B. My Lawyers Misused My Assets to form “Amici”
11. In June 2002, Boies then directed Duker to use the LSAG “earn outs,” together with “kickbacks” paid to Trans World by the Labels and Studios – and my Aimster assets that Boies misappropriated – in a scheme to form and fund an entity called Amici LLC.
12. Amici LLC in turn provided litigation support services directly to Boies’s clients.
13. Amici LLC made use of the same Aimster technology assets that Boies had misappropriated from me.
14. Amici LLC was owned and controlled by the same entity Datamine LLC to which I had paid an equity interest in return for Boies acting as my lawyer.
15. Boies’s family in turn owned a 51% interest in Datamine LLC and in large part the remainder of Datamine was owned by Duker’s family.
16. A substantial part of Amici LLC was also owned by Trans World (or its chairman Robert Higgins), which in turn agreed to divide its profits from Amici LLC with the Labels and Studios.
17. One of the first clients of Amici LLC was counsel to the Labels and Studios, Cravath, Swaine and Moore, LLP (“Cravath Swaine”), whose partner Frank Barron secretly agreed with Boies and Duker at a meeting at Barron’s home in the summer of 2002 to direct the firm’s clients to use Amici LLC, specifically, Tyco International, Inc., a client that Boies and Barron both represented.
18. As agreed, as soon as Amici LLC was started, in June 2002, Boies and Cravath Swaine immediately misled Tyco and other clients by directing them to pay millions of dollars in fees to Amici LLC for litigation support, even though Boies and Cravath Swaine well knew, or should have known, that Amici’s service relied on technology that Amici did not own, that Boies had transferred from me without my authorization, and for which I did not provide support.
19. As a result of Amici’s unauthorized use of my unsupported technology, Amici’s service was so defective that, as Boies and Cravath Swaine well knew, or should have known, Amici failed to produce potentially millions of documents that were material to ongoing investigations of Boies’s and Cravath Swaine’s clients, Tyco, Adelphia and Adelphia’s accounting firm Deloitte.
20. Despite Boies’s knowledge of Amici’s unauthorized, defective service, Boies, Duker and/or Boies’s agents, as well as Trans World and the Labels and Studios, engaged in a “pump and dump” scheme to inflate the valuation of Amici LLC with investors so that Boies’s or his family’s shares in Amici, together with Trans World’s shares, could be sold at inflated valuations, and Boies and Trans World did in fact sell shares to investors while claiming valuations of Amici stock in excess of $200,000,000 (two hundred million).
21. Trans World and the Labels and Studios knew that Boies misappropriated my assets and regardless the Labels and Studios continued to pay kickbacks to Trans World, knowing that Trans World then used the kickbacks to finance Amici and agreed to divide the profits from Amici with the Labels and Studios.
22. Boies, Trans World and the Labels and Studios thus agreed and conspired to manipulate the market for digital music and movies by fraudulently financing and controlling my business using undisclosed kickbacks and earn outs. These kickbacks and earn outs have been paid pursuant to secret agreements, as set forth in detail herein, entered into between Boies, Trans World and the Labels and Studios to illegally fire me and retaliate against me for reporting my knowledge of their fraudulent scheme to law enforcement officers.
23. At the same time, Boies, Trans World and the Labels and Studios schemed to defraud the creditors in my bankruptcy case by misappropriating my assets, while Trans World and the Labels and Studios knowingly filed false claims in my bankruptcy case, made false disclosures, and hindered or delayed an investigation of Boies’s fraud, in a conspiracy to commit bankruptcy fraud.
