Filing # 29423303 E-Filed 07/08/2015 05:45:05 PM
IN THE SUPREME COURT OF FLORIDA
THE FLORIDA BAR Supreme Court Case No.: SC15-1011 Complainant, The Florida Bar File No.: 2012- vs. 50,591(150)
RICHARD SAM LEHMAN
Respondent.
RESPONSE TO COMPLAINT Respondent, RICHARD SAM LEHMAN, by and through his undersigned counsel, for his Answer with Affirmative Defenses and Mitigating Circumstances, states and alleges as follows: 1. Admit 2. Admit 3. Admit 4. Admit 5. Admit 6. Admit 7. Admit, but affirmatively asserts that the audit also determined that all funds were used solely for the benefit of the Estate of Wilson Lucom. 8. Admits, that funds were transferred from the estate account into Mr. Lehman's Operating Account, but affirmatively states that no funds were retained by Mr. Lehman or by his law firm and that all funds were used for the benefit of the Estate of Wilson Lucom. 9. Admit, that for a brief period of time, that Respondent comingled funds by placing the funds in his Operating Account, but states that all funds were used for the benefit of the Estate of Wilson Lucom and that, as more particularly hereinafter set forth, that Mr. Lehman co-mingled the funds negligently and in an effort to protect those funds from dissipation by third parties from the Country of Panama.
145552.0060 I/I 00667802v. I 10. Admit that Mr. Lehman paid expenses of the Estate of Wilson Lucom from his operating account, rather than leaving the funds in the Estate Account, but affirmatively states that although Mr. Lehman's actions in so doing were wrong, that there were mitigating circumstances surrounding his misguided decision to do so, as hereinafter explained in detail. 11. Admit that through his negligence and in a genuine effort to protect the estate funds from unscrupulous parties in Panama, that Mr. Lehman violated Rule 5-1.l(a)(l) of the Rules Regulating the Florida Bar.
Affirmative Defens es and Mitigating Circumstances
1. Richard S. Lehman has been a member of the Florida Bar for over 45 years. Lehman
was born in Florida and is a long time resident of South Florida. Until the complaint in
this case was filed, he never had a single Bar complaint filed against him and has
scrupulously followed the law and his ethical obligations without a mark on him.
2. Before starting his private practice in Florida, Lehman graduated from Georgetown
Law School in Washington D.C., obtained an LLM, master's degree in tax law at New
York University Law School and served for years as a Senior Attorney with the Internal
Revenue Service of the United States and as a law clerk to Judge William Fay on the
United States Tax Court in Washington D.C.
3. Lehman has held an "AV" rating as an attorney since early in his career. Mr. Lehman
also served in the Judge Advocate General's Corps of the United States Army Reserves.
Prior to commencing work as the Executor of the Estate of Wilson C. Lucom, he had
never been accused of any wrongdoing whatsoever and was held in the highest regard
in his community by individuals from the political, religious, legal, financial and other
sectors. During Mr. Lehman's 45-year history with the Florida Bar, he has taken his
-2- 145552.00601/100667802v. l obligations to the public seriously. As early as 1978, Mr. Lehman edited, published
and provided to the Florida Department of Commerce a book titled "A Guide to Florida
International Business and Investment Opportunities," one of the first books in Florida
promoting international commerce. He presently offers to the Florida legal community,
free of charge, twelve (12) credit hours of continuing education credits in the field of
tax law via video webinars.
4. Mr. Lehman has admitted to commingling assets of the Lucom Estate over a period of
a few months from the Fall of 2006 until January 2007, and acknowledges that doing
so was a result of his negligence and his efforts to protect those funds from
unscrupulous individuals and judges in Panama, as more particularly hereinafter
explained in detail. He is sincerely remorseful as to his error in judgment, but was under
tremendous pressure, as hereinafter explained.
5. None of the commingled funds were used to benefit Mr. Lehman or his law firm and
all funds were used for the Estate of Wilson Lucom, and paid out within a four month
period together with nearly one million dollars of Mr. Lehman's own funds that he paid
on behalf of the Lucom Estate in an effort to uphold the expressed intention of the will
of Wilson Lucom. Moreover, Mr. Lehman received no compensation or fees for the
hundreds of hours of time that he expended on behalf of this estate.
6. Richard Lehman and Wilson Lucom were friends and enjoyed an attorney client
relationship in Palm Beach Florida for over thirty years before Wilson Lucom moved
to Panama with his third wife, Hilda, a Panamanian and U.S. citizen. On June 2, 2006,
Lucom passed away in Panama, and shortly thereafter the Fourth Civil Circuit Court in
Panama, (the "Panamanian Probate Court"), on July 5, 2006, appointed Lehman as the
-3- 145552.0060 I/I 00667802v.1 sole Executor of the Lucom Estate (hereinafter "Order 1025"). See Exhibit A hereto.
Lehman's appointment was later confirmed by the Panama Appellate Court. Exhibit
A-1 hereto.
7. Mr. Lucom's Will separately identified all his property, with particular emphasis on his
real estate holdings (the "Real Estate"). Mr. Lucom left all of his identified Real Estate
directly to a Panamanian Foundation whose sole purpose was to feed the poor and
starving children in Panama. See, Exhibit B hereto. The main piece of Real Estate, a
seven thousand (7,000) acre parcel of land in Panama on the Pacific Ocean (Hacienda
Santa Monica), belonged to a Panamanian corporation known as Hacienda Santa
Monica, S.A., which was 100% owned by Lucom at the time of his death. Since
Lucom's death in 2006, the value of the property held by Hacienda Santa Monica S.A.
has skyrocketed to more than One Hundred and Forty Million Dollars ($140,000,000).
This property was clearly and unambiguously earmarked in Lucom's will to go to the
poor children of Panama.
8. At the time of his death, Mr. Lucom was married to his third wife, Hilda Lucom
("Hilda"), a Panamanian and US citizen, who was then 83 years old and in poor health.
Mr. Lucom had no children of his own. Hilda had five (5) children with her first
husband, Gilberto Arias, a Panamanian citizen and lineal descendant of one of the most
powerful families in Panama. The Arias family is a Panamanian family with two
presidents in their lineage and who, among others, controlled Panama's most powerful
political party at the time of Mr. Lucom's death. They were also the owners of
Panama's second largest newspaper, the Panama American. Mr. Lucom was alienated
from Hilda's children in Panama.
-4- 145552.0060 I/I 00667802v.1 9. The dispositive provisions of Mr. Lucom's Will leave no doubt as to his wishes. Mr.
Lucom expressed that Hilda, who was independently wealthy from her first marriage
into the Arias family, was to receive the couple's multimillion-dollar home in Panama
and a fixed annuity during her lifetime. The remainder of Mr. Lucom's assets, after
the payment of several specific bequests, in unambiguous terms, was to pass to the
Wilson C. Lucom Trust Fund Foundation with the single goal to benefit the poor
children of Panama. In furtherance of maximizing the amount that ultimately was to
pass to the Foundation, Mr. Lucom's Will provided that the annuity sum that Hilda was
to receive under his will "shall be solely for her use while she lives, and after her death
all bequests end, and what was given to her must be returned to the WILSON C.
LU COM TRUST FUND foundation, as of her death. No principal or interest account
shall go to the estate of HILDA PIZA LUCOM".
10. Mr. Lucom again reiterated his intent in other sections of his Will. "My wife's
grandchildren and other relatives must look to their inheritance from their parents, who
are wealthy."
Relative to his charitable foundation, Mr. Lucom stated:
I am the sole owner of Hacienda Santa Monica, which has no liens or mortgages. I instruct my Executors to place my Hacienda Santa Monica on the market. ... The product of the sale of Hacienda Santa Monica must go to the WILSON C. LU COM TRUST FUND Foundation.
The main objective of the FUNDA CI ON WILSON C. LU COM TRUST FUND is to feed needy children in Panama. I instruct my trustees to find an area where there are children's schools that don't have any meals for lunch, and lack the usual needs and those provided by schools where lunch is provided.
-5- 145552.0060 Ill 00667802v. l 11. Mr. Lehman, as Executor of Wilson Lucom's Estate was charged with the
responsibility of being legally and morally obligated to protect the Estate for its rightful
beneficiaries, the starving children of Panama. It was a responsibility that Mr. Lehman
took very seriously and which he endeavored to fulfill despite incredible obstacles
placed in his path by Hilda and her children who were aided and abetted by their
Panamanian attorneys, willing Panamanian prosecutors and Panamanian judges.
12. Although, Mr. Lehman had for decades successfully practiced law in the United States,
neither he nor any lawyer who has grown up in the American legal system with its
respect and reverence for the law could be prepared for the power of corruption in the
Panamanian legal system or the greed of the powerful Arias clan, who were intent on
stealing Lucom's fortune from the poor children of Panama.
13. Shortly after Lucom's Will was accepted as his valid Will by the Panama Probate
Court, a criminal conspiracy was begun to steal Lucom's Estate assets. It was started
by Hilda's children, who lived in Panama. The theft started by the children obtaining
a series of illegal Panamanian probate orders from corrupt Panamanian Judges, which
orders were ultimately introduced into the Florida Ancillary Estate Proceeding with
the intent of defrauding the Florida Court.
14. At first, after being appointed Executor of Lucom's estate, Lehman kept all of the
Florida funds in a segregated Florida estate account solely in the name of the Wilson
C. Lucom Estate. He expended approximately $200,000 from this estate account for
the benefit of the Estate.
15. Almost immediately after Lehman was appointed executor in Panama, all of his rights
to use Lucom's funds in Panama, that were necessary to defend the will, were illegally
-6- 145552.0060I1100667802v.1 suspended. Lehman was the Panama Executor with every right to use Lucom's funds.
However, corruption intervened and an illegal Panama court ruling was issued which
foreclosed Lehman's ability to use Lucom's funds in Panama to defend the will. In
August 2006, an order (No. 1227-2006) was issued by the Fourth Circuit Court of the
First Judicial Circuit of Panama ("Order 1227"). This order illegally suspended Mr.
Lehman's right to spend the funds in Mr. Lucom's Panamanian banks to defend
Lucom's will. A copy of Order 1227 is attached hereto as Exhibit C.
16. Lehman was advised by his Panamanian counsel that the order was wrongfully issued.
This was further substantiated by the affidavits of Panamanian Professors of Law
Miguel Antonio Bernal Villalaz, attached hereto as Exhibit D and the affidavit of Jose
Rigoberto Acevedo Castillo attached hereto as Exhibit D-1. The analysis of his
Panamanian counsel was substantially the same as that expressed later by the Panama
Appellate Court in entry No. 09AA.201, attached as Exhibit E. In that Appellate
ruling the court stated that once Lehman had been appointed "the lower court judge can
do nothing related to the matter of the executor lest he usurp a competence that is not
his." Yet, orders were issued nonetheless.
17. In addition to the illegal suspension of Lehman's rights to use Lucom' s Panama funds
the following actions were taken against him at the time of the commingling of
Lucom' s Florida funds. Indeed, in addition to freezing of Panamanian estate assets at
Hilda's counsel's direction and her attempt to set the Will aside as a nullity, she and
her counsel were engaged in a broad campaign of coercion against Mr. Lehman
precisely during the time frame that the comingling occurred.
-7- 145552.006011100667802v.1 18. Under Panamanian law, a private citizen may commence a criminal action against other
persons by filing a "Denuncia" with any prosecutor's office. The person initiating the
Denuncia may call for the arrest and pretrial detention of the accused and for the seizure
of the accused's assets. This is all based on minimal evidence, much less than probable
cause.
19. Around the same time that the bank suspension order was instigated, Lehman was
offered a bribe of Three Million Dollars to abandon his position as Executor and allow
Hilda Lucom's children to assume the responsibility for the entire Lucom estate.
Lehman declined and refused to accept the bribe. This caused Hilda's children to resort
to more drastic measures to undermine Mr. Lehman's efforts on behalf of the Estate.
20. Mr. Lehman could not be prepared for the enormous pressures exerted upon him. At
the time that Mr. Lehman moved Lucom' s Florida funds to his Operating Account to
assure their availability to him to use for the benefit of the Estate, Hilda's attorneys
were accusing Mr. Lehman of murdering Mr. Lucom. At the time of the alleged
murder, Mr. Lehman was not with Mr. Lucom who was in the hospital in Panama.
Lucom was suffering from his final illness and being monitored by doctors and nurses.
Ultimately, months later a Panama prosecutor declared the allegations as baseless and
recommended dismissal of the charges. A copy of this recommendation is attached
hereto as Exhibit F. On May 9, 2007, the Superior Court of Justice dismissed the
murder charges. A copy of the dismissal is attached hereto as Exhibit G. The Court
declared that the charge should be considered a false accusation under Panamanian law.
However, these orders did little to ally Lehman's fears in early September when he
-8- 145552.0060 Ill 00667802v. l commingled funds. Mr. Lehman was being charged in a foreign corrupted country with
allegations that would subject him to imprisonment for years.
21. On the same date the murder charge was filed against Lehman, Hilda's law firm,
again purportedly acting on behalf of Hilda, accused Mr. Lehman of the criminal
offense of aggravated offense of swindle, falseness, illegal exercise of the profession,
and unlawful association to commit offenses. Exhibit H hereto. This Complaint
portrayed everyone involved in Mr. Lucom's Will, other than Hilda, as part of a
"gang" intent on stealing the proceeds of the Estate. The Complaint even charged the
Notary who drafted the Will, all of the witnesses to the Will, and other related parties.
In this Complaint, Hilda's law firm called for the "preventive detention" of Mr.
Lehman. According to Panama law, an individual may be detained and arrested
without a hearing.
22. Ultimately, the Panama lower court and Appellate Court granted Mr. Lehman's Habeas
Corpus Petition on November 21, 2007 declaring the arrest warrant illegal and
unconstitutional and in violation of Mr. Lehman's judicial rights. Composite Exhibit
H-1 hereto.
23. To add injury to insult, in order to force Lehman to give up his fight to implement
Lucom' s dying wishes, Mr. Lehman was removed from an airplane in Panama on 2
separate occasions by the authorities and placed into a jail cell at the airport. Both of
these false arrests were based upon fraudulent Denuncias filed against Lehman that had
already been overruled by Panama courts at the time of the arrest. Exhibit I hereto.
-9- 145552.00601/100667802v. I 24. Lehman further realized just how dangerous matters were in Panama when a radio
announcer who was also trying to defend the rights of the poor children in Panama was
shot and almost killed due to his defense of the poor children. Exhibit J, hereto.
25. Fearful that the Florida funds held in the segregated Lucom Florida estate account
would be attacked by another illegal Panama court order; and, concerned that he would
expose the accounts of all of his other clients if he placed Lucom's funds in his trust
account, Lehman mistakenly placed the funds in his P.A. account.
26. At the time, the funds in the Florida ancillary administration account were the only
funds remaining to defend the Will and the dispositive desire of Mr. Lucom to benefit
the children of Panama. Mr. Lehman panicked, as he feared that Hilda's next step
would be to come after the ancillary administration funds. Not knowing where to tum
to protect the only funds then available to continue to defend Mr. Lucom's Will, Mr.
Lehman made the mistake of trying to protect those funds in the only account that he
believed could not be the subject of what his Panamanian counsel advised would be
another unlawful Panamanian Order freezing Lucom's Florida funds. He mistakenly
and negligently placed those funds in his Operating Account in an effort to protect those
funds in an account that he felt could not be attacked by foreign illegal orders, so that
those funds would be available to defend the Estate.
27. Mr. Lehman acted without any dishonest or selfish motive. Mr. Lehman tried his best
to fulfill his friend and client's wishes at his own expense and under personal attacks
which threatened his personal safety and freedom.
28. Mr. Lehman was suffering from significant emotional stress emanating from the illegal
actions taken to unnerve and frighten him so that the Estate assets could be converted
-10- 145552.0060 I/I 00667802v. I by the aged widow and her children and counsel. He was in constant fear of unlawful
incarceration in Panama for serious crimes that he did not commit.
29. Mr. Lehman, as aforesaid, timely and in good faith applied all funds of the ancillary
estate properly and in accordance with his accounting, thereby correcting the
consequence of his improper commingling in his Operating Account of estate assets.
30. Eventually evidence of what Lehman had been up against showed up. The effect of
corruption in Panama became too much, even for the Panamanians. In 2014 a new
President was elected in Panama who has initiated an anticorruption campaign. The
proof of what Lehman was facing is reflected in the results so far of the ongoing anti
corruption campaign. The anti-corruption campaign has led to the arrest, resignations,
and/or flight from the Country of Panama, of its past President, the Minister of Finance,
some of the wealthiest people in Panama, two Supreme Court Justices, including the
Chief Justice of the Supreme Court, the secretary of the President of Panama, many
Panamanian Congress people and the administrative heads of several Panamanian
bureaucracies. Exhibit K hereto.
31. Of special note, Alejandro Moncada Luna, the Chief Justice of the Panama Supreme
Court and one of the Justices who refused to uphold the clear language of Mr. Lucom's
will has been arrested and is presently serving five years in jail on bribery charges
unrelated to a decision in the Lucom case. Exhibit L, hereto. All of this was too late
to help Lehman's efforts.
WHEREFORE, RESPONDENT, RICHARD SAM LEHMAN, respectfully requests that this Court consider all of the mitigating facts and circumstances, and impose the least possible discipline on Mr. Lehman, which would be an admonition or would be consistent with that
-11- 145552.00601/100667802v.1 approved by the Supreme Court of Florida in The Florida Bar v. Rodolfo Mario Blanco, 81, So.Yd
416 (FL 2012) which was a public reprimand, attendance at the Florida Bar's Trust Accounting
Workshop, payment of the workshop registration fee, two year probation commencing upon entry of the Supreme Court approval of the consent judgment, with special conditions of probation which shall include the retention by Mr. Lehman of a certified public accountant to review his trust accounts on a quarterly basis during the term of probation with quarterly statement to be prepared by the certified public accountant for review by the Florida Bar which statements shall specify whether respondent is in compliance with the Rules Regulating Trust Accounts, and shall include the monthly reconciliations of Mr. Lehman's trust accounts which shall be timely submitted to the
Bar's headquarters office in Tallahassee with a quarterly monitoring fee payable to The Florida
Bar per reporting period, together with the payment of all costs reasonably incurred by The Florida
Bar in the investigation of this matter with interest at the prevailing statutory rate to accrue on all costs not timely paid.
Respectfully Submitted,
BLANK ROME LLP 500 E. Broward Blvd. Suite 2100 Fort Lauderdale, FL 33394 Telephone: (954) 512-1832 Facsimile: (954) 512-1785 Primary E-Mail: [email protected] Secondary E-Mail: [email protected]
By: Isl Richard E. Berman Richard E. Berman Florida Bar No.: 254908
-12- I 45552.0060 I/I 00667802v. l CERTIFICATE OF SERVICE
I HEREBY CERTIFY that this document has been e-filed with the Honorable John A.
Tomasino, Clerk of the Supreme Court of Florida with a copy provided via e-mail to
Complainant's counsel, Navin M. Ramnath, Esq., and Adria E. Quintela, Esq., The Florida Bar,
Lakeshore Plaza II, Suite 130, 1300 Concord Terrace, Sunrise, Florida 33323; Primary E-Mail: [email protected]; Secondary E-Mail: [email protected], on this July 8, 2015.
BLANK ROME LLP
By: Isl Richard E. Berman Richard E. Berman
-13- 145552.0060 I /I 00667802v. l EXHIBIT A n ~ \
[Seal:] REPUBLIC OF PANAMA [H/written:] 23 FOUR1:H CIVIL CIIRCUIT COURT PANAMA. THE JUDICIARY
FOURTH CIVIL CIRCUIT COURT IN AND FOR THE FIRST JUDICIAL CIRCUIT OF PANAMA. Panama, July ~ifth (5) two thousand six (2006).
Order No. 1025/173-06
:HAVING CONSIDERED:
RICHARD SAM LEHMAN, by and through a legal representative, has moved this
Court to open the Testate Succession of WILSON CHARLES LUCOM (R.I.P.)
i:n decidin'g on the. admission, the Court notes the documents required by
Article 1525 of the Judicial Code have been provided; notwithstanding, we must
still review if the 'person who has filed this process is competent to act in
abcor~~nce with provisions se~ forth in Article 1525 of the Judicial Code.
Along. these lines, we have that the will grant'ed by Mr. WILSON CHARLES
LUCOM (R.I.P.), by way of 'Public Deed No. 6646 of Juns 20, 2005, in the First
Clause provides th~t he ~ppoin~s, as Executors:
"Richard Lehman, of Boca Raton, Florida, USA; Ruben Carles of Panama, . in the Repub;I.ic of Panama, and my beloved wife Hilda Piza Lucom, formerly Hilda Piza . Arias, daughter-in-law of the former president of the Republic of Panama, Mireya Moscoso [sic]. In the event Mr. Ruben Carles cannot continue as an Executor for any reason, I appoint Mr. Christopher Rudy as the Executor in his stead."
Following this order, Mr. WILSON CHARLES LUCOM subsequently modified the
will and by way of Public Deed 11191 dated October 20, 2005, states that it is
his will that the First Clause of the aforementioned will read as follows: r·· '·x a.- . ( ( [Seal:] REPUBLIC OF PANAMA [H/written:) 2 4 FOURTH CIVIL CIIRCUIT COURT PANAMA THE JUDICIARY
"FIRST CLAUSE: I, Wilson C. Lucom, a resident in Panama City, Republic of Panama, being of sound will and mind, make the following codicil to the will granted previously. As Executors, I appoint Richard Lehman· of Boca Raton, Florida, USA; Christopher Rudy of Florida, USA, and my beloved wife ·Hilda Piza. Lucom; formerly Hilda Piza Arias, daughter-in-law of Harmodio Arias, former president of the· Republic of Panama, and the niece of Mireya Moscoso, former president of the Republic of Panama."
The testator, in a last Public Deed, No. 1131 of February 3, 2006, again
modifies the will, indicating in the First Clause that it 'is his will that the
nuncupative will in Public Deed No. 6646 of June 20, 2005, granted by the Office
of the Second Notary Public in and for the circuit of Panama, remain in force and
effect for all legal purposes, comprehensively, that is, he reiterates· all
clauses in the referenced document.
Notwithstanding, Mr. LUCOM states as the only exception to the above, .that:
"SECOND: It is my wiil that the FIRST CLAUSE iri the referenced will read
as follows:
FIRST CLAUSE: I, Wilson C. Lucom, a resident in Panama City, Republic of Panama, being of sound will and mind, make the second codicii to the will granted previously. I bequeath to ISRAEL DEL CARMEN TEJADA CUERVO ... "
From the foregoing it is understood that the First Clause in the will
remains in force, as set forth by Mr. LUCOM in the aforementioned paragraph in
Public Deed No. 1131 of February 3, 2006. :(~1 .·. . [Seal:] REPUBLIC OF PANAMA [H/written:} ]j FOURTH CIVIL CIIRCUIT COURT PANAMA THE JUDICIARY
· Therefore, although the testator suggests in Public Deed No. 1131 of
February 3, 2006 (see jirst clause), that he reiterates each and every clause of
the original will with the only exception we have indicated (second clause),
whereby the first is modified; the fact is that upon review of the Second Clause
i.n Public Deed No. 11191 of October 20, 2005, where Richard Lehman, Christopher
Rudy and Hilda ~iza Lucom had been ~ppointed as Executors, our understanding is
that it has no force and effect whatsoever, inasmuch as in that second clause
what the testator does is change the original first clause, and as we have
already mentioned, in the statement Of·~is last will,, set forth in Public Deed
No. 1131 of February 3, 2006, the testator provides how he wants the first clause
to read.
Further, the Court notes there is a document received by the Clerk of Court
at pages 20-22,· wherein the Second Notary in and for the Circuit of Panama, Dr.
MARrO VELASQUEZ CHI~MAR, qertifies circumstances relating to the will at issue.
Among other things, the Second Notary in and for the Circuit of Panama
.states to the Court in paragraph 4, "As a consequence of the comprehensiveness
of these documents, determination of the will of the testator by virtue of only
one of the said instruments is not permitted, but must be the result of a joint
review of the sacie."
Along these lines, while we agree with these last statements of the Second
Notary, we must decide on the admission of this complaint, considering the
evidence in light of good judgment and legal logic.
( .·(P\ [Seal:] REPUBLIC OF PANAMA [H/written:] 26 FOURTH CIVIL CIIRCUIT COURT PANAMA THE JUDICIARY
Therefore, we find that the will of the testator addresses upholding the
force and effect for all legal purposes, comprehensively, and reiterates all
clauses.in the original will, with the only exception we have already mentioned.
Along these lines, after analyzing the wills, we note that in the original
will granted by way of Public Deed No. 6646 of June 20, 2005, (pgs. 9-back), the
testator sets forth a paragraph which indicates:
' "EXECUTORS AND TRUSTEES : Each individual EXECUTOR or TRUSTEE· must n·ot be subject to any legal liability for any act, omission or loss in connection ·with the administration of this estate, except for fraud or theft, or any other crime committed against the assets of the WILSON C. LUCOM TRUST FUND foundation. EXECUTORS or TRUSTEES must manage the assets and funds entrus~ed with all the necessary powers granted by the Panamanian.State in respect of provisions in the Civil Code and complementary laws of the Republic of Panama, so that they may efficiently manage the assets of the estate and fund_s entrusted thereto, ·always for the purpose of acting in the best interest, as zequired by the situation. As. payment for exe~ution ~f this will, •ach Executor must receive .the sum of FIFTY THOUSAND DOLLARS (US$ 50,000.00}. If Mr. ·RICHARD LEHMAN reaches three ·hundred ho.urs of work in executing this will, then Mr. RICHARD LEHMAN must receive payment pursuant to his regular fee schedule."
Having considered what was noted, we need only state that the will of the
testator clearly aimed towards management by executors or trustees of the assets
he left in succession, indicated what type of responsibility was not theirs and
what liability they were exposed to in the event of fraud, theft or any other
offense committed against the assets of the WILSON C ..LUCOM TROST FUND
foundation. .·(P·. ;:' ) [Seal:] REPUBLIC OF PANAMA [H/written:J 2 7 FOURTH CIVIL CIIRCUIT COURT PANAMA THE JUDICIARY
Likewise, it provides how the estate is to be managed, the amount they are
to receive as payment for their work; however, the Court finds after all of the
foregoing that the Executor, who is in fo·rce and effect subsequent to the
codicils and taking into account the comprehensive will of the testator, is Mr.
RICHARD LEHMAN.
Consequently, the undersigned FOURTH CIVIL CIRCUIT COURT JUDGE IN AND FOR
THE FIR.ST JUDICIAL CIRCUIT OF PANAMA, FINDS:
1. STATES: The Testate Succession proceeding of WILSON CHARLES LUCOM (R. I. p.) I
who died on June 2, 2006 is open.
2. His beneficiaries, without prejudice to third parties, are Mrs. HILDA PIZA
LUCOM, ISABEL MARIA CLARK, ROBERT CLARK, ID No. 224-13-7992, ALEXANDER
CLARK, ID No. 230-13-7714 1 LANNY CLARK, ID No. 552-69-3776, CASSANDRA
CLARK, ID .No. 557-75-8741, MAYO CLINIC 'ROCHESTER, MINNESOTA, MBLINDA
MORRICE, HILDA ABDELNOUR, MADELINE.ARIAS, GILBERTO ARIAS, MARGARITA ARIAS
ALLISON, NORA GARNER, JAMES GIBBONS, ANN SMITH, WALTER .GARNER, GABY
ELKINS, CHRISTOPHER RUDDY, DR. PETER HIBBERD, MARIO BOYD, ANDREA OSPINA,
TANYA RAMOS, ISRAEL TEJADA, EDILBERTO SOTO.
*CONDITIONAL: END WAR TRUS FOUNDATION.
FUNDACION WILSON C. LUCOM TRUST FUND is considered an heir.
3. Al'l'OINTS Mr. RICHARD SAM LEHMAN as the Executor of the estate, a United
States citizen, identification number L 550-757-44-081-0, who must appear
before the Court to begin his duties. [Seal:] REPUBLIC OF PANAMA [H/writtcn:] 28 FOURTH CIVIL CIIRCUIT COURT PANAMA THE JUDICIARY
4. ORDERS all persons who have an_y interest therein to appear in accordance
with law, and to POST and POBLISH the summons to appear, pursuant to
Arti6le 1526 of the Judicial Code.
The law firm _BUFETE JURIDICO ADMINISTRATIVO ALVAREZ, CROSBIE & ASOCIADOS are the legal representatives [of 'record] for Mr. RICHARD SAM LEEMAN, in accordance with the special power of attorney which was giant~d thereto.
Attorney JOSE SALVADOR MONOZ is the principal attorney-in-fact and
Attorneys-MARIA ELVIRA and JORGE ORCASITA-NG are-the substitute attorneys-in-fact
[of record] for Mr. HILDA ANTONIA PIZA BLONDET.
Legal basis: Articles 1525 and 1526 of the Judicial Code.
Serve n_otice,
Judge,
/s/ Illegible Atty. Solange Le Ferree de Booker
clerk,
/st Illegible Kathia del C. Rojas c. (?>-. [Seal:] REPUBLIC OF PANAMA FOURTH CIVIL CIRCUIT COURT PANAMA THE JUDICIARY
(H/written:) 33
ASSUMPTION OF POSITION
In Panama City, at four fifteen in the afternoon (4:15 p.m.), today,
Thursday, July sixth (6) two thousand six (2006), before the FOURTH CIVIL CIRCUIT
COURT IN AND FOR THE FIRST .;mDICIAL CIRCUIT OF PANAMA appeared Mr. RICHARD SAM
LEHMAN, a male, a United States citizen, ID. L550-757-4.~-:0.81.. -0, ._whose address is
SUITE 270, 2600 NORTH MILITARY TR., BOCA RATON, FLORIDA 33431, for the purpose . .
of assuming his post as EXECUTOR in the testate succession proceeding of Mr.
WILSON CHARLES LUCOM (R.I.P.).
Under oath, as he was legally sworn in by the undersigned FOURTH CIVIL
CIRCUIT COURT JUDGE IN AND FOR THE FIRST JUDICIAL CIRCUIT· OF PANAMA., he promised ..
to truly and accurately carry out the entrusted position.
The record reflects that when Article 355 of the Criminal Code was read,
the interpreter provided the respective translation of what was read by the
Court.
This proceeding thus ends, whic~ read and found ·in concurrence by the
appearing parties, is signed in witness whereof.
JUDGE,
Isl Illegible ATTY. SOLANGE LE FERREC DE BOOKER
PERSON WHO TAKES THE POSITION. Isl Illegible
CERTIFIED INTERPRETER Isl Illegible [Stamp:] ROGELIO J, LOPEZ COUSIN Certified Public Interpreter For the English language
Resolution 180-IP-28
CLERK /s/ Illegible THE UNDERSIGNED CLERK OF THE FOURTH CIVIL Atty. KATHIA DEL C. ROJAS. COURT IN AND FOR THE CIRCUIT OF PANAMA CERTIFIES: The all of the foregoing is a true copy of the SLFdeB/ogb original. Panama July 6, 2006 Is/ Illegible Atty. Kathie del C. Rojas C. Reg.# 4375 EXHIBIT A-1 FIRST SUPERIOR COURT FOR THE FIRST 1UDICIAL CIRCUIT
Panama, this fourth (4th) day of.May, two thousand and seven (2007)
Jose Salvador Muiioz, Esq., who at the time was counsel of record for
HILDA P. LO~ filed an appeal from Order No. 1025/173/06 issued by the
Fourth Civil Circuit Court of the First Judicial Circuit of Panama within the
Probate Proceedings of the late WILSON CHARLES LUCOM, timely supporting it with the pleading at pages 61·71.
By virtue of the foregoing, the judge now under appeal grant~ the appeal with defei:red effect in her Order No. 1187/173-06 of August 18, 2006.
It should be clarified that the IGRA LAW F1RM,, the new judicial attomey in-fact far Mr. RICHARD SAM LEHMAN, the executor designated in the order appealed from. filed a pleading opposing the appeal at pages 80-81.
After tb.e case file ~e before this Superior Court, the appropriate distnoution rules were complied with, and the appeal is now ready to be decided, and to that effect we will take the h'berty of giving a brief nmation of what has taken place, of the order appealed from, and of the allegations by the parties, and will then issue our opinion.
N~W~3SS~M N~WZ~~~ BACKGROUND OF THE ORDER APPEALED FROM
Mr. RICHARD SAl\I! LEHMAN, acting, we suppose, in his capacity as
executor of the will since he does not so state, bestowed a power of attorney on the
law firm BUFBTE JURIDICO ADMJNISTR.ATIVO ALYAREZ, CROSBIE &
ASOCIADOS, in order for them to open the probate proceedings of the late
~SON CHARLES LUCOM as of June 2, 2006~ the date of his decease.
The request that was made asks th~ by Wtue of the will granted by
WILSON CHARLES LUCOM and by virtue of his decease, the decedent's
probate proceedings be declared open _and that Messrs. RICHARD LEHMAN,
HILDA PIZA LUCOM, and CHRISTOPHER RUDY are the designated
executors.
The request for the opeaing of probate proceedings was accompanied by
Mr. WILSON CHARLES LUCOM's death certificate and by an authenticated
copy of Public Deed No. 6646 of June 20, 2005J granted before the Second
Notarlal Offices of the Panama Circui~ whereby Mr. WILSON CHARLES
LUCOM granted his will, and by authenticated copies of Public Deeds No. 11191
of October 20, 2005, and No. 1131 of February 3, 2006, ·both aJso granted before the Second Notarial Offices of the Panama Circuit, whereby said gentleman made codicils modifying bis open will, granted under the aforesaid Public Deed No.
6646.
2
N~W~3SS~M N~WZl~~ 135
THE ORDER APPEALED FROM
In Order No. 10251173-06 of July S, 2006, which is the resolution being
challenged, the Fourth Civil Circuit Judge of the First Judicial Circuit of Panama ruled as follows: .. 1. DECLARES:. That the probate pto(:ee.dings of the late WILSON CHARLES LUCOM who died on June 2, 2006, an: open.
2. 1HAT HIS LEGATEES, without prejudice of third parties, are Mrs. HILDA PlZA LUCOM, ISABEL MARIA CLARK., ROBERT CLARK, id. • I., ALEXANDER CLARK, LANNY CLARK, id ••.., CASSANDRA CLARK, id. ... ,, MAYO CLINIC OF ROCHESTER MINNESOTA, MELINDA MORRICE, HilDA ABDELNOUR.. MADELINE ARIAS, GILBERTO ARIAS, MARGARITA ARIAS ALLISON, NORA GARNER, JAMES omBONS, ANN SMI'IH, WALTER. GARNER, GABY ELKINS, CHRISTOPHER RUDDY, DR. PETER HIBBERD, MARIO BOYD, ANDREA OSPINA, TANYA RAMOS, ISRAEL TEJADA, BDILBER.TO SOTO.
* CONDITIONAL: END WAR TRUST FOUNDATION.
The heir is deemed to be the WILSON C. LUCOM TRUST FUND FOUNDA'RON.
3. !t4R.. RICHARD SAM LEHMAN, a U.S. citize~ identi.fication nwnber L 550- 757-44-081-0, IS APPOINTED executor of the estate, and must appear before the Court in order to be installed in office.
4. IT IS ORDERED that all persons having any interest in the same appear under the law, and tbat the edict dealt with by Article I 526 of the Judicial Code be POSTED andPUBUSBED.
Let the law firm BUFETE JURIDICO ADMINIST.RATIVO ALVAREZ, CROSBIE & ASOCIADOS be deemed the legal attomeys-in-filct of Mr. RICHARD SAM LEHMAN under the special power of attorney bestowed upon it.
3
N~W~3SS~M N~WZl~~ JJ6
Let JOSE SALVADOR ~OZ, Eaq., be deemed as chief attomey-in- · fact and l\L\lUA ELVIRA MUNOZ, Esq., and JORGE ORCASITA NG, Esq., as alternate attorneys-in-fact for Mrs. HILDA ANTONIA PIZA BLONDET. Legal basis: Articles 11525and1526 of the Judicial Code. " (Pages 27 and 28)
In the considerations leading to the order quoted above, the judge now under appeal states that RICHARD SAM LEHMAN requested the opening of the probate proceedings of the late WILSON CHARLES LUCOM and filed the documents called for in Article 1525 of the Judicial Code, but that it was fitting to verify ·Whether LEHMAN had standing to act
In this regard, the judge now under appeal notes that the first clause of the will gamted in Public Deed No. 6646 of June 20, 2005, by WILSON CHARLES
LUCOM designated as executon:
'Cjjcbard Lehm~ of Boca Raton, Florida, U.S.A.; Rub6n Carles, of Panama. Republic of Panama; and my beloved wife Hilda Piza Lucom, formerly Hilda Piza Arias, daughter-in-law of Harmodio Arias, former president of the Republic of Panama, and a nie~e of Mireya Moscoso, former president of the Republic of Panama. In the event that Mr. Ruben Carles should be unable to continue as an executor for any reason, I appoint Mr. Christopher Rudy as executor to replace him.,,
The trial judge goes on to point out that subsequently Mr. Lucom, in Public
Deed No. 1191 of October 20, 20005, modified the first clause of the will to designated Richard Lehman, Christopher Rudy, and his wife Hilda Piza de Lucom
4
N~W~3SS~M N~WZl~~ as execurors; ana u1~ m uus;; J.i:EI .. ~~, ...... & ...... -~.. ---, ... , .,._.,. ... , -- -o--- modified his will stating in the first clause that the open will he granted through
Public Deed No. 6646 of June 20, 2005, is to remain in effect for aU legal puposes, in its entirety, and reiterating all clauses thereof, except for one, to wit
"SECONJl: It is my will that the FIRST CLAUSE of the aforesaid will should now read thus: 'FIRST CLAUSE: I, Wilson C. Lucom, a. resident of the city of Panama, Republic of Panama, being of sound body and mind, make the second coc:licil to the will previously granted. I bequeath to ISRAEL DEL CARMEN TE.TADA CUERVO ... "
The trial judge concludes that what the testator did was to change the original first clause, leaving the appointment of executors without effect, and .. providing in that last expression ofhis will the manner he wishes the first clause· of his will to read.
But the trier of fact now under appeal notes that there is to be found at pages 20 to 22 a document received at the Clerk's office whereby Mario
Velazquez Cbismar, the Second Notary of the Panama Circuit, certifies circumstances related to this will according to which the document must be· construed as a whole, i.e.'J the original with its two modifications, and that, conseque~tly, it could not be concluded that there were no executors, as the will of the testator in the modifications was to maintain the will in effect.
The judge being appealed from indicates that she agrees with the Notary's statements but that she must lUle on the admission of the complaint after considering the evidence produced in the light of sound examination and legal logic.
5
N~W~3SS~M N~WZl~~ The trial judge then concludes that the original will granted in Deed No.
6646 of June 20, 2005, is the one in effeCt. and transCrlbes a portion of it at page
nine (back), entitled ~'EXECUTORS AND TRUSTEES" (see page 26), from
which she draws the conclusion that the testator's will was aimed at having the
property he was bequeathing administered bf executors and t:rustees, pointing out
what type of respousibility was incumbent upon them, and when they were
exempted from crimes against the property of the WILSON C. LUCOM TR.UST
FUND Foundation.
However, the judge under appeal concludes by stating that "after all that
bas been set forth, the Court considers that the executor that remains in effect after
the codicils., and heeding the tcstator~s will as a whole. is Mr. RICHARD
LEHMAN" (page 27).
THE PARTIES' ALLEGATIONS
In the pleading in support of the complaint at pages 61 to 71, Jose Salvador
MUtioz, .&q., who at the time was Mr. HILDA ANTONIA PIZA LUCOM"s
attorney-in-fact, objects to the Order on different grounds.
Firstly,. he objects to Mr. RICHARD SAM LEHMAN's appointment as
executor, explaining that while in the first clause of Public Deed No. 6646 of JWle
20, 2005 2 Mr. LUCOM had designated RICHARD LEHMA..\J', HILDA PIZA
LUCOM, and RUBEN DARIO CARLES as executors, in Public Deed No. 11,191
of October 2S, 2006, he had modified the first clause of his will, designating
6
80'd l~vl llv t9S t N~W~3SS~M N~WZl~~ 92 :12n l00C:-9"t-..l.l:JW RlCHARD LEHJMAN, HILDA PIZA LUCOM, and CHRISTOPHER RUDY as ~ ...... ' . executors, i.e., eliminating RUBEN DARIO CARLES, and that subsequently,, in
Public Deed No. 113 l of February 3, 2006, he had again modified the first clause
of his will by eliminating all executors and making a legacy in favor of ISRAEL
DEL CARMEN TEJADA.
Appealing counsel states that notwithstanding ~ clarity of what had been
set forth, the trier of fact now under appeal ruled and conclwfed, using a very sui
gensris construction, that there was only one executor, namely, Mr. RIC~
SAM LEHMAN, when in reality there is no executor and when, in the worst
scenarios it should have been construed that there were three and not just one
executor.
The appellant goes on to say that the judge being appealed from opines on a
certificate issued by the Second Notary of the Circuit (Mario Velizquez) in which
the latter, straying from his powers and almost entering the realm oftbe Criminal
Code, c.secms as if it was issued because the parties concerned noticed that they
had been left without exccutoIS, [and] he attcmp~ to salvage the situation with an
illegal certificate."
Secondly, appealing counsel censures the fact that the judge now under
appeal took into consideration the illegal certificate by the S~ond Notary, Mario
Velazquez Chismar, as notaries may only certify that which is on the record in f
7
N~W~3SS~M N~WZl~~ then offices but may not issue opinions, a.s this violates legal provisions of both
the Civil Code and the Judicial Code.
Thirdly, appealing counsel aJso criticizes the fact that the trial judge
instituted the WILSON C. LUCOM TRUST FUND FOUNDATION and the END
WAR TRUST FOUNDATION as heirs of the estate when nowhere in the will or
its codicils axe they so instituted.
Fourthly, in his appeal· counsel also censures the fact that Mrs. ·HILDA P.
LUCOM was Dot designated u heiress, for in her capacity u the surviving spouse .
she is the n:siduary legatee of WILSON CHARLES LUCO~ and that this
follows from the third clause af the will
Fifthly, 1he appellant again censures RICHARD SAM LERMA.N's
designation as executor, this time on the grounds that inasmuch as said gentleman
is domiciled abroad, he may not be so designated, analogously applying paragraph
9 of Article 415 of the Family Code which provides that foreigners not residing in
the country may not be guardians.
In an aside from the foregoing, appealing c;ounsel points out that be
assumed that WILSON CHARLES LUCOM had eliminated Messrs. RlCHARD
SAM LEHMAN and CHRISTOPHER RUDY because both owed him money,
half a million dollars the former, and one and a half million dollars the latter,
evidence ofwhich he would introduce and precludes them ftom being executors .
. -~
8
Nl:f~J~3SSl:fM Nl::lWZlt:J>I Lastly, counsel concludes bis appeal by criticizing that unsuitable
individlla.ls and. entities, not legally . regiStered, showd have bee.ti .admitted to
practice Jaw, and that this is at loggedleads with the legal profession, pointing out
that Victor Crosbie is not a lawyer and that the fmn upon which the power of
attorney was bestowed, BUFETE JURIDICO ADlv!INISTRATIVO ALVAREZ,
CROSBIE ~ ASOCIADOS is not registered among the Public Records, as has
been established and, consequently, is not registered either in the Court's books.
For all of the above, appealing counsel concludes by pointing out that the
resolution must not only be revoked but also rejected as inadmissible.
On the other hand, the IGRA Law Firm, Mr. Richard S. Lehman's new
attomey-in-fact, has filed a pleading opposing the appeal and holding that in order
to open probate proceedings .all ihat is necessary is to prove the death of the
decedent and to fil~ a copy of the will, if it were an open one, as provided for bi
Article 1S25 of the Judicial Code; that pursuant to Article 1422 of the Judicial
Code, probate proceedings arc NOT ADVERSARIAL proceedings and tha~
therefore, any opposition or controversy that may arise cannot be dealt with by
way of an appeal.
The appeal being pending, Carlos E. Villalobos Jaen, Esq., judicial
attorney-in-fact for Mr. RICHARD S. LEHMAN filed a pleading with the Court noting the existence of grounds for nullity impossible to c01tec~ namely this First
Superior Court's lack of functional competence, as he believes that the appeal
9
N~W~3SS~M N~WZl~~ from the order declaring heirs actually seeks to remove the designated executor
and that this is only possible ·tmough a motion, as contemplated in·Article 1587 of
the Judicial Code. Mr. Villalobos also posits that non-adversarial proceedings such
as the present probate proceedings are governed by the rules applicable to
summary proceedings, and that paragraph 9 of Article 1346 i"bid. setting forth
resolutions subject to appeal in summaey proceedin~ and, consequently,, in
probate proceedings, does not include orders declaring heirs. Mr. Villalobos add~ that there is no regulation stating that orders declaring heirs are subject to appeal.
THE COURT'S DECISION
Inasmuch as under paragraph 2 of Article 753 of the Judicial Code absolute nullities may be made known to the Court by means of a simple pleading, and inasmuch as the lack of functional competence is grounds for nullity, this Superior
Court deems it pertinent to first address the alleged nullity.
The alleged lack .of functional competence is based on the fact that the order declaring heirs is not appealable, and that the only way to remove the designated executor, which is what is being sought with the present appeal,. is through the filing of a motion, as contemplated in Article 1587 of the Judicial
Code.
In this regard, this Collegiate Court must point out that although it is true that there is no regulation specifically providing that an order declaring heirs is appealable, paragraph 6 of Article 1164 of the Judicial Code establishes that an
10
Nl:lWCJ3SSl:::W~ NtiWZll:l>t 143
order declaring heirs may b¢ annulled or repealed, ar.id, in tum, paraaraph 8 of
Article 1131 ibid. establishes as appealable any order issued by the rest of the
Sliperior Court Division which by its nature may be repealed or amullcd.
Moreover. we must not forget that, as a general rule, repeal or annulment· per saltztm does not exist in our legal system. It is also worth noting that even if the
scle objection to the order declaring heirs were the designation of the executor7
whieih i.s not the case11 the fac:t that th~e is such a thing as a motion to remove executors does not stand in the way of reViewing the designation of the executor in m appeal, as this is part of the order declaring heirs in probate proceedings under paragraph 2 of Article 1526 ofthe Judicial Code.
Therefore, this Court's alleged lack of functional competence is completely ruled· o~ as also is the alleged nullity noted by Mr. Vilht.lobos~ it being appropriate, then, to mo\l'e on to address the substance of the appeal.
The first aspect impugned in the appeal has to do with the appointment of the executor, an o.ffice which the judge now under appeal deemed exclusively appertaining to Mr. RICHARD SAM LEHMAN, as it was her estimation that the testator~ a will was aimed at maintaining the legal effects of the original will set
forth in Public Deed No. 6646 of Jwc: 201 2005, as a whole, since the testator reiterated all of the clauses of the initial document with the sole excepuon of instituting a legacy in favor of ISRAEL DEL CARMEN TEJADA CUERVO and establishing the END WAR TRUST FOUNDATION as a conditional beneficiary.
11
N~W~3SS~M N~WZl~~ In order to establish whether or not the designation ofMr. RICHARD SAM
LEHMAN as the sole executor is correct, it is necessazy to examine in its entirety
both the original will contained in Public Deed No. 6646 of June 20, 2005, of the
Seccnd Notarial Offices of the Panama Circuit, and the two amendments made thereto through Public Deeds No. 1191 of October 20, 2005, and No. 1131 of
February 3, 2006, both of the Second Not.aria! Office of the Panama Circuit, since in these latter two deeds the testator expressly represents its wil~ in the first clause,. that the open testament gtanted in Public Deed 6646 of June 20, 2005, of the
Second Notarial offices of the Panama Circuit, maintain its filll effect with the sole exception he then stated.
In Public Deed No. 6646 of Jtme 20, 2005, Mr. WILSON CHARLES
LUCOM granted an open will before the Second Notarial Offices of the Panama
Circuit. In the first clause of Public Deed No. 6646. Mr. WILSON CHARLES
LUCOM designates Messrs. RICHARD LEH!Y!AN and RUBEN CARLES and his wife HILDA PIZA LUCOM as executors, and in the event that Mr. Carles should be unable to continue as an executor. he designates Mr. CHRISTOPHER RUDY as executer.
In the second clause of Public Deed No. 11191 of October 20, 2005, Mr.
WILSON CHARLES LUCOM represents that he wishes to modify the first clause of his will gninted in Public Deed No. 6646 to designate RICHARD LEHMAN)
12 CHRISTOPHER RUDY, and his wife HJLDA PIZA LUCOM as executors. In other words, he eliminated Mr. RUBEN DARIO CARLES as an executor.
And in the second clause of Public Deed No. 11.31 of February 3, 2006, Mr.
WILSON CHARLES LUCOM represents that he wishes to modify the tizst clause of his will granted in Public Deed No. 6646, which, as we have seen, dealt with the institution of executors; however, he does not refer to the executors at any time but rather modifies the manner of the legacy made in favor of Mr. ISRAEL DEL
CARI\dEN TEJADA CUERVO, a legacy that had been originally instituted in
Public Deed No. 1131. It should be clarified that the testator makes uo allusion at any time in Public Deed No. 1131 to any wish to modify the executoi:s or to eliminate them; rather, he only alludes to the clause containing the designation of the executor.
Said cla115e reads as follows:
"SECOND: It is my will th.at the FIRST CLAUSE of the aforesaid will should now read thus: cFIRST CLAUSE: I, Wilson C. Lucom, a resident of the city of Panama,, Republic ofPanam~ bei:og of sound body and min~ make the second codicil to the will previously granted. I bequeath to ISRAEL DEL CARMEN TE.JADA CUBR.VO the bearer of personal identity card number eight two hundrec:l and thirty-three six hundred and sixty-eight (8-233.668), a Panamanian citizen, real property number one hundred ten thousand forty-one (110041), a house and a lot of land, provided that he remains employed by me until the time of my death. The property, which is duly recorded among the Public Records, had the following description: Real .property number one hundred ten thousand and forty-one (110041), roll seven thousand one hundred and seventy-two (7172), document five (5) of the Property Section, duly recorded in the Civil
13
N~W~3SS~M N~WZl~~ J\llOS QC Jil l'"UllUll, J.V\. u...,..u.u ...... ~ ... , ------_ - .... measurements and boundaries of which are recorded in the Property Section of the Public Registry of the Province of Panama. If Israel Tejada,should not-be employed,by.me,ar.. the.,time of my _death, the condition precedent shall be controUing and he shall not be bequeathed any portion of real property ten thousand ... , in addition. he must vacate said real property within sixty days. fn addition, Mr. Tejada shall have no interest, whether past or future, in real property ten thousand .... In the eveat that Mr. Tejada should not be working for me, he ·shall not receive this property as a. legacy and therefore-he shall not be the owner of it, and the property previously described shall pass to the END WAR TRUST Foundation. In the event that the condition precedent is met and that Mr. Tejada is in Mr. Lucom's employment at the time of the latter's death, Mr. Tejada shall freely be the owner of said property .•.• It is irrelevant whether Mr. Tejada remains employed by Mrs. HILDA LUCOM at the time of Mr. LUCOM"s death. The condition precedent enters into effect immediately.... "' (See pages 15 and IS, back).
As may be seen :from what has been transcribed, the testator made use of
. the power to revoke his will in whole or in part that is granted to him by Articles
771 and 772 ofthe Civil Code.
But, considering that the first clause institut=i the executors, and
considering that in the last Public Deed no new designatiO!l of executors is made
but rather a legacy that had already been est.ablished in the original will is
amended, one may ask whether or not there are executors designated by the
testator.
Under the will construction rule contained in Article 707 of the Civil Code,
"Any test.amentary provision shall be construed according to the literal meaning of
its words, unless it is clear that the testator's will was different. In case of doubt,
14
N!:::llrJ::l3SSt:IM N!:::IWZl!:::l>i that which seems to be more in accordance will the testator's intent, as per the
tenor of the will itself, shall be observed ... ,.
In no way may the second clause of Public Deed No. 1131, in the literal
tenor of its words, be construed to mean that the designation of executors was
eliminated or changed because, as we have said, the word executor was never
mentioned. This clause in its literal sense must be understood ta modify the legacy
to :Mr. CARMEN TEJADA CUERVO.
But the problem lies in the fact that [the language] states how the :first
clause of the will shall read, as it relates to· the designation of executors, but the
issue of the executors is not touched upon. only that of a legacy.
In this Court's opinion., the testator made a numeration error when refexring
to the first clause in order to modify the legacy est.ablished below, and this doubt
must be resolved. in the manner most in keeping with the testator"s will and intent.
Fmm a reading of the original will and its amendments it is obvious that the intent
of the testator was to haV'e executors, as it follows from several clauses of the will
that the property of th~ estate was to be admillistered, distn"buted, and, in some
in.stances, sold by executors who were told the manner in which they were to
proceed with the administration of the property .entrusted to them and the
disposition thereof: and it was even st.ated what fees the executors would earn.
IS
9"t 'd N~W~3SS~M N~WZl~~ Let us not forget that in the two modifications to the original will, Mr.
WILSON CHARLES LUCOM ratifies his original will by stating that it is his will
that the will in Public Deed No. 6646 remain in effect for all legal purposes, as a
whole, and that he reiterates all of the clauses of the aforesaid document
From the above, this Superior Court must conclude that Mr. CHARLES
WILSON LUCOM did not at any time have the intent to eliminate the designation
of executors and that therefore it must be understood that the last executors
designated in Public Deed No. 1191 of October 20, 2005, of the Second Notarial
Offites ·of the Panama. Circuit, are those whom the judge now under appeal should have deemed to be the executors, namely, as we have said, Messrs. RICHARD
LEHMAN and CHRISTOPHER RUDY. and his.wife HILDAPIZA LUCOM.
Notwithstanding all that has been previously set forth, it must be pointed out that the judge under appeal should not in any way have taken into account the opinion of the Second Notary, as this was a certificate contra lege, for the duties of notaries do not include interpreting the will of testators or administeringjustice9 which is the exclusive prerogative of triers of fact.
It is also intl:r:esting that the judge under appeal should have instituted Mr.
RICHARD SAM LEHMAN as the sole executor when the will designates Messrs.
RICHARD LEHMAN and CHRISTOPHER RUDY and his [the testator's) vvife
JilLDA PIZA LUCOM and when the petitioner, Mr. RlCHARD SAM LEHMAN asked her to have the three individuals designated in the will as executors.
16 The testator did not clarify, though, whether the test.ators [sic.] would act
jointly or severally9 i.e., he did not say whether the three ought ·to act jointly or
whether each of them could act separately.
Article 859 of the Civil Code provides in connection with this point tha.t if
the testator does not clearly establish the joint nature of the executors or sets the
order in which· they are to discharge tbejr trust, the executors shall be· understood
to have been appointed jointly and shall perform the duties of their office jointly,
as provided by Articles 857 and 858 of the Civil Code. With regard. to the argument by counsel for the appellant that neither RICHARD LEHMAN nor CHRISTOPHER RUDY may be designated executors
by virtue of the fact that said gentlemen reside abroad and are foreigners, and that
paragraph 9 of Article 415 of the Family Code requires that guardians reside in the
ccuntry, a provision that would be analogously applied, this Superior Office mu.st
point out that, in our opinion, said provision must not be analogously applied:o for
the guardian does not only have under this care the protection of the property of
minors, mentally ill individuals and those subject to · interdiction, but also the
protection of said individuals~ whlch makes it reasonable that the guardian should
not reside abroad.
It is clear &om the foregoing. therefore, that the proper thillg to do is to
modify the order appealed from as reg~ the executors and to designate Mr.
'{.
17 RICHARD LEHMAN, Mr. CHRISTOPHER RUDY. and Mrs. HILDA PIZA
LUCOM to discharge jointly the office of executors.
Appealing counsel also seeks to have Mrs. HILDA P. LUCOM declared
heiress in her capacity as the surviving spouse, and by virtue of the fact that this
follows from the third clause of the will.
It must be pointed ~ut 'in this regard that from the contents of Public Deed
No. 6646 it is not inferred that the decedent's intention was to institute his wife as
his residuary legatee. On the contrary, in the third clause, entitled 'TIIE
LEGACY," the decedent establishes the legacy of a specific and detennined ·
amount under the title "My legacy to my beloved spouse Hilda Pi2a Lucom." And
subsequently he bequeaths his wife a specific and determined piece of property. In
other words, then, the testator's will was aimed at his wife being a legatee and not
the residuary legatee, for the decedent so expressly provided it. In addition to this,
if the est.ate has been defell'ed by the decedent's will through a will,, a call under
the law can hardly be made.
With respect to the legatee status of the other persons instituted as such in the order being appealed from, this Court has no objection at all, as said legacies
and beneficiaries are clearly established.
But the order under appeal institutes the WILSON C. LUCOM TRUST
FUND FOUNDATION as an heir, a designation also censured by the appellant, who points out that nowhere in the will or its codicils was it so instituted.
18
N~W~3SS~M N~WZl~~ sz :fft L.00c-9t-)..l:iW It is indeed true that a residuary legatee is nowhere established in the will or
its codicils. And though it is true that the will states that the remnant of the
testator's bills after having satisfied the Iega.ci~ as well as the ~roceeds ftom the
sale of three real properties, which the testator claims are owned by him, must go
to the WILSON C. LUCOM TRUST FUND FOUNDATION, the truth of the
matter is that it follows from the will itself that the intent is not for the WILSON C.
LUCOM TRUST FUND FOUNDATION to be the residuazy legatee, as the will
expressly states that the main objective of the WILSON C. LUCOM TRUST
FUND " ..• is to feed needy children in Panama.''
In the opinion of this Superior Court, the dec:edent1s intent was to establish a trust with the remnant of his property, after having satisfied the legacies,· the trust.ees of which trust would be the executors, as per the decedent's express mandate, ·and the purpose of which trust would be feeding needy children in
Panama.
According to the evidence in the original case file, which is before this
Superior Court by reason of another appeal, there is no legal person known as the
\VII.SON C. LOCUM TRUST FOUNDATION; what does exist is a trust called the WILSON C. LUCOM TRUST FUND FOUNDATION. We say this beca.uSe a review of the document at page 216 shows that what has been constituted is nothing more than a trUSt executed on May 26, 2006, in the island of Nevis, in which the decedent, WILSON C. LOCUM~ appears as the settlor.
19
N~W~3SSbM N~WZl~~ 152
Under the law of Panama and The law of St. Chdstophcr and Nevis, a trust fa a legal act whereby the senior transfers property to a trustee for the trustee to administer or dispose of lt for the benefit of a fidcic:omrnissary or beneficiary. AD.d" it can be done through a will, to be effective after the settlor's death. Neither
Panamanian law nor the law of St. Christopher and Nms grant legal standing ro a trust, so that a trust is not a legal pc:non capable of binding itself and, therefore., it could hardly be deemed to be an heir. (See Law l of 1984 and Che Nevis
International Exempt Tru.5t Ordinance, 1994, as amended in 2000).
It follows~ thereforr;,t that it would be irresponsible of this Superior Court to confirm. the decision to designate the WU.SON C. LUCOM TR.UST FUND ttu.st as an heir, as it has no legal standing or the ability to acquke rights or bind itself and. therefor~ could not receive the property or dispose of it
Following Roman Law tradition, we must consider the will as the law of the estate. i.e., that in estate matters, the supreme law is ~ need to respect the decedent's will or intent. Said principle is contemplated in Article:: 707 of the Civil
Code.
For this reason, therefo~ we m.ust examine the will in order to find the testator's will or intent.
W r: have already stated that the testator's will. afte:z' establishing all the legacies, states, at three different points in timi;, that the proceeds from the sale of three real properties owned by him shall go to the WILSON C. LUCOM TR.UST
20
N~Wc3SS~M N~WZL~~ FUND FOUNDATION, which, as we have previously clarified, is a trust. And it
further states that the remnants of his estate, after having satisfied the legacies,
shall go to the fund of the WILSON C. LUCOM TRUST FUND FOUNDATION,
the objective of which, as the will points out, is feeding needy children in Panama.
Under the title 'EXECUTORS AND TRUSTEES" the testator expressly
states in the will that 1'The executors shall also be fideicommissaries (sic.) (this is
obviously a mist.ak:e, as the fideicom.missaries or beneficiaries would be the needy
children of Panama, and therefore it must be construed to mean trustees) of the
WILSON C. LUCOM TRUST FUND FOUNDATION," while in executing the
trust, in the introduction, it is established that the trustee is the corporation
LUCOM WORLD PEACE LIMITED, a legal person organized in the island of
Nevis on April 19, 2006, but it later states that in case of the death of Wilson C.
Lucom (see clause 15 of the trust), the trustees would be RICHARDS. LEHMAN,
CHRISTOPHER RUDDY and HILDA P. LUCOM (see pages 187 to 246 of the main case file).
Inasmuch as the testator's will as set forth in the will agrees with clause 1S of the trust, which comes later in time than the introduction, on the issue of the trustees, this Court believes that said individuals should be deemed to be the . trustees of the trust so that, acting jointly, they may carry out the trust's objective.
For if there is no declared heir but only legatees, the oniy way to enforce the
21 testator's will with respect to the remnant of his property, after having satisfied the
legacies:r would be to institute trustees that would realize the assets in order to be ab'te to caay out the testator's will to feed the needy children of Panama in the manner established in the will.
As a 'onsequence of the foregoing, the proper thing to do is to revoke the designation of the WILSON C. LUCOM TRUST FUND FOUNDATION as heir, and therefore it is also proper to amend the order appealed ftom to eliminate said trust as an heir and to deem the designated trustees as such.
Finally, as regards the appellant's censure of the designation of Bufcte
Jurldlco Alvarez Crosbie & Asociados as RICHARD S. LEH?v!AN' s judicial attomey-in-fact under the special power of attorney bestowed on it, arguing that said mm could not be deemed to be an attorney-in-fact as it had not been incorporated (see page 73) and stating that it included an individual who is not suitable to engage in the practice of law (page 72"1 this Superior Court notes that said power of attorney bas been revoked by :Mr. RICHARD SAM LE!DdAN as of the moment he bestowed a new power of attorney on the IGRA law firm, already recognized as valid at the trial court level, and therefore such discussion has become moot in this process.
Wherefore THE FIRST SUPERIOR COURT OF JUSTICE OF TBE
FIRST JUDICIAL DISTRICT OF P ANAM..4., administering justice in the name of the republic and under the law, MODIFIES Order No.1025/173-06 of July 5,
22
N1::1W~3SS!::WI Nl::IWZ.L ti>l ..
JSS
2006, issued by the Fourth Civil Circuit Court of the First Judicial Circuit of
Panama, so that its resolution will now read as follows:
DECLARES:
1. That the probate proceedings of the late Wll.,SON CHARLES
LUCOM who died on 1une 2,. 2006,. ar~ open.
2. THAT HIS LEGATEES, without prejudice of third parties, are Mrs.
lllLOA PIZA LUCOM, ISA.BBL MARIA CLARK. ROBERT CLARK,
ALEXANDER CLARK. LANNY CLARK, CASSANDRA CLARK, :MA.YO
CLINIC OF ROCHESTER MINNESOTA, MELINDA MORRICE, HILDA
ABDELNO~ MADELINE ARIAS, Oll..BERTO A.RIAS, MARGARITA
ARIAS ALLISON, NORA GARNER.. JAMES GIBBONS, ANN s:rvnrn.
WALT.Ell GARNER. GABY ELKINS, CHRISTOPHER RUDDY, OR. PETER
lllBBERD, MARIO BOYD, ANDREA OSPINA. TANYA R.AM:OS, and
ISRAEL lEJADA.
3. Mr. RICHARD SAl\il LEHMAN, Mr. CHRISTOPHER RUDY. and
Mrs. HILDA PIZA LOCUM are appointed EXECUTORS AND TRUSTEES of
the estate so that they may jointly. pursuant to the provisions of Artii;lc3 857 and
&58, hold the office of executors and trustees, and who must appear before the
Court in order to be installed in office; and 156
4. IT IS ORDERED that all persons having any interest in the same appear under the law, and that the edict dealt with by Article 1526 of the Judicial
Code be POSTED and PUBLISHED.
Let it be notified.
[signed:] Eva Cal
JUDGE EVA CAL
. [signed:] MA Espino
JUDGE MIGUEL A. ESPINO
[Illegible signature]
OLGA RUJANO, Clerk
24 EXHIBIT B REPUBLIC OF PANAMA NOTAFUAL...PAPER [Ssa!:) Second Notary Pubilo Fanama., Rep. of Panama
SECOND NOTARIAL OFFICE IN AND FOR THE CIRCUIT OF PANAMA
PUBLIC DEED NUMBER SIX THOUSAND SIX HUNDRED FORTY-SIX----- .------(6646}------
..·. WHEREBY Wll..SON CHARI.ES L.UCOM G~ANTS fH:SJ WIL.I... -·------·------···-Panama, JUNE 20, 2005.------·-···------
. in Panama City, Capital of the Republic and 1;1eat ~f the Circuit of1he same .nama, on the twentieth (20) d~y of June two 1housalid five {2005), before me, DOCTOR MARJC VELASQUEZ CHIZMAR, Second Notary Public in and for the Circuit of Panama, psrsonal !denfity card number eight one hundred seventy-six four hundred twenty-two rs-"i76-¢22), at the request of Mr. Wll..SC>N CHARLES LUCOM, a male, a citizen ofSaint Kltss [slcJ, of l1:1gal age, passport numberA zero zero zero three six· six {AD00366), who stated that he needed an interpreter because he did not fully understand lbs Spanish language, whereforthe Notary appoint&Atty. VICTOR CROSBIE, a male., a· F1'anamanlan, of legal age, personal Identity card number eight - one hundred fifty-five - one thousand nin.e hundred lhirty-1hree (8-155-1933), dqmicilad at Vflia Costa del Esta number two C . . {2C), -telephones two hundred sixty-four elghUllousand~van huruirad.ihirty-nine126'~8739},we . traveled to Apartment No. 11 in cdificio Royal Palace, Punta Paililla, Panama Ciiy, and he requested that I record his nuncupatlve wlll in a public deed, which I proceed to write In accardance with the fofio~lng clauses: :.._ ____
FIRST: l, Wiison C. Lucom, a resident In Panama City, Republic Of Panam~, of sound-will and mirid, make this my last w111 and testament, which revokes 'all previous provi~lons and coaicilsfs Executors, Iappoint Richard Lehman from Boca Raton, Florlaa, USA.; Ruben Carles frcm Panama, In the Republlc of Panama and my beloved wife Hilda Plza Lucom, formerly Hilda Piz:a Arias, daughter·ln-iaw of Harmodio Atlas, former president of the Republic of Panama, and the niece of. Mireya Moscoso, former president of the. Republic of Panama. In the event Mr. Ruben Carles cannol continue as an Executor for any reason, l appoint Mr. Christopher Rudy as the Executor ln h)ssta;J--- . ------.------ SeCDND: EXPeNDITURES~~~~--~--~- My Execqtors, appointed In this wlll, must pay all the expenses of my last Illness and all expenses for my funeral. I wanted to be burled and.not cremated.
·,.
_Jia!son_s.sso North Eiayshore Drive• Miami. FL SS1:57 •Telephone: (3CJ?l 75.lH550 • Telefa~: f.305) 754-1449 /.~-::>, ·. \ ·Book20655/Page 1 091 Page B of 77 Costs for saieke::;ping and delivery of my bequest and othsr charges ags lnst my estate (secured debts en real property er llfe insurance are excluded) must be paid by my Executors, who must also pay inlleraance and capital taxes_whlch wlll be payable by reason of my death. I waive all rights ror distribu!lon or reimbursement to my estate for any payment made ln .accordance with this article. -
I!t!B.Q.: THE B5QUEST--:.--~~------··--····-···--···--·----·
Al! my bequests must be paid from the prim::ipal interest accounts and the FUNDACIOFiWILSOI\! C. LUCOM TRUST FUND.------·----·---...,----··----·-··-·
A. 1. My bequest to my beloved wife, HHtia Pi:a Lucom.------·------
ln ti're ·event my wife Hll.DA PIZA t.UCDM survives me, "I .leave my wife 50% of my combined interest account, wherever it exists. I want my wife to receive US$ 20,0DO.DD per month, er the . - . MINIMUM ANNUAL INCOM·E OF US$' 240,0DD.DD per year, er more. If the combined Interest accounhl do net amount to US$ 240,DDO.DD per year, the principal account must be added to coyer the deficit .for the US$ 24!1,0DD.Dll per year. The minimum of us$ 24~,oon.oo per year or more that my .wJfe Is to receive shall be solely fer her use while she lives, ancl after her death all bequests -and, .and what was glven·to her ,must be -returned to.the -WILSON c. t.UCOM=TRUST~FUND . founctalion, as of her d:ath. No principal er interest account shall po to the estate cf Kil.DA PIZA !..UCOM, The bequestto my wife HILDA PIZA LU COM .I:: ic bs fer her comfort, healL';, support and wall-being, Including all expenses owed for her current standard of riving (the wife of a wealthy
man). These reasonable expanses must include only all expanses rel~ted to the Royal Palace;
Apartment 11 and five {5) employees, which include a cook, a driver, a malt!, a watchm~n and. a part-time laundrywoman. in this standard of living I am not Including luxuries such as the purchase cf ancilber hause er ccndom~lum, without first selling Apartment Ne. 11 In the Royal Palace BIJildin;, fer her to receive funds for the purchase of another housa, lhe purchase cf works of art. a.yacht or ether purchases,.and I forbid cateparizat\on of those luxuries as reasonablaEip~n th~ I death of my w(ja, the 5Ct% and any .other payment of any kind must cease and be returned to I WJL.SDN C. LUCOM TRU~T FUND Foundation, not to her esta~No work cf art or valuable antiques, such as the grand plane, are to be sold or exchanged by my wife.------
.• _J&a!SCJn_ 5560 North l:layshorc Drive • Miaml. Fl. J.31.37 • Telephone: (305) 754·1550 • Telefax.: (305) 754-1449
Book20655/Page 1 092 Page 9 of 77
...a,. - &£4¢.;;w;S&aj W>&@@ 4444?-WtGm~.,t.- ==:; Rc?Uauc Dr PANA.MA NOTARIAL PAPER fS.eat:) Ss:::om:f /'1otary Pubi;:: I ~ '"I, Panam~. Rep.of Panama
[Te" stamp on coat of arms, all pi:iges]
secOND NOTARIAL OFFICE IN AND FOR THE CIRCUIT OF ?ANAMA
Upon my death, the Executors must place all Interest sar'ned by everything I possess (except Hac:iantla Santa Monfi::a, Including the enfii!'.l e1ttenslcn of land) In an lntarasl bearing account wher-eirom all expenses of any kind must be deducted, except the Ha::lenda Santa Moni::s
expenses.-----·-···-· ------In the event·cf an accident where both husband and wife die virtually at the same time, it must be
ass11med th~t Wilson C. Lucom survives Hiida Fiza Lucom. ----·------
A.. 2. Eb11uastto Isabel Maria Clark.--·····--····---~~·-·-----,--- 1 have 11reat foncines~ tor the me.mory of my deceased ex-wrfe Virginia Willys Ll.Jccm and her daughter lsabei Marla Clark, to whom l give my next bequest. I hereby spread upon the record that
Isabel Maria Clark is.. not legally a. ~elalive of. . m_ine,·. an~ that the only right she has in this will, with respect tc my bequest, Is the 25% cf the remaining balance of tile Interest account after t'le deduction far my wife, which must not exceed the sum of USS 200,000.00 per year. ·---
The remaining balance must be placed in the Wilsen C. Lucom Trust Fund foundation. ~pen the
dea1h ofIsabel Marla Clark., a~l money and interest that have been paid must cease and be returned to ihe Wilson-C. Lu::om Trust Fund Foundation, except-for--the7following: t bequeath ta:----· ------ROBERT CLARK, ID Ne. 22.4-13-7992., the sum of US$25D,DDO.Otl------AL5XANDER CLARK, ID No. 230·1Z·771'4, the sum of US$250,DDO.OO ------ LANNY.CLARK, ID Ne. 552-89·3776, lhe sum of US$ZSD,DDD.OO ------
CASSAtiDRA Cl.ARK, ID Ne. 557•7'5•8741., lhe ~um of US$251l,DDll.OO ------, OTHER. BEQUESTS:...__ __ . ------1 bequeath ONE.MILLION DOLLARS (US$ 1,000,Dllil.DO) to the ROCHESTER, MINNESOTA., MA YD CLINIC from the WILSON C. l..UCOM TRUST FUND foundation, for urological research work as of lhe death of my wife HILDA PIZA ·LU COM or myself, whoever dlas last, and only then shall the ONE MIU.JON DOLLARS referenced In this paragraph be delivered to lheaftirementioned MAYO CLINIC.------! bequeath the following amounts to my wife's children: Upon the death cf my wife, er myself, whoever dies last-·-.-- MELINDA MORRICE: US$ 50,000.DD ------[Registry sea!J ----- HILDA. ABD5LNOUR.: US$ 50,DDO.DO ___,, _____,
_Jia!son_:?560 l'iorth Bay.sh~re Drive II Miami. f"L .33137 e Telephone: (:305) 754-1550. Tclefa~: (.'505) 754-14-49
Book20655/Page 1093 Page 10 of 77 ff.AD ELINE ARlA S: US$ 1 00, 00 !: .0 0 ·----.------···-·-·----:-··------· .
GILSERTO ARIAS: US$ 50,DOG.OD ···------·------·-·······---·------·----- MARGARiTA A.RIAS ALL!SOfl!: USS ·zao,000.00 ------··-··------.----
Upon the death of my wife, or min~. whoever dies last, I bequeath to the chUdren of my late sister C::HARLOiTE GIBBONS, as follows: NORAH GARN5R: US$ 50,DDD.DD ------····------··--' JA.MES GIBBONS: US$ 50,00C.OO ------··-- ANN SMITH: US$ 50,0DO.DO - ·------··------·---- WRLL.IAM GARNER: US$ 50,DDO.OD ------··----- GABY EL.KINS: US$ 50rDDD.DD ------·---- CHRISTOPHER RUDDY: US$ 50,DDO.D!! ---·------·------ .DR. PEiER HIBBERD: US$ 50,DDtl.DO ··------MARIO BOYO: US$ 50,DDD.DO ---·------·
My .bequest, wlthput delay, to my employees at the time of my death, If they are silll employed by
-:my-=wlfe~r1Tlyselfr"as fellows: ANDREA OSPINA: US$1D,DDD.DO -·-···------iANYA RAMOS: US$1D,ODC.00------1SRA5L TEJADA: US$ 75,0DD.Dli --,------··--- (The amount for Mr. ISRAEL TEJADA must be distributed as follows. USS 50,0DD.OO for a htluse . . and USS 25,000.00 far a car, to be µaid to the seller of the. car and to the seller of the house; If there is any amount remaining, It shall be fer Mt. JSRA.EL TEJADA.)----·-----· EDILBERTO SOTO: US$ 7,.500.DO -----·
I am the sale owner of Hacienda Santa Monica, which· has nc liens er mortgages. i instruct my executors to place 'my Hacienda Santa Monica an the market as SUN CITY In the Panamanian
Riviera, to be sold BS g single parcel to city developers, not to Intermediaries. It may take two or three years fer thls property to sell because I cio not want Hacienda Santa Monica to be sold
immediate~y tor any low price that ls offered Immediately. The product of the sale of Hacienda San~ ......
.{
. . . --.Jia!Stln__ss60 North Bayshore Drive" Miami, FL .3:31:57 •Telephone: (.305) 7S4·L550 • Telefa~: (305) 754-1449
Book20655/Page1094 Page 11 of 77 REPUBLIC OF PANAMA NOTARIAL PAPER rssal:] Ssccn::! Notary Pub!i: Panama:, Rap. oi Panama
SECOND NOTARIAL OFFICE IN AND FDR TH= CIRCUIT OF PAl\!A!lfiA kr.ionica must go to the Wll..SON C. l..UCOM TRUST FUND foundati~----···-·-··· ' Hacienda Santa Monica must continue operating, as well as the sates process, In ec:::ortiance with what It has been doing in order not to cause the deterioration cf its ~tructure or the land or its own capita!.-·------, The same shall be applier:! to the 50 acres I own in Palm Desert, California. They ara lo be sold to a project developer, which shafl constitute an entire development, instead cf being sold to a
spaculator who buys land ~r a "middleman•, who would subsequently sen ft to a developer. --·
I own 7 er 8 acres near OKEECHOBEE., Florida. This property may be sclci at any time. It has been proposed Eis a pcsslb!e sale to the State of Florida tor the sum of US$ 473,000.00 for 5 acres. - The product cf the same must gc tc the WILSON c. L.UCOM iRUST FUND foinula2ion. The
foundation fund. may b~ invaded to be able to cover any short amounts in the bequests. ·--
The other Apartment I own· in Edlficio Medlterraneo In Panama, Republic of Panama, under another
-nam~11m:ist1Jncld-and1he,product cf the-sale-must betilaced in the-\VIL;S.OfLC._UJCOM .JIWST FUND foundation.·------
PRORATED REDUCTION OF BEQUESTS:------ At the time this will is executed, the value of my estate includes net only Hacianda sa'nta Monica,
but approximately seven million dollars or more In other assets as well. I~ "the event that upcn my death er the death of my-wife, tnere are surplus assets to pay each and every one cflhe bequests · set forth In thls wTI!, those assets must be considered the remainder of my·estat5, and placed in· the WILSON C. LUCOM TRUST FUND foundation. However, In the event the assets are not sufficient to pay the total-cf all bequests in full, each and every bequest must be reduced proportionally. This proporllonal reduction· must be applied irregardless cf e direct bequest. er quality bequest, or a bequest that ls held in trust by a trustee, For example, if there are funds only to cover ninety percent {90%) of the bequests, the amount to be paid to ttie Mayo Clinic fund for urclcgical research must be reduced by tan percent (i 0% ), that Is, NINE HUNDRED THOUSAND DOI.LARS
{Registry sea~
. . . __JiB!SiCJi1-.s560 North !l.ayshore Drive• Miami, Fl... :5.31.'57 •Telephone: (.305) 754--1550 •Telefax: (:305) 754-1449
Book20655/Page1095 Page 12of77 [US$ S'llO,DDQ.00) of of.!:: MILLION (US$1,000,0fl~.OO}. ------·
r?-', RO'f'AL PALACE BUILDING, APARTM!:NT NCl.11: My wife and l possess a iifty percent [50%) (t \ Interest sach in APARTMENT No. 11 In the ROYAL PALAC:: Building In Punta Pa!tllla, San Fra11c:isc:o secfion. ln the event my wife sur.ti\les me, she must receive my fifty percent (50%) !len free and gratuitously. If my wife does not survive ma, the fifty percent (50%) ,Interest I possess in Apartment number eleven (11) in the Royal Palac:e, Building must pc tiiracjly, llan-free, to the WILSON C. LUCOM TRUST FUND foundation, afiermy death.--·------ My I.Vile has total and c:omplate uss of eny work of art., anllque furniture, anilqus silver and any other antiques while she llvea. Upon her death, all lhese valuable assats must pass lien-free and 9rattlltcusly to the WILSON C. LUCOM TRUST FUJ;ID foundation for subsequent sale at auction.
Each individual EXECUTOR er TRUSTEE must net be subje~t to any legal liability for any act, omission or less In connection with the administration cf this estate, exceptforfraudorllleft, er any
other crime committed again~t the assels of the Wl!.. SON C. LUCOM T~UST FUND foundation.
ust manage the assets and fund~ entrusted .with all the nee granted by the Panamanian .Stai&.in_r.espectot_provis1ons m the Civil Code and complementary taws of the Republic cf Panama, sc that they may efficiently manage the 'assets cf.the estate and ·funds entrusted thereto, always for the purpose of acting In the b'est i,nterest, as required by the slcualion. ------
As payment ror execution of this wJU, each E.xecutor must receive the sum cf FIFTY THOUSAND
DOLl..ARS {US$ 50,0DD.OD}. ------
If Mr. RICHA.RD LB.HMAN reaches three hundred hours cf work In executing this will, then Mr. ' . RICHART;> LEHMAN must receive payment pursuant to his regular fee schedule. ----
Mr. ISRAEL TEJADA must be a permanent employee of the WILSON C, L.U COM TRUST FUND !oundatlon, unless he resigns voluntarily, commits fraud,or theft against the foundation, in which case he must be terminated. His lnltlal salary must be ON5 THOUSAND DOLLARS PER MONTH (US$1 ,ODO.DO). ··-----
. ~ _JiS!S'Cn....5560 North e.ayshcre Drive• Miami, fl.. .S.Sl.37 •Telephone: (~05) 754-1550 • Telefa~: [305) 754-14-49
( · Book20655/Page1096 Page 13 of 77 REPUBLIC OF PANAMA NOTARIAL PAPER fSsa!:J Ss:::ond Notary Publb Panama, Rap. cf Panama
S5CONO NOTARIAL OFFiCE IN AND FOR THE CIRCUIT Dr PANAMA
-· The executors must also be trusieas ofFUNDACl6N WILSON C.LUCO!Vi TRUST FU.ND, wlth an iniiial salary of FIVE THOUSAND DOt.LARS. (US$ 5,00!l.00) per monLI-\, .or SIXTY THOUSANC DOL.l..ARS {US$ iill,DDll.00} per year, and me necessary expenses.. -·------
The main objective of the FUNOACION WILSON C. L.UCDM TRUST ·FUND ls to feed needy
cnlldren in Panama. I instruct. my trustaes tc find .an area where there are chllaren's schools that dan•t have meals for lunch, and lack lhe usual needs end thos& provided by schools whar~ lunch provided.-·------·------·------It Is my wlsh that directors of schools· farm groups of volunteers with parents and others, anfl that
they plant gardens with seed provided by the Wl?:--~O~ c. lUCOM TRUST FUND foundation. -
One of the parents, er any other person, must provide some ilectares for these pan:lens, at no ccst.
Many plantings m~sfbe sown to feed the children ancl tc sell at marltei, In such a man~er that there will be no need io provide seeds mere tharrtwo-(2}1imes;-per-scnooI,--andihat-these-wUl-continue
the plantation process i!'I these gardens and their own sale with the product: of Its own benefit. ~
FOURTH: The testatar sta~ It is his will to expressly revoke every previous testamentary provision, granted anyw.here; it is his wish that only what is now granted anti is set forth In this
instrument be comp!le:rl With accu~tely anti· in a timely manner, Inasmuch as ltls his sole and deliberate will. - lmmadlataly thereafter, l, me Notary, hereby certify: ------ (1) This will was granted In sirict compliance with each and every legal formality required for the fUll validity of these acts: . ------ (2) This will was read aloud by me before the legally required witnesses, and said reading was· cone uninterruptedly;---·-----, (3) The testator is of sound mind and will, perfectly knowleclgeable cf this proceeding, and absolutely free of any form cf coercion er violence. ------(4) That the writing of this will has been the direct product of his stated wishes and will, and that in concurrence therewith, signs herelnbelow, carefully observed by the clocumentary witnesses. - - I admonished 1he appearing party that this Public Oeed must be registered and as it was read to
. . ' ---1ia!SC"-556D North 5ayshore Drive., Miaml, FL. .:S~l.37 •Telephone: (.'.505) 754·1550 • Telefa:7.: (.305) 754·1449
Book20655!Page1097 Page 14 of 77 him befors da:;umentarywf~nesses'.cORA.!DA IJE: VERGARA, persoL1a[ idsntity card number algh1 - one hundred thirty seven - three hundred one (S.-137·30i), AL::izl GUSRRA, personal identity card number four - one· hundred seventy-five - one hundred seventy•two (4--175-172}; JOEL ~ ( f-- \, AP..7URC LASSO, persor.a! ltlsniity :;ard number eight- seven hundred forty-seven-five hundred thirty-eight (7-747-538), cf legal age, Panamariian natiomals., residents of this elk}', persons who are
•. known to me and ara competent therefor, concurred therewith, approved It and all sign in witness whereof before me, the attesting Notary.------·--·-·------·----·- ----·------·-··------·{6646) ------·---·-
. {Signed) WILSON CHARL.ES L.UCOM - VICTOR CROSBIE INTERPRETER - ALEXI GUERRA ZORAIDA oe VERGARA - JOEL LASSO - DR. MARIO VEL.ASOUEZ CHIZMAR, SECOND , NOTARY PUBLIC IN AND FOR .THE CIRCUIT OF PANAMA.----·--·~-,-- 1 ISSUE, SIGN AND SEAL. THIS COPY IN PANAMA CITY, REPUBLIC OF PANAMA, ON JUNE TWENTIETH (20) TWO THOUSAND FIVE (2005): y/HICH CONCURS WITH THE ORIGINAL.
·/sf Illegible [Notarial seal) DR. MARIO VELASQUEZ CHIZMAR Second Notary Public in and for the Circuit of Panama
___lia!siort_.sseo Nortn 6ayshore Drive ., Miami. FL 3:51.'.57 • Telephone: (.305} 754·1550 • T~lefm:: r:so~} 754-1449
Book20655/Page1098 Page 15 of 77 EXHIBITC [SeW-J ...... BEi'J'JELIC OF PANAMA . . . . ·fl{ Crvn. cm.cur:r COUR'.f ll:T JUD!CVJ,,. CIRCUrT \):fl'ANA,:MA. (Coat of Arms) · :PANJ;Vi.A .JUDICIA:R.Y
FOURTH CIVIL CIRCUIT CO"OR,T OJJ' THE FIRST JUDICIAL C!RCU!T OF
.PANAMA. ·Panama 7 this thitiy-fu.st (31~~. day c>:t Angus-ti tt-lo tlfonsand f!lld m. . 006). ' .
EAVIN SB.BM: The :w :fu::m of INFANTE· & :eER'.EZ .A:pM:QLANO> Judicial attameys-in-fact O:imLDA PIZA LUCOM or HILDA ANTO.NLA l:'XZA. :BLOND:E'tl have f!Sked ·this Comi: fur- a Geller.al :Pmtecilon or Comiervmion Measure. in :fa:v~' of its eenafituent ·and ~IUC)LUU)SAMLEBM'.AN.· lt sbculd be pointed outthat"'this Court; in OnierNc. 102Sn73-06 ofluiy 5,.£2600, .8PP'Oll1¥ Mr. RIOBARD cHAru:JJ:s LEHMAN exemitor- in, the probate ptoeeedlngs of th1;1 testate estate cf-the~hite-WILSON: CE.ARtES LUCOM-p~gbefare tlllE-comt:. Sa:icl: decision was appealed.fr9lll- by iosE SALVADOR MU&oz, Esq., ju~cial
attorney-in-fact of'Mrll. HILDA :P.LUCOM1 said ~eal ha.viI(g been.. gta,trted essentiall.y with· dev.olutive fo:r retumable} effec't; stibseqnen.tlY, and abiding ·by the pr.ovisions~~f 1ndicia! Code, the Court officially revoked said. decision 1:hr.ough ' . - ' ' . peal bclng ~ed-with.. deferrci:l ifi.'ect:. ·
/~. · e means. that the . deaisiO!li appohlti.ng Mr. RlCEARD CRARLES executor of the will has not be.en. regisiered inasmuch as it is under appeal atl.~ therefo.re; it is not fhutl. . . Order No. 12l 9-2006/82s-'(}6 of A"Qgust 29, 2006, admitted the present protective measure, setting a bond ofBl. it000.00 fur ftle. mce:rcise thereof. The plruntiff'll judicial a.ttomeys-in-fact filed wlth the Court, through Pl~ading No. 9.9 of August 30, 2006, a Gu~antee Certificate issued by Banco Nacional de Jhtnamal No. 0113336,paid in cash, and ther.efore, the request should.be heeded and the prote~ve measure requested should be ordered. ):herefore, 'the lJlidersigned FOTI.RTE C1'YIL ~COI'.l;' ~GE '0f T1m ~T JUDICIAL CIRCUIT OF l?A.NAF4A, -aq:ti;rin~~te~~Justiqe ip, tlw l$'.lle ofi;he Republl~ and under the aumcrity of law, OP-.JJEES A-~~ PRO~CTIGN Ott CONS'KRVATION MEA5uRE in. favox- of ~A FIU LUC()M °'r m:tJlA AN'l'Or\l:4 1'1ZA BLOND'.E'! agmmrt !1,UC$14U) SAM LEHMAN, the bearer of pass,port L .550-75744-081-0, consisting ofthe following:
[ ] r~VENTlNG RIC:HAR.D SAM L~N, the bem.er ofpass,port L 550-757~ . 44-081-0, availfug .hitµself ofltls designation as executor of$e wµI in (lie -estate· of the late WILSON CHARLES LUCOM:frompedcirming acts ofadministration, . ' ' · esfablislime.ut of:liens, orany acts of disp.osifion Qfthep:rop_erty ofthe testator, to wit: l. , Checkffig accomttNo,·o~..Ol-G2-004975-G witb.Ban6o: Gmeral, 8.A; . 2. Chee.king accOuntNo. 03·01-
rn-. Real property N-0. 1564, volume 1441 updated to digital document No. 126071, of the property section of the Publi~ Registry, Province of Cocle, owned by HACIENDA SANTA MONICA. S.A.; 11. Real Property No. l li12, registered a± volume lS64, folio 150, updated to digital document No. 126071, of the property section of the :Public rr·\ ,I
Registry, Province of Cocle~ owned b.y HAC~NDA S.A;~Q'A MQNICA~ S.A.;
12. Real P:ropetty Na. 35519. regfatw;eQ. at di~l document No. 855.?5?. of the proJlerty seetion of the Pubµ9 Reg1sqy, Pxovioce of Cocle, owned-by HACIENDA SANTA l\1:QNlCA, S:A.; .
13. The &hfl!e qf:real property No. .3H749t registered in roll 5367~ document 1.. of the C9ndon:tlnium s~cti,011 of the Public -Re~, Provinea: a·tJ?~~ that may coi:res_pon,d:tt> the Ui±e WU,.SGN cai\.RtES LUCOM, th~ befl?er ofpassportNo. 0421728~4; 14. Rearpr.cJP.~rl:y-No. 883, fo.lio463, up.d~ed~ digi.tlli doc.mn.ent'No.12pP1l .. oftb~_pi"pperty section 1;1ftb,e l!ri(:>lic Re~stry;.Provinoe- of.Pauama,. oVnied .
by HACIENDA SANTA MONICA7 S.A.; Let an i>ffia.ial connnunic¢on be SENT to all.pertinent parties .fur the appwpdate le.gill ~ses. Let the C\Jmt take all n~sazy »teps in order to enforce the genetal protection. apd conservatioll!-merurin-esthat-~ya been orde-red. L'.EGAL BA.SI&. Jutiole 569 and re~d 21ttcles of the Judicial Code. \ n ' Let it be notified.
[Illegible ~igaati,.ire]
Solange Le Ferree d~ Booker
The Clerk.
[lllQgfble signature]
KatbiadelC. Rojas C. E.ll.ubber stamp:]
At_ofthis cja:yof · -~-....-• two th¢US(l:t1.d !llld six, I notmed Et:ma Ramos: rtzrecfolti/, Counsel. for ' · · [Handwrltt~:J NotzJ. [illegiplo] ll.:fthe above .resnlutioµda.ted &.31.06 -
. [Rubber stamp:]
TEE UNDER.SlGNED CLERlCOF Tim li'OURTH CIVIL COURT OF TBE . p.AN'AMA CJRCUIT, . .. CBRTIFIES: tfui.~ ~1. of the above ·is a. · fme. copy ofits origin.al. P~; October 5, 2005 {Illegible signature] · qem: . K:a1hia llel C. :Rojas C. ReJi. tJ 4315 .. .. · ...
LOPEZ ANP- D U;AAN 1nt~rprath:1s.anc! 'F~q~Ia.titi;g· 4.20 South tiixi.a ill::E'sh'ii,~~ .. #.~!;.e .2L Cq~ Gah~es, Flo~~~ j3l46 .. I .Tel.· (.!=!15)46'1·<1:6'·!19 .,. F~c:o;~sl 4-G'I.;-4799 . ,;
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"' ~ • '" • '• : • o ~ •,! .J f,. , ', 'swc:cn' t;,o antl uu.bscri'bed tb:i,s fo~b; day 'of ·.oe.ce.mhel:' . ·,\,2po~. · •. ·.·· -~ ... ···,~: .. :-- ..... :::~:'_-.·.··: .. ·.rnul~I}f~y_~·, . • ~ A3ASC{!L . • • • ?-Jotaey iru.:t>lic, ! • • • • ... at:a.te of ;i;"loritla. a.t. :t.!l.:r:ge . . . ':. ... ·' ' .• . ' 0 The· utmost oaZ'e 'llas be~ taken to ·.ensure the acou:racy· of al.l tra.nSlations. · .. Lopaz ·' . ··.... '1 ...... EXHIBIT D UNITED STATES DISTRICT COURT . SOUTHERN DISTRICT OF FLORIDA CASE NO.: 11-cv-23479-RNS RlCHARD S. LEHMAN, et al., Plamti.ffs, vs. ffiLDA PIZA LUCOM; et al., Defendants. MIGUEL ANTONIO BERNAL VILLAL.AZ SWORN STATEMENT 1. My name ·is Miguel Antonio Bernal Villalaz, of legal age and I am authorized to make the statements set forth herein. 2. ·Attached, as Exb.J.'bit "A", are my educational and professional credentials which I use in support of the conclusions and opinions I give in this statement. 3. Likewise, I have had the opportunity to analyze the attached relevant legal documents, · described in this statement, and issue an opinion on their legal effect. 4. I state the following in view ofthese documents, ~ublic acts, my professional experience and my legal education: 5. According to the Constitution, the Civil Code and laws ofthe Republic of Panama, the will of the testator is the Supreme Law and only the testator can name an executor. 6. Acceptance of the position is voluntary and there can be no estate without an executor. 1 . 1--- .. 7. Inasmuch as an executor appointed by the testator exists, the judge can.not appoint an :.:'F' ··.. l administrator ofthe estate pursuant to the laws of the Republic of Panama. 8. The laws ofthe Repubfo ofPanama provide the will may be challenged by third parties who have an interest in the succession . . 9.. In: his will,·granted in a Public Deed on June 20, 2005 in Panama City, Republic of Panama, and attached hereto as Exhibit· "B", Mr. WILSON CHARLES LUCOM appointed . !µCHARD LEHMAN, LIZA PIZA LUCOM and RUBEN D. CARLES as executors. rn. On October 20, 2005, when modifying, also by way ofPublic De~4 #.11191 attached hereto as Exhibit "C', Mr. WILSON CHARLES LUCOM confirmed Mr. RICHARD LEHMAN as executor, as well as Mrs~ HILDA ·PIZA LUCOM, and substituted Mr ..RUBEN D. CARLES with Mr. CHRISTOPHER RUDDY. ,.,------, 11. Again, pursuant to a Public Deed attached hereto as Exhibit "D", Mr. WILSON CHARLES ( \ LUCOM, on Febniary 3, 2006, confirms the foregoing as to the executors and retains Mr. RICHARD LEHMAN as such .and as trustee of the Wilson .Lucom Trust Foundation, established in his will. 12. Upon the death of Mr. WILSON CHARLES LUCOM on July 2, 2006, and the opening of the succession proceeding in Panama, the Fourth Civil Circuit Court Judge, in compliance with the last will of Mr. LUCOM, appointed RICHARD LEHMAN as executor of Mr. LUCOM' s estate. Mr. LEHMAN was sworn in and installed in compliance with law. 13. Fifth Civil Court Judge JUAN BOSCO MOLINA, upon issuing Order 952 (attached hereto as Exhibit"E"), and 1147 (Exhibit ''F", pg. 2),.wherebyhe invalidates the installmentofMr. RJCHARD LEHMAN as executor andproceeds to appoint Mrs. MARTA LUCIA CANO LA 2 ' as administrator of the will of Mr. WILSON CHARLES LUCOM, acted in violation of provisions in the Constitution and the laws of the Repub!ic of Panama. In fact, Judge MOLINA has never had and can never have any authority whatsoever to invalidate the installment of Mr. RICHARD LEHMAN as executor, and. much less appoint Mrs. CANOLA as the administrator of the will of Mr. LUCOM inasmuch as it is a testamentary succession proceeding wherem there are executors designated by the testator himself; as in the case at hand, the judge has no authority to appoint an administrator of the estate because that openly contradicts the will of the testator, in this case, Mr. "WILSON CHARLES LU COM. 14. The First S~perior Court clearly stated ill May 2007, pu,rsuant to. the document attached ·· . hereto as Exhibit "G", thaf Mr. RICHARD LEHJvfAN is still.the executorappoilltedby Mr. WILSON CHARLES LUCOM and underscores that "it was obvious.the illtent ofthe testator was to have executors." 15. The Civil Division of the Panamanian Supreme Court of Justice, pursuant to a decision on the extraordinary appeal for amiulmeil.t attached hereto as Exhibit "H'', on August 6, 2010 ordered the opposite of the last will of Mr. WILSON CHARLES LUCOM and what he stipulated ill his will. 16. The Civil Division ofthe Supreme Court ofJustice iniposed a decision on the last will ofMr. WILSON CHARLES LU COM by ruling that "Mrs. IDLDA ANTONIA PIZA BLOND ET is designated as the executor and Trustee ofthe estate, so that in accordance with Article 864 of the Civil Code, she will exercise the position of executor and trustee, who must appear before the Court to be installed." 3 17. The Civil Division of the Supreme Court of Justice, by declaring a universal-heiress of Mr. . . ~. WILSON CHARLES LUCOM, violated and flagrantly altered the last will of decedent WILSON CHARLES LU COM, who, in his will, repeatedly provided that his estate should be administered by several persons. 18. Pursuant to the laws of the Republic of Panama, Mr. RICHARD LEHMAN cannot be removed as executor unless there is an abuse of authority or as a result of death, and we are not d,ealing with either of these inasmuch he was sworn as the executor and to date has not been removed as such. 19. Under the Constitution and the laws of the Republic of Panama,· the Protection of Constitutional Guaran~es, Article 54 of the National Constitution provides: ''Every person against whom an order to do or not to do is issued or executed by a public servant which . . violates the rights and guarantees stipulated.in thls Constitution, shall have the right to have :>. \ ·. ··r'· the order revoked at his request or anyone else. The appeal for constitutional relief referred to in this article shall be processed in a summary proceeding and lies within the purview of the courts." 20. Upon filing an appeal for [constitutional relief], attached hereto as .Exhibit "I", on proceedings by the Clerk ofthe First Superior Court for the First Judicial District ofPanama last October 10, 2010, the Judgment on Annulment dated August 6, 2010, issued by the First Civil D.ivision of the Supreme Court of Justice ofPanama cannot be executed because there has only been a judgment by the Supreme Court in the testamentary succession proceeding with respect to the appointment of the executor. 4 21. Even if the appeal for constitutional relief were denied by the Supreme Court of Justice, Mr. RICHARD LEHMAN would continue as the executor inasmuch as l\1r. HILDA PIZA LUCO M died and RICHARD LEHMAN is still the only ex.ecutor sworn in by the court and can only be removed in a legal proceeding. 22. Thanks to the decision of the Civil Division of the Supreme Court of Justice the assets protected by the LUCOM estate were affecteq because such decision allowed use thereof through mechanisms whose legality is doubtful. That is true because the decisions of the Superior Courtprevented the assets of the.estate of WILSON CHARLES LUCOM from being the object of wrongful use or diversion for purposes contrary to those established by the last will of the testator. 23. Mrs. HILDA PIZA, who should have also been sworn as executor in accordance with the last will of Mr. WILSON CHARLES LUCOM, never did so. Now, since she has died, Mrs. HILDA PIZA cannot be sworn in as executor and there is only Mr. RICHARD LEHMAN · as the appointed executor, accepted by the court and sworn in. 24. It is necessary to note that in his will, in. addition to appointing executors, Mr: WILSON CHARLES LU COM provided that part of his estate should be placed in the Wilson C. Lucom Fund Trust Foundation. 25. Likewise, he provided that the main purpose of such Foundation is to feed_ needy Panamaiiian children in Panama, and instructed the trustees to proceed with regard thereto; that is, the appointed executors, Mr. RJCHARD LEHMAN among these. Which confirms that Mr. RlCHARD LEHMAN is fully trusted by Mr. WILSON CHARLES LUCOM and therefore he appoints him as executor: for compliance with the provisions in his last will. 5 -P¥49 . ·(~~-·:. 26 . The foregoing confirms, always in keeping with the Constitution and the laws of the !. :~ ,' ~· Republic ofPanama, that Mr. RICHARD LEHMAN IS authorized to act in this instant case on behalf of the estate of Mr. WILSON CHARLES LUCOM, including the trust he established. 27. I further state that, in my opinion, the case of the. testamentary succession proceeding of WILSON CHARLES LUCOM in Panama evidences the high level ofcorruption which governs in the judicial system in the Republic of Panama, among others, for the following reasons: a) The Justices of the Civil Division have issued a signed Decision that is absolutely contrary to' stipulations in the Con8titution and the laws of the-Republic of Panama. b) Th.at is so inasmuch as by deciding to appoint Mrs. ffiLDA PIZA as the sole executor and administrator of the estate of WILSON CHARLES LUCOM, they violate the last will of Mr. LUCOM, clearly expressed in his will and disavow the rights ofRICHARD LEHMAN as executor of the estate. c) By modifying the last will ·of WILSON CHARLES LUCOM Without complying with legal formalities, the justices of the Supreme Court of Justice fraudulently disregard the Constitution, the Civil Code and the laws ofthe Republic, and commit a crime by using their positions to attempt to give a final and binding nature to a false version of the last will of WILSON CHARLES LUCOM. d) The decision oftheCivil Division not only allows and supports alteration ofthe last will of the testator, but also allows and facilitates the diversion of the estate ofMr. WILSON CHARLES LUCOM toward persons who cannot be the beneficiaries thereof. 6 e) In lawyers' circles in Panama, the strong suspicion and indicia of corrupt actions perpetrated by Judge Molina, Administrator Caiiola and the Justices ofthe Civil Division in this case are public and well known facts. I have personally denounced these practices on several occasions and places, as evidenced, for example, in the complaint I filed before the Panamanian National Congress in October 2010 on the actions ofthe Justices of the Civil Division. f) I will also add that this judgment is registered as part of the chain· of corrupt acts perpetrated in the Panamanian Judiciary, aJ?.d about which I have had to file complaints before national and international fora, and regarding which I have published the document attached hereto as_Exhibit "J". Furthermore, I state undt:lrpenalty of perjury pursuant to the laws of the United States of America, that the foregoing statement is true and accurate. Monday,Aprill6,2012 Isl Illegible · Miguel Antonio Bernal Villalaz 7 CURRICULUM VITAE MIQpEL ANTOJVIO BERNAL VILLALAZ Law Degree, University of Bordeaux Law School, France. Degree in Political Sciences, Institute of Political Studies. Bordeaux, France. Doctorate in Political Sciences, University of Bordeaux, France. Doctorate Honoris Causa, LeHigh University, Bethlehem, Pennsylvania Awarded the Order of Academic Palms by the Republic of France, as Commander. Tenured Professor, University ofPanama Law School in Political Science, Constitutional Law and Public International Law, 1974 to date. · I have also been a professor at: Universidad Nacional Aut6noma de Mexico (UNAM) 1976-1978 Davidson College (North Carolina) 1987-1988 · LeHigh University (Bethlehem, Pennsylvania) ·1988-1990 MbraVian College (Allentciwn, Pennsylvania) 1988-1990 , Florida State University - Panama. 1992.:.2001 . Juris Doctor Professor at Universidad de Santa Maria La Antigua (USMA) 2008 I have been a UN, OAS, Fulbright, France, Interamerican Institute of Human Rights, Israel Scholar President of the Institute of Political and International Studies (IEPI) President of the Panamanian Association of Constitutional Law (AP ADEC) President of New University Movement (.MNU) Former President and member of the Court of Honor of the Panamanian National Lawyers's Association - 2007-2011 Former Member of the Board of the Alliance Fran9aise in Panama. Member of the Ibero-Ainerican Institute of Constitutional Law'-Panama National Section Member of the Constitutional Law International Association Member of the Political Science International Academy Member of the Committee for the Protection of Journalists (New York) Amnesty International Member .Fulbright Alumni Member . Advisor, Research and Legal Assistance Center for Human Rights - Panama President of the law firm BERNAL & ASOCIADOS Since 1978, Director. of the daily ALTERNTIV A Analysis and Comments radio program. [Transmitted Sunday through Friday on Radio KW Continente from 8:00 - 9:00 pm] Weeldy columnist for El Siglo, Panama. I have been a correspondent for the Vision and Progreso magazines in Panama. Author of several publications: Synthesis ofPublic International Law; Reforms or Constitutional .Assembly? The Fa.x Against Noriega; Constitutional Ass~mbly and Democracy; Constitutional Evolution ofPanama· since Separation. The V Court Other activities: *Consultant and writer ofthe report on the subject of Commercial Law and International Law for research done by the European Com.mission in 1996 on "The European Union and the Panama Canal on the horizon of2000" · *In 1996/97, Resident Coordinator of the Organization ofIbero-American States for Education, Science and Culture (OBI) in Panama *Member of the interdisciplinary team of professionals who under the auspices of the United Nations Developmen Program (UNDP), "Panama: Vision 2020" met regularly during ten months in 1997 for the purpose of analyzing and"preparing-the document VISION 2020 which considers social, politic~, legal, cultural and economic perspectives for Panama _and which was signed by the Executive and all political parties and Civil Society organizations. ' March2012 ~;~·::.::-..">._), '~\.,, - MAW ?§ QA µa .;;gg nn EXHIBIT D-1 ,. .._ .... ...... ' ... ·. OFFICE OF THE TENTH NOTARY• PUBLIC FOR THE CIRCUIT OF PANAMA ------•• - • - - -- " - - • - ··NOTARIZED SWORN STATEMENT • - • • - • ------·- •- - • - 1 In Panama City, C1pital of the Republic and seat of the Notarial Circuit with the same name, on the twenty-fourth (24 ") ofFebruary tWo thousand ten (2010), before me, RICARDO ADOLFO LANDERO MIRANDA; Tenth Notary Public . . for the Circuit ofPanama, hold.er ofpersonal identity card number four- one hundred three - two thousand thrco hundred thirty-seven ( 4-103-2337), personally appeared: Mr. JOSE RIGOBERTO ACEVEDO CASTILLO, a male, oflcgal age, a pan am an!~. holder of personal identity ~ard number seven - one hundred eleven - nine hundred fortY-one (7•111-94 l ), who is p~rsonallyl:now.n to me imdrequested that I issue the following Notarlal Attesta#on and under oath:---- FIRST: I, Rigoberto Acevedo Castillo, holder of personal-identity card No. 7-111-941.• graduate~ from the University of Pan~a on Jun~ 14; 1982, where I received my d~gri:e in Law and Political Sciences. I was authdrized to practice law. in the entire.territocy--of Panama that same.. year,_pursuan.t to a decision issued by the Fourth Division of the Supreme Court ofJustice; Doctorate in 1985 atUniversidad Complutense de Madrid, Spain, with a Master's in Procedural, .Criminal and Constitutional Law, and I am currently a university professo.r in Procedural, Criminal and Constitutional Lsw at Universidad Latina de Panama and Universidad de Panama. I her9by state under oath, for 'use in the CIRCUIT COURT FOR THE FIFTEENTH JUDICIAL cmcu!T IN AND FOR PALM BEACH '·coUNTYFLORIDA,WITBRESPECTTOWILSONC.LUCOM,CA~ENo.50502006CP003580XXXX~BIY, ADVERSARIAL PROCEEDING AFFIDAVIT Oit- SECOND: The Fourth Civil Court for the Firn Judicial . ' - ' j Circuit of Panama, in Order N o~l 025/173~06 issued on July 5, 2006, declared the opening ofthe succession proceeding of decedent WILSON CHARLES LU COM, e.nd in that Court order appointed Mr. RICHARD SAM LEHMAN as the executor of the estate; that is, Mr. LEHMAN was appointed as the administrator of the assets left in the will, becoming the personal or legal representative of the estate of WILSON CHARLES LUC.OM .. The appointment of Mr. LEHMAN as tile executor was done by the Fourth Civil Court because it was the last will ofWIL~ON CHARLES LU~OM, set forth in his Will. - THmD: Article 861 of the Civil Code expressly provides that acceptance of the position by RICHARDS.LEHMAN ~equired that he perfonn his duties as the executor; therefore, Mr. LEHMAN had the obligation to continue pcrfonning his duties as administrator, unless be resigned or a motion was filed to end his investiture and the Court would agree by issuing the pertinent Court Order:-- FOUR.TI!: In order to dismiss or remove an executor, OFFICE OF THE TENTH NOTARY- -PUBLIC FOR THE CIRCUIT OF PANAMA the steps.set forth in Article 1587 of the Judicial Code must be followed, which provide that it must be done pursuant to a motion filed by an interested party and with the involvement of the executor himself. That is when the Court can issue the decision or court ord.er removing the executor, a~d whlch maybe appealed.-· film: The appeal thatwa.s filed on OrderNo. I 025/J 73-06, issued by the Fourth Civil Courtforthe FirstJudicial Circuit ofPanama on. July 5, 2006, . . !eft the Court without jurisdiction .to remove or dismiss executor LEHMAN. - SIXTH: There is ·no Court order or -.decision in the succession proceed.ing ofWILSON CHARLES LUCOM that removed LEHMAN from his position as executor; therefore, he still holds the title of executor. - SEVENTH: The Fifth Civil Court for the First Judicial District ofPanama ordered a decree nullifying tlie'taking of office by RICHARD SAM LEHMAN as the executor upon issuing Order No. 952 dated A.u,itf~t-29, .2008, with~~~ having jurisdiction to entertain matt~rs pertaining. to the. succession ofWlLSON CHARLES LUCOM-because1be·pertinent file, wherein the testamentary succession was opened, ~ •... . ~' was ori appeal before the First Superior Court for the First Judicial District of Panama. - EIGHTH: Order No. 952 ( \ recogn~es that executor LEH1v.1AN''s appointment ~sin force and effect unless a Higher Court decide's otherwise. Since there is no decision by any higher court that removes RICHARD SAM LEHMAN from the positio~ 'of executor, it must be understood that his appointment exists in such succession. ______.....______ This statement was read to the appearing party before the Docnmentaxy Witnesses who are known to me, are competent therefor, were in concurrence therewith, approved it and in witness whereof all sign with the witnesses, before me; the attesting Notaiy. JOSE RIGOBERTO ACEVEDO CASTILLO Witness Witness RICARDO ADOLFO LANDERO MIRANDA Tenth Notary Public EXHIBIT E ENTRY No. 09AA.201 DECISION WRITTEN BY MAGISTRATE EVA CAL Motion to Remove Administrator filed by RICHARD SAM LEHMAN and LUCOM WORLD PEACE LIMITED in the testamentary estate proceedings of the late WILSON CHARLES LU COM. ORDER APPEALED FROM FIRST SUPERIOR COURT FOR THE FIRST JUDICIAL CIRCUIT. Panama, this twelfth (12th) day of August, two thousand and nine (2009) HAVING SEEN: In Order No. 203 of February 19, 2009, the Fifth Civil Circuit Court for the First Judicial Circuit of Panama decided to deny the Motion to Remove the Administrator filed by RICHARD SAM LEHMAN and LUCOM WORLD PEACE LIMITED in the testamentary estate proceedings of the late WILSON CHARLES LUCOM. Inasmuch as the firm of TAPIA, LINARES Y ALFARO, the movers' judicial attorney in-fact, filed an appeal before said order became final and timely supported its appeal, the court whose decision was being appealed admitted the appeal and forward the case file to this Superior Court. It should be stated that Ms. Marta Lucia Cafi.ola, acting in her own behalf and in her capacity as court-appointed administrator in the Testamentary Estate Proceedings of the late . WILSON CHARLES LUCOM, filed a pleading opposing the appeal. After the assignment of the appeal to the court and the curing of any procedural defects, it is fitting, therefore, to address the appeal that has been filed and to this effect we shall first make a brief summary of the appeal filed, of the order being appealed from, and of the arguments raised, and then we shall issue our decision. THE APPEAL FILED The firm of TAPIA, LINARES Y ALFARO, acting in its capacity as judicial attomey-in fact for RICHARD SAM LEHMAN in his capacity as executor designated in the will, and of LUCOM WORLD PEACE LIMITED, trustee of the FUNDACION WILSON C. LUCOM trust, filed the Motion to Remove the Administrator appointed by Order No. 1147 of November 21, 2007, Ms. Marta Lucia Cafiola. The Motion sets forth the following facts: that Order No. 229 of March 6, 2006, issued by the Fourth Circuit Judge, had designated Ruben Dario Carles as court-appointed administrator of the estate of the late WILSON CHARLES LUCOM, which appointment had been stayed as the result of the appeal filed against said order; that Order No. 1147 of November 21, 2007, issued by the Fifth Court, had designated Ms. Marta Lucia Cafiola as court-appointed administrator of said estate; that under Article 552 of the Judicial Code, applicable by analogy, the administrator may be removed for ineptitude, embezzlement or abuse in the discharge of his or her office; that the fees set for the administrator have not been set following the legal procedure established in paragraph 4 of Article 1057 of the Judicial Code, in addition to the fact that said fees do not comport with the monthly income; that the administrator has arrogated to to herself functions beyond those of an administrator by having conducted and investigation into and rendered an opinion on alleged irregularities engaged in by Mr. RICHARD SAM LEHMAN in his capacity as executor; that Article 1610, nowadays Article 1584, of the Judicial Code establishes that administrators of estates shall have such powers as the law bestows upon executors, among them: "monitoring the execution of everything else ordered in the will and, if fair, upholding its 2 validity in and out of court" and "taking the necessary precautions for the conservation and custody of the property, with the intervention of the present heirs"; that the administrator has not performed those functions as she has not taken steps to defend the will but, to the contrary, has adopted a passive stance, before and after the Fifth Judge issued Order No. 716 of July 3, 2008, in the Motion to Disencumber Property filed by Hilda Piza Lucom, in which it was ordered to disencumber monies in foreign banks in the amounts of Bl. 3,400,000.00 and Bl. 370,000.00 belonging to the estate; that the administrator adopted a similar passive stance when the attempt was made to put Bl. 4,000,000.00, also belonging to the estate, in the hands of third parties; that inasmuch as the legal representation of the estate has been held in abeyance and the administrator cannot discharge that function, her mission is to make known to the trier of fact that he may not proceed to issue an order to lift [sic.] or to admit acts against the estate, as these would be null and void; and that the appointment of an administrator is a jurisdictional act of the judge responsible for said appointment under the law, an appointment which he can make freely and in his absolute discretion, but that, under Article 1582 of the Judicial Code, administration of the estate in testamentary proceedings is incumbent upon the executor, and that, therefore, the appointment of Ms. Marta Lucia Caft.ola is in contravention of the aforesaid legal provision. Said Motion was admitted and referred to the court under resolution of November 25, 2008. Ms. Marta Lucia Cafiola answered the Motion in question and admitted that she had been appointed administrator but denied all of the charges made against her and described the strenuous efforts she was making as administrator. THE ORDER UNDER APPEAL In Order No. 203 of February 19, 2009, which is the resolution being appealed from, the Fifth Civil Circuit Judge for the First Judicial Circuit of Panama denied the removal of the 3 administrator of the estate of the late WILSON CHARLES LUCOM designated by the judge himself in Order No. 1147 of November 21, 2007. In the whereas clauses of said order, the judge whose decision is being appealed from states, in the first place, that contrary to what the mover represents, his court has not, to date, set the fees of Ms. Marta Lucfa Cafiola in her office as administrator and that the mover is therefore lying. He also states that, contrary to what the mover indicates, Ms. Marta Lucia Cafl.ola has not overstepped her functions as administrator, as the report rendered by her resulted from the fact that it followed from numerous documents filed by Sam Lehman that he administered property belonging to the estate and that therefore she was indeed entitled to issue an opinion in connection therewith. He adds that it was the attorney-in-fact himself, Sam Lehman, who informed of the existence of a bank account in the United States which belonged to the estate, and that for this reason the court instructed the administrator to conduct investigations and, should this turn out to be true, to take the necessary steps to bring him [sic.] into the process. He concludes that the administrator's activities are in keeping with her functions. With respect to the alleged passive attitude of the administrator, the lower court judge defends it by pointing out that this does not show ineptitude on the part of the administrator as she was not obligated to oppose the motion to disencumber property that was filed, and that ineptitude cannot be determined from an isolated fact but rather from a series of actions or omissions constitution a pattern of behavior that may be termed inept, and that this is not the case with Ms. Cafiola who, to the contrary, has done a huge amount of work inventorying, conserving, and defending the assets of the estate, which translates into an active work of administration and 4 defense of said assets before administrative and judicial authorities, as reflected in the reports that have been filed and are known to the parties. This being so, the judge whose decision is under appeal states that he can find no grounds to remove the administrator and therefore denies the motion. ARGUMENTS BY THE PARTIES The firm of TAPIA, LINARES Y ALFARO, judicial attorney-in-fact for RICHARD SAM LEHMAN and LUCOM WORLD PEACE LIMITED, trustee of the FUNDACION WILSON C. LUM trust, argues that the testator intended most of the corpus of the estate for the latter, for the benefit of poor children in Panama. The aforementioned firm goes on to argue that the grounds for the present motion are the inept and abusive acts the provisional court-appointed administrator, Marta Lucia Cefiola, has engaged in, and that it had so been set forth in the motion with facts supported by documents and proceedings in the estate file, but that notwithstanding this, the order under appeal ruled that that the administrator had not overstepped her functions. As regards ineptitude, in view of the passive stance adopted by the administrator with respect to the [motion to] disencumber property filed by Hilda Piza Blondet, the appellant firm states that the judge whose order is being appealed from found that there was not ineptitude but, that, rather, the administrator had made strenuous efforts; however, it [the finn] dissents from said finding as the judge ignored the evidentiary force of the proceedings and the omissions. The attorney-in-fact states in its appeal that there exists a serious problem with the administration of the property and the execution of the will as set forth in the testament which is ' indeed being challenged by a motion to declare it null and void filed by Hilda Piza Blondet in spite of the fact that she had been appointed executrix by her husband. 5 It goes on to say that while the designation, appointment, and installation of the designated testamentary executors, RICHARD LEHMAN, CHRISTOPHER RUDY, and HILDA PIZA BLONDET, was being discussed, an individual of the moral standing, good reputation, and experience of Professor Ruben Dario Carles was designated as administrator, but that Executrix HILDA PIZA BLONDET has not allowed him to discharge that office and this has led to the designation of Marta Lucia Cafiola to administer and conserve the corpus of the estate until such a time as it is possible to dispose of it in the manner contemplated by the testator. The appellant attorney-in-fact continues saying that in view of the evidence in the case file, it is not possible to ignore that Cafiola's administration has been lacking in positive results and it has rather unfolded in troubled fashion and not for the benefit of the interest pursued, not only because of her ineptitude but also because she has arrogated functions and powers that are not incumbent upon her. The appellant firm adds that the very reports submitted by the administrator reveal their partial nature, as they focus only on such aspects as she deems relevant, but that Executrix Hilda Piza Blondet herself, in view of the lack of a full and detailed report, is asking that she render an accounting of the status of the bank accounts. The appellant firm also says that the administrator has arrogated functions that are not incumbent upon her and that the best of example of this is the investigation of the designated executor she carried out under the pretext of complying with a court order, while an investigation such as the one that was carried out, involving property that is in a jurisdiction other than Panama's, has to be conducted through legally established channels and no through the assigning of the administrator and the use of private firms. 6 The attorney-in-fact filing the appeal notes that such activities of the administrator tend to prevent the executor of the estate from discharging his obligations or from being reinstalled in his functions, and are evidence of the administrator's partiality in favor of Mrs. Hilda Piza Blondet, who has kept the executor from performing his functions and who had also been designated as executrix by the testator but is now seeking to have the will voided. With respect to the monthly reports, the appellant states that they fail to include a full report on all of the property bequeathed by the testator, a fact which in and of itself constitutes ineptitude, in addition to the fact that the Judge himself acknowledged in Order No. 203 of February 19, 2009, that he has not even set the administrator's fees, something which is inconceivable. The appellant ar$ues that the administrator has applied for authorization to sell an apartment in Punta Paitilla, of high monetary and social value, alleging --but not establishing- that it is in a deteriorated state, and asks how could the apartment have come to be in such a state is she has been administering [it] since. a year after estate proceedings were opened, which proves ineptitude in administering and conserving the property of the estate and also shows her liquidating capacity, for she has also sold other properties, such as cars she has described as junk, something which does not comport with or is included within her functions. The appellant firm asks that the evidence offered in support of the appeal be analyzed and reviewed in order to ascertain that, although the administrator alleges she received the Hacienda Santa Monica in poor conditions, she has also hired [personnel] and purchased horses with resulting problems and losses for the farm because, as she herself points out, the horses were not suitable for what was required and are sick, and this is a good example of the ineptitude the lower court overlooked in concluding that it may not be deemed that the administrator was 7 remiss and passive in the defense of the interests of Valores Globales, S.A., in the motion to disencumber property filed by HILDA PIZA BLOND ET, the shares of which [corporation] should be considered as assets of the estate and which only Executor Richard Sam Lehman is defending for the benefit of the estate. The attorney-in-fact concludes its appeal by pointing out that there exist numerous situations or facts which show the appeal to have grounds and that Administrator Marta Lucia Cafiola should be removed and ~sks, therefore, that the appeal be granted. On the other hand, Ms. Marta Lucia Cafiola, in her extensive pleading opposing the appeal, begins by recounting the events that have transpired in the estate proceedings and says that Richard Lehman was declared to be the sole executor in the Order Declaring Heirs, despite the fact that testator had appointed three executors; that said order had been appealed from and rendered without effect but, that despite that, Lehman continued to act and incorrectly used estate funds in Florida, for which he must answer, and narrates acts carried out by Lehman which run contrary to the orders of the Panama court; she claims that Lehman has unduly spent in excess of Bl. 600,000.00 from the accounts of the decedent in expenses which did not benefit the estate. She adds that credible evidence showed that Lehman is a greedy opportunist who seeks personal advantages and control of the assets of both the domiciliary and the ancillary estate in the United States and that therefore the expenses incurred in connection with the objections to Lehman's expenses are justified and proper. She states that Lehman is not entitled to any fees from the estate. Opposing counsel also brings up the resolution issued by a Florida judge in connection with the LUCOM estate, declaring Richard S. Lehman's appointment as ancillary Personal Representative of the Estate in Florida to be null and void, and ordering him to pay damages to the estate in excess of Bl. l,000,000.00, plus interest, and states that therefore he lacks moral 8 standing to accuse her. She advises that she has been constantly submitting reports to the court. She next lists all of the instances where she has had to intervene to prevent other persons from being adjudicated beaches belonging to HACIENDA SANTA MONICA which, in turned, is owned by the estate. She also alleges that she has had to defend sixteen (16) hectares occupied by Buenaventura Development, which refuses to tum over occupied land belonging to the estate, as well as labor cases which, due to bad advice by Mr. Crosbie, were not closed before the decedent's death and had to be attended to as the firm was in danger of being attached. She points out that the foregoing attests before the Court to the hard work she has had to contend with in administering the estate, in addition to attending to cases of cattle rustling, equine fever affecting the horses, maintenance of fences, claims by neighbors, not to mention her daily [sic.) trips to the farm three to five times a week to take care of it and attend to matters. She also alleges that cattle ranching is another area which was neglected for a long time, and this explains why there are problems with the animals to date, and that the lands were not made ready. With respect to apartment in Punta Paitilla, she states that at one time it was requested for the benefit of the estate, taking advantage of the fact that the national economy was experiencing a real estate boom, but that it has gone down. As regards fees, she indicates that the court has already set her fees as established by the rules, and with respect to the performance bond, that there is a petition pending before the court and that she will abide by whatever the court should decide. Counsel opposing the appeal concludes by stating that the appellant is attempting to surprise the Court by pointing to the mote in somebody else's eye and not the beam in its client's, as may be seen in the judgment against its client from the Florida Judge. She states that by dint of all her acts, the care she has displayed, and the maintenance she has performed, she has been able to increase the value of the real estate, and that while Mr. Lehman speaks of 25 - 9 50 million, the assessed value of the farms at this time is much higher than those amounts. She says that the cars are indeed junk, as evidenced by the fact that they have not been moved for ten years; that is the case of the RR, which she has offered on the internet without getting any response, as it qualifies as an antique, and this has been stated by the mechanics who have inspected it, as well as the other cars. The appellant administrator concludes by asking the court, with all due respect, to uphold the appealed order and to order the mover of the motion to pay punitive costs. OPINION OF THE COURT It should be made clear at the outset that although few resolutions are appealable in estate proceedings and that the order ruling on a motion to remove an administrator is not expressly established as an appealable resolution, this Superior Court considered that it should hear the present appeal in view of the fact that the order declaring heirs is appealable, and an executor, which in the ultimate analysis is the same thing as an administrator, was instituted in said declaration of heirs. In this regard, whatever is decided on in connection with the motion also affects the order declaring heirs and therefore, it must also be appealable. In Order No. 203 of February 19, 2009, embodying the resolution under appeal, the Fifth Civil Circuit Court for the First Judicial Circuit of Panama --which is hearing the testamentary estate proceedings of the late WILSON CHARLES LUCOM a result of the disqualification of the Fourth Civil Circuit Judge-- decided to deny the Motion to Remove the Administrator designated by it in Order No. 1147 of November 21, 2007. It is the opinion of this Superior Court that such decision must be revoked and, in its stead, the removal of the designated administrator, Marta Lucia Cafiola, must be granted, albeit without considering the charges levies against her, i.e., without weighing whether or not there 10 was any ineptitude on her part or whether or not she arrogated to herself functions that were not incumbent upon her as the administrator. We shall also dispense with Ms. Marta Lucia Cafiola's defense, i.e., we will not take into account the strenuous efforts which, according to her and to the Judge hearing the case, Ms. Marta Lucia Cafi.ola has been making. It should also be made clear that we will pay no attention to Ms. Marta Lucia Cafiola's comments about Mr. Richard S. Lehman, for what is at issue here is not that gentleman's behavior. Let us see, then, why it is proper to revoke the appealed order. This Superior Court knows that Order No. 1025 of July 15, 2006, from the Fourth Civil Circuit Court of the First Judicial Circuit of Panama declared opened the testamentary estate proceedings of the late WILSON CHARLES LUCOM and appointed RICHARD SAM LEHMAN as executor; Mr. Lehman appeared in the will as one of the executors. Said order was appealed from and the appeal was admitted, execution of the order being stayed pending the appeal. And, indeed, the first aspect challenged in the appeal has to do with the designation of the executor, an office which the judge under appeal considered was vested exclusively in Mr. Richard Sam Lehman, while Messrs. Richard Lehman and Christopher Rudy and Mrs. Hilda Piza Lucom had been designated as executors in the will, a conclusion at which this Superior Court arrived in its resolution of May 4, 2007, issued as a result of the appeal filed against Order No. 1025 of July, 2006. This Superior Court also knows that Order No. 229-2007 of March 6, 2007, from the Fourth Civil Circuit Court ruled to designate RUBEN CARLES as court appointed administrator in the Testate Estate Proceedings of the late WILSON CHARLES LUCOM and ordered him to appear before the court to be installed in office. Said order was likewise appealed from and the appeal was admitted, without indicating whether the order was stayed or not pending the appeal. 11 It is readily evident from the foregoing that when the Fifth Circuit Judge took over the present Testamentary Estate Proceedings and when he issued Order No. 1147 of November 21, 2007, designating Ms. Marta Lucia Cafiola as administrator of the Testamentary Estate of the late WILSON CHARLES LUCOM, there already existed a resolution designating RICHARD SAM LEHMAN as executor, and another resolution which had appointed RUBEN DARIO CARLOS as administrator, and that both resolutions were under appeal. Pursuant to the provisions of Article 854 of the Civil Code, a testator may appoint one or more executors who may be heirs or parties not related to the estate, and pursuant to paragraph 4 of Article 864, ibidem, if the testator has not established the powers of the executor, the latter bas among his powers the power "to take the necessary precautions for the conservation and custody of the property ... " In other words, the executor is an administrator of the estate designated by the testator in his will. This is confinned by the definition in the Dictionary of the Royal Spanish Academy, twenty-first edition, which states that an executor is the "Person charged by the testator or the Judge with complying with the decedent's last will, having custody of his property and disposing of it as appropriate in accordance with the estate." The foregoing is also ratified by Article 1582 of the Judicial Code, which provides that "In testamentary estates, the administration of the property of the estate is incumbent upon the executor and, in his absence, upon the heirs, and in intestate estates, [it is incumbent] upon the heirs as they present themselves." In tum, Article 1584, ibidem, establishes that "Administrators of estates shall have the powers bestowed by law upon executors." This means, therefore, that both the administrator of an estate and the executor of an estate are the parties in charge of administering the property of the estate, but that the executor is designated by the decedent in his will and, therefore, is present only in testamentary estates, while the administrator is designated by the judge and, in 12 principle, is present in intestate estates when the heirs fail to come to an agreement, as provided in Article 1583 of the Judicial Code. Albeit Article 1583 of the Judicial Code empowers the judge to appoint an administrator when the heirs fail to come to an agreement, this statute, in the opinion of this Superior Court, is contemplated only in the case of intestate estates, and in case that the heirs should not have come to an agreement to designate an administrator for the estate. In testamentary estates, paragraph 4 of Article 1588 of the Judicial Code contemplates, in the absence of an executor, a motion by the declared heirs to ask the judge to provide for the administration of the estates, but this is only, we say it again, in the absence of an executor. Inasmuch as we are in the presence of a testamentary estate in which the decedent designated one or several executors, depending on the interpretation given to the will, as the appellant firm points out, the designation of Ms. Marta Lucia Cafiola violates Article 1582 of the Judicial Code which provides that the administration of the estate in testamentary estates is incumbent upon the executor. Consequently, the judge under appeal could not designate an administrator for the estate and, therefore, it is proper to remove the designated administrator but solely on those grounds. And this is so because the will of the testator is law as against the estate, i.e., the need to respect the will or the intent of the decedent is the supreme law in estate matters, a principle enshrined in Article 707 of the Civil Code. If the will of the testator was to have an executor, the Judge under appeal must respect the will of the testator and, therefore, [respect] the designation of the executor; only in the event that said executor could not discharge his office, could he, at the request of the heirs, designate an administrator. 13 Inasmuch as in the present Testamentary Estate Proceedings of WILSON CHARLES LUCOM he had designated one or more executors, the Judge under appeal could not agree to designate an administrator other than the executor or executors, as this violates the provisions of Article 1582 of the Judicial Code; consequently, the proper and lawful thing to do is to revoke the appealed order and, in its stead, remove the administrator designated, without ordering costs to be paid, under the provisions of Article 1077 of the Judicial Code. Now, then, it is true that in Order No. 1025 of July 5, 2006, the Judge under appeal appointed RICHARD SAM LEHMAN as executor and that said order was appealed from and the appeal was admitted but the order was stayed pending the appeal and that, under paragraph 3 of Article 1138 of the Judicial Code execution of that resolution is stayed. And it is also true that, under said paragraph 3, the lower court judge may continue with the proceedings, but only with respect to that which is not necessarily dependent upon the resolution under appeal. Thus, if what is appealed is precisely the designation of the executor, the lower court judge can do nothing related to the matter of the executor lest he usurp a competence that is not his and violate paragraph 3 of Article 1138 of the Judicial Code. It also true, however, that it seems senseless to maintain an estate without executor and administrator pending resolution of the appeal and even of a motion to vacate, because in this case the appeal was decided on May 4, 2007, but notice was given of a motion to vacate and, pursuant to Article 1172 of the Judicial Code, this Court's decision is likewise stayed. The foregoing notwithstanding, this is no reason to allow the judge, in violation of the will of the testator, to designate another administrator and, consequently, to violate Article 1582 of the Judicial Code, in addition to the fact that paragraph 3 of Article 1138 of the Judicial Code establishes that when an appeal is admitted and the order is stayed, although he (the judge] 14 retains competence in the case, he does so only with respect to that which is not necessarily dependent upon the resolution under appeal. In other words, if what is at issue in the resolution under appeal is the designation of the executor, the court under appeal can hardly make a decision in connection with that issue. The sensible thing in this case would have been for the legatees appealing Order No. 1025 of July 5, 2006, t.o have gone before the court under appeal or, in fact, before the higher court, to ask that the appeal of said Order No. 1025 be admitted without staying the proceedings and not with the effect of staying them, as it was admitted. For if the judge under appeal admitted the appeal with a stay of the proceedings, the appellant, on the basis of paragraph 2, Article 1139 of the Judicial Code, could have asked that it be admitted without staying the proceedings, so as to avoid the estate being left without an executor pending a decision on the appeal. Therefore, on the basis of the foregoing, the FIRST SUPERIOR COURT OF THE FIRST JUDICIAL CIRCUIT, administering justice in the name of the Republic and by the authority vested in it by law, REVOKES Order No. 203 of February 19, 2009, issued by the Fifth Civil Circuit Judge of the First Judicial Circuit of Panama in the Motion to Remove the Administrator filed by RICHARD SAM LEHMAN and LUCOM WORLD PEACE LIMITED in the Testamentary Estate Proceedings of the late WILSON CHARLES LU COM and, in its stead, REMOVES Ms. Marta Lucia Cafiola as administrator of the aforesaid Testamentary Estate inasmuch as her appointment violated the provisions of Article 1582 of the Judicial Code as well as of paragraph 3 of Article 1138 of the Judicial Code. LET IT BE NOTIFIED. Judge EV A CAL Judge MIGUEL A. ESPINO G. JOSE JUAN KARAMANITES Clerk of the Court 15 EXHIBIT F FIRST SUPERIOR PROSECUTOR'S OFFICE FOR THE FIRST JUDICIAL DISTRICT IN AND FOR PANAMA CA~Lc 34 ANO AVENIDA PER!t; Sdiflcic SALOON, 4" F'LOOR SOX 1080PMA,1 PMA . YEL. 6073167 CRIMINAL. PROCEEDING No. 146 PRELIMINARY INVESTIGATIONS FOR COMMISSION Of THE CRIME AGAINST THE LIFE AND PERSONAL INTEGRITY (HOMICIDE) TO THE DETRIMENT OF © WILSON CHARLES LUCOM (R.l.P.) MOTION: DISMISSAL WITH PREJUDICE Panama, December 27, 2006 . HONORABLE JUDGES OF THE SECOND SUPERIOR COURT OF JUSTICE, HAND DELIVERED. In. complianc~ with provisions in Article 2194 of the Judicial Code, this Offica of the Prosecutor remits to the Honorable Judges of the Seco.nd Superior CoU'rt of Justice In and for the First Judicial District of Panama. the preliminary investigation for the crime against the life and personal integrity (Homicide) to the detriment of WILSON CHARL.ES LUCOM (R.1.P.) This criminal inquest begins wlth:ttre Com·plaint'"'filad-at tire Judicial-T-echnicaJ-Pclice-Complaint /. !. 1·. •. ·:(''<\~ . Reception Canter against RICHARD SAM LEHMAN and CHRISTOPHER RU COY, for attempting against s..·:.I . f l' It' the Life and Flersonal Integrity ofWILSON CHARLES LUCOM {l~.l.F'.). (Pages 1-62). In her sworn statement. HILDA ANTONIA PIZA BLONDET. the wife of the now deceased WILSON if f CHARLES LUC OM, who Indicated that her husband died on June 2. 2006 at Centre Medico Paltllla, since he ha.d been admitted fer "ldney ailments, at all times in intensiv-e care. She indicates that Messrs. RIC HARD SAM LEHMAN and CHRISTOPHER RUDDY. and together with Mr. ISRAEL TEJADA, who was her husband's driver. harassed him continually. inasmuch as they would b.urst in to the room after visiting hours and against the orders of nursing staff. Furthermore, they wanted to move Mr. Lucom to the Punta Pacifica hospital. The witness states that on June 1. 2006. her husba.io refused transfer by ambulance, moving his head ro indicate that he did not want to be taken our of the hospital. and at that time he suffered an 1T1farct. ~ecause they were there, beyond visiting hours and against doctors· orders She ex.plained that Lehman, Ruddy and Hibberd were not concerned about her husband's health, since they wanted to accelerate h~s death anyway and rob her of all her husband's assets. (Pages 63-66). CARLOS QUINTER o sue RE, security officer at Edificio Royal Pa lace, indicated that on Septsm ber 11, 2006. at approx:imatefy seven in the evening (7:00 p.m.), two subjects appeared at the aforementioned building, identifying themselves as members of !he Judicial Technical Police, and asked for ANDREA. but because it was so late, told them he coufd not cafl and these subjects got upset and told him he was not ·cooperating with the authorities. wherafor he proceeded to call the receptJonist on duty by !he name of VICENTE AL.VARAOO. who told them that this woman ANCREA no longer worked at that apartment. wherefor the subjects left and did not return. He also indicated that the building has a video systern that records everything that happens In twenty-four (24) hours. Other documentary evidence was added, the Medical History of Mr. WILSON CHARLES LU COM is . incorporated thereto (Pages 75-365). In his statement, Dr. MARCO ANTONIO LOPEZ ZAMORA indicated. that Mr. WILSON C.HARLES LU COM was his pati~nt during a six-year period, and that he treated him for respiratory illnesses and other medical problems. He indicated that he was admitted to Centro Medico Paitilla on May 5, 2006, suffering from chronic respiratory insufficiency. hypoxemia. cyanosis. large right pleural stroke, severe dehydration and shock (hypo tension) and gastroenteritis. He indicated that Messrs. Lehman, Ruddy and Hibberd strongly insiste~ that Mr. Lucom be transferred to another hospital. Subsequent thereto. these gentlemen signed a request for transfer with volunt~ry discharge: however, it was not done because they were unable to get an am bu.lance that was sufficiently equipped: in the meantime. the patient was receiving the required medical attention. he was never discorinected. never neglected and no other medical support was withdrawn; he was ' day. lv!r. Lucom suddenly went i~_r_o cardiac arrest. and recovered thanks to resuscitation maneuvers', bui suffered another hear! attack and died (Pages 371-377) VICTOR ANGE!. OTERO MADRID indicated that he worl<:ed at Centro Medico Paitilla and then began to take ca·re cf Mr. Lucom privata~y. in mid-September, 2005. Subsequently, on May 5, 2006, he was hospitalized and indicates a series of events took place that affected Mr. Lucam's health, explaining that on that day Mr. ISRAEL TEJA.DA advised Mr. LUC OM of. the hospital transfer and that.Messrs. RIC HARO and CHRISTOPHER were paying the hospital bill: at that time, staff dressed in green that was going to transfer him cama In, and Mr. LU COM was really shocked, grabbed his hand and tried to tell him something, therefore, from. getting so upset, as a result of the events relating to the transfer, he went into crisis. (Pages 378·384). A visual inspection was conducted at Edfficio Royar Palace for the purpose of seeing the video dated September 12, 2006, however unable to Identify the vehicle and the license plate. ·(Pages 397-400) The Death Certiflca te issued by the Civil Registry General Directorate of the now deceased WfLSON CHARLES 1.UCOM (R.l.P.) was added, (Page 422) One can observe the Forensic Evaluation of Mr. LUCOM'S clinical history conducte"d by the Forensic Board. (Paga 423-425) PROSECUTOR'S OPlNION Sy analyzing the records cf the proceedings which constitute this criminal file, we verified th at the Death Certificate issued by the Civil Registry General Directorate has been added. therein indicating that Mr. WILSON CHARl.ES LU COM {R.LF' .) died on June 2. 2006. as a result of Acute Myocardial Infarction (Page That from the evaiuation of the Ciinica1 His.toryof Mr. WILSON CH ARf..ES LUCOM (R.I.?,) conducted by the Forensic Boarp of the Forensic lns:itute (l'c;ge 423.-425), one gieans that this is an eighty-eight year-old patient. who had a history of several chronic ailments- (diabeies. atherosclerotic cardiopathy .. Arterial hypertension, Dis!ipidernia ..A:;,rtic Valvulopathy, EPOC. surgery for cancer of.the urinary bladder. Chronic Kidney Failure and cardiac failure) He was admitted to intensive care for severe deterioration of his health. presenting acute complications (respiratory. and digestive). As part of the treatment, thoracic function was done for the purpose of draining liquid collected in the pleural cavity (Thoracocentesis}. Hours later, he presented clinical symptoms (consisting o~ acute respiratory insufficiency and shock, and went into crftical conditipn which was aggravated by complications that developed and were handled ·by treating physicians until he stabilized: however, acute infection arose due to pulmonary infection and he died. Based on all of the foregoing. and taking into accounc all probative elements which constitute the file at issue. we hereby deduce that the acts reported by the law Office of INFANre & PEREZ ALM!LLANO. acting for and oo behalf of the .widow·Hll..DA ANTONIA PIZA LUCOM, did not constitute a crime. Therefore, we suggest the Honorable Second Superior Court of Justice rule in this case, ordering DISMISSAL WITH PREJUDICE in accordance with previsions in Article 2207, paragraph 2 of the Ju.dicial Code. Respectfully submitted. Isl lflegfble A TTY. JAMES e. BERNARD V. First Superior Prosecutor in and for the First Judiclal District of Panama MLH EXHIBITG SECOND SUPERIOR COURT OF JUSTICE, Panama, March nine (9) of two thousand and seven (2007). To qualify its legal merit, the First Superior Prosecutor issues the summary investigated in relation with the death of WILSON CHARLES LUCOM on June 2, 2006 in the San Francisco District. In the elements obtained from the investigation (fs.426-429), Licensee James Bernard specified in his writ that from the evaluation earned out by the Forensic Medical Cowicil of the Legal Medicine Institute to the medical history of "WILSON CHARLES LU COM he could deduct that this was an 88-year-old patient with a history of several chronic illnesses, admitted in the intensive care unit due to a severe deterioration of his health condition, he underwent several treatments however complications arose which were handled by the physicians treating him until he was stabilized, nevertheless he presented an acute infectious condition due to a lung infection and dies. Forwarding the aforesaid, the Prosecutor considers that the facts reported do not constitute in any offense for which the Court pronounces a sentences resulting in a definite stay of proceedings in the present cause, according to the established in article 2207, numeral 2 of the Judicial Code. SUMMARY OF THE FACTS The investigation initiates with the claim submitted by the forensic firm Infante & Perez Almillano on September 11 of 2006, before the Judicial Technical Police's Claim Reception Center acting in representation of HILDA PIZA LUCOM against RICHARD SAM LEHl\1.AN and CHRISTOPHER RUDDY, due to the alleged commission of In the report, the claimant alleges that the deceased was admitted to the Paitilla Medical Center on may 5, 2006 with a critical health condition due to many complications reason for which he was admitted in the Intensive Care Unit, forwarding his admission Mister RICHARD SAM LEHMAN and CHRISTOPHER RUDDY constantly insisted on transferring the patient to the Punta Pacifica Hosi;>ital, under the excuse that the personnel at the Paitilla Medical Center was not sufficiently qualified to care for the patient; a transfer which the patient's wife never agreed upon. She adds that on June 1 of 2006, the Paitilla Medical Center authorized strictly under Mister LEHMAN and Mister RUDDY'S responsibility the transfer of WILSON CHARLES LUCOM to the Punta Pacifica Hospital in the del~cate health condition in which he was, due to the delay of the administrative paperwork for his release and against the will of the own WILSON CHARLES LUCOM they tried to take him out of the Intensive Care Unit of the Paitilla Medical Center causing him his first heart attack which had a very negative impact on the patient's health, although he was resuscitated thanks to the timely intervention of the physicians present, however hours later he suffered another heart attack which resulted in his death. The circumstances surrounding the death and a number of considerations regarding the inheritance of Mister Wilson Charles Lucom are the motives that led the claimant to request an investigation in his death (fs-1-11 y ss.). HILDA PIZA LUCOM's sworn deposition is set on record in folio 63-66, ratifying the facts exposed in the claimant's summary. To clarify the event the following evidence elements were gathered: was his patient for approximately 6 years, he saw him frequently due to respiratory conditions and other medical problems. He added that Mister WILSON CHARLES LUCOM was admitted at the Paitilla Medical Center on May 5 of 2006 with severe respiratory failure, respiratory frequency of 32 to 36 times per minute hypoxemia and cyanosis (a bluish or purplish tinge to the skin and mucous), a large pleural effusion in the right side and other conditions that determined his immediate admission to the Intensive Care Unit. That two weeks forwarding his admission, mister LEHivlAN, RUDDY and HIBBERD visited the patient on a daily basis requesting thorough reports on the evolution of the patient, and during the last week of hospitalization insisted on having the patient transferred to another hospital to which he denied to, nevertheless they notified the hospital authorities to get them involved in the case, the Hospital's official transfer papers were signed as a voluntary release however the tran~fer was never carried out due to logistic reasons. The physician states that the patient was never unattended or disconnected and was never. taken off any medical support, always remained in the same bed with all the life support machines and medicines that be was taking; pointing out that the same day at 6 p.m. Mister Lucom suddenly developed a heart attack, he improved due to the resuscitation maneuvers fifteen minutes later, in the morning he suddenly had another heart attack from which he didn't recover. VICTOR ANGEL OTERO MADRID (fs.378-384) declared that he privately cared for Mister Wilson Lucom since mid September of 2005; he added that he was present in Mr. Lucom' s room when Mister Peter Hibberd who was with Mister RICHARD LEHl\IIAN and CHRISTOPHER RUDDY told him that they were going to transfer him to another hospital, to which Mr. Lucom automatically made a gesture to him, by grabbing him by the hand and tried to tell him something, the vital signs monitor immediately began to go off due to the cardiac frequency therefore he went to seek for medical help, and this is when they began given him first aid carrying out resuscitation maneuvers, being able to stabilize him, nevertheless he died the next morning. ·------.1 --- _ ...... ---o---.,, ... ___ .. __ CHARLES LUCOM died of"ACUTE MYOCARDTIJ1v! HEART ATTACK". Copies of Mister WILSON CHARLES LUCOM clinical history are attached to folios 79- 343. The same was evaluated by the Technical Council of the Legal Medicine Institute in the November 6, 2006 session, forwarding the analysis specified the following: This is an 88-year-old male patient who was admitted at the Paitilla Medical Center on May 5 of 2006. He died on June 2 of the same year. Elderly patient with a history of several chronic illnesses (Diabetes, arteriosclerotic heart disease, arterial hypertension, dyslipidemia, aortic valvopathy, EPOC, operated urinary bladder cancer, chronic kidney failure and cardiac failure) for which he received different medical treatments. He was admitted in the Intensive Care Unit for severe deterioration of his health condition due to fact that he presented acute complications (respiratory and digestive). As part of the treatment it was necessary to practice a thorax puncture with the purpose of collecting fluid from the pleural cavity (Thoracocentensys). Hotirs later he· presented a clinical condition of acute respiratory failure and shock which caused a critical condition which worsen due to development of a serie of complications that were handled by the physicians until reaching a stable condition, however he then presented another acute infectious condition due to lung infection and died. LEGAL FUNDAMENTS According to the court the elements summarized allows it to deduct that the death of Mister WrLSON·CHAR.tES LUCOM resulted from adverse -pathological circumstances. and is not. a product of the intervention ·or a criminal fraudule~t. or punitive act. In relation with the acts carried out by Mister RICHARD LEHlVIAN and Mister CHRISTOPHER RUDDY, they cannot be considered as the factor that unchained the death of Mr. Lucom, the only factor that was allocated was the insistence in transferring resuscitation maneuvers nevertheless, he had another heart attack the next morning and died. Corollary to the aforesaid it is important to underline the sworn declaration of physician MARCO ANTONIO LOPEZ ZAMORA in which he states that the patient was never unattended, disconnected was never taken off any medical support, always remained in the same bed with all the life support machines and medicines that he was taking. Under these circumstances we estimate that the investigation should be closed with a definitive objective and impersonal stay of proceedings. Resolution part Therefore, THE SECONDSUPERJOR COURT, administratin&justice in the name of the Republic and for its authority of the law, declares a definite objective and impersonal stay of proceedings in the summaries of investigation with the.occasion of the death of WILSON CHARLES LUCOM. RIGHT FUNDAMENT: Article 2207 of the Judicial Code. NOTIFY AND FILE WSTICE LUIS MARIO CARRASCO EXHIBITH ...... VI"\. '-.l"\.V.:l~u:.:., JV>:iJ:. .ru.. "~ \,,\..J.t:.1 v, l'\VU.:J i LJ"'/ ,:i..r;:.J,..,.i....nvru'I, .t'...!'ILJ.ru::..M. OSPINA, DR. PETER .HIBBERD AND ISRAEL TEJADA for the commission of tbe aggravated offence of swindle, falseness, illegat exercise of profession and unlav.i'ul associatioD to commit offences. · MISTER DISTRICT ATTORNEY OF THE REPUBLIC: We, INF ANTE, & PEREZ AI.Mn.LANO, ·represented by EDNA ··RAMOS CHUE, acting on behalf and in representation of HILDA PIZA LUCOM. The hereinafter is to appear before your office in order to submit a fon:nal criminal complaint RICHARD SAM LEHMAN, CHRISTOPHER RUDDY, VICTOR CROSBIE, JOSE ALVAREZ CUETO,- AGUSTIN SELLHORN, ANDREA OSPINA, D~ PETER HIBBERD AND ISRAEL TEJADA for the commission of the aggravated offence of S'Windle, falseness, illegal. exercise of profession and unlawful assoeiation to commit o;ffeni;:es in detriment of Wil..SON CHARLES LUCOM and om client. I. TilE PARTIES Th'VOL YED IN nns CRIMINAL. CHARGE A.R$ THE FOLLOWING: . ·- 1. THE PLAINTIFF: HIL!>AP!ZA LUCOM, 2. nrs DEFa1DANT: RICHARD. SAM ·.LJlliMAN, CHRISTOPHER RUDDY, VICTOR CROSBIE, JOSJ::·ALVAREZ CUETO, AGUSTIN SELLHORN, ANDREA OSPINA, DR. ·PETER HIBBERD AND ISRA.EL TEJADA for the· commission of the ·aggravated offence · of sw:indle, falseness, illegw exercise of profession and unla"'(ful association to commit offen~es, as well as any other offence that may result :from the investigation in pri>cess, n. TIIE PUNISHABLE ACTS: The pumshable acts m. compiaint conStitllte the offences of AGGRAVATED ASSAULT, contemplated in otir Pemil C~.de, II Book, Title IV, Article 190: . . . "One that by means of misleading procures an Unlawful be~fit for himself or for a third party in d=trlment of another, will be sanctioned w.ith prison from l to 4 years or SO to 200 days of fine. The sanction will ~ from S ·to 10 years of prison if the hmitage damage exceeds the one hundred thousand .dollars or ifit is committed by legal representatives. managers or admmistra.tors m·exercise 'of their functions, '?I' if they are co?llmittcd in detriment'of tbe public admmistration or~ charity center". · FALSEl'i"ESS, contemplated in our Penal Code, Il Book, Title VIII,. Chapter I, Article 265: . . "One who partially -or completely forges a deed, an authentic or public document in the ma.mer that it cari cause a detriment, he will be sanctioned ~.;th 'two to five years of :--·---· -.. ------.. -. ··-- -- - ~. the sanction \vill be from 3 to 6 years in prison". Article 266: · "The sanctions provided in the previous article are .applicable to whom includes or has someone els~ include false declarations concerning a fact that a document must prove in the manner that in can result as detriment, in an authentic public deed or document". ILLEGAL EXERCISE OF PROFESSION, contemplated in our Penal Code, Book II, ' :-') ·- Title VIII, Chapter V, Article 286. - ·~"!';'.!. ··0ne who exerts a profession, for which it is required to ha,1e a special authoriz_atjo~, . ·without having obtained the corresponding authorization, will be sanctioned with six months to two years of prison". UNLAVlFUL ASSOCIATION TO CO:MMIT OFFENCES, contemplated in our Penal Code, Book ll, title Vill, Chapter IIl. Article 242: '"When two 9r three persons· associate or· constitute a gang "'ith the. purpose of committing offences, each one of them will be sanctionedr for this only act, with l · to 3 )'ears.. For the promo~, beads or leaders ,of these unlawful associations, the sanction ·will be . of 3 to S years of prison. The sa:ine sanction will correspond to those who pro,ide financial, logistic support or who hire them to commit these offences ... " III. DA TE AND LOCATION OF THE FACTS: The offences were committed, ma.inly in the Panama Province and District, from the year 2003 to 2006, in a continu_ous maimer. r ACTS THAT BASE THlS COMPLAINT: ·FALSTh"ESS:· · FIRST: \.Vll..SON CHARLES ·LUCOM granted a will through Public Deed No .. 67 646 dated June 20, 2005 ·which 'was modified through Deed No. 11,191 dated October 20, 20()5 and No. 1,131 dated February 3, 2006 granted by the Second. Circuit Notazy of· Panama, through which he appomted RICHARp SAM LEHMAN and CHRISTOPHER R'ODDY as albaceas, and THE FUNDACION Wil.SON C, LUCOM TRUST FUND. as b.eir arid HILDA PIZA LUCOM, ISABEL MAIDA CLARK, LANNY CLARK, CASSANDRA CLARK, MAYO CLJ.1\1C ·OF ROCHESTER, ..MINJ\"ESSOTA, M:ELINDA ARIAS, HILDA ARIAS, MADELAINE ARIAS, GILBERTO ARIAS, MARGARITA ARIAS, NORAH GARl\TER.i JAMES GIBBONS, ANN SMITE;, WALTER GAR..~R, GARY ELKINS, CHRISTOPHER RUDDY, DR. PETER HIBBERD, MARlO BOYD, ANDREA OSPINA, T~l\1IA TAMOS,. ISRAEL TEJADA, EDU.BERTO SOTO and THE FtTN"DACION END W.A.:R TRUST. -----.. ---r ... _, .. _,. ___ .., -· _____ ., _____ . ·-· ...... --· •. - ... ~ __ ..... _ .,_l.J -, •V...,Vs ""1.JV FourJi Court of tbe Ch:il Cifcuit appoimed RJCR.t.,.RD SA..1\.1 LEHJ\.1.Al'\i as aJ_bacea. of tbe testated will of WILSON CHARLES LUCOM however said decision has been appealed by HILDA PIZA Lt:co~r S attorneys and 1s presently pending, h \'\'as granted to avoid mayor detriment FOlJRTH: Apparently, making use of the resolution wruch appointed him as all?acea based on the illegitimate will, RICH..\RD s. .;Jv1 LEIDv1A.'N carried out acts disposing of the properties, specifically'of account #10100ii045838 from the First Natjonal Bank in Palm Beach (Wachovia). FITTif: Lastly, in a paid publication published on page 5 IA of the La Prensa newspaper on Thursday, August 3 l, 2006 it mentions the existence and objectives of a FU1'11JACJON Vlll..SON C. LlJCOM, ""ith apparent beneficial purposes, the same does not even exist in Panama and only intends to pressur~ the real· and only uiiiversal heiress, HILDA PIZA LUCOM, as well as the jurisdictional authorities that are. involved in the processes, using misleading pu~licity. SIXTH: RICHARD SAM. LEHMA..~. made use of the. trust gi'anted to him by. WU.SON CHA.lU.ES LUCOM and made him belie,~e that he had constituted the · F1J1'i'DACION Vlll.SON C. LUCOM TRUST Fl.~'D Emd THE FUNDACION E1'1D WA_'R. TRUST, which were allegedly mentioned by the testator as bene:ficiarles at the t±mi: of setting his last will. . SEVENTH: With the' purpose of obtaining a benefit for himself or .for a third party, RJCHARI,) SAM LEHMAN, \Vas appointed as albacea accruing substailtial fees which indicates that he intended to manage the foundatioD, therefore he ·did not have the intention of honoring. the· last will of Vv'Il..SON CHARLES LUCOM,. given that he denied .to pay the monthly expenses established in the will iil favor· of the widow, HILDA PIZA LUCOM. All of these acts were executed with the collaboration of VICTOR CROSBIE, who mislead 'WTuSON CHARLES LUCOM for many years as described heremafter mthe chapter regarding the illegal exercise of profession, .in virtue of whlc;h he received the sum .of $1S9, 730.90. · · REGARDING THE Il.LEGAL EXERCISE OF THE PROFESSION EIGHTii: RJCHA.R.D SA.lv.t LEHMAN, who allegedly ·exerts the law practice in the United States of America, sent constant information sending legal instructions to Panama to be executed by VICTOR CROSBIE, who identified b.izriself as \VILSON CH..t\,RLES LUCOM'S anomey with the puzpose of canying out important · legal transactions that involved disposing of the property and litigations regarcling WILSON CHARLES LUCOM. N.Il'<"'TH: VICTOR CROSBIE; has given numerous legal services to the cci:rporatio~ named Hacienda Santa Monica, S.A., although he does not possess competence to ex.en the law practice. aunng me years 2003, 2004, 2005 a!ld 2006, as we v.·ill see further on. ELEVENTH: VICTOR CROSBIE bas colJected a total of one hundred and thirty-tv..•o (132) checks, distributed in the folJov:.·'ing manner: 0 Twelve (12) checks dunng the year 2003 v.rhich amount to $11,6i0.00 under the ) concept of legal fees as detailed in the invoices-__received by the firm SELLHORN & ASSOCIADOS which justify said checks. . ·Thirty-six (36) checks during the year 2004 that amount to $51,018.15 under the concept oflegal fees. . Fifty-one ($1) checks to pay legal fees during the year 2005 wmch amount to 61,914. 7 5. . . . Thirty-three (33) checks during the year 2006 v.-·hich amount to $33.253.00. ( exl:libjt with check details) TW'EL VETH: To carry out some of the legal transactions VICTOR CROSBIE operated through several pers9ns, such as Bl.JFETE JURioICO ADMil\TJSTRA TIVO ALVAREZ Cl1ETO, CROSBIE A.ND ASSOClADOS, represented by JOSE ALVAREZ CU"ETO,· who appears as VICTOR CROSBIE's partner in said firm. He also operated through the . SELLHOR.."l\J' & ASSOClADOS firm, represented .by. AGUSTIN SELLHORN '11\•ho issued invoices for senice5 giv'en mthe.name .of this law firm, through VICTOR CROSBIE. . ~ TIIlRTEENTH: Among the selection of services offered by VlCTO:R CROSBIE he :has 'acted on behalf of several processes promoted against HA~A' SANTA MONICA, S.A. and vice versa, all of this as member of the BUFETE JURIDICO ADMil\11STRA TIVO ALVAREZ CUETO, CROSBIE & ASSOClADOS fum, as shoWil in the letterhead which appears in different communications and many diligences earned out mseyeral Courts of the Republic. FOURTEENTH: · At the same time \1CTOR CROSBIE, acted as a· public authorized intezpretez:, such as the time he did' so before the Second Circuit Notary of the Republic of Pa:nama in the ~tnlmentS that are detailed as follow: . Public Deed No. 6,646 dated June 20, 2005 ofth.e Panama Second Circuit Notazy, Peed No. l l,.191 dated October 20, 2005 ofth.e Panmia Second Circuit Notary and Public Deed-No. 1,1.31 dated Febnmry 3, 2006 of the Panama Second Circuit Notary. F.IFTEENTH: According to the certification issued, by the Fourth Court of General · Business of the Supreme Coun of Justice as well as the Department of Education, f\.1ister VICTOR CROSBIE, does not presently possess any competence to exert the law practice in the Republic of Panama, neither does he possess the competence of a Public Authorized Interpreter. · · FIRST: RJCHA..R.D ·SAM LEH..l\1.A.~, w1LSON CHA.RLES LUCOM'S attorney, making use of the truSt the testator deposited in him; apparently con,,,•inced WILSON CH..<\RLES LUCOM, by misleading him, to appoint him as albacea of his wealth and · supposedly constituted the FLi!\1DAClON vVILSON C. LUCOM TRUST F1J1'-~1J which was constituted as universal heir of \VILSON CHARLES LUCOM'S estate and it is vef)' possible that he intended to manage said foundation v.ithout any control whatsoever on behalf of HILDA PIZA LUCOM, sole beneficiary, as we can deduct from several electronic. commun.lcations. It is presumed that RICHARD SAM LEHM.Di...'N is the bead of this organization. SEC0~1): v1CTOR CROSBIE, acted as an interpreter, in the confection of the will and in said act carried out a set of false declarations, such as the fact that each one of the documents were read and approved by \VILSON CHARLES LUCOM, which is impossible given that the testator WILSON CHARLES LUCOM is from St. Kitts and warned in his will that be did not understand the Spanish language. THIRD: RlCHARD SAM LEHMA.~, who has a law practice in the United States of America, constaritly sent informatiori giving mstructions of a legal nature to be executed in Pana.ma by the alleged ·lawyer \1CTOR CROSBIE regarding sevei-a.I commercial relat:io:cS andjudkial suits that iI:Ivolved V..'ILSON CHARLES LUCOM. FOlJRTil: To cany out some of the legal transactions VICTOR CROSBIE operated through several persons, such as BlJFETE JURIDICO ADMlNISTRA TIVO ALVAREZ CUETO, CROSBIE A°l'l"D ASSOCIADOS, represented by JOSE . ALVAREZ CUETO, who appears as VlCTOR CROSBIE's. partner in said firm. :He also operated through the SELLHORN &: ASSOCIADOS firm, represented by AGUSTIN SELLHORN who issued invoices for services gjven iD the name oftbis law firm. . FIFTH: JOSE ALVAREZ CUETO has collaborated Vtith RICH.AR SAM LEHMAN io Vv'lLSON CHARLES LUCOM'S estate procedures. This is corroborated by the fact that JOSE ALVAREZ CUETO, from the BUFETE JURIDICO ADivllNISTRATIVO ALVAREZ, CROSBIE & .ASSOCIA!>OS re:quested Oil behalf of RlCHARD SAM LEHMAN the openmg of the estate and consequently appointed RICHARD SAM . LEHMAN as albacea, in the same manner on July 18, 2006 at 3 :2l p.m. JOSE ALVAREZ CUETO received all appeal statement from SALVADOR MUNOZ, legal representative of HILDA PIZA BL01'"DET against Resolution no~ l 02S/173-06 dated July S, 2006, ·appointing RICHARD SA.l'\1 LEHMA..7'1 as albacea In said resort is atta.chcd tbe evidence which states that VICTOR CROSBIE is not a licensed lawyer and that the BUFETE ruRIDICO ADMINISTRA TIVO AlVAREZ, CROSBIE & ASSOCIADOS firm did not exist at that tim;e. Coincidently: the next day, RICHARD SAM LEHMAN withdrew a substantial amount of money from an account under the name f;>f VllLSON. CHARLES LUCOM; deposited at the First National Bank in Palm Beach (\VACHOVIA), for the amount of SIX Hl."NDR.ED FIFTY ffi'E THOUS~"D nvo ffi.TNDRED A.~"D FORTY-07'1E DOLLARS A.\11) TVVENTY-FTVE CENTS ($655,241.25). SIXTH: RICHARD SA.M LEHMA.:'\J, as bead of the organization, with the support of VICTOR CROSBIE and JOSE ALVAREZ Cl:ETO, with their several acts made mem up and that his assets were protected, wl:µch is totally untrue given that they have commined acts directed to avoid the compliance of •vhat was supposed to ·be the last will expressed in by his cHent, \VILSON CHARLES LUCOM. r ~\ - . ) SEVEN1H:· It is important to mention that in the last codicil or modification made to the will, which was made under the 'instructions of RJCHARD SA..lvf LEHMAN, he included ISRAEL~. TEJADA (who intended to facilitate \VILSON CHARLES LU<::OM's.hospiial transfer) as beneficiary of VlILSON CHARLES LUCOM as well as A]'l;'DREA OSPINA, ISRAEL TEJ.AJ)A'S ex-wife, which iIJ. tum was \VIl...SON CHARLES LUCOM'S secretary and whom managed a checking account to 'which RlCHARD SA.lv.f LEHM&"'J transferred. funds to in order to carry out the legal · transactions mentioned above and who referred '\'1CTOR CROSBIE as .lawyer ·and interpreter, wbo then appeared· to lack competence of having either of the said professions. · · ElGHTH: PETER HIBBERD, was Vv1LSON CHARl.ES LUCOM's doctor and was appointed as beJJeficiary by ~im and coincidently was the doctor who. was supposed to take care of him when be would have been transferred.from.the Centro Medico Paitilla. ND\TTH: RlCHA.RD SAM LEHM.<\N and CHRISTOPHE.~ RUDDY, self-appointed themselves as "albaceas for medical purposes", (despite the fact that albaceas only act upoll the demise of the graiitor) and as resi:)onsible of the eiccution of a .. will . . I • . declaration" which is 11otiring else than an authorization to execute euthanasia or prevent the exteiisfon of life expectancy in critical health situations, all of this by means of the confections of Public. Deeds which are mrinbered as follow: · 1. Public Deed No. 3880 of the Panal?la Second . Circuit Notary "By '\\'hich \VIl..SON ~ES LUCOM, grants special power in favor of Hil.DA P. LUCOM, RlCHARD S. LEHM.Ai.."'J and CHRISTOPHER RUDDY" dated April F·\ 21, 2006. ) 2. Public Deed No, 3881 of the Panama Second Circuit Notary ·•'By which Wil..SON CHA..RLES LUCOM appoin~ his albaceas for medical a;ttentiori ptirposes" dated April 21, 2006. 3. Public Deed No. 3882 of the Panama Second Circuit Notary ..By which \\'.ILSON CHARLES LUCOM, carries out his free Vvill declaration" dated April . 21, 2006. . . Tbe penal code typifies this criminal conduct in Book. II, Title VII, Chapter ID, ,· anicle 242, which reads as follow: "~'hen two or three persons associate or constitute a gang with the purpose of co~g offences, each one of them 111.·ill be sanctioned, for this only act, with l to 3 years. For the promoters, heads or leaders of these unlawful associations, the sanction will be of 3 to S years of-prison. The same sanction wil1 correspond to those who provide financial, logistic support or who hire them to commit these offences. The sanction will increase one· third when the author possesses firearms witho.ut being legally authorized to do so" i RlCH..:\.RD LEHMAN : Coordination and misleading to take possess]on ' ;I of the deceased's property, as we I I as contactmg; . I ; false attorneys ·to .. ~carry out procedures in j 1 Panama , ! CHRISTOPHER RUDDY ! Appointed as albacea jo:intly with RICHARD ! I LE~ 1 to manage the properties of j ! vVILSON CHARLES LUCOM, according to the I : will which is unlawful and false. i : v1CTOR., CROSBIE IFalse attorney, who earned out all of the legal I I processes and instructions given by RICHARD ! ! LEHM... I AGUSTIN SELLHORN Practicmg. lawyer who allows VICTOR I I I CROSB~ tci ~ct as a lawyer of his la~ fi.rint j ...while .~e is not dully admitted to. exert said I 1 profession. · - · .' j JOSE AL V• .A.R.EZ CUETO Exerting lawyer, who allowed VI~TOR I I. CROSBIE to act as a lawyer of his firm being I iI. i· that his not ;fit to exert this profession. · · ! Al\'DJffiA OSPINA I Personal Secretary of the . decejlsed, followed · ! instructions from RICHARD LEHMA..~. in the i criminal organization and also received vVi.res on j behalf of the same for the legal proceewngs 1· : carried out by VICTOR CROSBIE. I 1 A ) I PETER HJBBERD i Was the doctor of the deceased, also appointed I . ; as beneficiary, was the doC:tor who was supposed · I to attend him when he woµld be tra:osferred from I the Paitilla. Ho ital outside of the co r ISRAEL TEJADA E:X buSband of A.'l\TDREA OSPINA and ·. WU.SON CHARLES 'LUCOMis driver,' he was j the o:ce who contacted VICTOR CROsBIE, to I act as a la-w')'er and received direct instructions i from RICHARD LEHMA.'N • . V. REQUEST: Based on the facts expressed above, ·we request that an investigation of the regulations, and that the corresponding sanction be imposed to the defendants. V'l. SPEClAL·PETITION Given that one of the conducts in this complaint ·constitutes an offence of aggravated S'li'.ii:ldle, ana due to the fact that the damages exceed ON"E Hl]}."DRED THOUSA.1'.;"D DOLL.bi.RS ($I 00,000.00) and that it '11·as executed by a legal representative and/or a]bacea whose position can be compared to a property administrator for which the penal preventive detention of RJCHARD SA\1 LEH!\1A\i. VIL' EV1DE..1\iCE:.. . , .. •· fl:"?'-;lJAJv.!ENT ALS: Attached are the follov.. ing: l. Authenticated copy of Public Deed No. 14,113 dated august 16, 2006, by wh:ich HILDA A..1'.i'TONIA PIZA BLONDET, grants General Power for Th.rl= A.'!\TTE & PEREZ .A..LMILLANO to represent her in any lawsuit. 2. \\1LSON C. LUCOM'S death certificate. 3. Marriage certificate of\7-.~ILSON C. LUCOM and HlLDA PIZA AR1AS. 4. Simple copy of the negative certificate of the FUNDACION 'IJ;1LSON C. LU COM . S. Simple copy of the negative END WAR TRUST 6. Certification i?sue~ by the. General Secretary of the Supreme Coun of Justice, in which is stated· that VICTOR CROSBIE is not a la"''Yer. '7. Certification issued by the Education Department wmch states that VICTOR . CROSBIE is not a Public Authorized Inte!Preter. 8. Certi:fication issued by the Minjstry of Go\•emment and Justice which states that VICTO~ CROSBIE is not a Public Authorized Interpreter. 9. Authenticated copy of Resolution no. 1025/173-06 dated July 5, 2006 thi-ough which the testated estate of \:\.i'JLSON CHARLES LUCOM is ·open appointing RlCilA.RD SA.. 1\.1 LEHMA...'1\r as· albacea, · among other declatations. · · JO. Authenticated copy of Resolution no. 1227 dated august 31, 2006 through general protective meas~ are dictated, consisting on avoiding a.r:iy 'type of management· or disposition of properties. in. relation with the .·otrill _of ~SON CHARLES LUCOM. · 11 . Authenticated copy of Public Deed No: 6646 of tbe Panama Second Circuit Notary "by w'hicb WILSON CH.t>JU.ES LUCOM grants his last will" dated June 20, 2005. 12. Authenticated copy of Pubiic Deed No. l 1191.ofthe Panama Second Circuit Notary ..by which WILSON CHARLES LUCOM grants his last will" dated October 20, 2005. · 13. Auth:enticated copy of Public Deed !'Vo. 1J191 oftbe Paoama Second Circuit Notary •'by wrJch WILSON CHAR.LES LUCOM grants his last will" dated February 3, 2006. 14. Authenticated copy of Public Deed no . .3880 of the Panama Second Circuit Notary .. By which !\1ister WILSO:l\ CHARLES LUCOM,· grants special CHRISTOPHER Rl~DDY' dated April 21, 2006 .. l S. Authenticated copy of Public Deed no. 3881 of the Panama Second Circuit Notary "By w:bJch Mister WILSON CH.A.RI.ES LUCOM appoints his aibaceas for his medical care" dated April 21, 2006. · \., F I J 6. Authenticated copy of Publk Deed-no. 3882 of the Panama Second Circui! Notary "By which Mister WILSON CHARLES LUCOM makes a free will declaration" dated April 21, 2006. · · l i. A.uthenticated copy of Public Deed no. 4648 and 4649, both dated May 12, 2006, "By which mister WILSON CHARLES LUCOJ'y!, ·stat~s his vvilJ · · · regarding the funds ·in his savings account t.=04-01-02-00497 5-0 m Banco General. . . 18. Original copies of 131 drawn by 'VV"ILSON LUCOM andior PAOLA OSPINA, in favor of VICTOR CROSBIE and collected by him for the payment of professional legal fees detailed in the chart in the eleventh . numeral of this complaint. . 19. Nev.·-spaper clipping of the ad published in page 51A of the La Prensa ·newspaper dated Thursday, August 31, 2006 regardmg the Fli1'i"DACION WU.SON C. LUCOM. 20. Copy_ ()f..,~e criminal complaint for offence agzjnst the life and personal integrity of W'ILSON CHARLES LUCQM. . . . REPORTS: Have the following entities officiated: l. The La Prensa newspaper, in order to request an authenticated copy of the payment receipt corresponding· to the ad. publicati0I1 which appeared m page 51Aoftbe Business and Economy S_ection on Thursday, August 31, 2096. As well 2$ an authenticated copy of the order andlol'.publication request. 1. The Florida Bar, in order to certify.that RICHARD SAM LEHMAN is fit to exert the law practice in said State. We request the confection of the correspondmg rogatory letter and attending· the provided by Law no. 32 dated august 1, 2006, by which modiflcations are made to the Judicial Code regarding · International Law, that it will be ajlowed to us to receive the rogatory letter by immediate express courier. · 3. First National Bank in Palm Beach (WACHOVIA) in order to cenify the hereinafter. a. The existence .of the accounts detailed below: b. Subm:it an authenticated copy of the last transactions of said account corresponding to the month of June of 2006. c. Submit an authenticated copy of the ·withdrawal orders and/or 2IlY document that support saiq disposition acts reflected by the transactions carried out in said account foTVv·arding WILSON C. LUCOM'S demise, as of June 2 until this date. V..·'e request that a rogatory letter be by which modifications are made to the Judicial Code regarding International Law, that it '\l\'ill be allowed to us to receive the rogatoty · letter by immediate express courier. 4. Finance and Eco?fomy Ministry to request an authenticated copy of Mr. V1CTOR CROSBIE'S income tax repons: . . 5. Fourth Circuit Civil Court of the First JucHcial Circuit of ~anam..11; to request an . authenticated copy of the.. Open Testated will file· of VvTI..SON CHARLES LUCOl-.1 irbich credits some ofthe acts carried out by VICTOR CROSBIE -iii . the BtJFETE~ JU'Rlr:>ICO ADMTh1STRATIVO ALVAREZ, CROSBIE & ASSOCIADOS firm 6. Second 'Circuit Judici~ Court of Cocle, Civil branch, in order to request an authenticated copy of the file in the Bl"ENA \.'E'ill'RA VS. HACIE1':"DA SA"'1'TA MO:!'."ICA,, S.A. case. · . . i. The Panama Second Circuit NotaT)' in 9rder to request an.authenticated copy of the follo\\'ing publk instrUments: Public Deed No. 10553 dated October 5, 2005. OCULAR INSPECTION 1. · We request that an ocular inspection diligence to the bookkeeping records of - ALVAREZ, CROSBIE & ASOCIADOS, ~ order to determjne the payments received by _VICTOR CROSBIE, for legal professional fees. 2. We request that an ocular inspection diligence be.earned out as· well to ·the bookkeeping reeords of SELLHORN & ·ASOCIADOS~ in order .to determine the payments received by \1CTOR CROSBIE, for legal profession~ fees,: Par~ September 11, 2qo6. Ii:lfante & Perez Almillano Edna Ramos Chue · EXHIBIT H-1 75 Republic of Panama The Judiciary SECOND_ SUPERIOR COURT OF JUSTICE IN AND. FOR THE FIRST JUDICIAL CIRCUIT OF PANAMA. Panama, November twenty-one (21) two thousand seven (2007) .. HABEAS. CORPUS No. 60. HA VIN'G CONSIDERED: · Attorney Carlos Eugenio Cari:illo Gomila filed an Preventive Habeas Corpus action on behalf of RICHARD SAM LEHMAN, whc»is the object of an arrest warrant. ,.:.·> He based his action.,. and indicating the Court should find the arrest warrant for RICHARD SAM LEHMAN is contrary to law, issued by the Fourth Prosecutor's Office ~ and for the First Judicial Circuit ofPanama in a proceeding dated September. l 0, 2007, while the ~le iS ~Chambers of the Seventh Circuit Judge, against whom the constitution.al action is filed . .· . · He stated that the motive· for th~ referenced proceeding is· contrary to law and the acts . ' . . . ~llegedly investigated are t.m!elated to the criminal ·offense charged,· wherefor his ·preventive. detention is ordered; fraud, as a criminal offense, involves a concurring _deceit to the detriment of . l .76 the victim of the crime, and evidence of th~ .falseness and reckiessness of the charges against RICHARD SAM LEHlvf:AN has been provided; the arrest wa.r:rant does not coherently provide how RICI-I/\..RD SAM LEHMAN could have deceived Vi'ILSON CHARLES LUCOM (R.I.P.) based on the fraud charge, which occurred on June 2, 2006; that is, w~en Mr. WILSON CHARLES LUC OM . . . wa.S already dead. With respect thereto, he alluded to jurisprudence .that defines deceit. Re explained that the accusations that are the basis for the charges against RICHARD SAM LEHMJ\.N and his preventive detention refer tci his actions in the performance his duties. as . . . . \ of executor, which post began in a proceeding dated July 6, 2006 before the Fourth Circuit Civil Court in·and for.the First Judicial Circ:Uit qf Panama, wherefor it is erroneous to accuse him of allegedly committing fraud to the detriment of a deceased inasmuch as none of the acts RJCHARD LEIDvrAN is accused of happened prior to the death of WILSON CHARLES LUCOM, wherefor there is no l' probative evidence because all ofthe acts of his principal,. consisting of opening bank accounts and /! managing funds Qelonging to the· estate of 'WILSON CHARLES LUCOM were done in the . . pe~ormance of his duties as executor and while there was no suspension by the Civil Court for performing his duties. He stated that counsel for Mrs. HILDA PIZA BLONDET, before the Fourth Circuit . Prosecutor's Office, dismissed the criminal actions against Atty. Agustin Seilhorn and Mr. Christopher Ruddy, with reservations as to the fact that the said dismissal did not apply to the rest 2 ~· ( ' 77 a-:--\ ( 1~ ! inasmuch as the dismissal is uncondition~l and implies a final waiver of a claim; he transcribed Miele 92 of the Criminal Code, regarding private action offenses, which sets forth that if there are several [personsJ who are Hable, forgiveness by the victim reaches all of them and alludes to an order iss.u~d by the Se_cond Division of the Supreme Court ~f Justice indicating that -the benefit of a proceeding dismissing a criminal a~tion in favor of AGUSTIN SELLHQRN and CHRISTOPHER RUDDY also extends to the re~itjng accused; therefore, the order to take an on.sworn statement and the arrest wan-ant are con'li-aryto law. However, the Prosecutor's Office denied the said dismissal· when; in fact, it ~as the court who bad to deciru; inasmuch ".-5 its admission or reJection is not a · jurisdictional power. (Pp; 1-18 of the file). / Upon issuing the habeas corpus order, Atty. Leticia Vergara, Seventh Circuit Criminal Court f~ . j Judge in and for the First Judicial Circuit of Panama, in charge, stated that she did not ord~r the preventive. detention of RlCHARD SAM LEHMAN, but that it had been the Fourth .Circuit Prosecutor's Office by way of. a proceeding ~ted September l 0, 2007; that Mr. LEHMAN is. at the disposal of the said Court and that setting a date for the preliminary hearing was pending. (Pp. 71-72 of the file) 3 78 ff""'\ (I ) LEGAL BASIS The object of the Habeas Corpus action is to review whether the deten~on of a person has been ordered in accordance with Constitutional and legal provisions; basically, if the warrant has been issued by the competent authority, in writing, and if it ~escribes the facts and circumstances which serve as the basis for the execU:tion of the criminal conduct as well as the involvement of the person whose detention is ordered. These requirements are set forth in Articles 21 of the National Constitution and in ~cle 2152 oft.he Judicial Code, which stip~ate a person who.believes he is unjustly detained ha~ the right to file a Habeas Corpus action to have a higher court to review the legality or illegality of·that detention. . . Thus we note that the investigation begins with the complaint filed by the law firm ofInfante & Perez Almillano, represented by Atty. Ec:illa. Ralnos Chue, acting for and on behSlf of ItrLDA PIZA LUCOM. or Hil.DA PIZA BLONDET against RICHARD. SAM LEffiVf.AN Ej.IJ.d others for fraud, misrepresentation, the illegal practice of the [legal] profession and conspiracy to commit a crime. The central point of the complainant's brief indicated that RlCHARD SAM LEHMAN, by and through bis law office ALVAREZ CROSBIE & ASOCIADOS requested the opening of the 4 . 79 . _ testamentary probate proceeding of WILSON CHARLES LUCOM (R.I.P .), which was granted by the Fourth Civil Court in and for the First Judicial Circuit of Panama in Order No. 10251173-06, dated July 5, 2006; it stated that RICHARD LUCOM, chief counsel for WILSON LU COM is sued for aggravated fraud inasmuch-as he had allegedly established FUNDACION WILSON C. LUCOM TRUST FUND and FUND ACTON END WAR TRUS- to be the heirs of his fortune and. it was thus .. set fortlrin his will, but said foundations did not exist when. the public deed was gtin.ted; wherefor, upon the deat9 ofWILSON LUCOM on June 2, 2006, days B.fter RICHARD LEHMAN moved for the opening of the testamentary probate proceeding, and the civil court appointed him the. executor · nf the testa:m.ent_arv succession. Availing hi.ID.self.of the spurious will, R.!CHARD LEHMAN performed a.Cts disposing of. assets, specifically a total.ofB./ 655 ,241.25 from accoUTlt ~ ;o. 1010077045 838 at First National Bank in Palm .Beach, thereby d.eceivin:; "';;-1LSON LUCOM. for his benefit or that of a third party by d<>==6 iu aamin.is+..er the referenced foundations in his capacity as executor, but without honoring. . . the will of VIILSON. CHARLES because he refused. to provid the monthly expenses that were set . fo~h. in tb.e will for the benefit of the widow, HILDA PIZA (Pg. 1). At pages 5, 793 ~ough 5,481 is the proceecling dated September 10, 2007, whereby an order for th.e unsworn statement and consequent preventive detention of RICHARD SAM LEHMAN is . issued' under the same presumptions set forth in the proceeding, clarifying that the crime investigated was proven by incorporating to the preliminary investigation the proceeding of the Site Inspection at GLOBAL BANK, S.A., thereby establishing that account No. 50-102-23051 was opened in the 5 80 name of RICHARD SAM LEHMAN with Ban.co N acional. checks 7911 and 7912, pertaining to the Banco Disa settlement for Bl. 60,440.38, corroborated by the sworn statement of MONICA GARCIA DE PAREDES CHAPMAN, a Global Bank private banking employee, who indicated that FJCHARD LEHMAN opened the said account with two checks drawn payable to the ESTATE OF WILSON C. LUC()M by RICHARDS. LEHMAN, EXECUTOR; No. 7911, the first check, dated August I, 2006 in the amount ofB/. 57,79L61 a.lid Check No. 7912, dated August l, 2006 in the amount ofB/. 2,648.77, and indicated thatthese were from the Banco Disa settlement.· Further, the Prosecutor's Office stated that the offense and involvement ofRICHARD SAM LEHMAN were proven with the Site Inspection at Banco Disa (pg. 5, 727), where it was established that.the referenced checks we,re issued payable to WILSON LUCOM, but that in accordance with an intemalmemoran~, a recorct was provided of_the fact that the said check was voided, drawing ·· two new ones payable to RICHARD LEHMAN inasmuch as the document was sh~wn, thereby showing that he was the executor of the estate ofWILSON CHARLES LUCOM; and checks were . - continued to be drawn from the said account after he was suspended as the executor and administrator of the assets of Mr. LUCOM. Some of these payments were made to the company ROSSANA URJBE Y ASOCIADOS for advertising work done by her company after August 18, 2006, involving a campaign to make known one of the foundations earmarked for creating funds for 6 81 the poor children of Panama, in keeping with provisions set forth in ~_is estate by· Mr. WILSON LU COM. With respect to' the foregoing, we note that in the sworn statement given by MON1CA GARCIA DE PAREDES (5,779-5,782), a GLOBAL BANK private banking empioyee, and who interviewed the accused RICHARD LEHMAN upon· reque~ the opening of the account at the said institution, she indicated that he op.ened the account with two checks that were payable to the EST ATE OF WILSON C. LUCOM by RICHARDS. LEHMAN, EXECUTOR; the first check, No. 7911 dated August l, 2006 for Bl. 57,791.61 and CheckNo. 7912.dated August l, 2006 for Bl. 2,648. 77; therefore, said transactions were conducted prior to· issuance of order No. 1188/l 7-06 by the Fourth Civil Judge in and for the First Judicial Circuit of Panama on August l 8, 2006, thereby denying the motion filed byRiqrARD LEHMAN ti: ~rtorm. duties as the executor or adi:ninistrator of th.e assets n-f ~.~. WlLSON LUCOM, inasmuch as the order that declares the opening of the intestate succession he filed and bis appointment as executor in the said order were appeale~ and the said appeal was granted with a deferred effect, wherefor his dutie~ as executor were suspended. In conjunction therewith, from the statement given by:MELANIE 'MARLENE BENITEZ (pp. 5,784/5,792), a Global Bfl.Ilk private banking employee, one notes that after the account in favor of RICHARD LEHMAN was opened 'With Victor Lucom' s [sic1 ·funds, transactions with the account were conduc:ted, drawing·checks lintil October, 2006, which is corroborated with the statements of 7 - -~ -----~------______:______~---- 82 the bank account, incorporated to the criminal file after the Site Inspection at Global Bank (pp. 3,295-3,313). As to the deceit committed by RlCHARD LEHMAN, according to the allegations of the complaining party, which state that he deceived Mr. WILSON LU COM by making him believe that he had established Fundaci6n WILSON C. LUCOM TRUST FUND to benefit the poor children of Panama, weliave that in an Order dated May 4, 2007, the First Superior Court in and for the First ' Judicial Circuit (pp~ 3,685-3,708) clarified that the said foundation is nothing more than a trust established on May 26, 2006 in the Island of Nevis, wherein WILSON LUCOM himself appears as the settler and. his will provides that the remainder of the testator's accounts, after satisfying the bequests, and the product of the sale o freal property must go to that foundation for the main purpose offeeding th~ needy children in Panama and not in favor of the accused; and that order even decided th.at the testamentary probate proceeding of WILSON CHARLES LUCOM shall remain open-and appoints RJC".dARD LEHIY.tAN, CHRISTOPHER RUDDY and HILDA PIZA LUCOM as the· executors and trustees. Therefore, the criminal act attributed to RICHARD LEHMAN in the complaint, as well as the charges filed by the Prosecutor's Office against RICHARD LEHivrAN and wherefor his preventive detention was ordered were allegedly for FRAUD; but thus far the Court does not perceive evidence ofthe crime clearly, a situation that will have to be entertained. by the judge pres- 8 -0:> ( \',j g3 idingover the case when deciding if.the preliminary investigation has merits; particularly, when the gov~ming verb in the criminal offense is deceit, inasmuch as the prosecutor's office has not ~ --·· . - explained where the trickery lies, when the crime was committed or against whom the said deceitful conduct occurred. With regard thereto, it is pertinent to note that the authontywho issued the arrest WRIT"....ilL ill ' ' ' the case ofMr.RICHARD LEHMAN has not fulfilled the recicirements set forth in Article21 of the National Constitution, as well as r~quirements. in. Articl~s 2140 and 2152 ofthe Judicial Co~o that the application of the precautionary measure, which is of an extreme nature, can be deemed to be lega~ the written arrest warrant was issued by a competent authority, h.owever; the· punishable act or the involvement of the person whose· a;re.~ is ordered has ·not been clearly shown. As to.the exceptions of the accused and arguments by the defense, these are primarily facts and circumstances that should be considered by the Trial Court when it must decide the different stages oftb.e process-he/she presides, whether it i.S the intermediate stage to decide ifthere are merits to proceed,- or the plenary stage, if he is summoned for trial. . In accordance with the foregoing, the only thing th.at remains fortb.e Court to do is to proceed to find that the arrest warrant issued for RICHARD LEHMAN is illegal, and we shall entertiiin that hereinafter. 9 84 DISPOSITIVE PA.RT Based on the foregoing, the SECOND SUPERIOR COURT OF JUSTICE IN AND FOR THE FJRST JUDICIAL CIRCUIT OF PANAMA, ad.ministering justice for and on.behalf of the Republic and as vested by law, declares ILLEGAL the airest warrant for RICHARD SAM LEHMAN for the crime against property. LEGAL BASIS: Article 21 of the National Constitution, 2140, 2152 and 2574 et seq. of the J ud.icial Code. Isl illegible JUDGE GENEVA C. AGUILAR DE" LADRON DE GUEVARA Isl Illegible Isl Illegibie .roDGE ELVIA M. BATISTA S. JUDGE LUIS M. CARRASCO Isl Illegible ATIY. ANAE. GONZALEZ F. CLERK, IN CHARGE [Stamp:} IN PAN.AM.A ON THE 2zu DAY IN NOVEMBER 2007 AT 2:40 IN THE AFTERNOON ILLEGIBLE CARLOS CAR.Rll..LO GOMILA . Is! illegible CLERK 10 SE_VENTH CRIMINAL CIRCUIT COURT FOR THE FIRST JUDICIAL CIRCUIT OF P.ANAMA. PANA.MA,NOVEil1BER TWENTY-FIFTH (25) TWO THOUSANIJELEVEN (2011) DISMISSAL WITH PREJUDICE No. 323 INTRODUCTION. The preliminary investigation conducted against RICIIAR.D SAM LEHlvJAN, . . . . MARIO vELAsQUEZ CHIZMAR, ALEXIS GUERM.,. ZORAIDA VERG_ARA, JOEL LASSO, JOSE ALVAREZ CUETO, VICT_OR CROSBIE, ISRAEL TE/AJJ.,4 andPAOLA OSPINA is before this Courtforlegal detefminationofthefacts as to the crime of Theft, · . . . . Evidenti~ry _Fals~hood and fllegq}Practice ofa Profession to the detriment ofHilda Piza ,r, Blondet. The Prosecutor's Office is represented by Atty. Tanya Sterling, Fourth Circuit I Prosecutor for the First Judicial Circuit of Panam~; the criminal complainant tn this proceeding is repr~ented by the Law Firm Infante &PerezAlmilldno; while defense counsel are Atty. Luis A. Stanziola H., Atty. Jorge.Zuniga, Atty.· Rigoberto Acevedo, Atty. Froilan Hormechea and Atty. Victor Crosbie, private attorneys, and Atty. flka Cas#llo as the public defender. BACKGROUND I. On September II, 2006, Atty. Edna Ramos·Chue, a member of the Infante & Perez . . . . Almillano Law Firm, filed a citizen's Cljminal complaint against Richard Sam Lehman, Christopher Ruddy, Victor Crosbie, Jose Alvarez Cueto, Agustin Sellhorn, Andrea Ospina, ·~·<·., .f\ 2 Peter Hibberd and Israel Tejada for aggravatedfraud, illegal practice ofa profession and criminal assoCiation which occurred, as indicated, continually between 2003 and 2006 in . the District ofPanama. 1.1 She explained that at the request of the law firm Bufete Juridico Administrativo Alvarez, Crosbie & Asociados; the Fourth Civil Circuit Court for the Province of P_anama, in an order dated July 5, 2006, declared open the testamentary succession . proceeding of Wilson C. Lucom (R.1.P.), who died on June 2, 2006, and the·heirs were Fundacion Lucom Trust Fund and Fundacion End Ward Trus [sicj, and as leg~tees, . . Mrs. Hilda Piza Lucom, Isabel Maria Clark, Robert Clark, Alexander Clark, the Mayo · r I I Clinic in Rochester, Minnesota, Melinda Morrice, Hilda Andelnour [sic], Madeline . . Arias, Gilberto Arias, Margarita. Arias Allinson [sic], Nora Garner,. James Gibbons, Ann I · Smith, Walter Garner, Gaby Elkins, Christopher Ruddy, JJ.r. Peter Hibberd, Mario Boyd, I Andrea Ospina, Tanya Ramos, Israel Tejada and Edilberto Soto. · 1.1 [sic] With respect to the aggravatedfraud offense, she indicated that with knowledge based on the appeal that was filed, the ·effects ofthe order ofthe civil court were stayed, which holds him as"executors [sic] ofthe testamentary succession, Richard Sam Lehman disposed of over six hundred thousand dollars located in the First National Bank and - 3 used part of this money in advertising to his benefit and that ofFundacion Wilson C. Lucom. Previously, she argues, he crvailed him.self of the trust deposited in him by the decedent, who he made believe that he had established Fundacion Wilson C. Lucom TrustFund and Fundacion End War Trus.so that he would_ name them as heirs ofhis assets, ar:d him, Richard Sam Lehman, as executors [sic] with the aim ofapp~opriating such assets. 1.2 Regarding the illegal practice of a profession and certified public interp7:eter, she· stated that as instructed by Ric~ard Sam Lehman, Vi?tor Crosbie, who is' not an attorney, but identified himselfas such to Wilson Charles Lucom (R,..LP.) frpm 2003 through 2 006 · peiform.ed legal steps/or Lucom in Panama.for which he charged close to one hundred sixty thousand Balboas,· for which, on several occasions, he used the law firm Bufete Juridico Administrativo Alvarez Crosbie & Asociados and the Sellhorn & Asociados ·firm. Furthermore, she states, that. Crosbie. acted as a certifiedpublic interpreter without being one in the public deeds dated June 20 and October 20, 2005, and in the one dated Fe_bruary 3, 2006, which contain the will of Wilson C. Lucom and its modifications (R.LP.). 1. 3 As to the criminal association, she indicated that to appropriate the assets of the estate Richard Sam Lehman and Victor Crosbie d.eceived the decedent so that he would name nonexistentfoundations as heirs and Richard Sam Lehman as executors [sicJ, and charged exorbitant amounts ofmoney for legal sen;ices performed by Crosbie without being an attorney through the law firms Bufete Juridico y Administrativo Alvarez Crosbie and Sellhorn & Asociados. Furthermore, with the involvement of the Second Notary for the Circuit and the witnesses of the referenced public__deeds with the will of the decedent, such public deeds were allegedly translated into English by Crosbie, w,herein, farthennore, the decedent names his driver and [the drzve~'s] wife and his doctor Peter Hibberd as legatees. 2. Pursuan~ to a proceeding dated October 11, 2006,_ the Prosecutor's Office began the ·r--·,,·.·.· \ preliminary investigation and in a proceeding on September I 0, 2007, ordered the unsworn ~tatements ofMario Velasquez Chizmar, Alexis Gtferra, Zoraida Vergara, Joel Lasso and. (ose 4!varez Cueto for evidentiary falsehood and illegal practic'e of a profession; and by Paola Ospina Tejada, Richard.Sam Lehman and Israel Tejada for Jr_aud. Furtherinore, it ordered the preventive detention ofVictor Crosbie, Richard Sam Lehman an~ Paola Ospina de Te) ada and applied less severe precautionary measures to the remainder ofthe accused. Subsequently, the Second Superior Court of Justice and the Supreme Court of Justice declared these measures were illegal, reason wherejor no person is under detention or subject to a precautionary measure in this case. 3. During the Prosecutor's hearing on October 31, 2 007, the Prosecutor's Office concluded ··:·. its preliminary investigation and movedfor prosecution ofall those charged. The prelimin- 5 ary hearing was setfor June 9 and July 7, 2008, inasmuch as foreign service.ofprocess was requiredfor one ofthe accused, but while such steps_ were being taken the Second Superior Court ofJustice, in deciding an incidentalproc~eding on a dispute filed by one ofthe defense attorneys ordered the partial nullity of the investigative proceeding and ordered the . Prosecutor's Office to correct the fraud charge ~o. theft ofassets belonging to an unaccepted estate. 4. Due to the foregoing, in a brief written on June 3 0, ?008, the Prosecutor's Office corrected the charges and then remitted the file to the Court pursuant to the .Prosecutor's Hearing on July 30, 2008, therein moving for prosecution of Mario Velasquez Chtzmar, Alexis Guerra, Zoraida Vergara and Jose Cueto for evidentiaryfalsehood; a/Victor Crosbie for theft and the illegal practice ofa profession, and Paola Ospina, Richard Sam Lehman and Israel Tejada for theft. 5. They were reset for May 14 a1J.d June 18, 2009, and subsequently for October 25 and March 23, 2011, dates for the preliminary hearing on the preliminary investigation, but by virtue ofhabeas corpus appeals which did not allow for the file to remain with the Court, and due to the lack of diligence ofjudicial assistance for service abroad to one of the accused, the hearing was not held on such dates. Once all the habeas corpus appe'als and other appeals were decided, the new dates set for the hearing were July 28 and November 23, 2011. 6. The preliminary hearing was finally held on November 23, 201 I, during which the_ Prosecutor's. Office and the complainant movedfor prosecution.ofall accused. Some· ofthe defense attorneys moved to quash the proceeding based on the court's lack ofcompetence regardbyg_the theft ofassets ofan unaccepted estate. Others movedfor dismissals because the existence ofthe investi_gated offenses was not shoWn and because the dismissal of the charges by the complainant in favor ofone ofthe accused applies to all in accordance with . . the Ojminal Code. LEGAL BASES. ·/"'·_·. ( \ 2. With respect to nullity of the proceeding moved for by some of the defense attorneys based on the fact. this court lacks jurisd~ction to consider. the theft ofassets belonging to an unaccepted estate, that is inco'-rrect _and not admitted b~cause in the.. orde~ dated May 12, 2008, the Second Superior Court ofJustice upheld thejuris.diction ofthis court to con.sider the theft ofassets belonging to an unaccepted estate pursuant to the so-called "authority to assert jurisdiction " since 'there are charges against one of the accused in the preliminary investigation also for evidentiary falsehood and the illegal practice oflaw whic~ are within the purview ofthe circuit court, and thereby asserts jurisdicpon over the crime oftheft. I 2. [sic} As to the effects ofthe dismissal ofthe charges in.favor ofChristopher Ruddy, who ! according to some ofthe defense attorneys extends to the rest ofthe accused, the.record re- - ~ /r'C"~,.,, •. 7 fleets that Christopher Ruddy wa.)' not one ofthe accused in this preliminary investigation; .that is, the Prosecutor's Office, which by law and the Constitution is the only agency that . . . can exercise a criminal action on behalf of the Staie, did not file charges through the investigative proceedings; so much so that" this Court cannot enter a decision on such dismissal and proceeds to declare it is overtly inadmissible. 3. Furtherm01:e, this Courtfinds that as to the existence ofthe theft of assets belonging to . an unacc(!pted estate in this preliminary inve;s~gation~ the Supreme Court ofJustice en baize has already entered d negative decision thereon in the habeas corpus dated October J 4, · 2010, whereby it declared illegal the preventive detention ofRichard Sam Lehman due to the n~mexistence of the crime charg_ed. Pursuant to Artide 210 of the Po.litical Constit.ution, judges and appeals court judges m~t ·obey and comply with decisions issued by their hierarchical superiors in a specific proceeding. Furthermore, sharing the arguments ofthe higher court on this aspect, no further comments with respect thereto are required, and the dismissal with prejudice is ordered in favor of the persons against whom this charge was filed. 4. Regarding the existence ofthe illegal practice ofa profession, specifically as a lawyer and certified public translator, incurred, according to the accusation by Victor Crosbie by announcing himselfas _an attorney and peiforming legal proceedings, in the file the Court · .' 't .finds no cards or letters or any other document where the accused announces himselfas an attorney, ·and there is no statement by any person who states he hired him as an attorney for any proceedings; the file only reflects copies of checks and invoices 011payment offees in Javor a/Victor. Crosbie/or legal services, but there is no breakdown as to what such services consisted of, while many activities can be classified as legal (processing and registering public de~ds, investigation of the status ofproceedings and.filing documents, proceedings before the Migration Administration and other public agencies, among others) do not r,equire that the person who peiforms them be an attorney. The same applies with respect to . translation and interpreting seryices wherein law requires only in some specific instances_ that such activity be exercised exclusively by a suitable professional. In the majority of private activities, such as disposing of his assets through a will or other legal form for disposition ofqsset9, the la:w does not require that these be done in a specific langu.age, or that a certified public translator be used; that is something thatfalls within 'the scope ofthe will of the person or persons peiforming the act. Inasmuch as the conducts charged and ... investigated do not constitute a crime, the dismissal with prt;judice is entered in favor ofthe accused Victor Crosbie. 5. In our legislation, the offense ofevidentiary falsehood, as an objective element, requires that the conduct orfalsehood investigated can cause harm inasmuch as the opposite would lead to punishing harmless and irrelevant acts under criminal law, which addresses punishment for acts which hann protected legal assets. In the instant case, the type of ~·;: J . "~ .r 9 evid'entiary falsehood that was charged and investigated involves misrepresentation, which occurs when false statements are introduced into a public or authen.tic documents which the document must prove. In this case, these would befalse statements that affect it by distorting the will of the testator in the documents; however" this is not the irregularity that is attributed to the public deeds prepared by the Second Notary Public for th~ Circuit with respect to the will ofWilson C. Lucom (R.1.P J. As stated before, the irregularities which are alleged to constitute misrepresentation consist of (an ·interpreter who. is not a certified public interpreter was used, the will was written in Spanish, a language the decedent did not understand, aniwhich ~as allegedly translated,into English by a translator who was not suitable; that the Notary and the witnesses do not master the English language, wherefor they cannot attest that what the will says was translated to the decedent and that the latter r \:) did not go to the Notary's Office as stated therein for preparation of the public deeds). Furthermore, from the authenticated copi~s of the testamentary succession proceeding of Wilson C. Lucom (R.LP.), the Court does not .find that. the will or parts thereof was challenged or invalidated; the court decisions thereon refer to the interpretation ofthe will, not its validity. Therefore, inasmuch as the conducts charged and investigated do not constitute a crime, the dismissal with prejudice is ordered in favor of the persons against whom this charge was filed. DISPOSITIVE PART Based on the foregoing, the undersigned SEVENTH CRIMINAL CIRCUIT COURT JUDGE FOR THE FIRSTJUDICIAL CIRCUIT OF PANAMA, administeringjusticeforand . ' on behalf of the Republic and as vested by law, ORDERS THE DISMISSAL WITH JO PREJUDICE in favor ofRJClIAlUJ SAM LEHMAN, a male, .of legal age, passport NoJ. 1554423307, residing at 1120 Bear Island Drive, West Palm Beach, Florida, United States , of America,- MARJO VELASQUEZ CfilZMAR, a male, a Panamanian, of legal age,- personal identity card No. 8,,,176-422, born November 18, 1955, thesonofMario Velasquez Fernandez and Gloria Chizmar de Velasquez, who· may be located at the Office of the Second Notary Public, Called Manuel Icciza, Edificio Angelikl, Lower Floor; PAOLA . ANDREA OSPINA, a femaZe, of legal age, passport No. [sic] E-8-87812, born on November 12, 1974, the daughter of Nelson Horacio Ospina and Marta Lucia Ortiz; ALE_XIS GUERRA MORALES, a male, a Panamanian, oflegal age,personal identity card No. 4-175-:172,.born on December 26, 1966, the sonofRafael Guerra and MariaAugustina Gomez, who can be located at the Office ofthe Second Notary Public, Called Manuel Jca;za, Edificio Angeliki, Lower Floor; ISRAEL DEL CARMEN TEJADA CUERVO, a male, a Panamanian, oflegal age, personal identity card No. 8-233-668, the son ofManuel Tejada . . . .·. . ·and Odalilia Cuervo Dominguez; JOSE ALVAREZ CUETO, a male, a Panamanian, of legal age, personal identity card No. 8-147-903, born on March 28, 1949, the son ofJuan Antonio Alvarez and Arcadia Cueto; ZORAIDA VERGARA, a female, a Panamanian, of legal age, personal identity card No. 8-137-301,· JOEL LASSO, a male, a Panamanian, of legal age, personal identity card No. 8-747-538, and VICTOR CROSBIE, a male, a Panamanian, oflegal age, personal identity card No. 8-155-1933, ofthe charges that were filed against them in this preliminary investigation. .. ~~· . ' . r~ 11 2. ORJJERS lifting all precautionary measures that were imposed in this prq.ceeding, and DECLARES inadmissible the statement of dismissal of charges by the.complainant in fervor of Christopher Ruddy.. LEGAL BASES: Articles 708, 2207, paragraph 2 ofthe Judicial Code, updated Single Text. ,Atty. Felipe Fuentes Lopez Seventh Criminal-Circuit Court Judge for the First Judicial Circuit in and for the Province ofPanama Behring Centeno Court Clerk em 19921 . ~ ·''· . , ·. . ;·· ~i ACCURACY CERTIFICATE OF STATE OF FLORIDA ) ) SS. COUNTY OF PALM BEACH ) Before me, a Notary Public in ~nd for the State of Florida At Large, personally .,.,:· appears Esther Cecilia Crespo, an interpreter certified by the Administrative Office of the United States Courts, who is personally known to me, for and on behalf of Liaison Services, Inc., who after being first duly sworn, deposes and says that she is fully versed in the Spanish and English languages, and that she has verified and certifies that the. ,. ·:·. foregoing translation is a true and correct translation of th.e original document, consisting of//- page(s), and that this is the last of the attached. Esther C. Crespo · U.S. Court Interpreter· Translator . ti; . Sworn to and signed bef~re me on this 4 day of /f !111JeL.20ft/, in Boca Raton,Palm Beach County, Florida. My commission expires: . CARO!. 1'ROEl MY COMMISSlON #DD S39510 EXPIRES: March 18, 2013 BondodThnl ~ PutiHo u~ EXHIBIT I .. / 1 PROSECUTOR'S OFFICE OFFICE OF THE FOURTEENTH PROSECUTOR IN AND FOR TEE FIRST JUDICIAL CIRCUIT OF PANAMA Official No. 553 Panama, February 7, 2009 Lieutenant Nestor Rios Jtidicial :investigations Administration Panamanian National Police · Lieutenant Rios: Pursuant to the telephone call from the Judicial Investigations Administration as to Mr. Richard Sam Lehman's status, I must note that the Second Superior Court of Justice,. by way of Official document No. 5668-S, dated December 10, 2008; notified us of the judgment by the Supreme Court of Justice en bane therein declaring illegal the detention of Mr. Richard ~am Lehman, accused of crimes against honor, ·the administration of justice and crimes against property to the detriment of Hector Infante Bonilla, an act that was investigated by the Office of the Fourteenth Prosecutor for the First Judicial Circuit - With regard thereto, the decision dated October 2, 2007 is null and void with respect to the preventive detention issued by the Office of the Fourteenth Prosecutor for the First Judicial Circuit of Panama and, therefore, the official document ordering execution thereof. Truly yours, Seal: REPUBLIC OF PANAMA OFFICE OF THE FOURTEENTH Isl Illegible PROSECUTOR Atty. William A. Parodi ·FOR THE FIRST ruDICIAL CIRCUIT OF . FoUrt:eenth Pro~ecutor for the First PANAMA Judicial Circuit of Panama REPUBLIC OF PANAMA ATTORNEY GENERAL'S OFFICE OFFICE . OF THE FOURTEENTH PROSECUTOR FOR TIIE FIRST JUDICIAL CIRCUIT OF PANAMA I HEREBY CERTIFY THE FOREGOING IS A.TRUE COPY OF THE ORIGINAL Panama February 9. 2009 Isl Illegible Clerk ~------rr...... -f<'OREGOING IS A TRUE COPY OF THE ORIGINAL . Panama, Feb I 0 I 09 Isl Illegible Clerk of THE SUPREME COURT OF JUSTICE . Atty. YANIXSA Y. YUEN MINISTERIO PUBLICO FISCALIA DECIMO CUARTA DEL PRIMER CIRCUITO JUDICIAL DE PANAMA. OFICIO NO. 553 Panama, 7 de febrero de 2009. Tenlente Nestor Rios Direcci6n de lnvestigaclon Judicial · De la Policla Nacional de Panama. Tenlente Rios: En Atencl6n a llamada telef6nlca emltlda per la Olrecc:l6n de lnvestJgacl6n Judicial, referente .al estatus del Sr. Richard Sam Lehman, debo sefialar que el Segundo Tribunal Superior de Justlcla a traves de oficlo No. 5668-S fechado 10 de dii:lembre de 2008, nos puso en conocimfento del fallo del Pleno de la Corte Suprema de JiJstlcfa a traves del cual se declarci !legal la detencl6n del Sr. RICHARD SAM LEHMAN, sindicado por los defitos Contra el Honor, Contra la Admlnistraci6n de J~stlcla y Contra el Patrlmonio; en perjulclo de Hector Infante Bonilla, hecho que fuera investlgado por la Fiscalia Decimo Curta del Primer Circuito.Judicial. , En este sentido queda sin efecto la reso!uci6n del 2 de octubre de 2007 en lo que respecta a la Detencl6n Preventlva emltlda p'or la Fiscalfa Decimo Cuaita de! Primer Clrculto Judicial de Panamli y por corislgulente el oficlo que orden6 su ejecuci6n. -----.) :. I .j .. / c::,\I ( -- '1 Republic of Panama The Judiciary SUPREME COURT OF JUSTICE - OFFICE OF THE CLERK Panama, February 9, 2009 Mr. CLOVIS SINISTERRA Director General National Migration Services. Dear Director: At the request of Attorney Victor Crosbie, legal counsel for ~.Jr. RICFi.ARD SAM LEHMAN, for the pertinent legal purposes, I am hereby remitting the judgment dated October 8, 2008, whereby the Supreme Court of Justice en bane REVOKED Hab'eas Corpus judgment No. 51 of November 26, 2007,·issued by the Second Superior Court for the First Judicial Circuit in favor of.Mr. RICHARD SAM LEHMAN and in .its stead DECLARED ILLLEGAL the preventive detention of the aforementioned RICHARD SAM LEHMAN· if there is no other case pending. Truly yours, Isl Illegible ·Dr. CARLOS H. CUESTAS G. ·Clerk. Supreme Court ofJustice [Seal:] REPUBLIC OF PANAMA SUPREME COURT OF JUSTICE OFFICE OF THE CLERK ·------·------EXHIBIT J \~I \ I ~~~~~---=--~~--~--~-\ Translated fr TUESDAY M omLaPrensa I AY 27, 2008 Hector• AVI ·1 a says theY were out to km him Violence. . this~e sectorChorrillo h Lead er, Hector Avil he did not~le.says his aggressor:" was shot last Ma 2 . by a "p e out the fact th , wanted to kill h. y" 3 m . h . owerful Pan . . at this could h un and ~~ance (of 50 :;;:"'an family, who :ve been ordered encan citizen· on dollars) that was leftbas able 8 dto get a n A . . y eceased ccording to Avil . before the Su a, they wanted to kill . since - he ad~:~methCourt of Justice ::;m lgiven he protested ortune to th - e millio . re ation to th honored. e poor children of had left the bulkec £ . ~mreanama and thi s has not o beenfas~, his ~·· ,··.i William Sala 'i~I. · ..• ---··::('!•,;~:.: llil""f~~-,1\-~lf~!>-<;mif;;'.i'.'."'r" "' c:·.?:;cC""-.: •··. "· ·•"I .! .. ;aturday, May 17, 2008 ~~~esterday, dozens of children 7 to 12 years of age marched before the Supreme ·'.(>court of Justice. The purpose of the march was to ask the said Body to do justice ,1>.iri the case of the $50 million estate left by American Wilson Lucom. The ;<;:·:·,children delivered documents about the case to Supreme Court Presiding Justice '.::·Harley Mitchell. /Photo Edward Ortiz/ ;~;·;G~d bless Wilson Lucom: Panamanian poor children . ~ . ~ .. ' ,;,.ey wanted justice I Justice I But they had happy faces. A $500-milllon estate. turday, May 17, 2008 ;iiaa Bernal c. anama.com ,Here were about 50 children between the ages of 7 and 12 walking up the hill .·b~ard the Supreme Court of Justice under the hot 11 a.rn. sun. Two children ~':&~·arrylng the Panamanian and United States flags, and another one with :tM.~cuments for the Presiding Justice preceded them. There were mothers 1\1•"'~ .· ~ • '*f.$ilf.rvlng infants among them. They wore white t-shirts with red lettering that "f~~fead: "Thanks, Wilson Lucom." ~·')'hey stopped at the foot of the front of the steps at the Court. They started to 'l~Y~\1, joyously, not furiously, "Justice, Justice", while some unfolded a banner ·.[th large letters: "God bless Wilson Lucom, benefactor of the poor children of They arrived at the Supreme Court under the burning sun. They had the ·~''Pilnama." They had gone to ask for the assets. will of the American expatriate In ./:·it 'involved the will of an American expatriate who died In our country In June, their hands. /Photo Edward Ortiz/ '.)006, leaving most of his fortune to a foundation whose only objective is to feed >;,1be poor children in Panama. His widow Is trying to lnvalldate the will and the f'-~c~se has made it to the Supreme Court. The documents are about the alleged (illegal measures she and her attorneys have taken to defeat the decedent's will. ~ :"n is our way of fighting," said Hector Avila, an activist and coordinator of the ·• march. "We have to fight for these 50 milllon." ',;':There have been false criminal complalnts and illegal arrest warrants. We trust /~,he judiciary. God will not allow anyone to steal from the country's poor >¢hi.ldren," The children also carried banners that read, "Thank you, Richard · .Lehman," "Thank you, Victor Crosbie." They are the executor of the will, an .~American attorney, Lucom's friend and adviser, and his Panamanian assistant. )11 April, La Estrella de Panama reported the arrest of attorney Crosbie In .;:Qplombia as a result of a red alert that was wrongfully issued by Interpol Panama . a~er the court had declared his arrest warrant was illegal. ~,~c;·3>•·.' f:,~ ESiiBla '.J. - .~1 WEDNESDAY, MAY 28, 2008 Avila demands an investigation to find out who wanted to have him killed Authorities remain silent regarding the implications. Hector will keep fighting. n,, ~; . :' Aimed policeman guard the Trauma Center at the Santo Tomas :.:· Hospital. This has nothing do with a simple routine vtgllance; ; to It is to protect the community feeder Hector Avila, who was shot on the premises of the Amelia Denis de lcaza Park In the El Chorlllo neighborhood. Avila, who Is 50 years old, can hardly speak. He was shot twice , one In his Jaw and the other one In his right shoulder, forwarding an assault by three minors and an adult. Sitting on a chair still convalescent after undergoing surgery, Avila tried to be sb1;>ng to speak to La Estrella de Panama regarding what happened that night. "I'm not ruling anything out. I hope the authorities wlll Investigate and find out who wanted to have me kllled", he said. According · to Avlla, he was assaulted a couple of hours forwarding his appearance and participation In the television program "Trocha Ablerta• (open cross-path), which Is aired by Hosanna Vision, In Which he spoke about the litigation In the ·courts of Justice In regards to the 50 mllllon dollar Inheritance left by the U.S. businessman Wll8on Lucom, for the poor children of Panama. The Chorlllo Leader sent a message- to the President of the Republlc, Martin Torrijos, I hope that the day "that I die" the merit of Wiison Lucom wlll be honored, given that neither other Panamanian nor any foreigner has done What this man did for the poor chlldren of our country. He also menttoned that "I h~ve never said this money was tor the poor ohlldren of the El Chorlllo neighborhood, but for all the Hec!Or Avila nlCUpef1ltes Jn the ho8pllal. Children that are Immersed In misery and poverty". Pholo: Norfel Gutterrez "There Is a group of persons, where AleJandro Perez Is, who are continuously making false accusations against me In a radio program. He does not have more credlblllty than me", expressed Avila. "I doni care if I get killed. I am prepared to continue fight· Ing so the poor children of our country can have a decent place where to eat and five•. · i·-_ f ~ . ~ ; ' ,; Ll EXHIBITK Humiliating Corruption Charges Against the Martinelli Administration In Panama; COHA Calls for International Condemnation I COHA 7 /6/15 8:01 AM Friday, July 3, 2015 Latest: U.S. Military Presence in Latin America Increasing f •You Council on Hemispheric Affairs ~ ABOUT COHA v WRH PUBLICATIONS v REGIONS v TOPICS v COHA LATI~ v X: INTERNSHIPS v SUPPORT US Humiliating Corruption Charges Against the Martinelli Administration In Panama; COHA Calls for International Condemnation ti July 1, 2015 :. COHA tt o Comment ~ corruption, Day Robins, Panama, Wren Greaney http:/ /www.coha.org/humi I latlng-corru ption-charges-against-the-martin ... -administration-in-panama-coha-calls-for-international-condemnation/ Page 1 of 15 Humiliating Corruption Charges Against the Martinelli Administration In Panama; COHA Calls for International Condemnation I COHA 7 /6/15 8:01 AM By: Day Robins and Wren Greaney, Research Associates at the Council on Hemispheric Affairs The Panamanian government deserves international condemnation for the flurry of corruption accusations continuing to evolve after the conclusion of the Martinelli regime in July 2014. Many of Panama's prominent political figures are now under criminal investigation, including the former president, Ricardo Martinelli (2009-2014). Allegations against the Martinelli administration call into question the United States' strong trade alliance with this small yet influential South American country. Both President Juan Carlos Varela Rodriguez's new government and Panamanian society have called for an end to endemic corruption, with many demanding a new constitution. But the international community seems to have turned a blind eye to the fraudulent patterns of the Panamanian government-a dangerous apathy that only ensures the persistence of the government's status quo. The Martinelli Administration's Political-Espionage and Corruption Racketeering Previous articles by the Council on Hemispheric Affairs (COHA) and Eric Jackson, Chief Editor of The Panama News, have detailed Martinelli's attempts to control the Attorney General's office and wiretap his political opponents using U.S. Drug Enforcement Agency technology. According to a 2009 cable, written by then U.S. Ambassador to Panama Barbara Stephenson, which was later released by Wikileaks, Martinelli had "sent the ambassador a cryptic 11 Blackberry message that said: 'I need help with tapping phones."'[ Stephenson's wire also added, "[Martinelli] clearly made no distinction between legitimate security targets and political 21 enemies."[ Martinelli dismissed the episode as a 31 "misunderstanding."l Those who initially supported Martinelli as a pro-business alternative to left-wing politicians like Hugo Chavez of Venezuela are thinking again. http: I /www.coha.org/humll iating-corru ption-charges-against-the-martin ... -administration-in-panama-coha-calls-for-internatlonal-condemnation/ Page 2 of 15 Humiliating Corruption Charges Against the Martinelli Administration In Panama; COHA Calls for International Condemnation I COHA 7/6/158:01AM Less than a year after stepping down from office, amid mounting corruption allegations, Martinelli fled the country on his private jet and is now believed to be in the United States. Martinelli claims to be part of a vendetta by Juan Carlos Varela, his former vice president, who unexpectedly won last May and succeeded Martinelli as president. Both Martinelli's electoral and legislator's immunities have recently been removed. Last month, Panama's Electoral Tribunal lifted Martinelli's electoral immunity, which he had held as president of the Cambia Democratico (Democratic Change) party. Additionally, up until this year, Martinelli would have received a special prosecution process under Law 55 (the "shield law") as a deputy of the regional body, the Central American Parliament (Parlacen).[4] However, in a Supreme Court corruption investigation that opened in April, high court magistrates voted to lift this legislative immunity. In this investigation, prosecutors suspect that Martinelli is at fault for the disappearance of a portion of the $1.2 billion USD budget for a welfare fund known as the Programa de Ayuda Nacional (National Help Plan).rsi As with the previous investigation's launch, renewed focus on the Martinelli Administration's alleged crimes is likely to 61 weaken his party and bolster Varela's coalition.r In addition, on June 8, Panama's Supreme Court ruled that Martinelli should face a trial for alleged spying. Compounding the ex president's woes, two former directors of the executive's national security agency remain in custody after being arrested in January 71 under suspicion of illegal wiretapping.[ Local press reported that the Attorney General's office could name 150 people, including the Archbishop of Panama, who had been illegally and secretly monitored. The president of Panama's electoral court, who is affiliated with the Partido Revo/ucionario Democratico (the 81 Democratic Revolutionary Party), was also targeted.[ Former presidential candidate Juan Carlos Navarro issued a proclamation on February 2 alleging that his emails and cellular phone were bugged http://www.coha.org/humiliating-corruption-charges-against-the-martin ... -adminlstration-in-panama-coha-calls-for-lnternational-condemnation/ Page 3 of 15 Humiliating Corruption Charges Against the Martinelli Administration In Panama; COHA Calls for International Condemnation I COHA 7 /6/15 8:01 AM during the campaign.L~J "This was a massive, illegal spying operation," 101 he told the Economist later that month.r According to Latin News Daily, authorities are also looking into another corruption case involving a member of Martinelli's inner circle, Felipe "Pipo" Virzi. Virzi, Vice President under Ernesto Perez Balladares (1994-1999), is currently under arrest. [111 During his mandate, in a bid to shield himself from scrutiny and increase his disposable political power, Martinelli stacked Panama's courts and other key government institutions and unsuccessfully attempted to alter Panama's constitution to allow him to run for 21 reelectionY Furthermore, the government received 15 percent of the profits from Martinelli's megaprojects, which included a highway, a sprawling hospital complex, and Central America's first 3 metro, according to the Los Angeles TimesY l It is suspected that Martinelli stole a large portion of this money. Martinelli also 41 managed to accrue a public debt of $23 billion usoY According to Jackson, the total amount of government money directly spent on advertising during the Martinelli years should also be the subject of 5 the ongoing audits and criminal investigationY l Perhaps more shocking than these developments, however, is that most Panamanians view Martinelli as a symptom of a corrupt system rather than the cause of the disease. Attesting to Panama's legacy of corruption, Panamanian lawyer Marcos Wilson noted that although all possible permutations have been tried in Panama's government, political corruption continues. "Each coalition has been just as corrupt as the last one," he explained, adding that despite initial optimism about Martinelli, "he has just been more systematic about stealing." Meanwhile, Panama's Public Ministry-instead of protecting Panama's citizens from corruption-was easily co-opted by the Martinelli administration. According to Miguel Antonio Bernal, a highly esteemed human rights activist and professor of political science at the University of Panama, the state entity's legal http: I /WWW .coha. org/ humiliating -corru ptlon-charge s-agal nst-the-martin ... -adm in istration-in-panama-coha-calls-for-lnte rnationa 1-cond em nation I Page 4 of 15 Humiliating Corruption Charges Against the Martinelli Administration In Panama; COHA Calls for International Condemnation I COHA 7 /6/15 8:01 AM framework "made it easy for the criminal mega-enterprise organized and operated by Ricardo Martinelli Berrocal [to take control of the entity] ... [leaving] the country and its population defenseless against [16] a corrupted state." According to the PanAm Post, Martinelli could become the first public official since Panama's return to democracy in 1989 to face criminal proceedings for embezzlement. In an interview with COHA, Eric Jackson appeared optimistic about the political demise of Martinelli and his administration. However, Varela appears somewhat timid and is likely to embark upon negotiations with Martinelli; to date, none of the "big fish" in the Martinelli administration have been brought to justice. judicial Corruption And Embezzlement In a June 23 hearing in a tribunal connected to the National Assembly, a case addressing enormous corruption by former Supreme Court judge Victor Benavides was remitted to the Public Ministry. The Deputy Chairman of the tribunal, Hector Carrasquilla, claimed that the case was dismissed from the process-not because of a lack of evidence-but because Benavides resigned on June 19, removing him from the jurisdiction of the National Assembly. Benavides' case is now likely to be examined by a deputy 17 prosecutor.[ J He is the second Supreme Court judge to be accused of exchanging case votes for money in the past year. Tight connections and mutual aid in the vote-selling network have operated for years to maintain a shroud over such deals. The judge's resignation came after accusations surfaced that he sold court rulings to interested parties, as well as some claims that he has sexually abused minors. Benavides had only five months left in his term after holding the position for ten years, during which he accrued connections and, evidently, riches. Public awareness of his actions spiked in April when Vicente Caballero, Benavides' former bodyguard, released an accusatory statement against the judge. In his resignation letter, Benavides claimed Caballero was seeking http://WWW.coha.org/ h u mi I iati n g-corru ptlo n-charges-agai nst-the-marti n ... -adm in istration-i n-panama-coha-calls-for-inte rnational-cond em nation I Page 5 of 15 Humiliating Corruption Charges Against the Martinelli Administration In Panama; COHA Calls for International Condemnation I COHA 7/6/15 8:01 AM revenge for being imprisoned for kidnapping Benavides' mother.Ln~J Caballero's claims raise significant questions regarding the ethics of the country's legal system. These recent events follow the October 2014 suspension of Alejandro Moncada, another former judge on the Supreme Court. After investigation by a court under the institution of the National Assembly and a guilty plea to falsifying documents, Moncada was sentenced in March to five years in prison for embezzlement. In response to his 2014 suspension, Moncada claimed to be victim of President Varela's attempt to increase accountability in Panama's 9 high offices by shifting the Supreme CourtY l Nonetheless, attempts like Varela's to transform an institution fraught with charges of its own misconduct will be important in constructing a responsible new government. Jonathan Farrar, former U.S. Ambassador to Panama whose mission ended June 5, also emphasizes the importance of governmental and judicial accountability. Early last month, Farrar told La Prensa that "it is very important" for the Varela administration to continue to emphasize transparency in the legal 2 system. r oi Th ere must b e continue . d .1nvest1gat1on . . into . vote-se 11'1ng and embezzlement if Panama is to mend the harm done by a system that allowed at least two judges to sell votes in the Supreme Court, Panama's supposed ultimate arbiter of justice. The manipulation of American expatriate and multimillionaire Wilson Charles Lucom's will in a 2011 Supreme Court case illustrates the extent to which judicial corruption cheats Panama's non-elite. After his death, the millionaire had enclosed in his will $50 million USD (which has since appreciated to $150 million USD) to benefit Panama's impoverished youth. In 2011, however, his wealthy Panamanian widow circumvented his legal decree through Panama's Supreme Court and obtained full control of his assets. This case is yet another instance of judicial actions that cater to powerful individuals at the expense of justice.[21] In the apparent absence of an independent and impartial judiciary, http://WWW.coha.org/ hu mi I iating-corru ptlon-charges-agai nst-the-martl n ... -ad m In lstration-ln-panama-coha-cal ls-for-I nte rnational-cond em nation/ Page 5 of 15 Humiliating Corruption Charges Against the Martinelli Administration In Panama; COHA Calls for International Condemnation I COHA 7/6/15 8:01 AM the only hope for prosecuting public officials lies in Panama's Public Ministry. In a June 22 Panama News article, Bernal laments that "little progress has been made toward making it a real and effective instrument for the construction of a constitutional rule of law.''[221 Bernal asserts that it is thus "urgent and necessary" to "set aside the role of spectators and become decisive actors who support a Public Ministry that accomplishes, without favoritism or selectivity, its instructive role in favor of the clamor for 'equal justice for all."'(231 Money Laundering and Property Acquisition Panama's political elite have also used illegally-obtained funds to purchase high-value resort and deluxe properties along Panama City's newly-developed coast. These investments provide tangible evidence of a shameful extension of wealth accrued through illicit deals. According to the Panamanian lawyer Marcos Wilson, those in government positions who embezzle funds often purchase luxurious properties and transfer money to offshore accounts, creating a "Mexicanization of politics" in Panama where a veil of secrecy surrounds politicians' corporate transactions. Moncada, the Supreme Court judge recently sentenced to prison, used some of his embezzled money to purchase at least two apartments worth $1.7 million USO through the real estate businesses Celestial Corporation S.A. Company and the Alpil Corporation, S.A. Judges of a National Assembly subcommission ordered him to relinquish the two apartments as part of his sentence in February.[24] Corruption becomes obvious when judicial figures like Moncada, whose salaries are not particularly high, possess such lavish real estate. The lawyer Abilio Batista, who Caballero denounced in his April statement against Benavides, is listed as manager of a real estate company lnmobilaria Abu Panama, along with Benavides' nephew Edwin Villar.[25] The financial connection between Batista and Villar and the familial link between Villar and Benavides create a central triangle that provided each of them with power and a means to launder money. http://www.coha.org/ h u mi I iati ng-corru ption-charges-agalnst-the-martin ... -ad minlstration-in-panama-coha-calls-for-inte rnational-co ndem natl on I Page 7 of 15 Humiliating Corruption Charges Against the Martinelli Administration In Panama; COHA Calls for International Condemnation I COHA 7/6/15 8:01 AM Money laundering in Panama ultimately harms the stability of Panama's highly inter-connected economy. While the national economy may appear to be thriving, debt and income inequality threaten the long-term prosperity for Panamanians who seek well paying and stable jobs. Moreover, much of Panama's current wealth is built on huge loans and other forms of debt to foreign investors. Money laundering exacerbates this instability; embezzled riches are transferred to offshore accounts as perpetrators of these shenanigans attempt to cover their tracks. It has also, in part, stimulated the recent real estate boom in Panama. Though the country's celebrated prosperity has involved purchases of luxury buildings, money-launderers often leave them empty, and neighborhoods in Panama City are disrupted and sometimes destroyed for the sake of real estate development and speculation. Pervasive money laundering in Panama has put the nation on the gray list of the intergovernmental Financial Action Task Force. To combat this status, in April, the country's legislature passed an important measure as part of the initiative Panama United Against Money Laundering.[26] The law creates "a commission against money laundering ... and a financial analysis unit that will collect and ana Iyze reports of susp1c1ous. . operations. . ,,[27J Th'1s measure may create the offices for tackling illicit financial activities, but the commissions must be bold enough to investigate powerful figures and must remain honest in order for the law to truly address money laundering. Through this mechanism and by means of tribunals held by the National Assembly, Varela's government must continue to support investigations into instances of corrupt practices such as the Benavides and Moncada cases. Scandal at the University of Panama Within the past decade, officials at the University of Panama have exposed one small segment of the country's endemic corruption. Just two months ago, Aristotle Garcia, a University of Panama official, accused University Director Gustavo Garcia de Paredes of http://www.coha.org/h u ml Ii atl ng-corru ption-charges-against-the-martl n ... -ad m inlstration-in-pan ama-coha-calls-for-international-co nd em nation/ Page 8 of 15 Humiliating Corruption Charges Against the Martinelli Administration In Panama; COHA Calls for International Condemnation I COHA 7/6/15 8:01 AM buying Benavides' vote in a recent Supreme Court case. Garcia was dismissed from the university in April and has been seeking an 28 explanation regarding the legality of his dismissal.[ J The University of Panama, the country's main public institution of higher learning, has a history of blatant corruption. In 2005, COHA reported on a scandal in which Professor Bernal publicly accused university president Garcia de Paredes of selling diplomas to students, allowing them to graduate without completing all of the 29 requirements.[ J As a result of his outspoken criticisms of university leaders' fraudulent behavior, Bernal was fired from his position in 3 the Faculty of Law and Political Science in March.[ 0J In an interview with COHA, Bernal emphasized the administration's self-interest and noted that, despite media attempts to destroy his academic reputation, student protests against the university's lack of transparency contributed to his cause. The following month, in compliance with a Supreme Court ruling, Bernal was reinstated at the University of Panama. Cyclical corruption, permitted under the Martinelli administration, as well as the persecution of faculty who take a public stance against violators of academic liberties, will inevitably defame the university as well as [31] . the country. Although Bernal was eventually reinstated, the aforementioned cases illustrate that Panama's power structure, when extended to the university, is largely protected against bitter critics like Bernal and Garcia. Domestic Action and International Condemnation Needed External pressure from the international community will be key if Panama is to ever increase its transparency and address its legacy of corruption. In fact, for the sake of stability, stakeholders invested in the country must condemn Panama's string of recent scandals and pressure the government to increase its transparency and accountability and rebuild a system that has only cheated the people out of their share of the nation's equity. http://www.co ha .o rg I h u mi I iatlng-corru ption-charges-agal nst-the-martin ... -ad min istration-in-panama-coha-calls-fo r-inte rnatlonal-conde m nation I Page 9 of 15 Humiliating Corruption Charges Against the Martinelli Administration In Panama; COHA Calls for International Condemnation I COHA 7/6/15 8:01 AM As a maritime epicenter with 21 free trade agreements, Panama's dependence on other economies seriously hinders what President Varela can do to address corruption. Fortunately, Panama's civil society is maturing and now leading an unprecedented revolution against corruption. Late last year, thousands of concerned citizens joined hands in nationwide marches against Martinelli-era "corruption with impunity." International support for similar efforts will be key in moving Panama toward an honest and transparent government that so many of its citizens are calling for. However, not everyone in the leftist faction is optimistic about the effectiveness of protests, which have continued into this month. Eric Jackson, for example, is among these skeptics. Instead, he calls for "a ruthless, independent campaign against the political class" organized around a series of political demands, such as the right to initiative, referendum, and recall by reasonable petition processes; an end to all of the legal devices of the political caste's immunity; and election reform. Jackson believes that Varela could call for an election of delegates to a constitutional convention in the near future. There is no way forward for Panama until it cleans up its corruption and improves its legal system, which places too much power in the 2 executive branch and individual judgesY l Having elected delegates to the National Assembly advocate for dramatic legal change is not enough. In addition, Jackson argues "a popular mood [must hold] everyone elected to that body ... accountable to certain knowledge that the general electorate will not approve a document that continues the old games." Perhaps hinting toward constitutional reform, Jackson asserts "Panama needs to dismantle an infrastructure of abuse and build 33 something better."l l A truly revolutionary constitutional reform will require strong social and political mobilization on the part of independent-minded, leftist dissenters like Jackson and Bernal. Deference to abusers like Martinelli and his cronies will not do. By: Day Robins and Wren Greaney, Research Associates at the http://www.coha.org/h u mi Ii ating-corru ption-cha rg es-agai nst-the-marti ... -adm i nistratlon-i n-panama-coha-cal/s-for-i nternational-cond em nation I Page 10 of 15 Humiliating Corruption Charges Against the Martinelli Administration In Panama; COHA Calls for International Condemnation I COHA 7/6/15 8:01 AM Council on Hemispheric Affairs Please accept this article as a free contribution from COHA, but if re posting, please afford authorial and institutional attribution. Exclusive rights can be negotiated. For additional news and analysis on Latin America, please go to: LatinNews.com and Rights Action. Featured Photo: Skyline Panama City, near Balboa Avenue and Punta Paitilla. From: Mario Roberto Duran Ortiz. [lJ Latin News Daily, 9 June 2015 21 [ Latin News Daily, 9 June 2015 31 [ Latin News Daily, 9 June 2015 [ 4] https://www.facebook.com/notes/ eric-jackson/high-court-1 ifts marti nel Iis-parl acen-i mm unity/10153046720161726 [SJ Latin News Daily, 9 June 2015 61 [ Latin News Daily, 9 June 2015 71 [ Latin News Daily, 9 June 2015 [SJ Latin News Daily, 9 June 2015 9 [ l http://www.economist.com/news/americas/21642237-ex presidents-colourful-tale-no-ch-vez-no-prize 101 [ http://www.economist.com/news/americas/21642237-ex presi dents-colou rfu 1-tale-no-ch-vez-no-prize 111 [ Latin News Daily, 9 June 2015 121 [ http: //www.co h a.org/a-maJor-wm- . . f or-panamanian-. corruption/#_ftn5 131 [ http://www.latimes.com/world/mexico-americas/la-fg-panama corruption-20150523-story.html#page=1 http:/ /www.coha.org/ hum 111 atl n g-corru ption-charges-agai ns t-the-marti ... -ad ministration-In-panama-co ha-cal ls-for-International-condemnation I Page 11of15 Humiliating Corruption Charges Against the Martinelli Administration In Panama; COHA Calls for International Condemnation\ COHA 7 /6/15 8:01 AM 141 [ http://www.latimes.com/world/mexico-americas/la-fg-panama corruption-20150523-story.html#page=1 151 r https://www.facebook.com/notes/eric-jackson/jackson- marti nel I is-media-em pi re-is-stolen-property-that-should-be-seized bu~no/10153045752371726 161 r https://www.facebook.com/notes/eric-jackson/bernal-a constituti on al ly-hobbled-pu bl i c-m i nistry-needs-pu bl i c support/10153412216426726 171 [ http://laestrella.com. pa/panama/pol itica/ agrio-veredicto asam blea-contra-benavides/2387 4862 [18] . http://newsroompanama.com/news/panama/tag/benav1des [19] http://www.usatoday.com/story/news/world/2014/10/20/panam a-corruption-supreme-court-justice/17647113/ [20] http://www.newsroompanama.com/news/panama/%E2%80%9Cv arela-on-right-track%E2%80%9D-%E2%80%93-departing-us ambassador [21] http://www.coha.org/panama-cries-for-justice/ 221 [ https://www. face book.com/ notes/ eric-jackson/ berna 1-a co nstituti o na I ly-hobbled-publ ic-m i nistry-needs-publ ic- su pport/ 10153412216426726 231 r https://www.facebook.com/notes/eric-jackson/bernal-a constitutionally-hobbled-public-ministry-needs-public support/10153412216426726 [24] http://metrolibre.com/Nacionales/alejandro-moncada-luna-es sentenciado-a-5-anos-de-prision-se-reafirma-lo-pactado-en-el acuerdo-ed4. htm I [25] http://laestrella.com.pa/panama/nacional/trafico-fal los investigaci on-pendiente-caso-benavides/2387 4212 http: I /www.coha.org I h u mi liati ng-co rru ptio n-charges-agai nst-the-ma rti ... -ad mi nistratlon-i n-panama-coha-calls-for-i nternational-condem nation I Page 12of15 Humiliating Corruption Charges Against the Martinelli Administration In Panama; COHA Calls for International Condemnation I COHA 7 /6/15 8:01 AM [26] http://www.insightcrime.org/news-analysis/can-panama-shed notoriety-for-money-laundering 271 [ http://www.ticotimes.net/2015/04/28/panama-takes-step-to improve-its-i mage-as-money-l aunderi ng-haven 281 [ http://laestrella.com .pa/panama/ pol iti ca/testigo-recl ama ex pedi ente-rector/2387 4858 291 [ http: // www.co h a.orgI un1vers1ty-o. . f -panama-s1tuat1on-worsens . . I 301 [ http://newsroompanama.com/news/panama/civil-society welcomes-court-ruling-on-suspended-professor 311 [ http: // www.co h a.orgI university-a. . f -panama-s1tuat1on-worsens . . I 321 [ https://www.facebook.com/notes/eric-jackson/bernal-a co nstituti on al ly-hobbl ed-pu bl ic-m i nistry-needs-pu bl i c- su pport/ 10153412216426726 331 [ https://www.facebook.com/notes/ eric-jackson/ editorial constitutional-reform-by-process-of elimination/10153263835641726 in rfti ;;;1 Email ..-- U.S. Military Presence in Latin America Increasing The Hidden Script of U.S. Militarization in Honduras -+ &6 You May Also Like http:I/www.coha.org/ h u ml 11 atin g-co rru ption-charges-agai nst-the-marti ... -ad min istration-i n-panama-coha-cal ls-for-I nte rnationa 1-condem nation/ Page 13 of 15 Humiliating Corruption Charges Against the Martinelli Administration In Panama; COHA Calls for International Condemnation I COHA 7 /6/15 8:01 AM Brazil's Chaotic The Free Market Two Roads to Transportation Experiment in Recovery Systems At Stake Latin America: ti June 29, 2012 tt -The Role Of Assessing Past The Private Policies and the Sector Search for a ti October 3, 2012 Pathway Forward (The last of three parts) ti April 17, 2013 tt 3 Leave a Reply Enter your comment here ... Contact Us Meta Newsletter Log in Subscribe to our 1250 Connecticut Ave, N.W., Suite 1C newsletter: Washington, D.C. 20036, USA (map) Entries RSS Yow· e rn a i I a cJ cl r Director: Larry Birns Phone: (202) 223-4975 Comments RSS Fax: (202) 223-4979 Word Press.org Email: [email protected] Subscribe http: / / www. co ha. org / h u mi Iiati n g-co rru pt ion -ch a rg es-against-the - mart i ... -ad mini strati o n-1 n-pana m a-coh a-ca 11 s-for-in te rna t Jo nal-co n de m n at lo n I Page 14 of 15 Panama ex-leader Ricardo Martinelli faces corruption probe - BBC News 6/28/15 8:22 AM mmt!I () News Sport Weather Shop Earth Travel More Home I Video I World I US & Canada I UK Business I Tech I Science I Magazine I World Africa Asia Australia Europe Latin America Middle East ADVERTISEMEN Blocked Plug-in Latin America & Caribbean Panama ex-leader Ricardo Martinelli faces To~ corruption probe ecs The E 29 January 2015 Latin America & Caribbean end e on SL exit fr 1 h Org;; infer 4h 'Gre~ Glas 28 http:/ /www.bbc.com/ news/world-latin-america-3103 7242 Page 1 of 8 Panama ex-leader Ricardo Martinelli faces corruption probe - BBC News 6/28/15 8:22 AM =· )? Ricardo Martinelli said the allegations were part of a political vendetta against him The Supreme Court in Panama has voted in favour of investigating former President Ricardo Martinelli over corruption allegations. The court said it would appoint a special prosecutor to investigate claims that Mr Martinelli had inflated multi-million dollar contracts during his time in office from 2009 to 2014. Mr Martinelli denies the allegations. His successor in office, Juan Carlos Varela, campaigned on a promise to clean up Panamanian politics. 'Pressure' The Supreme Court made the decision on Wednesday after a former government official accused Mr Martinelli of pressuring him to sign "anomalous" contracts worth $45m (£30m). Fee: President Juan Carlos Varela pledged to combat corruption during his time in office http:/ /www.bbc.com/ news/world-latln-america-3103 7242 Page 2 of 8 Panama ex-leade Ric do Martinelli faces corruption probe - BBC News 6/28/15 8:22 AM The form .r o icial, Giacomo Tamburelli, ran a government social programme and is himself under investigation for alleged corruption. The probe centres on accusations that the government paid highly inflated prices for dried food it handed out to students as part of its social programme. ~ ll Mr Martinelli, a wealthy supermarket tycoon, said the allegations were part of a Yeat political vendetta against him by President Varela. What Mr Varela has in the past accused Mr Martinelli of taking kickbacks, but this is the first time the former leader faces a formal investigation. Mr Martinelli travelled to Guatemala on Wednesday to attend a session of the Central American parliament, a regional political body with headquarters in Guatemala City. The former leader did not say whether he would return to Panama. Pet f The d 11 1will make that decision in the future, but I am not going to go for a trial arranged by Mr Varela, 11 he said. During his presidential campaign, Mr Varela, a former Martinelli ally turned bitter rival, said he would root out widespread corruption within Panama's political system. Share this story About sharing Heac Why I hat-w More on this story Outsider Juan Carlos Varela wins Panama election 5 May 2014 Has Panama weaned itself off drugs and cleaned up? 3 August 2014 http: I /www .bbc.com/news/world-latin-america-31037242 Page 3 of 8 Panama to Investigate Entire Congress for Corruption 6/28/15 8:24 AM ESPANOL I THE CANAL BLOG I LETTERS I NEWS TIPS ADVERTISE .,.a g+ lil!mlYou f .-.·.,, NEW CUSTOMERS------. $ 40 off $350 'iloverstock + FREE SHIPPING* Shop Now • 'Sea site 1tr' dal~i Is • ECONOMICS POLITICS SOCIETY TECHNOLOGY NEWS OPINION NEWS BRIEFS INTERVIEWS REVIEWS COLUMNISTS v REGIONS ... Panama to Investigate Entire Congress for Corruption Officials Allegedly Stole Millions of Dollars' Worth of Welfare Funds MARCH 31, 2015 AT 8:42 AM • 0 Sidenotes G http:// pa nam post.com/ panam-staff/ 2015 / 0 3 / 3 1 I panama-to-lnvestlgate-e nti re-congress-for-corrupt ion I Page 1of9 Panama to Investigate Entire Congress for Corruption 6/28/15 8:24 AM Anti-corruption investigators suspect congressman during 2010-2014 benefited from a massive bribery scheme. (Asamblea Nacional) A Panamanian prosecutor has asked the Supreme Court to launch a massive Espanol corruption probe against the 71 congressmen who served in the National Assembly between 2010 and 2014 for allegedly stealing millions of dollars from a welfare program, local daily La Estrella reported on Monday, March 30. The congressmen reportedly purchased bags of food via the National Help Program (PAN) worth US$62.3 million. According to former PAN Director Rafael Guardia Jaen, they always made purchases from the same suppliers without a transparent decision-making process. Prosecutors suspect that the elected officials may have received bribes to prefer certain suppliers and award them contracts at inflated prices. Between January to April, amid the campaign for the 2014 presidential election, congressmen reportedly bought 2,231,810 bags of food worth $25 each - a total of almost $56 million .. Guardia Jaen - who is now serving a prison sentence for corruption - said that former President Ricardo Martinelli's secretary, Adolfo de Obarrio, would instruct him when to make http://panampost.com/ panam-staff/ 2015/03 /31 /panama-to-investigate-entire-congress-for-corruption/ Page 2 of 9 Panana o ln!tlgate Entire Congress for Corruption 6/28/15 8:24 AM pu:rc as s and from whom to buy. "The congressmen suggested the suppliers," said J aen, "I R allowing orders." So far, authorities have indicted 32 people involved in managing the welfare program, including Martinelli's private secretary; the former president's brother, Mario Martinelli; and former Education Minister Lucy Molinar. Last week, in a separate investigation, anti-corruption Prosecutor Vika Broce asked judicial authorities to file a PAN-related case against two cabinet members during Martinelli's administration. Martinelli is currently on the run, and is set to lose his immunity from prosecution, over the PAN scandal. He was last seen in Italy, where he also faces extortion charges for a separate case. Sources: La Estrella, La Prensa. CENTRAL AMERICA NEWS BRIEF PANAMA CORRUPTION RECOMMENDED Top Official Divulges Secrets Former Panamanian Chief Martinelli Flees to Florida, Former Panamanian of Martinelli's Kickback Justice Gets 5 Years for Thousands March in President Martinelli Faces Scheme Corruption Panama City Corruption Probe Don't Miss Out, Follow the PanAm Post! Follow @PanAmPost <2,575 followers http://panampost.com/ panam-staff/2015 /03 / 31 /panama-to-investigate-entire-congress-for-corruption/ Page 3 of 9 Panama arrests ex-Vice President Virzi on suspicion of graft I Reuters 6/28/15 8:22 AM EDITION: UK SIGN IN j REGISTER Search Reuters HOME BUSINESS MARKETS WORLD UK TECH MONEY OPINION BREAKINGVIEWS SPORT LIFE PICTURES VIDEO Blocked Plug-In World I Thu Jun 4, 2015 6:35pm BST Related: WORLD Panama arrests ex-Vice President Virzi on suspicion of graft PANAMA CITY A former vice president of Panama, Felipe Virzi, has been arrested on corruption and PHOTOS OF THE WEEK money laundering charges, the latest high-profile political figure to tumble in a wave of graft scandals sweeping Central America. Virzi, a close friend of former President Ricardo Martinelli, who is also being investigated for corruption during his time in office, was arrested on Wednesday night after 10 hours of questioning, Panama's attorney general's office said late on Wednesday. The 71-year-old Virzi, who was vice president to Ernesto Perez-Balladares between 1994 and 1999, is accused of receiving $10 million from an Ecuadorean company that won a $37 million contract from Martinelli's government to build an irrigation system that never Our top news photos from the past week. Slldeshow » materialized. KPMG Business Strategy According to the charges against him, Virzi received the money shortly after the contract O advisory.kpmg.us/KPMO_Strategy The KPMG Difference: Getting from Strategy to Execution. was awarded. He then distributed the cash to various bank accounts, including one Learn More. investigators suspect was linked to Martinelli, who was president between 2009 and 2014. Start a Recruiting Firm O srafranchise.com/opportunlty 50+ years of recruiting success. Watch video and connect Virzi, who since leaving public office has forged lucrative business interests in livestock, today. real estate and banking, says he is innocent of the charges. Michael J McGoey, CPA h cpapalmbeach.com Personal & Corporate Taxes Faster Refunds with eFiling Virzi is the latest figure to be accused of corruption in a slew of graft controversies that ClearView Partners o clearviewpartners.com have swept Central America, heaping pressure on the presidents of Guatemala and Canada's Leading Ethics Reporting And Whistleblower Honduras. Solution Provider On Wednesday, facing a wave of protests calling for his resignation, Honduran President TRENDING ON REUTERS Juan Hernandez said his 2013 presidential campaign took money from companies linked to one of the worst corruption scandals in the country's history. In Guatemala, meanwhile, President Otto Perez is fighting to defend his political legacy after being forced to dismiss various cabinet-level colleagues over a snowballing series of corruption allegations. Martinelli, who has not set foot in Panama for months, is also under investigation for corruption. In April, Panama's election authority said he would no longer be immune from http: I /u k.reuters.com/article / 2015 /06/04 / uk-panama-corruption-ldUKKBNOOK25U20150604 Page 1 of 3 Panama arrests ex-Vice President Virzi on suspicion of graft I Reuters 6/28/15 8:22 AM prosecution. Greek parliament gives green light to Tsplras' bailout referendum I DJ VIDEO 1 Central America is one of the poorest and most violent regions in the world, and has long been a hotbed of corruption. Argentine judge orders seizure of Falklands drillers' assets 2 (Reporting by Elida Moreno and Enrique Prete!; Writing by Gabriel Stargardter; Editing by Nearly 200 injured amid fire explosion In Richard Chang) Taiwan - media ID VIDEO 3 Euro zone readies for Greek default after 4 Tsipras referendum call I Ill VIDEO More From Reuters Sponsored Financial Content Spain's Podemos says Germany, IMF put European project at risk 5 • Greece's debt battle • 7 Outrageous Credit Cards For Those Of Us stirs auster ... 126 Jun That Have Excellent Credit Next Advisor • A Greek paradox: • When the greatest investor of all time Issues many elder ... 116 Jun a warning ... Motley Fool Sponsored Financial Content • Greek deal or not, • How Tim turned $1,500 from Mom into $2.6 Waif Street Deify the euro is . .. I 24 Jun mill ion A strong US jobs report confuses the interest rate picture Ma1ketViews • What's trending now? And what's next? Get • Nostalgia for an expert perspective. 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Never Knew Existed Inflammation? IBM Forbes WebMD Back to top http://uk.reuters.com/ article/ 2015 / 06 / 04/uk-panama-corruption-idUKKBNOOK2SU20150604 Page 2 of 3 Panama Corruption Probe Arrests Key Martinelli Ally 6/28/15 8:23 AM 1ioa g+ You ESPANOL I THE CANAL BLOG I LETTERS I NEWS TIPS ADVERTISE , . f TO RETIRE IN PANAMA? 1r people considering Retiring in or Visiting Panama. :wsLETTER I Post direct to your inboxl ICS SOCIETY TECHNOLOGY NEWS OPINION NEWS BRIEFS lI lws COLUMNISTS ... REGIONS ... ! I ! E MOW! r ;Jur· ernail with anyone. I anAmPost <2,575followern ·. ) PrruptionI Probe Arrests 'm=J' 1""1v1·a·r~r111 el Ii A 11 y Former Finance Minister Denies Involvement in Embezzlement Scheme MAY 14, 2015 AT 9:54 AM • 0 Sidenotes G 31 Facebook Twitter Google+ Linkedin Reddit SHARES On Tuesday, May 12, police in Panama detained former Finance Minister Frank de Lima, who served under the Ricardo Martinelli administration (2009-2014), amid an ongoing http: ff pan am post.com/ pa nam-sta ff/ 2O15 f 05 f 14 f panama-corru ption-p robe-arrests-key-marti ne I Ii-ally f Page 1 of 9 Panama Corruption Probe Arrests Key Martinelli Ally 6/28/15 8:23 AM investigation into the former president's alleged corrupt activities. De Lima's detention comes after Panama's Electoral Court stripped Martinelli of his immunity from prosecution in late April. The former president is facing charges for allegedly inflating multimillion dollar contracts with food providers that supplied the National Help Program (PAN), a government-run welfare program. Police arrested former Finance Minister Frank de Lima, an alleged member of the corruption scheme led by former President Martinelli. (La Patilla) Having left the country as news of the charges first emerged, Martinelli is currently living in Miami, Florida. De Lima's attorney Luis Rey said his client's arrest is "abusive and harsh" because "the file does not show enough evidence to merit the detention." Rey said De Lima was arrested on Monday at midnight, "after which he spent the whole day testifying and defending himself." The news of his detention only surfaced on Tuesday afternoon. Martinelli meanwhile hit out at the detention of one his former allies and said that "the terrible government we have is trying him due to political persecution." As Finance Minister, De Lima was responsible for drawing up the budget during Martinelli's tenure, including the budget for PAN. His lawyers, however, state that he is neither responsible for the management of the program's budget nor awarding contracts, two key aspects of the accusation against Martinelli. De Lima joins Social Development Minister Guillermo Ferrufino, who has been held since early March at the Judicial Intelligence Directorate. http://panampost.com/ panam-staff/ 201S/OS/14 / panama-corruption-probe-arrests-key~martinelli-ally I Page 2 of 9 Panama Corruption Probe Arrests Key Martinelli Ally 6/28/15 8:23 AM Meanwhile, in a last-ditch effort to avoid prosecution in absentia, Martinelli's lawyers asked a judge to dismiss the case currently being led by the Supreme Court. Prosecutors suspect that a large part of the US$i.2 billion PAN spent in a little over four years may have gone missing. Martinelli could become the first public official since Panama's return to democracy in 1989 to face criminal proceedings for embezzlement. Sources: NTN24, El Siglo. 31 Facebook Twitter Google+ Linkedln Reddit SHARES CENTRAL AMERICA NEWS BRIEF PANAMA RICARDO MARTINELLI RECOMMENDED Fugitive Martinelli Can Add Panama's Electoral Court Martinelli Faces Yet Another Martinelli Flees to Florida, Wiretapping to Charges in Strips Martinelli of Corruption Charge, Now in Thousands March in Panama Immunity Italy Panama City Don't Miss Out, Follow the Pan Am Post! Follow @PanAmPost <2,575 followers O comments ... livefyref!J http://panampost.com/ panam-staff/ 2015 /05 /14 / panama-corruption-probe-arrests-key-martinelli-ally/ Page 3 of 9 Panama has never seen a corruption scandal before quite like this one I The Visitor/ El V!sitante 6/28/15 8:27 AM Panama has never seen a corruption scandal before quite like this one _Rep of Panama 13-March-2015 Explaining the anti-corruption prosecutions By Ted James In the space of just three months, since the days leading up to Christmas, there has been a steady stream of well remembered functionaries of the past Ricardo Martinelli administration filing in and out of anti-corruption prosecutors' offices. It's difficult to say who are the busiest, the prosecutors and their aides or the newspaper, TV and radio journalists reporting new revelations day to day. It all started with the summons of Giacomo Tamburelli, a member of a prominent restaurateur family, who was the former director of the National Assistance Program (PAN) at the beginning of the Martinelli five-year term. Tamburelli resigned for unexplained reasons after the first two years. This program had a heavy budget designed to help the poor. From the revelations, it now appears to have been of more assistance to government officials, politicians and businessmen than the poor. In his testimony, Tamburelli implicated ex-President Martinelli as having given the order to buy dehydrated food from a Brazilian company for Ricardo Martinelli. distribution to Panamanian schools. It is alleged to have been contaminated and to have been overpriced by about $45 million. Tamburelli was placed under house arrest as a "precautionary measure," to avoid https: //WWW. thevisltorpanama.com/ 2015 / 03 /panama-has-never-seen-a-corruption-scandal-before-quite-like-this-one/ Page 1 of 3 Panama has never seen a corruption scandal before quite like this one I The Visitor/ El Visitante 6/28/15 8:27 AM him leaving the country. He suddenly reported threats against he and his family, requested extra protection and was hospitalized suffering from a heart problem that required surgery. Simultaneously, his successor in the PAN, Rafael Guardia Jaen, began appearing at the anti-corruption prosecutors' offices to testify. Instead of house arrest, the prosecutors sent Guardia to the Nueva Joya prison, from where he was daily Giacomo Tamburelli. taken back and forth in a heavily escorted police convoy. The news media took aerial photos of a luxury home built by Guardia in the exclusive area of Costa del Este. Guardia finally confessed, revealing how corruption had been organized in the PAN, allegedly on orders of the private secretary of Martinelli in the Presidency, Adolfo "Chichi" De Obarrio, who hastily left the country for the U.S. In his confession, Guardia identified some $18 million sent to foreign bank accounts and seven luxury apartments in Panama City, all of which he said had been obtained from his part of commissions paid by businessmen favored with overpriced contracts with the PAN. Guardia also complained of a written threat delivered in the prison. Of some 30 businessmen who made deals with the PAN, at least two are now in jail as a "precautionary measure" as they are called on to give evidence, one of whom was arrested at the Tocumen International Airport as he was ready to leave. He allegedly handled $70 million in PAN contracts for overpriced food bags. Parallel to these revelations, former Minister of Education and journalist, Lucy Molinar, was questioned about a huge consignment of school backpacks bought by the PAN and said to have been overpriced. She was placed under an order not to leave the country and regularly report her presence. Then the case of Supreme Court judge Alejandro Moncada Luna, appointed by ex-President Martinelli, took center stage when he was denounced by his fellow lawyers in the Panama Bar Association. He was accused of illicit enrichment, Lucy Molinar. falsification of public documents, money laundering and fraud. The press spotlight fell on his two luxury apartments in the exclusive Coco del Mar area. Constitutionally, a case against a Supreme Court judge is out of the reach of anti-corruption prosecutors, and the National Assembly had to hastily mount a court made up of three women deputies. Moncada claimed he had never had a bank account in his life; he had always dealt in cash; that the apartments had been bought with an interest free loan from "Tio Pipo" (Virzi) a member of the "circle zero" of Ricardo Martinelli. Apart from the apartments, the prosecutor found Moncada was actually connected to 14 bank accounts. Moncada was recently sentenced to five years in prison for unjustified enrichment. Meanwhile, Guardia received company in La Nueva Alejandro Moncada Luna. Joya jail. These new lodgers were former police chief Gustavo Perez, who was secretary of the National Security Council, and his predecessor as secretary in the council, Alejandro Garuz, father-in-law of one of Martinelli's sons. They are accused of wiretapping and invasion of privacy after complaints from more than 150 politicians, journalists and businessmen that their telephones and e-mails were intercepted during the Martinelli era. Perez, through his lawyer, claims that a lesser official was the one who delivered information to Martinelli. Gustavo Perez. Another scandal involves Luis Cucalon, the former head of the Alejandro Garuz. now dissolved tax collection authority (ANIP). He has been cited by the Ministry of Economy and Finance over a contract made with a company called Cobranzas del lstmo (Isthmian Collections) to collect delinquent taxes, but which itself collected some $35 million in commissions in the course of a few months. Cucalon was the Martinelli functionary who carried out a bitter tax fight with Coronado developer, I. Roberto Eisenmann, for alleged unpaid taxes after Eisenmann became a regular critic of the Martinelli government. More familiar and less-known faces are expected to appear in anti-prosecutor offices in coming days as the scandal continues to unfold and widen. The Comptroller's Office has teams of auditors scouring the books, while each ministry has been investigating its own territory and handing on suspicious movements to the prosecutors. https: I /WWW. thevisitorpanama.com/ 201SI03 / panama-has-never-seen-a-corru ptlon-scandal-before-quite-llke-this-one/ Page 2 of 3 Panama has never seen a corruption scandal before quite like this one I The Visitor/ El Vlsitante 6/28/15 8:27 AM For instance, the press and public have not yet been informed what may be waiting in the 5,000 pages of evidence from Italian courts on the Finnemecanica corruption case covering the Martinelli government's purchase of helicopters, radar and a digital map from the Italian conglomerate. And the star of the show himself, Ricardo Martinelli Berrocal? He boarded his private jet and left. The press followed its progress by Internet to Miami, Canada and then Italy. But Martinelli popped up in Miami alleging "political persecution" on his Twitter account and to any interviewer who would listen. Luis Cuca16n. "I didn't steal a f-ing nickel," he claimed. But some commentators on the subject estimate that the multi-millionaire owner of the 99 Supermarket chain, and many other businesses, who boasts on foreign television shows of being "the biggest businessman in Panama," may have made off with as much as $3 billion. However, at press deadline of The Visitor, the Supreme Court accepted a case against him over the $45 million purchase of dehydrated food through the PAN. They must ask the Electoral Tribunal to lift his electoral immunity as president of his Democratic Change Party. According to the experts, his self-bestowed title as a deputy of the Central American Parliament does not give him immunity from prosecution in Panama. h ttps: I /www.thevisitorpanama.com/ 2015 / 0 3 /panama-has-never-see n-a-corru ptlon-scandal-before-q uite-like-this-one I Page 3 of 3 Widening Panama Corruption Scandal Embroils Political Elite 6/28/ 15 8:24 AM In (/) About Us (/about-us) What We Do (/what-we-do) The Team (/the-team) Contact Us (/contact-us) ..£...- (http://es.insightcrime.org) Home(/) News (/news) Gou ntries (/organized-crime) Investigations (/investigations) Search ... (https://www.facebook.com/lnSightCrime) (https://twitter.com/insightcrime) (https://www.linkedin.com/company/insight-crime) Widening Panama Corruption Related Scandal Embroils Political Elite Articles Written by Loren Riesenfeld Tuesday, 14 April 2015 • Wikileaks: Panama Politicians Suspected Panama (/component/tags/tag/58-panama) of Drug Trafficking Elites and Organized Crime (/component/tags/tag/166-elites-and-organized-crlme) (/news- A corruption probe briefs/wi ki leaks panama-politicians into a welfare suspected-of-d rug program in Panama traffi cki ng) • Panama Dismisses 2,600 Police in 2 Years (/news briefs/panama dismisses-2600- Former president, Ricardo Martinelli, has fled Panama police-in-2-years) (http://www. i nsightcrime. org/com ponent/tag s/tag/58-panama) • No More FARC In now involves an ex-president, dozens of congressmen and Panama: President several cabinet members -- yet also raises questions about the (/news-briefs/no- http:/ /WWW. ins ig htcrlm e .org I news-briefs /wide ni ng-panama-corru ption-scandal-e m brolls-polltical-e Ilte Page 1 of 5 Widening Panama Corruption Scandal Embroils Political Elite 6/28/15 8:24 AM motives of an anti-corruption crusade that mostly targets the more-farc-in-panama current president's political rivals. president) • Did US Tip Off Anti-corruption prosecutors have added two new cases to an Panama About North investigation into the National Assistance Program (PAN), a Korean Missile Find? (/news-briefs/did-us welfare initiative designed to reduce poverty, according to La tip-off-panama-about Estrella (http://laestrella.com.pa/panama/nacional/fiscalia-sigue north-korean-missile pista-compra-bolsas-navidenas/23858262). While the find) prosecutors did not give details about the new cases, La • Panama Spent 7% of Estrella speculated they involve the Hailing Corporation, a GDP on Security: company that received a contract to distribute bags of food Does it Add Up? (/news during Christmas. analysis/panama Prosecutors said (http://panampost.com/panam security-improves alleged-corru ption staff/2015/03/31 /panama-to-investigate-entire-congress-for gang-proliferation) corruption/) PAN officials and the administration of former President Ricardo Martinelli inflated contracts and took bribes to choose certain companies. In a related case, a prosecutor asked the Supreme Court to investigate 71 congressmen for Receive lnSight allegedly influencing PAN contracts. Crime's Top Stories Weekly Two former PAN directors have been arrested for allegedly skimming $60 million dollars from contracts. Both directors implicated Martinelli in their testimonies, as did several former · Subscribe I officials in his administration. Martinelli fled the country (http://panampost.com/el isa-vasq uez/2O15/03/18/fug itive- marti nelli-on-the-run-from-panamas-hig hest-cou rt/) in January aboard a private jet, and an election tribunal recently revoked (http://www.reuters.com/article/2015/04/09/us-panama martinelli-idUSKBNON007220150409) his special immunity from prosecution as the leader of a political party. So far, prosecutors have indicted 120 people and seized $22 million in connection with the case. And $1.2 billion in contracts have come under scrutiny, due to poor accounting records between 201 O and 2014. In one notable case, the PAN awarded two contracts worth $60 million to Longmire International to purchase food for schools, http:/ /WWW. Ins ig htc rime .org /news-briefs /wld en Ing-panama-corruption-scandal-em broils-political-elite Page 2 of 5 Widening Panama Corruption Scandal Embroils Political Elite 5128115 8:24 AM according to La Prensa (http://www.prensa.com/locales/coleccionista- casas_O_4185331634.html). Longmire got the contracts despite a history of poor service -- children had previously fallen ill from eating the company's food. lnSight Crime Analysis The PAN scandal is one of several ongoing probes into Martinelli's former administration at the behest of President Juan Carlos Varela, who once served as Martinelli's vice president until the two had a serious falling out. Martinelli, who denies the allegations, claims (http://www.theguardian.com/world/2015/jan/29/panama corruption-inquiry--ex-president-ricardo-martinelli) he is the victim of political persecution and unfair portrayals in the media. ll Ricardo Martinelli Follow J Ya es el colmo las falsedades y mentiras que a diario me inventa La Prensa todo porque puse a su dueno a pagar impuestos y cambie Panama ("It is the height of falsehood and lies that La Prensa (newspaper) invents about me every day, all because I forced the owner to pay taxes and because I changed Panama (http://www.insightcrime.org/component/tags/tag/58-panama).") Varela denied the investigations are politically motivated and said in an interview (http://www. wash ington post. com/world/the_americas/panamas president-an-u n Iikely-champion-for-clean- g overnment/2015/04/08/85b21 dec-dda4-11 e4-b6d7- b9bc8acf16f7 _story. html) preceding the recent Summit of the Americas held in Panama http: I /WWW. Ins lg h tcrime .org I news-briefs I wide ni ng-panama-corru ptlon-scandal-embrolls-pol itical-ellte Page 3 of 5 Widening Panama Corruption Scandal Embroils Political Elite 6/28/15 8:24 AM (http://www.insightcrime.org/componenUtags/tag/58-panama) City, "I was elected to serve 4 million Panamanians, not to persecute one former president." The former president appointed five of the nine justices on the Supreme Court, which approved the probe into Martinelli in January. SEE ALSO: Coverage of Panama (/componenUtags/tag/58- panama) Varela also launched an investigation into allegations that Martinelli's government illegally wiretapped (http://www.mcclatchydc.com/2015/01128/254 716/panamas-ex presidents-hunger-for.html) and spied on politicians. And in February, a Supreme Court justice appointed by Martinelli pleaded guilty (/news-briefs/panama-supreme-court-judge convicted-corruption) to charges of illegal enrichment and falsifying documents. Tweet Shme Share 0 I I g+ What are your thoughts? Click here (!contact-us) to send lnSight Crime your comments. We also encourage readers to copy and distribute our work for non commercial purposes, provided that it is attributed to lnSight Crime in the byline, with a link to the original at both the top and bottom of the article. Check the Creative Commons website (http://creativecommons.org/licenses/by nc/3.0/) for more details of how to share our work, and please send us an email if you use an article. (http://www.soros.org/) http: I /www. Ins lghtcrlme .org /news-briefs /wld en I ng-panama-corru ptlon-scandal-e m brolls-polltlcal-e Ilte Page 4 of 5 Court to name replacement for Benavides 6/28/15 8:18 AM Domingo, 28 de juniode 2015. La Prensii /In English JUDICIAL AFFAIRS SPANISH VERSION Court to name replacement for Benavides The judge, who is facing charges of unjustified enrichment, resigned last week. Spanish version Juan Manuel Dfaz 21jun2015 - 09:02h TE MAS: Vfctor Benavides Corruption The Supreme Court will meet tomorrow to appoint Nelly Cedeiio to replace Victor Benavides, who resigned last week. Cedeiio, who is the alternate of Benavides, will serve until a permanent replacement is named by the executive. +info The meeting is slated for 10 a.m. Spanish version Benavides resigned due to his ongoing corruption trial in the National Assembly. He is the second Supreme Court justice to resign in the past year. Judge Alejandro Moncada Luna was convicted of unjustified enrichment last year, and was replaced by his alternate, Abel Zamorano. Judge Luis Ram6n Fabrega is the other judge in the third room. Envia dinero a Panama Envia $200 por s6lo $6.99! Ahorra tiempo. Envia por Internet. u 0 OTHERS STORIES IN ENGLISH Protesters wait for Varela Panama experiencing Future of legislative Parking prices vary widely heatwave alliance in doubt COM ENT ARIOS Los comentarios son responsabilidad de cada autor que expresa libremente su opini6n y no de Editorial per la Democracia S.A. Ven a Tierra Santa Descubre el mundo de la Biblia. Una experiencia que te transformara () 0 http:/ /www.prensa.com/in_eng lish/victor-Benavides-corruption_2 l_ 42 37286230.html Page 1of1 -:.~.;. .. ::., Max T. 30 • C ...... -.... ( pr com T. min 24 • C ·"'-~ - a Panama, Saturday August 1, 2009 Source: ETESA prensa.com The Press · Magazines Services My Journal Ingles Classifieds Cinema Tour Search classified print edition PANORAMA AUDITS IN THE COURT Judges face discipline processes and ethical lapses There are 183 open cases, 87% of the investigated involved permanent judges and the remaining 13%, alternates. MONICA PALM [email protected] Mulberry-court the presiding judge both the Mitchell-Harley escapes nobody complains. Even those who are called to .administer ju.stice. It happens that ther-e are records of disciplinary-proceedings and lack of ethics against judges and alternates, unsolved for eight years . .( ~_,,./ This is stated in a report of the Judicial Audii of the Supreme Court. Another finding of the report is the amount .of current files: 183, of which 87% are permanent judges and 13%, alternates. The same report notes that 54% of surveyed judges are PROCESS. Former Comptroller Alvin Weeden filed a disciplinary civilians, 19% of children and adolescents, 13% criminal. complaint against the judge who tried to hijack his house at the request of Balladares. PRESS I File The judge with the most complaints is the owner of Thirteenth Court civil, Melina Robinson Gold The first complaint to her performance introduced Ana Cecilia Maruri Wedemeyer, seven years ago. There is still no verdict. Robinson has achieved noioriety for some of his decisions. It was she who in March 2007 declared inadmissible a claim by $ 8 million, the Public Ministry filed against Colonel (retired) of extinct Defense Forces Marco Justine, who is accused of a capital injury 78 million dollars against the National Bank of Panama. Robinson is also the judge who tried to hijack the home of former Comptroller Alvin Weeden, responding to a request by the lawyers of former President Ernesto Perez Balladares. In fact, Weeden filed a disciplinary complaint against Robinson, in March 2007. Contacted by this newspaper, Robinson said that-contrary to what is in the report of the Audit Department and a spokesman for the court said was in effect today-all complaints against him have been "resolved". http://translate.googleusercontent.com/translate_c?depth=l&ei=uOd2SpmPMJKrri..Nsu4nd... 3/12/2014 "I just missing ihree," later acknowiedged, then warn it would riot comment, "precisely for reasons of ethics." Another rnulii-discipiinar/~;(o"ats's is~~9~;~9-·b;~{Vi~t6r Rene Garcia Galvez, best remembered in the media for having NO.DIE N&MBRIE banned the transmission of messages in which are outlined by, OOtJaS show, plot or uses "physical image or sixth judge staff "Hugo >5 Melina Robinson Oro Torrijos. >I Vti.ltor Rem.Ii Garcia Bebraz: Galvez Garcia is also the judge who ordered the arrest of the :>6 Jorge I. Escobar Banco de la Nacion Argentina. In fact, one of the six disciplinary complaints against the judge said, is for exceeding their powers >I Yarinath Herrera and violation of international treaties in relation to this case. >5 Juan Bosm Moiina frllli II The report of the Audit Department also has filed a complaint in ,.4 Fernando Bustos bankruptcy curator Marc Harris, Olmedo Arrocha against the >i Rnlarido Quesada Vallesp( first criminal judge, Rolando Quesada Vallespi. >3 Doriela Paz de Ortega In a circular dated June 11 addressed to the judges of High > 3 SOfange Le Fette~ Malek Courts and judges, the clerk of the Court, Carlos Slopes, urged Xiomara Btllgin de them to take "steps" to reach a verdict, "to enable our institution >3 'Nils.on to clarify the liability or not of our judicial officers regarding > 3 Nadalka GonzitezTrelles these sensitive processes. " >3 Ruby Ibarra •Jmlagr.atia LaPransa-DanlalGaf!Zilllz FURTHERMOREPANOR.Ai~A •flllllltllillffiicld~deM!d!lllril~ 1 ·MiliJ ·l! ooiiMAitA9ni!mnm·or•·~li~1 !i!:~~M · • 30 days remez6n • Rebuild the seventeenth century housing ND MB RE CASOS • Martinelli-chose to Saez-Liorens-CSS >Nodler Jaranilllo 30 • Construct third lane highway Resume •There are 183 open cases against judges >Carlos Trujillo JD • The other EU foreign policy >Manuel Ba.fist.a 6 • GREEN GRAFFITI >EvaCaf 5 • Reactivated fight against land use change • Government changes the designation of DJ Black • may be switched fines imposed curfew • Prisoners retain custodian Shuttle to protest • President enacted the law reforming the civil service • What happened to ... : Intoxicated in septic tank • Absences divisions and act to remind Omar • Balladares: did he touched me with Cemis •FE ERROR • The 30-day change • drugs burning presence Martinelli • Spain denounces 'blocking' of Panama • The State invests $ 300 billion in spending deportation • Judges face discipline and processes for ethical lapses • Two workers dle I fall 32nd floor • A marine adventure Comentaric --·~he-:~: h:;~:ns-::=Public ~r~~=~~~:·~-le~ com;~~~·:;~~~su;~-:~:i~:~-tax~---~ objectivity is impossible to find in the results, they are covered ... deCain brother did his in many cases and was a protege ... defense 8/2/200910:40:39 PM 3 ( = 1 http://translate.googleusercontent.com/translate_c?depth=l&ei=uOd2SpmPMJKmNsu4nd... 3/12/2014 G,..::.i. T.m:ix 3o·c nsacom • ..~.·.· T.min 24"C ( Panama, sSbado 1 de agosto ae 2009 Fuontc: ETESA prensa.com La Prensa Revistas Servicios Ml Diario English Clasificados Cine Turismo Archive Susc:riptcres Ullima Hora Sa~d P'Jl:::olcglo Psic:o!oglu Sc:::u31 Hoger Ma:icntlls T~r.notcgi:J Rcportajas ~~£ciaies Bebes Libros Fi!rilnduta Oraccs D~ Nacho Tr.:ibDjo Foms PANORAJM ~-r1rm"f~ll ~ MONICA PALM mpalm@prensa com De la mora judicial - Sucede que hay expedientes sabra prccescs disciplinarios y pcrfallas a la eUca contrajueces tilutares y suplentes, sin resolver desde hace echo arias, A.si esta conslgnado en un infarme de la Direcci6n de Auditoria Judicial de la Corte Supreme de Justicia. Otra revelaci6n def informe es la canUdad de expedientes en curse: 183, de los que el 87% corresponde a jueces tilulares y el 13%, a suplentes. PROCESO. El ax conlralor ~vin Weeden present6 una queija El mismo infonna desleca que el 54% de las investigados son discipfinaria c:ontra la juez: qua inlenlO secuestrar su casa, a IiriJiii;E5r()nE jueces civlles; et 19%, de N"inez y Adclescencia; el 13% pedido de Emestc Perez Balladares. LA PRENSNArchivo penales. El juez con mayer canUded de quejas es la tilular def Juzgado Decimotercero civil, Melina Robinson Ora. MIH1\W- ---No~DE NilMBRE La primera queja a su actuacl6n la presenl6 Ana Cecilia Maruri OU£JAS Wedem9yer, hac::e siete arias. Todavia no hay un veredlcto. > S Msl!na. Rablns1111 Orn Robinson ha alcanzado nctoriedad por algunas de sus decisiones. Fue ella quien en marzo do 2007 dectar6 lmprocedenta una Yarlne!h !lerrem demanda de indemnizaci6n per 8 millones de d61ares, qua el Ministerio Pllblico presen!6 contra el coronal (re!iradc) de las J~ li~sDO ~a Rivam exUntas Fuerzas de Defensa Marca Justine, a quien se acus6 Fernando Bustos de una fesi6n pelrimonlal por 78 millones de d6lares contra el > 3 Ralando Duew!a Yall ..pl Banco Nacicnal de Panama. > 3 Dodala Paz de Ortega Robinson tamblen es la juez que lntent6 secuestrar la casa del > 3 Solanea Le Fmo Malek ex conlralor Alvin Weeden, alendiendc una solicitud presenlada por los abcgados def ex president• Ernesto Perez Balladares. > 3 Xiomara Bulgin da Wilson > 2 Na!fallm Gan.iilaz Trellei De hecho, Weeden prasent6 una queja disciplinaria contra Robinson, en mari:o de 2007. Ccntacteda par este diario, > 3 Rabylbma Robinson dijo qua -contraric a le qua esta en el lnfcnme de la .1.1.,..n. 1..o-n1101t10anziio. Direcci6n de Audllorfa y qua un vccerc de la Corte dijo qua estaba vigenle al dia de hoy-todas las quejas en su contra han side •resueltas•. 'HfiihiwM 1·1·1·b'H "Solo me faltan Ires", raconcci6 postericrrnente, para luego 'i:!fi.f~@s~~~~-· · advertir qua no harfa comentarios, •precisamante par razones HilMBR.E CASlJS de ~tlca'. 30 Otro con varies procesos disc::ipllnartos en curse es el juez >CariasTrujllla ID sextc civil Victor Rene Garcia Galva~. milarecordadc en los medics de comunicaci6n per haber prohibido la transmisi6n de >l\lanua!Batim 6 mensajes en las que se resene, muestre, graflque o haga use >Eva Cal 5 de la gimagen fisica. o personal" de Hugo Torrijos. Garcia Galvez tambien as el juez qua orden6 el embargo del Banco de la Naci6n Argentina De hecho, una de las seis quajes dlscipllnarias contra el cltado juez, es per extralimitaci6n de funciones y violaciCn a los tratedcs lntemacionales e:n relaci6n a este case. En el lnforme de la Direcci6n de Audltorla tamblim consla la queja qua present6 el curador de la quleora de Marc Harris, Olmado Arroclla, contra el juez primero panal, Rolando Queoada Vallespi. En wne circular del 11 do junio dlrigida a los maglstrados de Tribunalss Supericres y jusces, el secretario de la Corte, Carlos Cuestas, los exhcrt6 a lomar las 'medidas" para llegar a un veredicto, 'que permila a nuestra inslilucipn di\ucidar le respcnsabllidad o no de nuestros operadores de justicia con relaci6n a estos sensibles proc::esos" ADEtMS EN PANORAMA • 30 dias de remez6n • Reconstruyen vivienda del siglo XVII http://mensual.prensa.com/mensual/contenido/2009 JO 8/01 /hoy /panorama/1872625 .asp 3/12/2014 ... -o- - ....,_ - • Martinslli escogi6 a S~ez-Ucrens p2ra la CSS • Construiran lercer carril en la autopisla de Arraijan • Hay 183 expedienles abiertas contra jueces • La otra pollUca exterior de EU • PINTADADEVERDE • Raactivan lucha en contra de cambio de use de suelo • Gobiamo cambia la designaci6n de OJ Black • Podran canmule1rsa las multas impues:as en toque da quad~ • Recluses relienen a custcdia para proleslar par traslado • Presidente sancian6 la lay qua reforme Is carrera administraliva • LOue pa.•6 con. .. ?· Los inloxicadas en el lanque s~plico · Ausencias y divisiones en acto para recordar a Omar · Petaz 6alledares: hice lo que m& locaba con el Cemis • FE DE ERRORES • Los 30 dlas con el cambio •Martinelli presencia quema de drogas • Espai!a denuncia 'bloqueo' de Panama ; El Estado invierte $300 mil en gastos de deportaci6n • Jueces encaran procesos por discipllna y fallas eticas · Dos obreros mueren al caer del piso nOmero 32 • Una aventura marina Comentarios Lo misrnc pasa en al Ministerio PUblico, ponef. una queja a queralla contra en fiscal. ~s imposible encontrar cbjetividad en lcs resullados, ellos se cubren ... EI herrnano deCain hizc de ~as suyas en muches cases y era un protegido ... el defensor 81212009 10:40:39 PM 3 Es lamentable que hayan transcurridc 8 alios sin un fallo. Es injusUf1cable. Ese slstema de quejas def Organo Judicial simplemente no funciona, ya que se lrata de amigos invesligando a amigos. Urge la creaci6n de un organismo independiente en la Corte para que tramite las quejas con calerldad y jusleza jhonny 8/1/2009 2!34:17 PM 2 M6nica. usted no comprende qua sin recurses y plata no se puede audltar bian, bene moratus ejercer la lransparencia, la titica. la moral...Ah no! la moraju. 81112009 9!42:06 AM ·.( __ Deje su Comentario / Nombre {requerido) J Escri_ba su comentarto aqui. Enviar Comentario MSximo 500 c:aracl~re:;. 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RcpUb!ica de ?cm:::im:3 Advertencia: Tcdo e! contenido de WW\'J.pre:ise com pertenece a C:irporaci6n La Prcm:;a S.A Raz6n per la cual, el ma.t~nal publicadc r10 s~ pucde reproducir, copiar o transmitir sin prav1a sutorizaci6n por escrlto de CorporaciOn La Prens;:i S.A Le agn:1deCG:mos :;JU corJperc:ciOn y 3ugt?rencias a ir'[email protected] y Ssrvicio EJJ Cl1ente En ceso de nscasitar mayor u1formeci6n acceda a nuestra bib!ioteca d1gltal o llE:m2nos ai 222·1222 ·( ·,,.:::-.--,.·' http://mensual.prensa.com/mensual/contenido/2009/08/01/hoy/panorama/1872625.asp 3/12/2014 EXHIBIT L Ex-Panamian supreme court chief pleads guilty to corruption I Reuters 6/28/15 8:21 AM EDITION: U.S. SIGN IN I REGISTER Search Reuters HOME BUSINESS MARKETS WORLD POLITICS TECH OPINION BREAKINGVIEWS MONEY LIFE PICTURES VIDEO MICHAEL J MCGOEY, CPA Personal & Corporate Taxes Faster Refunds with eFiling World I Mon Feb 23, 201510:58pm EST Related: WORLD Ex-Panamian supreme court chief pleads guilty to corruption PANAMA CITY PHOTOS OF THE WEEK Our top news photos from the past week. Slldeshow » Recruiting Franchise Opp 50+ years of recruiting success. Watch video and connect today. Alejandro Moncada Luna smiles while appearing in front of a congressional committee in Panama City October 20, 2014. REUTERS/STRINGER :::, 0 A former president of Panama's supreme court has pleaded guilty to charges of illicit enrichment as well as falsifying documents and will serve a five-year jail sentence, authorities said on Monday. TRENDING ON REUTERS Alejandro Moncada has been under house arrest since October and accepted the charges as part of a deal struck between his defense team and the prosecution, congressman Pedro Miguel Gonzalez, the prosecutor in the case, told a news conference. Under Panamanian law, supreme court judges can only be investigated by members of the country's Congress. He will serve a jail term of 60 months, Gonzalez said, although it was not yet clear whether http:/ /WWW .reute rs.com/ article/ 2015 /02 / 24/us-panama-judge-ldUSKBNOLS08A201502 24 Page 1 of 3 Ex-Panamian supreme court chief pleads guilty to corruption I Reuters 6/28/ 15 8:21 AM he would have to go to prison or could see out the sentence under house arrest. Manhunt for remaining New York prison escapee Intensifies ID VIDEO 1 Moncada came under investigation after media reports said he had bought apartments for some $1.7 million in cash without being able to justify where the money came from. Greek parliament gives green light to Tspiras' bailout referendum ID v1DEO Separate charges of money laundering against Moncada were dropped. 2 Rapper Kanye West soars at Glastonbury Defense lawyers told reporters that Moncada, who had long denied the charges against Festival 1D 1110Eo 3 him, accepted the deal because of his health, which has deteriorated in recent months. Euro zone readies for Greek default after Moncada, due to sit in the supreme court until 2020, was appointed by former Panamanian Tslpras referendum call I 0 VIDEO 4 President Ricardo Martinelli, a bitter rival of current President Juan Carlos Varela. For many black Americans, Confederate flag debate a distraction 5 Gonzalez is himself wanted in the United States on charges he shot and killed U.S. Army Sgt. Zak Hernandez in June 1992. He was acquitted at a 1997 trial in Panama. U.S. authorities said Gonzalez's trial was marred by jury-rigging, witness intimidation and Sponsored Financial Content !I(?) government harassment. 6% cash back from a credit card? You bet Ne't Advisor (Reporting by Elida Moreno; Editing by Paul Tait) When the greatest investor of all time issues a warning ... Motley Fool Energizing the global economy - Energy as a tail wind JP. Morgan FLJnds More From Reuters Sponsored Financial Content .:1 (?) What your Annuity Salesman wants to keep a secret. 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Corporate Bond Prices Glimpse Into Our Amazing Past New "Dollar Substitute" Could Be Warren Buffett Just Gave With These Historic Photos Announced As Early As October Americans a Big Warning Buzz/amp Stansberry Research The Motley Fool http:/ /www.reuters.com/ article/ 2015 /02 /24 / us-panama-judge-ldUSKBNOLS08A20150224 Page 2 of 3 Former Panamanian Chief Justice Gets 5 Years for Corruption 6/28/15 8:21 AM ESPANOL I THE CANAL BLOG I LETTERS I NEWS TIPS ADVERTISE f Blocked Plug-in ::WSLETTER ' ' <::Just clirecl to your in box! i' ICS SOCIETY TECHNOLOGY NEWS OPINION NEWS BRIEFS I I !WS COLUMNISTS .... REGIONS ... E i'JOW! )Lil email with anyone. i I anAmPo" <2,575followecs; inamanian Chief Justice aenr:r~rs for Corruption Alejandro Moncada Luna Convicted of Illicit Enrichment, Falsifying Documents MARCH 9, 2015 AT 9:26 AM • 0 Sidenotes 8 On Thursday, March 5, former Panamanian Chief Justice Alejandro Moncada Luna Espanol was sentenced to five years in prison after pleading guilty to two cases of corruption, becoming the first Supreme Court judge to be convicted in the history of the Central American country. http: I I pan am post.com/ pan am-staff/ 2015 / 0 3 /09 I forme r-panaman ian-ch ief-justice-gets-5-years-for-corru ption I Page 1of9 Former Panamanian Chief Justice Gets 5 Years for Corrupt ion 6128115 8:21 AM Moncada has been under house arrest since last source of money he used to buy two luxury apartments in an exclusive area of Panama City. A three-member judicial panel convicted him on Thursday for illicit enrichment and falsifying documents. Deputies Katleen Levy, Ana Matilde Gomez, and Zulay Rodriguez ordered a five-year prison term and an additional ban on public office for the following 5 years. Alejandro Moncada Luna is the first Panamanian Supreme Court judge to be convicted and sentenced for "This will satisfy the need and cry for justice of a crime. (La Prensa) the Panamanian people," said Gomez. In the hearing, the panel rejected Moncada request to serve his time under house arrest and the release of multimillion-dollar bank accounts related to the case. Furthermore, the judges said that US$1.7-million apartments he bought would be seized. Deputy Pedro Miguel Gonzalez, acting as prosecutor, noted that according to a comptroller general report, Moncada Luna and his wife had accumulated a wealth worth over $2 million. Under Panamanian law, only members of the National Congress can investigate Supreme Court judges. After the conclusion of the trial, Moncada Luna was transferred to El Renacer jail, the same facility where former Panamanian dictator Manuel Noriega has been imprisoned since 2011. The prosecutor also noted that special security conditions will be implemented during Moncada's stay in jail. http: 11 panampost.coml panam-staff12015103 /09 lforme r-panamanian-chief-justice-gets-5-years-for-corruptlon/ Page 2 of 9 Former Panamanian Chief Justice Gets 5 Years for Corruption 6/28/15 8:21 AM Former President Ricardo Martinelli, who is also facing a corruption probe, appointed Moncada to the nation's highest court in 2010. Sources: La Prensa Grafica, La Prensa, Hora Gero. CENTRAL AMERICA NEWS BRIEF PANAMA CORRUPTION RECOMMENDED Panama to Investigate Top Official Divulges Secrets Martinelli Flees to Florida, Former Panamanian Entire Congress for of Martinelli's Kickback Thousands March in President Martinelli Faces Corruption Scheme Panama City Corruption Probe Don't Miss Out, Follow the PanAm Post! Follow @PanAmPost <2,575 followers O comments ..-/ivefyre0 Sign in or Post as Guest 1 person listening I +Follow Share POST COMMENT AS ... Newest I Oldest I Top Comments http: I I panampost.com I panam-staff/2015 /03 /09 /former-panamanian-chief-justice-gets-5-years-for-corruption/ Page 3 of 9