:18,19;30:14; 53:24,24,25 call (10) 20:19;21:24;22:2; 32:10;72:2,12;94:22; 98:18,21;102:10 called (4) 47:13;56:12;68:3; 96:23 calling (3) 56:20,23;72:8 calls (1) 56:13 came (5) 6:2;16:12;44:25; 75:9;84:15 campaigns (1) 41:11 can (35) 5:1,4,8;17:17;25:18; 37:18;38:4;44:22; 46:13;48:21;49:2,12; 50:1;51:18,20;60:2; 68:2,4;70:5;75:4,7,12; 79:15;82:2;86:17; 90:18;94:15;95:5; 98:18,23;99:2;100:20; 101:9;102:10;104:23 candidate (1) 92:6 cap (1) 85:12 car (3) 35:15,19,21 Carcieri (2) 46:6;57:11 Care (3) 11:14,17;96:12 Carr (2) 28:18,23 C-a-r-r (1) 28:18 carving (1) 85:18 case (10) 8:12;10:21;20:19,22, 22,24,25;21:5;22:11; 24:18 caseload (1) 22:13 cases (1) 20:23 cash (1) 12:10 cell (1) 98:21 Center (3) 11:17;12:17,23 CEO (1) 10:2 certain (5) 40:9;54:22,25;83:2,6 Certainly (3) 7:11;16:3;75:13 cetera (1) 20:6 CFO (1) 7:13 Chafee (4) 92:14,19;93:17;94:3 Chafee's (1) 93:20 chair (12) 19:8;20:3;23:11; 24:8;26:5,6,21;40:20, 22;53:16;80:16;85:9 chairman (18) 17:8,8,10;18:25; 19:3,7;24:2;52:19; 56:12;58:2;59:18;62:1; 64:9,11,12;84:16; 85:19,22 chairs (2) 20:2;82:7 chamber (2) 82:10,10 Chambers (1) 87:23 change (5) 17:6;20:15;62:13; 82:2;96:8 changed (1) 25:6 changes (6) 22:24,25;28:22;29:4; 68:13;85:16 characterization (2) 59:23;66:17 charge (3) 9:24;13:6;14:21 checked (1) 53:7 cheese (1) 7:3 Choquet (4) 43:19;78:18,20,21 Cianci (2) 16:19,20 circulating (1) 56:14 citizens (1) 6:13 City (7) 6:11,13;7:20;15:17, 24,24;16:10 Claire (1) 94:22 clarification (2) 85:14;101:9 clarify (1) 104:7 clear (2) 26:14;92:23 clerk (1) 97:15 clerking (1) 98:19 client (4) 69:13;70:23;79:8; 98:14 client's (1) 102:7 clinic (2) Allied Court Reporters, Inc. (401)946-5500 115 Phenix Avenue, Cranston, RI 02920 www.alliedcourtreporters.com 11:13;15:10 clinics (1) 12:14 closing (4) 99:11;100:13,25; 101:10 coach (1) 49:12 coffee (2) 77:22;78:11 coincides (1) 72:7 College (1) 5:20 combination (2) 7:21;43:24 coming (3) 32:5;33:18;34:1 COMMENCED (1) 4:1 comment (1) 75:5 commented (1) 90:10 commission (1) 96:12 commissions (5) 96:3,7,10,14,15 commitment (1) 75:20 committed (6) 73:21,24;74:22;75:1, 10;76:3 committed' (2) 73:8;75:17 committee (33) 17:11;18:7,10,12,18, 24;19:4,7,8,20;20:1; 21:11;26:1;27:9;28:10, 15;29:7;48:2,5,12,16, 19;49:6,9,14;50:16; 51:10;62:6;63:10; 64:18;82:6,7;95:22 communicate (2) 99:13,14 Community (9) 6:5,9;7:1;38:6,7,12, 15;45:1;84:22 companies (2) 50:21,22 Company (11) 4:11;15:22;33:17; 36:5,12;44:15,17;50:7, 17;55:3,9 company's (1) 88:16 comparing (1) 104:6 complaint (2) 31:25;95:3 completely (1) 88:25 concept (1) (2) Bates - concept Steven M. Costantino July 22, 2014 Rhode Island Economic Development Corporation vs Wells Fargo Securities, LLC 62:2 concerned (2) 55:5;66:6 concerning (4) 59:2;98:8;100:9; 101:2 CONCLUDED (1) 107:16 conclusions (1) 24:10 conferees (5) 22:2,11;23:2,2;24:3 Conference (8) 20:19;21:24;24:11, 16;45:7;98:10;102:2,4 confidentiality (1) 79:16 confirm (8) 49:20,21;50:1;60:2; 62:12;67:3,5;72:24 confusion (2) 73:5;75:15 connection (3) 4:18;24:21;94:7 cons (1) 28:8 consideration (2) 63:13,16 considered (2) 27:7;93:12 Constantino (1) 65:18 consultant (3) 15:15,18,22 Consultants (1) 15:21 consultations (1) 94:17 contact (6) 39:15;93:10;99:19, 19,23,23 contacted (3) 105:17;106:14,16 contention (1) 67:1 continue (1) 5:23 continued (1) 17:23 contract (1) 98:23 conversation (10) 55:7;66:24;67:12; 74:21;75:25;89:9,14, 19;90:13,14 conversational (1) 5:2 conversations (39) 30:24;42:12,15;52:1, 4;54:4,6,8,12;55:12,18, 21;59:1;61:11,14;65:3; 66:11;70:8;73:25;74:4; 76:6,25;77:2,6,11; Min-U-Script® 81:22;83:21,25;84:9; 86:9;91:4;93:5,7,14,16, 19,22;94:2;106:11 convince (2) 88:17;90:3 cooked' (2) 88:11,15 copy (2) 61:6;107:14 core (2) 9:21,23 Corporation (1) 4:19 correction (2) 6:23;94:22 correctly (7) 28:9;59:21;66:8; 73:12;76:22;85:24; 102:11 correspondence (2) 53:2,15 corridor (3) 41:4,22;103:20 Corso (32) 32:24;40:5,7,8,14, 19;41:2,7,9,14,24;42:4, 12,15,18,22;56:9;66:2; 72:3,20;74:1,5,6,24; 75:9;91:19,21;99:18; 103:11,13;104:3,18 Corso's (3) 43:1;75:2;103:2 cost (1) 20:24 COSTANTINO (8) 4:2,7,15;56:12;58:2; 59:18;76:20;102:16 C-o-s-t-a-n-t-i-n-o (1) 4:8 counsel (7) 27:12,20;28:14;29:3; 30:4,18,24 counselors (1) 9:19 couple (1) 35:6 course (2) 23:7;26:20 COURT (1) 4:5 courthouse (1) 98:20 Creation (22) 4:23;37:14;38:2; 44:7;45:14,21,25;46:8, 22;52:7;59:20,25; 62:23;68:17;76:8; 84:12;89:20;91:12; 92:2,11;95:22;106:19 creative (1) 90:24 credentials (2) 29:22,23 credit (3) 40:17,23,25 credits (7) 40:10,13;42:1,3,6; 100:16;101:3 criminal (11) 78:22;79:19;94:12, 13,15,17;97:19;98:9; 102:8,17;105:21 current (5) 22:9,15;67:23;68:10; 79:9 currently (1) 72:6 Curt (5) 32:21;33:1,12;34:22; 104:24 custom (1) 58:11 cutting (1) 60:12 D Dan (1) 85:16 Daniel (1) 85:5 Dan's (1) 85:13 DaPonte (1) 66:1 data (1) 16:6 date (5) 39:5;40:23,24;46:25; 47:4 dated (8) 56:6;57:4;59:7; 61:21;71:23;76:13; 85:7;87:24 dates (3) 62:13;65:1;78:6 Dave (1) 69:10 David (5) 4:13,17;58:19;60:6; 99:22 David's (1) 98:3 day (3) 11:8,9;71:15 days (4) 10:3,10;28:3,4 day-to-day (1) 12:5 DCYF (1) 96:12 deal (3) 13:23;88:11,15 dealing (2) 13:20;67:24 dealings (1) 103:2 deals (1) 96:24 Dean (1) 12:24 debate (5) 69:5;82:8;83:16; 86:5;89:6 debt (1) 59:17 decide (3) 27:21;44:16;51:6 decided (1) 5:23 decides (2) 82:5;94:10 decision (5) 21:9;28:11;51:3,16; 95:15 defendants (1) 95:4 DEFENDANT'S (4) 65:11;76:10;85:2; 87:18 degrees (1) 30:5 delay (1) 66:5 deliberative (2) 51:16;69:5 demand (5) 38:6,7,11;45:1;84:21 department (8) 20:1,5;21:19;23:6; 28:25;29:1;50:24;64:3 departmental (2) 20:6,8 departments (1) 20:3 depend (1) 94:9 depending (4) 10:11;20:25;25:5; 26:21 DEPOSITION (6) 4:1;5:1,12;30:22; 98:3;107:16 Deputy (4) 39:13;80:23;81:6,8 describe (1) 5:14 describing (1) 82:17 DeSISTO (86) 19:14;31:6,10,16,20; 34:17;38:4,19;39:5; 44:22;48:21;49:2,10, 19,23;50:1,9,12,20; 51:11;56:21;57:19; 60:1,10,16,20;61:2; 63:5,7;65:9;66:16,19; 67:6;68:25;69:3,17; 70:3,22;71:2;74:5,8; Allied Court Reporters, Inc. (401)946-5500 115 Phenix Avenue, Cranston, RI 02920 www.alliedcourtreporters.com 75:3,7;78:25;79:7,11, 17,22;80:1,6,12,21; 83:10,15;86:3,13;87:2, 6,9;89:2,12;90:18; 94:6,8,14;95:7;97:4,7, 23;98:5;99:1;100:20; 101:19,24;102:3,13,23; 103:6,10,14;104:7,11; 105:7;107:6,13,15 details (3) 37:4;73:10;74:18 determination (1) 27:10 develop (2) 35:7;44:13 developed (3) 37:13,16;73:10 developing (3) 13:7;14:15;24:21 Development (9) 4:19;8:23;9:25;14:8, 10,24;47:10,13;59:13 diary (1) 53:22 different (4) 13:17;82:3;104:5,20 differently (1) 20:13 difficulties (1) 100:3 digital (5) 73:6,14,17;75:16,21 direct (3) 56:8;57:24;104:17 directed (3) 65:19;66:13,25 directly (1) 64:1 director (4) 6:20;8:3;10:1,2 disagreement (2) 71:14,16 disclosing (1) 95:14 discuss (12) 39:20;42:3,6;48:1, 11;70:12,16;78:2; 89:23;99:19;103:2,6 discussed (3) 33:16;90:2;105:13 discussing (1) 35:22 discussion (3) 100:8,13;101:25 discussions (11) 24:23;25:19;35:18; 40:1;51:24;58:4;65:1; 74:19;86:18;101:2,7 dismantling (1) 64:23 dispute (30) 44:20;48:19,24;49:4, 17,19,21;50:1,5;57:17; (3) concerned - dispute Steven M. Costantino July 22, 2014 Rhode Island Economic Development Corporation vs Wells Fargo Securities, LLC 58:8;59:23;60:2,3,9; 62:10;67:1,3,6,8,14,15; 72:22,24;73:23,24; 74:20,21;77:2,5 disputed (1) 58:10 distress (1) 36:10 distribute (1) 27:21 divided (1) 20:1 doable (1) 51:4 docs (1) 12:1 doctor (1) 13:13 doctorate (1) 30:5 doctors (5) 11:21,23,24;12:7,10 document (4) 24:19;30:17;31:12; 61:19 documents (6) 30:19;31:4,23;59:10; 74:14;101:11 dollars (1) 10:11 domain (1) 53:9 donated (1) 41:11 done (8) 12:7;22:20;24:15; 47:5;68:1,10;71:20; 83:8 down (5) 5:4,9;20:25;41:20; 76:17 Dr (4) 12:22,22;13:2,5 draft (12) 28:24;29:2,5;57:11; 58:1;59:11,14,16,19; 60:22;61:6;63:17 drafted (1) 28:9 drafter (1) 29:4 drafting (1) 85:16 drafts (2) 56:14;59:10 drink (2) 41:18,20 driving (1) 35:16 drop (1) 66:3 drove (1) 35:12 Min-U-Script® Drs (1) 12:25 drug (1) 8:3 duces (1) 30:16 dues (5) 8:19;9:9,9,11,21 duly (1) 4:3 during (20) 8:12;10:8,9;23:10; 28:19;34:3;39:21;52:2, 6;53:20;78:4;81:14; 82:8,24;93:13;95:21; 96:16,17;103:4;104:19 duties (7) 6:18;8:6,7;12:2; 19:6;81:24;82:23 eligible (1) 44:17 else (9) 33:6;34:23;42:7; 52:4;84:9;96:23;100:9; 101:5,8 e-mail (26) 52:20,22;53:1,2,3,9, 14;56:6;57:4,15,25; 59:3,6;61:20,24,24; 65:13;66:20;67:17; 71:22;75:8;76:12,18; 85:4;87:12,22 e-mails (3) 53:19;61:22;76:18 employ (1) 11:18 employment (2) 11:10;16:23 end (4) E 10:8;32:6,15;39:25 ended (2) 6:24;15:19 earlier (10) enforcement (1) 37:7,8;44:24;45:9; 78:24 51:2;82:17;84:19;96:2; enough (1) 100:21,23 32:17 early (2) entire (1) 72:7;83:23 38:15 easy (2) entities (1) 98:6;104:13 54:18 Economic (6) entity (1) 4:19;22:5,24;36:10; 43:23 47:9,13 enumerate (1) economy (1) 96:6 77:24 equivalents (1) EDC (42) 12:1 36:20;37:16;38:14; error (1) 43:11,22;44:3,13,16, 28:10 16,25;45:2,18,20; Esten (1) 50:23;51:4,6;54:16; 85:6 55:2;56:1;61:17;62:2, estimate (3) 18;64:6,10,14,16,17, 22:8,10;102:23 19,23,23;65:2,21,23; 66:15,25;77:7,7;78:2, estimates (1) 24:18 8;90:10,23;99:16 Estimating (5) Education (3) 20:19,22,23;22:3,12 18:10,22,23 et (2) educational (2) 4:20;20:5 5:15,24 even (8) effect (1) 21:6;29:14;31:8; 51:25 75:22;86:7,7;103:25; efficiently (1) 106:6 6:21 evening (3) efforts (1) 72:19;85:8;87:13 91:23 events (1) eight (1) 74:15 76:17 everybody (1) either (10) 82:3 29:8;35:19;39:19; 44:2;46:7;52:9;57:15; everyone (2) 12:6;98:12 68:8;69:4;94:24 exact (2) elected (2) 8:14;39:2 17:20;18:9 exactly (6) 9:14;10:16;15:12; 16:17;20:11;64:8 EXAMINATION (3) 4:14;99:8;102:15 example (1) 20:4 except (1) 97:3 exchanged (1) 56:13 Excuse (1) 72:14 executive (4) 6:20;8:3;10:1,2 exhaust (1) 74:12 exhaustive (1) 22:3 Exhibit (17) 56:4;57:3;58:19,21; 59:5;60:4,21,25;65:11, 12;71:21;76:10,14; 85:2,3;87:18,19 existing (1) 68:14 expand (2) 14:6;51:21 expansion (1) 12:11 expense (3) 21:6;22:13,14 expertise (2) 14:9;16:5 experts (1) 9:20 explain (3) 38:7;44:8;67:21 explanation (1) 24:20 explicit (1) 21:24 explored (1) 42:9 eyes (1) 14:7 F fact (2) 36:23;75:19 factor (1) 69:4 facts (2) 20:14;95:14 fair (3) 26:11;32:17;40:20 fairly (1) 102:25 falls (1) 89:5 familiar (8) 39:16;61:9;95:2,5,8, Allied Court Reporters, Inc. (401)946-5500 115 Phenix Avenue, Cranston, RI 02920 www.alliedcourtreporters.com 9,10,12 family (2) 14:5;41:19 far (5) 5:17;37:1;51:13,18; 79:2 Fargo (5) 4:20;30:17;95:11,13, 25 fatal (1) 85:22 federal (12) 7:19,20;8:11,18;9:1, 13,15;10:9;15:17;16:7, 15;78:23 feel (1) 24:14 felt (2) 13:16,19 Ferland (1) 61:25 few (1) 99:10 figure (2) 38:16;39:2 filed (1) 31:25 finance (46) 10:4;17:10,11;18:14, 24;19:1,3,7,19;23:25; 24:2;26:5,6,18;27:5,9, 24;28:14;29:20;40:20, 21;47:20,23;48:2,5,12, 15;49:5,8,14;50:16; 51:10;52:9,16,19; 53:16;55:25;56:11; 58:12;59:18;62:6;63:9; 64:18;80:16;85:9; 95:21 finances (1) 8:24 financial (5) 27:8;52:10,14,17; 100:2 financially (2) 100:15;101:3 financing (3) 42:4,7,10 find (3) 53:7;63:11;83:5 finding (1) 17:7 findings (3) 24:8,9,10 finds (1) 83:13 fine (2) 62:14;79:24 finish (4) 5:6,7;15:17;27:4 finished (1) 15:16 first (16) (4) disputed - first Steven M. Costantino July 22, 2014 Rhode Island Economic Development Corporation vs Wells Fargo Securities, LLC 4:3,10;10:7;17:18; 18:7;31:6,21;32:4; 40:15,19;65:9;72:1; 78:5;99:7;100:1;103:4 fiscal (13) 7:8,10,17,17;14:21, 23;23:4,5,9,10;24:7; 67:25;72:8 fit (1) 96:9 five (3) 11:15;12:1;13:9 five-minute (1) 43:7 flaws (1) 85:22 floor (3) 82:8;83:2;107:1 flow (1) 12:11 Flynn (1) 27:16 focusing (1) 18:3 folks (2) 30:2;73:11 following (2) 36:15;60:21 follows (2) 4:4;65:17 follow-up (2) 99:6,10 food (1) 6:11 forecast (2) 22:5,24 forget (1) 96:2 forgot (2) 15:14;24:19 form (1) 92:24 formality (1) 29:16 format (6) 85:20;86:2,11,19,22; 87:1 formula (1) 9:11 forty-five (2) 31:22;104:2 forward (3) 59:9;79:14;102:9 found (2) 39:8;100:6 foundation (1) 86:4 four (4) 10:13;18:11,12,14 Fox (16) 39:13,19;40:2;42:16, 19,21;46:3;51:24;52:1; 70:8;76:1,2,5;80:25; Min-U-Script® 81:3;104:24 frame (4) 32:16;39:21,22;96:5 frames (1) 96:21 frankly (1) 31:8 Fred (4) 56:7;65:14;85:6; 87:23 free (1) 24:14 Friday (2) 61:21;76:13 friendship (2) 41:6,7 front (2) 25:25;76:15 fuel (1) 6:12 fulfill (1) 38:14 full (2) 4:6;29:10 full-time (2) 11:25,25 fund (1) 71:15 funding (1) 101:12 fund-raisers (1) 41:9 funds (4) 9:12,12,21,21 further (8) 28:13;59:15;91:8,10, 11,14;107:4,11 fuzzy (1) 13:21 FY10 (1) 72:5 FY2010 (1) 72:25 FY2011 (1) 66:4 G Gallogly (1) 25:17 gambling (1) 33:22 games (1) 33:23 gaming (3) 33:21,22,23 Gary (1) 25:16 gauge (1) 63:13 gave (3) 6:10;7:2;93:12 general (12) 27:25;28:1;34:8; 54:13;55:7,11;83:17; 91:14;93:2,3,10; 103:17 generally (5) 54:7;64:4;69:8; 82:25;83:14 Gerry (3) 4:9,12;60:10 gets (3) 29:18;83:1,15 Ghost (2) 5:16,18 Gilden (1) 99:22 given (1) 21:3 gives (2) 21:13;98:11 giving (1) 88:7 GLADSTONE (8) 97:9,9;99:5,8,9; 100:23;101:17;107:11 goal (1) 21:11 goes (3) 29:17;67:9;82:6 good (5) 4:15,16;72:12;79:12; 98:5 Gordon (8) 66:1;72:4,19;73:5; 75:15;76:1;80:25;81:3 Gov (1) 65:23 government (2) 9:1;16:16 governor (24) 19:11,17;20:21; 21:18,25;22:20;26:4,7, 10;46:6;57:11;58:2; 59:11;63:24;64:4,7,8, 9;92:14,19,20;93:17, 20;94:2 governor's (4) 19:21;24:25;25:3,4 Graduated (2) 5:19,20 grant (16) 8:11,18,20;9:13,15, 17;10:9,14,15,17,17, 18;15:17,20;16:8,10 grant-based (1) 9:6 grants (5) 7:16,19;8:24;9:2,22 great (1) 34:7 grew (1) 8:10 Grimes (5) 97:12,12;98:2,18; 107:7 group (5) 22:4;24:7;41:21,25; 80:17 grouped (1) 20:3 Grybowski (1) 25:16 Guarantee (14) 37:3,10;38:13;44:10, 14,15;46:13,19;47:9; 50:11,18;55:1;59:17; 71:9 guaranteeing (1) 55:8 Guaranty (24) 4:23;37:14;38:2; 44:7;45:14,21,25;46:8, 23;52:7;59:20,25; 62:23;68:17;76:8; 81:14;84:12;85:11; 89:21;91:12;92:2,11; 95:23;106:19 guess (1) 26:11 Gurhigian (1) 85:7 H half (1) 103:5 half-an-hour (1) 80:10 handle (1) 69:14 hands-on (1) 12:12 happen (3) 29:5;65:24;83:14 happened (10) 8:1;13:12;16:4,9; 17:5,7;63:8;71:5; 92:22;99:11 happens (2) 36:19;37:9 hard (1) 60:12 Hashway (4) 56:8;65:14;85:6; 87:23 head (2) 5:9;104:13 heads (1) 73:4 health (6) 11:13,14;18:10,22, 23;92:15 healthcare (3) 13:23,24;15:10 hear (3) 60:12;97:5;100:19 heard (4) Allied Court Reporters, Inc. (401)946-5500 115 Phenix Avenue, Cranston, RI 02920 www.alliedcourtreporters.com 28:2;72:7;97:15; 100:2 hearing (29) 19:25;20:9;21:2,14; 28:1,2,4,5;37:8,10,11; 47:16,19;62:2,5,8,17, 18;63:4,8,10,12,16,22, 22;65:20,22;66:7; 67:10 hearings (8) 19:23;20:6,8,12,14; 21:7;64:17;106:25 held (2) 41:9;101:25 Hello (3) 34:18;72:2;85:7 help (1) 15:20 helped (3) 88:17;89:4;90:3 Hi (5) 4:12,13;41:4;59:9; 97:11 hired (1) 15:16 hiring (1) 54:25 historical (4) 40:10,17,23,25 history (1) 82:3 HIV (2) 8:13;10:20 Hodgkin (4) 25:22,23;59:8;93:23 hold (6) 16:2;18:7;28:13; 69:3;89:16;97:20 holding (1) 80:6 holds (1) 19:21 Holy (2) 5:16,18 home (1) 52:23 hope (1) 102:10 hopefully (1) 98:23 hour (1) 80:7 hours (2) 31:21;35:6 House (80) 8:25;17:10,14,20; 18:8,24,25;19:3,7,18; 22:1;23:3,5,9,10,22,25; 24:2,23;26:18;27:5,23; 28:14;29:10,18,18,20; 40:10,20,21;41:15,22; 46:17;47:19,23;48:2,5, 12,15;49:5,14;50:16; (5) fiscal - House Steven M. Costantino July 22, 2014 Rhode Island Economic Development Corporation vs Wells Fargo Securities, LLC 51:9;52:9,16,19;53:16, 18,25;55:25;56:11; 58:12;59:18;62:6;63:9; 64:17;70:13;72:8; 78:14;80:16,17,18,19, 24;81:12;82:17,19,21, 24,25;83:2,11;84:10; 85:8,23;86:10,19; 90:21;95:21;107:1 housing (1) 6:12 Human (1) 92:15 I ID (4) 65:11;76:10;85:2; 87:18 idea (7) 38:1;42:17;43:3; 48:22;67:18;81:21; 87:16 imagine (1) 56:13 immigration (1) 96:25 impact (1) 27:8 implications (1) 92:10 important (4) 12:9;50:14,15;51:9 impression (2) 35:10;75:9 impressions (2) 35:7,9 inauguration (2) 11:8,9 inclined (2) 83:7,11 include (5) 11:21;59:11;62:2; 80:17,20 included (3) 8:17,22;68:20 income (1) 22:7 increase (1) 38:1 increased (1) 37:23 increasing (1) 44:19 indicate (3) 67:9;90:1;93:11 indicated (7) 13:9;44:18;48:16,20; 88:15;102:6;104:22 indicates (8) 56:23;61:24;66:13, 23;75:8;86:2;87:12; 90:6 Min-U-Script® indicating (3) 48:14;67:11;99:14 Indirectly (1) 64:2 individual (3) 5:4;80:18;84:22 individuals (3) 25:12;34:16;104:23 industry (5) 73:9,11,15,18;75:21 industry' (2) 73:6;75:16 informal (1) 98:10 information (9) 20:16;21:13;28:7; 52:10,14,17;58:13; 83:9;105:4 input (1) 73:12 in-services (1) 7:4 instance (1) 29:23 instead (1) 66:3 Institute (1) 96:19 instruct (7) 51:19;79:7;83:18; 86:6;87:10;89:7;98:7 instructing (3) 69:18;70:3;97:18 intent (1) 59:14 interaction (1) 40:11 interactions (3) 39:20;41:1,3 interest (21) 15:9;32:4,9;33:25; 37:3;48:8,9,17,25;49:7, 15;51:5,10;52:2,5; 66:6;74:1;81:13,16,17; 88:17 interested (9) 33:18;38:22,25;39:1; 50:17,21,22,25;51:1 interesting (3) 36:1,6,13 International (1) 96:19 interrupt (1) 39:14 interview (3) 88:7,9;104:1 into (14) 13:16;19:18;20:2; 24:20;36:12;46:20; 51:14;63:13,16;72:25; 83:15;95:17;102:16,18 introduced (2) 19:18;85:9 invested (1) 11:13 investigation (6) 79:20;94:18;97:19; 98:9;102:8,17 investigations (6) 78:23;79:6,9;105:19, 21;106:5 investigative (1) 79:13 investigators (3) 104:4;105:5;106:18 involve (1) 55:12 involved (10) 14:14;20:17;33:22; 40:9,12;54:18;74:18; 82:9;95:22;101:1 involvement (7) 90:11;91:8,10,11,15; 98:9;102:7 involving (2) 66:14;68:16 Island (34) 4:19,22;6:1,2,4;8:10; 19:10;32:5;33:18;34:1, 8;36:2,6,9,13;37:14; 44:6;45:21;46:22; 50:24;52:7;62:22; 68:17;76:7;77:23; 81:14;84:12;89:20; 91:12;92:2;99:12; 100:14;101:1;103:3 issuance (2) 100:15;101:2 issue (6) 42:23;71:13;83:2; 90:2;94:10;105:8 issued (2) 30:17;101:13 issues (13) 13:20,23,23;25:20; 26:25;27:3,5;40:9,13; 46:11;62:2,18;63:12 Italian (1) 5:22 Italy (5) 5:21,23,25;14:9,17 J Jaime (4) 25:24,25;26:3;93:22 January (1) 11:8 Jeff (1) 25:16 Jen (1) 35:1 Jennie (2) 98:17;101:22 job (7) 6:5,19;8:2;16:6,8; 59:25;93:1 Jobs (26) 4:22;36:7,11;37:14; 38:2;44:6;45:14,21,25; 46:7,22;52:7;54:23; 59:20;62:22;68:17; 76:7;81:14;84:12; 85:10;89:20;91:12; 92:2,11;95:22;106:19 John (3) 27:15,17,18 Journal (4) 88:8;89:10;90:7,16 Judge (13) 51:15;79:23;94:9; 97:5,15,21;98:10;99:6; 101:21,22;102:1,5,6 jump (1) 60:4 June (2) 87:25;88:5 juris (1) 30:4 Kushner (5) 56:11;59:18,24; 85:10,18 Kushner' (1) 59:16 L Lane (5) 43:17;76:6,21,25; 77:3 language (1) 85:14 large (4) 10:6,9;50:17,25 larger (4) 8:10;14:13;59:19,24 LaSalle (1) 5:18 last (5) 4:6;68:12;72:4;85:8; 87:13 lasted (2) 9:15;104:2 K later (1) 98:13 keep (6) law (1) 30:14;53:22,24;96:5, 78:23 9;97:4 Leader (8) keeping (2) 39:13;80:23,24;81:4, 52:1,5 6,9,24;82:12 Keith (22) Leadership (7) 4:17;33:4,12;34:11; 80:17,19;81:12;82:2, 37:19;44:18;45:10,14; 18;83:8,12 47:22;56:7;59:9,11; learn (2) 62:20;65:13;66:8; 32:4,8 71:23;76:13,18;85:5; learned (1) 87:22;94:3;104:25 39:3 kept (3) least (3) 55:4;78:15;85:13 26:9;88:13;97:22 Kilmartin (3) leave (1) 81:11;82:22;83:22 11:2 kind (14) leaving (1) 6:19;7:1,4;9:23; 72:9 13:21;15:14,19;29:16; left (4) 33:19,20;75:25;83:1; 5:23,25;62:3;101:20 103:16,17 legal (4) knew (7) 27:12,20;29:3;30:4 37:3;38:22;39:1; legislation (28) 48:23;74:17;78:9; 27:7;28:23;37:5,13, 100:5 16,19;63:17,20;66:4; knowing (2) 68:16,21,23;70:9,10, 40:15;50:21 13,17,21;82:7;83:4,8, knowledge (12) 12,16;86:12,20,23; 4:21;48:17;64:15; 89:3,4;90:21 81:20;90:22;91:2; legislative (13) 95:17;98:8;102:8,17; 13:20;28:24;29:1; 105:11;106:3 51:15,17;69:5;73:11; known (4) 86:5;89:5;96:11,16,17; 37:14;40:14;80:17; 107:1 90:16 legislature (9) knows (4) 17:1,5;22:18;88:18; 69:19,20,24;87:5 90:3;96:13;101:8; Allied Court Reporters, Inc. (401)946-5500 115 Phenix Avenue, Cranston, RI 02920 www.alliedcourtreporters.com (6) housing - legislature Steven M. Costantino July 22, 2014 Rhode Island Economic Development Corporation vs Wells Fargo Securities, LLC 103:3,4 legislatures (1) 91:5 Leslie (3) 30:10;54:1;78:15 Let' (1) 15:11 letter (2) 29:16;59:14 letting (1) 98:11 likewise (1) 5:6 line (2) 36:12;66:20 lines (1) 76:17 lining (1) 83:3 link (1) 85:9 litigation (1) 4:18 little (5) 13:21;20:11,13; 21:23;104:17 loads (2) 20:24,25 Loan (17) 37:3,10;38:13;44:10, 13,15;46:12,19;47:8; 55:1,13;71:9;99:16,20, 24;100:4;101:11 located (1) 12:23 long (5) 7:22;16:25;17:3; 35:5;40:14 look (3) 22:6;54:22;61:9 looking (3) 38:18;39:4,8 loose (1) 66:5 losing (1) 36:10 lost (1) 92:21 lot (4) 10:18;13:22;17:13; 63:14 loud (1) 60:20 lunch (2) 80:5,10 M MacLean (1) 35:1 maintained (1) 54:1 major (3) Min-U-Script® 8:11;14:13;22:6 majority (14) 34:20;39:13;80:23, 23;81:3,6,8,24;82:12, 13,14,15,16,20 makes (2) 79:12;80:9 Making (6) 12:6;14:12;34:16; 68:13;70:12,16 manage (3) 82:4,5,8 management (5) 8:12,18;10:21;13:1; 15:21 manager (9) 6:6,15,16,24,25;7:6, 7;14:19,20 many (12) 8:14;11:18,23;12:14; 20:23;23:24;26:12; 31:15,18;54:21;83:1; 104:1 Marc (1) 97:17 March (7) 32:6,15;40:1;56:6; 71:23;72:18,19 Mark (1) 60:11 marked (8) 56:4;57:3;61:19; 65:11;71:21;76:10; 85:2;87:18 marketplace (1) 88:19 MARTLAND (43) 4:12,14,17;39:6; 43:6;49:25;50:10; 51:23;57:21;58:21; 60:8;69:15,18,22;70:1, 7;71:1,7;72:17;74:6; 79:10,21,24;80:4,9,15, 22;83:20;87:4,8;89:8, 18;97:2,11;98:16,24; 99:2;101:23;102:12, 15;103:9;104:10;107:3 Mass (1) 43:11 Massachusetts (1) 38:23 master's (3) 29:25;30:5,7 matter (5) 32:1;50:19;66:14; 79:20;94:7 matters (7) 7:9,10;14:21,23; 78:2;79:13;102:18 Mattiello (3) 81:5,19;105:11 Maureen (1) 85:7 Max (1) 94:21 may (23) 5:2;20:18;21:3,8,8, 13,16,23;22:23;24:12; 40:21;43:4;47:12; 58:14;66:2;69:11; 74:14,14;83:25;85:7; 100:2;101:6,10 maybe (1) 51:20 Maynard (3) 38:23;43:11;104:22 Mayor (2) 92:6,21 mayoral (1) 92:12 McDonald (4) 25:24,25;26:3;93:23 mean (22) 29:22;36:21;41:3; 51:5;52:23;53:25;54:6, 20;55:19;57:19;58:15; 64:24;68:14;74:10; 82:25;89:14;96:14; 101:10,11;104:8; 105:25;106:1 meaning (1) 51:4 means (11) 10:18;11:7;29:13; 42:3,6,9;64:4;68:7,13; 84:4,6 meant (2) 55:21;73:17 mechanical (2) 71:4,17 media (6) 48:14;73:6,14,17; 75:16,21 Medicaid (2) 20:23;22:13 medical (2) 5:22;11:14 meet (7) 24:25;25:7;31:18; 94:6,20,24;103:19 meet-and-greet (1) 33:19 meeting (22) 7:15;32:18;33:13,16; 34:3,21;35:5,8,11,22; 36:15;43:10,12,21; 45:7;65:23;72:3,18,22; 99:15;103:21;104:24 meetings (38) 25:2,21;26:2,3,4,7,9, 12,15;37:18;42:18; 45:10,13,17,20,24; 46:3,6,10,18;53:20; 56:1;72:3;77:18,20; 78:4,11,11,12,17; 91:16,19;92:1,9;95:24; 103:17,22;104:18 Melissa (1) 87:23 member (8) 18:11,12,15,18; 49:14;78:7;83:7,11 members (18) 43:12;48:2,11,15,19; 49:5;50:15;51:9;65:24; 70:13;77:7,8;80:19; 81:12;83:3,5;86:9,18 member's (1) 83:13 memo (9) 57:1,10,12,13,15; 59:2,11;60:22;61:1 memory (3) 33:11;74:13;96:8 mentioned (2) 37:7,8 merchandise (1) 14:16 message (2) 62:4;72:9 met (6) 25:12;31:15;40:19; 41:3,14;42:21 mic (1) 60:13 Michael (28) 23:12,15,16,17; 32:24;33:9;40:5,7,8; 56:7,9;65:13;72:2,19; 73:4;75:14;76:13,19; 85:5;87:23;91:19,21; 99:10;103:2,11,13; 104:3,18 middle (1) 7:5 might (9) 10:17;21:9;60:14; 69:12;72:6;80:18;84:4, 4;92:12 Mike (1) 66:2 million (33) 10:11,13;37:23,24; 38:2,3,5,16,18,21,25; 39:4,9;44:20,20;48:6; 49:1,7;50:6;73:7,7,20; 74:2,22;75:1,10;76:3; 81:13;84:8,16,20; 85:12;90:23 mind (1) 96:9 minds (1) 48:22 minimum (1) 28:4 minorities (1) 8:13 minute (3) 51:12;69:3;98:25 Allied Court Reporters, Inc. (401)946-5500 115 Phenix Avenue, Cranston, RI 02920 www.alliedcourtreporters.com minutes (3) 31:22;70:22;104:2 misrepresentation (1) 75:2 misspelling (1) 65:18 modifying (1) 99:15 moment (4) 17:17;57:8;74:11; 88:2 money (2) 10:19;50:7 monitored (2) 55:4,6 monitoring (2) 54:18;55:9 month (2) 66:5;102:24 moral (2) 72:5,25 more (13) 8:15;14:24;16:7; 21:24;22:12;28:6; 47:12;54:7;77:21;81:6; 95:12;104:17;105:20 morning (2) 4:15,16 most (2) 6:22;96:18 move (7) 14:13;36:5,12;49:23; 71:17;76:20;80:8 moved (3) 7:5;99:12;100:14 moving (1) 13:16 much (22) 6:19;9:1;12:12; 14:12,23;16:24;19:14; 22:9,10;25:18;28:7; 31:3,20;33:17;36:18; 40:11;63:15;71:7;82:9, 11;85:8;106:22 Murphy (5) 17:15;39:12,19;40:2; 81:3 mute (1) 98:22 myself (1) 13:24 N name (6) 4:6,6,17;14:25; 15:22;47:14 national (1) 22:4 necessarily (1) 58:15 need (3) 38:14,15;85:11 (7) legislatures - need Steven M. Costantino July 22, 2014 Rhode Island Economic Development Corporation vs Wells Fargo Securities, LLC needs (1) 22:9 needy (1) 6:10 new (6) 8:2;21:3;22:19; 24:17,18;90:24 news (2) 39:11;72:13 newspaper (6) 39:18;95:19,20; 100:7;101:6;106:5 next (8) 22:11;36:15,20; 65:20,24;67:25;72:7; 76:21 Nicholas (1) 105:11 Nick (2) 81:5,19 night (1) 72:4 nods (1) 5:9 none (1) 107:12 nonprofit (2) 6:9;96:24 non-profits (1) 96:11 non-voting (1) 83:6 normally (2) 37:9;58:11 Notary (1) 4:3 note (1) 28:10 notes (1) 53:20 Notwithstanding (3) 85:15;86:3;94:11 November (7) 20:18,21;21:13; 22:21,21,22,23 nowhere (2) 65:22;67:10 number (9) 21:4;22:19,22,25; 38:14;58:19;59:6; 60:23;85:3 numbers (1) 24:18 nurses (1) 12:7 O ob (2) 72:5,25 object (1) 86:14 Objection (20) Min-U-Script® 38:4;44:22;48:21; 49:2,10;50:20;51:11; 56:21;60:1;63:5;66:16; 67:2;69:9,16;75:3; 83:15;86:3;87:2;89:2; 90:18 obligation (1) 38:14 observations (1) 99:15 obtaining (1) 81:13 obvious (1) 29:22 obviously (6) 8:18;22:23;30:4; 32:19;44:14;46:16 occasions (1) 41:16 occur (1) 36:23 occurred (6) 35:22;37:1;62:15; 63:3;72:23;78:12 October (2) 39:16,25 off (5) 8:7;96:18,20;99:2; 101:25 offer (1) 90:6 office (16) 11:3,4;17:18;23:25; 25:1;26:18;29:20;31:9; 52:9;58:12;72:9;82:5; 93:20;94:21;102:20; 106:9 officer (3) 7:1;10:4;23:6 officers (1) 102:19 official (1) 103:20 officials (1) 91:16 Often (2) 5:1;36:11 O'Keefe (1) 23:12 older (1) 60:16 once (3) 41:17;100:13,25 one (29) 5:4;9:11;12:15,16; 14:8;22:20;24:3;26:1; 34:23;41:18,19;47:12; 50:3,7,16,25;54:1; 57:20;63:2;67:7,8,15; 69:14;72:15;81:7; 89:13;95:11;96:25; 99:5 one-time (2) 10:14,17 only (14) 5:4,8;8:22;9:2; 15:22;39:18;40:22; 62:14;85:13,20;93:9; 96:25;101:20;104:23 open (2) 34:13;92:25 open-ended (1) 29:21 operate (1) 12:14 operating (1) 101:1 operation (3) 7:5;12:8,12 operational (1) 13:1 operations (10) 6:6,15,16,24,25;7:6, 7;12:4,6,17 opportunity (4) 34:7;36:1,6;71:3 opposed (1) 63:11 opposition (2) 63:14,15 order (2) 37:22;79:16 ordering (1) 107:14 organization (3) 7:13;8:8,10 organizations (1) 8:19 organized (1) 20:12 out (24) 6:10;7:2;9:3;13:13, 13,22,24;15:16,17,20, 20;38:11;39:8;60:12; 63:11;71:18;73:9;83:5, 13;85:18;92:19,20,23; 100:6 outlining (1) 59:15 outside (3) 41:14;96:14,15 over (14) 7:8;14:1;23:20;25:6, 9,18,19;40:8;68:1; 71:10,14;82:2;98:12; 102:1 oversaw (2) 6:21;10:5 overseeing (1) 55:10 oversight (2) 7:8,11 own (5) 14:10;19:25;20:10; 70:9,20 owner (3) 11:15;12:3,5 54:17,20;99:20,24 period (5) 18:4,5,8;28:19;103:4 P Periodically (2) 25:2,12 paid (1) person (1) 9:9 84:23 Palumbo (3) personal (7) 12:22,25;13:2 41:6,6;52:22,23; paper (1) 53:3,11,12 105:24 personally (1) paragraph (4) 24:22 56:9;57:24;72:1; pertains (1) 73:3 67:23 parallel (1) Peter (3) 20:11 81:11;82:22;83:21 part (10) PETROS (8) 23:6;46:13;62:23; 4:9,9,13;58:19,22; 63:2;68:2,18;75:2,20; 60:6,11,18 78:5;96:7 phase (1) particular (3) 16:7 86:11,20,23 phased (1) particularly (1) 15:20 12:9 phone (9) parties (2) 4:10;76:12;97:8,10; 44:4;59:2 98:12,22,22;102:2; partners (1) 107:4 12:19 phrased (1) part-time (1) 18:2 11:24 physical (1) pass (5) 36:22 68:8;83:4;85:23; physician (1) 89:4;90:3 13:3 passage (5) picked (1) 29:9;91:6,9,12,25 35:12 passed (7) 10:19;68:12;71:8,10; piece (13) 16:8;22:12;27:7; 83:12;90:21;91:1 63:17;68:21,22;70:9, passthrough (1) 10,12,16,20;86:20,23 10:18 pieces (2) past (2) 9:3;22:8 40:11;79:9 place (10) Pat (1) 12:5,13;60:14;62:5, 93:7 8,10,12;66:4;78:4; Paul (4) 100:25 43:19;78:18,20,21 placed (2) pay (1) 18:10,14 55:13 payables/receivables (1) Plaintiff's (5) 56:4;57:3;59:5; 12:10 61:20;71:22 paying (1) Please (7) 8:19 4:5,24;5:11,14; pejorative (1) 24:14;79:17;100:12 64:24 plus (1) pending (4) 13:17 48:4,18;49:8;98:9 PM (3) pension (1) 80:13,14;107:16 71:15 point (15) people (7) 14:2;17:14;19:20; 7:14;33:2,14;35:15; 25:17;27:23;28:11,12; 41:21;54:25;55:22 29:8;35:25;36:12; Pera (3) 41:19;74:13;77:8;97:1, 12:22,25;13:5 16 performance (4) Allied Court Reporters, Inc. (401)946-5500 115 Phenix Avenue, Cranston, RI 02920 www.alliedcourtreporters.com (8) needs - point Steven M. Costantino July 22, 2014 Rhode Island Economic Development Corporation vs Wells Fargo Securities, LLC Police (4) 102:19;103:7;104:4; 105:16 policy (2) 64:14;73:11 poor (1) 7:3 portion (3) 9:13,16;81:1 portions (1) 58:3 pose (1) 70:19 posing (1) 74:15 position (6) 6:14;11:2;14:18; 65:7;79:25;83:13 positions (2) 18:7;82:20 positive (1) 29:15 possess (1) 29:24 possession (1) 30:19 possible (1) 98:7 post (5) 28:3;65:20;66:14,25; 72:3 posted (1) 47:16 practice (1) 58:11 predominantly (2) 9:20;40:10 premature (1) 66:7 prepare (2) 30:22,25 present (5) 21:12;29:7;59:5; 96:6;102:1 presented (2) 20:20;36:1 presents (1) 21:19 pressure (2) 13:18;56:14 presumably (1) 89:8 Pretty (15) 6:19;12:11;14:12; 16:24;24:19;25:17; 28:7;33:17;34:13; 36:18;82:9,11;91:14; 98:20;106:22 prevention (3) 8:9,16;9:19 previous (1) 22:21 Previously (1) Min-U-Script® 30:16 primarily (1) 26:25 principal' (1) 85:13 prior (2) 23:22;24:14 privilege (3) 51:17;71:5;89:6 privileged (2) 69:4;79:12 privileges (3) 69:11;70:25;87:3 probably (12) 8:13;10:7,10;12:1; 21:23;25:11;35:6; 36:19,19;40:16;46:19; 80:9 probing (1) 102:9 procedural (1) 71:17 process (27) 20:9,10,17,17;21:3, 15;22:3;27:25;28:1; 29:5,17;37:9;46:13,14, 15;47:5;51:14,16;52:2, 6;69:6;83:16;86:6; 93:13;95:21;106:22; 107:2 processes (2) 19:24;104:6 product (3) 14:7,10,24 products (1) 14:16 professionals (2) 8:21;9:19 Program (64) 4:23;6:6,8,9;7:1; 15:25;37:4,10,15,23; 38:3,12,13,13,20; 40:18,24;41:1;44:7,8, 11,14,19;45:15,22; 46:1,8,13,20,23;47:9, 12;52:7;59:20,25; 62:23;68:17;71:9; 72:25;73:7,9,15,18; 75:21;76:8;81:15;84:7, 10,11,13;85:11,18; 88:17,18;89:21;90:4, 24;91:5,13;92:2,10,11; 95:23;106:19 program' (1) 72:5 programs (17) 6:21;7:3,11,15;8:15, 16;9:9,10;47:8,10; 50:23;54:19,21;55:2,6; 63:15;78:1 project (1) 65:19 promising (2) 54:22,23 proposals (4) 64:18,20;65:5,8 proposed (8) 19:10,17;28:23; 37:23;38:2,20;59:13; 68:17 proposing (1) 64:6 pros (1) 28:8 provide (5) 8:12;10:20;12:25; 56:5;58:12 provided (4) 9:18;58:14;61:6; 105:4 Providence (11) 5:20;6:5,11;11:14; 15:18;88:8;89:10;90:7, 16;92:6;96:24 providers (2) 8:9;10:20 psychology (1) 5:20 Public (7) 4:3;24:16,19;65:22; 67:10;90:22;91:2 pulled (2) 13:24;71:18 purpose (1) 44:8 purposes (1) 86:13 put (6) 29:18;53:16;72:5,25; 94:8,16 puts (1) 88:13 putting (3) 13:18;94:13,15 Q quick (1) 80:10 quiet (1) 98:20 quite (2) 20:11;31:8 R raid (1) 106:8 rainy (1) 71:15 ran (4) 11:3,5;12:4;17:18 range (2) 10:12;26:22 ranged (2) 6:11;10:7 rare (1) 26:13 Rarely (1) 26:8 Ravioli (9) 13:18;14:1,4,18,22; 15:2,6;16:22;41:23 reach (3) 92:19,19;98:17 reached (1) 92:23 read (16) 39:18;51:15;56:17; 57:8,13;58:15;59:20; 66:8;73:12;75:12; 76:22;85:24;95:13; 105:24;106:5;107:15 Reading (1) 95:18 reads (5) 59:9;65:17;72:1; 76:20;85:7 ready (2) 65:22;67:10 real (1) 21:11 realize (1) 84:6 really (15) 7:2;12:18;24:5;29:1, 3;35:9;40:22;51:5,6; 64:25;68:13;95:12,16; 96:18;107:1 re-amortization (1) 71:15 reason (8) 38:5;71:4,8;76:2; 84:3;90:15,19,20 reasons (2) 86:25;87:5 recall (114) 25:7;26:15;32:14; 33:2;34:2,6,11,13,15; 35:20,21,24;36:14; 37:1,21;39:3;42:9,18; 45:9,13;47:19;52:3,8, 12,13;54:4,11;55:16, 24;56:3,25;57:14,18; 61:5,8,11,14;62:17,22; 63:6,18,19;64:19;65:3, 5,7,10;66:15;67:11,13; 68:19;72:13,18,21; 73:16;74:3,4,19;75:21; 76:9;77:6,14,17;78:6,9, 17;83:24;84:2,4,9,14, 15,17,22;85:1;86:16, 21,24;87:11;88:4,6,7,9; 89:11,24,25;90:13,14, 24;91:7,15,18,20;92:4, 13;94:5;97:1;99:17,18, 21,22;100:1,5,6;101:9; 102:22;103:14,21; 104:1,18,23;105:1,6,8 Allied Court Reporters, Inc. (401)946-5500 115 Phenix Avenue, Cranston, RI 02920 www.alliedcourtreporters.com recap (1) 104:15 receive (3) 52:10;55:14;91:22 received (9) 8:11;9:17;16:13; 57:17,19;58:8;88:19; 99:16;101:12 receiving (2) 20:16;57:15 recent (2) 39:11;51:16 recently (1) 102:25 receptionist (1) 12:8 RECESS (4) 43:8;72:16;80:13; 99:4 recipients (1) 57:20 recollection (8) 62:5,15;66:10;74:15, 19;75:24;76:24;98:19 recommend (1) 29:9 recommendations (1) 24:10 record (17) 4:6,9;27:4;51:13; 58:24;72:17;78:10; 80:15;94:8;97:17,22, 24;98:1;99:3;100:22; 101:25;102:3 records (1) 53:15 records' (1) 53:7 record's (1) 53:17 recruited (1) 30:7 refer (1) 80:18 referenced (2) 67:17;74:10 referred (1) 94:23 referring (1) 106:8 refers (1) 38:8 reflect (1) 102:4 reflects (2) 59:19,24 refresh (4) 62:4;66:10;74:14; 76:24 refugees (1) 96:25 regard (1) 85:14 (9) Police - regard Steven M. Costantino July 22, 2014 Rhode Island Economic Development Corporation vs Wells Fargo Securities, LLC regarding (35) 4:22;25:7;40:2; 42:13,16;45:10,14,18, 21,25;46:4,7,11;54:5,8; 56:1;61:12;65:19; 66:10;74:1;76:7,19,25; 77:11;83:22;84:10,11, 12;86:10;91:5;92:1,10; 94:3;99:23;102:7 regular (2) 8:19;68:6 related (7) 15:5;53:2;96:13; 97:3,19;102:18;104:19 relates (2) 19:23;104:2 relating (8) 30:17;37:19;52:10, 14,17;65:7;78:24; 94:17 relation (1) 106:19 relatively (1) 10:10 relayed (3) 74:24;75:11;88:14 rely (1) 51:2 remember (86) 8:14;9:14;10:16; 12:18;14:19;16:4,9; 17:1;22:20;25:18;26:2; 27:17,19;30:1;31:8,10, 11;32:23,25;33:6,8,10, 15;34:4,9,25;35:2,3,4, 16,17;37:20,25;38:9, 16;39:7,10;40:15,16, 24;41:13,16;42:14; 43:13;44:1,5;45:3,5,8, 16,19,23,23;46:2,5,9, 12;47:4,18,21,22,25; 48:3,13;49:16;58:5,6,9, 10,17,25;59:4;62:9; 63:14;64:25;70:11,15, 18;73:2;81:8;88:12; 89:13;96:21;97:1; 103:24;104:3 remembered (1) 55:7 remuneration (1) 91:22 reorganizing (1) 65:1 rep (2) 84:24,25 repay (1) 100:4 repeat (3) 86:17;100:11,20 rephrase (2) 4:25;49:3 report (3) 24:8,15,16 Min-U-Script® reported (1) 10:4 REPORTER (2) 4:5;107:13 reporting (2) 7:14;16:7 reports (4) 16:15;39:11,17; 48:14 represent (1) 4:17 representation (2) 44:21;88:22 representative (1) 11:5 Representatives (6) 17:21;19:19;21:25; 70:14;95:24;105:14 represented (1) 8:14 representing (1) 99:9 request (8) 30:18;31:12;37:22; 48:6;53:7,17;56:2;66:2 requested (1) 30:20 required (1) 30:8 requirements (1) 7:16 resolution (6) 85:20;86:1,10,19,22; 87:1 respect (5) 15:25;43:1;69:12; 86:11,20 respectfully (2) 79:18,23 respective (1) 102:5 response (1) 53:17 responsibilities (5) 6:18;8:17;12:2;19:6; 82:23 responsibility (1) 82:11 rest (1) 73:8 restate (1) 100:23 restaurant (2) 41:17,19 restructure (1) 64:18 restructuring (3) 64:20,22;65:2 result (6) 24:11;35:7;63:3,10; 66:23;91:22 RESUMED (2) 43:9;80:14 retired (2) 23:15,18 return (1) 97:21 returned (1) 72:12 Revenue (6) 20:19;21:4,5;22:6,8; 24:17 revenues (3) 9:5;20:22;21:1 review (8) 31:4,23;37:17;53:1, 5,14;85:21;88:2 reviewed (2) 52:16;58:1 reviewing (2) 52:13;61:5 Reynolds (13) 23:13,21,21;29:23; 54:5,8;56:11,19;57:5, 5;61:21,25;72:8 Rhode (34) 4:19,22;6:1,2,3;8:9; 19:9;32:5;33:18;34:1, 8;36:2,6,9,13;37:14; 44:6;45:21;46:22; 50:23;52:6;62:22; 68:16;76:7;77:23; 81:14;84:12;89:20; 91:12;92:2;99:12; 100:14;101:1;103:3 RI (1) 59:14 Richards (1) 94:22 Rick (1) 35:3 ride (2) 35:19,21 RIEDC (4) 59:15,16;73:10; 85:17 RIEDC/38 (1) 87:24 right (35) 7:7;12:4;16:14;17:3; 22:19;26:5;41:24; 43:14;50:12;51:3,7; 54:3;55:24;56:24; 60:14;71:17;74:17; 77:17;79:24;80:4;81:2; 82:21;84:7;89:18; 90:12;97:7;98:24; 100:6;101:18;102:13; 104:13,21;106:4,6,10 RIPTA (1) 20:5 RISD (1) 33:24 rise (1) 62:3 Rob (16) 33:7;47:22;56:6,20; 57:4;59:6;61:20,25; 62:1,20;65:13;71:22; 74:25;85:4,4;87:22 Robert (2) 45:24;92:1 Rob's (1) 61:24 Rogers (1) 93:7 role (3) 43:1;106:18,20 ROOM (1) 102:2 Rosemary (1) 25:17 roughly (3) 7:24;18:16,17 route (4) 66:3;67:17,19;69:7 rules (1) 82:9 run (5) 11:4;20:6,8,12;98:4 running (1) 6:21 runs (1) 82:10 S sales (1) 22:7 same (7) 20:12;21:1;22:11; 23:14;101:15;103:18; 105:4 Sasse (1) 25:16 sat (1) 41:20 Saul (8) 33:9;56:7;65:13; 76:13,19;85:6;87:23; 99:10 saying (5) 34:3,4,6,11;37:25 scanned (1) 85:20 scheduled (2) 28:2;62:1 schedules (1) 12:6 scheduling (1) 12:9 Schilling (6) 32:21;33:2,12;34:5, 22;104:25 School (3) 5:16,18,22 scuffling (2) 85:8;87:13 Sean (1) Allied Court Reporters, Inc. (401)946-5500 115 Phenix Avenue, Cranston, RI 02920 www.alliedcourtreporters.com 85:6 second (6) 6:20;16:2;28:5; 31:22;57:25;72:15 secret (2) 52:2,5 Secretary (4) 4:15;76:15;92:15; 102:16 secretary's (1) 93:1 section (1) 85:17 securing (1) 8:24 Securities (1) 4:20 seeing (1) 61:5 seek (1) 11:10 seeking (3) 50:17;74:2;90:23 seem (1) 5:1 select (1) 41:24 sell (2) 14:15;15:9 selling (1) 15:15 senate (7) 20:9;22:1;23:5; 46:11,17;71:10,11 Senator (1) 65:25 send (1) 28:24 senior (1) 6:22 sense (4) 79:12;80:10;93:12; 97:16 sent (7) 19:18,19;27:8;71:10, 11,12,16 sentence (1) 57:25 separate (9) 68:4,5,21,22;70:9,12, 16,20;82:6 serve (3) 17:23;18:21;23:14 served (5) 18:1,18;19:3;31:9; 96:2 server (1) 53:9 services (5) 6:10,12;8:13;10:21; 92:15 serving (2) 92:25;93:4 (10) regarding - serving Steven M. Costantino July 22, 2014 Rhode Island Economic Development Corporation vs Wells Fargo Securities, LLC set (1) 64:14 several (1) 65:23 Sharon (18) 23:12,15,20,21,21; 29:23,24,25;54:5,8; 55:19,20;56:11,19; 57:5;61:21,25;72:8 Sharon's (1) 55:21 SHEEHAN (11) 67:2;69:9,20,23; 72:14;89:11;94:13,24; 97:6;98:25;107:12 Sheehan's (1) 94:20 sheet (3) 60:22;61:6,12 SHORT (4) 43:8;72:16;80:13; 103:25 shortly (1) 90:22 show (3) 33:19;61:19;71:20 showing (1) 74:13 sic (2) 66:5;88:19 side (5) 21:5,5,6;22:13,14 sign (1) 107:15 signed (1) 101:12 significant (1) 50:6 Silverstein (7) 79:23;94:9;97:5; 98:10;101:21;102:1,5 Silverstein's (1) 51:15 Similar (1) 106:24 Simply (4) 51:5;74:17;87:5; 95:11 simultaneous (1) 104:14 sit (3) 33:11;36:25;90:1 sits (1) 64:9 situation (3) 14:24;33:20;71:4 six (1) 30:12 six-day (1) 12:8 sixteen (1) 18:1 size (1) Min-U-Script® 26:18 small (1) 8:7 smaller (1) 14:13 smallest (1) 10:7 Smith (10) 30:10;54:1;78:15; 88:7,10;89:10,14,16, 19,23 social (2) 77:21,22 socialized (1) 103:15 soft (1) 73:4 sold (1) 13:13 somebody (1) 55:10 someone (2) 35:16;40:8 sometimes (4) 22:24;28:5;60:13; 62:13 sorry (6) 18:2;41:5;52:18; 55:23;60:4;78:20 sort (3) 18:3;29:21;44:7 source (3) 9:11,12,21 sources (2) 9:20;22:7 South (1) 96:24 Southeast (1) 15:18 Southwest (1) 4:10 span (2) 25:9,18 speak (4) 10:4;60:20;66:1; 70:23 Speaker (43) 17:14,15;24:23; 27:12;32:10,11,19; 33:1,12;34:2,4;35:12, 13,14;39:12,19;40:2,2; 42:16,19,21;46:3; 51:24;52:1;63:20; 65:20;66:13,24;70:8; 76:1,2,5;80:23,25;81:2, 18,19;84:8;104:24; 105:25;106:11,14,16 Speaker's (1) 106:8 speaking (5) 10:10;34:20;65:17; 87:16;88:4 specific (9) 34:10;54:6;55:1; 77:15;78:1;93:1;97:25; 98:2;105:20 specifically (1) 34:15 specifics (2) 89:24,25 speculative (1) 87:9 speech (4) 69:5;83:16;86:5; 89:6 spell (1) 4:6 spend (1) 31:20 split (1) 94:11 spoke (2) 31:6;34:24 spoken (1) 76:21 sponsor (1) 47:14 spot (1) 21:8 spring (1) 83:22 staff (28) 6:22,22;11:18;19:20; 23:7;24:5;25:3,4,4; 26:19;27:5;29:20,22; 30:2,5,7;36:19,21,22; 37:1,4,16;46:7;52:16; 55:25;61:15;70:17; 94:3 stamp (3) 65:12;76:11;87:19 standards (2) 54:17,20 start (2) 18:9;56:14 started (14) 5:22;6:23,25;7:4; 8:7;10:8;11:7;15:6; 23:24;25:15;27:18; 40:15,17,24 state (27) 4:5;7:20;8:9,16,20, 25;9:17;11:5;19:9; 22:5;34:8;36:1;40:9; 41:15,22;50:10,23; 51:12;53:18,25;78:13, 23;95:14;102:19; 103:7;104:4;105:16 stated (1) 102:10 statements (2) 34:16;48:24 states (2) 62:1;73:3 statute (1) 85:17 statutory (1) 85:15 stay (1) 101:15 stenographer (3) 5:4,8;100:18 step (4) 17:17;29:11,13; 43:10 steps (2) 36:15,20 Stern (1) 25:16 Steve (12) 65:18,21;67:10;72:4, 10;73:6;75:15;76:20, 21;77:3;86:16;89:12 STEVEN (4) 4:2,7;43:17;76:6 still (3) 15:2,5;29:17 Stokes (24) 4:18;33:4,13;34:11; 37:19,21;44:18;45:10, 14;47:22;56:7;62:21; 65:13;66:11,23;67:9, 11;71:23;76:13,19; 85:5;87:22;94:4; 104:25 Stolzman (25) 33:7;45:24;47:22; 56:6,20;57:4;59:6; 61:20,25;62:20;65:14; 71:23;74:25;75:11; 85:4,5;86:2;87:12,22; 88:4,13;89:9,13;92:1,9 stopping (2) 18:20,21 store (2) 14:13,14 Street (1) 12:24 strictly (1) 67:23 strike (3) 46:21;51:25;74:24 string (2) 61:22;76:17 strong (1) 33:25 students (1) 33:24 Studios (101) 4:22;32:3,11,12; 34:23;35:18,23,25; 37:22;38:17,24;39:15, 21;40:3;42:4,7,13,16, 24;43:2,22;44:3;45:11, 18,25;46:8,12;48:6,17, 25;49:7;52:2,5,11,14, 17;53:3;54:5,9;55:13; 56:10;59:13,14;61:7; 73:8,21;74:1,5,7,18; Allied Court Reporters, Inc. (401)946-5500 115 Phenix Avenue, Cranston, RI 02920 www.alliedcourtreporters.com 75:1,11;76:4,7,19,25; 77:12,15;78:24;81:13; 83:22;87:24;88:16; 89:4,20;90:3,8,17,23; 91:5,9,11,17,22;92:3, 11;93:14,17,19,25; 95:23;99:11,12,13,24; 100:2,10,14,15,25; 101:3,8;102:18;103:3, 23;104:19;105:11,14, 22,23;106:7 Studios' (3) 32:4;56:2;59:17 study (2) 28:13;41:25 stuff (1) 41:23 style (1) 82:4 subcommittee (3) 20:2,3;41:25 subject (4) 64:16,17;66:20; 87:24 submitted (6) 46:22;47:1,3,6,14; 71:18 subpoena (2) 30:16;31:12 substance (7) 8:21;9:18;10:21; 15:19;26:15;30:23; 54:11 Substantive (1) 34:17 sufficient (1) 5:10 suggested (2) 44:19;85:16 suggestion (5) 59:17,25;97:14;98:3, 5 suit (1) 95:13 summary (1) 59:12 summer (2) 83:23;92:5 supplement (1) 24:14 supplemental (13) 21:20;66:3;67:16,19, 22,25;68:3,5,7,18;72:6, 12;73:1 supplementing (3) 68:11,12,14 support (2) 13:1;47:23 supported (1) 63:12 supporter (2) 63:20,25 supporters (1) (11) set - supporters Steven M. Costantino July 22, 2014 Rhode Island Economic Development Corporation vs Wells Fargo Securities, LLC 63:18 supporting (3) 64:3,5,6 supportive (1) 63:24 suppose (2) 69:7;75:3 supposed (2) 36:14;39:14 Sure (20) 5:16;6:20;7:12,15; 12:6;15:12;27:18; 29:25;38:9;46:25; 54:15,17;55:2,8;62:7; 64:21;82:25;92:24; 99:2;106:1 sworn (1) 4:3 system (1) 96:12 T talk (7) 51:20,22;70:4;77:23; 79:13;83:3;99:1 talked (2) 33:23;89:15 talking (8) 10:12;34:18;82:15; 84:23;96:10,11; 103:19,20 tally (1) 83:1 taper (1) 20:24 tax (12) 22:7,8;40:10,13,17, 23,25;41:25;42:3,6; 100:15;101:2 team (1) 93:8 technical (1) 29:13 technician (1) 12:7 tecum (1) 30:16 telephone (2) 45:7;102:4 telling (1) 37:21 tells (1) 21:8 ten (1) 8:12 tends (1) 23:4 tenure (1) 9:16 ten-year (1) 18:8 term (9) Min-U-Script® 10:2;19:15;23:11; 60:22;61:6,12;75:22; 81:16;88:12 terms (12) 9:2;12:12;14:7;21:9; 34:10;50:9,10;51:3; 59:15;64:24;82:7; 95:12 testified (4) 4:4;62:17,20;104:17 testifies (1) 69:10 testify (6) 25:25;63:22;71:6; 79:18;83:18;98:13 testifying (1) 47:23 TESTIMONY (6) 43:9;62:24;63:2; 80:14;104:5,16 thereafter (1) 90:22 third (3) 44:4;56:9;73:3 thirty (1) 8:15 though (6) 9:22;15:5;21:6;25:6; 55:11;103:25 thought (8) 49:22;51:8,14;55:21; 69:6;82:17,19;104:25 thoughts (1) 66:7 three (4) 5:21;6:7;7:23;10:13 Thursday (3) 57:4;59:7;65:25 tied (1) 40:23 til (4) 5:6;7:24;17:4;18:1 Tim (3) 97:24;98:16;107:7 times (3) 26:1;31:15,18 Timothy (1) 97:12 title (2) 14:19;80:21 Today (10) 4:20;30:23;33:11; 36:25;90:1;98:14; 104:5,9,9,16 together (3) 37:2;46:18;53:16 told (10) 39:9;49:14;65:21; 67:9;72:3;75:8;95:8; 103:21,22,23 Tom (1) 32:22 tomorrow (2) 56:14;66:1 tonight (1) 66:2 took (7) 23:20;47:7,10;62:5, 10,12;100:25 top (2) 65:15;71:24 touch (2) 70:25;71:5 trade (1) 8:8 Traditionally (2) 82:1,1 training (3) 8:20;9:18,18 transaction (1) 59:13 transition (2) 81:2;93:8 transmit (1) 29:14 transmittal (1) 29:16 transportation (2) 20:4,5 treatment (4) 8:4,8,15;10:20 tremendous (1) 36:10 trends (1) 22:6 tried (2) 96:18;99:18 true (1) 88:16 try (10) 4:25;5:2;25:14; 85:23;98:16,18,21; 99:13;104:15,16 trying (15) 14:6;16:1;25:15; 49:12;69:4;74:12; 75:22,23;79:11;92:22; 96:9;98:6;100:9; 103:24;106:1 Tuesday (6) 62:3;65:20;66:7,15; 67:1;85:23 TUGAN (1) 107:9 turn (1) 49:11 Twice (1) 31:19 two (14) 16:20,21;23:12;26:1; 28:3,4;31:21;41:16; 68:2;70:22;82:20;99:5; 102:19;104:6 type (1) 6:12 typically (1) 28:23 U under (10) 7:12;22:13;36:9; 56:13;79:16;90:24; 99:16,20,24;100:4 Understood (2) 63:23;88:14 unfortunately (1) 98:14 unrelated (1) 71:13 up (16) 6:24;7:5;13:16; 17:13,23;20:14,24; 22:14;35:12;51:6; 60:19;73:4;83:3;94:22; 101:21;104:9 upon (1) 102:13 Urgent (2) 11:17;15:10 use (6) 10:2;38:12;85:20; 86:1,10,22 used (3) 19:15;75:22;86:25 using (2) 86:19;88:12 usually (10) 19:22,24;27:11,11; 28:1,8,11;36:18;82:5, 14 38:23;39:15;90:17; 102:19 visits (1) 90:8 voice (1) 62:3 volume (1) 60:18 vote (7) 28:12,13;29:9,15,15; 83:7,11 voted (1) 50:19 votes (2) 83:1,4 W wage (1) 54:25 wait (2) 5:5;69:3 waiting (2) 28:6;101:22 waived (1) 89:15 waiver (1) 69:11 walked (1) 33:21 wants (6) 36:5;38:12;76:20; 83:8,12;85:19 waste (1) 70:24 Waugh (1) 85:5 V way (12) 7:5;18:2;50:4;55:6; vacancies (1) 60:19;67:7,8,15;69:14; 26:21 83:17;85:19;89:1 various (1) ways (1) 95:4 68:2 Venda (13) web (1) 13:18;14:1,4,12,18, 53:9 22;15:2,6,15;16:22,24; Wednesday (3) 17:3;41:23 56:6;71:23;87:24 venture (2) week (2) 12:19;14:8 72:7;76:21 verbal (1) Welfare (3) 5:9 18:10,22,23 verbalize (1) Wells (6) 5:11 4:20;30:17;95:11,13, Verrecchia (3) 24;97:13 43:14;77:11,18 weren't (4) versus (3) 11:25;44:4;78:1; 4:20;68:10;71:15 103:18 video (1) Wester (1) 33:23 35:3 Vincent (1) What's (5) 12:22 20:17;38:11;56:4; visit (2) 57:2;71:21 32:11,12 whatsoever (1) visited (4) Allied Court Reporters, Inc. (401)946-5500 (12) supporting - whatsoever 115 Phenix Avenue, Cranston, RI 02920 www.alliedcourtreporters.com Steven M. Costantino July 22, 2014 Rhode Island Economic Development Corporation vs Wells Fargo Securities, LLC 74:4 Wherever (1) 106:3 Whip (15) 80:24;81:10,11; 82:13,14,14,15,15,16, 19,20,21,24,25;83:13 whole (5) 21:7;50:22;104:1; 105:25;106:25 whose (2) 16:18;38:1 William (1) 12:22 willing (1) 91:21 Wistow (3) 94:21,23,25 withdraw (2) 100:21;104:15 within (5) 7:12,16,17;63:15; 89:5 without (1) 51:14 WITNESS (10) 4:7;34:19;43:4; 57:22;61:4;69:10; 86:17;97:18;100:11,18 won (1) 11:7 wondering (2) 60:17;69:13 word (1) 35:9 words (1) 97:24 work (7) 21:4;22:19,25;27:5; 36:20;37:4;82:6 worked (4) 11:14;13:2;26:25; 73:9 working (5) 23:21;33:24;37:1; 41:25;54:16 writes (1) 19:9 writing (6) 9:3;19:12,16;21:2; 24:21;67:24 X x-ray (1) 12:7 Y year (22) 10:11;15:7,12,23; 20:25;21:17,18;22:10, 11,15,15,16;64:21; Min-U-Script® 67:23,24,25;68:8,10, 11,12;71:11;81:1 year-and-a-half (1) 15:23 yearly (2) 10:13;12:17 years (22) 5:21;6:7;7:23;8:5, 12;9:4,14;11:15;13:10; 16:1;18:1,11,13,14; 23:24;25:6,9;26:20; 27:18;30:12;40:8;68:1 Z Zaccagnino (1) 32:22 16 (1) 87:25 16th (1) 88:5 18.1 (1) 85:17 1975 (1) 5:19 1979 (1) 5:21 1983 (1) 5:24 1986 (3) 7:24;8:1,2 1994 (1) 11:5 1995 (1) 10:22 0 002376 (1) 60:23 031601 (1) 87:20 04 (1) 27:19 07 (1) 17:4 08 (1) 23:18 1 1 (3) 57:4,25;59:7 1/2 (2) 8:4;9:4 1:08 (1) 80:14 1:45 (1) 98:20 10 (1) 32:7 10:05 (1) 4:1 100 (1) 19:22 11:08 (1) 43:8 11:13 (1) 43:9 12:29 (1) 80:13 12:30 (1) 80:5 125 (9) 37:24;38:3,20;44:20, 25;73:7,20;75:16; 84:16 13 (2) 26:24;65:12 15 (3) 11:19,20;26:24 2 2:36 (1) 107:16 20 (1) 85:7 2000 (5) 15:6,11;18:16,17; 96:6 2000/2001 (1) 15:12 2002 (2) 15:8,9 2004 (10) 17:9,23;18:5,19,20, 21,25;23:16;27:15; 28:19 2007 (1) 17:5 2009 (5) 39:16,22,23,25; 64:16 2009/2010 (1) 32:3 2010 (22) 18:1;19:4;28:20; 40:1;46:24;56:7;57:5; 59:7;61:21;71:24; 72:19;76:14;77:4;78:5; 80:25;82:24;83:23; 87:25;88:5;92:5;103:5; 104:19 2011 (1) 68:20 2nd (2) 61:21;76:14 3 3 (1) 10:10 30 (1) 72:19 31 (2) 56:7;71:24 36 (1) 71:22 38 (107) 4:22;32:3,4,11,12; 34:23;35:18,23,25; 37:22;38:17,24;39:15, 21;40:3;42:4,7,13,16, 24;43:2,22;44:3;45:11, 18,25;46:8,12;48:6,17, 25;49:7;52:2,5,10,14, 17;53:3;54:5,9;55:13; 56:2,5,9;59:13,14,17; 61:7;66:6,14,21;73:8, 21;74:1,5,6,18;75:1,11; 76:4,7,19,25;77:12,15; 78:24;81:13;83:22; 88:16;89:4,20;90:3,8, 17,23;91:5,9,11,17,22; 92:3,11;93:14,16,19, 25;95:23;99:11,12,13, 24;100:2,10,13,15,25; 101:3,8;102:18;103:3, 23;104:19;105:11,14, 22,23;106:7 38MAR000962 (1) 85:3 38:18,25;39:4,9; 48:6,25;73:7,20;74:2, 21,25;75:10,16;76:3 8 8158 (1) 85:9 83 (2) 5:23;6:17 9 9 (2) 8:4;9:4 90 (1) 12:24 94 (2) 17:18;18:9 95 (3) 11:1,9;18:9 4 4 (1) 10:10 40 (1) 59:6 42 (6) 57:3;58:21;60:5,21, 24,25 44 (1) 61:20 5 50 (1) 44:19 6 6 (1) 62:3 625 (2) 65:11,12 627 (2) 76:10,11 629 (2) 85:2,3 631 (2) 87:18,19 6th (2) 62:11,13 7 75 (14) Allied Court Reporters, Inc. (401)946-5500 115 Phenix Avenue, Cranston, RI 02920 www.alliedcourtreporters.com (13) Wherever - 95