smb Doc Filed 08/12/16 Entered 08/12/16 18:57:45 Main Document Pg 1 of 11

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1 Pg 1 of 11 UNITED STATES BANKRUPTCY COURT SOUTHERN DISTRICT OF NEW YORK SECURITIES INVESTOR PROTECTION CORPORATION, Plaintiff-Applicant, v. BERNARD L. MADOFF INVESTMENT SECURITIES LLC, Adv. Pro. No SMB SIPA Liquidation Substantively Consolidated In re: Defendant. BERNARD L. MADOFF, Debtor. DECLARATION OF SEANNA R. BROWN IN SUPPORT OF SUPPLEMENTAL MEMORANDUM OF LAW IN SUPPORT OF THE TRUSTEE S MOTION AFFIRMING THE TREATMENT OF PROFIT WITHDRAWAL TRANSACTIONS I, Seanna R. Brown, declare the following: 1. I am a Partner with the law firm Baker Hostetler LLP, counsel to Irving H. Picard, as trustee Trustee for the substantively consolidated liquidation of the business of Bernard L. Madoff Investment Securities LLC ( BLMIS ) under the Securities Investor Protection Act, 15 U.S.C. 78aaa et seq., and the estate of Bernard L. Madoff ( Madoff ). I submit this declaration in support of the Supplemental Memorandum of Law in Support of the Trustee s Motion Affirming the Treatment of Profit Withdrawal Transactions. 2. Attached hereto as Exhibit PW-1 are excerpts from the deposition transcript of Mr. Aaron Blecker dated July 1, Attached hereto as Exhibit PW-2 are excerpts from the deposition transcript of Dr. Joel Blum dated May 16,

2 Pg 2 of Attached hereto as Exhibit PW-3 are excerpts from the deposition transcript of Dr. Norman Blum dated May 13, Attached hereto as Exhibit PW-4 are excerpts from the deposition transcript of Ms. Annette Bongiorno dated July 8, Attached hereto as Exhibit PW-5 are excerpts from the deposition transcript of Ms. Winifier Jackson dated May 23, Attached hereto as Exhibit PW-6 are excerpts from the deposition transcript of Ms. Dorothy Khan dated May 25, Attached hereto as Exhibit PW-7 are excerpts from the deposition transcript of Ms. Alethea Leung dated June 2, Attached hereto as Exhibit PW-8 are excerpts from the deposition transcript of Mr. Bernard L. Madoff dated June 15, Attached hereto as Exhibit PW-9 are excerpts from the deposition transcripts of Ms. JoAnn Sala dated May 19, 2016 and June 13, Attached hereto as Exhibit PW-10 is a copy of the Declaration of Norman J. Blum dated February 20, 2016, marked as Trustee Exhibit Attached hereto as Exhibit PW-11 is a copy of a customer file for Norman J. Blum, BLMIS Account No. 1B0201 marked as Trustee Exhibit 3, Bates Numbered AMF AMF Attached hereto as Exhibit PW-12 is a copy of a customer file for Dr. Bradley Blum MD PA, BLMIS Account No , marked as Trustee Exhibit 6, Bates Numbered MADTBB MADTBB

3 Pg 3 of Attached hereto as Exhibit PW-13 is a copy of a customer file for Estate of Roslyn Blum, BLMIS Account Number 1B0036 (formerly ) marked as Trustee Exhibit 9, Bates Numbered MADTBB MADTBB Attached hereto as Exhibit PW-14 is a copy of a customer file for Roslyn Blum Remainder Trust, BLMIS Account Number 1B0191 marked as Trustee Exhibit 10, Bates Numbered AMF , AMF AMF , AMF Attached hereto as Exhibit PW-15 is a copy of the Declaration of Joel A. Blum dated February 20, 2016, marked as Trustee Exhibit Attached hereto as Exhibit PW-16 is a copy of a customer file for Joel Blum & Kerry Blum J/T WROS, BLMIS Account Number 1B0186 marked as Trustee Exhibit 15, Bates Numbered MADTBB MADTBB Attached hereto as Exhibit PW-17 is a copy of a customer account statement for the CAB Trust c/o Joel Blum, BLMIS Account Number dated November 30, 1990, marked as Trustee Exhibit 16, Bates Numbered MF Attached hereto as Exhibit PW-18 is a copy of a customer file for CAB Trust c/o Joel Blum, BLMIS Account Number 1C1001 marked as Trustee Exhibit 17, Bates Numbered MADTBB MADTBB Attached hereto as Exhibit PW-19 is a copy of a customer file for Dr. Morris Blum Living Trust, BLMIS Account Number 1B0189 marked as Trustee Exhibit 18, Bates Numbered AMF AMF Attached hereto as Exhibit PW-20 is a copy of spiral notebook pages marked as Trustee Exhibit 22, Bates Numbered HWN , HWN , HWN , 3

4 Pg 4 of 11 HWN , HWN , HWN , HWN , HWN , HWN , HWN HWN Attached hereto as Exhibit PW-21 is a copy of a customer file for Hanoh Charat, BLMIS Account No. 1C1047 marked as Trustee Exhibit 23, Bates Numbered AMF AMF Attached hereto as Exhibit PW-22 is a copy of check made out to Hanoh Charat, BLMIS Account No. 1C1047 dated January 5, 1999, marked as Trustee Exhibit 24, Bates Numbered MADWAA MADWAA Attached hereto as Exhibit PW-23 is a copy of a customer statement for Hanoh Charat, BLMIS Account Number 1C1047 dated January 31, 1999, marked as Trustee Exhibit 25, Bates Numbered MDPTPP Attached hereto as Exhibit PW-24 is a copy of a customer statement for Hanoh Charat, BLMIS Account Number 1C1047 dated December 31, 1998, marked as Trustee Exhibit 26, Bates Numbered MDPTPP Attached hereto as Exhibit PW-25 is a copy of a customer statement for Hanoh Charat, BLMIS Account No. 1C1047 dated November 30, 1998, marked as Trustee Exhibit 27, Bates Numbered MDPTPP Attached hereto as Exhibit PW-26 is a copy of check made out to Hanoh Charat, BLMIS Account No. 1C1047 dated November 25, 1998, marked as Trustee Exhibit 28, Bates Numbered MADWAA MADWAA Attached hereto as Exhibit PW-27 is a copy of a customer statement for Hanoh Charat, BLMIS Account No. 1C1047 dated October 31, 1998, marked as Trustee Exhibit 29, Bates Numbered MDPTPP

5 Pg 5 of Attached hereto as Exhibit PW-28 is a copy of a customer file for Harry Harman, BLMIS Account No. 1H0100 (formerly 1H0009), marked as Trustee Exhibit 30, Bates Numbered AMF AMF , MADTBB MADTBB Attached hereto as Exhibit PW-29 is a copy of a customer file for Doris Zimmeth, BLMIS Account Number 1Z0009, marked as Trustee Exhibit 31, Bates Numbered AMF AMF Attached hereto as Exhibit PW-30 is a copy of a Portfolio Management Transactions Report excerpt marked as Trustee Exhibit 34, Bates Numbered MF Attached hereto as Exhibit PW-31 is a copy of a Portfolio Management Report excerpt dated December 31, 1992, marked as Trustee Exhibit 35, Bates Numbered MF Attached hereto as Exhibit PW-32 is a copy of a customer account file for Aaron Blecker BLMIS Account Number 1B0022, marked as Trustee Exhibit 36, Bates Numbered MADTBB MADTBB Attached hereto as Exhibit PW-33 is a copy of a customer statement for Aaron Blecker, BLMIS Account Number dated April 30, 1992, marked as Trustee Exhibit 37, Bates Numbered MF Attached hereto as Exhibit PW-34 is a copy of a customer statement for Aaron Blecker, BLMIS Account Number 1B0022 (formerly ) dated June 30, 1992, marked as Trustee Exhibit 38, Bates Numbered MF Attached hereto as Exhibit PW-35 is a copy of a Portfolio Management Report for Aaron Blecker, BLMIS Account Nos. 1B0022 & 1B0023, dated December 31, 1992, marked as Trustee Exhibit 39, Bates Numbered MF

6 Pg 6 of Attached hereto as Exhibit PW-36 is a copy of a Portfolio Management Transactions Report for Aaron Blecker, BLMIS Account Nos. 1B0022 & 1B0023, dated December 31, 1992 marked as Trustee Exhibit 40, Bates Numbered MF Attached hereto as Exhibit PW-37 is a copy of a customer statement for Aaron Blecker BLMIS Account No dated July 31, 1991, marked as Trustee Exhibit 41, Bates Numbered MF Attached hereto as Exhibit PW-38 is a copy of a customer file for Arthur Blecker & Sofie Blecker BLMIS Account No. 1B0023 (formerly ) marked as Trustee Exhibit 42, Bates Numbered MADTBB MADTBB Attached hereto as Exhibit PW-39 is a copy of a customer statement for Arthur Blecker & Sofie Blecker BLMIS Account No dated July 31, 1991, marked as Trustee Exhibit 43, Bates Numbered MF Attached hereto as Exhibit PW-40 is a copy of a customer file for BLMIS Account No. 1B0156, marked as Trustee Exhibit 44, Bates Numbered AMF AMF Attached hereto as Exhibit PW-41 is a copy of a customer file for Arthur Blecker & Sofie Blecker J/T WROS BLMIS Account No. 1B0157 marked as Trustee Exhibit 45, Bates Numbered AMF AMF Attached hereto as Exhibit PW-42 is a copy of a customer file for CAB Trust c/o Joel Blum BLMIS Account No. 1C1001, marked as Trustee Exhibit 46, Bates Numbered MADTBB MADTBB

7 Pg 7 of Attached hereto as Exhibit PW-43 is a copy of a customer statement for CAB Trust c/o Joel Blum BLMIS Account No. 1C1001 dated May 31, 1996, marked as Trustee Exhibit 47, Bates Numbered MDPTPP MDPTPP Attached hereto as Exhibit PW-44 is a copy of a customer statement for CAB Trust c/o Joel Blum BLMIS Account No dated July 31, 1991 marked as Trustee Exhibit 48, Bates Numbered MF Attached hereto as Exhibit PW-45 is a copy of BLMIS House Manual 17 August 1995 marked as Trustee Exhibit 49, Bates Numbered MADTSS MADTSS Attached hereto as Exhibit PW-46 is a copy of AS400 Screenshots & Menu marked as Trustee Exhibit 53, Bates Numbered MDPTFF MDPTFF , MPTFF Attached hereto as Exhibit PW-47 is a copy of a document entitled BLMIS House 17 Work Logs 1993 & 1994 marked as Trustee Exhibit 54, Bates Numbered MADTSS MADTSS Attached hereto as Exhibit PW-48 is a copy of BLMIS House 17 Procedure Log 1995 marked as Trustee Exhibit 55, Bates Numbered MADTSS MADTSS Attached hereto as Exhibit PW-49 is a copy of BLMIS House 17 Procedure Log 1996 marked as Trustee Exhibit 56, Bates Numbered MADTSS MADTSS Attached hereto as Exhibit PW-50 is a copy of a customer file for the William Alpern Trust BLMIS Account No. 1A0028 (formerly ), marked as Trustee Exhibit 57, Bates Numbered MADTBB MADTBB

8 Pg 8 of Attached hereto as Exhibit PW-51 is a copy of a customer statement for Aaron Blecker BLMIS Account Number 1B0022 dated September 30, 1996, marked as Trustee Exhibit 59, Bates Numbered MDPTPP MDPTPP Attached hereto as Exhibit PW-52 is a copy of a customer statement for Arthur Blecker & Sofie Blecker J/T WROS BLMIS Account Number 1B0023 dated September 30, 1996, marked as Trustee Exhibit 60, Bates Numbered MDPTPP MDPTPP Attached hereto as Exhibit PW-53 are excerpts from the full spiral notebook file marked as Trustee Exhibit 61, Bates Numbered HWN HWN Attached hereto as Exhibit PW-54 is a copy of a debit memorandum dated November 25, 1998 and trade confirmations for Hanoh Charat BLMIS Account Number 1C1047, marked as Trustee Exhibit 62, Bates Numbered MADTBB MADTBB Attached hereto as Exhibit PW-55 is a copy of a customer file for Theresa Ryan & Lawrence Ryan Trustees BLMIS Account Number 1R0073, marked as Trustee Exhibit 63, Bates Numbered MADTBB MADTBB Attached hereto as Exhibit PW-56 is a copy of a customer file for Theresa Ryan & Lawrence Ryan Trustees BLMIS Account Number 1R0073 marked as Trustee Exhibit 64, Bates Numbered AMF AMF Attached hereto as Exhibit PW-57 is a copy of a debit memorandum and trade confirmations for Theresa Ryan & Lawrence Ryan Trustees BLMIS Account No. 1R0073 dated July 5, 1995, marked as Trustee Exhibit 66, Bates Numbered MADTBB MADTBB

9 Pg 9 of Attached hereto as Exhibit PW-58 is a copy of a customer statement for Aaron Blecker BLMIS Account No dated February 28, 1987, marked as Trustee Exhibit 69, Bates Numbered MF Attached hereto as Exhibit PW-59 is a copy of certain customer statements for Aaron Blecker BLMIS Account No dated December 31, 1986, December 31, 1987, December 31, 1988, December 31, 1989, December 31, 1990 and December 31, 1991, marked as Trustee Exhibit 70, Bates Numbered MF , MF , MF , MF , MF , MF , respectively. 61. Attached hereto as Exhibit PW-60 is a copy of a customer statement for Arthur Blecker & Sofie Blecker BLMIS Account No dated September 30, 1984, marked as Trustee Exhibit 71, Bates Numbered MF Attached hereto as Exhibit PW-61 is a copy of a customer statement for Arthur Blecker & Sofie Blecker BLMIS Account No dated July 31, 1991, marked as Trustee Exhibit 72, Bates Numbered MF Attached hereto as Exhibit PW-62 is a copy of a customer statement for Arthur Blecker & Sofie Blecker Account No dated July 31, 1986, marked as Madoff Ex. 6 by Claimants counsel, Bates Numbered MF Attached hereto as Exhibit PW-63 is a copy of an affidavit by Mr. Barry Schwartz and accompanying Exhibit A dated June 3, Attached hereto as Exhibit PW-64 is a copy of a customer statement for Arthur Blecker & Sofie Blecker BLMIS Account No dated August 31, 1982, Bates Numbered MF

10 Pg 10 of Attached hereto as Exhibit PW-65 is a copy of a customer statement for Roslyn Blum BLMIS Account No dated July 31, 1991, Bates Numbered MF Attached hereto as Exhibit PW-66 is a copy of a customer statement for Dr. Morris Blum BLMIS Account No dated July 31, 1991, Bates Numbered MF Attached hereto as Exhibit PW-67 is a copy of a customer statement for Roslyn Blum Remainder Trust BLMIS Account No. 1B0115 dated October 31, 1994, Bates Numbered MF Attached hereto as Exhibit PW-68 is a copy of a customer file for Dr. Morris Blum Living Trust BLMIS Account 1B0033 (formerly ), Bates Numbered MADTBB MADTBB Attached hereto as Exhibit PW-69 is a copy of a customer file for the Roslyn Blum Remainder Trust U/A BLMIS Account No. 1B0115, Bates Numbered MADTBB MADTBB Attached hereto as Exhibit PW-70 is a copy of a customer file for Norman J. Blum BLMIS Account No. 1B0034 (formerly ), Bates Numbered MADTBB MADTBB Attached hereto as Exhibit PW-71 is a copy of a customer statement for Norman J. Blum BLMIS Account No dated July 31, 1991, Bates Numbered MF Attached hereto as Exhibit PW-72 is a copy of a customer statement for CAB Trust BLMIS Account No. 1C1001 dated December 31, 1995, Bates Numbered MDPTPP Attached hereto as Exhibit PW-73 is a copy of the plea allocution of Bernard Madoff in United States v. Madoff, 09 Cr. 213 (DC) (S.D.N.Y. Mar. 12, 2009). 10

11 Pg 11 of Attached hereto as Exhibit PW-74 is a copy of the sentencing transcript of Annette Bongiorno in United States v. Bonventre et al., 10 Cr. 228 (LTS) (S.D.N.Y. Dec. 9, 2014). 76. Attached hereto as Exhibit PW-75 is a copy of the Order of Forfeiture as to Specific Property/Money Judgment in United States v. Bongiorno, 10 Cr. 228 (S.D.N.Y. June 14, 2016), ECF No Dated: New York, New York August 12, 2016 Respectfully submitted, BAKER & HOSTETLER LLP /s/ Seanna R. Brown Seanna R. Brown sbrown@bakerlaw.com Baker & Hostetler LLP 45 Rockefeller Plaza New York, New York Tel: (212) Fax: (212)