Getting over Europe : The Construction of Europe in Serbian Culture [1 ed.] 9789042032729, 9789042032712

The book examines the discursive construction of the representation of "Europe" in the selected writings of le

182 101 4MB

English Pages 289 Year 2011

Report DMCA / Copyright

DOWNLOAD PDF FILE

Recommend Papers

Getting over Europe : The Construction of Europe in Serbian Culture [1 ed.]
 9789042032729, 9789042032712

  • 0 0 0
  • Like this paper and download? You can publish your own PDF file online for free in a few minutes! Sign Up
File loading please wait...
Citation preview

Getting Over Europe

STUDIA IMAGOLOGICA AMSTERDAM STUDIES ON CULTURAL IDENTITY 18 Serie editors

Hugo Dyserinck Joep Leerssen

agolIy m

, the study of cross-national perceptions and images as expressed in literary discourse, has for many decades been one of the more challenging and promising branches of Comparative Literature. In recent years, the shape both of literary studies and of international relations (in the political as well as the cultural sphere) has taken a turn which makes imagology more topical and urgent than before. Increasingly, the attitudes, stereotypes and prejudices which govern literary activity and international relations are perceived in their full importance; their nature as textual (frequently literary) constructs is more clearly apprehended; and the necessity for a textual and historical analysis of their typology, their discursive expression and dissemination, is being recognized by historians and literary scholars. The series Studia Imagologica, which will accommodate scholarly monographs in English, French or German, provides a forum for this literary-historical specialism.

Getting Over Europe The Construction of Europe in Serbian Culture

Zoran Milutinović

Amsterdam - New York, NY 2011 ,

Cover Image: Danube River Belgrade, Serbia. The paper on which this book is printed meets the requirements of “ISO 9706:1994, Information and documentation - Paper for documents Requirements for permanence”. ISBN: 978-90-420-3271-2 E-Book ISBN: 978-90-420-3272-9 ©Editions Rodopi B.V., Amsterdam - New York, NY 2011 Printed in the Netherlands

Contents Acknowledgments

5

Introduction

7

Cosmopolitan nationalism

37

In search of a Slav mission: authenticity and barbarity

81

The Gentlemen

119

The prophets of Europe’s downfall and rebirth

147

Oh, to be a European! What did Rastko Petroviü learn in Africa? 181 The great mechanism passes through Višegrad

205

Misunderstanding is the rule, understanding is a miracle

225

Epilogue: Barbarians

261

Dramatis personae in order of appearance

267

Bibliography

273

Index

283

$FNQRZOHGJPHQWV  0\GHHSHVWJUDWLWXGHJRHVWRWKH/HYHUKXOPH7UXVWDQG8&/ DQG66((66DEEDWLFDO/HDYH)XQGVIRUDZDUGLQJPHDIHOORZVKLSDQG SURYLGLQJ PH ZLWK LQYDOXDEOH WLPH GXULQJ ZKLFK PRVW RI WKLV ERRN ZDV ZULWWHQ 0\ PRVW KHDUWIHOW WKDQNV JR WR PDQ\ IULHQGV DQG FROOHDJXHVZKRVHVXSSRUWKHOSDQGHQFRXUDJHPHQWPDGHZULWLQJWKLV ERRNHDVLHUDQGIDVWHU6YHWODQD*DYULORYLü6UHWHQ8JULþLüDQG0LOLFD 9LQDYHU KHOSHG PH ILQG ERRNV DQG DUWLFOHV XQDYDLODEOH LQ /RQGRQ &DURO $YLQV 6WDãD %DELü 1DWDãD %DãLü 6WHSKHQ %XOPDQ (JEHUW .ODXWNH $QWRQLV /LDNRV 6FRWW /\QJDDV /MXELãD 5DMLü DQG 0L =KRX KHOSHG PH ZLWK P\ PDQ\ TXHULHV DQG JHQHURXVO\ VKDUHG WKHLU NQRZOHGJH ZLWK PH 'DQLHO $ERQGROR %RMDQ $OHNVRY -HOHQD ýDOLü 5RXPHQ 'DVNDORY $OH[ 'UDFH)UDQFLV &HOLD +DZNHVZRUWK 'LDQD 0LVKNRYD 'DYLG $ 1RUULV DQG 3HWHU =XVL UHDG SDUWV RI WKH PDQXVFULSW DQG RIIHUHG VXSSRUW HQFRXUDJHPHQW DQG IULHQGO\ FULWLFDO UHPDUNV=RULFD%HþDQRYLü1LNROLü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³,PPDJLQL GHOO (XURSD QHOOD FXOWXUD VHUED   8QD LQWURGX]LRQH PHWRGRORJLFD´ LQ 5LFHUFKH VODYLVWLFKH    &KDSWHU  ZDV RULJLQDOO\ SXEOLVKHG LQ D ORQJHU YHUVLRQ DV :KDW LV WKH µ:HVW¶" 1DWLRQDOLVP &RVPRSROLWDQLVP DQG WKH µ:HVW¶ LQ (DUO\ WK&HQWXU\ 6HUELDQ &XOWXUH 7KH &DUO %HFN 3DSHUV LQ 5XVVLDQ  (DVW (XURSHDQ 6WXGLHV &HQWHU IRU 5XVVLDQ  (DVW (XURSHDQ 6WXGLHV 8QLYHUVLW\ RI 3LWWVEXUJK   &KDSWHU  ZDV SXEOLVKHG LQ :HQG\ %UDFHZHOO DQG



*HWWLQJ2YHU(XURSH



$OH[ 'UDFH)UDQFHV HGV  8QGHU (DVWHUQ (\HV $ &RPSDUDWLYH ,QWURGXFWLRQ WR (DVW (XURSHDQ 7UDYHO :ULWLQJ RQ (XURSH %XGDSHVW1HZ«@ $OO RI WKDW GLG QRW DPRXQW WR PXFK EXW LW ZDV HYLGHQFHWKDW%HOJUDGHFXOWLYDWHGLWVHOIDQGEHJDQWRUHVHPEOHDWWKHYHU\ OHDVW &HQWUDO (XURSHDQ WRZQV 7KHQ FDPH WKH FROODSVH RI  DQG HYHU\WKLQJZKLFKIROORZHGLW  

  7KLVSDUDJUDSKIURP/D]DUHYLü¶VUHFHQWO\GLVFRYHUHGGLDU\LV LQ PDQ\ ZD\V FKDUDFWHULVWLF RI WKH ZD\ KLV JHQHUDWLRQ WKRXJKW DERXW FXOWXUH KLVWRU\ DQG (XURSH 2QH PLJKW DOVR DGG ³KLV FODVV´ /D]DUHYLü¶V FXOWXUH LV SULPDULO\ %LOGXQJVEUJHUWXP FXOWXUH ZKLFK IXVHVWRJHWKHUWKHSRVVHVVLRQRIDUHVSHFWDEOHIDPLO\OLEUDU\ZLWKJRRG TXDOLW\ IXUQLWXUH ZKLOH D VPDOO 'HJDV RU D 5HPEUDQGW RI XQFHUWDLQ DXWKHQWLFLW\ FRPHV DV D VLJQ RI VSHFLDO GLVWLQFWLRQ +HUH FXOWLYDWLRQ UHIHUV WR WKH UHPRYDO RI WKH VLJQV RI 6HUELD¶V 2WWRPDQ KHULWDJH HVSHFLDOO\LQWKHVSKHUHRIPDWHULDOFXOWXUHDQGVHHPVWREHOLPLWHGWR IROORZLQJ WKH OHDG RI WKH UHFRJQL]HG PHWURSROLVHV E\ EHLQJ LQ WKH NQRZ DERXW WKHODWHVW IDVKLRQ WUHQGV DV PXFK DV 0DHWHUOLQFN¶V ODWHVW ERRN /D]DUHYLü DFNQRZOHGJHV KLV RZQ SHULSKHUDO SRVLWLRQ WKURXJK ZKDW :HQG\ %UDFHZHOO KDV ODEHOOHG WKH ³H[WHULRULW\ FRPSOH[´ ± WKH VHQVH WKDW WKH QRUPDWLYH KRUL]RQ RI (XURSH LV VRPHZKHUH HOVH %UDFHZHOO +RZHYHUNQRZLQJRQH¶VSURSHUSODFHLVQHYHU DIDXOWKHGLGQRWWU\WRFRPSDUH%HOJUDGHWR3DULVRU%HUOLQEXWWR 9LHQQD 3UDJXH DQG %XGDSHVW DQG IRXQG WKDW KLVWRZQ GLG QRW VFRUH SRRUO\ /D]DUHYLü    %XW WKH PRVW WHOOLQJ PRPHQW LQ /D]DUHYLü¶V EULHI KLVWRULFDO UHFDSLWXODWLRQ LV LWV DGGUHVV WR DQ DEVHQW



,QWURGXFWLRQ



RWKHU +LV GLDU\ ZDV QRW LQWHQGHG IRU SXEOLFDWLRQ WKLV PDUJLQDOL]HG SRRU ORQHO\ DQG GHSUHVVHG IRUPHU UR\DO DPEDVVDGRU FRXOG QRW KDYH H[SHFWHGWKDWKLVWKRXJKWVZRXOGEHRILQWHUHVWWR DQ\RQHLQSRVWZDU FRPPXQLVW :@KHQ$XVJOHLFKWXUQHGWKH+DbVEXUJHPSLUHLQWRD'XDO0RQDUFK\WKH$XVWULDQ UHSUHVHQWDWLYHVDLGWRWKH+XQJDULDQµ«@(YHU\VWXGHQWRIOLIHRIWKHQRQ&KULVWLDQQDWLRQVLQ $VLD PD\ KDYH REVHUYHG WKDW WKHUH LV PRUH KDUPRQ\ RI OLIH PRUH LQQHU SHDFH ± QD\ PRUH KDSSLQHVV LQ WKRVH QRQ&KULVWLDQ FRPPXQLWLHV WKDQ LQ (XURSH :K\ LV WKLV VR" 7KH UHDVRQ LV TXLWH REYLRXV 7KH QDWLRQV RI $VLD VWLOONHHSUHOLJLRQDWWKHFHQWUHRIWKHLUFLYLOL]DWLRQDQGRIWKHLUOLIHZKHUHDV (XURSH KDV ORVW KHU FHQWUH DQG LV KXQWLQJ QRZ IRU D FHQWUH RQ WKH FLUFXPIHUHQFH 9HOLPLURYLü 

 (XURSHFDQQRWJRRQOLNHWKLVIRUHYHULWVHQGPXVWEHQHDU DQGLWZLOOFRPHDPLGVWDIDPLQHRIVSLULWDEUXWDOVWUXJJOHIRUZHDOWK DQG VWHDG\ SUHSDUDWLRQV IRU ZDU ³(XURSHVWDQGV LQGHHG RQ WKH YHUJH RI SHULVKLQJ´   :KDW LW ZLOO ORRN OLNH DIWHUZDUGV FDQ EH VHHQ LQ 5XVVLD UXOHG DV LW LV E\ DWKHLVWV DQG HQHPLHV RI &KULVWLDQLW\ E\ D JRYHUQPHQW ZKLFK VWDQGV IRU WKH ³DEVROXWH GLVLQWHJUDWLRQ RI KXPDQ VRFLHW\´   5XVVLD LV WKH VLWH RI WKH GHFLVLYH VWUXJJOH IRU FLYLOL]DWLRQLIWKHIRUFHVZKLFKILJKWFLYLOL]DWLRQ±ZKLFKLVWKHRWKHU QDPH IRU SDQKXPDQ &KULVWLDQLW\ ± WULXPSK LQ 5XVVLD WKHQ DOO KRSH ZLOO EH ORVW :H (XURSHDQV KDYH EXW RQH FKRLFH HLWKHU GHDWK RU VSLULWXDO UHELUWK 7KH &KULVWLDQ UHOLJLRQ PXVW EH EURXJKW EDFN WR LWV





*HWWLQJ2YHU(XURSH



 FHQWUDOSRVLWLRQLQ(XURSH¶VOLIH:HVKDOONQRZWKDWRXUFLYLOL]DWLRQLV RQFRXUVHIRUUHFRYHU\ZKHQZHVHHWKH5XVVLDQ&KXUFKFRPLQJRXWRI WKH VWUXJJOH YLFWRULRXV DQG ZKHQ ZH KHDU WKDW DOO WKH &KULVWLDQ FKXUFKHVRIWKHZRUOGKDYHPHWLQUHFRQFLOLDWRU\VSLULWDQGORYH%XW PRVW RI DOO ZKHQ ZH VHH ³WKDW WKH VSLULW RI UHOLJLRQ WKH RQO\ FRQVWUXFWLYH WKH RQO\ OLIHJLYLQJ DJHQF\ LV EHFRPLQJ WKH JXLGLQJ VSLULW RI HGXFDWLRQ LQ IDPLO\ OLIH LQ OLWHUDWXUH DQG MRXUQDOLVP LQ VKRSVLQVWUHHWVLQWRZQVDQGYLOODJHV´    +RZHYHU WKH YLFWRU\ RI &KULVWLDQLW\ ZLOO QRW FRPH DOO E\ LWVHOI 7KH GH&KULVWLDQL]DWLRQ RI (XURSH KDG EHHQ SUHILJXUHG E\ WKH GH&KULVWLDQL]DWLRQRI(XURSH¶V&KXUFK 9HOLPLURYLü 7KH )LUVW :RUOG :DU GXULQJ ZKLFK (XURSHDQ FKXUFKHV DFWHG DV VHUYDQWV RI SDWULRWLVP DQG LPSHULDOLVP UHYHDOHG WKH SRYHUW\ RI GH &KULVWLDQL]HG (XURSH ZKRVH FXOWXUH FLYLOL]DWLRQ SURJUHVV DQG PRGHUQLVP DUH EXW VFUHHQV IRULWVLQQHUHPSWLQHVV 7KH &KXUFK PXVW WDNH WKH EODPH DQG ILUVW UH&KULVWLDQL]H LWVHOI LQ RUGHU WR ILOO LQ WKH HPSW\ FHQWUH RI (XURSHDQ OLIH DJDLQ ³7KH &KXUFK PXVW JLYH DQ H[DPSOH WR (XURSH (XURSH KDV EHHQ PDWHULDOLVWLF KHURLF VFLHQWLILF WHFKQLFDOVHFXODU$WODVWVKHKDVWREHKRO\:KDWHYHUVKHKDVEHHQ VKHKDVEHHQXQKDSS\DQGUHVWOHVVDQGEUXWDODQGFULPLQDOXQMXVWDQG JOXWWRQRXV´  :KHUHWKHUHLVGDQJHUWKHUHDUHDOVRRSSRUWXQLWLHV (XURSHVWLOOKDVWLPHWRUHVWRUH&KULVWLDQLW\WRLWVFHQWUHWKHDJRQ\RI ERWK (XURSH DQG LWV FKXUFK FDQ EH UHYHUVHG WKH\ FDQ EHFRPH ZKDW WKH\VKRXOGKDYHEHHQ±D³+RO\&KXUFKLQ+RO\(XURSH´    9HOLPLURYLüEHORQJHGWRWKHEURDGVSHFWUXPRI(XURSHDQDQWL PRGHUQLVWV DV $QWRLQH &RPSDJQRQ FDOOHG WKHP RU ³FRQVHUYDWLYH UHYROXWLRQDULHV´ZKLFKLVWKHVRPHZKDWSDUDGR[LFDOEXWDSWXPEUHOOD WHUP SURPRWHG E\ )ULW] 6WHUQ &RPSDJQRQ  6WHUQ   $OWKRXJKQRWZRDXWKRUVHYHUVXFFHHGLQGHOLQHDWLQJH[DFWO\WKHVDPH LQWHOOHFWXDO SRVLWLRQ ± HYHQ ZKHQ WZR ZULWH WKH VDPH WKH\ GR QRW PHDQWKHVDPHDVDQROGKHUPHQHXWLFDOLQVWUXFWLRQFODLPV±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



7KHSURSKHWVRI(XURSH¶VGRZQIDOODQGUHELUWK



OLEHUDOLVP DV WKH FXOPLQDWLRQ RI WKH VHFXODU WUDGLWLRQ RI WKH :HVW 5RRWHGLQ*HUPDQ5RPDQWLFLVPDQGLWVDWWDFNRQPRGHUQLW\LQLWLDOO\ SURPRWHGDVDIRUPRIFXOWXUDOFULWLFLVPDQGVWUHQJWKHQHGWKURXJKWKH LQIOXHQFH RI 1LHW]VFKH DQG 'RVWRHYVN\ ± ZKR GHVSLWH WKHLU PDQ\ GLIIHUHQFHV FDQ EH UHJDUGHG DV WKH OHDGLQJ ILJXUHV RI WKLV GLYHUVH PRYHPHQW ± LQ WKH VHFRQG KDOI RI WKH QLQHWHHQWK FHQWXU\ WKH FRQVHUYDWLYH UHYROXWLRQ ZDV WUDQVIRUPHG LQWR D YDJXH SROLWLFDO LGHRORJ\RIWKHULJKW³7KHPRYHPHQWGLGHPERG\DSDUDGR[´ZULWHV 6WHUQ³LWVIROORZHUVVRXJKWWRGHVWUR\WKHGHVSLVHGSUHVHQWLQRUGHUWR UHFDSWXUHDQLGHDOL]HGSDVWLQDQLPDJLQDU\IXWXUH>«@7KH\VRXJKWD EUHDNWKURXJK WR WKH SDVW DQG WKH\ ORQJHG IRU D QHZ FRPPXQLW\ LQ ZKLFKROGLGHDVDQGLQVWLWXWLRQVZRXOGRQFHDJDLQFRPPDQGXQLYHUVDO DOOHJLDQFH´ 6WHUQ  [YL  7KH\ KHOG WKH (QOLJKWHQPHQW UHVSRQVLEOHIRUHYHU\NLQGRIFXOWXUDOLOO,QDWLPHZKHQIUHHGRPZDV RQ HYHU\ERG\¶V OLSV WKH\ EHPRDQHG WKH ORVV RI IDLWK XQLW\ DQG YDOXHV ZDUQLQJ WKDW WKH ORVV RI FRPPXQDO ERQGV FRQVWLWXWHV WKH EHJLQQLQJ RI FXOWXUDO DQG SROLWLFDO GHFDGHQFH 7KH FRQVHUYDWLYH UHYROXWLRQDULHV EODPHG FDSLWDOLVW VRFLHW\ ZLWK LWV PDWHULDOLVP DQG FRPPHUFLDOLVP IRU WKH VSLULWXDO HPSWLQHVV RI PRGHUQ OLIH ³0RVW RI WKHP WKRXJKW WKDW WKLV ZRUOG KDG EHHQ GHVWUR\HG E\ HYLO KDQGV FRQVHTXHQWO\WKH\ILUPO\EHOLHYHGLQDFRQVSLUDWLRQDOYLHZRIKLVWRU\ DQG VRFLHW\ 7KH YLOODLQ XVXDOO\ ZDV WKH -HZ ZKR PRUH DQG PRUH IUHTXHQWO\FDPHWREHGHSLFWHGDVWKHYHU\LQFDUQDWLRQRIPRGHUQLW\´ 6WHUQ  [L[  &RPSDJQRQ DOVR GHYRWHV D ZKROH FKDSWHU WR WKH DQWLVHPLWLVP RI WKH )UHQFK DQWLPRGHUQLVWV    7KH\ FKDPSLRQHG QDWLRQDOLVP FULWLFLVLQJ WKH VRFLDOLVWV IRU WKHLU LQWHUQDWLRQDOLVPDQGWKHOLEHUDOVIRUWKHLUODFNRIFRQFHUQIRUQDWLRQDO JORU\ ³7KHVH QDWLRQDOLVW LGHRORJLVWV DSSHDUHG VLPXOWDQHRXVO\ LQ DOPRVW HYHU\ &RQWLQHQWDO FRXQWU\´ 6WHUQ  [[[[L  7KH VHFRQG JHQHUDWLRQRIDQWLPRGHUQLVWVLQWKHILUVWKDOIRIWKHWZHQWLHWKFHQWXU\ RQO\ VOLJKWO\ PRGHUQL]HG WKH LGHDV RI WKHVH QLQHWHHQWKFHQWXU\ DXWKRUV ,Q WKDW UHVSHFW 9HOLPLURYLü VHHPV YHU\ VLPLODU WR KLV FRQWHPSRUDULHVVXFKDV3DXO&ODXGHO76(OLRWDQG6DXQGHUV/HZLV ZLWK ZKRP KH VKDUHG VWURQJ UHOLJLRXV IHHOLQJV D UHMHFWLRQ RI PRGHUQLW\DQGDQWL6HPLWLVP  )RU ERWK &RPSDJQRQ DQG 6WHUQ RSSRVLWLRQ WR WKH (QOLJKWHQPHQW DQG WKH )UHQFK 5HYROXWLRQ ZDV WKH PDLQ FULWHULRQ IRU

 



)RUPRUHRQWKHVHFRQGJHQHUDWLRQRIDQWLPRGHUQLVWVVHH*ULIILWKV



*HWWLQJ2YHU(XURSH



 EHORQJLQJ WR WKLV GLYHUVH LQWHOOHFWXDOO\ DQG SROLWLFDOO\ LQFRKHUHQW JURXS1LNRODM9HOLPLURYLüUHSHDWHGO\EODPHGERWK)UHQFKHLJKWHHQWK FHQWXU\ZULWHUVDQGWKHUHYROXWLRQIRUWKHVWHDG\GH&KULVWLDQL]DWLRQRI (XURSH +RZHYHU VLQFH WKLV GH&KULVWLDQL]DWLRQ KDG PDQ\ GLIIHUHQW DVSHFWVWRLWLWLVZRUWKH[DPLQLQJZKLFKRIWKHP9HOLPLURYLüDFWXDOO\ RSSRVHG  ,QDVD\RXQJPDQ9HOLPLURYLüZURWHDQDUWLFOHRQWKH )UHQFK/DZRI6HSDUDWLRQRIIRU9HVQLN6USVNHFUNYH +HUDOGRI WKH6HUELDQ&KXUFK 7KLVODZFRPSOHWHGWKHSURFHVVRIVHSDUDWLQJWKH FKXUFKIURPWKHVWDWHZKLFKKDGDOUHDG\EHHQXQGHUZD\VLQFH ZLWKWKH'HFODUDWLRQRIWKH5LJKWVRI0DQDQGWKH&LWL]HQSURFODLPLQJ WKDWRQHFDQQRWEHKDUDVVHGEHFDXVHRIRQH¶VRSLQLRQV³HYHQUHOLJLRXV RQHV´9HOLPLURYLüUHFRJQL]HVLQWKHVHSDUDWLRQRIFKXUFKDQGVWDWHLQ )UDQFH³RQHRIWKHPRVWLPSRUWDQWUHOLJLRXVDQGVRFLDOHYHQWVRI>KLV@ WLPH´ DQG SODFHV LW LQ D ZLGHU KLVWRULFDO FRQWH[W ZLWK UHPDUNDEOH REMHFWLYLW\ DQG PRGHUDWLRQ RQO\ RFFDVLRQDOO\ WDUQLVKHG E\ D GURS RI VFKDGHQIUHXGH±IRUDIWHUDOOLWLVWKH5RPDQ&DWKROLF&KXUFKDQGLWV WURXEOHVWKDWWKLV6HUELDQ2UWKRGR[WKHRORJ\VWXGHQWLVZULWLQJDERXW 9HOLPLURYLü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³PDVVHV´GHSULYLQJSHRSOHRIDOOWKHLUULJKWVDQGKRUULEO\W\UDQQL]LQJ WKHLU RSSRQHQWV :KHQHYHU WKH 5HSXEOLF JDLQHG WKH XSSHU KDQG FURVVHV ZHUH VPDVKHG FKXUFKHV GHPROLVKHG 5RPDQ &DWKROLF KRO\ UHOLFVWURGGHQRQPLWUHVUROOHGGRZQVWUHHWVDQGSHRSOHYRWHGRQWKH H[LVWHQFH RI *RG DQG SUHDFKHG DWKHLVP $OWKRXJK LW LV GLIILFXOW WR LPDJLQH9HOLPLURYLüDSSURYLQJRIWKHGHPROLWLRQRIFKXUFKHVDQGRI WKH SUHDFKLQJ RI DWKHLVP WKH SLFWXUH KH SDLQWV GRHV QRW EHWUD\ DQ\ UHJUHWVIRUWKHGHPLVHRIWKHDQFLHQUpJLPH+LVDQWLPRGHUQLVPZDV QRWRIDSROLWLFDONLQGRUDWOHDVWQRWSULPDULO\ $PRQJ %HOJUDGH¶V PXOWLWXGH RI )UDQFRSKLOHV EHWZHHQ WKH ZRUOGZDUV9HOLPLURYLüZDVDUDUHELUGDQ$QJORSKLOHZKREHOLHYHG WKDW WKH (QJOLVK ZHUH (XURSH¶V PRVW FLYLOLVHG SHRSOH DQG WKDW



7KHSURSKHWVRI(XURSH¶VGRZQIDOODQGUHELUWK



$PHULFD KDG EHHQ FKDUJHG ZLWK WKH WDVN RI VDYLQJ GH&KULVWLDQL]HG (XURSH IURP LWVHOI 7KH 8QLWHG 6WDWHV ZDV KLV SROLWLFDO DQG FXOWXUDO LGHDO EHFDXVH RI WKH XQLYHUVDO UHVSHFW IRU WKH FKXUFK LQ $PHULFD EHFDXVH³$PHULFDLVFRVPRSROLWDQ´³$PHULFDQXQLYHUVLWLHVKDYHQRW IRUJRWWHQ *RG´ $PHULFDQ EXVLQHVV SHRSOH ZHUH PRUH VSLULWXDO WKDQ WKRVH RI DQ\ RWKHU FRXQWU\ KH NQHZ DQG WKH XVXDO VWHUHRW\SH RI $PHULFDQVDVPDWHULDOLVWVZDVZURQJ 9HOLPLURYLü9RO  7KH86$LVKRZHYHUWKHROGHVWVHFXODUVWDWHLQWKHZRUOGZLWK WKH %LOO RI 5LJKWV JXDUDQWHHLQJ WKDW &RQJUHVV VKDOO PDNH QR ODZ LQ UHVSHFWRIDQHVWDEOLVKPHQWRIUHOLJLRQRUSURKLELWWKHIUHHH[SUHVVLRQ WKHUHRI9HOLPLURYLüGRHVQRWVHHPWURXEOHGE\WKLVDQGZLWKDSSURYDO UHPLQGV KLV UHDGHUV WKDW :DUUHQ * +DUGLQJ 3UHVLGHQWIURP  WR  XVHGWRKDYHDOOKLVSROLWLFDOUDOOLHVRSHQHGZLWKDSUD\HUVDLGE\ DSULHVWDQGZHQWWRFKXUFKHYHU\6XQGD\ 9HOLPLURYLü9RO   7KHUH ZHUH DOVR ZULWHV 9HOLPLURYLü SUHVLGHQWV ZKR XVHG WR SUHDFKDWFKXUFKHVRUZKRZHUHWXWRUVRIVRPHFKXUFKHV2QWKLVVLGH RI WKH RFHDQ WKH $QJORSKRQH ZRUOG ZDV WKH VDPH *ODGVWRQH ZURWH ERRNVDQGDUWLFOHVDERXWWKH%LEOHDQGWKHFKXUFK5HOLJLRVLW\ZDVQRW OLPLWHG WR SROLWLFLDQV HYHU\ERG\ ZDV UHOLJLRXV LQ $QJOR6D[RQ FRXQWULHVZKHQHYHU9HOLPLURYLüZDVWRDGGUHVV(QJOLVKZRUNHUVWKH\ GLG QRW H[SHFW KLP WR WDON SROLWLFV EXW WR WDON DERXW KLV IDLWK (YHQ *HRUJH /DQVEXU\   WKH HGLWRU RI WKH VRFLDOLVW QHZVSDSHU 7KH'DLO\+HUDOGDQG/DERXUOHDGHUIURPWRWROGKLP³DV IDUDV,NQRZQRWKLQJZDVHYHUEXLOWRQDWKHLVP´7KHEHVWFRPHVDW WKHHQG9HOLPLURYLüUHFDOOVKLVDXGLHQFHZLWK.LQJ*HRUJH9LQ ZKR FRQIHVVHG WR 9HOLPLURYLü WKDW KH KDG PDQDJHG WR VXUYLYH WKH KRUURUV RI WKH ZDU RQO\ WKDQNV WR SUD\HU ,I VHFXODULVP PHDQW WKH IRUPDOVHSDUDWLRQRIFKXUFKDQGVWDWH9HOLPLURYLüGLGQRWPLQGLWDV ORQJDVSULHVWVDQGEHOLHYHUVZHUHQRWSHUVHFXWHGDVWKH\ZHUHLQWKH 6RYLHW8QLRQ:KDWZRUULHGKLPZDVWKHGLVDSSHDUDQFHRIIDLWKIURP KHDUWVDQGPLQGVDVZHOODVIURP(XURSH¶VSXEOLFOLIH,QWKDWUHVSHFW KLVIRUPXODWLRQIURP7KH6SLULWXDO5HELUWKRI(XURSHLVYHU\SUHFLVH QRWWKHFKXUFKEXW³WKHVSLULWRIUHOLJLRQ´LV³WKHRQO\FRQVWUXFWLYHWKH RQO\ OLIHJLYLQJ DJHQF\´ DQG VKRXOG EH ³WKH JXLGLQJ VSLULW RI HGXFDWLRQ LQ IDPLO\ OLIH LQ OLWHUDWXUH DQG MRXUQDOLVP LQ VKRSV LQ

 

$VDUHIXJHHLQWKH86$DIWHUWKH6HFRQG:RUOG:DU9HOLPLURYLüPXVWKDYHEHHQ SOHDVHGWRKHDU7UXPDQDQG&KXUFKLOOWDONRIWKH86$DQGWKH8.DVWKH³UHOLJLRXV IURQW´ DJDLQVW DWKHLVW &RPPXQLVP ± ³D SHULO WR &KULVWLDQ FLYLOL]DWLRQ´ 2Q WKH UHOLJLRXVDVSHFWVRIWKHHDUO\&ROG:DUVHH.LUE\





*HWWLQJ2YHU(XURSH



 VWUHHWV LQ WRZQV DQG YLOODJHV´ 9HOLPLURYLü    +LV SROLWLFDO SRVLWLRQ LV QRW FOHULFDOLVP EXW D SOHD IRU &KULVWLDQ SULQFLSOHV DV WKH EDVLV RI FXOWXUDO DQG HYHU\GD\ OLIH D &KULVWLDQ VRFLHW\ VLPLODU WR WKH RQHHQYLVDJHGLQWKHLQWHUZDUSHULRGE\76(OLRW  RQHFRXOG VD\ LQVWHDG RI D &KULVWLDQ VWDWH $IWHU PHHWLQJ 9HOLPLURYLü LQ  ELVKRS *HRUJH %HOO ZURWH LQ KLV GLDU\ 9HOLPLURYLü¶V ZRUGV ³:H SUDLVH\RXIRU\RXUGHPRFUDF\±LWLVJRRG±LWLVIRXQGHGRQ&KULVWLDQ SULQFLSOHV±EXWLWLVQRWHQRXJK«@>«@ >«@,DPDPDQRIWKHPLGGOHDVPRVWSHRSOH LQWKHZRUOG>«@,DPDVLPSOHPDQRI*RGZKRZDONVLQWKHPLGGOHRIWKH URDG>«@ZDU\RIH[WUHPHV>«@,OLNHP\SHRSOHEXW,GRQ¶WZRUVKLSWKHP ,DPFRQYLQFHGWKDWRWKHUSHRSOHVDUHDVJRRGDVPLQH,NQRZWKDWWKHVDPH 0DNHUFUHDWHGWKHPDOODQGWKDWDPRQJVWHYHU\SHRSOHKHKDVDULFKKDUYHVW RIJRRGSHRSOH/RRNLQJDWP\SHRSOH,GRQ¶WOHDUQWRKDWHRWKHUVEXWRQ WKHFRQWUDU\DVLQVRPHNLQGRIVFKRRO,OHDUQDQGWHDFKRWKHUVWRORYHDOO SHRSOHVRQWKHHDUWK 9HOLPLURYLüYRO 

 ,QWHUQDWLRQDOLVP V\QRQ\PRXV ZLWK &RPPXQLVP LV DWKHLVW DQG )DVFLVP LV SRO\WKHLVWLF LGRODWU\ 9HOLPLURYLü  YRO  





*HWWLQJ2YHU(XURSH



 &KULVWLVZLWKQHLWKHURIWKHP6HUEVPXVWEHZLWK&KULVWVRWKDWLQWKH FRPLQJZDU&KULVWFDQEHZLWKWKHP6HUELDFDQDYRLGGLVDVWHURQO\LI LW VXUUHQGHUV LWVHOI WR &KULVW LI LW EHFRPHV FRPSOHWHO\ +LV DQG LQ VXUUHQGHULQJLWVHOIHDUQVWKHWLWOHRI³+RO\6HUELD´+RO\LVWKHFRXQWU\ ZKRVH SHRSOH ³IROORZ &KULVW DQG VWHHS LWV VRLO ZLWK WKHLU EORRG´ 9HOLPLURYLüYRO ,QWKHV9HOLPLURYLüKRSHGIRUD +RO\(XURSHDFRQWLQHQWZKLFKZRXOGIROORZ&KULVWVLQFHWKLVKRSH IDLOHG OHW DW OHDVW 6HUELD EHFRPH &KULVW¶V ,WV PLVVLRQ ZRXOG EH H[SODLQV 9HOLPLURYLü LQ KLV SRHP ³6YHWD 6UELMD´ +RO\ 6HUELD  WR GHYRWH LWV OLIH WR &KULVW DQG WKXV UHGHHP LWV VLQV 9HOLPLURYLü  YRO  %RWK 9HOLPLURYLü¶V SURSKHWLF DQJHU DQG KLV ILJXUDO LQWHUSUHWDWLRQ UHDFK WKHLU SHDN LQ ³*RYRUL VUSVNRP QDURGX NUR] WDPQLþNL SUR]RU´ 6SHHFKHV WR WKH 6HUELDQ SHRSOH WKURXJK D 3ULVRQ :LQGRZ  ZULWWHQ LQ *HUPDQ FDSWLYLW\ LQ ODWH  DQG HDUO\  DQG SXEOLVKHG SRVWKXPRXVO\ LQ  -XVW DV (XURSH KDG LJQRUHG 9HOLPLURYLü¶VSODLQWWRUHWXUQWR&KULVWLQWKHWZHQWLHVVR@ 7KHUH ZDV QR GDQJHU WKDW VRPHRQH ZRXOG VHH ZKDW ZDV KDSSHQLQJ IRU QR RQH ZRXOG EH HLWKHU SX]]OHGRUHQUDJHGE\LW  

  2QDQRWKHURFFDVLRQ3HWURYLüREVHUYHVKRZD\RXQJ PDQDV KDQGVRPHDV0LFKHODQJHOR¶V'DYLGGXULQJDPRFNER[LQJPDWFKZLWK RQH RI 3HWURYLü¶V IHOORZWUDYHOOHUV WULHV WR SURWHFW D \HOORZJUD\LVK VSRWRQKLVFKHVWZKHQHYHUKHEHOLHYHVWKDWLWFRXOGEHKLW7KHFXULRXV WUDYHOOHUDVNVIRUDQH[SODQDWLRQDQGOHDUQVWKDW WKH\RXWKLVMXVWDV PDQ\RWKHU$IULFDQVVLFNZLWKOHSURV\,IWKLVVSRWJHWVKXUWLWZRXOG WXUQLQWRDQRSHQZRXQGZKLFKZRXOGQHYHUKHDODQGKLVHQGZRXOG QRWEHIDU³1HYHUKDYH,EHHQVRVFDUHGLQP\OLIH´ZULWHV3HWURYLü ³IRUP\KDQGVKDYHIRUFHGE\FLUFXPVWDQFHVWRXFKHGWKHVHVSRWVZKR NQRZV KRZ PDQ\ WLPHV´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ü VOHHSV ZLWKRXW D SLOORZ PXFKDVHYHU\ERG\HOVHDQGRIIHUVKLPKLVRZQSLOORZHYHQWKRXJK



2KWREHD(XURSHDQ:KDWGLG5DVWNR3HWURYLüOHDUQLQ$IULFD"



KHQHHGVLWKLPVHOI7KHWULEHV3HWURYLüYLVLWVVSHDNODQJXDJHVZKLFK ODFNWKHSRVVHVVLYHJHQLWLYHDQGHYHQZKHQWKH\PDVWHU)UHQFKWKH\ NHHSH[SUHVVLQJSRVVHVVLRQLQDGHVFULSWLYHZD\QRW³P\JODVV´EXW ³DJODVVIRUPH´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

  1RWWREHD(XURSHDQZKDWFRQFHLW,IWKH\FRXOGUHDGDQGLI ZHJDYHWKHPWKH%LEOHWKH\ZRXOGUHFRJQL]HWKDWWKH\OLYHLQZKDW RXUKRO\ERRNGHVFULEHVDVRXULGHDRI+HDYHQLQDSODFHZKHUHRQH DOWKRXJK IRUHLJQ LV DOZD\V DW KRPH ZKHUH RWKHU EHLQJV ZLWK HYHU\WKLQJWKH\KDYH³IRUWKHPVHOYHV´RSHQWKHPVHOYHVXSIRUXVLQD IHVWLYHUHFHSWLRQDQGZLWKDEVROXWHXQFRQGLWLRQDOKRVSLWDOLW\7KLVLV ZK\3HWURYLüFODLPVWKDW0D\ZKREURXJKWKLPKLVSLOORZLV³DERYH VSHFLHVDQGVXEOLPH´ 3HWURYLü $ERYHVSHFLHVQDNHGDQG KDQGVRPH IUHH IURP SRVVHVVLRQ IURP ZKLWH HYHQLQJ VXLWV IURP PRQH\ IUHH IURP HYHU\ SURKLELWLRQ IUHH IRU VH[ ZLWK DQ\RQH WKH\ ZDQW DQ\ERG\ ZLWK HYHU\ERG\ HOVH ZLWKRXW SX]]OHPHQW DQG DQJHU IUHHDQGKDSS\DVEHIRUHWKH)DOO$ERYHVSHFLHVIRUWKHVSHFLHVKDV IDOOHQ LQWR VODYHU\ LQWR WKH QHFHVVLW\ WR HDUQ DQG VDYH WR PXOWLSO\ ZKDWKDVEHHQVDYHGWRSURWHFWZKDWKDVEHHQHDUQHGHVSHFLDOO\IURP IRUHLJQHUV WR JLYH FDUHIXOO\ DQG FRQGLWLRQDOO\ WR H[FKDQJH IRU VRPHWKLQJ HOVH LQWR VHOHFWLYH LQYLWDWLRQV LQWR RXU KRXVHV LQVWHDG RI UHFHLYLQJ DQ\RQH ZKR PLJKW WXUQ XS LQWR JLYLQJ KRVSLWDOLW\ RQO\ WR WKRVHZKRHQWHUWKHSDFWRIKRVSLWDOLW\LQWRZHDULQJVXLWVSDUWLFXODUO\ ZKLWH HYHQLQJ VXLWV ZKLFK JHW GLUW\ VR HDVLO\ LQWR WKH SRVVHVVLYH JHQLWLYHDQG³P\ZLIH´DQG³P\SLOORZ´$ERYHVSHFLHVWKHVSHFLHV KDVIDOOHQLQWRZKDWZHFDOOFLYLOL]DWLRQDQGRQHFDQQRWKDYHVH[ZLWK





*HWWLQJ2YHU(XURSH



 MXVWDQ\ERG\7KHVSHFLHVKDVDVH[XDOSURWRFROZKLFKUHJXODWHVZKR KRZ DQG ZKHQ RQH FDQ WRXFK DQG EH WRXFKHG WKH ILUVW UXOH RI WKLV SURWRFRO IRUELGV LQFHVW $OWKRXJK LW PLJKW EH ³WKH PRVW GUDVWLF PXWLODWLRQZKLFKPDQ¶VHURWLFOLIHKDVLQDOOWLPHH[SHULHQFHG´ )UHXG   LW LV VWLOO RQH RI WKH WZR SLOODUV ZH KDYH EXLOW RXU FLYLOL]DWLRQ RQ 7KH IDOO LQWR FLYLOL]DWLRQ KDV EHHQ SURJUHVVLQJ IRU FHQWXULHV VHYHUDO \HDUV EHIRUH 3HWURYLü¶V MRXUQH\ WR $IULFDQ SUH FLYLOL]DWLRQDO+HDYHQ)UHXGSURFODLPHGWKDWWKLVIDOO±KHQDPHGLWGLH NXOWXUHOOH 6H[XDOPRUDO  KDG UHDFKHG LWV QDGLU DQG EODPHG LW IRU WKH QHXURWLFPLVHU\RIKLVFRQWHPSRUDU\(XURSHDQV )UHXG   1HYHUWKHOHVV WKLV DUFKLYLVW RI WKH YLVLEOH ZKR UHFRUGV RQO\ ZKDWFDQEHJUDVSHGE\REVHUYLQJKDVQRWDFWXDOO\ZLWQHVVHGWKLVSUH FXOWXUDO OLEHUDWLQJ VH[XDO PRUDOLW\ DPRQJ WKH $IULFDQV :KHQ 3HWURYLü FODLPHG WKDW $IULFDQV DUH KRQRXUHG ZKHQ (XURSHDQV VOHHS ZLWK WKHLU ZRPHQ KH XVHG WKH LPSHUVRQDO IRUPXOD ³LW LV QRWRULRXV´ +H QHLWKHU VDLG WKDW GXULQJ KLV MRXUQH\ LQ $IULFD DQ\RQH KDG HYHU GHPDQGHGWREHKRQRXUHGLQWKDWZD\QRUWKDWKHKDGPHWD(XURSHDQ ZKRKDGKDGILUVWKDQGH[SHULHQFHLQWKLVPDWWHU7KDWDQ\PDQFDQEH ZLWK DQ\ ZRPDQ 3HWURYLü FRQFOXGHG ZKLOH REVHUYLQJ D ZHGGLQJ FHUHPRQ\LQDYLOODJH6RRQWKHOLJKWVZRXOGJRRXWKHIRUHWROGDQG ZKHQ SOXQJHG LQWR GDUNQHVV DQ\RQH ZRXOG EH ZLWK DQ\RQH HOVH 3HWURYLü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ü EULQJV RQ VWDJH D FDQQLEDO ,W LV DQ $IULFDQ ³LOOLQ KLV FKHVW DQG LQFXUDEOH´ ³ZLWK KLV KHDG WLUHG DQG FROODSVHG´ 3HWURYLü  7KDWPXFKFDQEHVHHQDWUDYHOZULWHUZKRRQO\UHFRUGV ZKDWFDQEHVHHQVKRXOGVWRSKHUH1HYHUWKHOHVV3HWURYLüNQRZVWKDW



2KWREHD(XURSHDQ:KDWGLG5DVWNR3HWURYLüOHDUQLQ$IULFD"



WKHPDQLVDQHQGRFDQQLEDOZKRFRXOGFXUHKLPVHOIRQO\LIKHZHUH DOORZHGWRWHDUDSDUW³KLVVHFRQGVLVWHULQODZRUKLVVPDOOEURWKHULQ ODZ RU DQ\ RWKHU PHPEHU RI KLV IDPLO\´   7KH GHGXFWLRQV WKDW EURXJKW KLP WR WKLV FRQFOXVLRQ ZRXOG DPXVH :LOOLDP $UHQV ZKR KROGV WKDW DQWKURSRORJLVWV¶ FODLPV UHJDUGLQJ WKH XELTXLW\ RI FDQQLEDOLVPZHUH³EDVHGRQVRPHWKLQJOHVVWKDQDUDWLRQDOHYLGHQWLDO SURFHVV´ $UHQV +RZGLGWKHDUFKLYLVWRIWKHYLVLEOHFRPH WR WKH FRQFOXVLRQ WKDW WKH VLFN PDQ LV D YLRODWRU RI WKH VHFRQG JUHDW WDERRRIRXUFLYLOL]DWLRQ"7KHLQWHUSUHWHUWROGKLPWKDW³IRUDPDQOLNH WKLVRQHZKROLNHPDQ\RWKHUVKDVSUHYLRXVO\EHHQDFFXVHGRIKDYLQJ EHHQ D SDQWKHUWKH FXUH ZRXOGFHUWDLQO\ EHKXPDQ IOHVKIRUD PDQ SDQWKHUFDQQRWOLYHLIKHLVGHSULYHGRILW´ 3HWURYLü 7KH PDQ LOO LQKLVFKHVW ZDV SUHYLRXVO\ RQO\ DFFXVHG RI EHLQJ D SDQWKHU VXFK DFFXVDWLRQV ZHUH IUHTXHQW KHUH DQG IRUD VLFN SDQWKHU WKH RQO\ PHGLFLQHLVKXPDQIOHVKIRUWKH³EORRGDQGERG\RIDIDPLO\PHPEHU JLYHWKHJUHDWHVWVWUHQJWK´  ±WKDWPXFKWKHLQWHUSUHWHUVDLGEXW IURPWKHUHWR3HWURYLü¶VFRQFOXVLRQWKDWKHVHHVDFDQQLEDOSUHYHQWHG IURP FXULQJ KLPVHOI LQ WKH WUDGLWLRQDO PDQQHU E\ FLYLOL]HG )UHQFK ODZV VKRXOG RQO\ KDYH EHHQ PDGH WKURXJK VHYHUDO FDXWLRXV DQG UDWLRQDO VWHSV 7R EH D UDWLRQDO (XURSHDQ ZKDW FRQFHLW 7R EH GLIIHUHQW IURP $IULFDQV ³ZKR DUH LQFDSDEOH RI DQ\ DQDO\WLF DQG GHGXFWLYH HIIRUW´   DQG WR PDNH DQ DQDO\WLF DQG GHGXFWLYH OHDS WKDWZRXOGEULGJHWKHODFNRISURRI  (YHQ PRUH LPSUHVVLYH LV 3HWURYLü¶V VHFRQG WHVWLPRQ\ DERXW $IULFDQ FDQQLEDOLVP 7KLV WLPH 3HWURYLü UHWHOOV WKH HYHQW RI D PDQ GLVDSSHDULQJIURPDYLOODJHDQGWKHYLOODJHUVILQGLQJ³WUDFHVRIQDLOV DQG VRPH KDLU IURP D SDQWKHU¶V IXU´ RQ WKH JURXQG   7KH\ VXVSHFWHG WKDW SDQWKHUV PLJKW EH LQYROYHG DQG QRWLILHG WKH )UHQFK DGPLQLVWUDWRUZKRFDPHWRWKHYLOODJHFDOOHGWKHYLOODJHVKDPDQDQG WKUHDWHQHG WR VHQWHQFH KLP WR GHDWK LI KH GLG QRW EHWUD\ WKH JXLOW\ RQHV 7KH VKDPDQ ³EURXJKW RXW D FDJH ZLWK D VPDOO WLJHU GDQFHG DURXQGLWVDQJVRQJVZDVKHGKLVIDFHZLWKZDWHUIURPDVSHFLDOZHOO DQGWKHQZDONHGLQDFLUFOHDURXQGWKHYLOODJHUVREVHUYHGWKHPIRUD ORQJ WLPH DQG SRLQWHG DW WKUHH RI WKHP´   7KH\ ZHUH LPPHGLDWHO\DUUHVWHG7ZRRIWKHPZHUHSRLVRQHGWKDWYHU\QLJKWDQG WKHWKLUGRQHZDVWRUWXUHGWKHQH[WGD\DQGHYHQWXDOO\FRQIHVVHGWRWKH

 

2QPXWXDOO\UHLQIRUFLQJH[SHFWDWLRQVWKDWWKHRWKHULVDFDQQLEDOVHH2EH\HVHNHUH   3DQWKHUVDUHFDQQLEDOVZKRZHDUDQLPDOVNLQDQGFODZGXULQJDQWKURSRSKDJLFULWHV





*HWWLQJ2YHU(XURSH



 FULPH WKRXJK ³LQVSLWH RIWKH WRUWXUH KH GLG QRW ZDQW WR UHYHDO ZKDW VRUW RI ULWH FRPSHOOHG WKHP WR NLOO DQG HDW WKH YLFWLP´   6R WKH UDWLRQDO)UHQFKDGPLQLVWUDWRUZKRUHOLHGRQVRQJVVDQJDURXQGDFDJH RQ ZDWHU IURP D VSHFLDO ZHOO DQG D FRQIHVVLRQ REWDLQHG WKURXJK WRUWXUH ZDV GLVDSSRLQWHG E\ WKH SHUSHWUDWRU¶V LQDELOLW\ WR H[SODLQ WKH ULWH KH DGPLWWHGO\ WRRN SDUW LQ %XW IRU 3HWURYLü HYHQ WKDW ZDV PRUH WKDQHQRXJK$IWHUWKDWVWRU\WKHDXWKRURI$IULFDFRQFOXGHVWKDWHYHQ ZLWKRXW SURRI ³LW ZDV HQRXJK WR VHH WKH IULJKWHQHG FRQYXOVLRQ RI D EODFNPDQZKHQVHHLQJDZKLWHKLVDOPRVWZLOGLQVDQHORRN´  LQ RUGHU WR EHVXUH WKDWKH VSHQGV KLV GD\V O\LQJ LQ ZDLW IRU KLVVHFRQG VLVWHULQODZ DQG KLV VPDOO EURWKHULQODZ 7KDW WKH IULJKWHQHG FRQYXOVLRQPLJKWEHDUHVXOWRIKLVLQVLJKWLQWR(XURSHDQUDWLRQDODQG GHGXFWLYHSURFHGXUHVREYLRXVO\QHYHURFFXUUHGWR3HWURYLü  7KLVLV3HWURYLü¶V$IULFDWKH\DUH³FKLOGUHQ´   ³VSOHQGLGPRXQWDLQDQLPDOV´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üKDVQRVHFRQGWKRXJKWVDERXWWKDW+LVV\PSDWKLHV IRUWKH$IULFDQVKLVK\PQVWRWKHSXULW\LQQRFHQFHDQG\RXWKRIWKH KXPDQ UDFH WXUQ LQWR FRQWHPSW DQJHU DQG VQHHULQJ WKH PRPHQW KH QRWLFHV LQ WKHP HYHQ D IOHHWLQJ ZLVK WR HPXODWH SDUWLFXODU WUDLWV RI (XURSHDQ LGHQWLW\ -XGJLQJ E\ WKH XQUHVWUDLQHG DQJHU ZKLFK DFFRPSDQLHVKLVGHVFULSWLRQVRIWKRVHUDUHDWWHPSWVRQWKHSDUWRIWKH $IULFDQVWRWUDGHWKHLURZQLGHQWLW\IRUDQHZRQHRUDWOHDVWWRRSHQ WKHPVHOYHV XS WR DQRWKHU RQH LW VHHPV 3HWURYLü UHJDUGV LW DV VRPHWKLQJXQEHFRPLQJRIIHQVLYHDQGHYHQGDQJHURXV



2KWREHD(XURSHDQ:KDWGLG5DVWNR3HWURYLüOHDUQLQ$IULFD"



3HWURYLüDUULYHVLQ$IULFDDFFRPSDQLHGE\9XLOOHWDQH[SORUHU DQGDEURWKHURIRQHRI3HWURYLü¶V3DULVLDQIULHQGV+H³OHGRQHRIWKH PRVW LPSRUWDQW H[SORULQJ PLVVLRQV LQ 6XGDQ WKLUW\ \HDUV DJR KH IRXQGHG ZKROH WRZQV LQ 8SSHU 9ROWD DQG QDPHG PDQ\ LQVHFWV DQG SODQWVDIWHUKLPVHOIKHDOVRFROOHFWHGSUHKLVWRULFDODUPRXU\MHZHOOHU\ DQGSUHFLRXVVWRQHVIURPDOODJHV´  9XLOOHWXQGRXEWHGO\NQHZ $IULFD ZHOO KH VSHQW PDQ\ \HDUV OLYLQJ WKHUH DQG NQHZ HYHU\WKLQJ DERXWLWVODQJXDJHVIORUDIDXQDFXVWRPVDQGJHRJUDSK\$IWHUPDQ\ \HDUV KH UHWXUQHG WR (XURSH DQG PDQDJHG DQ $IULFDQ FRIIHH IDUP IURP0DUVHLOOH9XLOOHWZDVRQO\WRLQWURGXFH3HWURYLüWR$IULFDDQGWR VSHQG WKH ILUVW FRXSOH RI ZHHNV ZLWK KLP OHDYLQJ KLP RQ KLV RZQ WKHUHDIWHU:KLOHWKH\ZHUHVWLOODERDUGWKHVKLS9XLOOHWWROG3HWURYLü KRZ GXULQJ PDQ\ ORQJ \HDUV DPRQJ WKH $IULFDQV KH KDG ³XQFRQVFLRXVO\IRUJRWWHQWKDWKHZDVQ¶WRQHRIWKHP´9XLOOHWVD\V  ,GLGQ¶WLPDJLQHP\VHOIEHLQJEODFNEXW,IHOWDVLI,ZHUHDQG,GLGQ¶WPLQG VHHLQJ P\ ZKLWH KDQG IRU GD\V RQ HQG XQWLO VXGGHQO\ LW RFFXUUHG WR PH /RRN P\ KDQG LV ZKLWH :KHQDIWHU IRXUWHHQ \HDUV RI WKDW OLIH , VXGGHQO\ PDUULHG RXW RI ORYH , WUHDWHG P\ ZLIH YHU\ EDGO\ DFFRUGLQJ WR (XURSHDQ VWDQGDUGV EHFDXVH , LPSRUWHG LQWR P\ ZKLWH PDUULDJH WKH PHQWDOLW\ RI D EODFNRQH,VWLOODGPLUHP\ZLIHIRUXQGHUVWDQGLQJWKDWLQVWDQWO\DQGIRUQRW LQWHUSUHWLQJP\EHKDYLRXULQDEDGPDQQHU2QO\DIWHUWZHQW\\HDUVZLWKWKH EODFNV , VXEFRQVFLRXVO\ EHJDQ ± QRW VHSDUDWLQJ P\VHOI IURP WKHP ± WR UHWXUQWR(XURSHDQFLYLOL]DWLRQ:KHQ,DPZLWKWKHPWRGD\,DPDPHPEHU RIDGLIIHUHQWUDFHDVPXFKDV\RXDUH/HW¶VVD\WKDWWKHUHZDVQRJHQXLQH UHDVRQIRUPHWRUHWXUQWR(XURSHDQHVV,QHYHUSHUFHLYHGP\ZLIHDQGP\ FKLOGUHQ DV GLIIHUHQW IURP WKH EODFN \RX PLJKW EHFRPH VR DFFXVWRPHG WR WKHGLIIHUHQFHLQVNLQFRORXUWKDW\RXZRQ¶WQRWLFHLWDQ\PRUH2XUZD\RI OLIHXQGHUWKHFLUFXPVWDQFHVZDVQ¶WPXFKGLIIHUHQWIURPWKHZD\RIOLIHRI WKHEODFN:KHQ,VD\WKDW,ZDVEODFN,ZDQWWRVD\WKDW,IHOWQRGLIIHUHQFH EHWZHHQP\VHOIDQGWKHQDWLYHV$QGWKHQDOORIDVXGGHQ,EHJDQWRIHHOLW PRUHDQGPRUH:DVLWIDWLJXHRUDJHLQJZKLFKHUDVHGHYHU\WKLQJQHZWKDW P\ VSLULW KDG IRUPHG RU RQ WKH FRQWUDU\ DQ DWDYLVWLF DZDNHQLQJ RI WKH SULPLWLYH IRUFHV RI P\ UDFH ZKLFK KDG DQQLKLODWHG HYHU\WKLQJ LQ PH WKDW ZDVSXUHO\PLPHWLF"  

 9XLOOHWLVQRWDWUDYHOOHUZKRZLOODIWHURQO\VHYHUDOZHHNVLQ $IULFDUHWXUQWR(XURSHWRZULWHDWUDYHORJXHLQWKHSHDFHDQGFRPIRUW RIKLVVWXG\WKHWUDYHORJXHLQZKLFKKHZRXOG±IROORZLQJWKHODZRI WKH JHQUH ± GHVFULEH WKH GLIIHUHQFH EHWZHHQ XV DQG WKHP 7KLV



 -HDQ 9XLOOHW DQ DJURQRPLVW DQG )UHQFK FRORQLDO RIILFLDO ZKR ZURWH RQ 0DQGH KLVWRU\DQGFXOWXUHWKHDXWKRURI5HIOHWVG $VLHVXUO 2XHVW$IULFDLQ 7RXORQ 





*HWWLQJ2YHU(XURSH



 GLIIHUHQFH GRHV FRQVWLWXWH WKH WUXH FRQWHQW RI HYHU\ LQWHUHVWLQJ WUDYHORJXH DQG LV WKH RQO\ UHDVRQ IRU ZULWLQJ LW WUDYHORJXHV DUH QRW ZULWWHQDERXWWKHVDPHEXWDERXWWKHGLIIHUHQW+HUHWKHWUDYHOZULWHU ZKRVSHQGVRQO\VHYHUDOZHHNVLQ$IULFDLV3HWURYLü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± IDWLJXH ROG DJH DQ ³DZDNHQLQJRIWKHSULPLWLYHIRUFHVRIKLVUDFH´±WKHUHLVQRGRXEWWKDW ERWK 9XLOOHW DQG 3HWURYLü FRQVLGHU WKDW WKLV OHVVHQLQJ LI QRW DQQLKLODWLRQ RI WKH GLIIHUHQFH EHWZHHQ WKH $IULFDQ DQG WKH (XURSHDQ LGHQWLW\ LV D SURFHVV WKDW FDQ RFFXU RQO\ WHPSRUDULO\ DQG RQ WKH VXUIDFHRURQWKHPDUJLQVRIDQLGHQWLW\ZKLOHLWVFRUHDOZD\VUHPDLQV XQFKDQJHG DQG VROLG DOZD\V FDSDEOH RI UHYHUVLQJ DOO VXSHUILFLDO FKDQJHV DQG UHVWRULQJ WKH ZKROH WR LWV RULJLQDO VWDWH 7KLV PDUJLQ ZKHUH FKDQJHV PD\ RFFXU LI RQO\ WHPSRUDULO\ FDQ EH LVRODWHG IURP WKDW SDUW RI RXULGHQWLW\ ZKLFKLV VROLG DQGXQFKDQJHDEOHSHUPDQHQW DQGGHILQLQJWKDWLVWRVD\ZKDWDFWXDOO\LVRXULGHQWLW\7KXVLVRODWHG WKHPDUJLQFDSDEOHRIFKDQJLQJFDQEHQDPHGPLPHWLVPWKHFKDQJH RFFXUUHGLQZKDWLV³PLPHWLFLQPH´VD\V9XLOOHWZKLFKLVQRWWREH FRQIXVHG ZLWK P\VHOI 7KH PLPHWLF PDUJLQ LQ PH DQG P\VHOI FDQ EH WHPSRUDULO\MRLQHGWKHIRUPHUFDQIRUDZKLOHFRYHUWKHODWWHUDVD QHZWH[WZULWWHQRQDSDOLPSVHVW1HYHUWKHOHVVWKHUHLVQRGRXEWWKDW VRRQHU RU ODWHU WKH SURSHU KLHUDUFK\ EHWZHHQ WKHP ZLOO EH UHVWRUHG P\VHOIZLOORYHUFRPHZKDWZDVLPSRVHGRQLWDVIRUHLJQDQGGLIIHUHQW ±WKHSDOLPSVHVWZLOOUHHPHUJH 7KLV WKHRU\ PLJKW EH QHZ WR WKH WUDYHO ZULWHU 3HWURYLü HYHQ WKRXJKKHGRHVQRWVHHPWRREMHFWWRLWEXWWKHVFLHQWLVW9XLOOHWKDGLQ DOO SUREDELOLW\ HQRXJK WLPH QRW RQO\ WR WKLQN DERXW LW EXW WR WHVW LW H[SHULPHQWDOO\ DV ZHOO ³+H GLVFRYHUHG D QHZ LQVHFW´ FRQWLQXHV 3HWURYLü³ZKLFKPLPLFVWKHIORZHURIDWUHHRQZKLFKLWOLYHV6LQFH WKHLQVHFWIDLOHGWRPLPLFWKHIORZHUSHUIHFWO\WKHIORZHURQLWVSDUW



2KWREHD(XURSHDQ:KDWGLG5DVWNR3HWURYLüOHDUQLQ$IULFD"



EHJDQ WR PLPLF WKH LQVHFW E\ DFTXLULQJ VRPH NLQG RI VPDOO OHJV LQ RUGHU WR UHSHO WKH EXWWHUIOLHV ZKLFK GHVWUR\HG LW 7KLV PXWXDO PLPHWLVP OHG WR DQ DEVROXWH FRPPRQ RXWHU LGHQWLW\´   7KH PDUJLQ RI PLPHWLVP RI HYHU\ LGHQWLW\ LV OLPLWHG WKH LQVHFW IDLOHG WR SHUIHFWO\ PLPLF WKH IORZHU WKH VHOI RI WKH LQVHFW SUHYDLOHG DQG SUHYHQWHG LWV IXOO PHWDPRUSKRVLV :KDW ZDV ODFNLQJ LQ WKH LGHQWLILFDWLRQRIWKHLQVHFWZLWKWKHIORZHUZDVVXSSOHPHQWHGE\WKH IORZHU¶VPDUJLQRIPLPHWLVPVRHYHQWXDOO\WKHWZRGLIIHUHQWHQWLWLHV ORRNHG LGHQWLFDO 7KXV WKH IORZHU EHFDPH SURWHFWHG IURP WKH EXWWHUIOLHVZKLFKGHVWUR\HGLWDQGWKHLQVHFWVDIHIURPWKHELUGVWKDW IHGRQLW 3HWURYLü LV LPSUHVVHG E\ WKH VWRULHV DQG GRHV QRW LPSO\ WKDW 9XLOOHW VKRXOG EH UHSURDFKHG IRU KLV WUDQVIRUPDWLRQ LQWR DQ $IULFDQ GXULQJ KLV ORQJ VWD\ RQ WKH FRQWLQHQW 2Q WKH FRQWUDU\ 3HWURYLü QDUUDWHG WKH VWRU\ RI 9XLOOHW¶V EHFRPLQJ DQ $IULFDQ DQG WKH VWRU\ DERXW WKH PXWXDO PLPHWLVP RI WKH LQVHFW DQG WKH IORZHU LQ WKH VDPH EUHDWKVRWKDWERWKSURFHVVHVVHHPWREHWKHUHVXOWRIWKHVDPHQDWXUDO ODZ %XW ODWHU GXULQJ KLV WUDYHOV LQ $IULFD ZKHQ KH HQFRXQWHUHG VLPLODUDWWHPSWVZKLFKGLGQRWLQYROYHLQVHFWVDQGIORZHUVEXWKXPDQ EHLQJV 3HWURYLü UHDFWHGLQ D GLIIHUHQW PDQQHU 2QO\IRXU SDJHV DIWHU WKH VWRU\ DERXW WKH VWUDQJH LQVHFWIORZHU PLPHWLVP 3HWURYLü ZULWHV WKDWLQ$IULFDRQHFDQVHH³\RXQJPHQLQZKLWH(XURSHDQWURXVHUVDQG SLQNVKLUWVWKHRQHVZLWKWDLOFRDWVDQGERZOHUKDWVDUHUDUH7KH\GDUW KHUHDQGWKHUHRQWKHLUELF\FOHVDQGORRNOLNHFKLPSDQ]HHVSDUDGHGLQ DFLUFXV´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





*HWWLQJ2YHU(XURSH



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¶V³PDUJLQLQ PH´DQG³P\VHOI´LIZHOHWLWKDSSHQZHVKDOOQRWEHDEOHWRWHOOZKDW LV ³P\VHOI´ DQ\ PRUH DQG WKH GLIIHUHQFH EHWZHHQ XV DQG WKHP ZLOO GLVDSSHDUDVZHOO 5HVSHFWIXO RI 9XLOOHW¶V VWRU\ DERXW DOPRVW EHFRPLQJ DQ $IULFDQ DIWHU PDQ\ \HDUV LQ $IULFD DQG LPSUHVVHG E\ WKH VFLHQWLILF GLVFRYHU\RIWKHPXWXDOPLPHWLVPRIWKHLQVHFWDQGWKHIORZHU5DVWNR 3HWURYLüLVDSSDOOHGE\$IULFDQVZKRDWWHPSWWRORRNDQGEHKDYHOLNH (XURSHDQV 2Q DQRWKHU RFFDVLRQ ZKLOH FURVVLQJ D ULYHU LQ D VPDOO ERDW KH REVHUYHV WZR ZRPHQ DQG D PDQ ZKR DUH WU\LQJ WR WXUQ WKH OLWWOH WKH\ NQRZ DERXW (XURSHDQ FXVWRPV DQG PDQQHUV LQWR D SHUIRUPDQFH  $OPRVWE\P\VLGHWKHQDWLYHVDPDQDQGWZRZRPHQDGGUHVVHDFKRWKHULQ )UHQFKDV0RQVLHXUDQG0DGDPHLQRUGHUWRLPSUHVVPH7KH\VFUHHFKDQG EDEEOHDWWKHWRSRIWKHLUYRLFHV7KH\LPLWDWHWKHJHVWXUHVRIZKLWHZRPHQ ZKRJRVVLSDQGORRNDVLISHUIRUPLQJRQHRI6WHULMD¶VFRPHGLHVWKH\VODS WKHPVHOYHV DQG VKULHN ³7XW WXW GRQ¶W VD\ WKDW´ 2QH RI WKH ZRPHQ H[FLWHGO\VTXHDNV³0DGDPH0DGDPHP\KXVEDQGLVPDMXVFXOHDQG,DP SDUR[\VP RKQR 0DGDPH \RX DUH QRWSDUR[\VP \RX DUH YHUEDO´ 7KH\ EHORQJ WR WKH HOLWH RI FRQYHUWHG 1HJURHV ZKR UHDG SURSDJDQGD EURFKXUHV DQG WKHQ MR\IXOO\ DQG OX[XULRXVO\ GHFRUDWH WKHPVHOYHV ZLWK VKLQ\ PHDQLQJOHVVZRUGVDVLIZLWKSHDUOQHFNODFHVPDGHRIVHDIRDP>«@$IWHU KDOI DQ KRXU WKH &KULVWLDQV ZHUH FRPSOHWHO\ H[KDXVWHG E\ WKLV DSLQJ RI UHILQHPHQW7KHZRPHQ ILUVWDWH GU\ ILVKDQGGDPSDQGKDUGEUHDGZKLFK UHVHPEOHGGLUW\EDFRQDQGWKHQVFRRSHGXSVRPHZDWHULQDFKDPEHUSRWLQ RUGHU WR UHIUHVK WKHPVHOYHV E\ ZDVKLQJ EHWZHHQ WKHLU OHJV 7KH PDQ VWLOO VWUXJJOLQJ ZLWK KLV (XURSHDQHVV OLNH VRPHRQH ZKR LV MXVW DERXW WR IDOO DVOHHS JDOODQWO\ KDQGHG WKHP KLV KDQGNHUFKLHI WR GU\ WKHPVHOYHV EHWZHHQ WKHLUOHJV  

 

7KH VLPLODULW\ EHWZHHQ 3HWURYLü¶V XQHDVLQHVV ZLWK PLPHWLVP DQG ZKDW +RPL . %KDEKDFDOOVPLPLFU\LVVWULNLQJ6HH%KDEKD  -RYDQ 6WHULMD 3RSRYLü   WKH ZULWHU ZKR LQWURGXFHG 0ROLqUH¶V W\SH RI FRPHG\LQWR6HUELDQOLWHUDWXUH



2KWREHD(XURSHDQ:KDWGLG5DVWNR3HWURYLüOHDUQLQ$IULFD"



)RU 3HWURYLüWKLV LV WKH SRLQW RI QRUHWXUQDQG RQHZRQGHUV ZKLFK SDUW DQQR\HG KLP PRVW ± WKH LPDJH RI JRVVLSLQJ ZRPHQ WKH XVHRIPHDQLQJOHVV(XURSHDQZRUGVRUWKHDWWHQGLQJWRWKHQHHGVRI LQWLPDWH K\JLHQH LQ SXEOLF" +DGWKLV VPDOO JURXS RI$IULFDQV NQRZQ WKDW WKH QHHGV RI LQWLPDWH K\JLHQH VKRXOG EH DWWHQGHG WR RQO\ LQ SULYDWH DQG WKDW D KDQGNHUFKLHI LV OHQW RQO\ LQ H[FHSWLRQDO FLUFXPVWDQFHV ZKDW ZRXOG KDYH PDGH WKHP DQ\ GLIIHUHQW IURP D JURXSRI(XURSHDQVZKRJRVVLSDQGXVHVKLQ\PHDQLQJOHVVZRUGV" ,Q RUGHU WR SUHVHUYH WKH ERUGHU EHWZHHQ WKH PDUJLQ RI PLPHWLVP DQG WKH VROLG LQWHJUDWHG LGHQWLW\ RI P\VHOI DQG WKXV WR UHLQIRUFH WKH ERUGHU EHWZHHQ XV DQG WKHP 3HWURYLü PXVW QRW DJUHH ZLWK WKHLU DSLQJ DQG FLUFXV SHUIRUPDQFHV 7KH\ DUH EHDXWLIXO ZKHQ WKH\ GLYH QDNHG EXW LI WKH\ WU\ WR DSSURDFK \RX DV HTXDOV \RX KDG EHWWHUNHHSWKHPDWDGLVWDQFH7KHQH[WWLPHKHPHWDQ$IULFDQZKR KDG XVHG KLV RZQ PDUJLQ RI PLPHWLVP 3HWURYLü EHKDYHG YHU\ FDXWLRXVO\ ³$V , LPPHGLDWHO\ UHDOLVHG WKDW KLV NLQGQHVV VPLOHV DQG ZLQNV KDG WKH SXUSRVH RI FRQYLQFLQJ PH KRZ (XURSHDQ KH ZDV WKH NLQG FDOOHG FLYLOLVp DQG &UHROH E\ WKH 1HJURHV ZKLFK LV WR P\ WDVWH WKH PRVW UHSXOVLYH SRVVLEOH UHSUHVHQWDWLYH RI WKH EODFN UDFH , WRWDOO\ UHVWULFWHG DQ\ FRUGLDOLW\ , PLJKW KDYH VKRZQ KLP´   +RZ GLG WKLV PDQ GHVHUYH 3HWURYLü¶V SXQLVKPHQW LQ WKH IRUP RI FROGQHVV DQG GLVWDQFH":HUHKLVNLQGQHVVDQGVPLOHVVXFKDQXQIRUJLYDEOHRIIHQFH" 2ULVWKHUHDGDQJHULQWKHP"³$VWKHZRUGµ&UHROH¶LPSOLHV´ZULWHV 5REHUW @7REXLOGRQH¶VRZQKRPHLQWKH ZLOGHVW SDUW E\ RQHVHOI RQ RQH¶V RZQ VWHDP LQ WKH ZLOGHUQHVV¶ $ UHDO(XURSHDQKRXVHµIRUDIWHUDOO(XURSHDQVKDYHEHVWNQRZQKRZWR EXLOG´   7KLV ZDV VD\V 3HWURYLü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ü HQWHU WKHLU KXWV  IUHHO\ DQG ZHOFRPHG  EXW WKH ZD\ DOO (XURSHDQ KRXVHV DUH HQWHUHG ± XSRQ DQ LQYLWDWLRQ7KLV QHHG RI DQ LQYLWDWLRQ ZRXOG EH D EDUULHU DV PXFK DV WKH VWURQJ ZDOOV RI WKH UHDO (XURSHDQ KRXVH DJDLQVW DQ XQZHOFRPH SUHVHQFH DW WKH GLQQHU WDEOH ,Q WKLV FRXQWU\ RI DEVROXWH DQG XQFRQGLWLRQDOKRVSLWDOLW\0UV-³RWKHUZLVHDYHU\HGXFDWHGQLFHDQG TXLHWODG\DGRFWRURIPHGLFLQH´VD\VWKDW³VKHZRXOGQHYHUDGPLWD EODFNQRPDWWHUKRZFXOWXUHGWRKHUGLQQHUWDEOHDQGWKDWVKHQHYHU PLVVHVDQRSSRUWXQLW\WROHWKLPNQRZWKDWKHEHORQJVWRDORZHUUDFH >@ (YHU\RQH ZKR WDNHV SDUW LQ WKH FRQYHUVDWLRQ FRQVLGHUV HDWLQJ DW WKH VDPH WDEOH ZLWK WKH EODFNV DV LPSRVVLEOH´   7KXV WKH DEVROXWHO\ KRVSLWDEOH KRVWV LQ WKHLU RZQ FRXQWU\ ZLOO EHFRPH JXHVWV ZKRDUHQHYHUOHWLQDQGOHGWRWKHWDEOH7KH\VKRXOGOHDUQWKDWWKH\ DUH QR ORQJHU DW KRPH ZKHUHYHU D VWURQJ (XURSHDQ KRXVH HPHUJHV



2KWREHD(XURSHDQ:KDWGLG5DVWNR3HWURYLüOHDUQLQ$IULFD"



7KLVPDGEXLOGHU1DIRUHLJQHUDQGJXHVWLQWKHFRXQWU\RIDEVROXWH KRVSLWDOLW\ \HOOV DW KLV KRVWV ³:KR LV JLYLQJ RUGHUV KHUH ZKR LV JLYLQJRUGHUVKHUH7KLVLVDODQGIRUWKHZKLWHWKLVLVDODQGIRUWKH ZKLWH GRQ¶W \RX XQGHUVWDQG WKDW ± 7KLV LV D ODQG IRU WKH ZKLWH FRQILUPWKHIULJKWHQHGEODFNVFDUHGRIKLVILVWDQGKLVELWHV´    $IULFDQVIHDU KLP DQG KH NQRZV ZHOO KRZ WR IULJKWHQ WKHP :KHQKHJHWVDQJU\DWKLVRQO\ER\VHUYDQWKHEHDWVDQGVFDUHVKLP± EXW LI WKH ER\ VWDUWV FU\LQJ 1 FRPIRUWV KLP WKURXJK VRRWKLQJ DQG FDUHVVLQJ 7KLV LV KLV ER\ ³WKH ER\ IRU KLP´   EXW WKH RWKHUV UHFHLYH PXFK KDUVKHU WUHDWPHQW ,I RQH RI 3HWURYLü¶V VHUYDQWV ³GRHV QRWREH\LPPHGLDWHO\RUQRWHQWKXVLDVWLFDOO\HQRXJK1GRHVQRWVODS KLPDVDQ\RWKHUZKLWHZRXOGGRKHELWHVKLPPDGO\DQGDEUXSWO\RQ KLVDUPVRUEDFN´  ³7KHELWWHQRQHZRXOGDOZD\VVKULHNVRPXFK DQG ORRN DW 1 ZLWK VXFK KDWH DQG VR IHDUIXOO\ UXQ DZD\ IURP KLP HYHUDIWHUWKDWZLWKRXWDGRXEWWKHELWHZDVTXLWHVHULRXV´FRPPHQWV 3HWURYLü 1 KDV D IDLUO\ UDWLRQDO H[SODQDWLRQ ³,W KXUWV WKHP DQG UHPLQGV WKHP RI EHDVWV DQG FDQQLEDOV´   1¶V ELWHV OHDYH ³EORRG\VFDUVRIWHHWK´  RQWKHVNLQRIRQHRI3HWURYLü¶VVHUYDQWV DV SURRI RI KLV VHULRXVQHVV :KLOH FOHDQLQJ DQG ELQGLQJ WKH ZRXQG 3HWURYLüWKLQNV³+HGLGQ¶WKDYHWKHULJKWWREHFDPHDFDQQLEDORUDW OHDVWVRPHWKLQJDNLQWRDFDQQLEDOHYHQWKRXJKKLVOLIHLVGLIILFXOWDQG ELWWHU´  +HGLGQ¶WKDYHWKHULJKWVD\V3HWURYLü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³KDUPRQLFDQGPXVFXODU´ERGLHV  WKHERGLHVRI³DWKOHWLF\RXQJ PHQFRPSOHWHO\QDNHG>@ZLWKORQJEDFNVQDUURZKLSVVWUDLJKWDQG VWURQJ OHJV´   ³DOPRVW ILOLJUHHOLNH LQ WKHLU PXVFXODWXUH´   JLUOV¶³EUHDVWVFROGDQGILUPVWUDLJKWDQGSHDUOLNHDQGKHDY\´   ³ZLWK QR IDW DW DOO QR RYHUGHYHORSHG PXVFOHV´   RQH ZRXOG DOPRVWVD\OHDQPHDWERGLHVZKRVHVPHOOUHPLQGVXVRI³ZLOGIUXLW´   ³URXQGHG VKRXOGHUV >@ OLNH ILUP DSSOHV´   H\HV ³WKH FRORXURIGDUNSOXPV´  ZHKDYHWKHULJKWWREH³PRVWH[FLWHG>@ E\ WKH ZRQGHUIXOO\ PRLVW SLQNQHVV RI WKHLU WRQJXHV´   DOWKRXJK





*HWWLQJ2YHU(XURSH



 ZHNQRZWKDW³WKHUHLVVRPHWKLQJEODVSKHPRXVLQWKHSLQNQHVVRIWKLV WRQJXH´DQGLQ³WKHPRLVWUHGQHVVRIWKHLQWHULRURIKHUPRXWK´   :HGRQRWKDYHWKHULJKWWRVXFFXPEWRWKLVWHPSWDWLRQZHPXVWUHVLVW WKLVEODVSKHP\RIWKHPRLVWUHGQHVVRIWKHKXPDQLQWHULRURIWKHZLOG IUXLWVPHOODQGOHDQPHDW±IRUZHNQRZWKDWRQHGRHVQRWHDWLWRUDW OHDVWWKDWZHGRQRWHDWLW7KLVLVZKDWZHWRXFKNLVVOLFNVXFNZH SHQHWUDWHWKLVPRLVWUHGQHVVZLWKRXUWRQJXHVEXWZHGRQRWELWHLWRII :HNQRZWKRXJKKRZSRURXVDQGXQVWDEOHWKHERUGHUEHWZHHQWKRVH WZR DFWLRQV LV 7KH PRVW LQIOXHQWLDO LQWHUSUHWHU RI WKH (XURSHDQ VRXO KDVH[SODLQHGWRXVWKDWERWKDFWLRQVGHULYHIURPWKHVDPHURRWEXWKH DOVR VWUHVVHG WKDW WKHLU GLYLVLRQ LV D VLJQ RI D VXFFHVVIXO VH[XDO GHYHORSPHQWZHOHDYHEHKLQGWKHFDQQLEDOLVWLFRUDOSKDVHQRPDWWHU KRZPXFKZHPLJKWKDYHHQMR\HGWKHIHHOLQJRIEHLQJDWRQHZLWKWKH ZRUOG UHSUHVHQWHG E\ PRWKHUV¶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³KDV EHHQ DEXVLQJWKHPDVRQO\KHFDQ´  7KLVHYLOVLFNDQGXQNHPSWPDQ ZLWK GLVJXVWLQJ KDELWV WKH UXLQ RI \RXWK ZKLFK NHHSV OLYLQJ RQO\ E\ YLUWXH RI KLVHQRUPRXV WRXJKQHVV FRYHUHG DOORYHU ZLWK ZRXQGV DQG VFDUV VWLOO SXUVXHV KLV WUDGLQJ EXVLQHVV LQ $IULFD ERVVHV DURXQG WZHQW\DWKOHWLFPHQXQDUPHGEHDWVDQGELWHVWKHPORRNVIRUDSODFH

 

2QWKHDVVRFLDWLRQEHWZHHQWKHVDWLVIDFWLRQRIWKHHURWRJHQLF]RQHVDQGWKHQHHGIRU QRXULVKPHQW DQG RQ WKH FRQQHFWLRQ EHWZHHQ SUHJHQLWDO VH[XDO RUJDQL]DWLRQ DQG FDQQLEDOLVP)UHXGVHH



2KWREHD(XURSHDQ:KDWGLG5DVWNR3HWURYLüOHDUQLQ$IULFD"



IRU KLV ELJ DQG VWURQJ (XURSHDQ KRXVH DQG ³VLPSO\ GHYRXUV KLV DSSHWLWHLVVRPHWKLQJXQLPDJLQDEOH´  3HWURYLü¶VUHDFWLRQWRKLP LV ORDWKLQJ DQG IDVFLQDWLRQ DOWKRXJK KH IHHOV ³D FHUWDLQ ORDWKLQJ´  KHFDQQRWEXW³DGPLWWKDWWKHELWWHUQHVVSHFXOLDULW\DQGPDGQHVV RI WKLV PDQ ZKRP HYHU\ERG\ LV VR DIUDLG RI LV VRPHWKLQJ H[WUDRUGLQDU\´  2KWREHD(XURSHDQZKDWFRQFHLW0LJKWLWEH WKDW H[DFWO\ EHFDXVH KH LV WKH JUDQGVRQ RI WKH 'XNH RI %HUU\ DQG 0DUVKDO ' KH FDQ DQG PD\ VDWLVI\ KLV GHVLUH VDWXUDWH KLV XQLPDJLQDEOHDSSHWLWHGHYRXUDQGGRHYHU\WKLQJWKDW3HWURYLüFDQQRW DQG PXVW QRW GR WKLV (XURSHDQL]HG %DONDQLWH D (XURSHDQ IURP WKH PDUJLQ VHOIDSSRLQWHG JXDUGLDQ RI (XURSHDQ FXOWXUH RI WKH LGHD RI (XURSH VWRUHG LQ WKDW IDPLO\ OLEUDU\ WXUQHG LQWR DVKHV E\ D *HUPDQ ERPE LQ $SULO  D (XURSHDQ LQVLGHU RQO\ DV ORQJ DV KH VWLFNV WR WKLV FXOWXUH DQG UHVSHFWV LWV SURKLELWLRQV" &RXQW 1 FDQ RYHUVWHS WKH ERUGHUDQGVWLOOUHPDLQDKHUHGLWDU\(XURSHDQKLV(XURSHLVQRWRQO\ WKDW IURP 3HWURYLü¶V %HOJUDGH OLEUDU\ KLV (XURSH LV DOVR WKLV ELJ VWURQJ(XURSHDQKRXVHLQWKHPLGGOHRIZLOG$IULFDZLWKUHDOSRUWUDLWV DQGPDVVLYHIXUQLWXUHZKHUHQRWHYHU\ERG\ZKRKDSSHQVWRFRPHLV DGPLWWHGWR WKH WDEOH ZLWK D URRI IURP ZKLFK RQH FDQ \HOO ³WKLV LVD ODQG IRU WKH ZKLWH 7KLV LV D ODQG IRU WKH ZKLWH´ DQG HYHQ LI KH RYHUVWHSVWKHERUGHUEHWZHHQWKHFLYLOL]HGDQGXQFLYLOL]HGKHZLOOVWLOO KDYH WKLV RWKHU (XURSH WKH RQH LQ ZKLFK 3HWURYLü ZLOO DOZD\V EH DQ RXWVLGHU DQG VLWWLQJ DW KLV PDVVLYH GLQQHU WDEOH KH ZLOO EH DEOH WR DQQRXQFHWKDWWKHQHZODZRIFLYLOL]DWLRQLVELWLQJ3HWURYLüPXVWQRW RYHUVWHSWKHERUGHUKHPXVWQRWVXFFXPEWRWKHWHPSWDWLRQKHPXVW QRWOHWJRRIWKHLGHDRI(XURSHIURPKLV%HOJUDGHERRNVIRULIKHGLG KHZRXOGEHQRPRUHWKDQDJUDQGVRQRID6XOWDQ¶VVXEMHFWWKHVRQRI 0LWD3HWURYLüZKRIRXJKWWKH7XUNVWROLEHUDWHVRXWKHUQ6HUELDVPDOO DQGZHDN+HKDVWRVWLFNWRWKHVHERRNVDQGSURKLELWLRQVDQGZKHQ KH VHHV WKDW WKH ERRNV KDYH EHHQ WXUQHG LQWR DVKHV DQG WKDW WKH SURKLELWLRQVDUHEHLQJLJQRUHGKHPXVWSURWHVWKHPXVWDVNGHPDQG EHJIRUQHZERRNVWREHSULQWHGDQGSURKLELWLRQVUHLQIRUFHGIRUWKHLU H[LVWHQFH LV KLV RQO\ FKDQFH RI EHLQJ D (XURSHDQ LQVLGHU KDYLQJ QRZKHUHHOVHWRJRIRURQO\LQVXFKD(XURSHFDQKHEHDWWKHGLQQHU WDEOHIRUWKHJUDQGVRQRIDVXOWDQ¶VVXEMHFWLVFHUWDLQO\QHYHUJRLQJWR EXLOGDELJVWURQJKRXVHLQWKHPLGGOHRIZLOG$IULFD1RPDWWHUKRZ ORDWKVRPH 1 PLJKW EH IRU EUHDNLQJ WKH ODZ DQG LJQRULQJ WKH SURKLELWLRQV 3HWURYLü QHYHU SDUWHG IURP KLP GXULQJ KLV MRXUQH\ LQ $IULFD KH VWD\HG ZLWK KLP XQWLO WKH YHU\ HQG DV DJUHHG DW WKH





*HWWLQJ2YHU(XURSH



 EHJLQQLQJRIWKHMRXUQH\EHFDXVH1ZKRFDQDQGPD\EUHDNWKHODZ DQGLJQRUHWKHSURKLELWLRQLVDOVRIDVFLQDWLQJ  7KHWRZQFULHU  (YHQ LI 3HWURYLü KDG QRW PHQWLRQHG ³-yVHI .RQUDG´   D UHDGHU ZRXOG SUREDEO\ UHFRJQL]H +HDUW RI 'DUNQHVV LQ $IULFD DQG HVSHFLDOO\LQ1DVDK\SRWH[W3HWURYLü¶VWUDYHORJXHDVDK\SHUWH[W LQYLWHV WKH UHDGHU WR D UHODWLRQDO UHDGLQJ WKH RQH GHVFULEHG LQ 3DOLPSVHVWE\*HQHWWH³RQWKHVDPHSDUFKPHQWRQHWH[WFDQEHFRPH VXSHULPSRVHG XSRQ DQRWKHU ZKLFK LW GRHV QRW TXLWH FRQFHDO EXW DOORZV WR VKRZ WKURXJK >@ 7KH K\SHUWH[WLQYLWHV XV WR HQJDJH LQ D UHODWLRQDOUHDGLQJ´ *HQHWWH  ,Q &RQUDG V +HDUW RI 'DUNQHVV .XUW] LV DOVR D SDUDGLJPDWLF (XURSHDQ LQ $IULFD ,Q DGGLWLRQ WR KLV *HUPDQ VXUQDPH KH LV LQWURGXFHG E\ WKH QDUUDWRU 0DUORZ DV VRPHRQH ZKR VWXGLHG LQ (QJODQGERUQWRDKDOI(QJOLVKPRWKHUDQGDKDOI)UHQFKIDWKHUDQG WKXV³>D@OO(XURSHFRQWULEXWHGWRWKHPDNLQJRI.XUW]´ &RQUDG   (XURSH H[SHFWV PXFK RI LWV FUHDWLRQ ³2K KH ZLOO JR IDU YHU\ IDU´VD\VVRPHRQHZKRNQRZVKLPZHOO³+HZLOOEHVRPHERG\LQWKH $GPLQLVWUDWLRQEHIRUHORQJ7KH\DERYH±WKH&RXQFLOLQ(XURSH\RX NQRZ±PHDQKLPWREH´ &RQUDG .XUW]LVDOVRLQVWUXPHQWDO LQ (XURSH¶V SODQ IRU $IULFD   VR PXFK VR WKDW WKH ,QWHUQDWLRQDO 6RFLHW\IRUWKH6XSSUHVVLRQRI6DYDJH&XVWRPVDQRUJDQL]DWLRQWKDW KDVFLYLOLVLQJ$IULFDDVLWVDLPKDVHQWUXVWHGKLPZLWKZULWLQJDUHSRUW  .XUW] LV WKH HPERGLPHQW RI &KULVWLDQ PHUF\ (XURSHDQ VFLHQFH DQG SURJUHVV   (XURSHDQ LGHDV RI MXVWLFH ³, ZDQW QR PRUH WKDQ MXVWLFH´ DQGULJKWV ³OLYHULJKWO\´ DQGRIWKHPRGHUQLGHDORI EXVLQHVVHIILFLHQF\ ³DILUVWFODVVDJHQW«6HQGVLQDVPXFKLYRU\DVDOO WKH RWKHUV SXW WRJHWKHU´   +H DOVR UHSUHVHQWV WKH EHVW RI JUHDW (XURSHDQ DUWLVWLF DFKLHYHPHQWV .XUW] LV ³HVVHQWLDOO\ D JUHDW PXVLFLDQ´ ³D SDLQWHU´   DQG D SRHW   %ULHIO\ ³D XQLYHUVDO JHQLXV´  1HYHUWKHOHVVRIDOOKLVJLIWV³WKHRQHWKDWVWRRGRXWSUH HPLQHQWO\WKDWFDUULHGZLWKLWDVHQVHRIUHDOSUHVHQFHZDVKLVDELOLW\ WR WDON KLV ZRUGV ± WKH JLIW RI H[SUHVVLRQ WKH EHZLOGHULQJ WKH LOOXPLQDWLQJ´  .XUW]¶V UHSRUW WR WKH ,QWHUQDWLRQDO 6RFLHW\ IRUWKH 6XSSUHVVLRQ RI 6DYDJH &XVWRPV ³ZDV HORTXHQW YLEUDWLQJ ZLWK HORTXHQFH´   DQG KLV PRQRORJXHV ZHUH QRW RQO\ ³VSOHQGLG´ EXW DOVRH[SUHVVLYHRIWKHKLJKHVW(XURSHDQLGHDOVRIORYHDQGMXVWLFH  



2KWREHD(XURSHDQ:KDWGLG5DVWNR3HWURYLüOHDUQLQ$IULFD"



,W LV WKHUHIRUH QRW D VXUSULVH WKDW EHIRUH FRPLQJ WR $IULFD .XUW] ZRUNHG DV D MRXUQDOLVW :ULWLQJ IRU QHZVSDSHUV WDNLQJ SDUW LQ WKH SXEOLFVSKHUHRIGHPRFUDWLFVRFLHWLHVUHDOO\LVWKHJHQXLQHGRPDLQRI WKH MXVW DQG WKH ULJKW DQG ZKDW¶V PRUH WKH HQOLJKWHQLQJO\ HORTXHQW +HUH ZKHUH RXU PRVW FKHULVKHG LGHDV DUH VKDSHG ZKHUH RXU PRVW SUHFLRXV LGHDOV DUH UHSUHVHQWHG DQG GHIHQGHG ZKHUH RXU SODQV DUH H[SRVHG WR SXEOLF GHEDWH EHIRUH EHFRPLQJ RXU SROLFLHV MXVW DQG HORTXHQWXQLYHUVDOJHQLXVHVDUHPRVWQHHGHG$QGIURPLWWKHUHLVRQO\ DVPDOOVWHSWRSROLWLFVLQZKLFKWKHDGYRFDWHVRIMXVWLFHDQGSURJUHVV JHW D FKDQFH WR EULQJ WUXH WKHLU LGHDV ³.XUW]¶V SURSHU VSKHUH´ VD\V RQHRIWKRVHZKRKDGWKHKRQRXURINQRZLQJKLP³RXJKWWRKDYHEHHQ SROLWLFV RQ WKH SRSXODU VLGH >«@ +H ZRXOG KDYH EHHQ D VSOHQGLG OHDGHURIDQH[WUHPHSDUW\´   1HYHUWKHOHVV WKH VXEOLPHO\ H[SUHVVHG LGHDOV RI ORYH MXVWLFH DQGSURJUHVVFDQQRWFRQFHDOWKHWUXWKRI.XUW]¶V$IULFDQHQJDJHPHQW 8SRQKHDULQJZKDW.XUW]¶VDGPLUHUVKDYHWRVD\DERXWKLP0DUORZLV OHIW ZLWK D VLPSOH FRQFOXVLRQ ³7R VSHDN SODLQO\ KH UDLGHG WKH FRXQWU\´  $QGXSRQVHHLQJVSLNHGKHDGVVXUURXQGLQJ.XUW]¶VKXW 0DUORZRXJKWWRKDYHQRWLFHGWKDWWKHUHLVVRPHWKLQJLQLWWKDWFDQQRW EH H[SODLQHG VROHO\ E\ EXVLQHVV HIILFLHQF\ DQG .XUW]¶V QHHG WR DFFXPXODWH DV PXFK LYRU\ DV SRVVLEOH ³7KHUH ZDV QRWKLQJ H[DFWO\ SURILWDEOH LQ WKHVH KHDGV EHLQJ WKHUH 7KH\ RQO\ VKRZHG WKDW 0U .XUW] ODFNHG UHVWUDLQW LQ WKH JUDWLILFDWLRQ RI KLV YDULRXV OXVWV´   (YHQ LI LW ZRXOG EH XQGHUVWDQGDEOH 0DUORZ WKLQNV IRU VRPHRQH WR VXUURXQGKLVKXWZLWKVSLNHGKHDGVLQVWHDGRIIORZHUVLISURILWZHUHDW VWDNHZK\ZRXOGRQHGRLWLILWZHUHQRWSURILWDEOH")URPWKHSRLQWRI YLHZ RI EXVLQHVV UDWLRQDOLW\ WKLV LV D SXUH VXUSOXV LUUDWLRQDO LQ WKH PHDQLQJ RI VDWLVI\LQJ RQH¶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¶V KDELWDWLQWKH KHDUW RIWKH 'DUN&RQWLQHQW&RQUDG¶V0DUORZGLVFRYHUVWKDWWKHOXVWIRUGHDWKDQG SOHDVXUH LQ LWV VSHFWDFOH LV QRW D PHUH H[WUDSURILW RI WKH FRORQLDO HFRQRP\ EXW D PRWLYH HTXDOO\ DV VWURQJ DV SURILW WDNLQJ LYRU\ DQG





*HWWLQJ2YHU(XURSH



 JLYLQJ GHDWK JR KDQG LQ KDQG EXW WKH ODWWHU KDV LWV ULJKWV LQGHSHQGHQWO\RIWKHIRUPHU7KLVLVWKHVHFUHWGLVFRYHUHGE\0DUORZ LQ$IULFDDQGLWLVFU\SWLFDOO\H[SUHVVHGLQWKHPXUPXUVRIWKHG\LQJ XQLYHUVDO JHQLXV ³/LYH ULJKWO\ GLH GLH«´   /LYH ULJKWO\ ZLGHQ WKH ERXQGDULHV RI FLYLOL]DWLRQ DQG VXSSUHVV EDUEDULW\ UHSUHVHQW SURJUHVV MXVWLFH VFLHQFH DQG EXVLQHVV HIILFLHQF\ FUHDWH SRHWU\ DQG PXVLF SDLQW DQG HPSOR\ \RXU VSOHQGLG HORTXHQFH WR DUWLFXODWH &KULVWLDQLGHDOVRIORYHDQGSLW\³'LHGLH´WKHIDVFLQDWLRQZLWKGHDWK ZKLFK FUHDWHV WKH ³OLJKWOHVV UHJLRQ RI VXEWOH KRUURUV ZKHUH SXUH XQFRPSOLFDWHGVDYDJHU\ZDVDSRVLWLYHUHOLHI´  ,QWKHKHDUWRIWKLV OLJKWOHVVUHJLRQWKHUHLV.XUW]¶VIDVFLQDWLRQZLWK GHDWKOXVWIRUGHDWK DQGSOHDVXUHWDNHQIURPLW7KLVLVD(XURSHDQVHFUHWWKDWFRQIXVHVWKH VDYDJHV 0DUORZWKH(QJOLVKPDQSDVVHVRYHUWKLVVHFUHWLQVLOHQFHDQG WHOOV.XUW]¶V,QWHQGHGWKDWKLVODVWZRUGVZHUH±KHUQDPH7KLVIDOVH URPDQWLFLVPRIORYHDQGGHYRWLRQKDVWRFRQFHDOWKHWUXWKRI.XUW]¶V ILQDO UHYHODWLRQ ZKLFK FDQQRW EHH[SUHVVHG DQ\ RWKHU ZD\ WKDQ ZLWK WKH ZRUG ³KRUURU´ 7KH VHFUHW ZKLFK LV ³WRR GDUN´   LV EHLQJ UHSUHVVHG GHHS GRZQ DZD\ IURP WKH VLJKW RI WKH HWKLFDOO\ PRUH VHQVLWLYH JHQGHU 7RR GDUN VHFUHWV DUH QRW UHYHDOHG LQ EULJKW URRPV ³LQ D ORIW\ GUDZLQJURRP ZLWK WKUHH ORQJ ZLQGRZV IURP IORRU WR FHLOLQJ WKDW ZHUH OLNH WKUHH OXPLQRXV DQG EHGUDSHG FROXPQV´   'DUN VHFUHWV EHORQJ WR WKH GDUN FRQWLQHQW DQG VKRXOG VWD\ WKHUH 7R SXW LW GLIIHUHQWO\ WKH\ VKRXOG EH VHQW WKHUH DOWKRXJK WKH\ DUH RXU VHFUHWV WKH\ VKRXOG EH H[SHOOHG WR WKH GDUN FRQWLQHQW (QRUPRXV SRZHU LV QHHGHG IRU WKH RSHUDWLRQ E\ ZKLFK D ZKROH FRQWLQHQW LV WUDQVIRUPHGLQWRDVSRLODUHDIRURXUGDUNVHFUHWVLQWRDUHJLRQIRURXU UHSUHVVLRQ DQG WKXV LQWR RXU XQFRQVFLRXVQHVV LQWR RXU SURMHFWLRQ RI ZKDW ZH GR QRW ZDQW WR EH ± LQWR RXU ³OLJKWOHVV UHJLRQ RI VXEWOH KRUURUV´ LQ ZKLFK ZH DUH DOORZHG HYHU\WKLQJ HYHQ UHJUHVVLRQ LQWR D VWDWHWKDWZHKDYHVXFFHVVIXOO\OHIWEHKLQGLQERWKRXULQGLYLGXDODQG FLYLOL]DWLRQDOGHYHORSPHQW:KDWFRQFHLWGLVFUHHWO\NHHSLQJWRRGDUN D VHFUHW WKDW RQH KDV WKH ULJKW WR UHJUHVVLRQ DQG WKH SRZHU WR EODPH RWKHUVIRULW 7KHVHFUHWVRZHOONHSWLQ/RQGRQE\WKH(QJOLVK0DUORZLV UHYHDOHGLQ+HDUWRI'DUNQHVVE\WKHWRZQFULHU-yVHI7HRGRU.RQUDG .RU]HQLRZVNL +H FULHV VR ORXGO\ WKDW LW HFKRHV HYHQ LQ 3HWURYLü¶V $IULFD IURP WKH PRPHQW 1 HQWHUV WKH WUDYHORJXH ³WKHUH ZDV DQ LQYLVLEOH -yVHI .RQUDG WRR´ ZULWHV 3HWURYLü    ,QYLVLEO\



2KWREHD(XURSHDQ:KDWGLG5DVWNR3HWURYLüOHDUQLQ$IULFD"



SUHVHQWDVDSDOLPSVHVWEHQHDWK$IULFD&RQUDG¶VVKRUWQRYHOVXUIDFHV WKURXJK3HWURYLü¶VWH[WDQGLQWHQVLILHVDOOWKHDXWKRU¶VLPSUHVVLRQVDOO SHRSOH KH KDG PHW DQG PRVW RI DOO WKH PDLQ FKDUDFWHU RI KLV WUDYHORJXH ± 1 $ UHDGHU ZKR NQRZV KRZ WR UHDG UHODWLRQDOO\ ZLOO UHFRJQL]H LQ 3HWURYLü¶V WUDYHORJXH D WUDQVIRUPDWLRQ RI D (XURSHDQ OLWHUDU\ JHQUH DQG RI D WH[W ZULWWHQ LQ (QJOLVK E\ DQ (DVW (XURSHDQ ZKR KDV EHFDPH D FODVVLF RI (QJOLVK OLWHUDWXUH 7KH 8NUDLQLDQ 3ROH &RQUDG UHYHDOHG WKH VHFUHW DERXW SRZHU DERXW NHHSLQJ WKH GDUN (XURSHDQ VHFUHW LQ D SDU H[FHOOHQFH (XURSHDQ OLWHUDU\ JHQUH DQG LQ RQHRIWKH:HVW(XURSHDQODQJXDJHV,QRUGHUWRUHFDOOKLVHFKRLQD QHZWH[W3HWURYLüKDGKDGWRDFTXLUHERWKWKHJHQHULFDQGOLQJXLVWLF FRPSHWHQFHZKLFKPDGHLWSRVVLEOHIRUKLPWRWUDQVIRUPDQGUHZULWH &RQUDG¶VZULWLQJJHVWXUH³,QRUGHUWRLPLWDWHDWH[W´FODLPV*HQHWWH ³LWLVLQHYLWDEO\QHFHVVDU\WRDFTXLUHDWOHDVWDSDUWLDOPDVWHU\RILWD PDVWHU\ RI WKDW VSHFLILF TXDOLW\ ZKLFK RQH KDV FKRVHQ WR LPLWDWH´ *HQHWWH    %\ WUDQVIRUPLQJ &RQUDG¶V K\SRWH[W 3HWURYLü WRR UHYHDOVWKH(XURSHDQVHFUHWDERXWSRZHUDQGDERXWNHHSLQJWKHVHFUHW E\ HPSOR\LQJ D (XURSHDQ PHDQV RI FXOWXUDO H[SUHVVLRQ :KDW HOVH FRXOGKHKDYHGRQHWKLVZLWK"(YHQZKHQKHZDQWVWRFRQIURQW(XURSH ZLWKZKDWLWZRXOGSUHIHUWRSDVVRYHULQVLOHQFH3HWURYLüDVPXFKDV &RQUDG KDV QR FKRLFH EXW WR GR LW LQ D (XURSHDQ ZD\ )RU KH KDV QRWKLQJHOVH  3HWURYLüOHDUQVIDVW  7KHPDVWHU\RI(XURSHDQPHDQVRIFXOWXUDOH[SUHVVLRQLILWLV WKHRQO\PDVWHU\KHKDGDFKLHYHGZDVQRWHQRXJKWRUHOLHYHKLPIURP KLVQHUYRXVQHVVDERXWLGHQWLW\6RPHWKLQJHOVHLVQHHGHGDQG3HWURYLü VHHPVUHDG\WROHDUQ&RXOGLWEHWKDW3HWURYLüVWD\HGZLWK1EHFDXVH KHZDQWHGWROHDUQVRPHWKLQJ"6XUHO\WKHUHLVVRPHWKLQJWROHDUQIURP 1 WKH PDG EXLOGHU ZKR WKRXJK XQDUPHG VWULNHV IHDU LQ WZHQW\ DWKOHWLF PHQ $QG 3HWURYLü OHDUQV IDVW KH LV EHLQJ FDUULHG LQ D SDODQTXLQ ZKRVH HQGV UHO\ RQ WKH KHDGV RI WZR $IULFDQ PHQ LQ WKH WHUULEOH$IULFDQKHDWXSKLOO  7KH\ ORVH WKHLU EUHDWK WKH ZRRG VOLSV GRZQ IURP WKHLU KHDGV DQG WKHLU HIIRUWDWILUVWVLJKWVHHPVHQRUPRXV,KDYHDVOLJKWO\JXLOW\FRQVFLHQFHIRU ZHLJKLQJGRZQRQWKHKHDGVRIWKHVHSRRUGHYLOVDOWKRXJKWKH\WHOOPHWKDW ,VKRXOGQ¶WWLUHP\VHOILI,GRQ¶WZDQWWRFDWFKDWURSLFDOIHYHUWKDWWKH\DUH





*HWWLQJ2YHU(XURSH



 KHUHWKURXJKWKHLURZQZLOODQGWKDWIRUWKHPDOOWKDWLVQRWWRRPXFKRIDQ HIIRUWDIWHUDOO   

7KHUHKHJRHV 

   





   

7KHJUHDWPHFKDQLVPSDVVHVWKURXJK9LãHJUDG   ,I DVNHG ZKDW $QGULü¶V QRYHO 7KH %ULGJH RYHU WKH 'ULQD LV DERXWPRVWUHDGHUVZRXOGDQVZHUWKDWLWLVDERXWWKHHQWLUHKLVWRU\RI WKHEULGJHDQGWKHWRZQRI9LãHJUDGIURPWKHVL[WHHQWKFHQWXU\ZKHQ 0HKPHG 3DVKD 6RNRORYLü GHFLGHG WR KDYH LW EXLOW WR WKH HDUO\ WZHQWLHWK FHQWXU\ $OWKRXJK WKHUH LV QRWKLQJ WR REMHFW WR LQ WKLV GHVFULSWLRQRIWKHQRYHOLWVHHPVPRUHDFFXUDWHWRVD\WKDW7KH%ULGJH RYHU WKH 'ULQD LV DFWXDOO\ PRUH DERXW WKH VRFLDO DQG HFRQRPLF PRGHUQL]DWLRQ RI %RVQLD DQG +HU]HJRYLQD WKDQ WKH KLVWRU\ RI 9LãHJUDG7KHILUVW WZRILIWKV RIWKHQRYHO QDUUDWH WKH WRZQ¶VKLVWRU\ IURPWKHVL[WHHQWKXQWLOWKHODVWTXDUWHURIWKHQLQHWHHQWKFHQWXU\WKH UHPDLQLQJWKUHHILIWKVUHIHUWRDSHULRGRIRQO\WKLUW\VL[\HDUV±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ãHJUDG DOUHDG\ JLYHV DQ LQGLFDWLRQ DV WR WKH H[WHQW RI FKDQJHWKHSURYLQFHZDVDERXWWRXQGHUJR7KLVZDVQRWWKHILUVWDUP\ WRDUULYHLQWKLVWRZQRQWKH'ULQDKRZHYHUWKLVWLPHWKHUHZHUHQR VHYHUHGKHDGVH[KLELWHGRQWKHEULGJHQRSLOODJHDQGH[FHVVYLROHQFH DQG QR EORRGFXUGOLQJ VWRU\ DERXW LWV FRPPDQGHU SUHFHGLQJ KLV YHU\ DUULYDO ZKLFK ZDV D UHJXODU RFFXUUHQFH ZKHQHYHU DQ 2WWRPDQ H[SHGLWLRQFDPHWR%RVQLD7KHFRPPDQGHUGLGQRWH[WRUWEULEHVDQG



*HWWLQJ2YHU(XURSH

 GLGQRWGHPDQGIODWWHU\DQGFHUHPRQLDOULWXDOVRIVXEPLVVLRQKHRQO\ DVNHG IRU³SHDFHDQGRUGHU´ $QGULü   +H SDVVHGWKURXJK 9LãHJUDG IDFHOHVV DQG UHPDLQHG DQRQ\PRXV DV DQ HIILFLHQW PLOLWDU\ EXUHDXFUDW ZKR SHUIRUPHG KLV WDVN ZLWK FRPSHWHQFH DQG IROORZLQJ WKHSUHVFULEHGSURFHGXUHZLWKRXWVKRZLQJWKHKXPDQVLGHRIKLPVHOI DQGZLWKRXWH[SHFWLQJWKHSHRSOHRI9LãHJUDGWRGRVRHLWKHU+HGLG QRWSHUFHLYHWKHPDVKXPDQEHLQJVHDFKRIWKHPZDVIRUKLPEXWDQ ³REMHFWDQGPHDQVRIZDUDQGFRQIOLFW´  ,PPHGLDWHO\DIWHUKLP IROORZHG D ORQJ SURFHVVLRQ RI FLYLO EXUHDXFUDWV ± LQ 0D[ :HEHU¶V YLHZRQHRIWKHWZRPDLQSLOODUVRIPRGHUQL]DWLRQ±DQGWKLVLVKRZ WKHWUDQVIRUPDWLRQRI9LãHJUDGEHJDQ 7KH EXVLQHVV RI WKH EXUHDXFUDWV FRXOG QRW EXW DVWRQLVK WKH SHRSOHRI9LãHJUDGXQXVHGDVWKH\ZHUHWRWKHQHHGVRIPRGHUQL]LQJ VRFLHWLHV WR ³RUGHU ZKDW LQ LWV µQDWXUDO¶ VWDWH LV OHVV RUGHUHG RU HYHQ UDQGRPO\RFFXUULQJ´ 6LFD 1HYHUDWSHDFHWKHPVHOYHVWKH QHZUXOHUVRI%RVQLDZRXOGOHDYHQRRQHDWSHDFH  UHVROYHG ZLWK WKHLU LPSDOSDEOH \HW HYHU PRUH QRWLFHDEOH ZHE RI ODZV UHJXODWLRQVDQGRUGHUVWRHPEUDFHDOOIRUPVRIOLIHPDQEHDVWVDQGWKLQJV DQGWRFKDQJHDQGDOWHUHYHU\WKLQJERWKWKHRXWZDUGDSSHDUDQFHRIWKHWRZQ DQGWKHFXVWRPVDQGKDELWVRIPDQIURPWKHFUDGOHWRWKHJUDYH>«@:LWK HDFK UHJXODWLRQ PHQ VDZ WKHLU LQGLYLGXDO OLEHUWLHV FXUWDLOHG RU WKHLU REOLJDWLRQV LQFUHDVHG EXW WKH OLIH RI WKH WRZQ DQG WKH YLOODJHV DQG RI DOO WKHLULQKDELWDQWVDVDPDVVEHFDPHZLGHUDQGIXOOHU $QGULü  

7KH SHRSOH RI 9LãHJUDG ZHUH QRZ VSDUHG LUUDWLRQDO DQG DUELWUDU\ YLROHQFH ± DQLPDJH RI ZKLFK ZDV $OLKRGåD¶V HDU QDLOHGWR WKH EULGJH¶V JDWH ± DOWKRXJK WKHUH ZDV D FHUWDLQ GHJUHH RI YLROHQFH DJDLQVW WKH QDWXUDO VWDWH RI WKLQJV LQ ZKLFK SHRSOH DQG DQLPDOV KDG OLYHGXSXQWLOWKHDUULYDORIWKHPRGHUQL]HUV+RZHYHUZKRFDQFODLP WKDWWKHVHWZRIRUPVRIYLROHQFHZHUHFRPSDUDEOH"+RZFDQVHYHUHG KHDGV H[KLELWHG RQ WKH EULGJH RU $OLKRGåD¶V HDU QDLOHG WR LW EH FRPSDUHG WR SHUPLWV IRU WKH PRYHPHQW RI FDWWOH DQG UHJXODWLRQV IRU WKHPDQQHURIVDOHRIIUXLW"7KHQDUUDWRURIWKHQRYHOGRHVQRWFODLP



 , TXRWH IURP /) (GZDUGV¶ WUDQVODWLRQ $QGULü   DQG RFFDVLRQDOO\ IURP WKH 6HUER&URDWRULJLQDO $QGULü IRUWKHVDNHRIFODULW\ ZKHUH,LQFOXGHP\RZQ WUDQVODWLRQV  7KHQRWLRQRIPRGHUQL]DWLRQ,IROORZKHUHUHOLHVRQ:HEHU¶V(FRQRP\DQG6RFLHW\ DQG 7KH 3URWHVWDQW (WKLFV DQG WKH 6SLULW RI &DSLWDOLVP DQG RQ WKH :HEHULQVSLUHG WKHRU\RIPRGHUQL]DWLRQGHYHORSHGE\3HWHU/%HUJHU%ULJLWWH%HUJHUDQG+DQVIULHG .HOOQHU  



7KHJUHDWPHFKDQLVPSDVVHVWKURXJK9LãHJUDG



WKDWRQWKHFRQWUDU\WKHQDUUDWRUXQGHUOLQHVWKDWWKHQHZJRYHUQPHQW ZDV³LPSHUVRQDODQGLQGLUHFWDQGIRUWKDWUHDVRQPRUHHDVLO\EHDUDEOH WKDQ WKH IRUPHU 7XUNLVK UXOHUV $OO WKDW ZDV FUXHO DQG JUDVSLQJ ZDV FRQFHDOHGE\WKHGLJQLW\DQGJOLWWHURIWUDGLWLRQDOIRUPV´   7KH QHZ VWDWH KHOSHG E\ LWV HIILFLHQW DGPLQLVWUDWLYH DSSDUDWXV KDG VXFFHHGHG³LQD SDLQOHVVPDQQHU ZLWKRXW EUXWDOLW\ RU FRPPRWLRQ WR H[WUDFW WD[HV DQG FRQWULEXWLRQV IURP WKH ORFDO SHRSOH ZKLFK WKH 7XUNLVK DXWKRULWLHV KDG H[WUDFWHG E\ FUXGH DQG LUUDWLRQDO PHWKRGV RU E\VLPSOHSOXQGHUDQGPRUHRYHULWJRWDVPXFKRUPRUHHYHQPRUH VZLIWO\ DQG VXUHO\´    7KLV QHZ JRYHUQPHQW ZDV UDWLRQDO HIILFLHQW ZHOO FRRUGLQDWHG DQG PLQGIXO RI FRVWV DQG EHQHILWV 7KLV JRYHUQPHQW FRQVHTXHQWO\ HDVLO\ PDQDJHG WR DFFRPSOLVK HYHU\WKLQJ WKDWWKHIRUPHURQHFRXOGGRRQO\ZLWKSOHQW\RIVRXQGDQGIXU\LWKDG EHJXQ E\ QXPEHULQJ KRXVHV DQG FRPSLOLQJ OLVWV RI WKH WRZQ¶V LQKDELWDQWVDQGWZR\HDUVODWHUXVHGWKHVHOLVWVWRFDOOXS\RXQJPHQ $OWKRXJKZRPHQUHDFWHGWRWKHGUDIWLQWKHVDPHPDQQHUDVWKH\KDG UHDFWHGWRWKH7XUNLVKGHYúLUPH±ZLWKGHVSHUDWHFULHVDQGKRZOV±LW WXUQHGRXWWKDWWKLVUDWLRQDOO\SODQQHGDQGEXUHDXFUDWLFDOO\RUJDQL]HG FDOOXSZDVIDUPRUHKXPDQHDQGHDVLHUWREHDUWKDQWKH2WWRPDQRQH $OWKRXJKQRRQHJRWWKHRSSRUWXQLW\WRFOLPEXSWKHODGGHURISRZHU LQ WKH QHZ HPSLUH DV KDG RFFDVLRQDOO\ KDSSHQHG LQ WKH 2WWRPDQ HPSLUH DOO WKH ER\V UHWXUQHG WKH IROORZLQJ DXWXPQ ³FOHDQ FORVH FURSSHG DQG ZHOOIHG´    :LWKRXW JUHDW HQWKXVLDVP 9LãHJUDGHYHQWXDOO\DFFHSWHGLW 9LãHJUDG DOVR FRQVHQWHG WR WKH SHUPDQHQW FKDQJHV LQ LWV SK\VLFDODSSHDUDQFH  WKH QHZFRPHUV FXW GRZQ WUHHV SODQWHGQHZ RQHV LQ RWKHU SODFHV UHSDLUHG WKHVWUHHWVFXWQHZRQHVGXJGUDLQDJHFDQDOVEXLOWSXEOLFEXLOGLQJV,QWKH ILUVW IHZ \HDUV WKH\ SXOOHG GRZQ LQ WKH PDUNHWSODFH WKRVH ROG DQG GLODSLGDWHGVKRSVZKLFKZHUHRXWRIOLQHDQGZKLFKWRWHOOWKHWUXWKKDGXS WLOO WKHQ LQFRQYHQLHQFHG QR RQH >«@ 7KH PDUNHWSODFH ZDV OHYHOOHG DQG ZLGHQHG$QHZNRQDNZDVHUHFWHGDJUHDWEXLOGLQJLQWHQGHGWRKRXVHWKH ODZFRXUWVDQGWKHORFDODGPLQLVWUDWLRQ>«@7KH\SXWXSEDUUDFNVFOHDUHG ZDVWHODQGSODQWHGDQGFKDQJHGWKHDSSHDUDQFHRIZKROHKLOOV  

 7KLVWLUHOHVVDFWLYLW\RIWKHIRUHLJQHUVZKRQHLWKHUUHVWHGQRU OHWRWKHUVUHVWSX]]OHGWKHSHRSOHRI9LãHJUDGZKRVWLOOEHOLHYHGWKDW ³VZHHWVLOHQFH´WUDQTXLOOLW\DQGOHWWLQJWKHZRUOGEHZKDWLWLVDUHWKH ³PDLQDLP>V@RIH[LVWHQFHDQGWKHPRVWSHUIHFWH[SUHVVLRQ>V@RISXEOLF DQG SULYDWH OLIH´    7KH\ LQWHUSUHWHG WKH IRUHLJQHUV¶







*HWWLQJ2YHU(XURSH

 FHDVHOHVVDFWLYLW\DVXQKHDOWK\DQGDEDGRPHQLILWKDGEHHQXSWRWKH SHRSOHRI9LãHJUDGWRGHFLGHWKHWRZQZRXOGKDGEHHQOHIWLQSHDFH ³>Z@KDW EXUVW ZRXOG EH SDWFKHG XS ZKDW OHDQW ZRXOG EH VKRUHG XS EXWEH\RQGWKDWQRRQHZRXOGQHHGOHVVO\FUHDWHZRUNRUPDNHSODQVRU LQWHUIHUH LQ WKH IRXQGDWLRQV RI EXLOGLQJV RU FKDQJH WKH DVSHFW ZKLFK *RGKDGJLYHQWRWKHWRZQ´   7KHIRUHLJQHUV¶UHVWOHVVQHVVLVWKHPRVWREYLRXVDVSHFWRIWKH PRGHUQL]DWLRQ SHUIRUPHG E\ D )DXVWLDQ SRZHU ,WV FRUH UXOH FODLPV WKDWQRWKLQJQHZFDQEHFUHDWHGXQOHVVWKHROGKDVEHHQGHVWUR\HGDQG WKDWZKDWLVEHLQJFUHDWHGZLOOLQWXUQDOVRKDYHWREHVPDVKHGWRPDNH URRP IRU QHZ FUHDWLRQV LQ WKH IXWXUH 7KHUH LV QR VWDELOLW\ DQG SHUPDQHQFHLQWKHPRGHUQL]LQJZRUOGIRUHYHU\KDOWRSHQVWKHGRRUWR GHDWK*RHWKH¶V)DXVWWKHILUVWKHURRIWKHPRGHUQDJH±DQGWKHILUVW KHUR RI VRFLDO PRGHUQL]DWLRQ DV ZHOO ± OHG E\ KLV GHVLUH IRU GHYHORSPHQW FDQ DQG PD\ GR ZKDWHYHU KH ZDQWV VDYH XWWHULQJ WKH ZRUGV YHUZHLOH GRFK GX ELVW VR VFK|Q WKLV PRPHQW RI FRPLQJ WR D VWDQGVWLOORIJLYLQJXSRQHWHUQDOGHYHORSPHQWRIDGPLVVLRQWKDWWKH DLP KDV EHHQ UHDFKHG IRU )DXVW PHDQV GHDWK  )RU PRGHUQL]DWLRQ WKHUH LV QR DLP LQ ZKLFK LW FRXOG KDOW DQG VXUUHQGHU WR VZHHW WUDQTXLOOLW\EHFDXVHLWVDLPLVWKHYHU\SURFHVVRIFKDQJHLWVHOI6RPH RIWKLVZDVVHQVHGE\WKHSHRSOHRI9LãHJUDGZKRDVNHG  ZKHUHLVDOOWKLVOHDGLQJDQGZKHUHZLOOLWVWRS":KRDQGZKDWZHUHWKHVH VWUDQJHUV ZKR LW VHHPHG GLG QRW NQRZ WKH PHDQLQJ RI UHVW DQG UHVSLWH NQHZQHLWKHUPHDVXUHQRUOLPLWV":KDWGLGWKH\ZDQW":LWKZKDWSODQVKDG WKH\ FRPH" :KDW ZDV WKLV UHVWOHVVQHVV ZKLFK FRQWLQXDOO\ GURYH WKHP RQ OLNHVRPHFXUVHWRQHZZRUNVDQGHQWHUSULVHVRIZKLFKQRRQHFRXOGVHHWKH HQG">«@7KLVFRQWLQXDOQHHGRIWKHQHZFRPHUVWREXLOGDQGUHEXLOGWRGLJ DQG SXW EDFN DJDLQ WR SXW XS DQG PRGLI\ WKLV HWHUQDO GHVLUH RI WKHLUV WR IRUHVHH WKH DFWLRQ RI QDWXUDO IRUFHV WR DYRLG RU VXUPRXQW WKHP QR RQH HLWKHUXQGHUVWRRGRUDSSUHFLDWHG  

 7KHUH LV QHLWKHU PHDVXUH QRU OLPLW IRU WKH PHDQLQJ RI WKH PRGHUQL]LQJ SURFHVV LV WR HUDVH DOO OLPLWV WR KXPDQ DFWLYLW\ LQ PDVWHULQJQDWXUHDQGVLPXOWDQHRXVO\WRRUGHURUJDQL]HFODVVLI\DQG UHJXODWHOLIHLWVHOI,IWKLVUHDOO\LVDFXUVHDVWKHSHRSOHRI9LãHJUDG VHQVHGWKHQLWLVWKHFXUVHRIFHDVHOHVVFKDQJHDQGWUDQVIRUPDWLRQRI

 

2QWKHUROHSOD\HGE\*RHWKH¶V)DXVWLQ:HEHU¶VWKHRU\RIPRGHUQL]DWLRQVHH6LFD  RQ )DXVW DV D WUDJHG\ RI GHYHORSPHQW DQG 0DU[¶V LQWHUSUHWDWLRQ RI PRGHUQ FDSLWDOLVPVHH%HUPDQ



7KHJUHDWPHFKDQLVPSDVVHVWKURXJK9LãHJUDG



HYHU\ DLP LQWR D PHDQV (YHU\ DFKLHYHG DLP EHFRPHV D PHDQV IRU DFKLHYLQJDQHZDLPZKLFKLQWXUQZLOOEHFRPHDPHDQVLWVHOIDORQJ DOLQHRIHQGOHVVSURJUHVVLRQ+HJHOXVHGWRFDOOLWWKH³EDGLQILQLWH´ $OWKRXJK LW LV LPSRVVLEOH WR VD\ ZKHUH WKH QHZ JRYHUQPHQW ZDVWDNLQJ9LãHJUDGDQGZKHQWKHDLPZRXOGEHUHDFKHGLWLVGLIILFXOW WRVD\WKDWQRSURJUHVVZDVEHLQJPDGHHLWKHU7KHODVWGHFDGHVRIWKH QLQHWHHQWK FHQWXU\ ZHUH WKH ³ORQJHVW SHULRG RI SHDFH DQG PDWHULDO SURJUHVV WKDW WKH WRZQ HYHU UHPHPEHUHG´ LQ ZKLFK ³LW VHHPHG DV LI WUDJLFPRPHQWVKDGFHDVHGWRGLVWXUEWKHOLIHRIWKH(XURSHDQSHRSOHV RUWKDWRIWKHWRZQEHVLGHWKHEULGJH´  7KHQHZDXWKRULWLHV LQWURGXFHGSHUPDQHQWOLJKWLQJDQGDZDWHUVXSSO\WRWKHWRZQ  PRQH\ EHJDQ WR FLUFXODWH LQ KLWKHUWR XQNQRZQ TXDQWLWLHV DQG ZKLFK ZDV WKHPDLQWKLQJSXEOLFO\EROGO\DQGRSHQO\>«@(DUOLHUWRRWKHUHKDGEHHQ PRQH\DQGULFKSHRSOHEXWWKHVHODVWKDGEHHQUDUHDQGKDGFRQFHDOHGWKHLU PRQH\OLNHDVQDNHLWVOHJVDQGKDGUHYHDOHGWKHLUVXSHULRULW\RQO\DVDIRUP RI SRZHU DQG SURWHFWLRQ GLIILFXOW ERWK IRU WKHPVHOYHV DQG IRU WKRVH DERXW WKHP1RZZHDOWKRUZKDWSDVVHGDVVXFKDQGZDVVRQDPHGZDVRSHQO\ GLVSOD\HG LQ WKH IRUP RI SOHDVXUH DQG SHUVRQDO VDWLVIDFWLRQ WKHUHIRUH WKH PDVV RI SHRSOH FRXOG VHH VRPHWKLQJRI LWV JOLWWHU DQG LWV JOHDQLQJV   

 /LIH LQ 9LãHJUDG EHFDPH OLYHOLHU DQG ULFKHU SHRSOH IRXQG ZRUN DQG DFKLHYHG HDUQLQJV DQG VHFXULW\ PRUH HDVLO\ $OWKRXJK QRW HYHU\ERG\WRRNSDUWLQSURJUHVVWRWKHVDPHH[WHQWLWVWLOOVHHPHGWKDW ³WKHUH ZDV URRP IRU HYHU\ERG\¶V KDSSLQHVV´    ,I GXH WR QRWKLQJ HOVH WKDQ WKH PHUH IDFW WKDW WKH QHZ DXWKRULWLHV EHJDQ FDUHIXOO\ DQG TXLHWO\ UHPRYLQJ WKH EDUULHUV ZKLFK KDG SUHYLRXVO\ OLPLWHG WKH OLIH RI FHUWDLQ JURXSV RI SHRSOH WKH QHUYH FHQWUH RI WKH WRZQ WKH JDWH RQ WKH EULGJH EHJDQ WR EH YLVLWHG ILUVW E\ 6HUEV DQG -HZVZKRVWRSSHGFDULQJDERXWWKHHIIHFWZKLFKWKHLUDSSHDUDQFHRQ WKHEULGJHKDGRQ0XVOLPVDQGWKHQ±IRUWKHILUVWWLPHLQKLVWRU\± ZRPHQEHJDQFRPLQJWRWKHJDWH 7KHUHSUHVHQWDWLYHRIWKLVQHZZRUOGFRPPLWWHGWRSURILWDQG HDUQLQJLQ7KH%ULGJHRYHUWKH'ULQDLVDZRPDQ/RWWH7KLVZRPDQ LVQRPRUHDQDQRQ\PRXVEHLQJRQO\DSDUWRIWKHFROOHFWLYHFKDUDFWHU ZKRDWWKHEHJLQQLQJRIWKHQRYHOZHHSVDQGFULHVZKHQWKHER\VDUH EHLQJWDNHQDZD\E\WKH7XUNVVKHLVQHLWKHU$YGDJD¶VEHDXWLIXO)DWD ZKRPXVWWDNHKHURZQOLIHEHFDXVHKHUIDWKHUSURPLVHGDQGJDYHKHU DZD\ ZLWKRXW ERWKHULQJ WR ILQG RXW ZKDW VKH ZDQWHG DQG KRSHG IRU





*HWWLQJ2YHU(XURSH



 QRULV/RWWHEUDYHDQGVHOIOHVV-HOHQNDZKRVHRQO\SXUSRVHLQOLIHLVWR SURWHFWKHUPDQ/RWWHLVVRPHRQHFRPSOHWHO\QHZDQGGLIIHUHQW  7KHQHZSHRSOH  ³1RRQHNQHZDQGQRRQHHYHUDVNHGZKHQWKDWZRPDQUHVWHG ZKHQ VKH VOHSW RU DWH´    /RWWH LV DQ ³XQWLULQJ DQG FROG ZRPDQRIFKLOOHGSDVVLRQV´  IHHOLQJVLIVKHKDVDQ\VKHQHYHU VKRZV LQ SXEOLF *XHVWV LQ KHU KRWHO FDQ VHH RQO\ DQ DWWUDFWLYH NLQG DQG VPLOLQJ ZRPDQ ZKR RIIHUV HYHU\WKLQJ SURPLVHV D ORW EXW JLYHV OLWWOH RU QRWKLQJ ± ZKLOH DW WKH VDPH WLPH WDNLQJ IURP WKHP DOO WKDW VKHFDQ  7KDQNVWRKHUFDOFXODWLQJDQGUDWLRQDOEHKDYLRXU V\VWHPDWLFVHOIFRQWURODQGPHWKRGLFDODQGWLUHOHVVZRUNVKH³HDUQHG YHU\PXFKWRRNJRRGFDUHRIKHUPRQH\DQGLQWKHILUVWIHZ\HDUVKDG DOUHDG\ PDQDJHG WR DFFXPXODWH D FRQVLGHUDEOH IRUWXQH´    7KHPHQZKRIUHTXHQWKHUKRWHODOVRGRWKHLUEHVWWRDPDVVIRUWXQHV EXWWKH\DOVRVSHQGZKDWWKH\HDUQ$WOHDVWDSDUWRIZKLFKWKH\OHDYH LQ /RWWH¶V KRWHO SD\LQJ IRU ZKDW WKH\ FRQVLGHU OLIH¶V SOHDVXUHV IRU GULQNFRQYHUVDWLRQVZLWKRWKHUSHRSOHJDPEOLQJDQGIXWLOHFRXUWVKLS ZLWK /RWWH )URP WKH VWDQGSRLQW RI DFFXPXODWLQJ IRUWXQHV WKLV LV D XVHOHVVDOPRVWLUUDWLRQDODFWLYLW\±KRZHYHUWKH\ZRUNDQGUHVWWDNH SOHDVXUH DQG ZDVWH WKHLU WLPH WKH ZD\ WKH\ VHH ILW /RWWH RQ WKH FRQWUDU\RQO\ZRUNV,IVKHHYHUQHHGVUHVSLWHDQGUHVWVKHJRHVWRKHU VPDOO URRP RQ WKH ILUVW IORRU VLWV DW KHU GHVN FRYHUHG ZLWK ELOOV DFFRXQWV UHFHLSWV DQG VWRFN H[FKDQJH UHSRUWV DQG VHHNV UHVW WKHUH 7KLV DVFHWLFURRP ZLWK D VLQJOH VPDOO ZLQGRZLV KHU HTXLYDOHQW RI D PRQDVWLF FHOO LQ ZKLFK /RWWH UHDGV DQG ZULWHV ZKDW LQ KHU SHUVRQDO UHOLJLRQVWDQGVIRUDSUD\HU³WKHDFTXLVLWLRQRIPRQH\´ZURWH:HEHU  DQG PRUH DQG PRUH PRQH\ WDNHV SODFH KHUH VLPXOWDQHRXVO\ ZLWK WKH VWULFWHVWDYRLGDQFHRIDOOVSRQWDQHRXVHQMR\PHQWRILW7KHSXUVXLWRIULFKHV LV IXOO\ VWULSSHG RI DOO SOHDVXUDEOH HXGlPRQLVWLVFKHQ  DQG VXUHO\ DOO KHGRQLVWLF DVSHFWV $FFRUGLQJO\ WKLV VWULYLQJ EHFRPHV XQGHUVWRRG FRPSOHWHO\ DV DQ HQG LQ LWVHOI ± WR VXFK DQ H[WHQW WKDW LW DSSHDUV DV IXOO\ RXWVLGH WKH QRUPDO FRXUVH RI DIIDLUV DQG VLPSO\ LUUDWLRQDO DW OHDVW ZKHQ YLHZHG IURP WKH SHUVSHFWLYH RI WKH ³KDSSLQHVV´ RU ³XWLOLW\´ RI WKH VLQJOH LQGLYLGXDO +HUH SHRSOH DUH RULHQWHG WR DFTXLVLWLRQ DV WKH SXUSRVH RI OLIH DFTXLVLWLRQ LV QR ORQJHU YLHZHG DV D PHDQV WR DQ HQG RI VDWLVI\LQJ WKH VXEVWDQWLYHQHHGVRIOLIH :HEHU 





7KHJUHDWPHFKDQLVPSDVVHVWKURXJK9LãHJUDG



,Q WKLV NLQGRI DVFHWLFLVP WKHUH LV QR SODFH IRU³UHVWLQJ XSRQ RQH¶V SRVVHVVLRQV DQG WKH HQMR\PHQW RI ZHDOWK´   EHFDXVH RQO\ ZRUN DV D PHDQV RI DVFHWLFLVP EULQJV VDOYDWLRQ $VFHWLFLVP SUHYLRXVO\ OLPLWHG WR OLIH LQ UHDO PRQDVWLF FHOOV QRZ ³VODPPHG WKH JDWHV RI WKH FORLVWHU HQWHUHG LQWR WKH KXVWOH DQG EXVWOH RI OLIH DQG XQGHUWRRN D QHZ WDVN WR VDWXUDWH PXQGDQH HYHU\GD\ OLIH ZLWK LWV PHWKRGLFDOQHVV´   +RZHYHU /RWWH LV QRW D VRXOOHVV YXOWXUH VKH WDNHV IURP KHU JXHVWVDOOVKHFDQEXWVKHDOVRJLYHV7KHRQO\SDVVLRQLQKHUDVFHWLF OLIH LV KHOSLQJ WKH PDQ\ PHPEHUV RI KHU QXPHURXV ZLGHU IDPLO\ $SIHOPHLHUV VFDWWHUHG DOO RYHU *DOLFLD $XVWULD DQG +XQJDU\ :LWK HYHU\ OHWWHU LQ ZKLFK VKH DGYLVHG WKHP VHQW WKHP WR VFKRROV RU KRVSLWDOV DQG VSDV SUDLVHG WKH LQGXVWULRXV DQG UHSURDFKHG WKH VSHQGWKULIW /RWWH ZRXOG VHQG VRPH PRQH\ 7KLV PHWKRGLFDO DQG UDWLRQDOVXSSRUWRIWKHZKROHIDPLO\ZDVWKH³VROHUHDOVDWLVIDFWLRQDQG D UHZDUG IRU DOO WKH EXUGHQV DQG UHQXQFLDWLRQV RI KHU OLIH´ $QGULü    7KLV ZDV WKH MXVWLILFDWLRQ DQG UHGHPSWLRQ RI KHU DVFHWLFLVP WKLV ZDV KRZ KHU OLIH ZLWKRXW SOHDVXUH DQG KHU ZRUN ZLWKRXWUHSRVHGHYRWHGWRDFFXPXODWLQJZHDOWKEHFDPHPHDQLQJIXO 0D[:HEHUKDGVRPHWKLQJWRVD\DERXWWKLVW\SHRIOLIHWRR  ,I RQH ZHUH WR TXHVWLRQ WKHVH SHRSOH UHJDUGLQJ WKH ³PHDQLQJ´ RI WKHLU UHVWOHVVKXQWZKLFKQHYHU\LHOGVKDSSLQHVVZLWKSRVVHVVLRQVDOUHDG\RZQHG DQGIRUWKDWUHDVRQDORQHPXVWDSSHDUPHDQLQJOHVVIURPWKHSRLQWRIYLHZ RIDQRULHQWDWLRQRIOLIHIXOO\GHYRLGRIDVXSHUQDWXUDODVSHFW WKH\ZRXOGDW WLPHV DQVZHU LI DEOH WR DQVZHU DW DOO  ³WR FDUH IRU WKH FKLOGUHQ DQG JUDQGFKLOGUHQ´ 1HYHUWKHOHVV >«@ WKH\ ZRXOG PRUH IUHTXHQWO\ RIIHU WKH VLPSOH DQG PRUH FRUUHFW DQVZHU ZLWK LWV VWDEOH ZRUN WKH EXVLQHVV LV ³LQGLVSHQVDEOHWROLIH´7KLVDQVZHULVLQGHHGWKHVLQJOHDFWXDOPRWLYDWLRQ DQGLWLPPHGLDWHO\UHQGHUVREYLRXVWKHLUUDWLRQDOLW\IURPWKHSRLQWRIYLHZ RIRQH¶VSHUVRQDOKDSSLQHVVRIWKLVZD\RIRUJDQL]LQJOLIHSHRSOHOLYHIRU WKHLUEXVLQHVVUDWKHUWKDQWKHUHYHUVH :HEHU 

 /RWWH LV D UHSUHVHQWDWLYH RI RQH RI WKH QHZ H[LVWHQWLDO SRVVLELOLWLHV EXW WKH SURFHVV RI PRGHUQL]DWLRQ EURXJKW WR 9LãHJUDG PDQ\PRUH7KHUHZKHUHIRUFHQWXULHVHYHU\RQHOLYHGZLWKWKHVDPH YLHZRIWKHEULGJHWKHVDPHWKRXJKWVDERXWWKHSUHYLRXV\HDU¶VIORRGV DQG WKLV \HDU¶V SULFH RI ZKHDW ZKHUH DOO VKDUHG WKH VDPH XQGHUVWDQGLQJRIWKHEULGJHWKHIORRGVDQGSULFHRIZKHDWDQGZKHUH LW ZDV QHLWKHU SRVVLEOH QRU GHVLUDEOH WR WKLQN GLIIHUHQWO\ DQG ORRN IDUWKHU PRGHUQL]DWLRQ EHJDQ WR EULQJ QHZ ZRUOGV DQG GLIIHUHQW







*HWWLQJ2YHU(XURSH

 GHILQLWLRQV RIUHDOLW\ )RUFHQWXULHV WKH WRZQVSHRSOH ZHUH FRQFHUQHG RQO\E\³ZKDWZDVQHDUWRWKHPDQGZHOONQRZQ´ $QGULü  DQGDOOXQGHUVWRRGLWLQWKHVDPHPDQQHU+RZHYHUPRGHUQL]DWLRQQRW RQO\ EURXJKW GLIIHUHQW SHRSOH WR 9LãHJUDG ZLWK WKHLU RZQ XQGHUVWDQGLQJ RI EULGJHV IORRGV DQG ZKHDW ± DQG ZKR IRU WKDW YHU\ UHDVRQ ZHUH FDOOHG IRUHLJQHUV ± EXW WKH\ EHJDQ WR VKRZHU WKH WRZQ ZLWKMRXUQDOVDQGPDJD]LQHV  ZKLFKRSHQHGQHZYLVWDVRQRWKHU SODFHV ZKHUH SHRSOH OLYHG ZLWK GLIIHUHQW XQGHUVWDQGLQJV RI UHDOLW\ 1RWRQO\GLGWKRVHZKRZRXOGQHYHUOHDYH9LãHJUDGEHJLQWRGLVFRYHU WKDWWKHZRUOGLVQRWRQHWKDWWKHUHDUHRWKHUZRUOGVWRRDQGWKDWWKHLU ZRUOG FRXOG EH LQWHUSUHWHG GLIIHUHQWO\ EXW WKRVH ZKR DFTXLUHG WKH H[SHULHQFHRIOLYLQJLQPRUHWKDQRQHZRUOGEHJDQWRPXOWLSO\7KH\ EHJDQWRJRDZD\DQGUHWXUQWRVWXG\LQ9LHQQDDQG3UDJXHWROLYHLQ SODFHVZKHUHWKHUHZDVQRWRQHVLQJOHXQGHUVWDQGLQJRIUHDOLW\ZKLFK HYHU\ERG\ VKDUHV EXW PXOWLSOH LQWHUZRYHQ DQG FRQIOLFWLQJ XQGHUVWDQGLQJV 5HWXUQLQJ WR 9LãHJUDG WKH\ ZRXOG EULQJ LQ WKHLU VXLWFDVHV WKLV XUEDQ PXOWLSOLFLW\ RI OLIHZRUOGV,QVWHDG RI ZLWK ZKDW LV QHDU DQG IDPLOLDU WKH WRZQVSHRSOH EHJDQ WR EH FRQFHUQHG ZLWK WKLQJV³ZKLFKOD\IDUWKHUDZD\RXWVLGHWKLVQDUURZFLUFOH´  $QG DOWKRXJKWKHVHTXHVWLRQVDQGQHZGHILQLWLRQVRIUHDOLW\ZKLFKVORZO\ DWHLQWRWKHWUDGLWLRQDOFRQVHQVXVDERXWWKHZRUOGDQGKXPDQV¶SODFH LQLWZRXOGQHYHUFKDQJHWKHGDLO\URXWLQHRIWKHSHRSOHRI9LãHJUDG ³LWVHHPHGWRWKHP>«@WKDWWKHLUOLIHKDGEHFRPHPRUHH[SDQVLYHDQG ULFKHUWKDWWKHIURQWLHUVRIWKHLPSHUPLVVLEOHKDGPRYHGEDFNDQGWKDW WKHUHRSHQHGEHIRUHWKHPSURVSHFWVDQGSRVVLELOLWLHVVXFKDVKDGQHYHU EHIRUH H[LVWHG´   7KLV LV ZK\ \RXQJ DSSUHQWLFHV EHFDPH PRUH VHULRXV IURP WKH EURFKXUHV EURXJKW IURP 3UDJXH DQG 9LHQQD E\ \RXQJVWXGHQWVWKH\FRXOGOHDUQWKDWWKHUHZDVVRPHWKLQJFDOOHG³WKH ZRUOGSUROHWDULDW´DQGWKDWWKH\WRRNSDUWQRWRQO\LQWKLVYLVLEOHDQG WDQJLEOH ZRUOG RI 9LãHJUDG EXW DOVR LQ D EURDGHU FRPPXQLW\ ZKRVH RWKHUPHPEHUVWKH\ZRXOGQHYHUPHHWEXWZLWKZKRPWKH\VKDUHGWKH VDPH LQWHUHVWV DQG YDOXHV :KDW LV PRUH WKHVH GLVWDQW DQG XQNQRZQ SHRSOHFRXOGDFWXDOO\EHFORVHUWRWKHPWKDQWKHSHRSOHWKH\JUHZXS ZLWKLQWKHVDPHVWUHHW7KHVDPHWKH\PLJKWKDYHWKRXJKWJRHVIRU HYHU\ERG\ LQ DGGLWLRQ WR WKLV YLVLEOH ZRUOG RI 9LãHJUDG HYHU\ERG\ KDV VRPH RWKHU ZRUOG WR EHORQJ WR 3LHWUR 6ROD D GHYHORSHU DQG

 

2Q WKH SOXUDOL]DWLRQ RI VRFLDO OLIHZRUOGV DQG QRUPDWLYH GHILQLWLRQV RI UHDOLW\ UHVXOWLQJIURPXUEDQL]DWLRQDQGPRGHUQL]DWLRQVHH%HUJHUHWDO



7KHJUHDWPHFKDQLVPSDVVHVWKURXJK9LãHJUDG



EXLOGHUIURP9LãHJUDGXVHGWRIHDUWKDWVRPHERG\PLJKWFRQVLGHUKLP FRUHVSRQVLEOH IRU WKH DVVDVVLQDWLRQ RI WKH (PSUHVV (OLVDEHWK LQ *HQHYD FRPPLWWHG E\ KLV IHOORZFRXQWU\PDQ WKH ,WDOLDQ DQDUFKLVW /XFFKLHQL ± VRPHWKLQJ ZKLFK KDG QRW RFFXUUHG WR DQ\RQH EXW 6ROD 6RPHWLPH ODWHU IRU WKH WRZQVSHRSOH 3LHWUR 6ROD ZDV QRW RQO\ D 9LãHJUDG EXLOGHU EXW ILUVW DQG IRUHPRVW D PHPEHU RI WKDW LPDJLQDU\ FRPPXQLW\ ZKRVH WURRSV ZHUH ILJKWLQJ ZLWK WKH 7XUNV RYHU 7ULSROL DQG DV VXFK ³JXLOW\´   $QG DOWKRXJK 6ROD KLPVHOI ZDV WKLQNLQJ PRUH RI EULFNV DQG PRUWDU WKDQ RI GLVWDQW 7ULSROL 7XUNLVK \RXWKV VKRXWHGDWKLP³6R\RXZDQW7ULSROL\RXEDVWDUG´  :LWKHYHU\ WRZQVPDQ ZKR HYHQ RQO\ LQ LPDJLQDWLRQ PDGH FRQWDFW ZLWK VRPH RWKHU FRPPXQLW\ 9LãHJUDG EHFDPH PRUH LQWHJUDWHG LQWR WKH ZLGHU ZRUOGEXWWRWKHVDPHH[WHQWLWEHFDPHPRUHGLVLQWHJUDWHGLQLWVHOI ,QDGGLWLRQWRGHVWUR\LQJWKHLUFRQVHQVXVDERXWWKHZRUOGDQG WKHLUSODFHLQLWWKLVEURDGHQLQJRIKRUL]RQVKDGRWKHUFRQVHTXHQFHVDV ZHOO:KLOHRQWKHRQHKDQGLWEURXJKWWRWKHWRZQQHZGHILQLWLRQVRI UHDOLW\DQGSXWWKHPLQIULFWLRQZLWKWKHROGRQHLWDOVRRQWKHRWKHU KDQGOHGWKHWRZQVSHRSOHWRWKLVQHZDQGXQNQRZQZRUOGLQZKLFK WKH\FRXOGEHFRPHVRPHWKLQJLIRQO\LQLPDJLQDWLRQWKDWWKH\FRXOG QHYHUEHFRPHLQ9LãHJUDG³QRRQHZDVDQ\ORQJHUVDWLVILHGZLWKWKH PRQRWRQRXV VRUW RI OLIH ZKLFK KDG GUDJJHG RQ IRU \HDUV (YHU\RQH ZDQWHG PRUH DVNHG IRU EHWWHU RU WUHPEOHG LQ IHDU RI ZRUVH´   7KDW OLIH FDQ EH RSHQ DVD SURMHFWGUHDPW DQG PDGH WUXH WKDW RQH LV IUHHWRLPDJLQHLWGLIIHUHQWO\DQGJR ZKHUHYHUVXFKOLIHLVSRVVLEOH± WKDWLGHDXVHGWREHOLPLWHGWRDVHOHFWIHZ0RGHUQLW\KRZHYHURIIHUV HTXDO SK\VLFDOLPDJLQDWLYH PRELOLW\ WR DOO DQG QRW RQO\ DV D SRVVLELOLW\ EXW DV D UHVSRQVLELOLW\ WRZDUGV RXU SULQFLSDOO\ RSHQ LGHQWLW\  1R RQH EHOLHYHG WKDW PRUH WKDQ WKH ³QHZ SHRSOH´ ± WKH VWXGHQWV IURP 9LãHJUDG ³FDUULHG DZD\ E\ LGHDV DERXW WKH ULJKWV RI SHRSOHVWRIUHHGRPDQGRILQGLYLGXDOVWRHQMR\PHQWDQGGLJQLW\:LWK HYHU\ VXPPHU YDFDWLRQ WKH\ EURXJKW EDFN ZLWK WKHP IUHHWKLQNLQJ YLHZVRQVRFLDODQGUHOLJLRXVTXHVWLRQVDQGDQHQWKXVLDVWLFDOO\UHYLYHG QDWLRQDOLVP´  -XVWDV WKH SURFHVV RI PRGHUQL]DWLRQ PDQDJHG WR WXUQ WKH WRZQ XSVLGH GRZQ LQ RQO\ WKUHH GHFDGHV ± UHSOLFDWLQJ WKH FRXUVHRIWUDQVIRUPDWLRQVZKLFKHOVHZKHUHKDGWDNHQWKUHHFHQWXULHV±



 2Q SK\VLFDOLPDJLQDWLYH PRELOLW\ VHH 6FK|QHUW   RQ WKH RSHQQHVV RI PRGHUQLGHQWLWLHV%HUJHUHWDO







*HWWLQJ2YHU(XURSH

 LWDOVRPDQDJHGWRFUHDWHDJHQHUDWLRQRIPRGHUQVZKREXLOWLQWRWKHLU SHUVRQDOOLIHWKHSRVWXODWHRIWKH)DXVWLDQSURMHFW  /LIH VWRRGEHIRUH WKHP DV DQREMHFW DV D ILHOG RI DFWLRQ IRU WKHLUOLEHUDWHG VHQVHV IRUWKHLULQWHOOHFWXDOFXULRVLW\DQGWKHLUVHQWLPHQWDO H[SORLWVZKLFK NQHZQROLPLWV$OOURDGVZHUHRSHQWRWKHPRQZDUGWRLQILQLW\RQPRVWRI WKRVH URDGV WKH\ ZRXOG QHYHU HYHQ VHW IRRW EXW QRQH WKH OHVV WKH LQWR[LFDWLQJOXVWIRUOLIHOD\LQWKHIDFWWKDWWKH\FRXOG LQWKHRU\DWOHDVW EH IUHHWRFKRRVHZKLFKWKH\ZRXOGDQGGDUHFURVVIURPRQHWRWKHRWKHU>«@ ,WVHHPHGIDQWDVWLFDQGLPSUREDEOHEXWZDVQRQHWKHOHVVWUXHWKH\FRXOGGR ZLWKWKHLU\RXWKZKDWWKH\OLNHGLQDZRUOGLQZKLFKWKHODZVRIVRFLDODQG SHUVRQDOPRUDOLW\UHDFKLQJDVIDUDVFULPLQDODFWLYLW\HQWHUHGWKHIXOOFULVLV WKHVH\HDUVDQGZHUHIUHHO\LQWHUSUHWHGDSSURSULDWHGDQGUHMHFWHGE\HYHU\ JURXSRISHRSOHDQGHYHU\VLQJOHLQGLYLGXDOWKH\FRXOGWKLQNZKDWHYHUWKH\ ZDQWHG WR SDVV WKHLU MXGJHPHQWV RQ HYHU\WKLQJ IUHHO\ DQG ZLWKRXW DQ\ OLPLWDWLRQVWKH\FRXOGVD\ZKDWHYHUWKH\ZDQWHG  

 +RZHYHU WKHVH VWXGHQWV ZHUH WKH JHQHUDWLRQ ZKLFK WKH SLRQHHUVRIPRGHUQL]DWLRQLQ9LãHJUDGKDGGLIILFXOW\XQGHUVWDQGLQJDV PXFK DV HYHU\ IROORZLQJ JHQHUDWLRQ GXULQJ WKH PRGHUQL]LQJ SURFHVV ZRXOG VHHP LQFRPSUHKHQVLEOHWRWKH SUHFHGLQJ RQH7KH VROLG ZRUOG RI KDUG ZRUN DQG JRRG SURILW EHJDQ WR GLVLQWHJUDWH ³,W VHHPHG WR >/RWWH@ WKDW WKH SUHVHQW JHQHUDWLRQ DWWDFKHG PRUH LPSRUWDQFH WR LWV YLHZVRQOLIHWKDQWROLIHLWVHOI´  /RWWH¶VIULHQG3DYOH5DQNRYLü IHDUVWKLVZD\RIWKLQNLQJZLWKRXWOLPLWVDQGZKHQKHDVNVWKH\RXWKV IRU H[SODQDWLRQV ZKLFK ZRXOG FRPIRUW KLP WKH\ UHSO\ ³GLVGDLQIXOO\ DQGKDXJKWLO\ZLWKYDJXHDQGKLJKVRXQGLQJZRUGVIUHHGRPIXWXUH KLVWRU\VFLHQFHJORU\JUHDWQHVV+LVVNLQFUDZOHGDWDOOWKHVHDEVWUDFW ZRUGV´   7KLV LV WKH UHVXOW RI PRGHUQL]DWLRQ¶V LQWURGXFWLRQ WR 9LãHJUDG RI RQH RI PRGHUQL]DWLRQ¶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±WKHZRUOGSUROHWDULDW QDWLRQ RU $U\DQ UDFH ± ZRXOG ULVH WR GHIHQG DQ\ RQH RI WKHVH DEVWUDFWLRQVZKLFKPDGH3DYOH5DQNRYLü¶VVNLQFUDZODVLIKHNQHZ ZKDWWKHWZHQWLHWKFHQWXU\ZDVDERXWWREULQJ 



7KHJUHDWPHFKDQLVPSDVVHVWKURXJK9LãHJUDG



7KHJUHDWPHFKDQLVP  7KHVH DEVWUDFWLRQV DUH WKH YHU\ FRUH RI WKH )DXVWLDQ SURMHFW ZKLFK WUDQVIRUPV ERWK WKH WRZQ RI 9Lã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³NDGLMXVWLFH´ DGMXGLFDWLRQ DFFRUGLQJ WR WKH MXGJH¶V VHQVH RI HTXDOLW\ LQ D JLYHQ FDVH RU DFFRUGLQJ WR WKH RWKHU LUUDWLRQDO PHDQV RI ODZILQGLQJ WKDW H[LVWHG HYHU\ZKHUHLQWKHSDVWDQGVWLOOH[LVWLQWKH2ULHQW :HEHU 

 0RGHUQFDSLWDOLVWSURGXFWLRQUHTXLUHVPRGHUQRUJDQL]DWLRQLQ ZKLFK  WKHMXGJHDVLQWKHEXUHDXFUDWLFVWDWHZLWKLWVUDWLRQDOODZVLVPRUHRUOHVV DQ DXWRPDWLRQ RI SDUDJUDSKV WKH OHJDO GRFXPHQWV WRJHWKHU ZLWK WKH FRVWV DQG IHHV DUH GURSSHG LQ DW WKH WRS ZLWK WKH H[SHFWDWLRQ WKDW WKH MXGJPHQW ZLOOHPHUJHDWWKHERWWRPWRJHWKHUZLWKPRUHRUOHVVVRXQGDUJXPHQWV±DQ DSSDUDWXV WKDW LV ZKRVH IXQFWLRQLQJ LV E\ DQG ODUJH FDOFXODEOH RU SUHGLFWDEOH :HEHU 

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±RIIHORQLHVDQGFULPHVZKLFKDUH IDFHOHVVDQGDEVWUDFWHGIURPFRQFUHWHFULPLQDOV±DQGRIUHODWLRQVKLSV EHWZHHQWKHPKDYLQJGRQHWKDWDMXGJHZLOOZLWKWKHSUHGLFWDELOLW\ RI D PDFKLQH HIILFLHQWO\ SURFHVV WKH MXGJHPHQW 7KLV SURFHGXUH





*HWWLQJ2YHU(XURSH



 OLEHUDWHVDMXGJHIURPHYHU\WKLQJLQKLVWKLQNLQJZKLFKLVSHUVRQDODQG LQGLYLGXDOEHFDXVHKLVIHHOLQJRIMXVWLFH±WKLVLUUDWLRQDOPRPHQW±KDV EHHQ WXUQHG RII E\ WKH VWUXFWXUDOIXQFWLRQDO SULQFLSOH RI WKH JUHDW EXUHDXFUDWLF PHFKDQLVP ,I WKLV PHFKDQLVP IXQFWLRQV ZHOO HQRXJK WKLV SHUVRQDO DVSHFW ZLOO UHPDLQ LQ WKH EDFNJURXQG LI KRZHYHU LW EHJLQV WR VKRZ LW PHDQV WKDW WKH EXUHDXFUDWLF PDFKLQH LV PDOIXQFWLRQLQJ DQG WKDW LW QHHGV IL[LQJ ³7KH UHSUHVHQWDWLYHV RI WKH QHZ DXWKRULW\ PLOLWDU\ DV ZHOO DV FLYLO´ VD\V WKH QDUUDWRU RI 7KH %ULGJHRYHUWKH'ULQD  ZHUHIRUWKHPRVWSDUWQHZFRPHUVWRWKHODQGDQGXQVNLOIXOLQWKHLUGHDOLQJV ZLWK WKH SHRSOH DQG ZHUH WKHPVHOYHV RI OLWWOH LPSRUWDQFH EXW ZLWK HYHU\ VWHSWKH\PDGHWKH\IHOWWKHPVHOYHVWREHSDUWRIDJUHDWHUPHFKDQLVPDQG WKDW EHKLQG HDFK RQH RI WKHP VWRRG PRUH SRZHUIXO PHQ DQG JUHDWHU RUJDQL]DWLRQV LQ ORQJ URZV DQG FRXQWOHVV JUDGDWLRQV 7KH\ JDYH WKHP D VWDQGLQJZKLFKIDUVXUSDVVHGWKHLURZQSHUVRQDOLW\DQGDPDJLFLQIOXHQFHWR ZKLFKLWZDVHDVLHUWRVXEPLW $QGULü 

 +HUH WKH SHUVRQDO DXWKRULW\ RI D NDGL KDV EHHQ DOUHDG\ UHSODFHGE\WKHDEVWUDFWDXWKRULW\RIWKH³JUHDWPHFKDQLVP´ :HEHU¶V VHFRQG SLOODU RIPRGHUQL]DWLRQ ± WHFKQRORJ\ ZKLFK PDNHVGHYHORSPHQWSRVVLEOH±LVVLPLODUO\LPEXHGZLWKWKLV³TXDOLW\ RI LPSOLFLW DEVWUDFWLRQ´ ³7KLV LPSOLFLW DEVWUDFWLRQ LV HQGHPLF WR WKH WHFKQRORJLFDO SURGXFWLRQ SURFHVV 7KH YHU\ ORJLF RI WHFKQRORJ\ GHPDQGV LW´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





7KHJUHDWPHFKDQLVPSDVVHVWKURXJK9LãHJUDG



$VPXFKDVEXUHDXFUDF\WHFKQRORJ\DOVRHUDVHVWKHVHXQLTXH DQG XQUHSHDWDEOH IHDWXUHV DV HYHU\WKLQJ FRQFUHWH XQLTXH DQG LQGLYLGXDOPXVWEHHUDVHGIRUWKHVPRRWKIXQFWLRQLQJRIWKHDSSDUDWXV RIMXVWLFHVRPRGHUQWHFKQRORJ\PXVWEHULGRILWDVZHOO 2QHHOHPHQWRIPRGHUQWHFKQRORJ\±WKHWUDLQ±VXFFHHGHGLQ DOWHULQJ WKH JHRJUDSK\ RI WKH WRZQ DQG LQ GHYDOXLQJ WKH EULGJH RYHU WKH 'ULQD 1RW MXVW DQ\ PDFKLQH WKH WUDLQ ZDV WKH FURZQLQJ DFKLHYHPHQWDQGWKHPDLQYHKLFOHRIPRGHUQL]DWLRQLQWKHQLQHWHHQWK FHQWXU\7KHDUULYDORIWKHWUDLQFRQQHFWHGEDFNZDWHUSODFHVVXFKDV 9LãHJUDGZLWKWKHZLGHUZRUOGDQGEURXJKWZLWKLWVHOIRWKHUIDFWRUV RIPRGHUQL]DWLRQ(YHU\SODFHUDLOZD\SDVVHGWKURXJKZDVLUUHYRFDEO\ LQFOXGHG LQ WKH ZKLUOSRRO RI SROLWLFDO HFRQRPLF DQG VRFLDO WUDQVIRUPDWLRQVQRWOHDVWGXHWRWKHFRQVHTXHQFHVUDLOZD\VKDGIRUWKH IRUPV RI XQGHUVWDQGLQJ WKH ZRUOG ± IRU WLPH DQG VSDFH $W WKH EHJLQQLQJ RI WKH V WKHUH ZHUH WZR KXQGUHG ORFDO WLPHV RQ DQ LPDJLQDU\ OLQH VWUHWFKLQJ IURP 6DQ )UDQFLVFR WR :DVKLQJWRQ '& .HUQ $WUDYHOOHURQWKLVOLQHZRXOGKDYHKDGWRDGMXVWKLV ZDWFKWRORFDOFORFNV±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± WR UHSHDW :HEHU¶V VHQWHQFH ± UDWLRQDOO\ SUHGLFWDEOH DW OHDVW LQ SULQFLSOH E\ YLUWXH RI LWV IL[HG JHQHUDO QRUPV MXVW OLNH WKH SHUIRUPDQFHH[SHFWHGRIDPDFKLQH 7KHUDLOZD\WUDFNVSDVVLQJWKURXJK9LãHJUDGVD\VWKHQDUUDWRU RI7KH%ULGJHRYHUWKH'ULQDDSSDUHQWO\KDGQRWKLQJWRGRZLWKWKH EULGJH³%XWWKLVZDVRQO\DSSDUHQW´ $QGULü   7KHOLQHZHQWGRZQWRWKH'ULQDE\WKDWVORSHEHORZ0HMGDQFXWLQWRWKH KLOOVLGH FLUFXPYHQWHG WKH WRZQ LWVHOI DQG WKHQ ZHQW GRZQ WR WKH OHYHO JURXQGE\WKHIDUWKHVWKRXVHVQHDUWKHEDQNVRI5]DYZKHUHWKHVWDWLRQZDV $OOWUDIILFERWKSDVVHQJHUVDQGJRRGVZLWK6DUDMHYRDQGEH\RQG6DUDMHYR WR WKH UHVW RI WKH ZHVWHUQ ZRUOG QRZ UHPDLQHG RQ WKH ULJKW EDQN RI WKH 'ULQD7KHOHIWEDQNDQGZLWKLWWKHEULGJHZDVFRPSOHWHO\SDUDO\]HG2QO\ WKRVH IURP WKH YLOODJHV RQ WKH OHIW EDQN QRZ ZHQW DFURVV WKH EULGJH







*HWWLQJ2YHU(XURSH

 SHDVDQWV ZLWK WKHLU OLWWOH RYHUEXUGHQHGKRUVHV DQG EXOORFN FDUWV RU ZDJRQV GUDJJLQJWLPEHUIURPGLVWDQWIRUHVWVWRWKHVWDWLRQ  

 7KXVWKHUDLOZD\VHQWHQFHGWKHEULGJHWR³VORZG\LQJ´   7KH RSSRVLWLRQ RI WKH WUDLQ DQG WKH EULGJH FDQ DOVR EH H[SODLQHG RQ D V\PEROLF OHYHO 7UDLQV KDYH ± WR XVH 6DXVVXUH¶V DQDORJ\±RQO\VWUXFWXUDOQHYHUVXEVWDQWLDOH[LVWHQFH 6DXVVXUH  :KHQZHVD\WKDWZHWUDYHOOHGIURP9Lã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¶VXQLTXHQHVVLVWKHDEVHQFHRI DQ\V\VWHPLQZKLFKLWVUHSODFHPHQWZRXOGEHLPDJLQDEOH7UDGHDQG WUDIILF JR RYHU WKH EULGJH EXW WKH EULGJH LV QRW SDUW RI D FRPPXQLFDWLRQ V\VWHP LQ WKH VDPH ZD\ DV D WUDLQ 7KH EULGJH LV VSHFLILHGE\LWVVXEVWDQWLDOLW\WUDLQVDUHVSHFLILHGE\WKHLUSODFHLQWKH V\VWHPWRZKLFKWKH\EHORQJ $V WKH WUDLQ GHSULYHG WKH EULGJH RI LWV VLJQLILFDQFH DQG IXQFWLRQLQWKHOLIHRI9LãHJUDGVRWKHJUDPRSKRQHUHSODFHGVLQJLQJDW WKH EULGJH¶V JDWH ,Q WKLV UHSODFHPHQW WKH VDPH RSSRVLWLRQ EHWZHHQ WKH VXEVWDQWLDO DQG WKH IXQFWLRQDOVWUXFWXUDO FDQ EH WUDFHG 4XLHW VLQJLQJ DWWKH JDWHLV XQLTXH RQH HYHQLQJ FDQ EH OLNH DQRWKHU EXWLW FDQQRW EH WKH VDPH 7KHUH LV DOZD\V VRPHWKLQJ SHUVRQDO LQ D VRQJ



7KHJUHDWPHFKDQLVPSDVVHVWKURXJK9LãHJUDG



VXQJE\DKXPDQYRLFH7KHJUDPRSKRQHRQWKHRWKHUKDQG³JURXQG DQG FKXUQHG RXW 7XUNLVK PDUFKHV 6HUELDQ SDWULRWLF VRQJV RU DULDV IURP 9LHQQHVH RSHUHWWDV DFFRUGLQJ WR WKH WDVWHV RI WKH JXHVWV IRU ZKRP LW SOD\HG´ $QGULü    $ JUDPRSKRQH LV LPSHUVRQDO DQGLQGLIIHUHQWWRZDUGVWKHPXVLFLWSHUIRUPVIRUWKLVPDFKLQHPXVLF GRHVQRWH[LVWVXEVWDQWLDOO\EXWRQO\VWUXFWXUDOO\ :KHUH LW DOO OHDG ZDV SRQGHUHG QRW RQO\ E\ 9LãHJUDG¶V WRZQVSHRSOH EXW E\ DOO WKRVH ZKR REVHUYHG ZLWK FRQFHUQ WKH JUHDW DFFHOHUDWLRQ DW WKH EHJLQQLQJ RI WKH WZHQWLHWK FHQWXU\ )RU PRGHUQL]DWLRQ VSHHG LV D YDOXH LQ LWVHOI LUUHVSHFWLYH RI ZKDW LW DFKLHYHV DQG ZKLFK SXUSRVHV LW VHUYHV )RU WKH FULWLFV RI PRGHUQL]DWLRQVXFKDV$OLKRGåDLQ7KH%ULGJHRYHUWKH'ULQD  LWZDVQRWLPSRUWDQWKRZ PXFKWLPH D PDQVDYHGEXWZKDWKHGLGZLWKLW ZKHQ KH VDYHG LW ,I KH XVHG LW IRU HYLO SXUSRVHV WKHQ LW ZRXOG KDYH EHHQ EHWWHUKDGKHQHYHUKDGLW>$OLKRGåD@WULHGWRSURYHWKDWWKHPDLQWKLQJZDV QRW WKDW D PDQ ZHQW VZLIWO\ EXW ZKHUH KH ZHQW DQG IRU ZKDW SXUSRVH DQG WKDWWKHUHIRUHVSHHGZDVQRWDOZD\VDQDGYDQWDJH³,I\RXDUHJRLQJWRKHOO WKHQLWLVEHWWHUWKDW\RXVKRXOGJRVORZO\´  

 7KHDFFHOHUDWLRQKRZHYHUFRXOGQRWEHKDOWHG³7KHZKROHRI OLIH VHHPHG WR EH KDVWHQLQJ VRPHZKHUH VXGGHQO\ VSHHGHG XS DV D IUHVKHWTXLFNHQVLWVSDFHEHIRUHLWEUHDNVLQWRUDSLGVUXVKHVRYHUVWHHS URFNVDQGEHFRPHVDFDVFDGH´  7KLVDFFHOHUDWLRQDVPXFKDVWKH IDOORYHUVWHHSURFNVZKLFKLQHYLWDEO\IROORZVDUHSDUWDQGSDUFHORI WKDWYHU\ULVHDQGVWDELOLW\HQMR\HGE\WKHWRZQLQWKHILUVWGHFDGHVRI PRGHUQL]DWLRQ$V0DU[WKHILUVWFULWLFRIPRGHUQ FDSLWDOLVPQRWHG PRGHUQL]DWLRQGHVWUR\VWKHSRVVLELOLWLHVZKLFKLWFUHDWHGLWVHOI,QRQH RIWKHF\FOLFDOFULVHVDWWKHHQGRIWKHQLQHWHHQWKDQGWKHEHJLQQLQJRI WKHWZHQWLHWKFHQWXU\ /RWWH WKH DVFHWLF PDUW\U RI FDSLWDOLVP DQG WKH KHURRIFDSLWDODFFXPXODWLRQEHJLQVWRORVHKHUZHDOWK  /RWWH¶VVWRFNVDQGVKDUHVEHJDQWRSOD\OLNHGXVWLQDKLJKZLQG6KHZRXOG ZHHSZLWKUDJHZKHQVKHUHDGWKHPRVWUHFHQWTXRWDWLRQVHDFKZHHNLQWKH 9LHQQD0HUFXU$OOWKHSURILWVRIWKHKRWHOZKLFKDWWKHWLPHZDVVWLOOGRLQJ JRRG EXVLQHVV ZHUH QRW HQRXJKWR FRYHU WKH ORVVHV FDXVHG E\ WKH JHQHUDO GHFOLQHLQYDOXHV  

 7KHVWRFNPDUNHWLVWKHNH\V\PEROLQWKHZRUOGLQZKLFKWKH VWUXFWXUDOIXQFWLRQDO SULQFLSOH UXOHV 7KH VWRFN PDUNHW GRHV QRW UHFRJQL]H WKH LQWULQVLF YDOXH RI WKH JRRGV ERXJKW DQG VROG ,W







*HWWLQJ2YHU(XURSH

 KRPRJHQL]HV HYHU\ VXEVWDQFH LQWR LWV XQLYHUVDO FRGH RI LQGH[ SRLQWV DQG XQLYHUVDO UHSODFHDELOLW\ ,Q WKH HFRQRPLF GRPDLQ WKH VWRFN PDUNHW LV WKH HPSLUH RI WKH VWUXFWXUDO JDPH RI GLIIHUHQFHV *RRGV DFTXLUH YDOXH QRW DFFRUGLQJ WR WKHLULQWULQVLF ZRUWKEXWDFFRUGLQJ WR WKHLU UHODWLRQVKLSWR RWKHUJRRGV D GURS LQWKHSULFHRI RQHFDXVHVD ULVHLQWKHSULFHRIDQRWKHU/RWWHZDVWRRODWHLQXQGHUVWDQGLQJWKHUHDO QDWXUHRIWKHJDPHZKLFKKDGFRPSHOOHGKHUWROLYHLQWKHPRVWULJLG LURQ FDJH RI UDWLRQDOLW\ DQG RQO\ QRZ LQ WKLV GRZQWXUQ ZKLFK /RWWH FDQQRW DFW XSRQ WKH JDPH UHYHDOV LWVHOI DV ± VKHHU LUUDWLRQDOLW\ ,I VXFFHVVRUIDLOXUHKDVQRWKLQJWRGRZLWKWKHPHULWRIWKHSHUVRQZKR ZRUNVDQGVDYHVRUZLWKWKHYDOXHRIZKDWKDVEHHQVDYHGLILQWKLV ZRUOGVRPHWKLQJDNLQWRWKHVXEVWDQWLDOYDOXHRIDSHUVRQRUWKLQJFDQ EH QHLWKHU FUHDWHG QRU VXVWDLQHG WKHQ /RWWH¶V XOWLPDWH HFRQRPLF VWUDWHJ\±EX\LQJDORWWHU\WLFNHWVXUUHQGHULQJWRVKHHULUUDWLRQDOLW\RI OXFN ± LV IXOO\ MXVWLILHG DV WKH RQO\ UDWLRQDO PRYH LQ D ZRUOG ZKLFK UHVLVWVUDWLRQDOLW\ 7KHGHIHDWRIWKHVXEVWDQWLDODQGWKHFRQVHTXHQWWULXPSKRI WKH VWUXFWXUDO DQG IXQFWLRQDO ZKLFK $QGULü PHWLFXORXVO\ IROORZV LQ 7KH %ULGJH RYHU WKH 'ULQD FDQ EH WUDFHG HYHU\ZKHUH LQ OLWHUDU\ PRGHUQLVP ,Q 3URXVW¶V ,Q 6HDUFK RI WKH /RVW 7LPH IRU H[DPSOH LW LQIRUPV D QXPEHU RI LQYHUVLRQV DQG XQGHUOLQHV WKH ZKROH QRYHO )RU 0DUFHO KLV JD]H FRQFHQWUDWHG RQ WKH GLVFRYHU\ RI WKH HVVHQFHV RI HYHU\WKLQJ WKDW DSSHDUV LQ KLV ZRUOG WKH ODG\ LQ WKH WUDLQ GRHV QRW GLIIHUHVVHQWLDOO\IURPWKHRZQHURIDEURWKHO+HLVZURQJKRZHYHU IRU VWUXFWXUDOO\ LQ WKH DULVWRFUDWLF V\VWHP WKH ODG\ LV D SULQFHVV 0DGDPH 9HUGXULQ WKH YHU\ HPERGLPHQW RI YXOJDULW\ DQG EDQDOLW\ EHFRPHV WKH 3ULQFHVV GH *XHUPDQWHVWKDQNV VROHO\ WR WKH FKDQJH RI KHU SRVLWLRQ LQ WKH V\VWHP EXW WKLV FKDQJH LV QRW DFFRPSDQLHG E\ D FRUUHVSRQGLQJ VXEVWDQWLDO FKDQJH7KHRZQHU RI WKH SXEOLFUHVWURRP UHIXVLQJWROHW³FRPPRQSHRSOH´LQVKRZVWKDWVKHLVQRWLQWHUHVWHGLQ VXEVWDQWLDO GLIIHUHQFHV EHWZHHQ KHU FXVWRPHUV RQO\ VWUXFWXUDO RQHV 7KH IDOO RI WKH ROG ZRUOG QRVWDOJLFDOO\ SRUWUD\HG LQ 3URXVW¶V QRYHO WDNHVWKHIRUPRIDVHULHVRIVPDOOYLFWRULHVRIWKHVWUXFWXUDORYHUWKH VXEVWDQWLDO 1HYHUWKHOHVV WKLV GRHV QRW PHDQ WKDW WKH VXEVWDQWLDO KDV FHDVHGWRH[LVWLQWKHZRUOG7KHUHLVVWLOODFKDUDFWHU±WKHQDUUDWRU¶V JUDQGPRWKHU ± ZKR UHSUHVHQWV WKH VXEVWDQWLDO DQG VHWV XS FULWHULD RI YDOXH,Q.DIND¶VZRUOGKRZHYHUWKLVGLIIHUHQFHLVPXFKVWURQJHUIRU WKHVXEVWDQWLDOKDVZLWKGUDZQEH\RQGUHDFK1RRQHFDQVD\ZKDWWKH FDVWOHLVDOOZHFDQEHFHUWDLQRILVWKDWLWLVDVWUXFWXUDOSODFHRISRZHU



7KHJUHDWPHFKDQLVPSDVVHVWKURXJK9LãHJUDG



DQG DXWKRULW\ 7KH SORW RI 7KH &DVWOH FRQVLVWV RI D VHULHV RI .¶V IUXLWOHVVDWWHPSWVWRGHILQHWKHFDVWOHLQDVXEVWDQWLDOZD\ 2QHRIWKHFRQVHTXHQFHVRIWKHRSSRVLWLRQEHWZHHQWKHVHWZR SULQFLSOHV LV WKH UHVLVWDQFH RI OLWHUDU\ PRGHUQLVP WR WKH SURFHVV RI VRFLDO PRGHUQL]DWLRQ 7KH QRVWDOJLD IRU YDULRXV IRUPV RI WKH VXEVWDQWLDODVDUHIOHFWLRQRIWKHGHFD\RIYDOXHVLQ+HUPDQQ%URFK¶V QRYHOVDQGHVVD\VRUDVWKHVHDUFKIRUHVVHQWLDOWLPHLQ3URXVW¶VQRYHO IXQGDPHQWDOO\ GHILQHV DQG DQLPDWHV OLWHUDU\ PRGHUQLVP 7KH PRGHUQLVWV¶ XQGHUVWDQGLQJ RI WLPH UHVWV RQ WKLV RSSRVLWLRQ DV ZHOO 7KHZDWFKDQGWKHFDOHQGDUDUHWKHPDLQLQVWUXPHQWVRIWKHZRUOGLQ ZKLFK WKH SULQFLSOH RI VWUXFWXUDO DQG IXQFWLRQDO KDV EHHQ YLFWRULRXV 7KHILUVWVLJQRIWKHUHVLVWDQFHWRXQLYHUVDOTXDQWLILFDWLRQLQWKHZRUOG RI PRGHUQL]DWLRQ LV WKH UHSODFHPHQW RI WKH ZDWFK DQG WKH FDOHQGDU ZLWK³LQQHU´PHDVXUHPHQWVRIWLPH7KLVLVDIDLUO\VXSHUILFLDOGHYLFH LQOLWHUDU\PRGHUQLVPLQLWVPRVWLPSRUWDQWZRUNVDVLQWKHQRYHOVRI 7KRPDV0DQQ3URXVWDQG-R\FHDVZHOODVLQ76(OLRW¶VSRHPVWKH RSSRVLWLRQ EHWZHHQ PHDVXUHG DQG LQQHU WLPH LV MRLQHG E\ D WKLUG GLPHQVLRQWKDWRIHWHUQLW\7KHDWWLWXGHRIWKHJUHDWPRGHUQLVWZULWHUV WRZDUGV WKH LQKHULWHG FRQFHSWLRQ RI WLPH VKDSHG LQ WKH 5HQDLVVDQFH DQGVWLOOGRPLQDQWWRGD\LVIDLUO\FRPSOH[VXIILFHLWWRVD\WKDWDOORI WKHLU DWWHPSWV FDQ EH GHVFULEHG DV UHVLVWLQJ WKH LGHD RI WLPH DV DQ HQGOHVVOLQHRIVWHDGLO\JURZLQJG\QDPLVPDQGWKDWWKH\WULHGWRILQG DZD\DURXQGWKLVLQWHUSUHWDWLRQE\ZHDYLQJYLVLRQVRIWKHWLPHOHVVRU WKHP\WKLFDO+DQV.DVWRUS¶VGUHDPLQWKHVQRZLQ0DQQ¶V7KH0DJLF 0RXQWDLQ 3URXVW¶V DWWHPSWV WR FUHDWH HWHUQLW\ LQ DQ RVFLOODWLRQ EHWZHHQ SDVW DQG SUHVHQW RU -R\FH¶V DQG (OLRW¶V P\WKLFDO SDWWHUQV ± WKHVHDUHDOOIRUPVRI³JRRGHWHUQLW\´DVRSSRVHGWRWKH³EDGLQILQLWH´ RI WKH HYHUODVWLQJ DQG VHOIGHYRXULQJ )DXVWLDQ PRYHPHQW ,I WKH VXEVWDQWLDO RU HVVHQWLDO KDV EHHQ ORVW LQ WKH G\QDPLVP RI VRFLDO PRGHUQL]DWLRQLQWKHWULXPSKRIWKHVWUXFWXUDODQGIXQFWLRQDOWKHQWKH FKDLQ PXVW EH EURNHQ DQG WKH HQFRXQWHU ZLWK WKH HVVHQWLDO PXVW EH PDGHSRVVLEOHDJDLQ ,Q WKDW UHVSHFW $QGULü LV LQ DJUHHPHQW ZLWK WKH JUHDW PRGHUQLVWV EXW ZLWK RQH VLJQLILFDQW GLIIHUHQFH IURP WKHP +LV GLDJQRVLV RI PRGHUQL]DWLRQ ODUJHO\ IROORZV PDLQVWUHDP ILQGHVLqFOH FXOWXUDO SHVVLPLVP IURP WKRVH ZKR PDGH WKH FULWLTXH RI PRGHUQL]DWLRQWKH FRUH RIWKHLU ZRUNV VXFK DV 2VZDOG 6SHQJOHU DQG 0D[ :HEHU WR WKRVH ZKR RQO\ LQ SDVVLQJ FRQWULEXWHG WR LW VXFK DV 6LJPXQG )UHXG DQG IURP WKRVH ZKR SDLQVWDNLQJO\ GHVFULEHG WKH







*HWWLQJ2YHU(XURSH

 PDODLVHRIWKHDJHVXFKDVWKHJUHDWPRGHUQLVWZULWHUVWRWKRVHZKR UHVSRQGHGWRLWZLWKWKHLUDFWLYLVWXWRSLDQRULGHRORJLFDOSURMHFWVVXFK DVWKHDYDQWJDUGHZULWHUV$QGULüKRZHYHUVHHPVWREHPXFKFORVHU WRWKHGLDJQRVLVRIPRGHUQLW\VKDSHGE\VRFLRORJLVWVDQGWKHRUHWLFLDQV RI PRGHUQL]DWLRQ WKDQ 0DQQ 3URXVW .DIND DQG (OLRW ZKLFK SODFHV KLP FORVHU WR 5REHUW 0XVLO ± ZKR KDG D JRRG XQGHUVWDQGLQJ RI WHFKQLTXH±WKDQWRWKHFDQRQLFDOIRXU  7KHEULGJH  $QGULü DOVR DSSURDFKHV WKH YLVLRQ RI WKH WUDQVIRUPHG ZRUOG VKDSHGE\WKHJUHDWPRGHUQZULWHUVLQKLVXQGHUVWDQGLQJRIWKH)LUVW :RUOG:DUDVWKHZDWHUVKHGDIWHUZKLFKDVLIDIWHUDWKXQGHUVWURNH WKHHQWLUHROGZRUOGGLVDSSHDUVDQGWKHSURFHVVRIGHFD\RIWUDGLWLRQDO YDOXHV HQGV 7KH VSHFLILFLW\ RI 7KH %ULGJH RYHU WKH 'ULQD LV WKDW LW ODFNV D PRGHUQLVW RU DYDQWJDUGH VWUDWHJ\ RI UHGHPSWLRQ EH LW DHVWKHWLFUHYROXWLRQDU\RURQHLULF7KHWULXPSKRI)DXVWLDQG\QDPLVP DQG LWV ³EDGLQILQLWH´ ZKLFK (XURSHDQOLWHUDU\ PRGHUQLVP DWWHPSWHG WR FXUH RU DOOHYLDWH LQ D YDULHW\ RI ZD\V KDV KHUH DFTXLUHG DQ LUUHYRFDELOLW\UDUHO\IRXQGLQWKHZRUNRIRWKHUPRGHUQLVWV$WWKHHQG RIDOPRVWHYHU\FKDSWHULQWKHQRYHOWKHEULGJHRYHUWKH'ULQDDSSHDUV LQ LWV EHDXW\ VWUHQJWK DQG VXEVWDQWLDOLW\ ³D WKLQJ DV HWHUQDO DQG XQDOWHUDEOH DV WKH HDUWK´   ³VWURQJ DQG ORYHO\ LQ LWV SHUIHFWLRQ VWURQJHUWKDQDOOWKDWWLPHPLJKWEULQJDQGPDQLPDJLQHWRGR´   DVWKHV\PERORIWKHPRGHUQLVWV¶³JRRGHWHUQLW\´7KHQRYHOSRUWUD\V RWKHUZDUVDVZHOOWKRVHWKDWSUHFHGHGWKH*UHDW:DUEXWLQQRQHRI WKHPZDVWKHEULGJHWKUHDWHQHGZLWKGHVWUXFWLRQ(YHQGHIHDWHGE\WKH WUDLQ WKH EULGJH RQ WKH 'ULQD VWRRG LQWDFW DQG JORULRXV LQ LWV VXEVWDQWLDOLW\ +RZHYHU WKH FRPSUHKHQVLYH FKDQJHV EURXJKW E\ PRGHUQL]DWLRQGHSULYHLWHYHQRILWVV\PEROLFSUHVHQFHPRGHUQL]DWLRQ FDQQRW ZDLW IRU WKH EULGJH¶V VORZ G\LQJ WR UXQ LWV FRXUVH 7KH QRYHO HQGVZLWK$OLKRGåDWKHJXDUGLDQDQGSURWHFWRURIWKHEULGJHDQGWKH PRVWDUWLFXODWHFULWLFRIPRGHUQL]DWLRQ+HLVPDGHWRDZDLWWKHDUULYDO RI WKH $XVWR+XQJDULDQ WURRSV ZLWK KLV ULJKW HDU QDLOHG WR WKH RDN EHDP RQ WKH EULGJH D IDUHZHOO SUHVHQW IURP WKH UHWUHDWLQJ 7XUNLVK WURRSV 7KH RFFXS\LQJ VROGLHUV HQHPLHV IURP $OLKRGåD¶V SRLQW RI YLHZUHOHDVHKLPIURPWKLVKXPLOLDWLQJSRVLWLRQDQGWHQGWRKLVZRXQG 7KLV NLQG RI SXQLVKPHQW LV XQLPDJLQDEOH LQ WKH QHZ ZRUOG RI VRFLDO PRGHUQL]DWLRQ DV DUH WKH VHYHUHG KHDGV ZKLFK SUHYLRXVO\ XVHG WR



7KHJUHDWPHFKDQLVPSDVVHVWKURXJK9LãHJUDG



GHFRUDWH WKH EULGJH )DXVWLDQ SRZHU UHVSHFWV KXPDQ EHLQJV LW LV IRU WKHLU EHQHILW WKDW PRGHUQL]DWLRQ LV FRQGXFWHG 7KLV LV D SRZHU WKDW ZLVKHVJRRG1HYHUWKHOHVVLWDOZD\VGRHVHYLO  QRZ RQH FDQ VHH ZKDW DOO WKHLU WRROV DQGWKHLU HTXLSPHQW UHDOO\ PHDQW DOO WKHLU KXUU\ DQG DFWLYLW\ >«@ )RU VR PDQ\ \HDUV >$OLKRGåD@ KDG VHHQ KRZ WKH\ KDG DOZD\V EHHQ FRQFHUQLQJ WKHPVHOYHV ZLWK WKH EULGJH WKH\ KDG FOHDQHG LW HPEHOOLVKHG LW UHSDLUHG LW GRZQ WR LWV IRXQGDWLRQV WDNHQ WKH ZDWHU VXSSO\ DFURVV LW OLW LW ZLWK HOHFWULFLW\ DQG WKHQ RQH GD\ EORZQ LW DOO LQWRWKHVNLHVDVLILWKDGEHHQVRPHVWRQHLQDPRXQWDLQTXDUU\ DQGQRWD WKLQJRIEHDXW\DQGYDOXHDEHTXHVW1RZRQHFDQVHHZKDWWKH\ZHUHDQG ZKDW WKH\ ZDQWHG >$OLKRGåD@ KDG DOZD\V NQRZQ WKDW EXW QRZ QRZ HYHQ WKHPRVWVWXSLGRIIRROVFRXOGVHHLWIRUKLPVHOI7KH\KDGEHJXQWRDWWDFN HYHQWKHVWURQJHVWDQGPRVWODVWLQJRIWKLQJVWRWDNHWKLQJVDZD\IURP*RG $QGZKRNQRZVZKHUHLWZRXOGVWRS(YHQWKH9H]LU¶VEULGJHKDGEHJXQWR FUXPEOHDZD\OLNHDQHFNODFHDQGRQFHLWEHJDQQRRQHFRXOGKROGLWEDFN $QGULü 

 :KDWLVWKHVWURQJHVWDQGPRVWODVWLQJDQGHYHQPRUHLILWLV *RG¶VGRHVLQGHHGUHSUHVHQWWKHJUHDWHVWFKDOOHQJHWRPRGHUQL]DWLRQ &KDOOHQJLQJ WKDW PRGHUQL]DWLRQ DIILUPV LWVHOI DV WKH SRZHU ZKLFK GHVWUR\V DOO VROLG UHODWLRQVKLSV PDNHV HYHU\WKLQJ VROLG PHOW LQWR DLU DQG GHVDFUDOL]HV HYHU\WKLQJ VDFUHG 0DU[ DQG (QJHOV    3UHYLRXVO\ SURWHFWHG IURP KXPLOLDWLQJ SDLQ DQG WRUWXUH JUDQWHG WKH GLJQLW\RIDKXPDQEHLQJDQGQRZEUHDWKLQJKLVODVWEUHDWK$OLKRGåD FOHDUO\ VHHV ZKDW KH KDV DOUHDG\ IRUHVHHQ LW KDV VWDUWHG DQG ZKR NQRZVLIDQ\ERG\FDQVWRSLWQRZ" 7KH DQVZHU WR WKLV TXHVWLRQ LV FRQWDLQHG LQ $OLKRGåD¶V ODVW WKRXJKW7KHIDFWWKDWWKHILQDOSHUVSHFWLYHRIWKHQRYHOLVIRUPXODWHG QRW E\ WKH QDUUDWRU EXW E\ RQH RI WKH FKDUDFWHUVLVLQLWVHOI DOUHDG\ D VLJQRIDFHUWDLQGLVWDQFLQJµ$Q\WKLQJFDQKDSSHQ¶WKLQNV$OLKRGåD  EXWRQHWKLQJFRXOGQRWKDSSHQLWFRXOGQRWEHWKDWJUHDWDQGZLVHPHQRI H[DOWHGVRXOZKRZRXOGUDLVHODVWLQJEXLOGLQJVIRUWKHORYHRI*RGVRWKDW WKHZRUOGVKRXOGEHPRUHEHDXWLIXODQGPDQOLYHLQLWEHWWHUDQGPRUHHDVLO\ VKRXOGHYHU\ZKHUHDQGIRUDOOWLPHYDQLVKIURPWKLVHDUWK6KRXOGWKH\WRR YDQLVK LW ZRXOG PHDQ WKDW WKH ORYH RI *RG ZDV H[WLQJXLVKHG DQG KDG GLVDSSHDUHGIURPWKHZRUOG7KDWFRXOGQRWEH  

 7KDW FRXOG QRW EH EHFDXVH WKH ORYH RI *RG LV VWLOO ZLWK XV $OLKRGåDGLHVZLWKWKLVWKRXJKW2UWKLVWKRXJKWGLHGZLWK$OLKRGåD 7KH ILQDO SHUVSHFWLYH RI 7KH %ULGJH RYHU WKH 'ULQD LV FRQGLWLRQHG DQG LURQLFDOO\ UHYHUVHG LW UHVWV RQ D FKDUDFWHU¶V IDLWK LQ







*HWWLQJ2YHU(XURSH

 WKHSUHVHQFHRI*RG¶VORYHRQHDUWK,IZHEUDFNHWIDLWKLQ*RG¶VORYH DVWKHJXDUDQWHHRIUHGHPSWLRQWKHQDUUDWRU¶VLURQ\GLVDSSHDUV7KHQ WKHILQDOSHUVSHFWLYHZRXOGUHDG³$Q\WKLQJFRXOGKDSSHQ7KLVZRXOG PHDQWKDWWKHORYHRI*RGZDVH[WLQJXLVKHGDQGKDGGLVDSSHDUHGIURP WKH ZRUOG ,W FRXOG EH WKDW JUHDW DQG ZLVH PHQ RI H[DOWHG VRXOV ZKR UDLVH ODVWLQJ EXLOGLQJV IRU WKH ORYH RI *RG VR WKDW WKH ZRUOG FDQ EH PRUH EHDXWLIXO DQG PDQ OLYH LQ LW EHWWHU DQG PRUH HDVLO\ ZRXOG HYHU\ZKHUH DQG IRU DOO WLPH YDQLVK IURP WKLV HDUWK $Q\WKLQJ FRXOG KDSSHQ´ $QGULü¶V XQGHUVWDQGLQJ RI PRGHUQL]DWLRQ LV VLJQLILFDQWO\ GLIIHUHQW WR 6NHUOLü¶V :KLOH 6NHUOLü VDZ RQO\ LWV SRVLWLYH DVSHFWV $QGULüZDVDZDUHRILWVGDUNDVSHFWVWRR6NHUOLüZDVORQJLQJIRUKLV FRXQWU\WRHQWHUWKHVSDFHRIPRGHUQL]DWLRQ$QGULüZDVZHLJKLQJLWV EHQHILWV DQG KDUPV IURP WKH LQVLGH +LV ULFKHU PRUH FRPSOH[ DQG QXDQFHG XQGHUVWDQGLQJ RI PRGHUQL]DWLRQ FRPSDUDEOH ZLWK WKRVH RI WKH JUHDW (XURSHDQ PRGHUQLVWV UHYHDOV RQH PRUH VLGH WR 5DVWNR 3HWURYLü¶VGLFWXPDERXW³JHWWLQJRYHU(XURSH´DQG³OHDUQLQJWRVSHDN (XURSHDQ´                    



   

0LVXQGHUVWDQGLQJLVWKHUXOHXQGHUVWDQGLQJLVD PLUDFOH   6RPH WLPH WRZDUGV WKH HQG RI 0HKPHG 3DVKD¶V VWD\ LQ 7UDYQLN LQ $QGULü¶V %RVQLDQ &KURQLFOH WKH )UHQFK FRQVXO 'DYLOOH GHFLGHVWRUHDGWKH9L]LHUDFRXSOHRIVFHQHVIURP5DFLQH¶V%DMD]HWLQ RUGHU WR VDWLVI\ KLV FXULRVLW\ IRU DOO WKLQJV )UHQFK 0HKPHG 3DVKD OLVWHQV FDUHIXOO\ EXW ZKHQ 'DYLOOH FRPHV WR WKH *UDQG 9L]LHU¶V FRQYHUVDWLRQZLWKWKHVXOWDQDLQWKH+DUHPKHORVHVKLVSDWLHQFHDQG LQWHUUXSWV'DYLOOH*UDQGYL]LHUVKHH[SODLQVGRQRWHQWHUKDUHPVWR WDON ZLWK VXOWDQDV DQG WKH )UHQFKPDQ KDG QRW NQRZQ ZKDW KH KDG EHHQZULWLQJDERXW'DYLOOHWULHVWRH[SODLQWKHPHDQLQJRIWUDJHG\DQG WKHSXUSRVHRISRHWU\WRKLPEXWWKH9L]LHUZLOOQRWOLVWHQ)RUKLP WKH )UHQFKPDQ¶V SOD\ SUHVHQWV DV WUXWKIXO VRPHWKLQJ WKDW KDV QHYHU EHHQDQGFRXOGQRWSRVVLEO\KDSSHQZKDWPHDQLQJDQGVLJQLILFDQFH FRXOGVXFKDQXQGHUWDNLQJSRVVLEO\KDYH"+HH[SUHVVHVKLVGLVFRQWHQW  RSHQO\ DOPRVW UXGHO\ DQG ZLWK WKH LQFRQVLGHUDWHQHVV RI VRPHRQH IURP D GLIIHUHQW FLYLOL]DWLRQ>«@ ³$K \HV ZH WRR KDYH DOO VRUWVRI GHUYLVKHV DQG SLRXV IRON ZKR UHFLWH VRQRURXV YHUVHV :H JLYH WKHP DOPV EXW ZH QHYHU GUHDPRIWUHDWLQJWKHPOLNHSHRSOHZLWKDSRVLWLRQDQGUHSXWDWLRQ1RQR, GRQ¶WXQGHUVWDQG´ $QGULü 

 $QG VR 'DYLOOH¶V DWWHPSW WR H[SODLQ WKHDWUH WR WKH 9L]LHU FRPHV WR QRWKLQJ 0HKPHG 3DVKD PLVVHV WKH RSSRUWXQLW\ WR OHDUQ VRPHWKLQJDERXWWKHFRXQWU\ZKLFKDWWUDFWVDQGLQWHUHVWVKLPVRPXFK DQG'DYLOOHPLVVHVWKHSOHDVXUHRIVKDULQJKLVORYHIRU5DFLQH¶VYHUVHV ZLWK WKH 9L]LHU ,QVWHDG RI GHHSHQLQJ WKHLU IULHQGVKLS DQG XQGHUVWDQGLQJ WKH WZR PHQ ERWK IRUHLJQHUV LQ 7UDYQLN SDUW LQ PLVXQGHUVWDQGLQJ :KR LV WR EODPH" 0HKPHG 3DVKD IRU EHLQJ LPSDWLHQW DQG XQZLOOLQJWRWU\WRXQGHUVWDQGVRPHWKLQJQHZDQGXQIDPLOLDUVXFKDV WKHLGHDWKDWDZRUNRIDUWGRHVQRWQHHGWREHIDFWXDOO\WUXHLQRUGHUWR KDYH PHDQLQJ DQG YDOXH" 2U 5DFLQH IRU WUDQVODWLQJ )UHQFK FRXUW FXVWRPVLQWRDQRWKHUFXOWXUHZLWKRXWWU\LQJWROHDUQVRPHWKLQJDERXW



*HWWLQJ2YHU(XURSH



WKDW FXOWXUH EHIRUHKDQG" 2U 'DYLOOH IRU WU\LQJ WR VKDUH VRPHWKLQJ ZKLFKKHFRQVLGHUHGWREHLPSRUWDQWZLWK0HKPHG3DVKDLQRUGHUWR GHHSHQWKHLUPXWXDOXQGHUVWDQGLQJ"1RQHRIWKHP7KHTXHVWLRQ³ZKR LV WR EODPH´ DVVXPHV WKDW XQGHUVWDQGLQJ LV WKH UXOH DQG PLVXQGHUVWDQGLQJDUHVXOWRIDPLVWDNHLPSDWLHQFHRUDODFNRIJRRG ZLOOIRUZKLFKVRPHRQHPXVWEHEODPHG,QWKLVHSLVRGH'DYLOOHDQG 0HKPHG 3DVKD RQO\ OLYH XS WR DQ ROG FODLP RI KHUPHQHXWLFV ZKLFK VWDWHVWKDWPLVXQGHUVWDQGLQJLQKXPDQFRPPXQLFDWLRQLVWKHUXOHDQG XQGHUVWDQGLQJ LV DQ H[FHSWLRQ DQG D PLUDFOH VRPHWKLQJ WR VWUXJJOH IRU DQG WR FHOHEUDWH DV D EOHVVLQJ LI DQG ZKHQ LW RFFXUV 6HYHUDO PRQWKVDIWHUWKLVIDLOHGDWWHPSWDWUHDGLQJ5DFLQHWR0HKPHG3DVKD DQG DIWHU KDYLQJ IRUJRWWHQ WKH GLVDSSRLQWPHQW LW KDG EURXJKW KLP 'DYLOOH UHDOLVHV WKLV KLPVHOI ³0LVXQGHUVWDQGLQJV DUH QDWXUDO DQG IDLOXUHV LQHYLWDEOH´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³SHRSOH ZLWK D SRVLWLRQ DQG UHSXWDWLRQ´ LQ )UDQFH ZRXOG ZULWH YHUVHV ZKLFK GHVFULEHVXFKREYLRXVQRQVHQVHDVD*UDQG9L]LHU¶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

 7KHPHDQLQJRIYHUVHVZKLOHREYLRXVWRWKH7XUNV HVFDSHV'DYLOOH DQGKHZRXOGKDYHSUHIHUUHGIRUWKHPWRVSHDNFOHDUO\DQGGLUHFWO\DV ³SHRSOHZLWKDSRVLWLRQDQGUHSXWDWLRQ´VKRXOGLQVWHDGRIXVLQJYHUVHV ZKLFK PXFK DV 5DFLQH¶V PLJKW KDYH PHDQLQJ DQG VLJQLILFDQFH EXW QHYHUWKHOHVV GHPDQG DQ DGGLWLRQDO HIIRUW RI LQWHUSUHWDWLRQ 7KH



0LVXQGHUVWDQGLQJLVWKHUXOHXQGHUVWDQGLQJLVDPLUDFOH



PLVXQGHUVWDQGLQJ EHWZHHQ 'DYLOOH DQG WKH 7XUNLVK DGPLQLVWUDWRUV LQ %RVQLDGRHVQRWVHHPWREHFDXVHGE\FXOWXUDOGLIIHUHQFHVEHFDXVHLW LVREYLRXVWKDWYHUVHVKDYHDQLPSRUWDQWIXQFWLRQLQERWKFXOWXUHV$QG LI FXOWXUDO GLIIHUHQFH LV QR REVWDFOH EXW XQGHUVWDQGLQJ VWLOO GRHV QRW RFFXU WKHQ WKHUH PXVW EH VRPHWKLQJ GHHSHU WKDW FDXVHV PLVXQGHUVWDQGLQJ 0HKPHG 3DVKD¶V GLVFRQWHQW ZLWK 5DFLQH¶V UHSUHVHQWDWLRQ RI WKH2WWRPDQFRXUWKDVRQHPRUHPHDQLQJLQ%RVQLDQ&KURQLFOH:KLOH ZULWLQJ WKLV QRYHO $QGULü XVHG DV D VRXUFH WKH DXWKHQWLF FRUUHVSRQGHQFH DQG GLSORPDWLF UHSRUWV RI 3LHUUH 'DYLG WKH )UHQFK FRQVXOLQ7UDYQLNIURPWR0LGKDWâDPLüZKRKDVVWXGLHG WKH GRFXPHQWDU\ VRXUFHV RI WKH QRYHO KDV IRXQG WKDW WKH 5DFLQH HSLVRGH LV LQ IDFW DXWKHQWLF ,Q 'DYLG¶V UHSRUW WKH 9L]LHU SURWHVWLQJ DJDLQVW WKH LQDFFXUDFLHV RI 5DFLQH¶V SOD\ VD\V ³«@%RVQLDKDGDSODFHLQKLV ³$OH[DQGULDG´ DV ZHOO D EDUUHQ ODQG ZLWK D KDUVK FOLPDWH DQG VDYDJH LQKDELWDQWV XQGHU WKH QDPH RI 7DXULV >«@ $QG KHUH WRR ZDV DOO WKH UHYXOVLRQ 'DYLOOH IHOW IRU WKH $VLDWLF VSLULW DQG WKH (DVW DV D ZKROH H[SUHVVHGLQKLVKHUR¶VVWUXJJOHDJDLQVWGLVWDQW$VLD $QGULü 

 $OWKRXJKVHHPLQJO\DERXW$OH[DQGHU'DYLOOH¶VHSRVLVDERXW KLPVHOI KLV H[SHULHQFHV RSLQLRQV DQG YLHZV ,W LV VRPHZKDW DNLQ WR WKH DOOHJRULFDO DXWRELRJUDSK\ DQG FRQIHVVLRQ RI D GLSORPDWLF RIILFLDO SURMHFWHG LQWR D ZRUOGKLVWRULFDO LQGLYLGXDO DV +HJHO ZRXOG SXW LW 'DYLOOH¶V ³$OH[DQGULDG´ GLIIHUV IURP KLV RIILFLDO FRUUHVSRQGHQFH ± ZKLFK DOVR UHFRUGHG KLV H[SHULHQFHV RSLQLRQV DQG YLHZV ± RQO\ WKURXJK LWV YHUVLILHG IRUP DQG DOOHJRULFDO PHDQLQJ 'DYLOOH LV QRW D UHDO ZULWHU EHFDXVH JHQXLQH OLWHUDWXUH FDQQRW EH UHGXFHG WR OLWHUDU\ IRUPDQGPHDQLQJGUHVVHGLQDOOHJRU\HYHQZKHQWKHDXWKRUKLPVHOI LV D ZRUOGKLVWRULFDO LQGLYLGXDO QRW WR PHQWLRQ ZKHQ KH LV QRW $V PXFK DV LW LV IDOVH WR EHOLHYH ³WKDW SRHWU\ LV PDGH RXW RI FHUWDLQ FRQVFLRXV LQWHOOHFWXDO DFWV´ $QGULü    LW LV HTXDOO\ IDOVH WR EHOLHYH WKDW WKH HOLPLQDWLRQ RI OLWHUDU\ IRUP ± SORW DQG FKDUDFWHUV EHLQJ XQGHUVWRRG DV VRPHWKLQJ VXSHUIOXRXV DV DQ XQQHFHVVDU\LO\ URXQGDERXWZD\WRZDUGVWKHDXWKRU¶VRSLQLRQVDQGYLHZV±FDQDOORZ IRU WKH DXWKRU¶V EDUH FRQIHVVLRQ 7KLV UHPDUN DERXW 'DYLOOH¶V



0LVXQGHUVWDQGLQJLVWKHUXOHXQGHUVWDQGLQJLVDPLUDFOH



XQGHUVWDQGLQJRIOLWHUDWXUHFOHDUO\SRVLWLRQV%RVQLDQ&KURQLFOHYLVj YLVWKHXQGHUVWDQGLQJRIOLWHUDWXUHDVDIRUPRIDOOHJRULFDOFRQIHVVLRQ OLWHUDWXUHFDQDQGJRRGOLWHUDWXUHPXVWEHVRPHWKLQJHOVHOHVVIRFXVHG RQ WKH DXWKRU¶V SHUVRQDOLW\ RSLQLRQV DQG YLHZV 7KDW VRPHWKLQJ FDQ EH IRU H[DPSOH D PHHWLQJ ZLWK RWKHU SHUVRQDOLWLHV RSLQLRQV DQG YLHZV /LWHUDU\ FRQIHVVLRQ LV HVVHQWLDOO\ D PRUDOLVWLF JHQUH IRXQGHG RQ D FOHDU GLYLVLRQ EHWZHHQ JRRG DQG HYLO DQG WKXV UHODWHG WR FRQIHVVLRQ DV D VSHHFK JHQUH ± D OLQJXLVWLF ULWXDO LQ WKH SUHVHQFH RI DXWKRULWLHV %RVQLDQ &KURQLFOH DOVR FOHDUO\ SRVLWLRQV LWVHOI YLVjYLV PRUDOLVWLFOLWHUDWXUH  'DYLOOH¶VH[SHULHQFHRIHYLOLQWKHZRUOGOHIWKLPELWWHUO\GHMHFWHGZKLOHKLV H[SHULHQFH RI JRRG DURXVHGKLVHQWKXVLDVP DQG D NLQGRI PRUDO HODWLRQ ,W ZDVIURPWKHVHPRUDOUHDFWLRQVZKLFKZHUHUHDOO\VWURQJLIQRWFRQVWDQWRU DOZD\VUHOLDEOHWKDWKHFUHDWHGYHUVHVODFNLQJLQHYHU\WKLQJWKDWZRXOGKDYH PDGHWKHPSRHWU\  

 ³&KHDS PRUDO HXSKRULD´   GRHV QRW KHOS FUHDWH JRRG OLWHUDWXUHFODLPVWKHQDUUDWRURI%RVQLDQ&KURQLFOHKHQFHWKHUHDGHU VKRXOG QRW H[SHFW WKH GHIHQFH RI JRRG DQG WKH LQGLFWPHQW RI HYLO LQ WKLVQRYHO 7KH DQWLGRWH WR PRUDOLVWLF VLPSOLILFDWLRQ LV D FRQVWDQW DZDUHQHVV RI WKH FRPSOH[LW\ RI KXPDQ DIIDLUV %RVQLDQ &KURQLFOH RSHQV ZLWK DQ LPDJH LQ ZKLFK WKH LGHD RI D ERRN LV GLVFUHWHO\ LQWHUZRYHQ LQWR WKH GHVFULSWLRQ RI WKH JHRJUDSKLFDO SRVLWLRQ RI 7UDYQLNWKHVLWHRIWKHQRYHO¶VDFWLRQ7UDYQLNOLHVLQ³DGHHSQDUURZ UDYLQH´VXFKWKDW³WKHZKROHSODFHORRNHGOLNHDKDOIRSHQERRN´   LQZKLFK³WKHUHLVYLUWXDOO\QRVWUDLJKWURDGRUDQ\IODWSODFHZKHUHD PDQ PLJKW VWHS IUHHO\ (YHU\WKLQJ LV VWHHS DQG XQHYHQ WRUWXRXV DQG LQWULFDWH FRQQHFWHG RU LQWHUUXSWHG E\ SULYDWH URDGV IHQFHV EOLQG DOOH\VJDUGHQVDQGEDFNJDWHVJUDYH\DUGVDQGSODFHVRIZRUVKLS´   $VWKHWRZQZKRVHFKURQLFOHWKHUHDGHUEHJLQVWRUHDGLVDOOWRUWXRXV DQGLQWULFDWHFRQQHFWHGRULQWHUUXSWHGVRWRRLVWKHFKURQLFOHODFNLQJ DVLQJOHSODFHLQZKLFKPHDQLQJFDQEHXQDPELJXRXVDQGSULYLOHJHG LQZKLFKDUHDGHUPLJKWVWHSIUHHO\DQGILQGDVWDEOHSRLQWZKLFKFDQ EHUHOLHGXSRQ:KDWLVPRUHHYHU\WKLQJLVLQWHUZRYHQLQVXFKDZD\ WKDWWKHPHVSRLQWVRIYLHZDQGYDOXHVDFTXLUHWKHLUUHODWLYHPHDQLQJ RQO\LIWKHUHDGHULVUHDG\WRKHDUWKHPUHFDOOLQJDQGFRQWUDVWLQJHDFK RWKHUWKURXJKRXWWKHERRN







*HWWLQJ2YHU(XURSH



7KH PHDQLQJ EHFRPHV DOO WKH PRUH HOXVLYH LI ZH DWWHPSW WR LQWHUSUHWWKHQRYHOLQERWKWLPHSHUVSHFWLYHVLQWKHQDUUDWHGWLPHDQG WKHWLPHRIQDUUDWLRQ%RVQLDQ&KURQLFOHWHOOVDVWRU\ZKLFKWRRNSODFH EHWZHHQDQG'HVSLWHLWVEHLQJDQLQWHUYDORISHDFHIRUWKH %RVQLDQFDSLWDOWKHHFKRHVRIFDQQRQVIURPD(XURSHUDYDJHGE\WKH 1DSROHRQLF ZDUV FRXOG VWLOO EH KHDUG DV ZHOO DV WKH QHZV WKDW WKH &KULVWLDQVLQQHLJKERXULQJ6HUELDKDGULVHQXSDJDLQVWWKH2WWRPDQV 7KHVHYHU\ZDUVEURXJKWWKHFRQVXOVWR7UDYQLNLQWKHILUVWSODFHKDG LW QRW EHHQ IRU WKHP 'DYLOOH¶V UHSRUW DQG %RVQLDQ &KURQLFOH LWVHOI ZRXOGSUREDEO\QRWKDYHFRPHLQWREHLQJRUDWOHDVWQRWLQWKHIRUPLQ ZKLFK ZH NQRZ $QGULü¶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³LQ%HOJUDGHLQ$SULO ´  RPLWWHGLQWKH(QJOLVKWUDQVODWLRQ )UDPLQJDWH[WE\GDWLQJLWZDVQRW FKDUDFWHULVWLF RI $QGULü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



 $QGULü V LQGLFDWLRQ RI WKH WLPH RI ZULWLQJ LV DOVR KLJKOLJKWHG E\ âDPLü   -lQLFKHQ9XþNRYLü(JHULü:DFKWHO



0LVXQGHUVWDQGLQJLVWKHUXOHXQGHUVWDQGLQJLVDPLUDFOH



PDUNHGLQDGHFLVLYHPDQQHUE\WKLVSHUVSHFWLYHDQGWKHTXHVWLRQLV QRW³VKRXOGLWEHVR´EXW³KRZFRXOGLWEHRWKHUZLVH"´ $VWKHWLPH RI ZULWLQJ WKH QRYHO LQ  FRORXUV WKH UHSUHVHQWHG ZRUOG LQ D VSHFLILF PDQQHU VR WKH WLPH SHUVSHFWLYH RI UHDGLQJ LW LQ VD\  UHOHDVHV D PHDQLQJ SRWHQWLDO ZKLFK ZDV QRW VR REYLRXV SUHYLRXVO\ 7KLV LV QHLWKHU LOOHJLWLPDWH QRU FKDUDFWHULVWLF RQO\ RI %RVQLDQ &KURQLFOHUDWKHULWLVDFRQVHTXHQFHRIOLWHUDWXUH¶VH[LVWHQFHLQWLPH ,W ZRXOG EH LOOHJLWLPDWH KRZHYHU WRWUDQVODWH WKLV PHDQLQJ SRWHQWLDO LQWRDXWKRULDOLQWHQWLRQ7KHYHU\SRVVLELOLW\RI%RVQLDQ&KURQLFOHWR JHQHUDWHQHZPHDQLQJVLQFKDQJHGKLVWRULFDOFLUFXPVWDQFHVLVSURRIRI LWV YDOXH DQG DV LQ RWKHU VLPLODU FDVHV GLIIHUHQW LQWHUSUHWDWLRQV DFKLHYHGLIIHUHQWGHJUHHVRISHUVXDVLYHQHVVDQGFDQEHFRPSDUHGDQG HYDOXDWHG 7KLVFRPSOH[LW\RI%RVQLDQ&KURQLFOHLVIXUWKHUVWUHQJWKHQHG E\ LWV SRO\SKRQLF FRPSRVLWLRQ7KH SHUVSHFWLYH GRPLQDQW LQ WKH SORW RIWKHQRYHO±'DYLOOH¶V±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³7KH WUDQTXLO FKURQLFOHU RI WKH FRQVXOV¶ WLPHV LQ 7UDYQLN NQRZV KRZ WR GLVFUHWHO\ WDNH RYHU WKH DUJXPHQWVDQGDGYRFDWHWKHSRLQWVRIYLHZRIHYHU\SDUWLFLSDQWLQWKH HYHQWV´ ZURWH ,YR 7DUWDOMD    /HãLü FODLPV WKDW VXFK D PXOWLSO\LQJRIYRLFHVLVWKHPDLQFKDUDFWHULVWLFRI$QGULü¶VQDUUDWLYH DV D ZKROH DQG VKRZV KRZ HYHU VLQFH KLV HDUO\ FROOHFWLRQ RI SRHWU\ $QGULüKDGGHYHORSHGDQDSSURDFKRIZLWKGUDZLQJDQGJLYLQJZD\WR WKHYRLFHVRIKLVFKDUDFWHUV  $QGULüDVDVWRU\WHOOHUHQWHUVWKHZRUOGKHWHOOVRIDQGWHOOVXVRILWIURPWKH LQVLGH,WLVWUXHWKDWZHRIWHQIDLOWRQRWLFHKLPEXWLWLVQRWEHFDXVHKHLV ³FRPSOHWHO\LQWKHEDFNJURXQG´DV%DUDFEHOLHYHGEXWEHFDXVHKHGRHVQRW

 

 6RPH DVSHFWV RI WKHVH LQWHUSUHWDWLRQV DUH GLVFXVVHG E\ äDQLü  5DNLü  +DZNHVZRUWK.D]D]







*HWWLQJ2YHU(XURSH

 VSHDN DV D ³GLVWLQFW ,´ UDWKHU KH GLVDSSHDUV DPRQJ WKH FKDUDFWHUV HDYHVGURSSLQJ RQ WKHLU YRLFHV IURP D FORVH GLVWDQFH $QGULü KLPVHOI FRQVLGHUHG LW D FKDUDFWHULVWLF RI D JHQXLQH PRGHUQ  ZULWHU ³2QH VKRXOG VSHDNIURPWKHFRUHRIWKHWKLQJVGHVFULEHGQRWIURPWKHVXUIDFHHYHQOHVV VRIURPWKHSHUVSHFWLYHRIWKHZULWHUEXWIURPWKHYHU\HVVHQFHRIZKDWZDV FKRVHQIRUWKHREMHFWDQGZKDWWKHUHDGHUQHHGVWRVHHXQGHUVWDQGDQGIHHO´ ,QWKHVDPH³1RWHIRUWKHZULWHU´$QGULüDGGHG³$ZULWHULIKHLVZKHUHKH VKRXOG EH LV WKH LQQHU YRLFH RI WKLQJV DQG WKH WUDQVODWRU RI WKHLU UHODWLRQVKLSV´ /HãLü  

,Q WKH VDPH DUWLFOH /HãLü UHIHUV WR %RVQLDQ &KURQLFOH DV D SRO\SKRQLFQRYHODQGDOWKRXJKKHLQGLFDWHVWKDW%DNKWLQ¶VWKHRU\RI WKHQRYHOPD\RIIHUWKHULJKWFRQFHSWXDOWRROVIRULWVLQWHUSUHWDWLRQKH QHYHUWKHOHVV FKRRVHV D QDUUDWRORJLFDO SHUVSHFWLYH DV EHLQJ PRUH VXLWDEOH IRU WKH SROHPLFDO SXUSRVH RI KLV DUWLFOH %XW WKDW ZKLFK LV PRVW LPSRUWDQW KDV EHHQ DOUHDG\ VDLG E\ UHFDOOLQJ %DNKWLQ¶V WKHRU\ WKH DXWKRU H[KLELWV DV VSHFLILF VSHHFKWKLQJV WKH GLIIHUHQW YRLFHV ZKLFK SXW IRUZDUG WKHLU RZQ SRLQWV RI YLHZ RQ WKH ZRUOG %DNKWLQ  7KHVSHDNLQJSHUVRQLQWKHQRYHOLVDOZD\VDQLGHRORJXHDQG KLVZRUGVDUHDOZD\VLGHRORJHPHV7KHSDUWLFXODUODQJXDJHXVHGLQD QRYHOLVDOZD\VDVSHFLILFSRLQWRIYLHZRQWKHZRUOGEHFDXVHDQDOLHQ LGHRORJLFDOZRUOGFDQRQO\EHDGHTXDWHO\UHSUHVHQWHGLILWLVSHUPLWWHG WR VRXQG LI WKH VSHFLDO GLVFRXUVH SDUWLFXODU WR LW LV UHYHDOHG $Q HQWLUHO\ DGHTXDWH GLVFRXUVH IRU SRUWUD\LQJ D ZRUOG¶V XQLTXHLGHRORJ\ FDQRQO\EHWKDWSDUWLFXODUZRUOG¶VXQLTXHGLVFRXUVH7KHVHYRLFHVLQ %RVQLDQ&KURQLFOHDUHVHWDJDLQVWHDFKRWKHUGLDORJLFDOO\RQHSRLQWRI YLHZ RSSRVHG WR DQRWKHU RQH HYDOXDWLRQ RSSRVHG WR DQRWKHU RQH DFFHQWRSSRVHGWRDQRWKHU7KHDXWKRUXWLOL]HVWKHPLQRUGHUWRDYRLG IXOO\JLYLQJKLPVHOIXSWRDQ\RIWKHPKHXVHVWKHLUGLDORJXHVRWKDW KH PD\ UHPDLQ DV LW ZHUH QHXWUDO D WKLUG SDUW\ LQ D TXDUUHO EHWZHHQ WZRSHRSOH+HPLJKWUHPDLQLQWKHEDFNJURXQGWRVXFKDQH[WHQWWKDW ODUJHSRUWLRQVRIWKHQRYHOEHFRPHZKDW%DNKWLQFDOOVFKDUDFWHU]RQHV ±WKHILHOGVRIDFWLRQIRUFKDUDFWHUV¶YRLFHVHQFURDFKLQJLQRQHZD\RU DQRWKHUXSRQWKHDXWKRU¶VYRLFH$QDXWKRU LIKHLVZKHUHKHVKRXOG EHFRQFHGHVDFKDUDFWHU¶VSRLQWDVPXFKDVSRVVLEOHKLVVXFFHVVFDQ EHPHDVXUHGE\WKHH[WHQWWRZKLFKKHVXFFHHGVLQOHWWLQJFKDUDFWHUV H[SUHVV WKHPVHOYHV 6XFK DQ DXWKRU FDQ FRQVHTXHQWO\ RQO\ EH UHFRJQL]HG LQ WKH GUDPDWXUJ\ RI YRLFHV DQG LQ WKHLU FRXQWHUSRLQW LQ WKH DFWLRQV ZKLFK DUH DVFULEHG WR WKH FKDUDFWHUV DQG LQ WKH RYHUDOO FRPSRVLWLRQZKLFKLVWKXVFUHDWHG 



0LVXQGHUVWDQGLQJLVWKHUXOHXQGHUVWDQGLQJLVDPLUDFOH



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pV¶ DUULYDOLQ%RVQLD  ,W KDG EHJXQ DW RQFH LQ 6SOLW /LNH WKH WLJKWHQLQJ RI DQ LQYLVLEOH KRRS HYHU\WKLQJ UHTXLUHG D JUHDWHU HIIRUW DQG DW WKH VDPH WLPH RQH ZDV OHVV FDSDEOH RI PDNLQJ LW (YHU\ VWHS ZDV PRUH GLIILFXOW HYHU\ GHFLVLRQ PRUH ODERULRXVDQGLWVRXWFRPHPRUHXQFHUWDLQZKLOHEHKLQGHYHU\WKLQJOLNHDQ HYHUSUHVHQW WKUHDW OXUNHGGLVWUXVW SRYHUW\ DQG WURXEOH 7KLV ZDV KRZ WKH (DVWPDGHLWVHOINQRZQ $QGULü 

 $OWKRXJK LW ZDV QRW LQWURGXFHG DV UHSRUWHG VSHHFK WKLV SDUDJUDSKLVDSDUWRI'HV)RVVpV¶³QLJKWWKRXJKWV´SDUWRIKLVLQQHU PRQRORJXH GXULQJ D VOHHSOHVV QLJKW DQG KHQFH WKH HPRWLRQDOO\ H[SUHVVLYH LQYHUVLRQ LQ WKH ILUVW VHQWHQFH 7KHUH LV QR GRXEW WKDW WKH QDUUDWRULV ZLWKLQ WKH ]RQH RIWKH FKDUDFWHU 'HV )RVVpV DQGWKDWWKLV GHVFULSWLRQRIWKH(DVWH[SUHVVHVWKHODWWHU¶VH[SHULHQFH)XUWKHUGRZQ ZHOHDUQKRZ³LW´KDGEHJXQ7KHILUVWRI'HV)RVVpV¶LPSUHVVLRQVRI %RVQLD ZDV KLV HQFRXQWHUZLWK D )UHQFK RIILFHU LQ 6SOLW ZKRVH GXW\ ZDVWRSURYLGHDFDUULDJHIRUWKH\RXQJGLSORPDW,QUHVSRQVHWR'HV )RVVpV¶LQTXLU\DVWRZKHWKHUWKHFDUULDJHKDGVWURQJVSULQJVDQGVRIW VHDWVWKH)UHQFKRIILFHUDQVZHUHGPDOLFLRXVO\WKDW³DQ\RQHJRLQJWR ZRUNLQ7XUNH\PXVWKDYHDUXPSRIVWHHO´  7KLVLVKRZWKH(DVW PDGHLWVHOINQRZQWR'HV)RVVpV±WKURXJKDPDOLFLRXV)UHQFKRIILFHU 7KDWVDPHHYHQLQJ'HV)RVVpVPHHWV-XOLDQD\RXQJ%RVQLDQPRQN ZKR FDQQRW UHVLVW WKH WHPSWDWLRQ WR H[SUHVV KLV GLVDSSURYDO RI WKH SRVLWLRQRIWKH&DWKROLF&KXUFKLQ)UDQFH$OWKRXJKKHKDVDQ³DQJU\ DOPRVW ZLOG H[SUHVVLRQ RQ KLV IDFH´   KLV ZRUGV DUH FDUHIXOO\ PHDVXUHG DQG WKH ZKROH FRQYHUVDWLRQ WDNHV SODFH LQ DQ DWPRVSKHUH







*HWWLQJ2YHU(XURSH



ZKLFK LV IDU IURP DJJUHVVLYH E\ D ILUHSODFH RYHU GLQQHU DQG GULQNV 'HV )RVVpV KRZHYHU DOUHDG\ NQRZV ZKDW RQH VKRXOG H[SHFW LQ %RVQLD DQG KRZ RQH VKRXOG LQWHUSUHW LW ³6R P\ MRE KDV DOUHDG\ EHJXQ´KHWKRXJKW³DQGWKHVHDUHWKHNLQGRIGLIILFXOWLHVDQGWXVVOHV \RXUHDGDERXWLQWKHPHPRLUVRIROGFRQVXOVLQWKH(DVW´  6LQFH ERRNVWHOORIWKHGLIILFXOWLHVDQGWXVVOHVDZDLWLQJGLSORPDWVLQWKH(DVW DQGHYHU\RQHNQRZVWKDWERRNV±HVSHFLDOO\WKHPHPRLUVRIGLSORPDWV ± DOZD\V VSHDN WKH WUXWK DQG QRWKLQJ EXW WKH WUXWK WKHQ WKH PDOLFLRXVQHVVRIWKLV)UHQFKRIILFHUDQGWKHFDUHIXOO\PHDVXUHGZRUGV RI WKLV &DWKROLF PRQN PXVW EH WKDW FXOWXUDO JDS EHWZHHQ (DVW DQG :HVW WKDW RQH KHDUV VR PXFK DERXW 7KLV LV KRZ $QGULü WUHDWV WKH VWHUHRW\SHRIWKHLPSHQHWUDEOHDQGGLIILFXOW(DVWWKURXJKRXWWKHQRYHO KHDOZD\VOHDYHVLWLQWKHUHSRUWHGVSHHFKRIKLV:HVWHUQFKDUDFWHUVRU LQ WKHLU ]RQHV ZLWKRXW FRPPHQWLQJ RQ LW H[SOLFLWO\ EXW KH IUDPHV LW ZLWK HYHQWV WKDW VXEYHUW LWV PHDQLQJ RU GLVFUHWHO\ LQGLFDWH LWV TXHVWLRQDEOH RULJLQ 5HDOLW\ LV KRZHYHU DOZD\V PRUH FRPSOH[ WKDQ WKHUHSUHVHQWDWLRQLPSRVHGE\ERRNVDQGXSRQKLVDUULYDOLQ7UDYQLN 'HV)RVVpVTXLFNO\OHDUQVWRVKDNHRIIWKHVWHUHRW\SHVIURPGLSORPDWLF PHPRLUV 7KHIURQWOLQHRIPLVXQGHUVWDQGLQJLQ%RVQLDQ&KURQLFOHGRHV QRW IROORZ D FOHDU GLYLVLRQ EHWZHHQ WKH (DVWHUQ DQG :HVWHUQ FKDUDFWHUV D GLYLVLRQLQWR(XURSHDQV RQ WKH RQH KDQG DQG 2WWRPDQV DQG %RVQLDQV RQ WKH RWKHU 7KHUH LV OLWWOH XQGHUVWDQGLQJ DPRQJ WKH :HVWHUQHUVWRVWDUWZLWKDQGQRFRPPRQODQJXDJHEHWZHHQ%RVQLDQV DQG 2WWRPDQV ZKR VKRXOG VWDQG IRU WKH 2ULHQW 7KH OLQH RI PLVXQGHUVWDQGLQJ LQ WKH QRYHO LV UHSHDWHGO\ FRQVWUXFWHG DQG GHFRQVWUXFWHG ± VR WKDW QR VWDEOH DQG HVVHQWLDO RSSRVLWLRQ LV HYHU HVWDEOLVKHG ± DFFRUGLQJ WR DOWRJHWKHU GLIIHUHQW FULWHULD 'XH WR WKHVH G\QDPLFV RI FRQVWUXFWLRQ DQG GHFRQVWUXFWLRQ RI WKH GLYLVLRQ LQWR XV DQGWKHPZKLFKFDQQHYHUEHUHGXFHGWRVWDEOH(DVWHUQDQG:HVWHUQ LGHQWLWLHV %RVQLDQ &KURQLFOH VXEYHUWV WKH RSSRVLWLRQ EHWZHHQ (DVW DQG :HVW $OWKRXJK WKLV RSSRVLWLRQ LV UHSHDWHGO\ UHFDOOHG LQ WKH FKDUDFWHUV¶VSHHFKLWLVGLVVROYHGDQGGLVFDUGHGE\WKHQRYHOLWVHOI 7KHG\QDPLFVRIPLVXQGHUVWDQGLQJFDQEHVWEHH[HPSOLILHGE\ WKH FRPSOH[ UHODWLRQVKLSV EHWZHHQ 'DYLOOH DQG WKH RWKHU FKDUDFWHUV 'DYLOOH LV DQ H[HPSODU\ :HVWHUQHU RQH ZRXOG DOPRVW VD\ KH LV WKH (XURSH ZKLFK FDPH WR %RVQLD ,I WKH RSSRVLWLRQ EHWZHHQ (DVW DQG :HVWZHUHZKDW%RVQLDQ&KURQLFOHLVDERXW'DYLOOH¶VUHODWLRQVZLWK WKH%RVQLDQVDQGWKH2WWRPDQVZRXOGEHRQHRIFRQIOLFWDQGRQHRI



0LVXQGHUVWDQGLQJLVWKHUXOHXQGHUVWDQGLQJLVDPLUDFOH



KDUPRQ\ ZLWK WKH RWKHU :HVWHUQHUV %XWLW LV QRW VR'DYLOOHOLYHVLQ FRQVWDQWPLVXQGHUVWDQGLQJZLWKWKH:HVWHUQHUZKRVKRXOGEHFORVHVW WRKLPZLWK'HV)RVVpVZLWKZKRPKHVKDUHVDFRPPRQKRPHODQG ODQJXDJHDQGFXOWXUH  7KLV\RXQJPDQWKHRQO\)UHQFKPDQLQWKLVZLOGHUQHVVDQGWKHRQO\PDQKH UHDOO\KDGWRZRUNZLWKZDVVRGLIIHUHQWIURPKLPLQVRPDQ\ZD\V RUDW OHDVW WKDW LV KRZ LW VHHPHG  WKDW 'DYLOOH IHOW DW WLPHV WKDW KH ZDV OLYLQJ DORQJVLGHDIRUHLJQHUDQGDQHQHP\  

 'LIIHUHQWSROLWLFDOH[SHULHQFHVDQGJURZLQJXSXQGHUGLIIHUHQW SROLWLFDO FLUFXPVWDQFHV DORQJ ZLWK WKHLU EHORQJLQJ WR GLIIHUHQW JHQHUDWLRQVSURYHWREHVWURQJHUWKDQWKHWLHVRIVKDUHGODQJXDJHDQG FXOWXUH %XW WKLV LV QRW DOO 7KH FKDUDFWHUV RI %RVQLDQ &KURQLFOH LQ DGGLWLRQ WR VWDQGLQJ IRU ODUJHU FXOWXUDO UHOLJLRXV DQG SROLWLFDO LGHQWLWLHV DOVR KDYH WKHLU RZQ SHUVRQDO LQGLYLGXDOLWLHV 'HV )RVVpV ³WKHIRUHLJQHUDQGWKHHQHP\´LVTXLWHGLIIHUHQWSV\FKRORJLFDOO\IURP 'DYLOOHZKLFKFRQGLWLRQVWKHLUGLIIHUHQWUHDFWLRQVWRWKHFRXQWU\WKH\ ZHUHVHQWWR'HV)RVVpVLVFXULRXVFRQILGHQWH[WURYHUWDQGFKHHUIXO ZKLOH 'DYLOOH LV DQ LQWURYHUW ODFNLQJ LQ FRQILGHQFH DQG QRW WRR FXULRXV7KLVLVZK\'HV)RVVpVZDVDEOHWRIUHHKLPVHOITXLFNO\IURP WKH VWHUHRW\SHV DERXW WKH (DVW HPDQDWLQJ IURP GLSORPDWLF PHPRLUV DQG 'DYLOOH KDG QR RWKHU FKRLFH EXW WR MRLQ WKH JURXS RI WKRVH ZKR FUHDWH DQG GLVVHPLQDWH WKHP ± TXLWH OLWHUDOO\ VR IRU PRVW RI WKH VWHUHRW\SHV HQFRXQWHUHG LQ %RVQLDQ &KURQLFOH FRPH IURP 3LHUUH 'DYLG¶V UHSRUWV GLDULHV DQG OHWWHUV /DVW EXW QRW OHDVW WKH WZR )UHQFKPHQ DUH GLIIHUHQWO\ HTXLSSHG IRU HQFRXQWHULQJ WKH (DVW ZKLOH 'HV )RVVpV FDQ FRPPXQLFDWH ZLWK WKH SHRSOH IURP 7UDYQLN LQ 7XUNLVK 'DYLOOH ³GLG QRW NQRZ WKH ODQJXDJH RU XQGHUVWDQG WKH FRXQWU\DQGLWVFLUFXPVWDQFHV´   7KH PLVXQGHUVWDQGLQJ EHWZHHQ 'DYLOOH DQG 'HV )RVVpV LV H[HPSOLILHG LQ WKHLU GLIIHUHQW YLHZV RI %RVQLD 7R VWDUW ZLWK WKH\ GHPRQVWUDWH GLIIHUHQW GHJUHHV RI ZLOOLQJQHVV DQG UHDGLQHVV WR OHDUQ VRPHWKLQJDERXWWKHFRXQWU\  $QGWKH³'DYLOOH@VXFFHHGHGLQILQGLQJDQGEULQJLQJWRJHWKHU HYHU\RQH RSSRVHG WR $XVWULD E\ WHPSHUDPHQW RU LQWHUHVWV DQG ZLOOLQJ WR XQGHUWDNH DQ\WKLQJ DW DOO +H FRQWDFWHG WKH WRZQ FRPPDQGHUV IURP WKH 0LOLWDU\ )URQWLHU SDUWLFXODUO\ WKH FRPPDQGHU RI 1RYL WKH EURWKHU RI WKDW XQIRUWXQDWH$KPHG%H\&HULüZKRPKHKDGQRWVXFFHHGHGLQVDYLQJXUJHG WKHPWRVWLUWKLQJVXSLQWKH$XVWULDQWHUULWRULHVDQGRIIHUHGWKHPUHVRXUFHV IRU UDLGV 7KURXJK WKH /LYQR IULDUV YRQ 0LWWHUHU VHQW QHZVSDSHUV DQG SURFODPDWLRQVWR'DOPDWLDZKLFKZDVXQGHU)UHQFKRFFXSDWLRQPDLQWDLQHG OLQNV ZLWK WKH &DWKROLF FOHUJ\ LQ 1RUWKHUQ 'DOPDWLD DQG DVVLVWHG WKH RUJDQL]DWLRQRIUHVLVWDQFHWRWKH)UHQFK  

 $QGDOOWKDWLVKDSSHQLQJEHWZHHQWZRPHQZKRDUHGLYLGHG QHLWKHU E\ UHOLJLRQ QRU FXOWXUH ZKR ERWK PXVW OLYH LQ WKH VDPH OLWWOH RULHQWDO WRZQ ³ZLWKRXW FRPSDQ\ RU SOHDVXUH ZLWKRXW DQ\ FRPIRUWV RIWHQ ZLWKRXWWKH PRVW HVVHQWLDO WKLQJV DPRQJ WKHVHZLOG PRXQWDLQV DQGXQFRXWKSHRSOHVWUXJJOLQJZLWKGLVWUXVWLQDFFXUDF\GLUWVLFNQHVV DQG PLVIRUWXQHV RI DOO NLQG´   0XFK DV WKH IRXU %RVQLDQ FRQIHVVLRQV ZKLFK DOWKRXJK OLYLQJ XQGHU WKH VDPH VN\ DQG RI WKH VDPH VRLO DUH LQ D SHUPDQHQW VWDWH RI FRQIOLFW DQG GLVWUXVW ± WKXV LPLWDWLQJWKHJOREDOFRQIOLFWDQGGLVWUXVWRIWKHODUJHUFRPPXQLWLHVWR ZKLFK WKH\ EHORQJ ±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¶VZD\DQGPDNLQJ WKHLUOLYHVGLIILFXOWLQHYHU\ZD\WKH\FRXOG  

 $OWKRXJK KH KDG WR VSHQG KLV GD\V LQ 7UDYQLN LQ PXWXDO PLVXQGHUVWDQGLQJ DQG FRQIOLFW ZLWK 'HV )RVVpV DQG WKH $XVWULDQ FRQVXOV'DYLOOHKDGEHWWHUOXFNZLWKWKH2WWRPDQYL]LHUVZLWKZKRP KHZDVQRWLQGLVDJUHHPHQWDOOWKHWLPH%XWWKHFLUFXPVWDQFHVXQGHU ZKLFK WKH\ GLG QRW GLVDJUHH SXW WKHLU XQGHUVWDQGLQJ LQWR TXHVWLRQ 'DYLOOH KDG FRPH WR 7UDYQLN ZLWK ³D UHYXOVLRQ IRU WKH $VLDWLF VSLULW DQG WKH (DVW DV D ZKROH´   ZKLFK LV RQH RI WKH PRUH LPSRUWDQW HOHPHQWVRIKLVLQWHOOHFWXDOOLIHDQGDWWKHVDPHWLPHWKHPDLQWRSLFRI KLV OLIH ZRUN ± WKH HSRV DERXW $OH[DQGHU V VWUXJJOH DJDLQVW GLVWDQW $VLD1HYHUWKHOHVVWKRXJKWKH$VLDQVLQ7UDYQLNSOHDVDQWO\VXUSULVHG



0LVXQGHUVWDQGLQJLVWKHUXOHXQGHUVWDQGLQJLVDPLUDFOH



KLP WKH\ IDLOHG WR FKDQJH KLV RSLQLRQV DERXW WKH 2ULHQW 7KH ILUVW YL]LHU 0HKPHG 3DVKD ZDV WKH RSSRVLWH RI 'DYLOOH¶V VWHUHRW\SH RI 2WWRPDQ GLJQLWDULHV DV KH ZDV OLYHO\ SOHDVDQW DQG NLQG +H OHIW WKH LPSUHVVLRQ RI ³D PLOG UHDVRQDEOH PDQ ZKR ZRXOG QRW RQO\ PDNH ZHOOPHDQLQJ SURPLVHV EXW >ZRXOG@ DFWXDOO\ FDUU\ WKHP RXW´   0RVWRIDOO0HKPHG3DVKDZRQ'DYLOOH¶VV\PSDWK\QRWRQO\WKURXJK KLVVPLOHFLYLOLW\DQGNLQGQHVVEXWE\VXJJHVWLQJDQHZGLYLVLRQLQWR XV DQG WKHP ZKLFK UHDUUDQJHG 'DYLOOH¶V RULHQWDOLVW PHQWDO PDS ³,Q WKHFRXUVHRIWKHFRQYHUVDWLRQWKH9L]LHUPDGHDSRLQWRIVWUHVVLQJWKH VDYDJHU\RIWKLVFRXQWU\WKHFUXGLW\DQGEDFNZDUGQHVVRIWKHSHRSOH 7KH ODQG LV ZLOG >@ WKH PHQ DUH YLROHQW DQG XQFRXWK´   7KH 9L]LHU DQG 'DYLOOH DJUHHG WKDW %RVQLD LV RWKHU ³XQFXOWXUHG DQG EDUEDULF´  DQGWKHWZRRIWKHPDUHWKHVDPH±HQOLJKWHQHGDQG FLYLOL]HG 7KH VHFRQG YL]LHU ,EUDKLP 3DVKD UHVHPEOHG 'DYLOOH¶V VWHUHRW\SHDERXWWKHDSSHDUDQFHRI2WWRPDQGLJQLWDULHVZLWKKLVVORZ PRWLRQV H[SUHVVLRQOHVV IDFH DQG RSHUDWLF GLJQLW\ +RZHYHU DIWHU RYHUFRPLQJ ILUVW LPSUHVVLRQV 'DYLOOH VWUXFN XS D VLQFHUH DQG FRUGLDO IULHQGVKLSZLWKKLPWRRDQGRQFHDJDLQWKLVIULHQGVKLSZDVEDVHGRQ WKHDJUHHPHQWDERXWWKHGLYLVLRQEHWZHHQXVDQGWKHP  $VVRRQDVKHVWDUWHGWRWDONDERXW%RVQLDDQGWKH%RVQLDQV,EUDKLP3DVKD FRXOGQHYHUILQGHQRXJKKDUVKZRUGVDQGEODFNLPDJHVDQG'DYLOOHZRXOG OLVWHQWRKLPQRZZLWKVLQFHUHFRPSDVVLRQDQGJHQXLQHXQGHUVWDQGLQJ>@ ³7@KHDGHTXDWHODQJXDJHLQZKLFKZHFDQXQGHUVWDQGDQRWKHUVRFLHW\LVQRW RXUODQJXDJHRIXQGHUVWDQGLQJQRUWKHLUVEXWUDWKHUZKDWRQHFRXOGFDOOD ODQJXDJH RI SHUVSLFXRXV FRQWUDVW 7KLV ZRXOG EH D ODQJXDJH LQ ZKLFK ZH FRXOGIRUPXODWHERWKWKHLUZD\RIOLIHDQGRXUVDVDOWHUQDWLYHSRVVLELOLWLHVLQ UHODWLRQWRVRPHKXPDQFRQVWDQWVDWZRUNLQERWK>«@6XFKDODQJXDJHRI FRQWUDVW PLJKW VKRZ WKHLU ODQJXDJH RI XQGHUVWDQGLQJ WR EH GLVWRUWHG RU LQDGHTXDWHLQVRPHUHVSHFWVRULWPLJKWVKRZRXUVWREHVR LQZKLFKFDVH ZH PLJKW ILQG WKDW XQGHUVWDQGLQJ WKHP OHDGV WR DQ DOWHUDWLRQ RI RXU VHOI XQGHUVWDQGLQJ DQG KHQFHRXU IRUP RI OLIH D IDU IURP XQNQRZQ SURFHVV LQ KLVWRU\ RULWPLJKWVKRZERWKWREHVR 7D\ORU 

 *DGDPHU¶V KHUPHQHXWLFV DOVR RIIHUV DQ LQVLJKW LQWR ZKDW KDV EHHQ UHIHUUHG WR KHUH DV V\QFUHWLVP RU WKH ODQJXDJH RI SHUVSLFXRXV FRQWUDVW 5LFKDUG %HUQVWHLQ VKRZV KRZ IUXLWIXO *DGDPHU¶V FRQFHSWV FDQEHVXFKDVWKHIXVLRQRIKRUL]RQVRUDQDXWKHQWLFGLDORJXHLQWKH FRQWH[WRIDGHEDWHRQWKHSRVVLELOLW\RIFURVVFXOWXUDOFRPPXQLFDWLRQ %HUQVWHLQ   $OWKRXJK ZH DUH FRQGLWLRQHG E\ RXU UHVSHFWLYH WUDGLWLRQV ZKLFK EHORQJ WR XV DV PXFK DV ZH EHORQJ WR WKHP DQG DOWKRXJK DQ DWWHPSW WR XQGHUVWDQG RWKHUV WKH ZD\ WKH\ XQGHUVWDQG WKHPVHOYHV PXVW DOZD\V HQG LQ IDLOXUH WKHUH LV VWLOO PXFK VSDFH OHIW IRU EUHDNLQJ RXW RI RXU OLPLWHG KRUL]RQV ZKLFK DUH LQ QR ZD\ KHUPHWLFDOO\FORVHGDQGLVRODWHG7RWKHH[WHQWWKDWWKH\DUHOLQJXLVWLF ± PHDQLQJ WKDW WKH\ FRQVLVW RI ODQJXDJHEDVHG HOHPHQWV RU RI







*HWWLQJ2YHU(XURSH



SKHQRPHQDZKLFKFDQEHGHVFULEHGDQGH[SOLFDWHGLQODQJXDJH±RXU KRUL]RQV FDQ EH SHQHWUDWHG E\ HOHPHQWV IURP WKH KRUL]RQV RI RWKHUV DQG WKXV EH UHVKDSHG DQG H[WHQGHG IRU KRZ HOVH FRXOG ZH DFFRXQW IRU DOO NQRZQ LQVWDQFHV RI FXOWXUDO WUDQVODWLRQ" %HUQVWHLQ VXPV XS *DGDPHU¶V SRLQW ³3RWHQWLDOO\ ZH FDQ DOZD\V XQGHUVWDQG LI ZH DUH ZLOOLQJ WR PDNH DQ HIIRUW WR XQGHUVWDQG DQG KDYH GHYHORSHG WKH QHFHVVDU\WDOHQWVDQGYLUWXHVUHTXLUHGIRUKHUPHQHXWLFDOXQGHUVWDQGLQJ >«@ ± D ZLOOLQJQHVV DQG DELOLW\ WR PRYH EH\RQG RXU OLPLWHG ILQLWH KRUL]RQV´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¶V GHILQLWLRQ RI XQGHUVWDQGLQJ ³8QGHUVWDQGLQJ LV DOZD\V WKH IXVLRQ RI WKHVH KRUL]RQV VXSSRVHGO\ H[LVWLQJ E\ WKHPVHOYHV´ *DGDPHU    8QGHUVWDQGLQJ GRHV QRW PHDQ VXEPLVVLRQ FODLPV *DGDPHU LW LV DQ DWWHPSW WR PHHW WKH RWKHU WKDW RQH ZDQWV WR XQGHUVWDQG LQ D WKLUG SODFH VRPHZKHUH EHWZHHQ RXU SDUWLFXODU SRVLWLRQV ³7KH WUXH ORFXV RI KHUPHQHXWLFV LV WKLVLQEHWZHHQ´ *DGDPHU 7KLVLV&RORJQD¶VWKLUGZRUOG LQ ZKLFK ,VODP -XGDLVP DQG &KULVWLDQLW\ PHHW DQG ZLWKRXW DVVLPLODWLQJRQHDQRWKHUEHFRPHV\QFUHWLFDOO\XQLWHGLQDQHZODUJHU ZKROH  $QG WKH SUHFRQGLWLRQ IRU VXFK DQ XQGHUVWDQGLQJ LV WR UHFRJQL]HHYHU\RQH¶VULJKWWRVD\RQH¶VRZQZRUGDERXWRQHVHOIDQG WRWU\WRXQGHUVWDQGRQH¶VDUJXPHQWVLQWKHLUVWURQJHVWSRVVLEOHOLJKW ,YR 7DUWDOMD KDV DOUHDG\ SRLQWHG RXWWKH ³VWULNLQJ VLPLODULWLHV EHWZHHQ WKH ,OO\ULDQ SK\VLFLDQ¶V FKDUDFWHU DQG $QGULü KLPVHOI´ 7DUWDOMD     ,Q WKH WZHOIWK FKDSWHU RI WKH QRYHO ZKHUH &RORJQD DSSHDUV IRU WKH ILUVW WLPH D QXPEHU RI KLV FKDUDFWHULVWLFV FRUUHVSRQGZLWKWKRVHZKLFKLQ$QGULü¶VRWKHUZRUNVUHIHUWRSRHWVRU ZULWHUVLQJHQHUDOZHDULQJDPDVNWKHDELOLW\WRLGHQWLI\ZLWKRWKHUV RU ZLWK WKHLU EHOLHIV DQG WKRXJKW V\VWHPV KDYLQJ DQ XQGHWHUPLQHG LGHQWLW\ DQG EHLQJ IRFXVHG RQ ODQJXDJH :KDW LV PRUH WKH



 2QWKHVLPLODULWLHVEHWZHHQ$QGULü VELRJUDSK\DQG&RORJQD VXQFHUWDLQLGHQWLW\VHH DOVR/RQJLQRYLü



0LVXQGHUVWDQGLQJLVWKHUXOHXQGHUVWDQGLQJLVDPLUDFOH



LQWURGXFWLRQRI5XPL¶VYHUVHVLQWKHILIWHHQWKFKDSWHURSHQVXSDQHZ ILHOGRIDVVRFLDWLRQVDQGFOHDUO\LQGLFDWHVWKDW$QGULüH[SHFWHGUHDGHUV WR XQGHUVWDQG &RORJQD DV D PHWDSKRU IRU D ZULWHU ± WKRXJK QRW QHFHVVDULO\DVDPHWDSKRUIRU$QGULüKLPVHOI7DUWDOMDDOVRFDXWLRXVO\ UHIXWHV WKH SRVVLELOLW\ RI XQGHUVWDQGLQJ &RORJQD DV $QGULü¶V VHOI SRUWUDLW³,WZRXOGEHXQUHDVRQDEOHWRHTXDWH&RORJQDZLWK$QGULü$ ZULWHU ZKR ZRXOG VLPSO\ SURMHFW KLPVHOI RQWR D FKDUDFWHU IURP KLV QRYHOZRXOGFHUWDLQO\EUHDNWKHUXOHVRI$QGULü¶VSRHWLFV+HZRXOG UHVHPEOH WKH IDLOHG SRHW 'DYLOOH UDWKHU WKDQ WKH DOZD\V VRPHKRZ HOXVLYHZULWHUWKLQNHU&RORJQD´ 7DUWDOMD 7KHPRVWZHFDQ VD\FODLPV7DUWDOMDLVWKDW&RORJQDLV³WKHDXWKRU¶VFDULFDWXUH´7KHUH LV FHUWDLQO\ VRPHWKLQJ FDULFDWXUHOLNH DERXW &RORJQD EXW ZKDW IXQFWLRQZRXOGLWKDYHVHUYHGWRLQFOXGHDFDULFDWXUHRIWKHDXWKRULQD QRYHOZKLFKVRWKRURXJKO\HUDVHVDOODXWKRULDOWUDFHV" 0RUH WKDQ WKH SHUVRQDOLW\ RI WKH DXWKRU &RORJQD¶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ü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þD *RUD DQG,VODPEHWWHUWKDQWKH8OHPD$QGDVDOOEHOLHIV\VWHPVWR&RORJQD DUH³HTXDOO\FORVH>«@DQGHTXDOO\UHPRWHDQGZLWKHDFKRIWKHPKH >LV@DEOHWRDJUHHDQGFRPSOHWHO\LGHQWLI\IRUDFHUWDLQWLPH´ $QGULü    VR WRR WR WKH QDUUDWRU DUH DOO FKDUDFWHUV¶ SRLQWV RI YLHZ 7KLVPDNHVERWK&RORJQDDQGWKHQRYHOFRQVLVWHQWO\LQFRQVLVWHQWWKXV SDYLQJ WKH ZD\ IRU WKH SRVVLELOLW\ RI GLIIHUHQW DQG HYHQ RSSRVLQJ LQWHUSUHWDWLRQV $QG DV VXFK %RVQLDQ &KURQLFOH EHORQJV WR WKRVH







*HWWLQJ2YHU(XURSH



³HWHUQDO LQWHUSUHWHUV DQG JREHWZHHQV >«@ ZKR FDUU\ LQ WKHPVHOYHV PXFKWKDWLVKLGGHQDQGLQH[SUHVVLEOH´  $VZLWK$WLMDV%RVQLDQ &KURQLFOH VWULYHV WR DOORZ HDFK FKDUDFWHU DQG HDFK SRLQW RI YLHZ WR H[SUHVV DQ RSLQLRQ WR JHW D ZRUG LQ WR VD\ VRPHWKLQJ DERXW WKHPVHOYHV VR WKDW LQ WKH ILFWLRQ RI WKH QRYHO WKH JUHDW GLDORJXH WKRXJK LPSRVVLEOH LQ UHDOLW\ FDQ EH VWDJHG ± LQ WKH KRSH WKDW WKH YRLFHVZKLFKUHIXVHWROLVWHQWRRQHDQRWKHULQUHDOLW\ZRXOGDJUHHWR GRVRLQILFWLRQ7KLVLVZK\&RORJQD¶VPRQRORJXHEHIRUHWKHSX]]OHG DQGVSHHFKOHVV'HV)RVVpVFDQEHXQGHUVWRRGDVWKHYHU\FHQWUHRIWKH QRYHO 7KLV VFHQH YHU\ PXFK UHVHPEOHV ZKDW %DNKWLQ FDOOHG WKH ³GLDORJXH RQ WKH WKUHVKROG´ LQ ZKLFK LQ D VLWXDWLRQ RI LPSHQGLQJ GHDWK D FKDUDFWHU UHYHDOV ³WKH GHHSHVW OD\HUV RI KLV SHUVRQDOLW\ DQG WKRXJKW´ %DNKWLQ &RORJQDDPRQJRWKHUWKLQJVVWDQGVLQ IURQWRI'HV)RVVpVDVLIVD\LQJKLVODVWVHQWHQFHEHIRUHGHSDUWLQJ,WV VW\OH DQG LQWRQDWLRQ YHU\ PXFK UHVHPEOH WKH PRQRORJXHV RI 'RVWRHYVN\¶VPRVWH[DOWHGFKDUDFWHUV  $WWKHHQGDWWKHUHDOILQDOHQGDOOZLOOQHYHUWKHOHVVEHZHOODQGHYHU\WKLQJ ZLOOEHUHVROYHGKDUPRQLRXVO\'HVSLWHWKHIDFWWKDWKHUHLWDOOORRNVXWWHUO\ GLVFRUGDQW DQG KRSHOHVVO\ HPEURLOHG ³8Q MRXU WRXW VHUD ELHQ YRLOj QRWUH HVSpUDQFH´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ü 

 7KH WKLUG ZRUOG D PHHWLQJ LQ PXWXDO XQGHUVWDQGLQJ ZKLFK DZDLWV XV DW WKH HQG RI WKH ZDQGHULQJ ZKHUH QRWKLQJ LV ZDVWHG QRWKLQJ LV ORVW HYHU\WKLQJ LV FRQQHFWHG ZLWK HYHU\WKLQJ HOVH DQG HYHU\WKLQJ FRQWULEXWHV WR WKH ZKROHQHVV DQG XQLW\ RI KXPDQ FXOWXUH (YHQ KLV WKRXJKWV WKRXJK FRQFHLYHG LQ %RVQLD DQG QRW LQ 3DULV RU 5RPH 7KLV LPDJH IXOO\ FRUUHVSRQGV WR &RORJQD¶V GHVFULSWLRQ RI WKH -HQLPRVTXH  7KHSHRSOHNQRZWKDWRQFHEHIRUHWKHDUULYDORIWKH7XUNVWKLVPRVTXHZDV WKH &KXUFK RI 6W &DWKHULQH $QG WKH\ EHOLHYH WKDW HYHQ QRZ WKHUH LV D



0LVXQGHUVWDQGLQJLVWKHUXOHXQGHUVWDQGLQJLVDPLUDFOH



VDFULVW\LQRQHFRUQHUZKLFKQRRQHFDQRSHQKRZHYHUPXFKIRUFHWKH\XVH $QGLI \RXORRNDOLWWOHPRUHFORVHO\DWWKHVWRQHRIWKDWDQFLHQWZDOO \RX ZLOO VHH WKDW LW FRPHV IURP 5RPDQ UXLQV DQG WRPEVWRQHV >@ $QG GHHS EHQHDWKWKDWLQWKHLQYLVLEOHIRXQGDWLRQVOLHODUJHEORFNVRIUHGJUDQLWHWKH UHPDLQV RI D IDU ROGHU FXOW D IRUPHU WHPSOH RI WKH JRG 0LWKUDV >@ $QG ZKR NQRZV ZKDW HOVH LV KLGGHQ LQ WKRVH GHSWKV XQGHU WKRVH IRXQGDWLRQV $QGULü 

 &RORJQD¶V SRLQW LV QRW WKDW FXOWXUHV GHVWUR\ DQG GHYRXU RQH DQRWKHUEXWWKDWWKH-HQLPRVTXHLVDPHWDSKRUIRUFXOWXUHDVVXFKRI FXOWXUH¶V V\QFUHWLVP DQG XQLW\ 1RWKLQJ ZDVWHG QRWKLQJ ORVW HYHU\WKLQJ SUHVHUYHG +LV FDSULFLRXV LQWHUHVW LQ GLIIHUHQW WKRXJKW V\VWHPV LV QRW D VLJQ RI KLV LQFRQVLVWHQF\ EXW D VLJQ RI FRQVLVWHQW GHYRWLRQ WR WKH XQLW\ RI FXOWXUH LQ ZKLFK HYHU\WKLQJ KDV LWV SODFH HYHU\WKLQJ FRXQWVDQG DOWKRXJK LW PD\ VSHDN LQ GLIIHUHQW WRQJXHV LW VHUYHVWKHVDPHDLP  @6RWKHUHLVKRSHDQGZKHUHWKHUHLV KRSH