READ TRUMP AND THE 10/3/16 FORBES.COM

 

From: FS 
Sent: 28. January 2008 02:45

To: Richard Beenstock richard@stodir.is
Cc: Orvar Kaernested orvar@stodir.is
Subject:

 

Dear Richard and Orvar,

How have both of you been? I hope better than me. Anyway let
me get right to the heart of the matter. On Thursday Julius told
iStar that I have a large economic interest in Bayrock. This is very
problematic and could cause damage. I think he did it to get me out
fast, since he instantly told Richard, Tevfik and Jody about it as
well as me. He then proceed to tell me to resign quickly and do the
family trust thing on Monday the latest, or else the banks could
start default (mostly not true). His head is not on straight after
Wednesday when Trump and Sapir abused him in a meeting about
him being a good lawyer but a terrible developer. Sapir trying to
take advantage of the situation and take managing member status
for themselves, and Donald who saw an opportunity to try and get
development fees for himself since he knows we will not give it to
Sapir so he figures both sides give it to him. Unfortunately Julius
did not tell Richard about this meeting only the bank call. He has
now told Tevflk that the banks may come after him for failure to
disclose. That is not true as I have an economic interest not an
undisclosed principal. He is also very upset that last week he stuck
a piece of paper in front of me increasing his interests and I refused
to sign it. So I guess he feels if he cant get it no one else should
either. Anyway the situation may get bad and Tevfik is thoroughly
freaked out and wants out.

I would like to make the following proposals to get this moving
along.
1. We speed up everything to getting done this week.
2. Give Tevfik $1 million now and $2 million in 60 days pending
full DD and obviously offset by any unknown but discovered.
liabilities (I don't believe there are any).

3. Take 100% of Bayrock and give my family Trust an option at
some low price to exercise in 5 years into 30% equity (less Jody
with participation on profit distributions during the 5 years,
that way even if it has to be disclosed no one (especially current
banks) cares what happens in 5 years after they get paid off. And
by then no one else will care either.

4. Transfer funds from Bayrock into International Company, which
i have ready to go and will describe to you tomorrow. My
ownership there will also be in a family trust, with an employment
contract. I am starting to get hyper sensitive to being involved as
principal directly. I appreciate your support but there is no need to
have to keep dealing with this nonsense. i think some time has to
pass and then no one will care, now its like an open sore, and I
don't want to give people like Julius the ability to try and trip me
up or have these things trip you up by supporting me.

5. I resign this week after we do the paperwork and transfer
employment to international.

6. We bring in Jody who is happy to help, and does not want to see
Bayrock fail or the lender relationships he put in place ruined and
be blamed for it. If Jody goes to the banks who he still speaks to
and says FL bought out Tevfik, and Felix is no longer there, and
Jody is staying for continuity purposes it will be a good thing.
Even better if we have a new President in place as well. He will
stay as a consultant for 2 years, full time at first, less after we hire
a president. We need to have someone in the transition period who
knows where everything is and understands all the players. I
promised Jody a piece of my end for him to stay and help Bayrock
flourish, which he helped me build from day l. I am cutting into
my end for Jody because I want to see this situation resolve fast
and we can all go on to make money together. At least unlike
Julius he can be trusted not to play games or double deal and all
the banks know him and would be comfortable.

7. We hire Glen or bring in a high end headhunter to find a
President, in the interim the rest of the team is in place and Jody
will help manage the situation and help us find the right President.

He really wants to see Bayrock ?ourish. As do we.

Lets speak in the am about the above. I know its faster than
anticipated but I don't believe the above is inconsistent With our
overall plans.

I am sorry my situation is causing so much grief, but I promise
you I will work very hard to make it up to you.

Thank You,
FeliX