A Family Divided

by Tom Berreman

All in the courtroom rose as Judge Kleinschmidt stood from the bench and retired to his chambers. Brent, fighting back tears, tightly hugged Jessica as two bailiffs approached to take him into custody.

  As they led him from the courtroom he turned, glanced at Jason through reddened eyes and waved a modest farewell. He had a melancholy smile, a greedy, arrogant narcissist realizing the consequences of his ill-advised actions.

  Jason nodded his acknowledgement as the bailiffs escorted Brent through a door next to the judge’s bench.

  Chapter 67.

  Anthony Rydell presented his Dutch passport to the ticket agent before boarding his flight to Curacao in the Netherlands Antilles. It was a short flight, a little over an hour, to his personal paradise, where he would enjoy life living in his recently purchased beach-side villa.

  He arrived in Barbados as Adam Ritter.

  He left Barbados as Anthony Rydell.

  And there was only one man to thank for his incredible wealth.

  Louis Hartwig.

  * * *

  Eighteen Months Earlier

  “Mr. Ritter, after reviewing your resume, and talking to others with whom you’ve interviewed, you’d be a perfect candidate for the position of Pacific Coast Industries’ director of product development.”

  “Thank you, Mr. Hartwig,” he replied, unable to hide his enthusiastic optimism.

  “However,” Hartwig said, pausing to stroke his chin, appearing deep in thought.

  Deflated defeatism replaced Adam’s enthusiastic optimism.

  “I get the sense you feel slighted being passed over for Jennco’s vice president of research and development,” Hartwig continued.

  “Yes sir, and I’ll be frank. I am more qualified than Eric Rogers and deserved the promotion more than he did. In every meeting we attend, I always have the right answer to technical questions, while Rogers almost always responds he’ll look into it. I don’t know why, but Curt Jennings has something against me. I felt ripped off when he announced his decision.”

  “So, is it fair for me to say you dislike the man?”

  “Yeah, I guess you could say that.”

  “Perhaps so much you might savor the opportunity to seek retribution for his short-sighted decision and make significant money in the process?”

  “What do you have in mind?” he asked, his curiosity piqued.

  “I trust everything said here today will remain in the strictest of confidence.”

  “Of course.”

  “But if you were to breech this confidence, I will deny this meeting ever took place. And may consider retributions for your dishonesty.”

  “I understand.”

  “Curt Jennings and I have been competitive adversaries for years, and I may have relied on rather aggressive, some might say unethical, methods to monitor Jennco’s R&D, and perhaps use its ideas to enhance PCI’s competitive products.”

  You mean steal it and copy it, he wanted to say but remained silent.

  “And the best way for me to maintain my competitive intelligence advantage is to have a reliable information source inside the company. I need someone in a position above entry level, a person privy to high level product development discussions, and a person trusted by upper management.”

  “You’re saying you want me to spy on Jennco?”

  “Spy is such an ugly word…, but yes.”

  He pondered Hartwig’s offer, knowing he should just walk away. It would be risky. If he were caught, his career would be over. But he recalled the management committee meeting where Curt Jennings announced Eric Rogers’ promotion to vice president of R&D. At a congratulations reception in the boardroom he overheard Rogers tell his friend the salary that came with the promotion.

  It was almost twice what he made.

  His decision was simple.

  “You suggested I could make significant money. But how would I get paid? I can’t be on both Jennco’s and PCI’s payroll. And you can’t just write me a check, that would be a smoking gun if I were ever accused of wrongdoing.”

  “I’ll issue you PCI stock, as CEO I can do that with a minimal paper trail. And if your efforts prove fruitful, the shares’ value will rise, giving you additional incentive to do your best. Besides, there’s nothing illegal about you owning shares in a publicly traded company, even if it is your employer’s fiercest competitor. You’re simply hedging your bets.”

  * * *

  In over a year as PCI’s mole Adam accumulated one hundred seventy-five thousand shares of Pacific Coast Industries’ common stock. He rationalized the lucrative reward for his trade secrets theft as payback for being passed over for a position he deserved.

  He had gradually worked into his second career in corporate espionage, earning twenty-five thousand shares of PCI stock over the next few months stealing smaller R&D technology from Jennco. His first big project was to steal the technology for an automotive sensor Jennco was developing, the sensor Curt Jennings alleged suffered calibration access portal condensation problems. Hartwig had been paying Marisa Smith to compile summaries of technical discussions concerning the sensor, and she forwarded him the false intel Curt planted.

  Adam knew she had given him false intel, but said nothing to maintain an element of control in his relationship with Hartwig. His PCI espionage efforts were also concealed when Curt Jennings was convinced he uncovered the committee mole.

  Marisa never achieved high-level access to the technology necessary for PCI to copy it. So even though Adam stole the sensor design, she took the fall when Curt’s false intel trapped her and she skipped out on the polygraph exam. And as the trusted committee chair Adam never took the polygraph and earned fifty thousand shares of common stock after PCI introduced the sensor stolen from Jennco.

  * * *

  It angered Hartwig when Jennings scammed him into adding a second washer to the sensor, then arranged for his grade school buddy to write a scathing article questioning PCI’s quality assurance. The article tanked his stock holdings by several hundred thousand dollars.

  But despite the bad press, the new sensor earned the company millions in revenue and accolades in the industry press for its breakthrough technology. Hartwig’s portfolio recovered, but his ego had been scarred, not something he took lightly.

  As Adam expected, Hartwig vowed revenge, but demanded he take a step beyond corporate espionage. His plan to eliminate his major competitor once and for all forced Adam to cross a line he hoped he’d never have to cross.

  Chapter 68.

  “Absolutely not,” Adam responded when Hartwig explained his plan. “Stealing trade secrets is one thing, but I can’t go beyond that.”

  “But Mr. Ritter, I need your help to see this plan to fruition, and I will pay you handsomely for your efforts…, one hundred thousand shares.”

  That was almost one million dollars at PCI’s current market price, and he considered the proposition. But no amount was enough to compensate him for committing murder.

  It was nearly impossible for Adam to steal Jennco’s long-range sensor technology after Curt Jennings pulled further R&D from his committee. To overcome this obstacle, Hartwig devised a new plan. They would cause Curt Jennings to suffer a fatal automobile accident, and Hartwig would offer to buy all of Jennco’s outstanding common stock inherited by his three children. He was confident they had all moved on and would prefer cash to running the family company.

  If the kids decided not to sell, they would implement a new plan to steal the long-range sensor technology under development. With Jennco’s management in upheaval following Curt Jennings’ death, Adam’s odds of stealing the sensor technology would improve dramatically.

  “I’m sorry, you’ll have to find some other sucker to help you, I just won’t do it. I don’t care how much you’re offering to pay me.”

  “Well, let’s just say…, hypothetically…, that an internal PCI ethics investigation were to discover you stole technology from your employer, held it out as your own invention and sold it to
PCI, insisting on common stock instead of cash to help conceal your crime. We would be obligated to report the matter to the authorities and distance our company from your activities, even offering a show of good faith by taking our sensor off the market and returning the technology to Jennco. I’m sure your employment with Jennco would be short lived and doubt any other company would hire an engineer convicted of stealing trade secrets.”

  Adam stared down at his shoes, unable to look the manipulative bastard in the eyes.

  “Following your release from incarceration,” Hartwig added to emphasize his point.

  Adam sat without responding, fuming, berating himself for ever agreeing to be Hartwig’s mole. But he sold his sole to the devil and had no choice but to concede to the blackmail and see Hartwig’s plan through to completion.

  Chapter 69.

  To begin the first phase of Hartwig’s plan, Adam learned through casual workplace conversation that Curt and Laura Jennings had a standing date on weekends. Each Saturday evening they would drive north of Ventura and stop at one of the many small restaurants along the coast for dinner, trying a new one each week. And Curt once commented in passing he occasionally pushed the speed limit boundaries in his brand-new Ferrari.

  “Why pay almost a half a mill for a car if you don’t use what you paid for?” he said over a beer at a management committee happy hour. “And you never see a speed trap on the Pacific Coast Highway.”

  With this information Hartwig implemented his ugly plan.

  Hartwig’s hobby was racing vintage, open wheel Ferraris, and as a master mechanic he studied the best way to sabotage a Ferrari 488 Spider’s brakes without leaving a trace. He followed Curt and Laura on their Saturday evening date, sabotaged the brakes while they were eating dinner and called Adam when they left the restaurant.

  Parked several miles south, Adam rode Larry Reinhardt’s motorcycle northbound in the southbound lane, playing chicken with Curt Jennings’ Ferrari. Jennings took evasive measures to avoid a collision, unaware he had no brakes, and lost control of the car.

  After the accident, Curt’s survival amplified Hartwig’s resolve to eliminate his adversary. He reasoned Curt Jennings’ demise was the only way to acquire all of Jennco. If Curt predeceased Laura, and she inherited all his stock, it would be an easy decision for her to sell the shares at a reasonable price. If Laura also succumbed to her accident injuries, her forty percent share would pass to her estate, and the executor would accept a fair cash offer for the shares. And the Jennings kids would take cash and run.

  Hartwig’s plan took an uglier turn.

  To implement the next step, Hartwig deceived Trevor Buchwald into assisting with his effort to acquire Jennco. While Buchwald was primarily a corporate lawyer, he had a nephew who often ran afoul of the law, Chad Jenkins. And he had represented him in several criminal trials pro bono, only to help his sister.

  Hartwig told Buchwald he wanted to hire Jenkins to do some surveillance to ensure his acquisition of Jennco would succeed. He suggested it might border on illegal, possibly attempting to uncover inside information, but didn’t share the details with his lawyer.

  The unspoken incentive for Buchwald to cooperate was the implication of significant additional legal fees from the combined entity. Buchwald had a history of trusting Hartwig when he shouldn’t, and what he didn’t know couldn’t hurt him.

  Buchwald was Charlie Atkins’ law school classmate, and Hartwig insisted they have a conference call with Brent Jennings’ golf buddy.

  * * *

  “Hey Charlie, it’s Trevor Buchwald.”

  “Wow, a voice from the past. How are you, buddy?”

  “Great, but it’s been way too long since we’ve seen each other.”

  “Yeah, I think it was the five year class reunion. We should meet for a couple beers, someday soon. So why the call?”

  “Well, I’ll be honest, it’s business. And a bit out of the normal course. I have you on speaker as my client, Louis Hartwig, is with me in my office.”

  He didn’t mention Adam Ritter was also listening in.

  “As the request is unusual,” Buchwald continued, “I’ll have him explain how we need your help.”

  “Mr. Atkins, this is Louis Hartwig. As you may or may not know, I have made an offer to purchase all of Jennco’s outstanding shares. At the time of the offer, I was unaware that Curt Jennings’ wife owned forty percent of the company. With this new information, I must revise my offer. And I have retained a management consultant, Chad Jenkins, to assist me in revising my acquisition strategy.”

  “But how does this involve me?”

  “I believe it would be in Brent Jennings’ best interests to fund Mr. Jenkins’ fee. Integration of two companies with very different corporate cultures requires management skills tailored to Jennco’s. And my management style doesn’t mesh well with Curt Jennings’.

  “As the company’s interim CEO, Brent would be the perfect person to be my second in command of the combined entity. And as I’m not getting any younger, if he proves worthy of the role it might position him to be heir apparent to run the company, and significant legal work for your firm.”

  “I still don’t see how you need my help,” Atkins said, wary of the unorthodox request.

  “Several members of my board of directors oppose this transaction,” Hartwig continued. “I need to keep it from them so they don’t derail the proposal. So anything related to Mr. Jenkin’s retention cannot be on PCI’s books. I’m asking that Brent Jennings have Jennco pay you ten thousand dollars for services rendered, and that you issue a check payable to Chad Jenkins from your law firm trust account.”

  “I’m not comfortable with this. You are CEO of Jennco’s fiercest competitor and it would be a huge conflict of interest. Hang on a minute, I’ll see if I can conference Brent in.”

  After five minutes they heard Brent’s voice.

  “Hello. Charlie explained Mr. Hartwig’s proposal, and we discussed the conflicts of interest. All things considered, I’m comfortable with all that, and instructed him to proceed. It looks to me like a win-win proposition.”

  It was all a lie.

  * * *

  With the ten thousand dollar check in hand, Hartwig met with Jenkins. With little persuasion, other than the ten grand, Jenkins agreed to pose as an orderly and inject potassium chloride into Curt Jennings’ IV. And if Jenkins’ involvement with the attempt on Curt’s life were uncovered, the money trail would lead to Brent Jennings.

  But once again Hartwig’s plan failed, this time foiled by Joshua Jennings, an unexpected late night visitor at his father’s bedside.

  After two failed attempts on Curt Jennings’ life, Hartwig’s plan to acquire Jennco and form a powerhouse in the autonomous vehicle components market began to unravel. And when he learned of the shareholder agreement his purchase offer was moot.

  He had no choice but to implement Plan B.

  Chapter 70.

  With new directions to steal Jennco’s long-range laser sensor technology, Adam devised a plan to monetize his corporate espionage rewards. But for his plan to succeed he had to keep Jennco from competing with PCI for the Autonohaul contract.

  He would sell his shares as soon as PCI entered exclusive contract negotiations, assuming its share price would experience an uptick. He would then leave California, move home to Massachusetts and start the business he and his brother had talked about for years.

  But he revised his plan to further enhance his wealth after meeting with his stockbroker.

  * * *

  “Let’s assume, hypothetically, I just sold common stock at a substantial gain and wanted to make a short-term investment to enhance my wealth even further pending a business opportunity in which I plan to invest,” Adam told his broker. “I’ve been doing some market research and found a company in my industry I’m convinced is overvalued. Based on current marketplace trends I’m sure the stock price will fall soon. Is there any way I could profit on that?”

&nbs
p; “This isn’t inside information, is it?” his broker queried. “That would cause problems for us both.”

  “Oh no, absolutely not,” he replied, doing his best to cover his lie. “It’s all based on my first-hand industry knowledge and publicly available information about the company’s products and market.”

  “Well, taking a short position in the stock would accomplish your objective.”

  “I’m not sure I know what that means.”

  “If an investor is convinced a stock’s value will decline, he can profit by shorting the stock. In exchange for a modest fee, he borrows shares from an institutional investor holding a large block of shares and sells them at the current market price. If the share price drops, he buys the same number of shares he borrowed on the open market at the lower price and returns them to the institutional investor. His profit is equal to the decline in market value.”

  “That sounds like it should work for me.”

  “But you have to be careful, short positions are generally used to hedge against fluctuations in an existing portfolio. Shorting stock without also owning the underlying stock, called a naked short, is risky. If the share price rises, you would have no gain on the stock you own to offset your loss on the short position. So, you’d have to fund your brokerage account with cash collateral equal to the short position’s market value to cover any potential losses.”

  “But if the share price drops as expected?”

  “You could earn a substantial profit.”

  Under his revised plan, Adam would make money when he caused PCI’s stock price to rise and make even more money when he caused PCI’s stock price to fall.

  Chapter 71.

  After Brent Jennings appeared to lose any chance to control Jennco, Adam played on his sense of entitlement. He enhanced their friendship, became his confidante, and convinced him that to get what he deserved he could sell Jennco’s long-range sensor technology to Hartwig. He introduced him to Reinhardt to facilitate the transaction and Hartwig offered to pay Brent a million dollars for the schematic and R&D files, half when he delivered and half when PCI won the Autonohaul contract and the sensor passed final QA.