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Filing# 149336980 E-Filed 05/10/2022 07:30:17 PM
IN THE CIRCUIT COURT OF THE
SEVENTEENTH JUDICIAL CIRCUIT, IN
AND FOR BROWARD COUNTY,
FLORIDA
COMPLEX BUSINESS DIVISION
CASE NO. CACE21016240
STRIKE X LLC,
Plaintiff,
V
VILLAGE AT GULFSTREAM PARK,
LLC,
Defendant.
PLAINTIFF'S EXPERT WITNESS DISCLOSURE
Plaintiff STRIKE X, LLC ("StrikeX"), by and through undersigned counsel hereby
submits this expert witness disclosure. Strike X reserves the rightto amend its below disclosures
and/or identifyadditional experts by the July 15, 2022 deadline agreed to by the partiesand
subsequentlyapproved by the Court in its February 8,2022 Order.
1. Michael D. Pakter, CPA, CFF, CGMA, CFE, CVA, MAFF, CA, CIRA, CDBV
203 North LaSalle Street,Suite 2100
Chicago, Illinois 60601
Mr. Pakter's background, education, and experienceis reflected in his Curriculum Vitae
attached hereto as Exhibit "1."
Mr. Pakter has been retained by Strike X and is expected to provide testimony on Strike
X's claimed economic damages, including compensatory damages and lost profits,
suffered as a result of Defendant's breach of the Lease Agreement dated August 5,2020.
as to the present cash value of the lost profits
Mr. Pakter is expectedto testify that Strike
X would have earned from the rightto own and operate its business at the Premises
pursuant to the Lease Agreement.
Mr. Pakter's opinions are founded on his knowledge and more than forty years of
experiencein accountingand forensic accounting,business economics, and investigations
in numerous and diverse engagements, includingmore than twenty years of experiencein
determining economic damages. Mr. Pakter will render his opinions reached using
generallyacceptedmethodologies and based
to a reasonable degree of accountingcertainty
*** FILED: BROWARD COUNTY, FL BRENDA D. FORMAN, CLERK 05/10/2022 07:30:16 PM.****
on his education, training,experience,knowledge, and on his consideration of relevant
documents includingStrike X's business and financial records demonstratingits historical
revenue and sales. Discovery is ongoing and Mr. Pakter continues to assess the facts and
documents provided to him.
Gould & Pakter Associates,LLC has been retained on the followingrange ofhourly rates,
which varies depending upon the level and skill ofthe professional
assigned:$130 $550,
-
per hour. Mr. Pakter's hourly rate is $460 per hour.
Mr. Pakter and Gould & Pakter Associates, LLC do not maintain statistics to determine the
percentage ofwork performed on behalfofplaintiffs or on behalfof defendants. However,
Gould & Pakter Associates, LLC's services are available to both defendants and plaintiffs,
and Mr. Pakter estimates that he is and on
retained about equally on behalf of plaintiffs
behalf of defendants. Although the percentage varies,Mr. Pakter estimates that 75% or
more of his income derives from expert litigation
work.
Mr. Pakter's record of priortestimony is reflected in Exhibit "1".
Dates of availability June 30,2022 and July 7,2022.
for deposition:
Dated: May 10,2022 Respectfullysubmitted,
ZARCO EINHORN SALKOWSKI & BRITO, P.A.
Counsel for Plaintiff
One Biscayne Tower
2 South Biscayne Boulevard, 34?th Floor
Miami, Florida 33131
Telephone:(305) 374-5418
Facsimile: (305) 374-5428
By: /sl Robert F. Salkowski
ROBERT ZARCO (FBN 502138)
E-mail:
ROBERT F. SALKOWSKI (FBN 903124)
E-mail: rsalkowski@zarcolaw.com
Secondary acoro@zarcolaw.com
MARY NIKEZIC (FBN 92928)
E-mail: mnikezic@zarcolaw.com
Secondary: eservice@zarcolaw.com
2
CERTIFICATE OF SERVICE
I HEREBY CERTIFY that on May 10,2022, a true and correct copy of the foregoingwas
served via the Florida Courts' e-Portal upon the following Jordanna Ishmael
com,
[ishmaelj@gtlaw. abrahamd@gtlaw. com, and coml
flservice@gtlaw. and Michael N.
Kreitzer and belloy@gtlaw.com] GREENBERG TRAURIG, P.A., 333
S.E. Second Avenue, 44th Floor, Miami, FL 33131.
By: /s/ Robert F. Salkowski
3
EXHIBIT "1"
GOULD & PAKTEli
MICHAEL D. PAKTER ASS.C]AT'%, IIC
CERTIFICATIONS
Chartered Global Management Accountant (CGMA), (2012)
Certified Valuation Analyst (CVA), (2011)
Master Analyst in Financial Forensics (MAFF), (2009)
Certified in Financial Forensics (CFF), (2008)
Certification in Distressed Business Valuation (CDBV), (2006)
Certified Insolvency and Restructuring Advisor (CIRA), (2002)
Certified Fraud Examiner (CFE), (1994)
Certified Public Accountant (CPA), (1988)
Chartered Accountant (CA), (1980) (Non-Dues Paying)
EDUCATION
Bachelor of Commerce, Witwatersrand University, South Africa (1974-1976)
Bachelor of Accountancy, Witwatersrand University, South Africa (1977-1979)
Bankruptcy Mediation Certificate Program, DePau/ University (2000)
ConstructionManagement Certificate Program, DePau/ University (2007)
Continuing Education, inc/uding A/CPA, /CPAS, ACFE, A/RA, NACVA (1986 - present)
RANGE OF EXPERIENCE
Mr. Pakter focuses his professional practice on forensic accounting, economic damages, financial analyses, distressed
businesses, fraud/financial investigations, business valuation, business economics and litigationsupport services. He has
provided expert services in matters involving accounting, insurance claims interruption, breach of
lost profits/earnings,
contract, audit failure, analysis of financial transactions/balances, alter ego, bankruptcy, fraud, accounting books and records
and the reconstruction of incomplete, misstated and/or falsified financial information.
Mr. Pakter provides consulting and dispute services to trial lawyers, trustees, examiners, receivers,
business owners and managers and units of federal, state, and local government. Many engagements combine complex
financial analysis, economic damages, valuation, and distressed business issues, often involving applying many professional
disciplines to assist in resolving complex commercial litigation and business disputes.
Mr. Pakter has more than 40 yearsof experience in accounting and forensic accounting, business economics and investigations
in numerous and diverse engagements, including more than 20 years of experience in economic damages and
industries
business valuations. State, Federal and Bankruptcy Courts, as well as arbitrators, have recognized him as an expert in
accounting, forensic accounting, economic damages, financial analysis, business valuation and business economics. He has
served as a Rule 213(f)3 expert witness, a Rule 30(b)(6) witness and a Rule 1006 witness.
PROFESSIONAL ORGANIZATIONS
National Association of Certified Valuators and Analysts (NACVA) Practitioner Member; Assistant Editor (Nationa/ Litigation
Consultants' Review 2013-2016); Editorial Board (QuickRead); Editorial Board (The Value Examiner); Litigation Forensics Board
(2012-2014, 2017-2020); Foundations of Financial Forensics Instructor; Instructor of Exceptional Distinction (2012+2020);
Outstanding Member Award (2015); and MAFF (Bankruptcy,Insolvency and Restructuring Track) Instructor
U\\nois CPASociety UCPAS) Member, Past President (North Shore Chapter); Member, Ethics Committee (1991-1995); Chair,
Fraud Conference (2005-2009); Member, Accounting Principles Committee (2010-2012); and Chair, Forensic Accounting
Conference/Workshop (2010-2013); Healthcare Compliance & Fraud Conference (2016-2017)
American Institute of Certified Public Accountants (AICPA) Member, Forensic and Valuation Services & Private Companies
Practice Sections
Association of Certified Fraud Exam\ners (ACFE) Member and Past President (Chicago Chapter), 25 Year Pin
Association of Insolvency and Restructuring Advisors (NRA) Member
Chicago International Dispute Resolution Association (CIDRA) Treasurer
1
GOULD & PAKTEli
MICHAEL D. PAKTER ASS.C]AT'%, IIC
PROFESSIONAL AND BUSINESS HISTORY
Gould & Pakter Associates, LLC
Managing Member (2004 - present)
Russell Novak & Company, LLP
Partner (2000 - 2004); Principal (1998 -
1999)
Rome Associates LLP
-
Principal l1996 1998)
Altschuler, Melvoin and Glasser
(1991 1996); Supervisor/Manager, Review and Technical Guidance (1986 1991)
-
Manager/Senior Manager, Litigation
-
Sussman & Goddard
Manager, Accounting and Auditing, Manager, Technical and Training (1985 - 1986)
Macsteel Group of Companies
Corporate Treasurer/Corporate Secretary, (1982 to 1985)
SADF Directorate of Internal Auditing
Accounting, Auditing, Financial Analysis and Fraud Detection, (1980 to 1982)
Schwartz Fine & Company/Arthur Andersen Worldwide
Accounting, Auditing and Financial Analysis, (1977 to 1980)
REPRESENTATIVE ENGAGEMENTS
Courts and arbitral bodies have recognized Mr. Pakter as an expert in economic damages, accounting, financial forensics,
financial analysisand business economics. For illustrative purposes only, his expertise is additionally described in the areas
listed below and the representative engagements that follow:
. Economic Damages ?Lost profits/earnings Ibusiness interruption Ibusiness damages and other damages
. Litigation Support IDiscovery assistance 1evidence/deposition/trial binders ?testimony Ilitigationsupport
. Forensic Accounting IFinancial forensics Ianalysis of transactions/balances ?reconstructing accounting books/records
0 Bankruptcy/Distressed Businesses IFraudulent conveyances Isolvency Ipreferences Iplan feasibility
o Investigations IInternal corporate investigations Ifraud detection Ifinancial reporting irregularitiesIemployee misconduct
. Valuation Analysis IContractual disputes Iclaims Idistressed businesses Iturnarounds ?bankruptcy core proceedings
. Accounting Analysis IAccounting books and records Iinternal controls Ibusiness processes ?business performance
. Intellectual Property/Franchise ?Copyright/trademark infringement Iuse of Iikeness 1royalty audits Iprojections
. Real Estate/Construction ?Landlord/tenant disputes Icosts of construction Icommon area expenses ?real estate
developers
o Wholesale/Retail ?Benchmarks ?"earn outs" ?inventory Iforecasts Ifinancial condition/performance
I Manufacturing/Distribution/Transportation ?Cost accounting Icharge backs ?expense categorization/reduction
0 Government IVendor audits Iprogram revenues/costs Ifalse claims
Federal/State/Local
2
GOULD & PAKTEli
MICHAEL D. PAKTER ASS.C]AT'%, IC
I
ECONOMIC DAMAGES
Determine economic damages, primarily compensatory damages based on consequences of breach of contract/fiduciary
duties, business interruption, personal injury and wrongful death. Focus on lost profits/earnings using financial analysis to
project the "but for world."
. Determine economic damages alleged by both supplier and distributor in cross-claims, each allegingthe liability
of the
other for breaching an exclusive distribution agreement with fixed purchase commitments. Submitted affidavits,expert
reports and rebuttal reports and testified at arbitration regarding lost profits,fixed and variable costs, effective selling
prices and future sales projections.
, Compute economic damages claimed by a printing company due to alleged malfunction of company's sole printing press.
Investigate the impact on from economic, industry, customer and other intervening factors otherthan the alleged
profits
malfunction and evaluated economic damages determined by opposing expert.
. Determine lifetime lost earnings of employee based on injuries sustained as a result of a shooting by a police officer.
Determine lifetime lost earnings and present and future medical costs of independent owner operator based on injuries
sustained while loading equipment. Determine lost earnings of a police officer as a result of being wrongfully denied
promotions.
, Investigate property damage and business interruption claims arising from a roof collapse at a nursing home; an electrical
fire at arms manufacturer; storm damage at an
a car wash; a burglary at a convenience store; an explosion at an
automobile vehicle dealership; and defective drums on an assembly line. Assist attorneys and clients with claims
resolution involving insurance claims adjusters, umpires and mediators.
, Calculate damages claimed by a "B2C" e-commerce retailer as a result of the alleged wrongful acts of a computer software
provider. Integrate into the damages all functional elements to have been included in multiple high-volume websites and
determine the "but for" lost profits from lost sales, higher cost of sales and additional fixed costs over several years and
products.
. Engaged by Department of Justice to determine lost earnings capacity of individuals as a result of their wrongful death,
based on Mandatory Victims Restitution Act and case law. Incorporate minimum or last known wages, taxes, work life
expectations, employment cost indices and lost pensions.
, Compute economic damages suffered as a result of actions of a key supplier. Evaluate reasonableness of lost revenue
estimates and analyzed incremental "but for" costs incurred with special emphasis on long-run and short-run cost
behaviors for fixed and variable costs with multiple cost drivers.
, Calculate property damages in local plant producing raw materials and business interruption losses in a foreign plant
producing finished goods as a result of an acid spill.Reconcile property damages and lost profits with financial analysis of
insurance company claim report and witness depositions.
. Determine Senior VP's compensation improved aftertermination and opposing expert report improperly concluded to the
contrary because of unsupported assumptions. Testifythat even if wrongfully terminated, the Senior VP suffered no
financial damages because of his employer's conduct. Factor in alternative facts regarding expected work life,
compensation, work-related economic benefits, taxes and prejudgment interest.
, Prepare Court ordered accounting of earnings lostfrom trading activities of a team of brokers before and after leaving a
clearing firm. Reconstruct missing transactions and estimate unallocated overhead and other costs before and after
effects of team leaving.
3
GOULD & PAKTEli
MICHAEL D. PAKTER ASS.C]AT'%, IIC
LITIGATION SUPPORT
Provide trial lawyers and their clients with review, analysis and support in all phases of the commercial and civil litigation
process to assist with discovery, analysis and/or preparation for deposition and trial. Focus on assembling deposition and
trial binders concerning financial analysis, evaluating material financial transactions and the conduct of directors, offices,
employees and professional advisors.
. Establish acompany had excessive levels of debt, insufficient operating cash flows to service debts and negative net worth
before the alleged improper termination of a key agreement; that its financial condition was worse than comparable
companies and industry benchmarks; that it had a high risk of business failure; and that its eventual self-liquidation was
notthe result of the agreementtermination.
, Engaged by public company's legal counsel to evaluate merits of contemplated litigationagainst its Big Four CPA firm for
alleged audit failures resulting in restatement of financial statements and decline share price. Conducted detailed
in its
analyses of GAAP and GAAS relating to significant misstatements in the company's financial condition and results of
operations and deficiencies in its internal controls.
. Determine that Corporate Defendants existed as separate entities with distinct business purposes, followed proper
procedures regarding separate accounting records, properly disclosed distributions and segregated revenues, expenses,
assets and liabilities. Establish that funds were not commingled, debts were paid as they fell due until business activities
ceased and assets were used to pay liabilities.
. Perform financial analysis regardingthe nature, form and substance of a merger and related transactions for a dispute
focused on the entity's assets, conditions precedent in the merger agreement and funds no longer available in the entity's
treasury afterthe merger. Renderopinions as tothe form and substance of the merger and thatthe transaction resulted
in a wrongful dividend.
, companyto evaluate the merits of claims against prior auditors, directors and
Assist counsel for a large diversified public
officers under Private Securities Reform Act of 1995, Investment Company Act of 1940, PCAOB Standards, GAAP
Litigation
and GAAS. Perform detailed analyses of specific financial transactions and balances and evaluated whetherthe prior
auditors performed their work with the requisite standard of due care.
. Evaluate company documents, SEC reports, accountant's work product and analysts' files in a Section 10(b) 5 securities
litigation. Provide counsel with financial analysis and discovery concerning the directors' and officers' knowledge of
material misrepresentations tothe market duringthe class period.
, Assist a national accountants' malpractice insurance carrier, and its counsel and claims specialists,to assess the merits of
claims brought against accountants. Evaluate and report on work product of over 50 public accounting firms and assisted
the insurance carrierto reduce liability
risks through educational programming.
. Estimate lost revenues that would be sustained to comply with the Americans with Disabilities Act. Performed financial
analysis with market surveys to determine financial impact on the service provider.
. Determine and testifythat auditors failed to follow due professional care in the course of its engagement. Review all
discovery in the litigation, including auditors' deposition transcripts and working papers to identify specific GAAS failures.
. Determine and testifythat auditors exercised the requisite skill and ordinary care and properly complied with GAAS.
Investigate, conclude and testify that audited company's financial statements were not misstated and that all disclosures
were adequate and proper.
4
GOULD & PAKTEli
MICHAEL D. PAKTER ASS.C]AT'%, I IC
FORENSIC ACCOUNTING
Provide trial lawyers and their clients with forensic accounting services and testimony to enable financial analysis and court-
ordered accountings in litigation. Focus on complex multiple-entity business disputes, financial reporting and evaluating the
effect of financial transactions.
. Design and conduct forensic accounting procedures, on behalf of counsel for passive minority investors, on the operations
and transactions of underperforming privately held businesses with significant cash transactions. Examine the accounting
books and records of businesses operated by owner-managers and used financial and benchmark analyses to find
questionable transactions and the range of estimated cash shortfalls.
. Engaged bycounsel for family-held businesses to perform a financial analysis of related corporate defendants to
determine whether financial/business considerations dictated that personal defendants should be liable forthe
corporations' debts by plaintiffs'attempt to "pierce the corporate veil."
. Determine nature and extent of a manufacturer's post-closing purchase-price adjustments after acquisition by a public
company. Recompute the GAAP versus accelerated tax-basis accounting for Plant and Equipment.
, Investigate, on behalf of SEC Division of Enforcement, the propriety of the accounting and financial reporting of related-
party transactions between hotel operating subsidiaries and parent. Issues included proper accounting for acquisitions
generating significant revenues at year-end date.
, Assist counsel in their representation of investors in failed limited partnerships with significant damage claims, analyzed
material financial transactions, developed financial analysis and investigated accounting malpractice.
. Investigate and report to the unusual changes in the methods and patterns of cash disbursements
prior to and following the sudden disappearance of the company's owner-manager/physician.
. Analyze one company's domination and control of another, the disregard of corporate formalities and the financial effects
of assets distributions. Issues included cash management systems, intercompany financial reporting, "division stripping"
and the impact of the treatment of existential liabilities.
. Perform specific forensic accounting procedures on behalf of industrial property company in support of substantive lease
restructuring discussions. The company had built and leased a state-of-the-art corporate headquarters and national
distribution warehouse. The tenant entered into a series of ill-fated acquisitions culminating in financial difficulties likely
to result in a potential bankruptcy filing.The analyses of the tenant's financial condition were an integral part of the
property owner's strategic responses.
. Trace and segregate cash flows, profits and resulting net assets between legal and illegalactivities to enable the Court to
determine the extent of illegalactivities. Engaged on behalf of Defendant seekingto reduce sentence under Federal
Sentencing Guidelines.
. Perform accounting procedures to analyze and support an expert opinion in marital dissolution proceedings regardingthe
marital or non-marital character of assets. Trace currently owned assets back to assets acquired before marriage or
acquired duringthe marriage by gift,inheritance or descent.
. Analyze and determine additional losses suffered as a result of alleged carelessness and negligence in demolishing certain
buildings and related facilities located on specific property earmarked for construction of an ethanol plant. Research and
evaluate industry conditions, state of capital markets, management assumptions and the discounted cash flow modeling of
accounting and industry experts.
5
GOULD & PAKTEli
MICHAEL D. PAKTER ASS.C]AT'%, IIC
BANKRUPTCY/DISTRESSED BUSINESSES
Provide trustees and trial lawyers and the debtors or creditors they represent with bankruptcy and reorganization services,
primarily in core proceedings. Focus on performing financial analysis of material transactions, fraudulent conveyances,
solvency and preference analyses, the forensic reconstruction of accounting books and records and plan feasibility.
. Demonstrate that the Debtor's Cash Flow Projections were a well-prepared forecast of future operations, based on
reasonable assumptions that took into consideration the changes expected as a result of the Plan Confirmation that would
enable the Debtorto fund the Plan's cash flow requirements.
, Complete solvency, preference and liquidation analyses to support counsel's actions against lenders, management and
professional advisors resulting from diversified corporation's default on its bank loans. Develop support for the Debtor's
request forthe Court's denial of post-petition financing.
. Investigateand analyze a Debtor's pending claims and adversary proceedings against shareholders, lenders and
professional advisors concerning aLBO transaction involving fraudulent conveyances. Analyze the impact of various
business combinations on the Debtor's financial condition after restructuring, performed a solvency analysis and reviewed
material transactions contributing to the Debtor's deepening insolvency.
. Demonstrate a company's business started to decline before a specific transaction and its business continued to decline
while related companies prospered. Issues included a pattern of transactions transferring assets and revenues to related
companies, the Iiquidityof assets and the value of the use of related company assets.
. Provide litigationservices in an action filed on behalf of unsecured creditors seeking recovery of pre-petition fraudulent
conveyances. Perform a financial analysis of significant pre-petition transactions.
. Analyze and testify astothe Debtors' financial condition afterassumingcertain liabilities and astothe value of the
Debtor's net assets. Prove that Debtors did not receive quantifiable benefits from assuming liabilities and issued checks to
each otherthat did not result in checks to third parties.
. Review Debtor's Amended Disclosure Statement and Plan of Recognition; compare projections to pre- and post-petition
actual results; evaluate key assumptions included in the Debtor's projections of sales revenues
and royalty income; and
reconstruct previously incomplete financial records.
. Perform a preference analysis relatingto vendors and insiders of a privately held business. Prove the foundation for
preference actions and secured original checks, invoices and wire transfers as evidence. Complete debtors' amended
income tax returns forthe Plan Trustee.
, Assist manufacturing company with post-bankruptcy reorganization and restoration of operations. Issues included
transfer and resumption of business, preserving contracts, ensuring ongoing economic viability,restructuring real estate
entities and administrative aspects of accounting records and income tax compliance.
. Employed by a Chapter 7 Trustee to investigate allegedly unsubstantiated and/or fraudulent financial reporting by a
consolidated health care provider. Provide the Trustee and legal counsel with forensic accounting and litigation
accounting support, including reconstruction of incomplete and/or falsified financial records.
. Perform financial analysis and specific agreed upon procedures for a large, privately held holding-entitythat operated a
manufacturing division and managed a corporate office. Determine and attest to the sufficiency of assets to meet
including additional worker's
liabilities, compensation judgment liabilityand issue an independent report detailing work
performed and findings reached.
6
GOULD & PAKTEli
MICHAEL D. PAKTER ASS.C]AT'%, IIC
INVESTIGATIONS
Conduct internal investigations on employee/officer misconduct, financial reporting irregularitiesand fraudulent financial
transactions. Focus on financial analysis, examining documents, interviewing personnel, gathering evidence and performing
whistleblower-directed or risk-based procedures to determine findings as to the nature, timing and extent of fraud
perpetrated.
, Investigate of the accounting for receivables, loans, advances, suspense accounts and related transactions. Interview
and senior personnel, including a whistle-blower, and examine over 1,000 accounting entries in the
directors, officers
general Iedgers, account analyses and handwritten "second set of books." Perform financial analyses, forensic accounting
and investigative analyses and gather, review and control more than 3,000 documents fortrial. Conclude the former CFO
created, directed and controlled a financial reporting system to systematically and fraudulently manipulate and conceal
true financial condition from the directors, officers, shareholders, auditors, lenders and revenue authorities for more than
ten years.
. Conduct an internal corporate investigation for new management to determine the nature, timing and extent of fraud
perpetrated bythe former general manager and controller. Conduct forensic procedures to detect fraud and quantify the
extent of fraudulent financial reporting and misconduct.
. Engaged by the Office of the United States Attorney to assist in qui tam originated investigation of approximately $10
million charged to NIH and VA Federal Grants. Apply risk assessment, forensic accounting and investigative techniques to
electronic data provided bygrantee organization's legal counsel to complete financial analysis Ieadingto preliminary
findings of which amounts charged underthe grants were allowable, allocable, reasonable, consistent and conforming.
. Report to a public company's Audit Committee on the sufficiency of the nature, timing and extent of the investigative
and/or internal audit procedures performed on impropertransactions authorized bythe Senior Vice President for
Marketing. Assist management to reestablish internal controls overthe safeguarding of corporate assets against
unauthorized use and achieve proper financial reporting.
, Investigate of the falsified expense reports of a foreign national senior director of a large steel company. Prove the
director submitted expenses for reimbursement fortravel to cities that he had not been in on dates presented. Discover
the pattern of alleged fraud and the officer's motives through an analysis of telephone bills submitted for reimbursement.
. Determine that a leading U.S. and international news and information company failed to design, operate and/or
implement adequate internal controls to prevent theft of its assets by a controller. Demonstrate how the controller
defrauded the public company because of significant deficiencies and/or material weaknesses in the design, operation
and/or implementation of its internal controls and how it missed several opportunities at specific dates to reduce the
amountstolen.
. Support SEC Division of Enforcement in administrative proceedings under SEC Rules of Practice to determine violations of
Federal securities laws. Investigate and analyze conduct of directors, officers and auditors regarding improper revenue
recognition of material "bill and hold" transactions.
. Investigate the propriety of the design and structure of financial transactions related to specific life insurance policies
issued by an insurance carrierthat were originated by a specific independent insurance producer. Review and analyze the
use of irrevocable life insurance trusts, premium finance agreements and sale of beneficial interests to reveal the true
nature and use of the financial transactions.
7
GOULD & PAKTEli
MICHAEL D. PAKTER ASS.C]AT'%, IIC
VALUATION ANALYSIS
Provide trial lawyers and their clients with financial analysis regarding valuations, especially related to applying formulae in
contracts, distressed businesses and/or turnaround and bankruptcy proceedings. Focus on definitions of value in contracts,
fair values of assets and liabilities,
reasonably equivalent value, future economic benefit streams, financial condition and
contingent assets and liabilities.
. Reconstruct and analyze a Debtor's restructurings, determine that its successor assumed more of its liabilities,at fair
it acquired, to demonstrate the Debtor received more than reasonably equivalent value in exchange
value, than the assets
for assets transferred and liabilities assumed. Reconstruct the financial condition and results of operations of companies
managed bythe Debtor, benchmarkingtheir performance to industry standards and comparable companies, to determine
the fair values of accounts receivable, trademarks and other assets transferred by the Debtor to its successor.
. Determine, using a discounted cash flow analysis,the total present value of the net assets of a joint venture LLC
established to raise, invest and manage funds on behalf of foreign investors in real estate projects. Reconcile my
calculation to the business valuation performed on behalf of other joint venture partners and rebutthe methodology,
assumptions and information relied upon bythe business appraiser.
. Determine and testify as tothe fair value of a minorityshareholder's ownership interest in a distressed corporation as of a
date ordered bythe Arbitral Panel. Determine and compare book value, going concern value, liquidation value,
replacement value and fair market value of corporation.
. Determine the value of a public company's investment in a foreign enterprise using international accounting principles,
financial data, financial condition, management interviews and supporting documentation. Compare value of investment
inthe foreign enterprise using "net investment value," "book value" and other valuation bases underthe insurers'
Expropriation and Forced Abandonment Insurance Coverage of Foreign Projects.
. Determine fair (market) value of a distributor before and aftertermination of a distributor agreement, prove other expert
wrongly concluded as to value because of failure to obtain sufficient relevant data to afford a reasonable basis for
opinions, use of improper valuation methods, applying valuation methods improperly, failingto consider all methods and
improperly reconciling disparate conclusions.
. Determine and testify as tothe Fair Market Value of Equipment based on definitions and formulae in the Landlord's
Purchase Option Agreement, the Master Lease Agreement and other agreements. Perform valuation analyses and
incorporate the opinions and assumptions of other experts.
, Calculate, for the board of directors' decision-making and performance evaluation processes, the internal rates of return
and payback periods for investments in acquired companies, based on their expected, actual and "normalized" future
benefit streams as compared to initial costs of acquisition.
, Investigate, on behalf of U.S. governmental insurer, claims filed by an energy company for losses incurred by foreign gas
pipeline operators. Verify valuation of investor's interests, unravel complex corporate structures and analyze extent to
which investment was impaired by foreign government's currency devaluation and expropriation.
. Determine, on behalf of the Liquidating Trustee, the fair market value of the invested capital of a company marketing a
unique line of nutrition related products and energy drinks before and afterthe date of certain transactions. Analyze and
compare the discounted cash flows based on projections prepared before and after the date of those transactions.
8
GOULD & PAKTEli
MICHAEL D. PAKTER ASS.C]AT'%, IIC
ACCOUNTING ANALYSIS
Provide owners and managers of businesses, their legal counsel and insurers, with financial and accounting analysis to
address specific business needs. Focus on analyses of contractual terms, establishing benchmarks, examining divisional
revenues and expenses and measuring cash flows and business performance.
, Evaluate the reasonableness of management's assumptions included in an architect's forecasted and projected financial
statements. Issues included analysis of direct and indirect costs, operating expenses and profits in contemplation of
significant increases in interest rates.
. Investigate and trace, on behalf of attorney general and bankruptcytrustee, the nature, timing and extent of participants'
contributions and distributions in a "Ponzi" scheme and assist with "claw back" proceedings. Evaluate potential recoveries
under "Rising Tide" and "Net Investment" approaches.
. Analyze multi-year, construction program to modernize a city'sphysical school facilities. Investigate
and perform improvement program on behalf of inspector general. Develop benchmarks for
financial analysis of capital
fixed cost bids and change orders by school, contractor and project type and selected contracts with significantvariances
for additional review and checking.
. Develop a comparative financial analysis of a privately held company's current and prior five years' financial performance,
includingtrends in key financial ratios, comparisons to peercompany benchmarks and "normalizing" adjustments.
. Develop and implement, in close cooperation with owners and senior management, monthly executive committee
meetings to address the primary business needs of a specialty distributor. Develop action plans and implement corrective
action and business solutions, including provide advice on corporate restructuring and restoring several divisions to
profitability.
, Investigate thefts of unclaimed cash wages and other elements of payroll fraud. Design and implement internal
accounting controls to prevent the reoccurrence of such fraud. Present findings during an investigation by a governmental
accounting oversight review board.
. Perform financial analysis of all program revenues and expenditures for a large cityservices department. Establish internal
control systems and financial reporting systems to provide program managers with early warning of significant over/under
utilization of program revenues. Attest to examinations of program revenues and costs, including financial compliance
with federal programs.
. Review functions, duties and responsibilitiesof president and senior management of a multi-division food processing
company. Analyze nature of acquisitions and divestitures. Identify and implement organizational changes, establish
working committees of middle management and implement recommendations of organizational psychologists.
, Prepare an internal control study to document current procedures and internal controls relating to specific activities and
locations to determine if anycontrol objectives were not being adequately met to reduce internal control risk to
acceptable levels.
. Review calculations of expected present values of actual and/or contingent asbestos and other contingent liabilities,
with
comparisons to anticipated insurance recoveries under various probability assumptions.
9
GOULD & PAKTEli
MICHAEL D. PAKTER ASS.C]AT'%, I IC
INTELLECTUAL PROPERTY/FRANCHISE
Provide trial lawyers, their clients and franchisees and franchisors with consulting and expert services related to intellectual
property issues and franchise related disputes. Focus on startup businesses, economic damages related to copyright
infringement and franchise cash flow modeling.
. Determine economic damages suffered by designer, manufacturer and sellerof original fine furniture as a result of
copyright, trademark and trade dress infringements by multiple unlawful manufacturers and sellers. Determine the unjust
enrichment of the infringing companies and lost profits on infringed and companion sales.
. Engaged by legal counsel to investigate and report on the nature, timing and extent of multiple fraud schemes involving
counterfeit and "buy-down" products. Describe how, in orderto increase customer and revenue base, Defendants
created, directed and engaged in multiple schemes that caused the Plaintiffto pay rebates that it otherwise would not,
and should not, have paid.
. Review, analyze and renderopinions relatingto direct and indirect economic damages from alleged infringement of a
copyrighted song whose lyricswere included as an element of a radio imaging piece with the creativity and production of
others and aired on commercial radio station. Focus on an analysis in the eventthe trier of fact finds infringement of
copyright claims of statutory damages and actual damages considering Plaintiffs and Defendant's Profits.
, Calculate damages suffered by franchisees as a result of franchisors' breach of franchise agreement. Analyze lost profits
during the "but for" period and support for assumptions
Preview
Filing# 149336980 E-Filed 05/10/2022 07:30:17 PM IN THE CIRCUIT COURT OF THE SEVENTEENTH JUDICIAL CIRCUIT, IN AND FOR BROWARD COUNTY, FLORIDA COMPLEX BUSINESS DIVISION CASE NO. CACE21016240 STRIKE X LLC, Plaintiff, V VILLAGE AT GULFSTREAM PARK, LLC, Defendant. PLAINTIFF'S EXPERT WITNESS DISCLOSURE Plaintiff STRIKE X, LLC ("StrikeX"), by and through undersigned counsel hereby submits this expert witness disclosure. Strike X reserves the rightto amend its below disclosures and/or identifyadditional experts by the July 15, 2022 deadline agreed to by the partiesand subsequentlyapproved by the Court in its February 8,2022 Order. 1. Michael D. Pakter, CPA, CFF, CGMA, CFE, CVA, MAFF, CA, CIRA, CDBV 203 North LaSalle Street,Suite 2100 Chicago, Illinois 60601 Mr. Pakter's background, education, and experienceis reflected in his Curriculum Vitae attached hereto as Exhibit "1." Mr. Pakter has been retained by Strike X and is expected to provide testimony on Strike X's claimed economic damages, including compensatory damages and lost profits, suffered as a result of Defendant's breach of the Lease Agreement dated August 5,2020. as to the present cash value of the lost profits Mr. Pakter is expectedto testify that Strike X would have earned from the rightto own and operate its business at the Premises pursuant to the Lease Agreement. Mr. Pakter's opinions are founded on his knowledge and more than forty years of experiencein accountingand forensic accounting,business economics, and investigations in numerous and diverse engagements, includingmore than twenty years of experiencein determining economic damages. Mr. Pakter will render his opinions reached using generallyacceptedmethodologies and based to a reasonable degree of accountingcertainty *** FILED: BROWARD COUNTY, FL BRENDA D. FORMAN, CLERK 05/10/2022 07:30:16 PM.**** on his education, training,experience,knowledge, and on his consideration of relevant documents includingStrike X's business and financial records demonstratingits historical revenue and sales. Discovery is ongoing and Mr. Pakter continues to assess the facts and documents provided to him. Gould & Pakter Associates,LLC has been retained on the followingrange ofhourly rates, which varies depending upon the level and skill ofthe professional assigned:$130 $550, - per hour. Mr. Pakter's hourly rate is $460 per hour. Mr. Pakter and Gould & Pakter Associates, LLC do not maintain statistics to determine the percentage ofwork performed on behalfofplaintiffs or on behalfof defendants. However, Gould & Pakter Associates, LLC's services are available to both defendants and plaintiffs, and Mr. Pakter estimates that he is and on retained about equally on behalf of plaintiffs behalf of defendants. Although the percentage varies,Mr. Pakter estimates that 75% or more of his income derives from expert litigation work. Mr. Pakter's record of priortestimony is reflected in Exhibit "1". Dates of availability June 30,2022 and July 7,2022. for deposition: Dated: May 10,2022 Respectfullysubmitted, ZARCO EINHORN SALKOWSKI & BRITO, P.A. Counsel for Plaintiff One Biscayne Tower 2 South Biscayne Boulevard, 34?th Floor Miami, Florida 33131 Telephone:(305) 374-5418 Facsimile: (305) 374-5428 By: /sl Robert F. Salkowski ROBERT ZARCO (FBN 502138) E-mail: ROBERT F. SALKOWSKI (FBN 903124) E-mail: rsalkowski@zarcolaw.com Secondary acoro@zarcolaw.com MARY NIKEZIC (FBN 92928) E-mail: mnikezic@zarcolaw.com Secondary: eservice@zarcolaw.com 2 CERTIFICATE OF SERVICE I HEREBY CERTIFY that on May 10,2022, a true and correct copy of the foregoingwas served via the Florida Courts' e-Portal upon the following Jordanna Ishmael com, [ishmaelj@gtlaw. abrahamd@gtlaw. com, and coml flservice@gtlaw. and Michael N. Kreitzer and belloy@gtlaw.com] GREENBERG TRAURIG, P.A., 333 S.E. Second Avenue, 44th Floor, Miami, FL 33131. By: /s/ Robert F. Salkowski 3 EXHIBIT "1" GOULD & PAKTEli MICHAEL D. PAKTER ASS.C]AT'%, IIC CERTIFICATIONS Chartered Global Management Accountant (CGMA), (2012) Certified Valuation Analyst (CVA), (2011) Master Analyst in Financial Forensics (MAFF), (2009) Certified in Financial Forensics (CFF), (2008) Certification in Distressed Business Valuation (CDBV), (2006) Certified Insolvency and Restructuring Advisor (CIRA), (2002) Certified Fraud Examiner (CFE), (1994) Certified Public Accountant (CPA), (1988) Chartered Accountant (CA), (1980) (Non-Dues Paying) EDUCATION Bachelor of Commerce, Witwatersrand University, South Africa (1974-1976) Bachelor of Accountancy, Witwatersrand University, South Africa (1977-1979) Bankruptcy Mediation Certificate Program, DePau/ University (2000) ConstructionManagement Certificate Program, DePau/ University (2007) Continuing Education, inc/uding A/CPA, /CPAS, ACFE, A/RA, NACVA (1986 - present) RANGE OF EXPERIENCE Mr. Pakter focuses his professional practice on forensic accounting, economic damages, financial analyses, distressed businesses, fraud/financial investigations, business valuation, business economics and litigationsupport services. He has provided expert services in matters involving accounting, insurance claims interruption, breach of lost profits/earnings, contract, audit failure, analysis of financial transactions/balances, alter ego, bankruptcy, fraud, accounting books and records and the reconstruction of incomplete, misstated and/or falsified financial information. Mr. Pakter provides consulting and dispute services to trial lawyers, trustees, examiners, receivers, business owners and managers and units of federal, state, and local government. Many engagements combine complex financial analysis, economic damages, valuation, and distressed business issues, often involving applying many professional disciplines to assist in resolving complex commercial litigation and business disputes. Mr. Pakter has more than 40 yearsof experience in accounting and forensic accounting, business economics and investigations in numerous and diverse engagements, including more than 20 years of experience in economic damages and industries business valuations. State, Federal and Bankruptcy Courts, as well as arbitrators, have recognized him as an expert in accounting, forensic accounting, economic damages, financial analysis, business valuation and business economics. He has served as a Rule 213(f)3 expert witness, a Rule 30(b)(6) witness and a Rule 1006 witness. PROFESSIONAL ORGANIZATIONS National Association of Certified Valuators and Analysts (NACVA) Practitioner Member; Assistant Editor (Nationa/ Litigation Consultants' Review 2013-2016); Editorial Board (QuickRead); Editorial Board (The Value Examiner); Litigation Forensics Board (2012-2014, 2017-2020); Foundations of Financial Forensics Instructor; Instructor of Exceptional Distinction (2012+2020); Outstanding Member Award (2015); and MAFF (Bankruptcy,Insolvency and Restructuring Track) Instructor U\\nois CPASociety UCPAS) Member, Past President (North Shore Chapter); Member, Ethics Committee (1991-1995); Chair, Fraud Conference (2005-2009); Member, Accounting Principles Committee (2010-2012); and Chair, Forensic Accounting Conference/Workshop (2010-2013); Healthcare Compliance & Fraud Conference (2016-2017) American Institute of Certified Public Accountants (AICPA) Member, Forensic and Valuation Services & Private Companies Practice Sections Association of Certified Fraud Exam\ners (ACFE) Member and Past President (Chicago Chapter), 25 Year Pin Association of Insolvency and Restructuring Advisors (NRA) Member Chicago International Dispute Resolution Association (CIDRA) Treasurer 1 GOULD & PAKTEli MICHAEL D. PAKTER ASS.C]AT'%, IIC PROFESSIONAL AND BUSINESS HISTORY Gould & Pakter Associates, LLC Managing Member (2004 - present) Russell Novak & Company, LLP Partner (2000 - 2004); Principal (1998 - 1999) Rome Associates LLP - Principal l1996 1998) Altschuler, Melvoin and Glasser (1991 1996); Supervisor/Manager, Review and Technical Guidance (1986 1991) - Manager/Senior Manager, Litigation - Sussman & Goddard Manager, Accounting and Auditing, Manager, Technical and Training (1985 - 1986) Macsteel Group of Companies Corporate Treasurer/Corporate Secretary, (1982 to 1985) SADF Directorate of Internal Auditing Accounting, Auditing, Financial Analysis and Fraud Detection, (1980 to 1982) Schwartz Fine & Company/Arthur Andersen Worldwide Accounting, Auditing and Financial Analysis, (1977 to 1980) REPRESENTATIVE ENGAGEMENTS Courts and arbitral bodies have recognized Mr. Pakter as an expert in economic damages, accounting, financial forensics, financial analysisand business economics. For illustrative purposes only, his expertise is additionally described in the areas listed below and the representative engagements that follow: . Economic Damages ?Lost profits/earnings Ibusiness interruption Ibusiness damages and other damages . Litigation Support IDiscovery assistance 1evidence/deposition/trial binders ?testimony Ilitigationsupport . Forensic Accounting IFinancial forensics Ianalysis of transactions/balances ?reconstructing accounting books/records 0 Bankruptcy/Distressed Businesses IFraudulent conveyances Isolvency Ipreferences Iplan feasibility o Investigations IInternal corporate investigations Ifraud detection Ifinancial reporting irregularitiesIemployee misconduct . Valuation Analysis IContractual disputes Iclaims Idistressed businesses Iturnarounds ?bankruptcy core proceedings . Accounting Analysis IAccounting books and records Iinternal controls Ibusiness processes ?business performance . Intellectual Property/Franchise ?Copyright/trademark infringement Iuse of Iikeness 1royalty audits Iprojections . Real Estate/Construction ?Landlord/tenant disputes Icosts of construction Icommon area expenses ?real estate developers o Wholesale/Retail ?Benchmarks ?"earn outs" ?inventory Iforecasts Ifinancial condition/performance I Manufacturing/Distribution/Transportation ?Cost accounting Icharge backs ?expense categorization/reduction 0 Government IVendor audits Iprogram revenues/costs Ifalse claims Federal/State/Local 2 GOULD & PAKTEli MICHAEL D. PAKTER ASS.C]AT'%, IC I ECONOMIC DAMAGES Determine economic damages, primarily compensatory damages based on consequences of breach of contract/fiduciary duties, business interruption, personal injury and wrongful death. Focus on lost profits/earnings using financial analysis to project the "but for world." . Determine economic damages alleged by both supplier and distributor in cross-claims, each allegingthe liability of the other for breaching an exclusive distribution agreement with fixed purchase commitments. Submitted affidavits,expert reports and rebuttal reports and testified at arbitration regarding lost profits,fixed and variable costs, effective selling prices and future sales projections. , Compute economic damages claimed by a printing company due to alleged malfunction of company's sole printing press. Investigate the impact on from economic, industry, customer and other intervening factors otherthan the alleged profits malfunction and evaluated economic damages determined by opposing expert. . Determine lifetime lost earnings of employee based on injuries sustained as a result of a shooting by a police officer. Determine lifetime lost earnings and present and future medical costs of independent owner operator based on injuries sustained while loading equipment. Determine lost earnings of a police officer as a result of being wrongfully denied promotions. , Investigate property damage and business interruption claims arising from a roof collapse at a nursing home; an electrical fire at arms manufacturer; storm damage at an a car wash; a burglary at a convenience store; an explosion at an automobile vehicle dealership; and defective drums on an assembly line. Assist attorneys and clients with claims resolution involving insurance claims adjusters, umpires and mediators. , Calculate damages claimed by a "B2C" e-commerce retailer as a result of the alleged wrongful acts of a computer software provider. Integrate into the damages all functional elements to have been included in multiple high-volume websites and determine the "but for" lost profits from lost sales, higher cost of sales and additional fixed costs over several years and products. . Engaged by Department of Justice to determine lost earnings capacity of individuals as a result of their wrongful death, based on Mandatory Victims Restitution Act and case law. Incorporate minimum or last known wages, taxes, work life expectations, employment cost indices and lost pensions. , Compute economic damages suffered as a result of actions of a key supplier. Evaluate reasonableness of lost revenue estimates and analyzed incremental "but for" costs incurred with special emphasis on long-run and short-run cost behaviors for fixed and variable costs with multiple cost drivers. , Calculate property damages in local plant producing raw materials and business interruption losses in a foreign plant producing finished goods as a result of an acid spill.Reconcile property damages and lost profits with financial analysis of insurance company claim report and witness depositions. . Determine Senior VP's compensation improved aftertermination and opposing expert report improperly concluded to the contrary because of unsupported assumptions. Testifythat even if wrongfully terminated, the Senior VP suffered no financial damages because of his employer's conduct. Factor in alternative facts regarding expected work life, compensation, work-related economic benefits, taxes and prejudgment interest. , Prepare Court ordered accounting of earnings lostfrom trading activities of a team of brokers before and after leaving a clearing firm. Reconstruct missing transactions and estimate unallocated overhead and other costs before and after effects of team leaving. 3 GOULD & PAKTEli MICHAEL D. PAKTER ASS.C]AT'%, IIC LITIGATION SUPPORT Provide trial lawyers and their clients with review, analysis and support in all phases of the commercial and civil litigation process to assist with discovery, analysis and/or preparation for deposition and trial. Focus on assembling deposition and trial binders concerning financial analysis, evaluating material financial transactions and the conduct of directors, offices, employees and professional advisors. . Establish acompany had excessive levels of debt, insufficient operating cash flows to service debts and negative net worth before the alleged improper termination of a key agreement; that its financial condition was worse than comparable companies and industry benchmarks; that it had a high risk of business failure; and that its eventual self-liquidation was notthe result of the agreementtermination. , Engaged by public company's legal counsel to evaluate merits of contemplated litigationagainst its Big Four CPA firm for alleged audit failures resulting in restatement of financial statements and decline share price. Conducted detailed in its analyses of GAAP and GAAS relating to significant misstatements in the company's financial condition and results of operations and deficiencies in its internal controls. . Determine that Corporate Defendants existed as separate entities with distinct business purposes, followed proper procedures regarding separate accounting records, properly disclosed distributions and segregated revenues, expenses, assets and liabilities. Establish that funds were not commingled, debts were paid as they fell due until business activities ceased and assets were used to pay liabilities. . Perform financial analysis regardingthe nature, form and substance of a merger and related transactions for a dispute focused on the entity's assets, conditions precedent in the merger agreement and funds no longer available in the entity's treasury afterthe merger. Renderopinions as tothe form and substance of the merger and thatthe transaction resulted in a wrongful dividend. , companyto evaluate the merits of claims against prior auditors, directors and Assist counsel for a large diversified public officers under Private Securities Reform Act of 1995, Investment Company Act of 1940, PCAOB Standards, GAAP Litigation and GAAS. Perform detailed analyses of specific financial transactions and balances and evaluated whetherthe prior auditors performed their work with the requisite standard of due care. . Evaluate company documents, SEC reports, accountant's work product and analysts' files in a Section 10(b) 5 securities litigation. Provide counsel with financial analysis and discovery concerning the directors' and officers' knowledge of material misrepresentations tothe market duringthe class period. , Assist a national accountants' malpractice insurance carrier, and its counsel and claims specialists,to assess the merits of claims brought against accountants. Evaluate and report on work product of over 50 public accounting firms and assisted the insurance carrierto reduce liability risks through educational programming. . Estimate lost revenues that would be sustained to comply with the Americans with Disabilities Act. Performed financial analysis with market surveys to determine financial impact on the service provider. . Determine and testifythat auditors failed to follow due professional care in the course of its engagement. Review all discovery in the litigation, including auditors' deposition transcripts and working papers to identify specific GAAS failures. . Determine and testifythat auditors exercised the requisite skill and ordinary care and properly complied with GAAS. Investigate, conclude and testify that audited company's financial statements were not misstated and that all disclosures were adequate and proper. 4 GOULD & PAKTEli MICHAEL D. PAKTER ASS.C]AT'%, I IC FORENSIC ACCOUNTING Provide trial lawyers and their clients with forensic accounting services and testimony to enable financial analysis and court- ordered accountings in litigation. Focus on complex multiple-entity business disputes, financial reporting and evaluating the effect of financial transactions. . Design and conduct forensic accounting procedures, on behalf of counsel for passive minority investors, on the operations and transactions of underperforming privately held businesses with significant cash transactions. Examine the accounting books and records of businesses operated by owner-managers and used financial and benchmark analyses to find questionable transactions and the range of estimated cash shortfalls. . Engaged bycounsel for family-held businesses to perform a financial analysis of related corporate defendants to determine whether financial/business considerations dictated that personal defendants should be liable forthe corporations' debts by plaintiffs'attempt to "pierce the corporate veil." . Determine nature and extent of a manufacturer's post-closing purchase-price adjustments after acquisition by a public company. Recompute the GAAP versus accelerated tax-basis accounting for Plant and Equipment. , Investigate, on behalf of SEC Division of Enforcement, the propriety of the accounting and financial reporting of related- party transactions between hotel operating subsidiaries and parent. Issues included proper accounting for acquisitions generating significant revenues at year-end date. , Assist counsel in their representation of investors in failed limited partnerships with significant damage claims, analyzed material financial transactions, developed financial analysis and investigated accounting malpractice. . Investigate and report to the unusual changes in the methods and patterns of cash disbursements prior to and following the sudden disappearance of the company's owner-manager/physician. . Analyze one company's domination and control of another, the disregard of corporate formalities and the financial effects of assets distributions. Issues included cash management systems, intercompany financial reporting, "division stripping" and the impact of the treatment of existential liabilities. . Perform specific forensic accounting procedures on behalf of industrial property company in support of substantive lease restructuring discussions. The company had built and leased a state-of-the-art corporate headquarters and national distribution warehouse. The tenant entered into a series of ill-fated acquisitions culminating in financial difficulties likely to result in a potential bankruptcy filing.The analyses of the tenant's financial condition were an integral part of the property owner's strategic responses. . Trace and segregate cash flows, profits and resulting net assets between legal and illegalactivities to enable the Court to determine the extent of illegalactivities. Engaged on behalf of Defendant seekingto reduce sentence under Federal Sentencing Guidelines. . Perform accounting procedures to analyze and support an expert opinion in marital dissolution proceedings regardingthe marital or non-marital character of assets. Trace currently owned assets back to assets acquired before marriage or acquired duringthe marriage by gift,inheritance or descent. . Analyze and determine additional losses suffered as a result of alleged carelessness and negligence in demolishing certain buildings and related facilities located on specific property earmarked for construction of an ethanol plant. Research and evaluate industry conditions, state of capital markets, management assumptions and the discounted cash flow modeling of accounting and industry experts. 5 GOULD & PAKTEli MICHAEL D. PAKTER ASS.C]AT'%, IIC BANKRUPTCY/DISTRESSED BUSINESSES Provide trustees and trial lawyers and the debtors or creditors they represent with bankruptcy and reorganization services, primarily in core proceedings. Focus on performing financial analysis of material transactions, fraudulent conveyances, solvency and preference analyses, the forensic reconstruction of accounting books and records and plan feasibility. . Demonstrate that the Debtor's Cash Flow Projections were a well-prepared forecast of future operations, based on reasonable assumptions that took into consideration the changes expected as a result of the Plan Confirmation that would enable the Debtorto fund the Plan's cash flow requirements. , Complete solvency, preference and liquidation analyses to support counsel's actions against lenders, management and professional advisors resulting from diversified corporation's default on its bank loans. Develop support for the Debtor's request forthe Court's denial of post-petition financing. . Investigateand analyze a Debtor's pending claims and adversary proceedings against shareholders, lenders and professional advisors concerning aLBO transaction involving fraudulent conveyances. Analyze the impact of various business combinations on the Debtor's financial condition after restructuring, performed a solvency analysis and reviewed material transactions contributing to the Debtor's deepening insolvency. . Demonstrate a company's business started to decline before a specific transaction and its business continued to decline while related companies prospered. Issues included a pattern of transactions transferring assets and revenues to related companies, the Iiquidityof assets and the value of the use of related company assets. . Provide litigationservices in an action filed on behalf of unsecured creditors seeking recovery of pre-petition fraudulent conveyances. Perform a financial analysis of significant pre-petition transactions. . Analyze and testify astothe Debtors' financial condition afterassumingcertain liabilities and astothe value of the Debtor's net assets. Prove that Debtors did not receive quantifiable benefits from assuming liabilities and issued checks to each otherthat did not result in checks to third parties. . Review Debtor's Amended Disclosure Statement and Plan of Recognition; compare projections to pre- and post-petition actual results; evaluate key assumptions included in the Debtor's projections of sales revenues and royalty income; and reconstruct previously incomplete financial records. . Perform a preference analysis relatingto vendors and insiders of a privately held business. Prove the foundation for preference actions and secured original checks, invoices and wire transfers as evidence. Complete debtors' amended income tax returns forthe Plan Trustee. , Assist manufacturing company with post-bankruptcy reorganization and restoration of operations. Issues included transfer and resumption of business, preserving contracts, ensuring ongoing economic viability,restructuring real estate entities and administrative aspects of accounting records and income tax compliance. . Employed by a Chapter 7 Trustee to investigate allegedly unsubstantiated and/or fraudulent financial reporting by a consolidated health care provider. Provide the Trustee and legal counsel with forensic accounting and litigation accounting support, including reconstruction of incomplete and/or falsified financial records. . Perform financial analysis and specific agreed upon procedures for a large, privately held holding-entitythat operated a manufacturing division and managed a corporate office. Determine and attest to the sufficiency of assets to meet including additional worker's liabilities, compensation judgment liabilityand issue an independent report detailing work performed and findings reached. 6 GOULD & PAKTEli MICHAEL D. PAKTER ASS.C]AT'%, IIC INVESTIGATIONS Conduct internal investigations on employee/officer misconduct, financial reporting irregularitiesand fraudulent financial transactions. Focus on financial analysis, examining documents, interviewing personnel, gathering evidence and performing whistleblower-directed or risk-based procedures to determine findings as to the nature, timing and extent of fraud perpetrated. , Investigate of the accounting for receivables, loans, advances, suspense accounts and related transactions. Interview and senior personnel, including a whistle-blower, and examine over 1,000 accounting entries in the directors, officers general Iedgers, account analyses and handwritten "second set of books." Perform financial analyses, forensic accounting and investigative analyses and gather, review and control more than 3,000 documents fortrial. Conclude the former CFO created, directed and controlled a financial reporting system to systematically and fraudulently manipulate and conceal true financial condition from the directors, officers, shareholders, auditors, lenders and revenue authorities for more than ten years. . Conduct an internal corporate investigation for new management to determine the nature, timing and extent of fraud perpetrated bythe former general manager and controller. Conduct forensic procedures to detect fraud and quantify the extent of fraudulent financial reporting and misconduct. . Engaged by the Office of the United States Attorney to assist in qui tam originated investigation of approximately $10 million charged to NIH and VA Federal Grants. Apply risk assessment, forensic accounting and investigative techniques to electronic data provided bygrantee organization's legal counsel to complete financial analysis Ieadingto preliminary findings of which amounts charged underthe grants were allowable, allocable, reasonable, consistent and conforming. . Report to a public company's Audit Committee on the sufficiency of the nature, timing and extent of the investigative and/or internal audit procedures performed on impropertransactions authorized bythe Senior Vice President for Marketing. Assist management to reestablish internal controls overthe safeguarding of corporate assets against unauthorized use and achieve proper financial reporting. , Investigate of the falsified expense reports of a foreign national senior director of a large steel company. Prove the director submitted expenses for reimbursement fortravel to cities that he had not been in on dates presented. Discover the pattern of alleged fraud and the officer's motives through an analysis of telephone bills submitted for reimbursement. . Determine that a leading U.S. and international news and information company failed to design, operate and/or implement adequate internal controls to prevent theft of its assets by a controller. Demonstrate how the controller defrauded the public company because of significant deficiencies and/or material weaknesses in the design, operation and/or implementation of its internal controls and how it missed several opportunities at specific dates to reduce the amountstolen. . Support SEC Division of Enforcement in administrative proceedings under SEC Rules of Practice to determine violations of Federal securities laws. Investigate and analyze conduct of directors, officers and auditors regarding improper revenue recognition of material "bill and hold" transactions. . Investigate the propriety of the design and structure of financial transactions related to specific life insurance policies issued by an insurance carrierthat were originated by a specific independent insurance producer. Review and analyze the use of irrevocable life insurance trusts, premium finance agreements and sale of beneficial interests to reveal the true nature and use of the financial transactions. 7 GOULD & PAKTEli MICHAEL D. PAKTER ASS.C]AT'%, IIC VALUATION ANALYSIS Provide trial lawyers and their clients with financial analysis regarding valuations, especially related to applying formulae in contracts, distressed businesses and/or turnaround and bankruptcy proceedings. Focus on definitions of value in contracts, fair values of assets and liabilities, reasonably equivalent value, future economic benefit streams, financial condition and contingent assets and liabilities. . Reconstruct and analyze a Debtor's restructurings, determine that its successor assumed more of its liabilities,at fair it acquired, to demonstrate the Debtor received more than reasonably equivalent value in exchange value, than the assets for assets transferred and liabilities assumed. Reconstruct the financial condition and results of operations of companies managed bythe Debtor, benchmarkingtheir performance to industry standards and comparable companies, to determine the fair values of accounts receivable, trademarks and other assets transferred by the Debtor to its successor. . Determine, using a discounted cash flow analysis,the total present value of the net assets of a joint venture LLC established to raise, invest and manage funds on behalf of foreign investors in real estate projects. Reconcile my calculation to the business valuation performed on behalf of other joint venture partners and rebutthe methodology, assumptions and information relied upon bythe business appraiser. . Determine and testify as tothe fair value of a minorityshareholder's ownership interest in a distressed corporation as of a date ordered bythe Arbitral Panel. Determine and compare book value, going concern value, liquidation value, replacement value and fair market value of corporation. . Determine the value of a public company's investment in a foreign enterprise using international accounting principles, financial data, financial condition, management interviews and supporting documentation. Compare value of investment inthe foreign enterprise using "net investment value," "book value" and other valuation bases underthe insurers' Expropriation and Forced Abandonment Insurance Coverage of Foreign Projects. . Determine fair (market) value of a distributor before and aftertermination of a distributor agreement, prove other expert wrongly concluded as to value because of failure to obtain sufficient relevant data to afford a reasonable basis for opinions, use of improper valuation methods, applying valuation methods improperly, failingto consider all methods and improperly reconciling disparate conclusions. . Determine and testify as tothe Fair Market Value of Equipment based on definitions and formulae in the Landlord's Purchase Option Agreement, the Master Lease Agreement and other agreements. Perform valuation analyses and incorporate the opinions and assumptions of other experts. , Calculate, for the board of directors' decision-making and performance evaluation processes, the internal rates of return and payback periods for investments in acquired companies, based on their expected, actual and "normalized" future benefit streams as compared to initial costs of acquisition. , Investigate, on behalf of U.S. governmental insurer, claims filed by an energy company for losses incurred by foreign gas pipeline operators. Verify valuation of investor's interests, unravel complex corporate structures and analyze extent to which investment was impaired by foreign government's currency devaluation and expropriation. . Determine, on behalf of the Liquidating Trustee, the fair market value of the invested capital of a company marketing a unique line of nutrition related products and energy drinks before and afterthe date of certain transactions. Analyze and compare the discounted cash flows based on projections prepared before and after the date of those transactions. 8 GOULD & PAKTEli MICHAEL D. PAKTER ASS.C]AT'%, IIC ACCOUNTING ANALYSIS Provide owners and managers of businesses, their legal counsel and insurers, with financial and accounting analysis to address specific business needs. Focus on analyses of contractual terms, establishing benchmarks, examining divisional revenues and expenses and measuring cash flows and business performance. , Evaluate the reasonableness of management's assumptions included in an architect's forecasted and projected financial statements. Issues included analysis of direct and indirect costs, operating expenses and profits in contemplation of significant increases in interest rates. . Investigate and trace, on behalf of attorney general and bankruptcytrustee, the nature, timing and extent of participants' contributions and distributions in a "Ponzi" scheme and assist with "claw back" proceedings. Evaluate potential recoveries under "Rising Tide" and "Net Investment" approaches. . Analyze multi-year, construction program to modernize a city'sphysical school facilities. Investigate and perform improvement program on behalf of inspector general. Develop benchmarks for financial analysis of capital fixed cost bids and change orders by school, contractor and project type and selected contracts with significantvariances for additional review and checking. . Develop a comparative financial analysis of a privately held company's current and prior five years' financial performance, includingtrends in key financial ratios, comparisons to peercompany benchmarks and "normalizing" adjustments. . Develop and implement, in close cooperation with owners and senior management, monthly executive committee meetings to address the primary business needs of a specialty distributor. Develop action plans and implement corrective action and business solutions, including provide advice on corporate restructuring and restoring several divisions to profitability. , Investigate thefts of unclaimed cash wages and other elements of payroll fraud. Design and implement internal accounting controls to prevent the reoccurrence of such fraud. Present findings during an investigation by a governmental accounting oversight review board. . Perform financial analysis of all program revenues and expenditures for a large cityservices department. Establish internal control systems and financial reporting systems to provide program managers with early warning of significant over/under utilization of program revenues. Attest to examinations of program revenues and costs, including financial compliance with federal programs. . Review functions, duties and responsibilitiesof president and senior management of a multi-division food processing company. Analyze nature of acquisitions and divestitures. Identify and implement organizational changes, establish working committees of middle management and implement recommendations of organizational psychologists. , Prepare an internal control study to document current procedures and internal controls relating to specific activities and locations to determine if anycontrol objectives were not being adequately met to reduce internal control risk to acceptable levels. . Review calculations of expected present values of actual and/or contingent asbestos and other contingent liabilities, with comparisons to anticipated insurance recoveries under various probability assumptions. 9 GOULD & PAKTEli MICHAEL D. PAKTER ASS.C]AT'%, I IC INTELLECTUAL PROPERTY/FRANCHISE Provide trial lawyers, their clients and franchisees and franchisors with consulting and expert services related to intellectual property issues and franchise related disputes. Focus on startup businesses, economic damages related to copyright infringement and franchise cash flow modeling. . Determine economic damages suffered by designer, manufacturer and sellerof original fine furniture as a result of copyright, trademark and trade dress infringements by multiple unlawful manufacturers and sellers. Determine the unjust enrichment of the infringing companies and lost profits on infringed and companion sales. . Engaged by legal counsel to investigate and report on the nature, timing and extent of multiple fraud schemes involving counterfeit and "buy-down" products. Describe how, in orderto increase customer and revenue base, Defendants created, directed and engaged in multiple schemes that caused the Plaintiffto pay rebates that it otherwise would not, and should not, have paid. . Review, analyze and renderopinions relatingto direct and indirect economic damages from alleged infringement of a copyrighted song whose lyricswere included as an element of a radio imaging piece with the creativity and production of others and aired on commercial radio station. Focus on an analysis in the eventthe trier of fact finds infringement of copyright claims of statutory damages and actual damages considering Plaintiffs and Defendant's Profits. , Calculate damages suffered by franchisees as a result of franchisors' breach of franchise agreement. Analyze lost profits during the "but for" period and support for assumptions