Most Scandalous Trials of the Century


944
946
1 M O R N I N G S E S S I O N
2
3 THE CLERK: Jury entering.
4 (Whereupon, the jury at this time entered the
5 courtroom.)
6 THE COURT: Good morning.
7 Good morning, members of the jury.
8 Please be seated.
9 I want to thank you again. You are ahead of me.
10 That's difficult to do. Your punctuality is remarkable,
11 wonderful. Thank you very much.
12 Where is the witness?
13
14 D O U G L A S S. S K A L K A,
15 called as a witness, having been previously
16 duly sworn, was examined and testified as
17 follows:
18
19 THE COURT: Mr. Skalka, you are still under
20 oath. You understand that?
21 THE WITNESS: Yes, I do, your Honor.
22 THE COURT: You may proceed.
23 MR. TRABULUS: Thank you, your Honor.
24
25

HARRY RAPAPORT, CSR, CP, CM OFFICIAL COURT REPORTER
947
Skalka-cross/Trabulus


1 CROSS-EXAMINATION (cont'd)
2 BY MR. TRABULUS:
3 Q Good morning, Mr. Skalka, I think when we left off.
4 JUROR NO. 6: There is a switch underneath.
5 Q Good morning, Mr. Skalka.
6 A Good morning.
7 Q I think when we left off I was talking to you about
8 Chapter 11 Trustees, and the fact that typically Chapter
9 11 debtors don't want to have them.
10 Now, is it true that a Chapter 11 Trustee
11 typically gets paid a fee?
12 A A Chapter 11 Trustee is entitled to, yes, subjects to
13 court approval.
14 Q And in most instances a Chapter 11 Trustee is an
15 attorney, in many instances?
16 A In many, and not all.
17 Q In this particular case, the case of Who's Who, a
18 Chapter 11 Trustee was eventually appointed, was he not?
19 A Yes.
20 Q His name was Mr. Mendelsohn?
21 A Yes.
22 Q And is it fair to say that the fee that a Chapter 11
23 Trustee receives comes out of the debtor's property?
24 A Yes. In a bankruptcy case it is called the debtor's
25 estate.

HARRY RAPAPORT, CSR, CP, CM OFFICIAL COURT REPORTER
948
Skalka-cross/Trabulus


1 Q If you don't mind, I would like to use the word
2 "property."
3 So, if a debtor is trying to continue his
4 operations, the bankruptcy trustee would represent an
5 additional potential drain on his income; would that not
6 be correct?
7 A No. Because usually the trustee would replace
8 certain members of existing management, therefore the
9 savings by replacing management is offset by the trustee's
10 fee, usually it ends up in being a wash.
11 Q You are saying in most cases the trustee's fee would
12 equal that of existing management?
13 A In most cases, they don't want to increase the
14 administration cost of the estate and want to see it act
15 as a wash.
16 Q In this particular case do you know what fee has been
17 applied for by the trustee to date?
18 A I know what the trustee's counsel has sought as far
19 as fees. I do not believe the trustee has received any
20 fees.
21 Q So, the trustee not only asks for fees, but the
22 trustee hires an attorney in many instances?
23 A In many instances, yes.
24 Q In this particular case the trustee did hire an
25 attorney, correct, with court approval?

HARRY RAPAPORT, CSR, CP, CM OFFICIAL COURT REPORTER
949
Skalka-cross/Trabulus


1 A Yes.
2 Q And the attorney has put in a fee application at this
3 point; is that correct?
4 A That's correct.
5 Q And is that fee application in excess of $300,000?
6 A To the best of my knowledge, yes.
7
F O L L O W   the   M O N E Y
Most Scandalous Trials of the Century


PARTIAL TRANSCRIPT ONLY
Full version of Jan 22nd transcript here
With more than 12,000 pages of transcript, they are often split into smaller pages,





     

          

     

   
  The List     Transcript     USA's Best     Managing Directors     Dirty Jury?     Politics   
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This site is concerned with The Mishegas of Who's Who WorldwidE, and the offensive stench of corruption in high placesin one of the Most Scandalous Trials of the Century and the concomitant news media blackout regarding this incredible story.

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The Sad Story of Who's Who Worldwide
How Thomas FX Dunn proved himself the Dumbest Lawyer In The Nation




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