COURT: REWALD NEED POST ONLY $20,000 CASH BAIL

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP90-00494R001100690086-7
• Release Decision: RIPPUB
• Original Classification: K
• Document Page Count: 2
• Document Creation Date: December 22, 2016
• Document Release Date: August 10, 2010
• Sequence Number: 86
• Publication Date: November 10, 1983
• Content Type: OPEN SOURCE

Sanitized Copy Approved for Release 2010/08/10: CIA-RDP90-00494RO01100690086-7
court: Rewald Need Posh
Only $20,000' Cash Bail
By Lee Catterall
Star Bulletin Writer
After tree months in prison,
Ronald Rewald faced the pros-
pect of freedom today with a Su-
preme Court victory lowering his
bail and news of "out-of-town"
visitors willing to pay it.
The state Supreme Court ruled
yesterday that Rewald could gain
freedom by posting only $20,000
in cash, one-tenth of the bail
level set last month by Circuit
Judge Robert W.B. Chang.
The high court kept Rewald's
Although Rewald claims
property worth more than $4 mil.
lion, all his assets have been
frozen in federal bankruptcy pro-
ceedings involving his now-de-
funct investment firm.
His criminal attorney, Samuel
P. King Jr., and civil attorney.
Robert Smith, would not specu.
late on whether Rewald would be
able to post bond.
However, Smith acknowledged
in court questioning by Ross that
he was contacted last weekend by
people interested in posting his
bond.
Ross said he had learned about
the "visitors from out of town"
through a Honolulu bail bond
company. He said he was told
that the benefactors "were told
to wait for the Supreme Court"
to rule on the matter.
"We know that some people
are in town inquiring about lit,"
Ross told Chang.
Smith said in court that he was
contacted by "people who are
willing to put up their own
money" for Rewald s bail.
QUESTIONED BY reporters,
Smith would not disclose who
contacted him, but said there is
"a widespread group of people
who believe in Mr. Rewald."
King said he had not been con-
tacted by people interested in
posting Rewald's bond.
"I don't know anything about
that," King told reporters. "They
didn't contact me."
a request by Ross to increase Re.
wald's bail to $500,000 in cash.
Ross said his court request was'
prompted by disclosure of a Sept.
9 letter by Smith to Sovereign
Life Insurance Co. predicting that,
Rewald would "take his own life"'
if Sovereign and Northwestern ,
Mutual Life Insurance Co. were
to refuse to pay for his co
defense.
At the time, Rewald's life w
insured for $2 million with Sove
eign and more than $3.2 miliio
with Northwestern.
Admitting in the letter that th -
proposal was "bizarre," Smith;
maintained that it made "ulti-'
mate economic sense" because of``
the prospect of Rewald commit-
ting suicide and the insurance
companies having to pay the
insurance money to his family.
IF REWALD were unable to
"pursue" a defense because of
lack of money, Smith said in the,
letter, "Mr. Rewald will take his.a
own life. I say this to a moral
certainty, for I know that he,
i
been recovering from wrist
slashes inflicted in a suicide at-
tempt. Chang set his bail the fol-
lowing day at $10 million but
lowered it on Oct. 24 at bis attor.
ney's request.
since his arrest on Aug. 8 at
Queen's Hospital, where he had
bail at the $200,000 level but
ruled that he need not post it
entirely in cash, as Chang had
ordered. Instead, the justices
ruled that Rewald may post $20,-
000 in cash and have a bail
bondsman insure the remainder.
"I have a feeling now that he's
going to come up with the $20,-
000," said Deputy City Prosecutor
Arthur Ross.
Ross said he plans to ask the
Supreme Court to reconsider its
rqing.
Rewald is charged with two
counts of first-degree theft stem-
ming from activities in the now-
bankrupt investment firm of
Bishop, Baldwin, Rewald. Dilling.
ham & Wong.
HE HAS BEEN imprisoned
The Supreme Court ruling was
announced by Chang near the
close of a hearing before him on
IONOLULU STAR--BULLETIN
)ATE: -////0/?2
'AGE: A-/L
STAT
Sanitized Copy Approved for Release 2010/08/10: CIA-RDP90-00494RO01100690086-7
 Sanitized Copy Approved for Release 2010/08/10: CIA-RDP90-00494RO01100690086-7
fly committed to doing so
when the point, is reached that
legal effort to defend him must
be abandoned.
"Given the freeze order on his
personal assets and given, fur-
ther, the total lack of ability to
finance any defense because of
the freeze order," Smith wrote.
"suicide is the only way, he (Re-
wald) feels, that he can ever pro-
vide for his wife and five chil-
dren."
Smith said he felt at the time
that Rewald "was making a logi-
cal and calculated decision" to
commit suicide for his family's
financial support.
Smith said he learned of Re-
wald's commitment during "a
blood-curdling conversation" with
him.
"He had no way to provide for
his wife and children other than
to take his life," Smith said.
Smith said Rewald had set a
"deadline" for committing suicide
unless money was freed for his
defense, and he "was going to
meet that deaZT!-r4-!% the most
drastic of ways."
REWALD CHANGED his mind
after the letter was written.
Smith said, because his two
Sovereign policies and one of his
two Northwestern policies lapsed.
The other Northwestern policy
will lapse on Tuesday. he said.
Also, he said, Rewald became
convinced that any proceeds
from life insurance policies would
go to Bishop, Baldwin investors
instead of his family.
There is only "an outside
chance" that any proceeds of the
still-valid Northwestern policy
would go to Rewald's family if he,
were to kill himself, Smith said.
"His decision is not to do it,"
Smith said.
"I think his staying and fight-
ing is the only way he can help
himself and his wife and his
family," Smith added. He said Re,
wald now "has a very strong grip
on his life."
However, in asking Chang to
set a higher bail, Ross sugges~ ice"
that Rewald has "an attitude
somewhat like a kamikaze pilot."
If he does not commit suicide.
Ross warned, there is a "strong
possibility of (Rewald) fleeing."
Chang agreed with Ross t$aS
Rewald "would go to any length.
to do what he can for his fam}t'
ly," but he refused to change Re.
wald's bail. The judge made that'
ruling before he got word of th
high court's decision on the bai
issue.
Sanitized Copy Approved for Release 2010/08/10: CIA-RDP90-00494RO01100690086-7