Saturday, October 06, 2007

What Beshear Knew

From the "secret report" page 34 of this section:

During the period May 5 - June 14, 1993, Beshear had general knowledge that work was being done on behalf of Bank of Louisville with respect to the Bond Powers. Neither Beshear, nor any other Stites & Harbison attorney, informed or disclosed to the Rehabilitator that Stites & Harbison was undertaking this effort on behalf, and for the benefit, of the Bank of Louisville. The failure to disclose this conduct contravened the commitment in the Engagement Letter not to represent Bank of Louisville in "that transaction," and, in addition, violated Stites & Harbison's commitment to disclose conflicts discovered or arising after the date of the Engagement Letter.