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Page 112345IN RE:US v GREGORY BARTKO67SWORN STATEMENT8OF9SCOTT HOLLENBECK10111213DATE TAKEN:MARCH 7, 2018TIME:9:57 a.m. - 11:26 a.m.1415PLACE:16Wasilewski Court Reporting, LLC2005 South Florida AvenueLakeland, Florida 338031718192021222324Examination of the witness taken before:Tami ClineRegistered Merit ReporterCertified Realtime ReporterFlorida Professional Reporter25WASILEWSKI COURT REPORTING(888) 686-9890
Page 212345APPEARANCESTaken By:MARTIN SILBERMartin Silber and Associates7750 S.W. 117 Avenue, Suite 303Miami, Florida com678JAMES M. JULIANJulian Investigations 16171819202122232425WASILEWSKI COURT REPORTING(888) 686-9890
Page 312THEREUPON, the following proceedings were hadand taken:34THE COURT REPORTER:Would you raise yourright hand, please.5Do you solemnly swear or affirm that the6testimony you give in this cause will be the7truth, the whole truth, and nothing but the truth?8THE WITNESS:9THE COURT REPORTER:10SCOTT HOLLENBECK, having been first dulysworn, testified as follows:131415You can put your handdown.1112Yes, ma'am.EXAMINATIONBY MR. SILBER:Q.Good morning.I am Martin Silber.I'm a16private investigator licensed in Florida.17present is James Julian, a private investigator18licensed in Florida.19the time I have is 9:59 a.m.20Florida Avenue, Lakeland, Florida, of the office of21Wasilewski Court Reporting.22reference to the United States vs Gregory Bartko23case.24Scott Hollenbeck, a witness in this case.25AlsoToday is March 7th, 2018, andWe are at 2005 SouthWe are here inI am here to take a sworn statement fromMr. Hollenbeck, for the record please stateWASILEWSKI COURT REPORTING(888) 686-9890
Page 41your full name.2A.My full name is Scott Bradley Hollenbeck.3Q.And what is your date of birth?4A.My date of birth is January 24, 1955.5Q.And what is your address?6A.My address is 4699 Elon Crescent, Lakeland,7Florida 33810.8Q.And your phone number?9A.Phone number is (863) 226-8896.10Q.Mr. Hollenbeck, do you understand that you11have been sworn in by the stenographer and the12statement you will be giving is under oath?13A.Yes, sir.14Q.Mr. Hollenbeck, did you own and/or manage151617investment funds?A.I did not own any funds, but I helped managefunds through John Colvin, the Franklin Asset funds.18Q.And what were they?19A.They were Franklin Asset.20Q.Okay.The Franklin Asset?Were you at one time under21investigation by the Securities and Exchange22Commission?23A.Yes, sir, I was.24Q.Were you selling funds using a fake surety25bond?WASILEWSKI COURT REPORTING(888) 686-9890
Page 51A.Yes, sir.2Q.Were you using a fake surety bond when3selling Mobile Billboards of America?4A.Yes, sir.5Q.Did you also use a fake surety bond to sell6other investment funds?7A.Yes, sir.8Q.Did you eventually retain -- retain legal9counsel?10A.I did.11Q.And who did you retain?12A.I retained Wes Covington in Raleigh, North13Carolina, and he then in turn referred me to Gregory14Bartko as a securities attorney.15Q.Did you learn sometime after retaining16Gregory Bartko that Mr. Bartko had investment funds17of his own?18A.Yes, sir.19Q.What were they?20A.They were the Capstone investment fund and2122the Caledonian investment fund.Q.Did Gregory Bartko give you instructions23regarding what you could or could not do with24investor clients?25A.Yes, sir.He stated that because of myWASILEWSKI COURT REPORTING(888) 686-9890
Page 61investigation by the SEC, I was not to be a2salesman.3Gregory Bartko would be the one that would talk4directly to the people to make the investments in5the Caledonian or the Capstone fund.67Q.All I was to be was a referral agent, andSo just rephrasing it or reiterating it, yousaid you can only be a referral agent; correct?8A.A referral agent, yes, not a salesman.9Q.And did you comply with those instructions?10A.No, sir.11Q.So you were just supposed to be a referral12agent and not allowed to represent yourself as a13salesman?14A.Yes, sir.15Q.Did you continue to use fake surety bonds to16facilitate the acquisition of new clients as a17salesman?18A.Yes, sir.It was a surety bond that was19supposed to have been completed with AIG, and it20kept being delayed, and I went ahead and used the21document that had been given me concerning that AIG22bond to sell investments to my clients and make them23feel secure.24Q.Did Gregory Bartko authorize this?25A.He did not.WASILEWSKI COURT REPORTING(888) 686-9890
Page 71Q.And what is AIG?2A.AIG is an insurance company.I don't know3the name.4know the name, but AIG is a large insurance company5that does surety bonds for investors.6789Q.It's American International -- I don'tSo while you were doing this, wasn't GregoryBartko able to monitor your activities?A.I was in Winston-Salem, North Carolina.Gregory Bartko's office was in Atlanta, Georgia.So10it was easy for me to continue to govern my clients11in Winston-Salem, North Carolina, in the North12Carolina area without Gregory Bartko's knowledge,13because he was in Atlanta, Georgia.1415Q.Were you later indicted, tried in court,convicted and sentenced to federal prison?16A.I sure was.17Q.For how long were you sentenced to prison?18A.I was sentenced to 161 months, which is 1419years.20Q.And who was the prosecutor in your case?21A.The prosecutor was Clay Wheeler.22Q.Did you have a conversation with your232425attorney Scott Holmes while you were in prison?A.I had been in prison for about two and a halfyears when I received a call from Mr. Holmes, yes.WASILEWSKI COURT REPORTING(888) 686-9890
Page 812Q.So you're saying that you were in prison forabout two and a half years before he called you?3A.Yes, I was.4Q.Did your attorney Scott Holmes tell you that5he had met with Clay Wheeler?6A.Yes, sir.7Q.And what was the conversation about --8A.He --9Q.-- between you and Scott Holmes?10A.He let me know that Clay Wheeler was wanting11to come and interview me at Coleman Prison and that12it would be very much to my advantage if I would13have him come.14that possibility because of my experience with Clay15Wheeler in trial, but he convinced me of the fact16that I needed to make sure that I cooperated with17Clay Wheeler because that was to my advantage and18that if I did not cooperate with an interview, it19would put me on the bad side of Mr. Wheeler and20there -- he inferred there could be a ramification21of the fact that I would be indicted in the Greg22Bartko case and be indicted in the John Colvin case.23I was scared to death concerningAnd, also, they had interviewed my wife, and24I was wanting to do everything possible to make sure25she had immunity and didn't have any ramificationsWASILEWSKI COURT REPORTING(888) 686-9890
Page 91from that.2interview and complete this, that I had a very good3chance of getting -- he didn't state any specifics4but inferred I would have a very good chance of5getting reduction of sentence from my 14 years for6my cooperation with Mr. Wheeler.7Q.He told me that if I would do thisSo I just want to make sure I'm clear.Did8Scott Holmes indicate to you that Clay Wheeler was9going to offer you immunity from prosecution in the10Bartko and Colvin case if you were to agree to11testify as a witness for the prosecution in both of12these cases?13A.I was very concerned about meeting with14Mr. Wheeler and told Scott Holmes that I did not15want to go back into a snake pit and be bit, that I16had a very upsetting experience with Mr. Wheeler in17trial, and he said that Mr. Wheeler had assured that18they would make arrangement for me to have -- sign19for immunity and anything that was asked in the20interview, and that I also asked Mr. Holmes to21assure that my wife Crystal would also have immunity22documents signed so she would not be culpable in23anything concerning the interview.2425Q.About how often did you and Scott Holmestalk?WASILEWSKI COURT REPORTING(888) 686-9890
Page 101A.I would imagine two or three times.2Q.And were the conversations by phone, e-mail34or in person or any combination of these?A.I think he sent me documents concerning the5immunity and those things by e-mail for me to look6at, but most of the conversation was by prison7phone.8that it would not use the 15-minute phone call but9would be on a prison phone in a counselor's office.10Q.I was taken into a counselor's office soDid Scott Holmes tell you that he had a11conversation with Clay Wheeler stating that, in12addition to immunity from prosecution in the Bartko13and Colvin cases, that you would likely be receiving14a sentence reduction in your case in which you were15convicted and already serving time in prison?16A.He was very careful in his wording to let me17know that this was to my advantage and I really18needed to do it because it was my only chance to19have any possible reduction in my sentence and that20I had no promise of a reduction, but this was my21good chance of having a reduction take place.22heard while I was in prison that the only way that23you're going to get a reduction in your case is for24you to cooperate with the government and be a25witness in a trial.WASILEWSKI COURT REPORTING(888) 686-9890I had
Page 111Q.2today.3A.Yes, sir.4Q.And correct me if I'm wrong, that you said toOkay.So we had a conversation prior to5me that Scott Holmes had talked to Clay Wheeler and6that Clay Wheeler told him words to the effect that7if you were to cooperate, not only would you get8immunity in the Bartko case and the Colvin case but9that you were likely to get a sentence reduction,10and that was words from Clay Wheeler to Scott11Holmes, from Scott Holmes to you.Is that --12A.Yes, sir.13Q.Would that be a fair statement?14A.It would be.15Q.So, in fact -- I want to be clear on this.No, that's clear.16Are you saying that Scott Holmes did state to you,17words to the effect coming from Clay Wheeler, that18you were going to get a sentence -- let me rephrase19that -- were likely to get a sentence reduction as a20result of your cooperation?21A.Yes, sir.And the word "likely" is very22important because Mr. Holmes said that there was not23a promise given of any reduction, but he said24there's a very likely situation that I would get a25reduction for my cooperation.WASILEWSKI COURT REPORTING(888) 686-9890
Page 121Q.And I know I'm being repetitive.Is it fair2to say that information originated from Clay3Wheeler?4A.Yes, sir.5Q.Okay.Did Scott Holmes have a conversation6with you regarding your wife receiving immunity from7prosecution in the Bartko and Colvin case?89101112A.Yes, sir.And I tried to reiterate that tohim because I didn't want my wife to be implicatedin any way.Q.Okay.Did there come a time that ClayWheeler met with you in prison?13A.Yes, sir.14Q.Why did Mr. Wheeler meet with you?15A.To interview me concerning the Greg Bartko16case that would be coming up in the future.17Q.What was discussed?18A.He wanted to know investment people that we19had met with, investors that had invested in Greg20Bartko's investments.21specifically questions that were given to me at that22meeting because it's been eight years ago, but he23clearly was wanting to have me give him other24witnesses that were investors and things to show25that Greg Bartko was not doing what he shouldAnd I don't rememberWASILEWSKI COURT REPORTING(888) 686-9890
Page 131concerning those investments.2Q.Did anyone take notes?3A.I'm sure that Clay Wheeler did.I did not.4And there was a lady there that I think was a5representative of the FBI, and she took notes.6Q.And who was the primary person questioning?7A.Clay Wheeler.8Q.Do you know if the session was recorded?9A.I don't know that for sure.10Q.So what was your understanding or belief in11what you were expected to do regarding the immunity12agreement?13A.By signing this agreement, I was assured that14I would not be further prosecuted in the Greg Bartko15case.16to death in this interview because I had no good17experience in my trial with Clay Wheeler.18an aura of cold and distant and that I was a19criminal and very much he was in control of my life.20Q.I do want to state the fact that I was scaredHe gaveWas that because of his personality or is21that something because you're already in prison as a22result of his prosecution?23A.Well, I think both, both of those are good24summations.25never saw warm.Number one, his personality was -- IIt was always a cold, aggressiveWASILEWSKI COURT REPORTING(888) 686-9890
Page 141personality that looked down on the person he was2interviewing.3knowledge and, without saying it, give the4impression that, "You are already in prison, and I5have control of your life."67Q.I think he also had very muchBut that -- that was just an impression thatyou had?8A.Yes, sir.9Q.Okay.After the meeting with Mr. Wheeler,10did you have any expectations and/or fears regarding11further prosecution in the Gregory Bartko case?12A.I always did.I never did trust what Clay13Wheeler had to say and felt very much pressured that14I needed to please him or I had further15ramification.16Q.Please who?17A.Please Clay Wheeler.18Q.Okay.After the meeting with Mr. Wheeler,19did you have any expectations and/or fears regarding20further prosecution in the John Colvin case?21A.Yes, sir.That -- that was also brought up22in the interview, and I was scared to death about23both the Greg Bartko case and the John Colvin case.2425Q.After meeting with Mr. Wheeler, did you haveany expectations and/or fears regarding your wifeWASILEWSKI COURT REPORTING(888) 686-9890
Page 1512being prosecuted in the Greg Bartko case?A.They had told me that they were interviewing3my wife, and she was scared to death.4to death.5so, yes, I had great fear that they were trying to6do something to make her culpable in the cases.7Q.I was scaredNeither of us trusted Mr. Wheeler.AndAfter the meeting with Mr. Wheeler, did you8have any expectations and/or fears regarding your9wife being prosecuted in the John Colvin case?10A.Yes, sir.11Q.Did you have any expectations regarding1213sentence reduction in your case?A.I was very hopeful and been given the14assurance by Scott Holmes that me having the15interview with Clay Wheeler was going to be very16advantageous on my part and that it had been17discussed concerning reduction, and I was very18hopeful that, even though no promises were made,19that they were going to come back and give me a20reduction.212223Q.Do you recall Mr. Wheeler ever talking to youabout sentence reduction?A.He was always very clear to say to me, "I'm24not giving you any promises of anything and are you25doing this without any promises made?"And I alwaysWASILEWSKI COURT REPORTING(888) 686-9890
Page 1612answered yes.Q.But you do recall Scott Holmes having3conversation with him prior to that meeting saying4that you're likely to receive a sentence reduction5if you did cooperate; correct?6A.Definitely, and that's my main reason for the7phone call being made to me initially, is that this8is much to my advantage because I need to be9considering seriously this interview.10Q.Did you have meetings with Clay Wheeler11subsequent to the signing of the immunity agreement12but before the Gregory Bartko trial?13A.At the interview that my -- my initial14interview that I had with him at the -- at Coleman,15I think the documents had been prepared, and I don't16remember for sure whether the documents were sent to17me by e-mail with Greg Bartko and I signed those and18sent them back -- I mean were signed with Scott19Holmes and whether I sent them back to him, the20immunity articles, or whether I signed them at the21first interview, but I know I signed an immunity22document.23immunity signed by my wife.2425Q.And, also, I think Scott Holmes hadOkay.But the question I have is, did youhave any meetings with Clay Wheeler subsequent toWASILEWSKI COURT REPORTING(888) 686-9890
Page 171the signing of the immunity agreement but before the2Bartko trial, any meetings?3A.No.In other words, when I did the immunity4document, then that's when we had our interview.5might be misunderstanding you.6Q.Okay.II don't know.Because prior to this statement that7you're giving now -- and correct me if I'm wrong --8it was my understanding that you did have subsequent9meetings with Wheeler and -- to discuss things10about --11A.I think --12Q.-- about your upcoming testimony.13A.I think you're -- what you're asking me is14did I have meetings before the trial, and, yes, I15met at the county jail.16Coleman to county jail in Raleigh, North Carolina.17And Clay Wheeler and his assistants -- there were18several people there with him -- met with me in a19conference room at the county jail in Raleigh to let20me know about the procedures of the trial that I21would be testifying in and -- and asked me22questions.23questions.2425Q.They shipped me fromI don't remember specifically thoseSo prior to trial, these meetings that youhad with Clay Wheeler, did Clay Wheeler tell youWASILEWSKI COURT REPORTING(888) 686-9890
Page 181what was expected from you regarding your court2testimony?3A.Yes, sir.4Q.What was that?5A.That he would be asking questions concerning6Greg Bartko, and I was to answer those questions.7was there to help the prosecution in what they were8doing concerning Greg Bartko.9Q.And did you later, in fact, testify in court10regarding the United States vs Bartko -- I'm sorry,11strike that.1213Did you later testify in court regarding theUnited States vs Gregory Bartko?14A.Yes, sir.15Q.Did you testify truthfully in this case?16A.No, sir.17Q.Did you lie under oath in court regarding18Gregory Bartko's knowledge and involvement of the19illegal sales that you did after you had retained20him for legal counsel?21A.Yes, sir.22Q.Why did you lie?23A.I was scared to death feeling I was put in a24position that was a catch-22, that if I didn't25cooperate I was going to have very drasticWASILEWSKI COURT REPORTING(888) 686-9890I
Page 191ramifications and was trying to do everything I2could to get home from prison.345Q.deeper.A.Well, let's delve into that a little bitWhat was your mind-set?I was overwhelmed.I was scared to death to6be involved with Mr. Wheeler again and was very7much, after being in prison already two and a half8years, wanting my freedom and being able to get back9with my family again.10Q.When you say that, were you in fear of11prosecution if you didn't provide answers that you12felt that Mr. Wheeler wanted, that you were in fear13of prosecution of the Bartko case?14A.Yes, sir.Mr. Holmes made it very clear to15me that I was still culpable in the Greg Bartko case16and culpable in the John Colvin case and that I17needed to do everything I could to my advantage to18keep from being further prosecuted in those two19cases.20Q.Okay.So you were in fear of further21prosecution in the Bartko case and the Colvin case22if you did not --23A.If I did not --24Q.-- provide answers that were satisfactory to25the prosecution?WASILEWSKI COURT REPORTING(888) 686-9890
Page 201A.Yes, sir.2Q.Would that be a fair statement?3A.Yes, it would.4Q.Were you also in fear of your wife being5prosecuted in the Bartko case and Colvin case if you6did not answer what -- in what you believed was what7the prosecution was seeking?8A.Yes, sir.9Q.Were you also fearful that if you didn't10cooperate and give the answers that you felt the11prosecution wanted that you would not be getting a12sentence reduction?13A.Yes, sir.14Q.So you had multiple things in your mind that15was causing you the fear of further reprisal if you16didn't answer properly?1718192021A.Yes, sir.I was overwhelmed and very muchscared of all those entities.Q.Okay.And why are you now admitting tohaving lied under oath in the Bartko trial?A.I spent eight years myself in prison and very22much was overwhelmed to hear the sentence that had23been given to Greg Bartko and wanted to do24everything I can to help show the fact that he --25all he was doing was trying to help me in myWASILEWSKI COURT REPORTING(888) 686-9890
Page 211investigation and in my case, and in no way was he2running a criminal operation and trying to do3anything to make advantage to himself but only4trying to help me.56Q.Do you have anything to gain today fortelling me what you're telling me now?7A.No, sir.8Q.Did you have anything to gain back then when910you were lying?A.Yes, sir.I was very much hoping for a11reduction of sentence and no further reprisal in the12cases.13Q.Did you, in fact, later receive a sentence14reduction after testifying in the Bartko case and15the Colvin case?16A.Yes, sir, I did.17Q.What was the amount of the sentence18reduction?19A.20years.21Q.The amount of reduction was five and a halfOkay.Going into another area of22questioning, did Gregory Bartko authorize you to23sell investments in the Capstone fund?2425A.He tried to make it very clear to me that Iwas a referral agent.I was not to be a salesman inWASILEWSKI COURT REPORTING(888) 686-9890
Page 22123456those funds.Q.Did Gregory Bartko authorize you to sellinvestments in the Caledonian fund?A.He wanted me to be a referral agent and not asalesman in the Caledonian fund.Q.When Gregory Bartko found out about you7selling funds and not acting as a referral agent,8what did he do?9A.He fired me.10Q.Okay.Did Clay Wheeler or anyone from the11Feds coach you or direct you in any way in12preparation of your testifying in the Bartko case?13A.I wouldn't use the word "coach," but they let14me know the process of the trial and I think by15inference made sure that I was going to give answers16to their questions in favor of the prosecution and17the government.18Q.Let me go back to a previous question.19mentioned a referral agent.20agent?21agent?22A.YouWhat is a referralWhat is the responsibilities of a referralI had been a salesman in all of the23investments, and Greg Bartko made it very clear that24any further investors that I have in my clientele,25that I was to give the name of Greg Bartko, and theyWASILEWSKI COURT REPORTING(888) 686-9890
Page 231were to talk to him directly and he would be the one2that would make the sale of the Caledonian or the3Capstone fund.4all.5supposed to just only be a referral agent that gave6the name of Greg Bartko, and he would be the one7that would sell the fund.I was to do nothing in that part atI was to not use any sales materials.8Q.Did you stay as a referral agent?9A.No.I wasI had a very close relationship with my10clients, and I was doing everything I could to keep11my investments going because I had a very heavy12burden of making 30,000-a-month payments of13interest to my clients that had already lost money,14and I was trying to get their money back.15Q.Okay.And let me just say there may be some16questions that may be repetitive, and I apologize17for that, but let me continue.1819202122Did you receive any promises or benefits fromthe government in exchange for your cooperation?A.I did through Scott Holmes talking toMr. Wheeler.Q.Okay.So Mr. Wheeler asked you in the Bartko23trial if you received any promises or benefits from24the government, and your response then was no.25Would that testimony from you to -- be false?WASILEWSKI COURT REPORTING(888) 686-9890
Page 241A.Yes, sir.2Q.In the Colvin trial you testified that you3denied having received any promises or benefits from4the government.5false?6A.Would that testimony from you beIt would be because of the fact that7Mr. Holmes had talked to them about reduction and8immunity from further prosecution.9Q.Is it true that you told Wheeler and the case10agents that you did not do the things described in11the notarized confession that you signed when you12were fired from the Fair Haven Baptist Church?13A.Could you repeat that question, please?14Q.Is it true that you told Wheeler and the case15agents that you did not do the things described in16the notarized confession that you signed when you17were fired from the Fair Haven Baptist Church?18A.Yes, sir.19Q.Why did you sign a confession that was not2021true?A.Because it was a very strict regime, and by22me not signing this notary, I would have23ramification of being fired from my position.2425Q.So, in other words, was it because you feltyou were threatened and coerced?WASILEWSKI COURT REPORTING(888) 686-9890
Page 251A.Yes, sir.2Q.In May 2004 you decided to retain Gregory3Bartko and Wes Covington to handle your legal4problems with Mobile Billboards.5did not know about any ownership or management6details of the Caledonian Private Equity fund.7Would that be a fair and accurate statement?At that time you8A.Yes, sir.9Q.Franklin Asset Exchange is a company you10created.11the Franklin Asset Exchange sales materials and a12fake surety bond in June 2004 for Gregory Bartko and13Wes Covington to review as your lawyers?14A.Do you recall faxing Gregory Bartko all ofYes, sir.That Franklin Asset fund was15really created by John Colvin.16did the paperwork, but I was the manager of the17fund.18and to Greg Bartko, along with a fake surety bond.1920Q.He's the one thatAnd I gave those paperwork to Wes CovingtonAnd at that time Gregory Bartko was acting asyour securities lawyer; is that correct?21A.Yes, sir.22Q.Is it fair to say that at that time you were232425not given -- I'm sorry, strike that.Is it fair to say that at the time you werenot aware that Gregory Bartko was affiliated in anyWASILEWSKI COURT REPORTING(888) 686-9890
Page 261way with Caledonian Private Equity fund or Capstone2Partners?3A.Yes, sir.4Q.You testified that you spoke with Demy Briley5about an investment in the Capstone fund and you6stated that you used fake surety bonds.7your testimony you stated that you did not use fake8surety bonds in the Capstone fund.9is false?101112A.Later inWhich testimonyThat I did not use fake surety bonds would bethe statement that would be false.Q.You testified that Gregory Bartko knew that13you forged his clients' names on consent cards used14for his clients to join the lawsuit against Mobile15Billboards in November 2004.16statement?Is that a false17A.Could you please repeat that?18Q.Sure.You testified that Gregory Bartko knew19that you forged his clients' names on consent cards20used for his clients to join the lawsuit against21Mobile Billboards in November 2004.22statement?23A.That is a false statement.Is that a falseAnd the fact that24I had each of my clients give me power of attorney25to sign their name, and so I -- all those consentWASILEWSKI COURT REPORTING(888) 686-9890
Page 271cards, none of them were signed by my clients.2were signed by me because of the arrangement I had3with the power of attorney signature.4Bartko was not aware of that.5Q.TheyGregoryIsn't it true that Gregory Bartko became6aware of this much later in February 2005 following7a court hearing in Atlanta?8A.Yes, sir.9Q.In early January 2005, you had a meeting at10your church with Pastor Robertson and others, and11you asked Gregory Bartko and Wes Covington to12attend.13cover for the fact that the church was not going to14get its 2 million investment back?Did you do this to lend credibility to and15A.Yes, sir.16Q.Although there are some important structural17differences regarding the terms of Franklin Asset18Exchange and Capstone Partners, you testified that19you sold Capstone Partners investments to your20clients and that terms of the Capstone Partners21investment were the same as your Franklin Asset22investment.Is that a true statement?23A.Yes, sir.24Q.Isn't it true that Gregory Bartko made it25clear to you that Capstone Partners was notWASILEWSKI COURT REPORTING(888) 686-9890
Page 281accepting investments from nonaccredited investors?2A.Yes, sir.3Q.Isn't it true that Gregory Bartko discussed4with you the structure known as "investment club"5that, if properly formed, could accept nonaccredited6investors under certain circumstances?7A.Yes, sir.8Q.When a suggestion was made to form a new9company using the initials of your wife, Crystal10Hollenbeck, that being CMH, you originally testified11that you think that Gregory Bartko suggested the12company name to cloak your identity.13statement correct?14forming a new company using the initials of your15wife, Crystal Hollenbeck, the initials being CMH?16A.Is thatDid Gregory Bartko suggestNo, I don't think it was Greg Bartko.I17think that it was Wes Covington that had given the18suggestion concerning the name change.19Q.On December 8, 2004, you gave a deposition to20the SEC regarding Mobile Billboards.21was in Gregory Bartko's office.22you had not revealed to Gregory Bartko that you sold23any Capstone Partners fund investments, nor did you24reveal to Gregory Bartko that you sold Capstone25Partners fund investments using your fake suretyThe depositionIsn't it true thatWASILEWSKI COURT REPORTING(888) 686-9890
Page 291bond?2A.Yes, sir.3Q.Isn't it true that you intentionally did not4reveal the sales activity to Gregory Bartko or the5Securities Exchange Commission so your fraudulent6sales schemes would not be discovered?7A.Yes, sir.8Q.When you collected investor checks for9Capstone Partners fund subscriptions, did you tell10your clients to send the checks directly to you made11payable to Franklin Asset Exchange?12A.I did on some of them, yes.13Q.Did you alter the Capstone Partners fund14subscription instructions document without Gregory15Bartko's knowledge or direction?16A.Yes, sir.17Q.You collected checks made payable to Franklin18Asset Exchange in December 2004 and January 2005.19The checks were deposited in the Franklin Asset20Exchange account and then sent to Gregory Bartko21payable to Capstone Partners Fund.22acknowledge that you knew at that time that Capstone23Partners Fund was not lawfully able to accept these24checks?25A.Do youYes, sir.WASILEWSKI COURT REPORTING(888) 686-9890
Page 301Q.Would it be fair to say that you took no2steps to follow Gregory Bartko's suggestions of3placing investments in an investment club structure?4A.Yes, sir.5Q.Isn't it true that you testified falsely that6Gregory Bartko knew the Franklin Asset Exchange7investments were from various individuals and that8Grego
21 Wasilewski Court Reporting. We are here in 22 reference to the United States vs Gregory Bartko 23 case. I am here to take a sworn statement from 24 Scott Hollenbeck, a witness in this case. 25 Mr. Hollenbeck, for the record please state (888) 686-9890 WASILEWSKI COURT REPORTING
