Shell Game (Stand Alone 2) (15 page)

After they were done, Wendy went into her bedroom to get dressed while Katherine went to her computer and downloaded the photographs. She then ran off two sets of copies on her printer and packed them into two large envelopes. By the time she returned to the kitchen, Wendy was seated at the table drinking a glass of water.

“Now what?” Katherine asked.

“Would you call Mr. Sanders and ask him if he will go to the police with me?”

“Of course. You know Paul Sanders is not a criminal attorney, but he can find one for you.”

“I don’t want another attorney. I want Mr. Sanders.”

Katherine shrugged and went to the kitchen telephone. She dialed Paul’s number and got his receptionist. “Mr. Sanders, please. This is Katherine Winter.”

“Hello, Ms. Winter. Mr. Sanders has an appointment outside the office. In fact, he’s meeting with Mr. Winter and some people at Broad Street National Bank. Can I take a message?”

“Please.” Katherine left her home and cell numbers. “Tell him it’s important.”

Katherine explained to Wendy they’d have to wait for Paul to call back. “How about having some lunch while we wait?”

“Sounds good. I’m getting my appetite back. Now I just have to get my life back.”

Katherine smiled. “That’s what we’re going to do, Wendy.”

Folsom reviewed in his mind the actions he’d taken with Toothpick Jefferson. He’d opened his jacket and told him to take the envelope out of his inside pocket. That envelope contained the $10,000 in cash he’d packed while wearing rubber gloves. He’d guessed the hoodlum would want some money up front. The dollar amount was a good estimate. Also inside that envelope was a typed note with two names on it: Donald Matson and Wendy Folsom. He had typed Matson’s office and home addresses below the man’s name. It embarrassed him to not know where Wendy was hiding. He promised to get that information to Toothpick as soon as possible.

Paul, Nick, and Edward got out of Nick’s Lincoln Town Car in the Broad Street National Bank’s parking lot and walked into the building. They skirted the lobby to the elevator and went up to the executive level, where Stanley Burns’ assistant met and escorted them to a conference room where Burns was already waiting. He stood but didn’t offer his hand to any of them, and he wouldn’t make eye contact.

“You said we would be meeting with Mr. Cunningham,” Edward said.

“Yes, yes, he’ll be here any moment.” Burns looked at his watch, even though a large clock hung on the wall in front of him. “Let’s sit down. Can I get you something to drink?”

“No, thank you,” Edward said. When Burns looked at Paul and Nick, they shook their heads.

Edward sat between Paul and Nick on one side of the table. Burns sat opposite them. After ten minutes, thinking the bank was playing games with him, Edward was just about to get up and leave, when a man entered the room and introduced himself as Sanford Cunningham.

“Sorry to keep you waiting, gentlemen. Let’s get started. I only have thirty minutes.”

Angry at being kept waiting, and at now being told the meeting would be over in thirty minutes, regardless, Edward started to stand, but Paul put a hand on his arm.

“Mr. Cunningham, I am Winter Enterprises’ corporate counsel. I assume Mr. Burns briefed you on his conversation with Mr. Winter yesterday.”

“He did,” Cunningham said.

“Do you understand the implications of our meeting today?”

Cunningham had so far showed zero emotion. “Of course. Your client has threatened the bank with going to the media if we don’t renew his loan and give him access to his deposit account.”

“That’s not quite accurate, Mr. Cunningham,” Paul said. “Mr. Winter said he was prepared to go to the media if someone in a position of authority here did not agree to meet with him today.”

Cunningham waved a hand as though to diminish the importance of the distinction Paul had made.

“But let’s focus on what’s going on,” Paul continued. “In Winter Enterprises, you have a client that has met all of its obligations to the bank, has provided an abundance of collateral for its $20 million loan, even with the drop in commercial real estate values, and has maintained an average deposit balance of over $2.5 million for the last five years. Now, you refuse to extend your loan and have put a hold on almost $3 million of Winter Enterprises’ money, jeopardizing the company’s health and even its survival. I might be able to understand your actions, if my client had financial problems or presented a risk of loss to the bank, but that is not the case. So I have one question for you. Depending on your answer, we might not even take thirty minutes of your valuable time.” Paul paused and stared at Cunningham.

“What’s your question?”

“What is the bank’s real motivation here?”

“I don’t understand,” Cunningham said.

“Sure you do, Mr. Cunningham. You understand me perfectly. I called a colleague at the Federal Deposit Insurance Corporation and she assured me the agency has not told any bank in this country to not renew a commercial real estate loan to a solid borrower. She did admit the agency has ordered banks to reduce their exposure to commercial real estate, but that can be accomplished by not making loans to new customers, by letting loans pay down in the normal course of business, and/or by raising additional capital. So, why would you want to drive away a borrower that has maintained a highly profitable relationship with your bank?”

Cunningham’s cool demeanor seemed to melt just a bit. “We’re under a great deal of pressure here. We are doing what we have to do.”

“I see. And what happens on July 29, one week from now, when your loan to Winter Enterprises matures and the company can’t pay it off?”

“The bank has rights. We will obviously consider exercising those rights.”

“And what about my client’s request of you to reduce his loan with Broad Street to $9 million, to release enough collateral to allow him to refinance $11 million at another lending institution, and to remove the hold you’ve put on his deposit accounts?”

“We have considered your client’s request and have regrettably come to the conclusion we are unable to agree to his request.”

Paul stood and looked at Edward and then at Nick. “We’re done here,” he said. He gazed across the table at Cunningham. “You’ll be hearing from us. The next time we talk, you’d better have legal counsel.”

“Before you go, there is one thing more I want to discuss with you and your client,” Cunningham said, the steely look back in his eyes.

Paul didn’t say a word.

Cunningham filled the silence, “Our loan agreement with Winter Enterprises specifically requires your client to deposit all company sales receipts in Broad Street National Bank. Winter Enterprises hasn’t made a single deposit to their accounts here since July 15.”

Paul gave Cunningham a bland look and said, “I can’t imagine what has happened. Of course we’ll look into that.” Without waiting for a response, he walked from the room with Edward and Nick following.

In the parking lot, they stopped beside Nick’s car. “Well, that didn’t accomplish anything,” Nick said.

“On the contrary,” Paul said. “I now know who has some decision-making authority. I know for sure that they are going to play hardball, that they must think you were bluffing about going to the media, and that they have an ulterior motive in this matter.”

“How do you know that?” Edward demanded.

“When you talked to Stanley Burns yesterday, you made a perfectly reasonable offer to reduce their loan down to $9 million, secured by over $20 million in real estate. Cunningham acknowledged that Burns had made him aware of your conversation, so he was familiar with your request. My conversation with my contact at the FDIC leads me to believe, despite the heavy-handed treatment the agency is employing with banks, they would not force Broad Street National to turn down an offer as reasonable as yours.”

“What’s the ulterior motive?”

“That we need to determine.”

“So, where does this leave us,” Edward asked, “besides up a creek without a paddle?”

“Well, not where we’d like to be, but we do have a few options. I don’t want to get your hopes up, but this is war. You’ve spent how much on advertising over the past eight years?”

“Easily $10 million,” Nick answered. “About half with
The
Philadelphia Journal
and the rest with a dozen neighborhood newspapers and half a dozen different area television and radio stations.”

“Good,” Paul said. “That money won’t buy you a guarantee of editorial content, but it should at least open doors for you. Call your media contacts and make appointments. See if you can generate interest about what’s happening to the banks and the effects on the Philadelphia economy. Don’t make it all about Winter Enterprises.”

“What about our money sitting in Third Community Bank?” Edward asked.

“Just keep depositing your receipts there. I’m going to ignore Mr. Cunningham’s comment about those monies. What are they going to do, call your loan? They’ve already done that. When is your next loan payment due at the bank?”

“Not until July 29, when we’re supposed to pay off the entire balance,” Nick answered. “Why?”

“I just don’t want you to make any payments to the bank out of your Third Community Bank account. I don’t want Cunningham to know where your other accounts are.”

“What are you going to do?” Edward asked Paul.

“I’m going to call my contact at the FDIC and ask her a few more questions.”

“What kind of questions?” Nick asked.

“I don’t know yet. I’m sure something will come to me.”

When Paul Sanders called his office to check for messages, his receptionist told him Katherine Winter had called. He decided he’d wait until Nick and Edward dropped him off to return her call. Assuming Katherine had called about Wendy Folsom, he didn’t feel it was his right to disclose to Edward what Katherine was doing.

As soon as Paul was dropped off at his office, he called Katherine’s home number.

“Can you come here?” she asked.

“What’s going on?”

“Wendy wants to go to the police. She had me take pictures of her injuries and she’s going to press charges against her husband.”

“That’s good news,” Paul said. “But why do you need me? She needs a criminal attorney.”

“She won’t hear of it. She wants you to represent her.”

“Oh man. I’m not the best thing for her, and I’m tied up trying to help Edward save his company.”

“Maybe if you talk to her you can convince her to accept another lawyer.”

“All right, but I’m bringing a friend.”

Paul and a criminal attorney named Sylvia Young arrived at Katherine’s home an hour later. As Paul introduced Sylvia to Katherine and Wendy, he could tell from Wendy’s body language and sour expression she was not happy about Sylvia being there.

“We’re not just filing a complaint with the police,” Paul said. “You need to understand your lawyer will have to do much more than that—filing a restraining order, making motions to the court, and responding to those made by your husband’s legal team—and you will need someone who knows the inner workings of the criminal courts system.”

“I want you involved,” Wendy said.

“I’ll be there for you, Wendy. But Sylvia needs to take the lead on this.”

Paul, Sylvia and Katherine studied Wendy, who finally nodded in agreement.

“Great,” Paul said. “Now I’m going to return to my office and Sylvia is going to take a statement from you.”

Katherine walked out with Paul. “How did the meeting go at the bank?” she asked.

“The bank’s being uncooperative. So, Edward’s going to talk with the media and I’ll dig and see if I can discover why the bank seems to want to put him out of business.”

Katherine dropped her gaze toward the pavement instead of responding.

“What is it, Katherine?” Paul asked.

“I think I know why the bank is coming down hard on the company.”

“What are you talking about?”

“Folsom. I had a confrontation with him after Frank and I got engaged. I was out with a couple girlfriends celebrating my engagement and Folsom tried to pick me up in a bar. He followed me out to my car and grabbed me.”

“What happened?” Paul asked.

“I kneed him in the balls.”

Paul laughed.

“It’s not funny,” Katherine snapped. “He started harassing me and didn’t stop until I got a restraining order against him.”

“Katherine, don’t take this the wrong way, but I would be very surprised if something that occurred over two decades ago is the motivation behind the bank’s treatment of Winter Enterprises. Besides, the bank is treating a lot of its customers in the same manner; I doubt that the mothers of all of those companies’ presidents kicked Folsom in the balls, even if they wish they could.”

Katherine couldn’t help herself. She glared at Paul. “This isn’t funny.”

“I’m sorry, I didn’t mean to make light of the situation. It’s just that Folsom would have to be a sociopath to hold a grudge for that many years.”