Dominion Voting Systems Managing Director for International Sales Jack Blaine announces the bankruptcy of SVS Holdings.

In a declaration to the United States Bankruptcy Court, Blaine outlines his career with the network of companies:

  • Managing Director for International Sales, Dominion Voting Systems (as of 2014);
  • Former CEO and a director of Sequoia Voting Systems;
  • Former CEO and a director of SVS Holdings;
  • Prior to that “I was employed by Smartmatic Corporation” as President but not a director;
  • Began with Smartmatic in 2004.

Blaine says in 2005, he helped Smartmatic acquire Sequoia and was “President” “for external purposes” but was not a corporate officer. CFIUS investigated Smartmatic’s acquisition of Sequoia, and Sequoia was sold to its managers “without an upfront cash payment.”

SVS, he said, was created as the company to house that transaction, with an unsecured promissory note. Then, “one Smartmatic affiliate entered into a Distribution Agreement with Sequoia and another Smartmatic affiliate entered into a Services Agreement with SVS.”

In paragraph 16, Blaine says that “SVS, as a holding company, had essentially only one significant asset – its stock in Sequoia. Initially, SVS also had essentially only one significant creditor – Smartmatic – whose primary claim was under an unsecured promissory note that only SVS, and not Sequoia, executed, and in respect of which Sequoia was not an obligor or guarantor. For all practical purposes, the only company other than Sequoia which which SVS had any significant involvement was Smartmatic.”

Source:
1. Es.scribd.com/go-Jack-Blaine-CEO-bankrupcy-Dominion-and-Sequoia-pdf

1. Why did Jack Blaine say that he was named President of Sequoia “for external purposes” but was not a corporate officer?

2. How could the unsecured purchase of Sequoia from Smartmatic be above suspicion unless Smartmatic, a Sequoia creditor, was still integrally part of the Sequoia business?

3. What are some of the things that Blaine did NOT say about Smartmatic or the transaction?

4. What did Jack Blaine mean by Smartmatic and its lawyers encouraging Sequoia management to organize SVS as a holding company?

5. If Jack Blaine was the president of Smartmatic, why did he declare that he had no control over the company and that the control was in the hands of Antonio Múgica, who was not a U.S. citizen?