REWALD INVESTORS SUE 26 CONNECTED WITH HIS FIRM

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP90-00552R000605490180-0
• Release Decision: RIFPUB
• Original Classification: K
• Document Page Count: 1
• Document Creation Date: December 22, 2016
• Document Release Date: September 16, 2010
• Sequence Number: 180
• Publication Date: July 31, 1984
• Content Type: OPEN SOURCE

Approved For Release 2010/09/16: CIA-RDP90-00552R000605490180-0
HONOLULU ADVERTISER (HI)
31 July 1964
Rewald. investors sue 26
'I W firm
with his
nnected
co
By Walter Wright
Advertiser Staff Writer
More than 40 investors in Bishop
Baldwin Rewald Dillingham & Wong
yesterday filed suit in federal court
against the president and 25 other peo-
ple alleged to be employees of that de-
funct firm, blaming the defendants for
their losses.
The defendants included former
~ company president Sunlin L.S. Wong,
who has confessed to criminal fraud
charges; former City Councilman Dan-
coiisult-
iel Clement, who was briefly a District
ant for the company; part-time
Judge Gerald N.Y.C. Lam, who did
legal work for some of Bishop Bald-
win's clients and shared company of-
fices; John H. "Jack" Kindschi, ex-CIA
chief in Honolulu and another f mer
Bishop Baldwin consultant; and the elu-
sive "Richard Cavanaugh," a person
believed to be a CIA agent and de-
scribed as a consultant.
Kindschi, Clement and Lam all have
denied any wrongdoing in their connec-
tions with. Ronald Rewald's, firm.
The suit did not name Rewald as a,
defendant. Rewald, one of thee founders
of the company, is facing
of theft by deception in the case.
The suit was filed in Honolulu by
Rewald's own San Francisco attorney,
Melvin Belli, in association with attor-
neys John Hill and Daniel A. Stenson
of San Francisco and John Yamane and
James Leavitt of Honolulu.
Rewald, reached for comment in San
Francisco last night, said he was sur-
prised that Belli was involved in the
suit. tooformer d ethe legal mployees action
of the
company.
He said he believed that the suit was
intended to target individuals who had
r
professional insurance policies and/or
assets, and that the only
wasn't included is that "I have nothing
left."
The suit did appear to name almost
every professional associated with Re-
wald's firm.
'-It stinks," Rewald said of the suit.
"These people didn't do anything
wrong."
But Rewald added that he thought
the former employees hsddabrought silent
suit on themselves by standing silent
for a year and "not banding together.'
In all, the suit named 14 attorneys
and five accountnts, accusing mhem malprac-
tice. professional negligence agents were
tice. Three real estate anamed and accused of creating and
selling company securities.
Plaintiffs include some of those sef who
Re-
have lost most inch the of collapse whom also
wald's company,
are blaming the CIA for the same
losses. They include Elizabeth Halvor-
sen, who says she lost $1,056,510, and
the Hawaiian Trust Co. for the L. Don
Halvorsen Trust, $2,189,227.
Other plaintiffs are L. Ted Frigard,
one of the first to sue the CIA, $310,-
000; William Bartenstein, who says he
lost $240,000 in Motor Cars Hawaii be-
cause Bishop Baldwin bought in; and
Jane linuma, who herself is accused in
civil suits of leading other investors in,
$172:651.
One plaintiff, Wayne D. Sato Inc.,
said it held the assigned rights of 13
investors, about $475,000.
The suit said that the attorneys and
accountants rendered professional ad-
vice and services to Bishop Baldwin
and that they and foul named consult-
ants participated in sale of securities
for the company. The suit says that in
1978, the defendants devised a scheme
to obtain funds from the public through
Bishop Baldwin and made, authorized
or ratified false representations to
accomplish that goal.
was oper-
ated suit said the company
ated as a "racketeering influenced cor-
rupt organization" and thus made plain-
tiffs eligible - for triple damages under
federal law. , l- f
Approved For Release 2010/09/16: CIA-RDP90-00552R000605490180-0