## EXHIBIT 1 CONFIDENTIAL UNITED STATES DISTRICT COURT FOR THE SOUTHERN DISTRICT OF NEW YORK CASE NUMBER: 22-CV-10904-JSR ACTION FOR DAMAGES GOVERNMENT OF THE UNITED STATES ) VIRGIN ISLANDS, ) ) Plaintiff, ) ) VS. ) ) JP CHASE BANK, N.A., ) ) Defendant. ) ) > CONFIDENTIAL VIDEO RECORDED DEPOSITION OF CHRIS TIMMONS FRIDAY, JULY 14, 2023 REPORTED BY: DENISE D. HARPER-FORDE Certified Shorthand Reporter (CSR) Certified RealTime Reporter (CRR) Certified LiveNote Reporter (CLR) Registered Professional Reporter (RPR) Notary Public (FLORIDA) ![](_page_1_Picture_8.jpeg) 1 A. Let's see if it blurs out. 2 3 Q. Yeah. That definitely blurred out. 4 A. Yeah, I don't know. 5 Q. II, there we go. Yeah. 6 7 8 9 10 How is this? Is there a you know, one way we could do this is you could just take a picture with your phone and drop the picture into the chat so that we would have them. 11 12 A. My -- my phone isn't connected to the chat. 13 Q. Okay. 14 15 16 ATTORNEY ACKERMAN: I think - can we get them to you after the deposition? 17 18 ATTORNEY NEIMAN: Yeah, that's fine. But -- 19 ATTORNEY ACKERMAN: Yeah. 20 (BY ATTORNEY NEIMAN): 21 22 Q. Okay. Why don't you just read them to me so we can -- 23 A. Sure. 24 25 Q. -- do it at the start that way. 1 2 3 4 A. So I have the agreed specification of topic 2, and then the categories of relief that were in the complaint are bullet-pointed. 5 6 Q. Okay. So can you just read those to me? 7 8 9 A. Sure. Injunctive Relief, civil penalties pursuant to 14 VIC Section -- 10 (BY ATTORNEY NEIMAN): 11 12 13 14 Q. I'm sorry. Mr. Timmons, I'm going to try to write this down, and the Court Reporter is going to try to write this down. 15 16 17 18 19 So if you could go just a little bit slower, which is funny coming from me because I know I talk pretty fast. But I'm going to ask you to talk what seems exaggeratedly slow 20 A. Okay. Injunctive Relief -- 21 Q. Thanks. 22 23 A. -- civil penalties pursuant to 14 VIC Section 607(e) 24 Q. Okay. 25 A. -- divestiture pursuant to 14 1 2 3 4 5 VIC Section 607(a) (1) and 14 VIC Section 141 of Defendant's interests in any real and personal property used to facilitate the criminal enterprise. 6 7 8 ATTORNEY ACKERMAN: Peter, can I try to maybe shortcut this for him now? 9 ATTORNEY NEIMAN: Sure. 10 11 12 13 ATTORNEY ACKERMAN: Mr. Timmons, are you reading from the testimonial that was provided to Ms. Borque? 14 THE WITNESS: Yes. 15 16 17 18 ATTORNEY ACKERMAN: Okay. So the document that Mr. Timmons is reading from was marked as Exhibit 1 to -- 19 ATTORNEY NEIMAN: II. 20 21 ATTORNEY ACKERMAN: Inais Borque's deposition. 22 23 24 ATTORNEY NEIMAN: Terrific. Okay. We can keep -- keep going. I don't have that in front of me. So... 25 COURT REPORTER: I need it. 1 Borque? 2 ATTORNEY ACKERMAN: 3 B-O-R-Q-U-E. 4 5 6 7 8 9 THE WITNESS: It is -- it is that exhibit plus one handwritten note that the \$450,000 paid to DPNR is - plans to be used for archeological preservation fund. And that is based on my discussion with DPNR. 10 (BY ATTORNEY NEIMAN): 11 12 Q. That was what Mr. Oriol told you? 13 A. That's correct. 14 15 16 Q. Okay. And I'm sorry. We were going through the various bullet points before -- 17 A. Sure. 18 Q. -- Mr. Ackerman -- 19 A. The next one -- 20 Q. chimed in. So go ahead. 21 22 23 24 A. -- forfeiture of any proceeds or funds obtained by the Defendants in the course of the criminal enterprise -- 25 Q. Okay. 1 2 3 4 5 A. -- divestiture pursuant to 14 VIC Section 607(a)(1) of any real property or other interests used to further the goals of the criminal enterprise -- 6 Q. Okay. 7 8 9 A. -- dissolution of the criminal enterprise pursuant to 14 VIC Section 607(a)(3) and (a) (5) -- 10 Q. Okay. 11 12 13 A. -- revocation of licenses, permits and applications pursuant to 14 VIC Section 607(a)(4) 14 Q. Okay. 15 16 17 18 A. an order placing all assets and funds of the Estate into receivership pursuant to 14 VIC Section 607(a)(6) and 607(k) -- 19 Q. Okay. 20 21 A. -- treble damages pursuant to 14 VIC Section 607. 22 Q. All right. 23 24 25 A. Those damages were the EDA benefits and other equitable and injunctive relief, including an award 1 of fees, costs and interest. 2 3 4 Q. Okay. So that's the -- is it -- have you now read what's on that testimonial -- 5 A. No. 6 Q. -- guide? 7 8 9 10 A. It also has two bullet points regarding the planned usage of the settlement proceeds from the Indyke action -- 11 Q. Uh-huh. 12 13 A. -- \$450,000 to be paid to DPNR. 14 Q. Okay. 15 16 17 18 19 A. And the remainder of the settlement payments are directed to the general fund, which requires appropriation consistent with Virgin islands laws. 20 21 Q. Okay. So that's the -- the first document. 22 What's the second document? 23 24 25 A. Pages 74 through 76 of the complaint of in the -- of the second amended complaint in the action 1 2 3 4 here today, don't know the total amount that the Government of the Virgin Islands has received from the settlement? 5 6 A. I do not know the specific amount. 7 8 Q. Okay. Can you put it in a range? 9 10 A. It would require some speculation. 11 Q. Can you explain? 12 13 14 15 16 A. Well, I know what was due under the agreement initially, but I don't know whether -- whether it's been received in its -- in its total. 17 18 Q. Do you know of any parts that have definitely been received? 19 20 A. I have no dollar numbers that I am aware of. 21 22 Q. Okay. Do you know the amount that Little St. James was sold for? 23 24 ATTORNEY ACKERMAN: Object to form, scope. 25 THE WITNESS: Again, I don't 1 2 3 4 have the -- I -- I don't have the specific number in front of me. It was in the range of 27- or \$28,000,000. 5 (BY ATTORNEY NEIMAN): 6 7 Q. Okay. And how about Greater St. James? 8 9 ATTORNEY ACKERMAN: Object to form, scope. 10 11 12 THE WITNESS: It sold for more than Little St. James. I don't remember the specific number. 13 (BY ATTORNEY NEIMAN): 14 15 16 17 Q. Okay. And let's just -- if we could turn to page 3 of the settlement agreement, which is Exhibit 1 to this deposition. 18 A. Okay. 19 20 21 22 23 24 25 Q. And you'll -- I just want to see if I can narrow down what's - what's unknown versus what's known here. Okay, sir? So there's a set of payments that are supposed to be made that are listed in items "A" through "D" on page 3. Do you see? 1 the proposal? 2 3 ATTORNEY ACKERMAN: Object to form, scope. 4 5 6 7 8 THE WITNESS: The legislature -- is the legislature -- it's up to them to decide whether to act or -- or to introduce a bill or to -- to do something entirely different. 9 (BY ATTORNEY NEIMAN): 10 11 12 13 Q. Okay. And have you done anything to try to determine what the legislature plans are in that regard? 14 15 16 17 18 ATTORNEY ACKERMAN: Object to form, scope. I'd also note that the legislature is a separate branch of Government that is not a party to this action. 19 (BY ATTORNEY NEIMAN): 20 0. But you can answer. 21 A. I have not. 22 23 24 25 Q. Okay. Okay. Other than that approximately \$45,000,000, are there any proposals, plans or the like about what to do with any other portion of 1 the proceeds of the settlement? 2 3 ATTORNEY ACKERMAN: Object to form. 4 5 6 7 8 9 10 11 12 13 THE WITNESS: In general, the plans are to -- to utilize the funds consistent with the terms of the settlement agreement, which contemplates the use of the proceeds for law enforcement, for victim services or things like counseling, other -- other services for victims of -- of sexual violence and sexual misconduct. 14 (BY ATTORNEY NEIMAN): 15 16 17 Q. Okay. And I understand that's sort of a general description. But are there any concrete plans? 18 19 ATTORNEY ACKERMAN: Object to form. 20 21 22 23 24 THE WITNESS: Again, unless and until the -- the legislature appropriates funds for a specific purpose, we're putting the cart before the horse. So no. 25 (BY ATTORNEY NEIMAN): 1 2 settlement agreement, Exhibit 1, and if you look at subsection 3(a), 3(e) 3 See that? 4 A. "E" as in echo? 5 Q. "E" as in echo, yes. 6 A. Yes. Okay. 7 8 Q. That is talking about what will happen with the LSJ payment. 9 A. That's right. 10 11 Q. Has a trust fund been established yet? 12 A. I believe it's in the works. 13 Q. Does that mean 14 15 16 17 18 A. If it has not, I -- I know that there have been discussions about establishing it. Whether that is complete, I am -- I'm not aware, but I know that it is at least underway. 19 20 Q. And have any funds been received for funding that trust? 21 A. I do not know. 22 23 24 25 Q. Okay. And have any plans been put in place for what that trust will do with the proceeds if and when they are received? 1 2 3 4 A. Again, even -- even those funds held in trust will be subject to appropriation under 33 VIC Section 3101. 5 6 7 8 9 Q. So as you understand it, this statement that the payment shall be provided by the Government to a trust fund to be established depends on when the legislature chooses to do that? 10 11 12 13 14 15 16 17 18 19 20 21 22 A. Now the fund -- the -- the re- -- when the -- the funds will be deposited into a trust account, and it will be governed by the restrictions in subsection (e). It will be -- it will -- but it will require appropriation for projects, services, counseling programs and activities that help Virgin Islands residents or inhabitants or victims of sexual assaults, sex trafficking, human trafficking, sexual misconduct, and sexual abuse. 23 24 25 But to be clear, all of those -- all of those categories of use will be subject to an appropriation before 1 2 3 -- before those -- those can be - those expenditures can be made and those programs can be created. 4 5 6 7 8 9 10 11 Q. I want to see if I understand this as a matter of Virgin Islands law. If the legislature decided, you know what, we don't want to spend that money as described in subparagraph (e), we'd like to spend it on a race track, does the legislature have that power? 12 13 14 ATTORNEY ACKERMAN: Object to form, scope, calls for a legal conclusion. 15 16 17 18 19 20 21 THE WITNESS: Well, I -- I think it exceeds the scope. But I'll say this: I think the Constitution of the United States trumps any -- any Virgin Islands legislative prerogative, and that would be an impairment of contract. 22 (BY ATTORNEY NEIMAN): 23 Q. Based on what? 24 A. Pardon? 25 Q. Based on what? 1 to form. 2 THE WITNESS: In these early 3 in these early days, you are 4 correct. 5 (BY ATTORNEY NEIMAN): 6 Q. Early days. When was Little 7 St. James sold? 8 A. It's been within the last 90 9 days, I believe. 10 ATTORNEY NEIMAN: Okay. Okay. 11 Mr. Timmons, thank you for your time. 12 I have no further questions at this 13 time. 14 THE WITNESS: Thank you. 15 ATTORNEY ACKERMAN: 16 Mr. Timmons, I have one question for 17 you. 18 CROSS EXAMINATION 19 (BY ATTORNEY ACKERMAN): 20 Q. In the Indyke action, did the 21 Government assert any claims for 22 relief under the TVPA? 23 A. No. The Indyke action was 24 focused upon the -- the Virgin Islands 25 CICO law and included a few common law 1 2 claims. It did not include any -- any Federal law claims. 3 4 5 6 7 Q. And to be clear, when I'm using the term "Indyke action," I'm referring to the Government's action against the Epstein Estate. Is that how you understand it as well? 8 9 A. Yes. The -- the civil action number ST2020-CV-0014. 10 11 ATTORNEY ACKERMAN: Thank you. I have nothing further. 12 13 14 15 ATTORNEY NEIMAN: Just very quickly, Mr. Timmons, you -- just in follow-up on that last question that you were asked. 16 17 REDIRECT EXAMINATION (BY ATTORNEY NEIMAN): 18 19 20 21 22 Q. Sir, as you understand it, are there any differences in terms of the damages available under the TVPA that are not covered -- withdrawn. Let me ask the question a little differently. 23 24 25 As you understand it, sir, are there any damages that are available under the TVPA that would not be also