Cambodia, from a Killing Field to a Court of Justice: Challenges Ahead

&DPERGLDIURPD.LOOLQJ)LHOGWRD&RXUWRI-XVWLFH
&KDOOHQJHV$KHDG
&++($1*9DQQDULWK
5LWVXPHLNDQ$VLD3DFL¿F8QLYHUVLW\
$EVWUDFW
7KLVSDSHUH[DPLQHVWKHSURFHVVOHDGLQJWRWKHHVWDEOLVKPHQWRIWKH.KPHU
5RXJH7ULEXQDO DQDO\VHV WKH LQVWLWXWLRQDO EXLOGLQJ RI WKH WULEXQDO DQG LWV
UHOHYDQFHWRWKHLVVXHRIMXVWLFH7KHVWXG\SURYLGHVWKDWWKH.KPHU5RXJH
7ULEXQDOZLWKWKHLQFRUSRUDWLRQRI$UWLFOHVDQGRIWKH,&&35DQGWKH
SDUWLFLSDWLRQRILQWHUQDWLRQDOMXGJHVDQGSURVHFXWRUVLQFRXUWSURFHHGLQJVFDQ
PHHWWKHEDVLFVWDQGDUGVRIMXVWLFH+RZHYHUXQGHUWKHFXUUHQW&DPERGLDQ
MXGLFLDO V\VWHP WKH FRXUW ZLOO IDFH VHYHUDO REVWDFOHV WKDW PLJKW SUHYHQW LW
IURP SURYLGLQJ WKH NLQG RI MXVWLFH VRXJKW E\ WKH &DPERGLDQV DQG E\ WKH
LQWHUQDWLRQDOFRPPXQLW\7KHPDLQREVWDFOHVDUHWKHODFNRILQGHSHQGHQFH
FRPSHWHQFH DQG LPSDUWLDOLW\ RI WKH &DPERGLDQ MXGJHV DQG SURVHFXWRUV
WKHODFNRISROLWLFDOZLOORQWKHSDUWRIWKH&DPERGLDQJRYHUQPHQWDQGWKH
GLI¿FXOWLHVIDFHGE\WKHGHIHQVHFRXQVHO
.H\ZRUGV&DPERGLD.KPHU5RXJH7ULEXQDOMXVWLFH
,QWURGXFWLRQ 7KH .KPHU 5RXJH 7ULEXQDO .57 LV D SURGXFW RI D ORQJ VWUXJJOH EHWZHHQ WKH
&DPERGLDQ JRYHUQPHQW DQG WKH 8QLWHG 1DWLRQV 81 ZLWKLQ WKH IUDPHZRUN RI
VWDWH VRYHUHLJQW\ DQG LQWHUQDWLRQDO ODZ$V WKH H[$XVWUDOLDQ$PEDVVDGRU7KRPDV
+DPPHUEHUJ SRLQWHG RXW ³WKH .KPHU 5RXJH 7ULEXQDO KDV EHHQ VKDSLQJ XS DV D
FODVVLFFRQIURQWDWLRQEHWZHHQWKHFRQIOLFWLQJGHPDQGVRIQDWLRQDOVRYHUHLJQW\DQGRI
LQWHUQDWLRQDOFRQFHUQVWKDWMXVWLFHEHVHHQWREHGRQH´3KQRP3HQK3RVW0DUFK
7KH HVWDEOLVKPHQW RI WKH .KPHU 5RXJH7ULEXQDO LV FRPSOLFDWHG DQG WKHUH
DUHWZRFRQWUDGLFWRU\ YLHZV DERXWLW2QWKHRQHKDQGWKH&DPERGLDQJRYHUQPHQW
KDVVWDWHGWKDWWKHHVWDEOLVKPHQWRIWKH.57ZLOOPHHWWKHUHTXLUHPHQWVRIERWKWKH
LQWHUQDWLRQDOVWDQGDUGVRIMXVWLFHDQG&DPERGLDQVRYHUHLJQW\6HDQ8Q1LQJ
9LFH&KDLUPDQ RI WKH &RPPLWWHH IRU ,QWHUQDWLRQDO$IIDLUV DQG &RRSHUDWLRQ LQ WKH
&DPERGLDQ1DWLRQDO$VVHPEO\VWDWHGWKDWWKH&DPERGLDQJRYHUQPHQWGHVLUHVWREULQJ
WRMXVWLFHWKHSHUSHWUDWRUVRIDWURFLWLHVGXULQJWKH.KPHU5RXJHUHJLPHIRUWKHVDNHRI
SHDFHVWDELOLW\UHFRQFLOLDWLRQGHPRFUDF\KXPDQULJKWVDQGGHYHORSPHQW8Q
7KLVSDSHULVEDVHGRQWKHDXWKRU¶V0DVWHU7KHVLVVXEPLWWHGDWWKH,QWHUQDWLRQDO8QLYHUVLW\RI-DSDQLQ
-XQH
−115−
2QWKHRWKHUKDQGVRPHKXPDQULJKWVJURXSVDQGOHJDOH[SHUWVKDYHH[SUHVVHGWKHLU
FRQFHUQDERXWWKHLVVXHRIMXVWLFHZLWKLQWKHLQVWLWXWLRQDOEXLOGLQJRIWKH.57
7KLVSDSHUWKHUHIRUHDWWHPSWVWRH[DPLQHWKHSURFHVVRIWKHHVWDEOLVKPHQWRIWKH
.57DQGDQDO\]HWKHLQVWLWXWLRQDOEXLOGLQJRIWKH.57LQRUGHUWRGHWHUPLQHLILQGHHG
WKHUHDUHVRPHEDUULHUVWRWKHFRXUW¶VLPSOHPHQWDWLRQRIMXVWLFH
7KH5RDGWRWKH(VWDEOLVKPHQWRIWKH.KPHU5RXJH7ULEXQDO.57
7KH'HPRFUDWLF.DPSXFKHDRU.KPHU5RXJH5HJLPHXQGHUWKHOHDGHUVKLSRI6DORWK
6DUDOLDV3RO3RWDQGKLVFOLTXHVZHSWDZD\E\WKHLGHRORJ\RI³SHDVDQWXWRSLD´
HVWDEOLVKHGDUHJLPHLQZKLFKHYHU\RQHEHFDPHIDUPHUVZRUNLQJLQWKHSDGG\ILHOGV
ZLWKQRPDUNHWVQRPRQH\QRHGXFDWLRQQRUHOLJLRQQRUXOHRIODZQRUHVSHFWIRU
KXPDQULJKWVZLWKQRWKLQJEXWNLOOLQJVWRUWXUHDQGVWDUYDWLRQZKLFKUHVXOWHGLQWKH
GHDWKRIDERXWRQHWKLUGRIWKHWRWDO&DPERGLDQSRSXODWLRQ%HWZHHQDQGRQH
PLOOLRQSHRSOHZHUHH[HFXWHGZKLOHRWKHUVGLHGRIVWDUYDWLRQDQGXQWUHDWHGGLVHDVHV
.LHUQDQ
$IWHU WRSSOLQJ WKH .KPHU 5RXJH LQ 9LHWQDP SUHVVXUHG WKH LQVWDOOHG
JRYHUQPHQW WR WU\ WKH .KPHU 5RXJH OHDGHUV LQFOXGLQJ 3RO 3RW DQG ,HQJ 6DU\ IRU
JHQRFLGHLQDEVHQWLDDQGVHQWHQFHWKHPWRGHDWK7KLVZDVKRZHYHUJHQHUDOO\UHJDUGHG
DVDPHUH³VKRZWULDO´EHFDXVHWKHUHZDVQRGHIHQVHFRXQVHOQRUDQ\DFFHSWDEOHGXH
SURFHVVERWKRIZKLFKDUHYLWDOO\LPSRUWDQWIRUWKHSURYLVLRQRIMXVWLFHDQGIDLUQHVVLQ
FRXUWSURFHHGLQJV'H1LNHHWDO%HLJEHGHU$IWHUWKDWDQ\WKRXJKW
RIEULQJLQJ.KPHU5RXJHOHDGHUVWRDFFRXQWVHHPHGWRKDYHEHHQIRUJRWWHQERWKE\
WKH&DPERGLDQJRYHUQPHQWDQGE\WKHLQWHUQDWLRQDOFRPPXQLW\SDUWO\EHFDXVHRIWKH
FRPSOH[LWLHVRIWKH&ROG:DU.HOO\DQGSDUWO\DVWKHSULFHRIQDWLRQDO
UHFRQFLOLDWLRQDQGUHFRQVWUXFWLRQ5REHUWVRQ+RZHYHULQWKHFRQJUHVV
RIWKH8QLWHG6WDWHVVLJQDOHGLWVUHFRJQLWLRQRIWKH.KPHU5RXJHJHQRFLGHE\SDVVLQJD
&DPERGLDQ*HQRFLGH$FWZKLFKSURKLELWHGIXUWKHUFRRSHUDWLRQZLWKWKH.KPHU5RXJH
DQGLQLWLDWHGWKHFROOHFWLRQRIHYLGHQFH0RUHRYHUWKHHVWDEOLVKPHQWRI<DOH8QLYHUVLW\¶
V &DPERGLDQ *HQRFLGH 3URJUDP DQG 'RFXPHQWDWLRQ &HQWHU RI &DPERGLD ZHUH
VLJQL¿FDQWPLOHVWRQHVLQWKHH[DPLQDWLRQRIFULPHVFRPPLWWHGE\WKH.KPHU5RXJH,Q
DGGLWLRQVHYHUDO1*2VEHFDPHDFWLYHO\HQJDJHGLQWU\LQJWR¿QGWUXWKDQGMXVWLFHIRU
WKH&DPERGLDQSHRSOH)DZWKURSDQG-DUYLV
,Q$SULODIWHUQHDUO\WZRGHFDGHVRIQHJOHFWWKH8QLWHG1DWLRQV+XPDQ
5LJKWV &RPPLVVLRQ UHTXHVWHG WKH 81 WR H[DPLQH WKH SRVVLELOLW\ RI KHOSLQJ WKH
&DPERGLDQJRYHUQPHQWEULQJWKHUHPDLQLQJ.KPHU5RXJHOHDGHUVWRMXVWLFH7KH81
&RPPLVVLRQRQ+XPDQ5LJKWVPDGHUHTXHVWVWRWKH6HFUHWDU\*HQHUDOWR³H[DPLQH
DQ\ UHTXHVW E\ &DPERGLD IRU DVVLVWDQFH LQ UHVSRQGLQJ WR SDVW VHULRXV YLRODWLRQV RI
&DPERGLDQDQGLQWHUQDWLRQDOODZVDVPHDQVRIEULQJLQJDERXWQDWLRQDOUHFRQFLOLDWLRQ
VWUHQJWKHQLQJ GHPRFUDF\ DQG DGGUHVVLQJ WKH LVVXH RI LQGLYLGXDO DFFRXQWDELOLW\´
)DZWKURS DQG -DUYLV 7ZR PRQWKV ODWHU LQ -XQH WKH WKHQ &R
3ULPH 0LQLVWHUV 3ULQFH 1RURGRP 5DQDULGGK DQG +XQ 6HQ IRUPDOO\ DVNHG WKH 81
IRUDVVLVWDQFHWRWU\³WKRVHSHUVRQVUHVSRQVLEOHIRUWKHJHQRFLGHDQGFULPHVDJDLQVW
KXPDQLW\GXULQJWKH.KPHU5RXJHIURPWR´,WZDVJHQHUDOO\WKRXJKWWKDW
WKHWULDOVZRXOGEHVLPLODUWRWKHRQHVWKDWWRRNSODFHLQWKHIRUPHU<XJRVODYLDDQG
5ZDQGD
7KHGHFLVLRQRIWKHWKHQ&DPERGLDQ&R3ULPH0LQLVWHUVWRRIILFLDOO\UHTXHVW
−116−
WKHDVVLVWDQFHRIWKH8QLWHG1DWLRQVZDVSROLWLFDOO\PRWLYDWHG7KHWKHQ&DPERGLDQ
JRYHUQPHQW ZLVKHG WR GLYHUW WKH DWWHQWLRQ RI WKH LQWHUQDWLRQDO FRPPXQLW\ IURP WKH
GRPHVWLFSROLWLFDOWHQVLRQEHWZHHQWKHWZRUXOLQJSDUWLHVWKH&33&DPERGLDQ3HRSOH¶
V3DUW\UHSUHVHQWHGE\+XQ6HQDQGWKH)81&,13(&3DUW\WKH1DWLRQDO8QLWHG)URQW
IRUDQ,QGHSHQGHQW3HDFHIXODQG&RRSHUDWLYH&DPERGLDOHGE\1RURGRP5DQDULGGK
7KLVWHQVLRQOHGWRDQDUPHGFRQÀLFWEHWZHHQWKHWZR3ULPH0LQLVWHUVLQ-XO\RQH
PRQWKDIWHUWKHUHTXHVWWRWKH81IRUDVVLVWDQFHLQHVWDEOLVKLQJWKH.571RURGRP
5DQDULGGKZDVRYHUWKURZQE\+XQ6HQDQGWKHVLWXDWLRQFRQWLQXHGWRZRUVHQXQWLOE\
PXWXDODJUHHPHQW1RURGRP5DQDULGGKZDVDOORZHGWRFRPHEDFNLQHDUO\DQG
SUHSDUDWLRQVZHUHPDGHIRUSDUOLDPHQWDU\HOHFWLRQVRQ-XO\
$IWHUWKH-XO\FULVLVLQDQGHVSHFLDOO\WKHGHDWKRI3RO3RWRQ$SULO
FDOOVIRUWKHHVWDEOLVKPHQWRIWKH.KPHU5RXJH7ULEXQDOEHFDPHYHU\XUJHQW$
*URXSRI([SHUWVZDVDSSRLQWHGE\WKH81LQWRFROOHFWHYLGHQFHDQGWRH[DPLQH
WKH QDWXUH RI WKH FULPHV FRPPLWWHG E\ WKH .KPHU 5RXJH OHDGHUV GXULQJ WKH SHULRG
%DVHGRQWKHLUUHVHDUFKWKH*URXSRI([SHUWVFRQFOXGHGWKDWRQO\DQDGKRF
LQWHUQDWLRQDOFULPLQDOWULEXQDOZRXOGEHHIIHFWLYHLQEULQJLQJMXVWLFHGXHWRWKHZHDN
MXGLFLDU\LQ&DPERGLD7KHUHSRUWSUHSDUHGE\WKH*URXSRI([SHUWVUHFRPPHQGHGD
WULDOWREHKHOGHQWLUHO\RXWVLGHRI&DPERGLDZLWKQR&DPERGLDQSDUWLFLSDWLRQH[FHSW
LQWKHIRUPRIGHIHQGDQWVDQGZLWQHVVHV
+RZHYHU QRW VXUSULVLQJO\ 3ULPH 0LQLVWHU +XQ 6HQ UHIXVHG WR DFFHSW WKLV
SURSRVDO UHIHUULQJ WR$UWLFOH RI WKH *HQRFLGH &RQYHQWLRQ ZKLFK JLYHV SULRULW\
WRWKHVWDWH LQ ZKLFK WKH JHQRFLGHWRRNSODFH+XQ6HQWKHQSURFHHGHG WR HVWDEOLVK
KLVRZQERG\FDOOHGWKH³.KPHU5RXJH7ULDOV7DVN)RUFH´LQ'HFHPEHULQDQ
DWWHPSWWRWU\WKHUHPDLQLQJ.KPHU5RXJHOHDGHUVZLWKLQWKH&DPERGLDQFRXUWV\VWHP
ZLWKPLQLPDOSDUWLFLSDWLRQIURPIRUHLJQFRXQWULHV2QWKHEDVLVRIWKLVWDVNIRUFHWKH
&DPERGLDQJRYHUQPHQWVHWXSWKH([WUDRUGLQDU\&KDPEHUVWRWU\.KPHU5RXJHOHDGHUV
IRUJHQRFLGHDQGFULPHVDJDLQVWKXPDQLW\GXULQJWKHSHULRGIURPWR
,Q UHVSRQVH WKH 81 PDGHDVWDWHPHQWUHTXHVWLQJPRUHLQGHSHQGHQFHIURP
WKH&DPERGLDQJRYHUQPHQWDQGUHQXQFLDWLRQRIWKHDPQHVW\SURYLGHGWR,HQJ6DU\E\
3KQRP3HQKLQ0RUHRYHU816HFUHWDU\*HQHUDO.R¿$QQDQVWDWHGWKDWDPL[HG
WULEXQDOZRXOGEHSRVVLEOHRQO\LIWKH&DPERGLDQJRYHUQPHQWUHVROYHGWKHIROORZLQJ
IRXUIXQGDPHQWDOLVVXHV³WKHVWDWXVRIWKHIRUHLJQSURVHFXWRUDSSUHKHQVLRQRIVXVSHFWV
DPQHVW\DQGWKHQXPEHURIIRUHLJQMXGJHV´$VVRFLDWHG3UHVV6HSWHPEHU
+RZHYHUWKHQHJRWLDWLRQVEHFDPHVWDOOHGVLQFH+XQ6HQ¶VFDELQHWZDVQRWZLOOLQJWR
DFFHSWWKHFRQGLWLRQVRIWKH81
,Q VSLWH RI WKHVH GLIIHUHQFHV WKH &DPERGLDQ JRYHUQPHQW SDVVHG D ³/DZ RQ
WKH (VWDEOLVKPHQW RI ([WUDRUGLQDU\ &KDPEHUV LQ WKH &RXUWV RI &DPERGLD IRU WKH
3URVHFXWLRQ RI &ULPHV &RPPLWWHG GXULQJ WKH SHULRG RI 'HPRFUDWLF .DPSXFKHD´
(&'./DZLQ-DQXDU\7KLVODZSURPXOJDWHGRQ$XJXVWVWLSXODWHG
WKDWWKH([WUDRUGLQDU\&KDPEHUVZRXOGEHRSHUDWHGXQGHUWKH&DPERGLDQQDWLRQDOFRXUW
VWUXFWXUHDQGZRXOGEHFRPSRVHGRIDPDMRULW\RI&DPERGLDQMXGJHV
,Q)HEUXDU\WKH81HQGHGQHJRWLDWLRQVZLWK&DPERGLDEHFDXVHLWGLG
QRWEHOLHYHWKDWWKH&DPERGLDQJRYHUQPHQWFRXOGJXDUDQWHHLQWHUQDWLRQDOVWDQGDUGV
RIMXVWLFH,QDOHWWHUGHOLYHUHGWRWKH&DPERGLDQJRYHUQPHQWWKH81SURYLGHGWZR
UHDVRQVIRUWKHVWDOOHGQHJRWLDWLRQVEHWZHHQWKH81DQG&DPERGLD)LUVWD&DPERGLDQ
FRXUWFRXOGQRWJXDUDQWHHWKH³LQGHSHQGHQFHLPSDUWLDOLW\DQGREMHFWLYLW\´ZKLFKZRXOG
EHUHTXLUHGE\WKH81LILWZHUHWRFRRSHUDWHZLWKVXFKDFRXUW6HFRQG3KQRP3HQK
−117−
KDGUHIXVHGWKH81¶VSURSRVDOE\H[SODLQLQJWKDWWKHDVVLVWDQFHSURYLGHGE\WKH81
ZRXOGEHJRYHUQHGE\WKHDJUHHPHQWEHWZHHQWKH81DQGWKH&DPERGLDQ*RYHUQPHQW
+RZHYHU&DPERGLDGHPDQGHGWKDW³RQO\LWVRZQUXOHVZRXOGJRYHUQVXFKDVVLVWDQFH´
7KH 81 ZLWKGUHZ IURP WKH QHJRWLDWLRQV VWDWLQJ WKDW WKH\ FRXOG QRW PRYH IRUZDUG
XQOHVVWKH&DPERGLDQJRYHUQPHQWDFFHSWVWKHQHFHVVDU\FRQGLWLRQVIRUDIDLUWULDO-DUYLV
&RQFHUQLQJWKLVLVVXH6FRWW/XIWJODVVDUJXHGWKDWWKHDJUHHPHQWEHWZHHQWKH81
DQGWKH&DPERGLDQJRYHUQPHQWZDVLUUHOHYDQWWRWKHTXHVWLRQRILQWHUQDWLRQDOVWDQGDUGV
RIMXVWLFHZKLFKLVDQHFHVVDU\IDFWRUIRULQWHUQDWLRQDOLQYROYHPHQWLQWKH.KPHU5RXJH
7ULEXQDO+HVXJJHVWHGWKDWWKH81VKRXOGZLWKGUDZIURPWKLVFRXUW/XIWJODVV
2QWKHRWKHUKDQG*HUDOG90D\,,,FULWLFL]HVWKH81DVDQ³REVWUXFWLRQLVW´LQ
HVWDEOLVKLQJWKH.57
3UHVVXUHGE\VRPHPDMRUSRZHUVHVSHFLDOO\-DSDQDQG)UDQFHWKH81*HQHUDO
$VVHPEO\SDVVHGDUHVROXWLRQRUGHULQJWKHUHWXUQRIWKH81WHDPWRUHQHJRWLDWHZLWK
WKH&DPERGLDQJRYHUQPHQW7KH$VVRFLDWHG3UHVV0DUFK816HFUHWDU\
*HQHUDO .RIL$QQDQ FDOOHG RQ &DPERGLDQ ODZPDNHUV WR UDWLI\ D 81&DPERGLDQ
DJUHHPHQWHVWDEOLVKLQJD.KPHU5RXJHWULEXQDODVDSULRULW\DJHQGDLWHPRIWKHQHZ
1DWLRQDO$VVHPEO\ )81&,13(& WKH 8QLWHG 1DWLRQDO )URQW IRU DQ ,QGHSHQGHQW
3HDFHIXODQG&RRSHUDWLYH&DPERGLDDQG&33&DPERGLDQ3HRSOH3DUW\ODZPDNHUV
VXSSRUWHGWKHDJUHHPHQW7KH&DPERGLD'DLO\'HFHPEHU
7KH&DPERGLDQJRYHUQPHQWWKHQLQGLFDWHGWKDWLWZDVUHDG\WRPHHWWKHFRQFHUQV
UDLVHGE\WKH81E\DPHQGLQJWKHODZRQWKH([WUDRUGLQDU\&KDPEHUVWRWU\.KPHU
5RXJHOHDGHUV(&'./DZ,QUHWXUQWKH6HFUHWDU\*HQHUDOVDLGWKDWLQRUGHUWRUHQHZ
WKHQHJRWLDWLRQVLWUHTXLUHGDPDQGDWHIURPWKH*HQHUDO$VVHPEO\RU6HFXULW\&RXQFLO
2QO\WKHQZRXOGWKH6HFUHWDU\*HQHUDOGLVFXVVIXUWKHUZLWKWKH&DPERGLDQJRYHUQPHQW
RQKRZWRIXO¿OOWKHPDQGDWH7KH6HFUHWDU\*HQHUDOQRWHGWKDW³$VDVRYHUHLJQVWDWH
&DPERGLDKDVWKHUHVSRQVLELOLW\IRUWKHWULDOZKLOHWKHLQWHUQDWLRQDOFRPPXQLW\WKURXJK
WKH8QLWHG1DWLRQVRURWKHUZLVHFDQKHOSSURYLGHGWKDWWKH*RYHUQPHQWGHPRQVWUDWHV
LWVSUHSDUHGQHVVWRHQVXUHWKHREVHUYDQFHRILQWHUQDWLRQDOVWDQGDUGVRIMXVWLFH´81
1HZV&HQWHUUHWULHYHGRQ1RYHPEHUIURPKWWSZZZXQRUJ1HZV3UHVV
GRFV6*60GRFKPW
,Q'HFHPEHUWKH6HFUHWDU\*HQHUDOVHQWDOHWWHUWRWKH3ULPH0LQLVWHU
+XQ6HQWRLQYLWHWKH&DPERGLDQGHOHJDWLRQIRUDQH[SORUDWRU\PHHWLQJOHDGLQJWRWKH
QHZURXQGRIWDONVRQWKHHVWDEOLVKPHQWRIDVSHFLDOFRXUWWRWU\.KPHU5RXJHOHDGHUV
7KH&DPERGLDQJRYHUQPHQWDFFHSWHGWKLVLQYLWDWLRQ,Q-DQXDU\WKHWZRVLGHV
WKH81DQGWKH&DPERGLDQJRYHUQPHQWFRQFOXGHGH[SORUDWRU\WDONVZLWKDUHODWLYHO\
VXFFHVVIXORXWFRPH,Q0DUFKWKHWZRVLGHVUHDFKHGDGUDIWDJUHHPHQWUHJDUGLQJ
WKHHVWDEOLVKPHQWRIWKHFRXUWDVSDUWRIWKH&DPERGLDQFRXUWZKLFKZRXOGEHFRPSRVHG
RIWZRFKDPEHUVWKH7ULDO&RXUWDQG6XSUHPH&RXUWFRQWDLQLQJDPL[RILQWHUQDWLRQDO
DQGGRPHVWLFMXGJHV7KHGHFLVLRQRIWKHFRXUWUHTXLUHGDWOHDVWRQHDSSURYDOIURPWKH
IRUHLJQMXGJHV,Q0D\WKH*HQHUDO$VVHPEO\DGRSWHGE\FRQVHQVXVDUHVROXWLRQ
FRQWDLQLQJWKHGUDIWDJUHHPHQW,Q-XQHWKH81DQGWKH&DPERGLDQJRYHUQPHQW
VLJQHGDQDJUHHPHQWWRSURVHFXWHXQGHU&DPERGLDQODZWKH.KPHU5RXJHOHDGHUVZKR
KDGFRPPLWWHGFULPHVEHWZHHQ$SULODQG-DQXDU\
7KH &DPERGLDQ VLGH PDGH VRPH DPHQGPHQWV WR WKH (&'. /DZ LQ
FRPSOLDQFHZLWKWKH815*&GUDIW$JUHHPHQWPHQWLRQHGDERYH,Q2FWREHUWKH
&DPERGLDQ1DWLRQDO$VVHPEO\DGRSWHGERWKWKHDPHQGHG(&'./DZDQGWKH815*&
−118−
$JUHHPHQW2Q$SULOWKHDJUHHPHQWEHWZHHQWKH81DQG&DPERGLDWRVHWXS
DVSHFLDOFRXUWWRWU\WKHUHPDLQLQJ.KPHU5RXJHOHDGHUVWRRNHIIHFWSDYLQJWKHZD\IRU
WKHWULEXQDOWREHJLQLWVRSHUDWLRQV
7KH,QVWLWXWLRQDO%XLOGLQJRIWKH.KPHU5RXJH7ULEXQDO$Q$QDO\VLV
&ULPHVFRPPLWWHG E\ WKH .KPHU 5RXJH OHDGHUV DUH LQWHUQDWLRQDO FULPHV7KHUHIRUH
WKH XOWLPDWH JRDO RI WKH WULEXQDO LV WR PHHW WKH UHTXLUHPHQWV RI ERWK GRPHVWLF DQG
LQWHUQDWLRQDOMXVWLFH7KHORFDODVZHOODVWKHLQWHUQDWLRQDOFRPPXQLW\PXVWEHFRQ¿GHQW
WKDWWKHSHUSHWUDWRUVDUHEURXJKWWRMXVWLFHLQDQREMHFWLYHDQGLPSDUWLDOPDQQHU,WLV
WKHUHIRUHLPSRUWDQWWRH[DPLQHDQGDQDO\]HWKHLQVWLWXWLRQDOEXLOGLQJRIWKH.KPHU
5RXJH7ULEXQDO
2YHUYLHZRIWKH.KPHU5RXJH7ULEXQDO
7KH .KPHU 5RXJH7ULEXQDO RU WKH ([WUDRUGLQDU\ &KDPEHUV DUH VHW XS DV SDUW RI
WKH &DPERGLDQ FRXUW V\VWHP +RZHYHU WKH\ KDYH WKH VSHFLDO IHDWXUHV RI D ³PL[HG
WULEXQDO´7KHPDMRULW\RIWKHVWDIIZLOOEH&DPERGLDQ7KH\ZLOOKDYH&DPERGLDQDQG
LQWHUQDWLRQDOMXGJHVSURVHFXWRUVGHIHQVHODZ\HUVDQGFRXUWSHUVRQQHO7KH\ZLOOXVH
ERWK&DPERGLDQODZDQGLQWHUQDWLRQDOODZLQWKHSURFHHGLQJV
7KH FRXUW LV ORFDWHG LQ 3KQRP 3HQK WKH FDSLWDO RI &DPERGLD DQG LW KDV
MXULVGLFWLRQ RYHU WKH HQWLUH WHUULWRU\ RI WKH .LQJGRP RI &DPERGLD $UWLFOH RI WKH
(&'. /DZ7KLV FRXUW ZLOO RQO\ WU\ WKRVH FULPHV FRPPLWWHG IURP $SULO WR-DQXDU\$UWLFOHRIWKH(&'./DZ7KHPDQGDWHRIWKHFRXUWLVWRWU\
WKRVHPRVWUHVSRQVLEOHIRUWKHFULPHVPHQWLRQHGLQWKHODZRIWKHHVWDEOLVKPHQWRIWKH
([WUDRUGLQDU\&KDPEHUVLQWKH&RXUWVRI&DPERGLD$UWLFOHRIWKH(&'./DZ
7KHFKDPEHUVFRQVLVWRIWZROHYHOVWKDWLVWRVD\WKHUHZLOOEHDWZRWLHUFRXUW
V\VWHP7KH¿UVWOHYHOLVDWULDOFRXUWWKDWIXQFWLRQVDVDFRXUWRI¿UVWLQVWDQFHPDGHXS
RIWKUHH&DPERGLDQMXGJHVDQGWZRLQWHUQDWLRQDOMXGJHVWKHVHFRQGLVDVXSUHPHFRXUW
IXQFWLRQLQJ DV WKH DSSHOODWH FKDPEHU DQG FRXUW RI ILQDO LQVWDQFH FRPSRVHG RI IRXU
&DPERGLDQMXGJHVDQGWKUHHLQWHUQDWLRQDOMXGJHV7KH3UHVLGHQWRIHDFKRIWKHFKDPEHUV
ZLOOEH&DPERGLDQ$UWLFOHRIWKH(&'//DZ
7KH.57ZLOOXVHERWKLQWHUQDWLRQDODQGGRPHVWLFFULPLQDOFRGHV,QWHUQDWLRQDO
FULPHV FRPSULVH JHQRFLGH FULPHV DJDLQVW KXPDQLW\ JUDYH EUHDFKHV RI WKH *HQHYD
&RQYHQWLRQGHVWUXFWLRQRIFXOWXUDOSURSHUW\DQGFULPHVDJDLQVWLQWHUQDWLRQDOO\SURWHFWHG
SHUVRQV 'RPHVWLF FULPHV LQFOXGH KRPLFLGHV WRUWXUH DQG UHOLJLRXV SHUVHFXWLRQ DV
VWLSXODWHGLQWKHODZRQHVWDEOLVKLQJWKH.57
$Q$QDO\VLVRIWKH,QVWLWXWLRQDO%XLOGLQJRIWKH.KPHU5RXJH7ULEXQDO
,QDQDO\]LQJWKHLVVXHVRIMXVWLFHLQWKHFRQWH[WRIWKHLQVWLWXWLRQDOEXLOGLQJRIWKH.KPHU
5RXJH7ULEXQDO ZH QHHG WR H[DPLQH WZR LPSRUWDQW PDWWHUV7KHVH DUH VXEVWDQWLYH
FULPLQDOMXVWLFHDQGSURFHGXUDOFULPLQDOMXVWLFH
6XEVWDQWLYHFULPLQDOMXVWLFH
5HJDUGLQJVXEVWDQWLYHFULPLQDOMXVWLFHLWLVQHFHVVDU\WRFRQVLGHUWKHTXHVWLRQV
RIVXSHULRURUGHUVZKLFKGH¿QHVZKRLVXQGHUWKHRUGHUVRUVXSHUYLVLRQRIZKRPDQG
−119−
WKDWLIVXERUGLQDWHVVLPSO\REH\WKHRUGHUVWKURXJKDVHQVH³DEVROXWHUHVSRQVLELOLW\´
DQGWKHSHUFHSWLRQ RI OHJDOLW\ DQGPRUDOLW\WKHUHLVDSRVVLELOLW\RIH[FXVHGXUHVV
ZKLFKPHDQVWKHSHUSHWUDWRUVDUHIRUFHGXQGHUWKUHDWWRFRPPLWFULPHVDQG³PRUDO
SHUFHSWLRQ´ZKLFKPHDQVWKHDELOLW\WREHFHUWDLQDERXWZKDWLVPRUDOO\ULJKWRUZURQJ
LQSDUWLFXODUFLUFXPVWDQFHV0D\
7KHPDQGDWHRIWKH.57LVWRSURVHFXWHDQGWU\WKHPRVWUHVSRQVLEOHOHDGHUV
RIWKH.KPHU5RXJHUHJLPHZKLFKFRPPLWWHGFULPHVVXFKDVJHQRFLGHFULPHVDJDLQVW
KXPDQLW\JUDYHEUHDFKHVRIWKH*HQHYD&RQYHQWLRQVRI$XJXVWGHVWUXFWLRQ
RIFXOWXUDOSURSHUW\FULPHVDJDLQVWLQWHUQDWLRQDOO\SURWHFWHGSHUVRQVDQGRWKHUGRPHVWLF
FULPHVXQGHUWKH3HQDO&RGHRI&DPERGLDDGRSWHGLQZKLFKLQFOXGHVKRPLFLGH
DUWLFOHV DQG WRUWXUH DUWLFOH DQG UHOLJLRXV
SHUVHFXWLRQDUWLFOHVDQG
7KHJHQRFLGHSURYLVLRQLVRQHRIWKHPRVWGLI¿FXOWLVVXHVIRUWKHFRXUWWRGHFLGH
)URPDKDUGOLQHOHJDOSHUVSHFWLYHDOWKRXJKWKH9LHWQDPHVH&KDP,VODPLFJURXSLQ
&DPERGLD&KLQHVHHWKQLFVDQG%XGGKLVWPRQNVZHUHPXUGHUHGLWLVQRWDOWRJHWKHU
FOHDUZKHWKHUWKLVFRQVWLWXWHVJHQRFLGHDVGH¿QHGE\WKH*HQRFLGH&RQYHQWLRQLQ
ZKLFKLVLQFRUSRUDWHGLQWR$UWLFOHRIWKH815R\DO*RYHUQPHQWRI&DPERGLD5*&
$JUHHPHQW
7KHDFWVRIJHQRFLGHPHDQDQ\DFWVFRPPLWWHGZLWKWKHLQWHQWWRGHVWUR\LQ
ZKROHRULQSDUWDQDWLRQDOHWKQLFDOUDFLDORUUHOLJLRXVJURXSDVVXFK.LOOLQJ
PHPEHUVRIWKHJURXS&DXVLQJVHULRXVERGLO\RUPHQWDOKDUPWRPHPEHUVRI
WKHJURXS'HOLEHUDWHO\LQÀLFWLQJRQWKHJURXSFRQGLWLRQVRIOLIHFDOFXODWHGWR
EULQJDERXWLWVSK\VLFDOGHVWUXFWLRQLQZKROHRULQSDUW,PSRVLQJPHDVXUHV
LQWHQGHGWRSUHYHQWELUWKVZLWKLQWKHJURXS)RUFLEO\WUDQVIHUULQJFKLOGUHQRI
WKHJURXSWRDQRWKHUJURXS
(YHQ LQ OLJKW RI WKH IDFWV 6WHYHQ 5DWQHU SRVLWV WKDW ³WKH DUJXPHQW WKDW WKH
.KPHU5RXJHFRPPLWWHGJHQRFLGHZLWKUHVSHFWWRWKH.KPHUQDWLRQDOJURXSDSSHDUV
WREHUHODWLYHO\ZHDN´EHFDXVHWKHUHLVQRVWURQJHYLGHQFHVKRZLQJWKDWWKH.KPHU
5RXJHLQWHQGHGWRGHVWUR\DQ\QDWLRQDOHWKQLFRUUHOLJLRXVJURXSLQZKROHRULQSDUW
5DWQHU$EUDPV&DPERGLDQKLVWRULDQV0LFKDHO9LFNH\DQG
'DYLG&KDQGOHUDOVRDJUHHWKDWWKHUHLVQRFOHDULQGLFDWLRQWKDWWKH.KPHU5RXJH
FRPPLWWHG JHQRFLGH 2Q WKH RWKHU KDQG RWKHU &DPERGLDQ KLVWRULDQV VXFK DV %HQ
.LHUQDQDQGOHJDODQDO\VW+XUVW+DQQXPFRQWHQGWKDWWKH.KPHU5RXJH
DFWXDOO\GLGFRPPLWJHQRFLGH
7KHSUREOHPRI³ZKHWKHUWKH.KPHU5RXJHFRPPLWWHGJHQRFLGHZLWKUHVSHFW
WRSDUWRIWKH.KPHUQDWLRQDOJURXSWXUQVRQFRPSOH[LQWHUSUHWDWLYHLVVXHVHVSHFLDOO\
FRQFHUQLQJWKH.KPHU5RXJH¶VLQWHQWZLWKUHVSHFWWRLWVQRQPLQRULW\JURXSYLFWLPV´
81'RF$81'RF65HSRUWRIWKH*URXSRI([SHUWVIRU&DPERGLD
(VWDEOLVKHG3XUVXDQWWR*HQHUDO$VVHPEO\5HVROXWLRQ7KHUHLVQRFRQFOXVLRQ
DVWRZKHWKHUWKH.KPHU5RXJHFRPPLWWHGJHQRFLGHDQGWKHPDWWHUPXVWEHOHIWWRWKH
&RXUW7KHUHIRUHWKHTXHVWLRQRIZKHWKHUWKH.KPHU5RXJHFRPPLWWHGJHQRFLGHZLOOEH
DPDMRULVVXHIRUWKHXSFRPLQJ.57ZKLFKVKRXOGEHJLQLQSURFHHGLQJVLQ
−120−
3URFHGXUDOFULPLQDOMXVWLFH
7KH H[WUDRUGLQDU\ FKDPEHUV ZLOO DSSO\ ERWK GRPHVWLF DQG LQWHUQDWLRQDO SURFHGXUDO
UXOHV5HJDUGLQJWKHGRPHVWLFSURFHGXUDOODZ$UWLFOHRIWKH815*&$JUHHPHQW
VWLSXODWHVWKDW³WKHSURFHGXUHVKDOOEHLQDFFRUGDQFHZLWK&DPERGLDQODZ´0RUHRYHU
$UWLFOHRIWKH(&'./DZUHTXLUHVWKDWWKHWULDOVDUH³FRQGXFWHGLQDFFRUGDQFHZLWK
H[LVWLQJSURFHGXUHLQIRUFH´7KLVLVWKHFRUHFRQFHUQEHFDXVHWKHFRXUWLVGRPLQDWHGE\
&DPERGLDQODZZKLFKLVVHHQE\PDQ\QRWWREHVWURQJHQRXJKWRSURYLGHMXVWLFH
&RQFHUQLQJ WKH LQWHUQDWLRQDO SURFHGXUDO ODZ WKH 815*&$JUHHPHQW DQG WKH
(&'. /DZ LQFRUSRUDWHV$UWLFOHV DQG RI WKH ,QWHUQDWLRQDO &RYHQDQW RQ &LYLO
DQG3ROLWLFDO5LJKWV,&&35ZKLFKDUHWKHEDVLVIRULQWHUQDWLRQDOVWDQGDUGVRIMXVWLFH
,Q DGGLWLRQ$UWLFOH RI WKH 815*&$JUHHPHQW DQG WKH (&'. /DZ VWLSXODWHV
WKDW³ZKHUH&DPERGLDQODZGRHVQRWGHDOZLWKDSDUWLFXODUPDWWHURUZKHUHWKHUHLV
XQFHUWDLQW\UHJDUGLQJWKHLQWHUSUHWDWLRQRUDSSOLFDWLRQRIDUHOHYDQWUXOHRI&DPERGLDQ
ODZ RU ZKHUH WKHUH LV D TXHVWLRQ UHJDUGLQJ WKH FRQVLVWHQF\ RI VXFK D UXOH ZLWK
LQWHUQDWLRQDOVWDQGDUGVJXLGDQFHPD\DOVREHVRXJKWLQSURFHGXUDOUXOHVHVWDEOLVKHG
DWWKHLQWHUQDWLRQDOOHYHO´$UWLFOHRIWKH815*&$JUHHPHQWDQG$UWLFOHRIWKH
(&'./DZ
'XHSURFHVV
'XHSURFHVVLVRQHRIWKHQHFHVVDU\HOHPHQWVLQSURYLGLQJMXVWLFH'H)UDQFLDKROGVWKDW
³>G@XHSURFHVVLQWKHLQWHUQDWLRQDOFRQWH[WFRQFHUQVVXFKLVVXHVDVLQWHUDOLDWKHULJKW
WRFRXQVHOWKHULJKWDJDLQVWVHOILQFULPLQDWLRQWKHULJKWWRFRQIURQWZLWQHVVHVDQGWKH
JHQHUDOULJKWWRDIDLUWULDO´'H)UDQFLD$FFRUGLQJWR.LQJ³MXVWLFHLV
GXHSURFHVVZKLFKJXDUDQWHHVHTXDOLW\EHWZHHQWKHSDUWLHVUXOHVSURWHFWLQJGHIHQGDQWV
DJDLQVWHUURUUHVWUDLQWRIDUELWUDU\SRZHUDQGSUHVXPSWLRQRILQQRFHQFHDQGMXVWLFH
VKDOO DOVR LQFOXGHV GLVFUHWLRQ DQG H[SHUWLVH RI GHFLVLRQ PDNHUV LQGHSHQGHQFH IURP
SROLWLFDOFRQVLGHUDWLRQVHTXDOLW\RIDUPVSURWHFWLRQRIYLFWLPVDQGZLWQHVVHVDQGVSHHG
DQGHI¿FLHQF\RIWKHWULDOV´.LQJ7KLVLVWRVD\GXHSURFHVVLVIRXQGHGXSRQ
FRPSHWHQFHLQGHSHQGHQFHLPSDUWLDOLW\RIWKHMXGJHVDQGSURVHFXWRUVULJKWVRIWKH
GHIHQGDQWVHTXDOLW\RIDUPVSURWHFWLRQRIYLFWLPVDQGZLWQHVVHVH[SHGLWLRXVQHVVRIWKH
WULDOVDQGSXEOLFSDUWLFLSDWLRQ
&RPSHWHQFH,QGHSHQGHQFHDQG,PSDUWLDOLW\RIWKH-XGJHV
7KH FRPSHWHQFH LQGHSHQGHQFH DQG LPSDUWLDOLW\ RI WKH MXGJHV DUH WKH GHWHUPLQDQW
IDFWRUVLQSURYLGLQJMXVWLFHDQGIDLUWULDOV$UWLFOHRIWKH815*&$JUHHPHQWDQG
$UWLFOHRIWKH(&'./DZRQWKHDSSRLQWPHQWRIMXGJHVVWLSXODWHWKDWDOOMXGJHVRI
WKH([WUDRUGLQDU\&KDPEHUVKDOOSRVVHVV³KLJKPRUDOFKDUDFWHUDVSLULWRILPSDUWLDOLW\
DQGLQWHJULW\LQGHSHQGHQWLQWKHSHUIRUPDQFHRIWKHLUIXQFWLRQVDQGVKDOOQRWDFFHSW
RUVHHNDQ\LQVWUXFWLRQVIURPDQ\JRYHUQPHQWRUDQ\RWKHUVRXUFH´6LPLODUO\$UWLFOH
RIWKH815*&$JUHHPHQWDQG$UWLFOHRIWKH(&'./DZRQ&RSURVHFXWRUVVWDWH
WKDWODWWHUVKDOOKDYH³KLJKPRUDOFKDUDFWHUDQGLQWHJULW\DQGZKRDUHH[SHULHQFHGLQWKH
FRQGXFWRILQYHVWLJDWLRQVDQGSURVHFXWLRQVRIFULPLQDOFDVHV´DQGVKDOOEH³LQGHSHQGHQW
LQWKHSHUIRUPDQFHRIWKHLUIXQFWLRQVDQGVKDOOQRWDFFHSWRUVHHNLQVWUXFWLRQVIURPDQ\
JRYHUQPHQWRUDQ\RWKHUVRXUFH´+RZHYHULQUHDOLW\LWLVGLI¿FXOWWRKDYHLQGHSHQGHQW
DQGLPSDUWLDOMXGJHV
−121−
5LJKWVRI'HIHQGDQWV
5HVSHFWIRUWKHULJKWVRIWKHDFFXVHGFRQVWLWXWHVDQLPSRUWDQWHOHPHQWLQIDLUWULDOV7KLV
LVWKHVWDQGDUGVHWIRUWKLQ$UWLFOHVDQGRIWKH,QWHUQDWLRQDO&RYHQDQWRQ&LYLO
DQG3ROLWLFDO5LJKWVDQGWKHVHWZRDUWLFOHVDUHLQFRUSRUDWHGLQ$UWLFOHRIWKH81
5*&$JUHHPHQWDQGLQ$UWLFOHRIWKH/DZRQWKH(VWDEOLVKPHQWRIWKH.KPHU5RXJH
7ULEXQDOVWDWLQJWKDW7KH([WUDRUGLQDU\&KDPEHUVRIWKHWULDOFRXUWVKDOOSHUIRUPLWV
MXULVGLFWLRQLQDFFRUGDQFHZLWKWKHSURFHGXUHVRILQWHUQDWLRQDOMXVWLFHIDLUQHVVDQG
GXHSURFHVVRIODZDVUHIHUUHGWRLQ$UWLFOHDQGRIWKH,QWHUQDWLRQDO&RYHQDQWRQ
&LYLODQG3ROLWLFDO5LJKWV+RZHYHUWKHUHLVVWLOODVKRUWDJHRIDFFHVVIRUGHIHQGDQWVWR
HQJDJHDGHIHQVHFRXQVHO
(TXDOLW\RI$UPV
$QWRQLR&DVVHVHVWUHVVHVWKHLPSRUWDQFHRIHTXDOLW\EHWZHHQSDUWLHVLQ
HQVXULQJIDLUQHVVDQGMXVWLFHLQWKHWULDOV7RHQVXUHWKHHTXDOLW\RIDUPV.57PXVW
PDLQWDLQDQHTXDOSRVLWLRQEHWZHHQWKHGHIHQVHDQGWKHSURVHFXWLRQWKURXJKRXWWKHWULDO
7KLVPHDQVWKDWERWKVLGHVPXVWKDYHDQHTXDOULJKWDQGRSSRUWXQLW\WRSUHVHQWWKHLU
FDVHHTXDODFFHVVWRHYLGHQFHDQGZLWQHVVWHVWLPRQ\DQGHTXDOULJKWVDQGSULYLOHJHV
EHIRUHWKHFRXUW7KHVHHOHPHQWVRIHTXDOLW\RIDUPVDUHHQVKULQHGLQ$UWLFOHV
DQGRIWKH(&'./DZ
3URWHFWLRQRI9LFWLPVDQG:LWQHVVHV
9LFWLPV DQG ZLWQHVVHV FDQ EH ZHOO SURWHFWHG DW WKH .57$UWLFOH SDUDJUDSK RI
WKH(&'./ODZVWLSXODWHVWKDW³WKHFRXUWVKDOOSURYLGHWKHSURWHFWLRQRIYLFWLPVDQG
ZLWQHVVHV´,QDGGLWLRQ$UWLFOHSURYLGHVWKDW³WKHDFFXVHGVKDOOEHSUHVXPHGLQQRFHQW
DVORQJDVWKHFRXUWKDVQRWJLYHQLWVGH¿QLWLYHMXGJPHQW´DQG$UWLFOHJLYHVWKHULJKW
WRWKHDFFXVHGWRDSSHDODJDLQVWWKHGHFLVLRQRIWKHFRXUW
3DUWLFLSDQWVLQDVHPLQDURQWKH.KPHU5RXJHWULDORQ0DUFKFDOOHGXSRQWKH
&DPERGLDQ JRYHUQPHQW WR WDNH VWHSV WR VDIHJXDUG WKH LGHQWLWLHV RI SRVVLEOH .KPHU
5RXJH7ULEXQDOZLWQHVVHVDQGWRHVWDEOLVKDIXQGWRFRPSHQVDWHYLFWLPV7KH\DOVR
QRWHGWKDWSRWHQWLDOZLWQHVVHVDQGYLFWLPVKDYHH[SUHVVHGIHDUVIRUWKHLUVDIHW\)RUWKLV
UHDVRQWKH81DQG&DPERGLDDJUHHGWKDWWKH&DPERGLDQJRYHUQPHQWZRXOGSURYLGH
WKHQHFHVVDU\VHFXULW\DWWKHWULEXQDO7KH&DPERGLD'DLO\0DUFK
([SHGLWLRXVQHVVRI3URFHHGLQJV
2QHRIWKHFRQFUHWHUHTXLUHPHQWVRIDIDLUWULDOLVWKDWWULDOSURFHHGLQJVEHDVH[SHGLWLRXV
DVSRVVLEOH&DVVHVH7KH([WUDRUGLQDU\&KDPEHUVPD\KDYHVRPHGLI¿FXOW\
IXOILOOLQJWKLVUHTXLUHPHQWGXHWRWKHH[LVWLQJVWUXFWXUHRIWKHFRXUWZKLFKPDNHVLW
KDUGWRUHDFKDGHFLVLRQ3DUWLFXODUO\WKHSRWHQWLDOGLVSXWHVEHWZHHQWKH&DPERGLDQ
DQGIRUHLJQ FRSURVHFXWRUV DQG LQYHVWLJDWLQJ MXGJHV RYHU YDULRXV LVVXHV FRQFHUQLQJ
WKHVWDQGDUGRIMXVWLFHPD\EHWLPHFRQVXPLQJDQGGLI¿FXOWWRRYHUFRPH6LPLODUO\LI
WKHLQWHUQDWLRQDOMXGJHVIDLOWRKDQGGRZQDGHFLVLRQD¿QDOYHUGLFWFDQQRWEHUHDFKHG
ZKLFKZRXOGH[WHQGWKLQJVLQGH¿QLWHO\
2XWUHDFKRU3XEOLF$FFHVV
³3XEOLFLW\ RI WKH KHDULQJV LV FOHDUO\ D PHDQV RI EHWWHU HQVXULQJ WKDW WKH WULDO
EHLQJXQGHUSXEOLFVFUXWLQ\EHIDLULQSDUWLFXODUWKDWWKHULJKWVRIWKHDFFXVHGDUHQRW
LQIULQJHGDQGWKDWWKHFRXUWFRQGXFWVWKHSURFHHGLQJVLPSDUWLDOO\´&DVVHVH
−122−
7KLVSULQFLSOHLVVWLSXODWHGLQ$UWLFOHRIWKHODZRQWKHHVWDEOLVKPHQWRIWKH.57
ZKLFKUHDGV³7ULDOVVKDOOEHSXEOLFDQGRSHQWRUHSUHVHQWDWLYHVRIIRUHLJQVWDWHVRIWKH
6HFUHWDU\*HQHUDORIWKH8QLWHG1DWLRQVRIWKHPHGLDDQGRIQDWLRQDODQGLQWHUQDWLRQDO
QRQJRYHUQPHQWRUJDQL]DWLRQVXQOHVVLQH[FHSWLRQDOFLUFXPVWDQFHVWKH([WUDRUGLQDU\
&KDPEHUVGHFLGHWRFORVHWKHSURFHHGLQJVIRUJRRGFDXVHLQDFFRUGDQFHZLWKH[LVWLQJ
SURFHGXUHVLQIRUFHZKHUHSXEOLFLW\ZRXOGSUHMXGLFHWKHLQWHUHVWVRIMXVWLFH´
&RPSRVLWLRQRIWKH.KPHU5RXJH7ULEXQDO
7KH HIIHFWLYH SDUWLFLSDWLRQ RI LQWHUQDWLRQDO MXGJHV SURVHFXWRUV DQG RWKHU OHJDO DQG
DGPLQLVWUDWLYHRIILFHUVLVQHFHVVDU\WRLPSURYHWKHVWDQGDUGRIMXVWLFHRIWKH.KPHU
5RXJHFRXUW$VVXUHG RI NH\ LQWHUQDWLRQDOSDUWLFLSDWLRQ&DPERGLDQVRFLHW\ZLOOEH
PRUHZLOOLQJWRDFFHSWWKHUHVXOWDVIDLUDQGMXVW6DQ-RVH0HUFXU\1HZV&DOLIRUQLD
1RYHPEHU ,QWHUQDWLRQDO VDIHJXDUGV ZLOO KHOS HQVXUH FUHGLEOH MXVWLFH LQ
&DPERGLD1HZ<RUN7LPHV'HFHPEHU0RUHRYHU<DVXVKL$NDVKL
&KDLUPDQRIWKH-DSDQ&HQWHUIRU&RQIOLFW3UHYHQWLRQ-&&3H[SUHVVHGKLVUHODWLYH
RSWLPLVP DERXW WKH .57 EHFDXVH RI WKH SDUWLFLSDWLRQ RI LQWHUQDWLRQDO MXGJHV DQG
SURVHFXWRUVLQWKH.KPHU5RXJHFRXUWV\VWHP
7KH .KPHU 5RXJH7ULEXQDO LV FRPSRVHG RI WZR FKDPEHUV D WULDO FKDPEHU
DQG D VXSUHPH FKDPEHU7KH WULDO FKDPEHU FRQVLVWV RI WKUHH &DPERGLDQ DQG WZR
LQWHUQDWLRQDOMXGJHVDQGWKHUHDUHIRXU&DPERGLDQDQGWKUHHLQWHUQDWLRQDOMXGJHVLQWKH
VXSUHPHFKDPEHU7KHSUHVLGHQWRIHDFKFKDPEHULVWREHD&DPERGLDQQDWLRQDO7KH
GHFLVLRQDQGMXGJPHQWVQHHGD³VXSHUPDMRULW\´ZKLFKPHDQVWKH\QHHGWKHPDMRULW\
RIDIILUPDWLYHYRWHVIURPWKHMXGJHVSOXVRQHRULQRWKHUZRUGVLQWKH7ULDO&RXUWDW
OHDVWIRXUYRWHVDUHQHHGHGDQGLQWKH6XSUHPH&RXUWDWOHDVW¿YHYRWHVDUHQHHGHG,W
PHDQVWKDWDWOHDVWRQHDSSURYLQJYRWHIURPLQWHUQDWLRQDOMXGJHPXVWEHREWDLQHGEHIRUH
PDNLQJGHFLVLRQDQGMXGJPHQW$UWLFOHDQGRIWKH(&'./DZ
7KHUHDUHWZRFRSURVHFXWRUVRQH&DPERGLDQDQGRQHLQWHUQDWLRQDOZRUNLQJ
WRJHWKHUWR³SUHSDUHLQGLFWPHQWVDJDLQVWWKHVXVSHFWVLQWKH([WUDRUGLQDU\&KDPEHUV´
$UWLFOHRIWKH(&'./DZDQGWKHFRSURVHFXWRUV³LQWKHWULDOFKDPEHUVKDOOKDYH
WKHULJKWWRDSSHDOWKHYHUGLFWRIWKHH[WUDRUGLQDU\FKDPEHURIWKHWULDOFRXUW´$UWLFOH
RIWKH(&'./DZ,IWKHUHLVDGLVDJUHHPHQWRQHRIWKHPFDQEULQJWKHFDVHWRWKHSUH
WULDOFKDPEHURI¿YHMXGJHVWKUHH&DPERGLDQMXGJHVDQGWZRIRUHLJQMXGJHVWRUHFHLYH
DGHFLVLRQ$UWLFOHRIWKH(&'./DZ
7KHUHDUHWZR&RLQYHVWLJDWLQJMXGJHVRQH&DPERGLDQDQGRQHLQWHUQDWLRQDO
ZKRVHGXW\LVWRFDUU\RXWWKHLQYHVWLJDWLRQV$VLQWKHFDVHRIFRSURVHFXWRUVLIWKHUH
LVGLVDJUHHPHQWRUFRQÀLFWEHWZHHQWKHWZRFRLQYHVWLJDWLQJMXGJHVVHWWOHPHQWFDQEH
IRXQGE\UHIHUULQJWKHPDWWHUWRWKHSUHWULDOFKDPEHU$UWLFOHRIWKH(&'./DZ
7KHUH LV D SUREOHP LQ WKH GHFLVLRQ PDNLQJ SURFHVV LQ WKH FRQWH[W RI WKH
LQVWLWXWLRQDOEXLOGLQJRIWKH.57,IWKHMXGJHVFDQQRWUHDFKDXQDQLPRXVDJUHHPHQW
WKHQDGHFLVLRQUHTXLUHVDVXSHUPDMRULW\PRGHO6XFKDPRGHOJLYHVPRUHSRZHUWRWKH
&DPERGLDQMXGJHVWKDQWRWKHLQWHUQDWLRQDOMXGJHV7KDWLVWRVD\WKH&DPERGLDQMXGJHV
DUHJLYHQPRUHSRZHUWKDQWKHLQWHUQDWLRQDOMXGJHVWRGHFLGHZKHWKHUDQDFFXVHGSHUVRQ
LVJXLOW\RUQRW
−123−
%DUULHUVWR-XVWLFHLQWKH.KPHU5RXJH7ULEXQDO
7KHUHKDVEHHQPXFKFRQFHUQUHJDUGLQJWKHHVWDEOLVKPHQWRIWKHFRXUWLQWKLVIDVKLRQ
VLQFHLWLVGRPLQDWHGE\WKH&DPERGLDQMXGLFLDOV\VWHP7KHLVVXHRI³MXVWLFH´OLHVDWWKH
FRUHRIWKHFRQFHUQVIHOWE\PDQ\SHRSOH7KHUHWLUHG.LQJ1RURGRP6LKDQRXNZDUQHG
RIDSRVVLEOHUHYROWDJDLQVWWKHJRYHUQPHQWLISHRSOHIHHOWKDWLQMXVWLFHKDVEHHQGRQHWR
WKH.KPHU5RXJHOHDGHUV7KH&DPERGLD'DLO\-DQXDU\WKLVDUJXPHQWPD\
QRWEHZHOOIRXQGHGVLQFHWKHIRUPHU.KPHU5RXJHIRUFHVQRZFRQVLVWRIQRWKLQJPRUH
WKDQDIHZDJLQJLQGLYLGXDOV,QDGGLWLRQ&KHD6LP3UHVLGHQWRI6HQDWHDQGRIWKH
&DPERGLDQ3HRSOH¶V3DUW\VWDWHGWKDWRQO\DVXFFHVVIXOLPSOHPHQWDWLRQRIWKHFRXUWFDQ
KDYHPHDQLQJIRU&DPERGLDQSHRSOH7KH1DWLRQ-XQH:KDWLVLPSRUWDQW
KHUH LV KRZ WR LPSOHPHQW WKH SURFHHGLQJV VXFFHVVIXOO\ DQG SURYLGH DQ DFFHSWDEOH
LQWHUQDWLRQDOVWDQGDUGRIMXVWLFH
7KH LQVWLWXWLRQDO EXLOGLQJ RI WKH .57 FDQ JXDUDQWHH WR D ODUJH H[WHQW WKDW
LQWHUQDWLRQDOVWDQGDUGVRIMXVWLFHDUHREVHUYHG7KHLQFRUSRUDWLRQRI$UWLFOHVDQG
RI WKH ,&&35 LQWR WKH ODZ RQ WKH HVWDEOLVKPHQW RI WKH FRXUW WKH LQWHUQDWLRQDO
SDUWLFLSDWLRQ LQ WKH FRXUW WKH SURYLVLRQV UHJDUGLQJ WKH LQWHJULW\ RI WKH FRXUW DQG
WKHSULQFLSOHVWRSURWHFWYLFWLPVDQGZLWQHVVHVDUHHVSHFLDOO\QRWDEOHLQWKLVUHJDUG
+RZHYHULQUHDOLW\VLQFHWKHFRXUWLVGRPLQDWHGE\WKH&DPERGLDQFRXUWV\VWHPWKHUH
DUHVRPHOLPLWDWLRQVLQWHUPVRISURYLGLQJMXVWLFH
7KH:HDN&DPERGLDQ-XGLFLDO6\VWHP
.DVVLH1HRXWKH'LUHFWRURIWKH&DPERGLDQ,QVWLWXWHIRU+XPDQ5LJKWVZKHQDVNHG
DERXWWKHHVWDEOLVKPHQWRIWKH.57DQGWKHLVVXHRIMXVWLFHHPSKDVL]HGWKDW³UHDOMXVWLFH
ZLOOQRWEHSRVVLEOHXQOHVVDVWURQJMXGLFLDOV\VWHPZLWKDWUXO\LQGHSHQGHQWMXGLFLDU\LV
YHU\ZHOOLQSODFH´FLWHGLQ0DUNV/DR0RQJ+D\SROLWLFDODQDO\VWDQG
'LUHFWRURI&DPERGLDQ'HYHORSPHQW&HQWUHLQVLVWVWKDWWKH&DPERGLDQMXGLFLDOV\VWHP
LVH[WUHPHO\FRUUXSW86$7RGD\0DUFK7KH8QLWHG6WDWHVFODLPVWKDWWKH
.57 FDQQRW PHHW WKH LQWHUQDWLRQDO VWDQGDUG RI MXVWLFH EHFDXVH RI WKH ZHDN MXGLFLDO
V\VWHPLQ&DPERGLD92$1HZVUHWULHYHGRQ$XJXVWIURPZZZYRDQHZV
FRPNKPHU6DPUDLQV\3DUW\PHPEHUVWRRKDYHLQGLFDWHGWKHLUPLVWUXVWLQWKH.57
EHFDXVHMXGJHVDUHDSSRLQWHGE\WKH6XSUHPH&RXQFLORI0DJLVWUDF\DERG\ZKLFKLV
YLHZHGE\PDQ\LQFOXGLQJ.LQJ1RURGRP6KLKDQRXNDVFRUUXSW7KH&DPERGLD'DLO\
'HFHPEHU$PQHVW\,QWHUQDWLRQDO+XPDQ5LJKWV:DWFKDQGVRPHRWKHU
KXPDQULJKWVJURXSVERWKLQVLGHDQGRXWVLGH&DPERGLDKDYHTXHVWLRQHGWKHREMHFWLYLW\
DQGFRPSHWHQFHRI&DPERGLDQMXGJHVWRWU\IRUPHU.KPHU5RXJHOHDGHUV'LSORPDWV
³UHPDLQXQFRQYLQFHGWKDWWKHLPSRYHULVKHG&DPERGLDQSHRSOHZRXOGVHHMXVWLFHIRU
WKHJHQRFLGHLQZKLFKDOPRVWDTXDUWHURIWKHSRSXODWLRQZHUHNLOOHGRUGLHG
IURPGLVHDVHDQGVWDUYDWLRQ´*XDUGLDQ0D\(YHQRUGLQDU\&DPERGLDQVDUH
ZRUULHGDQGH[SUHVVFRQFHUQRYHUWKHFUHGLELOLW\RIWKH.KPHU5RXJH7ULEXQDO7KH
&DPERGLD 'DLO\ 6HSWHPEHU 7KHUHIRUH LW LV QHFHVVDU\ WR LQYHVWLJDWH WKH
MXGLFLDOV\VWHPLQ&DPERGLDLQRUGHUWRGHWHUPLQHZKHWKHUWKH.57FDQSURYLGHMXVWLFH
XQGHUWKHFXUUHQWV\VWHP
7KHMXGLFLDOV\VWHPLQ&DPERGLDZDVWRWDOO\GHVWUR\HGE\WKH.KPHU5RXJH
UHJLPH0DQ\MXGJHVDQGODZ\HUVZHUHH[WHUPLQDWHG*LYHQWKHODFNRIFRPSHWHQWOHJDO
RI¿FHUVIRUPHUWHDFKHUVZKRUHSUHVHQWHGWKHODUJHVWJURXSRIHGXFDWHGSHRSOHVXUYLYLQJ
−124−
IURPWKH.KPHU5RXJHJHQRFLGHZHUHUHFUXLWHGWREHFRPHMXGJHVDQGSURVHFXWRUV
7KXVWKHVHMXGJHVDQGSURVHFXWRUVGRQRWKDYHOHJDOEDFNJURXQGWRSURSHUO\IXO¿OOWKHLU
UHVSRQVLELOLW\.DWRHWDO1HLOVRQ
0RUHRYHUWKH&DPERGLDQMXGLFLDOV\VWHPLVKHDYLO\LQÀXHQFHGE\WKHVRFLDOLVW
OHJDO V\VWHP DQG VXEVWDQWLYH ODZV RI WKH &DPERGLDQ OHJDO V\VWHP IURP WKH V
7KHODFNRIFRPSHWHQWOHJDORIILFHUVWRJHWKHUZLWKDFHQWUDOL]HGDQGFRPPXQLVWW\SH
RISROLF\JDYHWKH0LQLVWU\RI-XVWLFH02-DGRPLQDQWUROHLQMXGLFLDOV\VWHP7KLV
OHJDF\RIFRQWURORYHUWKHMXGLFLDU\E\WKH0LQLVWU\RI-XVWLFHVWLOOH[LVWVWRGD\GHVSLWH
SURJUHVVLQUHIRUPLQJWKHVWUXFWXUHRIWKH-XGLFLDU\.DWRHWDO
7KH FXUUHQW &DPERGLDQ MXGLFLDO V\VWHP LV DQ RXWFRPH RI WKH ILUVW QDWLRQDO
JHQHUDOHOHFWLRQLQZKHQDQHZ&RQVWLWXWLRQZDVSURPXOJDWHG7KH&RQVWLWXWLRQ
VWDWHVWKDWWKHOHJLVODWLYHH[HFXWLYHDQGMXGLFLDOSRZHUVVKDOOEHLQGHSHQGHQWIURPHDFK
RWKHU³7KHMXGLFLDU\LVWREHLPSDUWLDODQGSURWHFWWKHULJKWVDQGIUHHGRPVRIFLWL]HQV´
7KH6XSUHPH&RXQFLORIWKH0DJLVWUDF\FKDLUHGE\WKH.LQJLVHQWLWOHGWRDSSRLQW
MXGJHVDQGSURVHFXWRUV+RZHYHULQSUDFWLFHWKHFRXUWLVVWLOOYHU\PXFKGRPLQDWHGE\
WKHH[HFXWLYH0DUNV)RULQVWDQFHERWKWKH0LQLVWU\RI-XVWLFHDQGWKHMXGLFLDO
V\VWHPDUHVWURQJO\LQÀXHQFHGE\WKH0LQLVWU\RI,QWHULRUDQGWKHPLOLWDU\,IPHPEHUV
RIWKHVHFXULW\IRUFHVWKHPVHOYHVFRPPLWFULPHVWKHFRXUWVGRQRWKDYHWKHFRXUDJHRU
WKHUHVRXUFHVWREULQJWKHPWRMXVWLFH)XUWKHUPRUHPDQ\SHRSOHDUJXHWKDWWKH6XSUHPH
&RXQFLORIWKH0DJLVWUDF\HVWDEOLVKHGLQLVVWURQJO\GRPLQDWHGE\WKHUXOLQJ
&DPERGLDQ3HRSOH¶V3DUW\&33JLYHQWKDWPHPEHUVRIWKH6XSUHPH&RXQFLOZLWK
WKHH[FHSWLRQRIWKH.LQJDQGWKH0LQLVWHURI-XVWLFHDUHSURVHFXWRUVDQGMXGJHVZKR
KDYHEHHQDSSRLQWHGE\WKH&33$VDUHVXOWPRVWPHPEHUVRIWKH6XSUHPH&RXQFLO
KDYHFRQQHFWLRQVZLWKWKH&33,WLVWKXVHDV\IRUWKHPWREHLQÀXHQFHGE\SROLWLFLDQV
IURPWKH&33GXHWRWKHDEVHQFHRIDQ\UHSUHVHQWDWLRQIURPRWKHUSROLWLFDOSDUWLHVRUDQ\
VHFWRULQGHSHQGHQWRISROLWLFV1HLOVRQ
7KLVZHDNQHVVRIWKH&DPERGLDQMXGLFLDU\WKHIDFWWKDWLWLVVXEMHFWWRSROLWLFDO
LQÀXHQFHDQGWKHIDFWWKDWWKH&DPERGLDQSROLFHGRQRWUHVSHFWWKHULJKWVRIVXVSHFWV
PD\PDNHLWGLI¿FXOWIRUWKH.KPHU5RXJH7ULEXQDOZKLFKLVSDUWRIWKH&DPERGLDQ
FRXUWV\VWHPWRSURYLGHLQWHUQDWLRQDOVWDQGDUGVRIMXVWLFH
7KH,VVXHRIWKH&RPSHWHQFH,QGHSHQGHQFHDQG,PSDUWLDOLW\RIWKH&RXUW
7KH FRPSHWHQFH RI WKH MXGJHV LV RQH RI WKH SULQFLSDO SUREOHPV RI WKH &DPERGLDQ
MXGLFLDU\7KHODFNRILPSDUWLDOLW\DQGLQGHSHQGHQFHRIWKHMXGJHVDQGFRXUWRIILFLDOV
DOVRSRVHREVWDFOHVLQSURYLGLQJMXVWLFH)RULQVWDQFHFRXUWRIILFLDOVDWWHQGLQJD81
IXQGHGOHJDOWUDLQLQJFRXUVHFRQYHQHGLQSUHSDUDWLRQIRUWKH.KPHU5RXJH7ULEXQDO
KDYHEHHQFULWLFL]HGE\KXPDQULJKWVDQGOHJDOH[SHUWVDVODFNLQJLQGHSHQGHQFH7KH
&DPERGLD'DLO\0D\
$V QRWHG HDUOLHU WKH PDLQ SUREOHP ZKLFK FRXOG FRPSURPLVH LQWHUQDWLRQDO
VWDQGDUGVRIMXVWLFHDWWKH.KPHU5RXJH7ULEXQDOLVWKDWWKH&DPERGLDQMXGJHVZLOOIRUP
DPDMRULW\RIWKHFRXUWDQGWKDWWKHMXGLFLDOV\VWHPRI&DPERGLDKDVEHHQFULWLFL]HG
IRULWVORZOHYHORIFRPSHWHQFHIRUSROLWLFDOLQWHUIHUHQFHDQGFRUUXSWLRQDOORIZKLFK
XQGHUPLQHWKHUXOHRIODZ,WLVGLI¿FXOWWRSURYLGHMXVWLFHLQVXFKDQHQYLURQPHQW$V
6WURKPH\HUKDVQRWHG³>L@QDVRFLHW\WKDWKDGQHYHUEHIRUHH[SHULHQFHGUHVSHFWIRUWKH
UXOHRIODZDQGLQZKLFKWKHODZZDVZLGHO\SHUFHLYHGDV\HWDQRWKHULQVWUXPHQWIRU
ZLHOGLQJDXWKRULW\DQGFRQWURORYHUWKHLQGLYLGXDOWKHPHDQLQJRILQGHSHQGHQFHDQG
−125−
LPSDUWLDOLW\RIWKHMXGLFLDU\KDGWREHLPSDUWHGJUDGXDOO\´6WURKPH\HU0DQ\
KROGRXWOLWWOHKRSHWKDWWKH&DPERGLDQMXGJHVDQGSURVHFXWRUVFDQZRUNHIIHFWLYHO\DQG
IUHHIURPSROLWLFDOGRPLQDWLRQ
7KH/DFNRI3ROLWLFDO:LOOIURPWKH&DPERGLDQ*RYHUQPHQW
,QWHUQDWLRQDOODZHVSHFLDOO\LQWHUQDWLRQDOKXPDQLWDULDQDQGKXPDQULJKWVODZVKDVEHHQ
SURJUHVVLQJDQGHQWHULQJLQWRDQHZHUDZKLFKHPSKDVL]HVWKHVWUXJJOHIRUJOREDOMXVWLFH
7KHVHGHYHORSPHQWVKDYHEHJXQWRFKDQJHWKHSHUFHSWLRQRIVWDWHVRYHUHLJQW\*ROGVWRQH
+RZHYHUWKHGLVWDQFHZKLFKJOREDOMXVWLFHFDQUHDFKGHSHQGVRQWKHZLOOLQJQHVV
RIQDWLRQVWDWHVWRLPSOHPHQWDQGHQIRUFHVXFKJOREDOMXULVGLFWLRQ
7KH&DPERGLDQJRYHUQPHQWLVERXQGE\LWVDJUHHPHQWZLWKWKH81DQGWKH
ODZRQWKHHVWDEOLVKPHQWRIWKH.KPHU5RXJH7ULEXQDO+RZHYHUSROLWLFDOZLOOLVVWLOO
DQLVVXH7KHSROLWLFDOUHOXFWDQFHRIWKHSUHVHQWJRYHUQPHQWFDQEHDKLQGUDQFHWRWKH
VXFFHVVIXOZRUNRIWKH([WUDRUGLQDU\&KDPEHUV
9DULRXVKXPDQULJKWVJURXSVKDYHH[SUHVVHGVWURQJGRXEWVDERXWWKHFXUUHQW
&DPERGLDQJRYHUQPHQW¶VFRPPLWPHQWWRWKH.57)RULQVWDQFH6RN6DP2HXQWKH
([HFXWLYH'LUHFWRURI&DPERGLD'HIHQGHUV3URMHFW7KH&DPERGLD'DLO\-DQXDU\
,Q9XWK\'LUHFWRURIWKH&DPERGLDQ+XPDQ5LJKWV7DVN)RUFHDQG/DR
0RQJ+DL'LUHFWRURIWKH&HQWUHIRU'HYHORSPHQWRI&DPERGLDKDYHUDLVHG
FRQFHUQDERXWWKHLQWHQWLRQVRIWKH&DPERGLDQJRYHUQPHQWUHJDUGLQJWKH.577KH\
VWDWHWKDWWKH.57LVMXVWD%D\ORN%D\ORU&DPERGLDQFKLOGUHQ¶VJDPHUHIHUULQJWRWKH
ODFNRIVHULRXVDWWHQWLRQIURPWKHJRYHUQPHQW,QWHUQDWLRQDOGRQRUVKDYHDOVRH[SUHVVHG
WKHLUFRQFHUQWKDWWKH&DPERGLDQJRYHUQPHQWDSSDUHQWO\ODFNVWKHZLOOWRWU\IRUPHU
.KPHU5RXJHOHDGHUVDIWHU3ULPH0LQLVWHU+XQ6HQZDUQHGLQKLVVSHHFKWKDW³LIWKH\
GRQ¶WJLYHXVPRQH\,ZLOOQRWKDYHWKHWULDO´7KH&DPERGLD'DLO\$XJXVW
0DQ\DUJXHWKDWLWZLOOEHGLI¿FXOWWR¿QGMXVWLFHVLQFH3ULPH0LQLVWHU+XQ6HQ
GRHVQRWKDYHJRRGIDLWKRUWKHZLOOWRIROORZWKHLVVXHWKURXJK³+XQ6HQLVQRWHDJHUWR
HVWDEOLVKDFFRXQWDELOLW\DVDVWDQGDUGRI&DPERGLDQJRYHUQDQFH´/LEHUPDQ:DU
FULPHVDXWKRUDQGUHVHDUFKHU3HWHU0DJXLUHDUJXHVWKDW³WKHSURSRVHG.KPHU5RXJH
WULEXQDOLVOLNHO\WRODFNSROLWLFDOZLOODQGWKHSRWHQWLDOIRUSROLWLFDOLQWHUIHUHQFHE\WKH
&DPERGLDQJRYHUQPHQWLVJUHDW´3KQRP3HQK3RVW1RYHPEHU
7KH'HIHQVH&RXQVHO
3RWHQWLDOSUREOHPVIDFHGE\WKHGHIHQVHFRXQVHOGXULQJWKHMXGLFLDOLQYHVWLJDWLRQPD\
LQFOXGHDODFNRILQYHVWLJDWRU\UHVRXUFHVJLYHQWKDWWKHUHDUHIHZHUUHVRXUFHVIRUWKH
GHIHQVHFRXQVHOWRLQYHVWLJDWHWKDQWKHSURVHFXWLRQDQGESRVVLEOHIDLOXUHRIRI¿FLDOV
DQG RWKHU LQGLYLGXDOV WR FRRSHUDWH ZLWK WKH GHIHQVH7KLV IDLOXUH WR FRRSHUDWH PD\
KDYHUHVXOWHGIURPKRVWLOLW\UHODWLQJWRFLYLOFRQÀLFWRUIHDURIEHLQJDVVRFLDWHGZLWKD
VXVSHFWHGZDUFULPLQDO7KH.57¶VGHIHQVHFRXQVHOPD\DOVRIDFHVXFKSUREOHPVZKHQ
RUGHULQJ UHOHYDQW JRYHUQPHQW DJHQFLHV DQG SULYDWH LQGLYLGXDOV WR XQFRYHU VSHFLILF
LQIRUPDWLRQ
&RQFHUQLQJWKHDFFHVVWRGHIHQVHFRXQVHOQRQHRIWKH.57¶VODZVVSHFLI\KRZ
FRXQVHOZLOOEHIUHHO\SURYLGHGWRGHIHQGDQWVZKRDUHLQGLJHQWLHWRRSRRUWRDIIRUG
WKHLURZQODZ\HU7KXVWKH.57MXGJHVZLOOKDYHWRDSSO\WKHSURFHGXUHVHVWDEOLVKHG
XQGHUWKH&DPERGLDQFRXUWV,Q&DPERGLDWKHSUHVLGHQWRIWKH&RXUW¶VUHJLVWUDUPXVW
−126−
GHWHUPLQHDQGFHUWLI\WKDWDGHIHQGDQWLVLQGLJHQWKRZHYHUQRVWDQGDUGLVSURYLGHG
,IDGHIHQGDQWLVIRXQGLQGLJHQWWKHSUHVLGHQWRIWKHWULDOFKDPEHUZLOODVNWKH%DU
$VVRFLDWLRQZKLFKKDVDVPDOOWHDPRIODZ\HUVZKRUHSUHVHQWLQGLJHQWGHIHQGDQWV
%HVLGHVWKHVHODZ\HUVWKH%DU$VVRFLDWLRQPLJKWLQVWHDGDSSRLQWDODZ\HULQSULYDWH
SUDFWLFHRUDODZ\HUIURPRQHRIWKH1RQ*RYHUQPHQWDO2UJDQL]DWLRQV1*2VWKDW
SURYLGHOHJDOVHUYLFHVWRWKHSRRUVXFKDVWKH&DPERGLDQ'HIHQGHUV3URMHFWDQG/HJDO
$LGRI&DPERGLD,QSUDFWLFHMXGJHVRIWHQFRQWDFWRQHRIWKHVHODZ\HUVGLUHFWO\DQG
E\SDVVWKH%DU$VVRFLDWLRQ
$QRWKHUSUREOHPWKH.KPHU5RXJH7ULEXQDOPLJKWIDFHLVHQVXULQJDQHIIHFWLYH
GHIHQVHE\DFRPSHWHQWGHIHQVHFRXQVHO6X]DQQDK/LQWRQVWDWHVWKDWD³>I@DLUWULDODWWKH
.57ULEXQDOUHTXLUHVWKDWWKHUHEHFRPSHWHQWDQGH[SHULHQFHGGHIHQVHFRXQVHOVZKRDUH
DEOHZLOOLQJDQGSURYLGHGZLWKWKHPHDQVWRGHIHQGSHUVRQVIDFLQJVHYHUHSXQLVKPHQW
IRUWKHLUDOOHJHGSHUSHWUDWLRQRIWKHPRVWKHLQRXVFULPHUHFRJQL]HGE\WKHLQWHUQDWLRQDO
FRPPXQLW\´/LQWRQ7KLVSULQFLSOHLVSURYLGHGLQWKH,QWHUQDWLRQDO&RQYHQWLRQ
RQ &LYLO DQG 3ROLWLFDO 5LJKWV ,&&35 ZKLFK KROGV WKDW WKH FRXQVHO SURYLGHG WR
GHIHQGDQWV PXVW EH UHDVRQDEO\ FRPSHWHQW )RU LQVWDQFH LQ3KLOOLS Y 7ULQLGDG DQG
7REDJRFDVHDPDQFKDUJHGZLWKWKHFDSLWDOFULPHRIPXUGHUFRPSODLQHGWRWKH+XPDQ
5LJKWV&RPPLVVLRQ+5&WKDWKHZDVSURYLGHGFRXQVHORQO\WKUHHGD\VEHIRUHKLVWULDO
DQGWKDWWKHODZ\HUSURYLGHGZDVLQH[SHULHQFHG,IWKHVDPHWKLQJKDSSHQVLQWKHFRXUW
SURFHHGLQJVRIIRUPHU.KPHU5RXJHOHDGHUVWKHFDXVHRIMXVWLFHZRXOGQRWEHVHUYHG
7KHDFFXVHGFDQGHIHQGKLPVHOIKHUVHOILQSHUVRQDQGKHVKHKDVWKHULJKWWR
FKRRVHKLVKHURZQGHIHQVHFRXQVHO$UWLFOHRIWKH815*&$JUHHPHQWVWLSXODWHV
WKDW³>D@Q\ FRXQVHO ZKHWKHU RI &DPERGLDQRUQRQ&DPERGLDQQDWLRQDOLW\HQJDJHG
E\RUDVVLJQHGWRDVXVSHFWRUDQDFFXVHGVKDOOLQWKHGHIHQVHRIKLVRUKHUFOLHQWDFW
LQ DFFRUGDQFH ZLWK WKH SUHVHQW$JUHHPHQW WKH &DPERGLDQ /DZ RQ WKH 6WDWXWHV RI
WKH%DUDQG UHFRJQL]HG VWDQGDUGV DQG HWKLFV RI WKH OHJDO SURIHVVLRQ´ +RZHYHU WKH
&DPERGLDQODZRQWKH6WDWXWHVRIWKH%DUSURYLGHVWKDWRQO\&DPERGLDQODZ\HUVFDQ
UHSUHVHQWGHIHQGDQWVLQFRXUW$UWLFOHWRRIWKH&DPERGLDQ/DZRQWKH%DU7KLV
ZDV FRQILUPHG E\ .\7HFK WKH 3UHVLGHQW RI WKH &DPERGLDQ %DU$VVRFLDWLRQ ZKR
VWDWHGWKDWDIRUHLJQODZ\HUFRXOGSDUWLFLSDWHLQWKHFRXUWEXWFRXOGQRWIXOO\UHSUHVHQW
DGHIHQGDQWLQWKHFRXUWLQRWKHUZRUGVDIRUHLJQODZ\HUFDQSURYLGHDVVLVWDQFHWR
&DPERGLDQFRXQVHOZKRZLOODSSHDULQWKDWFRXUWWRGHIHQGKLVKHUFOLHQW5DGLR)UHH
$VLD.KPHU6HUYLFHUHWULHYHGRQ1RYHPEHUIURPKWWSZZZUIDRUJNKPHU
SRUGDPHDQ3URJUHVVBLQB.5BWULEXQDO
,Q'HFHPEHUGXULQJDYLVLWWR&DPERGLDWKH,QWHUQDWLRQDO%DU$VVRFLDWLRQ
,%$([HFXWLYH'LUHFWRU0DUN(OOLVVWDWHGWKDWWKLVSURYLVLRQZDVXQIDLUWRWKHDFFXVHG
VLQFHWKHODZRIWKH([WUDRUGLQDU\&KDPEHUVDOORZVFRLQYHVWLJDWRUVRUFRLQYHVWLJDWLQJ
MXGJHVEXWQRWFRIRUHLJQGHIHQVHODZ\HUV5DGLR)UHH$VLD.KPHU6HUYLFHUHWULHYHG
RQ)HEUXDU\IURPKWWSZZZUIDRUJNKPHUVDPOHQJ&HUWDLQO\WKHDFFXVHG
VKRXOGEHJLYHQIXOODFFHVVWRDQ\ODZ\HUVZKRPWKH\WUXVWWRHQVXUHMXVWLFHDQGIDLUQHVV
IRUWKHPVHOYHV
&RQFOXVLRQ
-XVWLFH ZKLFK LV D FRPPRQ JOREDO SXEOLF JRRG KDV UHFHQWO\ XQGHUJRQH PXFK
SURJUHVVLYHGHYHORSPHQW0DQ\HIIRUWVKDYHEHHQPDGHWR¿QGMXVWLFHIRUWKHYLFWLPVRI
6HHVXPPDU\RI8QLWHG1DWLRQV+XPDQ5LJKWV&RPPLWWHH¶VYLHZV&RPPXQLFDWLRQ1R
3KLOOLSY7ULQLGDGDQG7REDJR2FWREHU
−127−
LQWHUQDWLRQDOFULPHVVXFKDVJHQRFLGHFULPHVDJDLQVWKXPDQLW\DQGRWKHUZDUFULPHV
,QWHUQDWLRQDOKXPDQLWDULDQDQGKXPDQULJKWVODZKDVJRQHEH\RQGWKHERUGHUVRIVWDWH
VRYHUHLJQW\7KHYLRODWRUVUHJDUGOHVVRIZKHWKHUWKH\DUHVWDWHOHDGHUVDUHVXEMHFWWRD
FRXUWRIMXVWLFH
7KH.57LVWKHILUVWK\EULGFRXUWLQFRQWH[WRIWUDQVLWLRQDOMXVWLFHZKLFKLV
GRPLQDWHG E\ WKH GRPHVWLF FRXUW LQ ZKLFK WKHUH LV D VXSHUPDMRULW\ RI &DPERGLDQ
MXGJHVDQGSURVHFXWRUV7KHODZRQWKHHVWDEOLVKPHQWRIWKHFRXUWZKLFKLVEDVHGRQ
WKHDJUHHPHQWEHWZHHQWKH8QLWHG1DWLRQVDQGWKH5R\DO*RYHUQPHQWRI&DPERGLD
LQFOXGHV VRPH LPSRUWDQW HOHPHQWV RI LQWHUQDWLRQDO VWDQGDUG RI MXVWLFH HVSHFLDOO\
WKURXJKWKHLQFRUSRUDWLRQRI$UWLFOHVDQGRIWKH,&&35DQGWKHSDUWLFLSDWLRQ
RILQWHUQDWLRQDOMXGJHVDQGSURVHFXWRUVLQWKHFRXUWSURFHHGLQJV1HYHUWKHOHVVWKHUH
DUH REVWDFOHV VWDQGLQJ LQ WKH SDWK RI MXVWLFH7KHVH REVWDFOHV LQFOXGH WKH ODFN RI
LQGHSHQGHQFHDQGLPSDUWLDOLW\RIWKHFRXUWWKHODFNRISROLWLFDOZLOOIURPWKH&DPERGLDQ
JRYHUQPHQWGLI¿FXOWLHVLQSURYLVLRQRIDGHTXDWHGHIHQVHFRXQVHODQGRWKHUFKDOOHQJHV
RIWKHFRXUWLQJXDUDQWHHLQJWKHULJKWVRIWKHGHIHQGDQWV
$FNQRZOHGJHPHQWV
,ZRXOG OLNH WR WKDQN 3URI -RKQ %:HOILHOGDQG3URI<DPDJDPL6XVXPXIRUWKHLU
FRPPHQWVDQGHQFRXUDJHPHQW
5HIHUHQFHV
$NDVKL<DVXVKL&KDLUPDQRIWKH-DSDQ&HQWHUIRU&RQÀLFW3UHYHQWLRQ-&&3
,QWHUYLHZ1LLJDWD-DSDQ1RYHPEHU
$VVRFLDWHG3UHVV6HSWHPEHU
&DVVHVH$QWRQLR ,QWHUQDWLRQDO &ULPLQDO /DZ 1HZ<RUN 2[IRUG 8QLYHUVLW\
3UHVV
&KDQGOHU 'DYLG %URWKHU 1XPEHU 2QH$ 3ROLWLFDO %LEOLRJUDSK\ RI 3RO 3RW
%RXOGHU&2:HVWYLHZ3UHVV
'H)UDQFLD&ULVWLDQ'XHSURFHVVLQLQWHUQDWLRQDOFULPLQDOFRXUW:K\SURFHGXUH
PDWWHUV9LUJLQLD/DZ5HYLHZ
'H 1LNH +RZDUG - 4XLJOH\ -RKQ DQG 5RELQVRQ .HQQHWK - *HQRFLGH LQ
&DPERGLD 'RFXPHQWV IRU WKH WULDO RI 3RO 3RW DQG ,HQJ 6DU\ 3KLODGHOSKLD
8QLYHUVLW\RI3HQQV\OYDQLD
([FHUSWVIURP,&7<7ULDO&KDPEHU¶VWUDQVFULSWVRIGHIHQVHRSHQLQJVWDWHPHQWLQWKH
FDVH3URVHFXWRUY'XVNR7DGLF0D\
)DZWKURS7RPDQG-DUYLV+HOHQ*HWWLQJ$ZD\ZLWK*HQRFLGH"(OXVLYH-XVWLFH
DQGWKH.KPHU5RXJH7ULEXQDO/RQGRQ3OXWR3UHVV
*ROGVWRQH5LFKDUG-$'HFDGHLQKXPDQULJKWVODZ,QWHUQDWLRQDO+XPDQ5LJKWV
DQG&ULPLQDO-XVWLFHLQWKH)LUVW'HFDGHRIWKHVW&HQWXU\+XPDQ5LJKWV%ULHI
*XDUGLDQ0D\
+DQQXP +XUVW ,QWHUQDWLRQDO/DZDQG&DPERGLDQ*HQRFLGH7KH 6RXQGV RI
6LOHQFH+XPDQ5LJKWV4XDUWHUO\
,QWHUQDWLRQDO&RYHQDQWRQ&LYLODQG3ROLWLFDO5LJKWV*$UHV$;;,81
*$256XSS1RDW81'RF$8176HQWHUHG
−128−
LQWRIRUFH0DU
-DUYLV+HOHQ7ULDOVDQGWULEXODWLRQVWKHODWHVWWZLVWVLQWKHORQJTXHVWIRUMXVWLFH
IRUWKH&DPERGLDQJHQRFLGH&ULWLFDO$VLDQ6WXGLHV
.DWR7RVKL\DVX.DSODQ-HIIUH\$6RSOD&KDQDQG6RSKHDS5HDO&DPERGLD
(QKDQFLQJ *RYHUQDQFH 6XVWDLQDEOH 'HYHORSPHQW$VLDQ 'HYHORSPHQW %DQN
$'%0DQLOD7KH3KLOLSSLQHV
.HOO\0LFKDHO-1RZKHUH7R+LGH'HIHDW2I7KH6RYHUHLJQ,PPXQLW\'HIHQVH
)RU &ULPHV 2I *HQRFLGH$QG7KH7ULDOV 2I 6ORERGDQ 0LORVHYLF$QG 6DGGDP
+XVVHLQ2[IRUG3HWHU/DQJ
.LHUQDQ%HQ7KH3RO3RWUHJLPHUDFHSRZHUDQGJHQRFLGH1HZ+HDYHQ<DOH
8QLYHUVLW\3UHVV
.LQJ0LFKDHO7KH)UDPHZRUNRI&ULPLQDO-XVWLFH/RQGRQ&URRP+HOP/WG
/DR0RQJ+DL'LUHFWRURIWKH&HQWHUIRU'HYHORSPHQWRI&DPERGLDLQWHUYLHZ
3KQRP3HQK&DPERGLD-XO\
/DZRIWKH(VWDEOLVKPHQWRIWKH([WUDRUGLQDU\&KDPEHUVLQWKH&RXUWVRI&DPERGLDIRU
WKH3URVHFXWLRQRI&ULPHV&RPPLWWHGGXULQJWKHSHULRGRI'HPRFUDWLF.DPSXFKHD
(&'./DZ3KQRP3HQK&DPERGLD
/LEHUPDQ0LFKDHO6DOYDJLQJWKHUHPDLQV7KH.KPHU5RXJH7ULEXQDORQWULDO
0LOLWDU\/DZ5HYLHZ
/LQWRQ6X]DQQDK³(DVW7LPRU¶VVSHFLDOSDQHOIRUVHULRXVFULPHV´6HDUFKLQJ
IRUWKH7UXWK0DJD]LQH1XPEHU'RFXPHQWDWLRQ&HQWHURI&DPERGLD
3KQRP3HQK&DPERGLD
/XIWJODVV6FRWW&URVVURDGVLQ&DPERGLD7KH8QLWHG1DWLRQ¶VUHVSRQVLELOLW\
WR ZLWKGUDZ LQYROYHPHQW IURP WKH HVWDEOLVKPHQW RI D &DPERGLDQ7ULEXQDO WR
SURVHFXWHWKH.KPHU5RXJH9LUJLQLD/DZ5HYLHZ
0DUNV6WHSKHQ3)RUJHWWLQJWKHSROLFLHVDQGSUDFWLFHVRIWKHSDVW,PSXQLW\LQ
&DPERGLD7KH)OHWFKHU)RUXPRI:RUOG$IIDLUV
0D\,,,*HUDOG9$QXQOLNHO\FXOSULW([DPLQLQJWKH81¶VFRXQWHUSURGXFWLYH
UROHLQWKHQHJRWLDWLRQVRYHUD.KPHU5RXJH7ULEXQDO%RVWRQ&ROOHJH,QWHUQDWLRQDO
DQG&RPSDUDWLYH/DZ5HYLHZ
0D\ /DUU\ &ULPHV DJDLQVW KXPDQLW\$ QRUPDWLYH DFFRXQW &DPEULGJH
&DPEULGJH8QLYHUVLW\3UHVV
1HLOVRQ.DWKU\(7KH\NLOOHGDOOWKHODZ\HUV5HEXLOGLQJWKHMXGLFLDOV\VWHPLQ
&DPERGLD9LFWRULD%&&HQWUHIRU$VLD3DFL¿F,QLWLDWLYHV2FFDVLRQDO3DSHU
3KQRP3HQK3RVW0DUFK1RYHPEHU
5DGLR)UHH$VLD.KPHU6HUYLFHUHWULHYHGRQ1RYHPEHUKWWSZZZUIDRUJ
NKPHUSRUGDPHDQ3URJUHVVBLQB.5BWULEXQDO!
5DGLR)UHH$VLD.KPHU6HUYLFHUHWULHYHGRQ)HEUXDU\IURPKWWSZZZUID
RUJNKPHUVDPOHQJ
5DWQHU6WHYHQ5DQG$EUDPV-DVVRQ6$FFRXQWDELOLW\IRUKXPDQULJKWVDWURFLWLHV
LQ LQWHUQDWLRQDO ODZ %H\RQG WKH 1XPEHUJ OHJDF\ 2[IRUG 2[IRUG 8QLYHUVLW\
3UHVV
5REHUWVRQ *HRIIUH\ 4 & &ULPHV DJDLQVW KXPDQLW\7KH VWUXJJOH IRU JOREDO
MXVWLFH1HZ<RUN7KH1HZ3UHVV
6HDQ9LVRWK([HFXWLYH6HFUHWDU\RIWKH5R\DO7DVN)RUFHRQWKH.KPHU5RXJH
7ULDOV,QWHUYLHZ3KQRP3HQK&DPERGLD-XO\
6WURKPH\HU + &ROODSVH DQG UHFRQVWUXFWLRQ RI D MXGLFLDO V\VWHP7KH 8QLWHG
−129−
1DWLRQVPLVVLRQVLQ.RVRYRDQG(DVW7LPRU7KH$PHULFDQ-RXUQDORI,QWHUQDWLRQDO
/DZ
7KH&DPERGLD'DLO\'HFHPEHU'HFHPEHU-DQXDU\
0DUFK0D\$XJXVW6HSWHPEHU
7KH1DWLRQ-XQH
8Q 1LQJ 6SHHFK DGGUHVVHG DW WKH QDWLRQDO FRQIHUHQFH RQ WKH .KPHU 5RXJH
7ULEXQDO-XO\8QLYHUVLW\RI&DPERGLD3KQRP3HQK&DPERGLD
811HZV&HQWHUUHWULHYHGRQ1RYHPEHUKWWSZZZXQRUJ1HZV3UHVV
GRFV6*60GRFKPW!
81 'RF$ 81 'RF 6 ³5HSRUW RI WKH *URXS RI ([SHUWV IRU
&DPERGLD(VWDEOLVKHG3XUVXDQWWR*HQHUDO$VVHPEO\5HVROXWLRQ´
8QLWHG 1DWLRQV +XPDQ 5LJKWV &RPPLWWHH¶V YLHZV &RPPXQLFDWLRQ 1R 3KLOOLSY7ULQLGDGDQG7DEDJR2FWREHU
86$7RGD\0DUFK
9LFNHU\0LFKDHO&DPERGLD6\GQH\*HRUJH$OOHQDQG8QZLQ
92$1HZV.KPHU6HUYLFHUHWULHYHGRQ$XJXVWKWWSZZZYRDQHZVFRP
NKPHU!
−130−