Episode #5: Did Paul Maines Solicit an Investment from Mark Rodd?

Episode #5: Did Paul Maines Solicit an Investment from Mark Rodd?

In episode #4,  false  statements made in a sworn affidavit filed by Steven Dowling during the 2013 Securities Investigation claimed that Maines engaged in unauthorized investment activity by soliciting Jeff Trainor to invest in CMT/FMT.  Dowling did the very same thing with another investor, Mark Rodd::

When Mark Rodd read Dowling’s sworn affidavit, out of frustration, he filed his own sworn affidavit to correct Dowling. As he put it in his opening paragraph:

In Paragraph 10, Rodd refutes Dowling’s allegation that Maines solicited Mark Rodd’s investment in CMT/FMT:

One other paragraph in Rodd’s affidavit is of special interest. Dowling interviewed Rodd in the course of his Securities Investigation which Rodd discussed in several paragraphs of his Affidavit:

“Para 17:  At the outset, I advised Mr. Dowling that I was and continue to be happy with my investment. Nevertheless, Dowling seemed intent on making any number of statements that appeared to have the goal of discrediting CMT and Mr. Maines. He made few concrete statements in support of his allegations.”

What Judge Campbell Said about Rodd and Dowling’s “Evidence”?

There is only one direct reference to Mark Rodd in Campbell’s 172 page ruling, and that’s where he lays out the various claims of “malfeasance” made by CMT, including CMT’s allegations that Dowling made false statements  involving a number of people found in his sworn affidavit in Paragraph 177 (g): 

“….included information about CMT in his [Dowling’s] affidavit of February 14, 2013, that he either knew to be false or was reckless as to its validity with respect information obtained from Curran, Hashmi, Maines, John [sic] Trainor, Kellie Trainor, Mark Rodd, and Kevin Murphy, knowing the submission of the affidavit would cause substantial reputational damage to CMT…”

Judge Campbell does not address Dowling’s claim that Paul Maines “solicited” an investment from Mark Rodd. However,he does mention in para 485 that two other CMT investors informed Dowling that they were “not solicited by Maines,” but he doesn’t give names. Despite this information, in the preceding paragraph Campbell makes the following claim which is not supported with any credible evidence:

” 484 Through the course of the investigation, Dowling obtained various emails and other documentation confirming that Maines was soliciting investments.”

The full significance of these false claims against Maines and CMT will become clearer in subsequent episodes.

The Truth?

Steven Dowling swore that Paul Maines solicited investments from a number of people who became investors in CMT/FMT. Those baseless allegations led to the securities investigation and a decision by the PEI government to put negotiations with CMT/FMT on establishing a financial transaction hub in PEI on hold.  No documentary evidence “confirming that Maines was soliciting investments”  was ever presented by Dowling.  In fact, Dowling provided no supporting documents for the Motion to Dismiss whatsoever, nor did he swear a new Affidavit which would have allowed CMT’s lawyer to cross-examine him.

My next episode will explain how the 36 investors actually “invested” in CMT/FMT – including Paul Jenkins who was mentioned specifically by Dowling in his Affidavit – as well as Garth Jenkins, Paul Jenkins cousin.  It will explain how Paul Maines had no role in the investment side of the business: he was V-P of Business Development for CMT, and was working with numerous players focused on advancing the financial transaction hub. The documents Dowling (and Judge Campbell) reference are documents that explain CMT’s background, capacity, and the business model proposed for PEI –  they were not financial documents, and make no mention of how individuals can “invest” in CMT/FMT.

The Consequences

None.