Woo vs. Harmon - Witness Judith Neustadter Fuqua

David C. Farmer, Successor-Trustee vs. Harmon

(Formerly Woo vs. Harmon & Nicholson vs. Harmon)

CV05-00030 DAE KSC

U.S. District Court For the District of Hawaii

Judges: David A. Ezra; Kevin S. Chang

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DEFENDANT’S WITNESS

JUDITH NEUSTADTER FUQUA

c/o American Arbitration Association
6798 N. Palm Ave., 2^nd Floor
Fresno, CA 93704

Email: Judy@tiki.net

Arbitrator assigned by the American Arbitration Association in Woo vs. Harmon; former associate of Paul Alston, Alston Hunt Floyd & Ing; represented counties of Maui, Hawaii, and Kauai in Integrated Resource Planning* facilitation, Public Utilities Commission; handled over 300 cases as arbitrator/mediator for the Prudential Policyholders Remediation Plan administered by the American Arbitration Association; hearing office for the Maui Planning Commission; arbitrator for the Second Circuit Court, State of Hawaii, Court Appointed Arbitration Program; mediator/arbitrator for Attorney-Client Relations Committee, Hawaii State Bar Association; served as panel member for large medical malpractice case; Director/Advisor to Maui Humane Society, Pacific Primate Sanctuary, and East Maui Animal Refuge Center; Secretary, Kumu Ao, Inc., a non-profit corporation promoting and perpetuating Hawaiian culture and education.

Although Judith Neustadter Fuqua, despite repeated requests for information, has never admitted nor denied any relationship with Ray Fuqua, owner and operator of Lahaina Stables and real estate agent, Defendant believes that Mr. Fuqua may be the husband of Ms. Neustadter.

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June 4, 2006

Kentucky transplant hits her stride at Maui stables

Sparky Perry hails from Kentucky -- "horse country," as she calls it -- but after moving to Maui 2 1/2 years ago with her then-husband, she's been riding more than she ever did before.

"It's funny: I came from Kentucky, where there are horses everywhere, to this speck of a tropical island, and I'm riding every day, three times a day if I want to," she says....

At her "dream job," as a guide for Lahaina Stables, Perry helps care for 20 horses, grooms and saddles them for tours, and accompanies visitors on scenic rides in the foothills of the West Maui Mountains....

Ray Fuqua, owner and operator of Lahaina Stables, shares Perry's passion for horses. A former high school social studies and geography teacher in New Orleans, he came to Maui on vacation in 1980, fell in love with it and moved there the following year.

Through a mutual friend, he became acquainted with the family of famed aviator Charles Lindbergh, and for three years he managed their land and organic banana and papaya farm in remote Kipahulu on Maui's east side.

"I've always been an outdoors person, and they knew I had experience with horses, so they asked me to buy a couple of them to keep on their property," he said.

After Fuqua left his employment with the Lindberghs, he delved into real estate, which provided the financial resources he needed to start Oheo Stables, a trail-riding business that was in operation from 1991 to early 2004.

In April 2004 he moved the business to West Maui, recognizing there was a bigger market there near the bustling resorts of Lahaina, Kaanapali and Kapalua.

"I was looking for a location that also had a lot of history, natural beauty and easy accessibility," he says.

"This is it! I still hold an active real estate broker's license, but much prefer the horse business."

Fuqua secured a long-term lease on a 25-acre parcel that runs right to the foot of the majestic West Maui Mountains. He hiked old cane haul roads to map out the best spots for trail rides, set up fencing, built office and barn facilities, and installed underground sprinklers to irrigate the pasture land.

"It's been hard work; this project has not happened overnight," he says. "The exciting thing is it's evolving. We recently changed some of our routes, and in the next year we'll probably build a couple more trails that will go higher into the mountains....

www.maui.net/~ray/HonoluluStar-Bulletin.htm

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From “On the Hana Coast”, The Wanderer:

Sam Pryor: The Lindbergh Connection

Samuel Pryor, a vice president of Pan-American Airways, and his wife, Mary Taylor Pryor, retired to Hana in 1963, creating a private paradise on 100 acres of grassland that rolled from mountain to sea in Ki-pahulu, 11 miles beyond Hana town. Both are now deceased.

Pryor covered his land with a profusion of flowering trees and shrubs and built an A-frame within a stone’s throw of a 100-foot waterfall that ebbs and swells according to the mountain rain....

This vewritable Eden, he populated with family, a constant flow of famous or wealthy friends and a small coterie of gibbon apes, which he treated almost like children....

Gradually Sam and Mary Tay moved their things from the family home in Darien, Connecticut, to Hana, and eventually their A-frame was filled, like an old cupboard, with the memorabilia of a life that had taken them from a Sultan’s palace in Arabia ... to the original floating markets of Bangkok.

At Pan Am, Pryor had become acquainted with presidents and kings: Lyndon Johnson wrote letters to Hana from the White House addressed to Mr. Sam, and King Leopold of Belgium sat in the gazebo whole Pryor barbecued steaks fro dinner....

Charles Lindbergh stepped into this idyllic setting as Pryor’s friend. They had known each other at Pan Am for years and loved reminiscing about the early days of aviation. Pryor had often urged Lindbergh to stop by Maui, and one day on his way back from a conservation project in the Philippines, the famous flier took him up on it.

Lindbergh drove the whiplash road by jeep with Pryor, making him stop frequently alont the way. He was so enchanted by the area that he asked Pryor to find him some land to buy.

Pryor sold him five acres on the ocean, and in 1968 Lindbergh and his wife Anne built a chalet on the cliff above the surf, close enough to hear the waves at night and only a short walk to the Pryors’ comfortable A-frame.

Lindbergh spent his last few springs in Hana, exploring the beaches and mountains, entertaining grandchildren. He loved his home in Ki-pahulu more than any place he’d ever lived. It was here he chose to die.

– Beverly Creamer

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July 20, 2004

Kipahulu lost a true friend in Rockefeller

By VALERIE MONSON, Staff Writer, The Maui News

Kipahulu lost a true friend earlier this month when renowned philanthropist and conservationist Laurance Rockefeller died at the age of 94.

As his obituary circulated across the nation, Rockefeller's many contributions to keeping the world as natural as possible were cited one after another, but there was little mention of how he helped preserve one of the most precious parts of East Maui: the Kipahulu section of Haleakala National Park and the lower section of Kipahulu Valley, a place still so pristine that people can enter only with permission.

"The park wouldn't be the same without Laurance Rockefeller," said the park's superintendent, Don Reeser. "It was because of him that the park was able to stretch all the way from the mountain to the sea."

Rockefeller was a man as rare as the treasures of Kipahulu. Although wealthy beyond most of our dreams (this year he was No. 377 on the Forbes magazine list of 587 billionaires with $1.5 billion), he didn't simply live it up and forget about the rest of society to indulge his every fantasy. He used his good fortune to fund his good causes, his favorite being his love for Mother Nature's most unspoiled corners of the country.

In other words, Laurance Rockefeller put his money where his mouth was.

According to Russ Apple's 1975 history of how Haleakala acquired its lands, Rockefeller came to Kipahulu in 1961 when he was searching for the best location to build a resort in Hawaii. Unlike some of today's newly rich who buy up whatever they can on Maui and wall it off from the rest of the community, Rockefeller took in the magnificent glory of East Maui and declared it too special to belong to one person for the pleasure of the elite.

In Rockefeller's eyes, the area was simply "too scenic and East Maui generally too beautiful and rural a community for commercial exploitation, with the social, economic and environmental changes and other developments a major resort hotel would bring," wrote Apple.

So Rockefeller built his resort elsewhere (the Mauna Kea Beach Hotel on the Big Island) and bought 52 acres along the Kipahulu coast. At no time did he ever plan to keep the land for himself.

In that same era, there were others with bottomless bank accounts who also were touched by the humble spirit of Kipahulu, including famed aviator Charles Lindbergh. Sam Pryor, the eccentric airline executive and close friend of Lindbergh, had the chance to buy the land where five of the legendary pools of Oheo dance down to the ocean, but he changed his mind when he learned how much the people of East Maui used the streams. Pryor bought another parcel and, eventually, Rockefeller purchased the two lots that are now considered the heart of the park at Kipahulu.

But even a Rockefeller couldn't just buy the land and hand it over to the National Park Service. Because of a clause that says that only "adjacent or contiguous" lands can be added to parks, Rockefeller needed to figure out how to link the mountain to the sea. In 1951, a portion of the upper Kipahulu Valley had been added to the park so Rockefeller met with Gov. John A. Burns and leaders of The Nature Conservancy to begin a fund-raising drive to acquire the lower valley that would abut his coastal tract.

The appeal to save Kipahulu went to the Mainland where other wealthy philanthropists heard the call and responded in kind. In Chicago, Apple reported, Marshall Field (of department store fame) and Philip K. Wrigley (of Chicago Cubs fame) sponsored a slide show to drum up cash. Pryor gave a cocktail party in the Waldorf Astoria Hotel in New York that was attended by Lindbergh, Arthur Godfrey and Doris Duke.

The money was raised, the deal was forged and the Kipahulu section of Haleakala National Park was officially announced on Jan. 10, 1969.

Because of The Nature Conservancy's continued efforts and additional lands donated by the state, the total amount given to the park was more than 10,000 acres. While many people were part of the overall endeavor, Rockefeller was given credit for getting it off the ground - and seeing it through.

And he wasn't done yet. In 1997, he donated 50 acres at nearby Puhilele to The Conservation Fund with the intent that it become part of the park. Reeser said the parcel was sold to the federal government for half of its appraised value.

Following that, Rockefeller and his family were invited to attend a ceremony at Piilani Heiau by members of Pa Kui-a-Holo, a Native Hawaiian society of modern warriors skilled in the ancient discipline of lua (fighting). For his contributions to Kipahulu, Rockefeller was named an honorary member of the group and presented with a kihei (cloak) and ihe (spear).

Walter Pu, who has worked in the Kipahulu district of the park for seven years with the Hawaii Natural History Association, was there as part of Pa Kui-a-Holo.

"He was neat," said Pu of Rockefeller, then in his 80s. "Because of him, this area has been preserved and that's what we're all about. He pretty much saved the valley from being infested by too many people."

More recently, Rockefeller pledged $50,000 to help with the relocation of Lindbergh's house to the park.

So not only has Kipahulu lost a loyal friend who understood its inner nature, but wealthy people have lost a role model. With Maui being inundated by millionaires who scoop up property like they're playing Monopoly, wouldn't it be great if they would follow Rockefeller's example and acknowledge that there are some places just too beautiful to be private? Wouldn't it be great if they would give back to the island that has given them so much in return?

So mahalo to Laurance Rockefeller, a man who was rich in many ways.

Valerie Monson is a staff writer for The Maui News. "Off Deadline" is an occasional column that allows staff members to step back and reflect on issues of the day or to just talk story.

http://www.kipahulu.org/news_mauinews_040720.html

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August 9, 2003

VIA fax only @ (559) 490-1919

Ms. Julie A. Schermerhorn, Supervisor, and
Mr. Justin W. Schuck, Case Manager
American Arbitration Association
6795 North Palm Avenue, 2^nd Floor
Fresno, California 93704

RE: Mary Lou Woo, Trustee v. Bobby N. Harmon

Case No. 74 166 00491 03 JUSC

Dear Ms. Schermerhorn and Mr. Schuck:

This responds to Steven Guttman’s letter to you dated August 9, 2003, which he begins by saying:

“First, as to Mr. Harmon’s comments regarding the permanent injunction, we have repeatedly advised Mr. Harmon that his insistence on forwarding copies of correspondence relating to issues addressed in the Settlement Agreement to third parties constitutes a violation of the injunction. In fact, his breach of the confidentiality clause of the Agreement is one of the reasons this matter is before the AAA for resolution. Nevertheless, Mr. Harmon continues his behavior; i.e., transmitting copies of correspondence regarding the selection of an AAA arbitrator to the Internal Revenue Service, the Hawaii Attorney General’s Office, the Hawaii Governor’s Office, etc. We are not agreeable to a waiver of the permanent injunction and, in fact, reiterate our demand that Mr. Harmon immediately cease and desist from communicating with third parties concerning matters relating to the confidential Settlement Agreement.”

I continue to disagree with Mr.Guttman’s interpretation that my communications to the regulatory agencies he mentions is a breach of the confidentiality clause. However, my understanding is that this issue is to be decided with the Arbitration process, and not by the AAA. If this needs to be decided at this point, however, I would argue that a person’s right to report criminal activity to regulatory authorities cannot be prohibited under any legal contract. I would surmise that this would be especially true if the crimes were committed after the contract was signed.

Mr. Guttman continues:

“Secondly, the land appraisals and land use decisions referenced in Mr. Harmon’s comments objecting to the appointment of Ms. Neustadter have nothing whatsoever to do with her selection of an arbitrator in this proceeding. We have no idea why in his letter of August 7, 2003, he chose to share with the AAA the newspaper story concerning ‘Developer to clean up Maalaea Bay runoff’. Ms. Neustadter is not mentioned in the article; even if she had been mentioned, the story has no relationship whatsoever to this proceeding or to Ms. Neustadter’s role as the arbitrator.”

Again, I must disagree with Mr. Guttman. I chose this one particular article because it seemed to summarize fairly well just one of the many controversies and accusations of improper and illegal kick-backs to land use commissioners, and violations of EPA regulations, that have arisen over the years in Hawaii. As I have mentioned in previous letters, I feel there is too much public information available in court cases and media reports to include everything in these letters. However, if that is what it will take to convince you that there is, at the very least, a potential conflict-of-interest with Ms. Neustadter, I can fax you dozens, if not hundreds, of pages of additional material.

Mr. Guttman continues:

“Thirdly, Ms. Neustadter’s personal politics, whatever they may be, are not pertinent to the question of whether she can serve as the arbitrator in this matter. We don’t believe Mr. Harmon meant to imply that he has documents evidencing that Ms. Neustadter may have made an ‘illegal political contribution’ but, if he believes he has such evidence, he should expressly so state. At a minimum, he needs to clarify his statement on this specific point, which he can do without violating the injunction. As to whether Mr. Harmon has evidence that someone associated with the County of Maui may have made an ‘illegal political contribution’, quite frankly, such evidence has no relevancy to Ms. Neustadter’s appointment as the arbitrator in this case.”

Mr. Guttman is correct in that I did not mean to imply that I have documents evidencing that Ms. Neustadter may have made an “illegal political contribution.” To clarify my intent, in my testimony to the Attorney General’s office, and to the IRS, I did provide first-hand information about certain illegal political activities of Kamehameha Schools involving Gil Tam, Nathan Aipa, Nam Snow, Henry Peters, Milton Holt and others within this organization. The point is not that Ms. Neustadter was personally involved with any of these activities, but that her position on the Maui Land Use Commission places her in a position where she has influenced in the past, and can influence in the future, land use matters involving the vast land holdings of Kamehameha Schools. In my view, this should be sufficient cause to disqualify Ms. Neustadter.

With all the public information available on this subject, I, too, feel it should not be necessary to obtain a waiver of the permanent injunction, but Mr. Guttman seems to require an even greater, overwhelming abundance of evidence than is available to the general public. The only possible way I would be able to provide such a degree of evidence would be to have the injunction lifted.

Mr. Guttman continues:

“Fourthly, as noted above, this matter has come before the AAA for resolution due in significant part to Mr. Harmon’s ongoing breach of the confidentiality clause of the Settlement Agreement. A review of the issues pending before the AAA in this case establishes the fact that it concerns contract law and not employment law as Mr. Harmon settled all employment issues when he entered into the settlement agreement that is the subject of this arbitration. Therefore, it is not material whether the information disclosed in Ms. Neustadter’s resume addresses specific experience in the area of employment law.”

Again, I disagree with Mr. Guttman’s interpretation of the Settlement Agreement, and his statement that this case does not involve employment law. I have been guided in this case by the AAA’s published National Rules for the Resolution of Employment Disputes which states, “Arbitrators serving under these rules shall be experienced in the field of employment law.” If Mr. Guttman’s interpretation of these rules is correct, then should not the AAA have informed me of this fact before the selection process commenced? I ask the AAA to keep in mind that I am not an attorney, and not yet represented by an attorney, so I may not be aware of all the legal aspects regarding these issues.

I would also point out that Disputed Issue No. 2 reads, “Whether the payment of the settlement proceeds under the Agreement constitute wages from the Kamehameha Schools and are entitled to such treatment.” Also, Issue No. 5, which is the “letter writing campaign” issue, began with my initial request for my IRS W-2 and 1099-R forms, and the large majority of my letters have dealt with this issue. I continue to maintain that Social Security wages and Pension Plan benefits ARE employment issues which require experience in the field of employment law.

Mr. Guttman continues:

“Today I received a copy of a letter Mr. Harmon sent to United States attorneys apparently involved in litigation he describes as ‘UNITED STATES OF AMERICA, Plaintiff v. MAUI PLANNING COMMISSION, Defendant.’ Although Ms. Neustadter was the hearing officer involved in a church being denied a special use permit, it has nothing whatsoever to do with her appointment as the arbitrator in this case.”

What my letter stated was, “This is to report what may be an attempt to obstruct justice in the subject case,” and I refer you back to my earlier statement that I would argue that a person’s right to report criminal activity to regulatory authorities cannot be prohibited under any legal contract. I do not feel it is necessary or appropriate to comment further on this matter at this time. The simple, and obvious, point is that Ms. Neustadter’s position on the Maui Planning Commission creates, at the very least, a potential conflict-of-interest.

Finally, Mr. Guttman states:

“Ms. Neustadter has informed the AAA she is not aware of any conflict in her serving as arbitrator in this proceeding. The Trustee has no knowledge of a conflict. ... Nothing in Mr. Harmon’s communications concerning Ms. Neustadter evidences a conflict and much of his commentary, while interesting as to his theories regarding Hawaii politics, have no bearing on Ms. Neustadter serving as the arbitrator.”

In response to this I would say that what I have stated in my communications are not my “theories regarding Hawaii politics,” but are based on documented cases. As stated previously, I can provide you hundreds or thousands of pages of documents, or you can obtain them on the internet if you conduct a search of the various combinations of the keywords, “fraud, scandals, corruption, Kamehameha Schools trustees, Maui Planning Commission, land use controversies, illegal lobbying, Milton Holt, Henry Peters, Nathan Aipa, Colleen Wong, Louanne Kam, Hamilton McCubbin, Torkildson Katz, Richard Wong, Sukamto Sia, Bank of Honolulu”, etc.

Therefore, despite Ms. Neustadter’s statement to the contrary, it is still my belief that she does have at least a potential conflict of interest and I reaffirm my objections to her appointment as Arbitrator in this case. I would also repeat my suggestions that you consider Daniel Bent as a replacement for Ms. Neustadter, and formally query Trustee Mary Lou Woo if she would have any factual objections to his appointment.

Please advise if any of my arguments in this communication are unclear, or if further information is required before you can render a decision.

Sincerely,

Bobby N. Harmon

cc’s: Steven Guttman, Atty for Mary Lou Woo (via fax only @ 808-529-7177)

Trustees R. Kihune, J. Ing, C. Lau, D. Plotts, N. Thompson, Kamehameha Schools (via fax only @ 808-523-6313)