This report is reprinted here with the permission of John Dowd. The contents are Copyright 1989, 1999 by John M. Dowd, Esq. and the Baseball Archive. Any public or commercial use, distribution or duplication of these materials without written permission from The Baseball Archive is a violation of federal copyright law. Use of this site constitutes agreement with these terms. III. Results of Investigation B. The Rose-Bertolini Betting Beginning in 1985, Pete Rose took another young man under his wing -- Michael Bertolini from Brooklyn, New York -who was in the baseball card show, autograph and memorabilia business. Bertolini became an exclusive photographer for Rose and other ball players, a seller of memorabilia and director-producer of Pete Rose's card shows.[142] In addition, Bertolini was a runner of gambling bets for Pete Rose to an unidentified bookmaker in New York.[143] This was revealed in a telephone conversation on April 4, 1988 with Paul Janszen, which Janszen taped. Bertolini described how Rose owed the New York bookies, and Bertolini, large sums of money:
As described previously, Gioiosa told Peters in late 1986 that Rose could not pay Peters because he was paying a New York bookmaker.[147] This statement has been corroborated by (1) Bertolini, in his taped telephone conversation with Janszen; and (2) personal checks and account statements of Pete Rose at Oak Hills Savings and Loan in Cincinnati, Ohio.[148] These records reveal that Pete Rose wrote 11 checks to fictitious payees, each in the amount of $8,000, from November 16, 1986 to December 3, 1986. The checks were sent to Michael Bertolini. Ten of the eleven checks were endorsed and deposited to the account of Rosic Trading Corp., which is a check cashing service and newsstand in New York.[149] In the tape recorded telephone conversation of April 4, 1988 between Bertolini and Janszen, Bertolini graphically described how Pete Rose used to send him $8,000 checks payable to fictitious names to pay Rose's gambling debts:
On May 22, 1987, Pete Rose signed as a co-borrower with Michael Bertolini on a $43,000 loan at Star Bank in Cincinnati.[151] Later in September 1987, Rose signed as sole borrower on a $50,000 loan from Star Bank, which he acknowledged was for Bertolini.[152] Rose also arranged for, and signed as an endorser of, a $125,000 loan from Star Bank to Hit King Marketing, Inc., Bertolini's company, on February 23, 1989.[153] Bertolini told Janszen that Rose arranged the loans for Bertolini so Rose could pay his gambling debts.[154] Rose's indebtedness to Bertolini is further established by other excerpts from the Janszen-Bertolini conversation of April 4, 1988. Bertolini told Janszen that Rose owed Bertolini approximately $70,000 for gambling debts paid by Bertolini:
Other records from Rose's account at Oak Mills Savings and Loan may lend support to Bertolini's statements that Rose paid him different amounts at various times, and that Rose paid the New York bookmaker "150-200" in cash.[156] We have requested from Pete Rose all of the Oak Mills records for 1986, but have only been provided copies of some cancelled checks for October, November and December of 1986, as well as the account statements for the entire year. The account statements not only list the 11 checks for $8,000 described previously (of which we were provided copies), but also numerous checks for $7,000, $8,000 and $9,000 (only some of which we were provided copies).[157] For example, the statement of October 20, 1986, lists five checks for $8,000, all paid on October 9, 1986. The statement of November 20, 1986, lists checks for $9,000 and $7,000 paid on October 30, 1986; two checks for $7,000 paid on October 31, 1986; eight checks for $8,000 paid on November 10, 1986; and a check for $5,000 paid on November 17, 1986. These checks total $139,000.[158] When combined with the 11 checks for $8,000 described previously, the total of all these checks, written over a three-month period beginning in early October 1986, the end of the regular baseball season, is $227,000. When asked about the purpose of the $88,000 shipped to Bertolini, Rose stated that it was not to pay gambling debts.[159] In fact, Rose denied that Bertolini ever placed bets for him.[160] Rose further testified that the eleven checks for $8,000 were sent to Bertolini in late 1986 to pre-pay athletes for memorabilia shows.[161] Bertolini told Rose who the payees should be on the checks, and in his deposition, Rose acknowledged that the names were fictitious.[162] Rose also testified that if the checks were made out for over $10,000 "you've got to fill out a bank form and stuff.''[163] "He [Bertolini] didn't want to do that.''[164] Additionally, Rose explained that if he had written "a check for eighty thousand out to Mike Bertolini ... that would wake everybody in the world up.''[165] Rose claimed the money was a loan to Bertolini and that because Bertolini was an honest man whom Rose trusted, Bertolini did not need to sign a note with him:[166]
Rose stated that Bertolini has paid back the $80,000 in cash, a little at a time:
During his deposition, we played for Rose the entire tape of the Janszen-Bertolini conversation of April 4, 1988. Rose listened carefully and afterwards stated that the tape "don't mean diddly-squat to me.''[159] At first, Rose testified that Bertolini was making up things to say to Janszen on the tape and described it as "the blind leading the blind.''[170] However, Rose had difficulty explaining why Bertolini would make up negative information about him, i.e., that Rose owed "Bruno" and Bertolini money.[171] At one point Rose said, "I can't tell you why them guys are saying those things.''[172] Finally, Rose said that if Bertolini said Rose owed him money, Bertolini would be "lying.''[173] Rose adamantly stated, "I owe nobody nothing.''[174] When asked about Bertolini's statements on the tape about Rose mailing checks to him, and Bertolini's saying that Rose had said "man, no matter how good I do, it's like I never go down [in the gambling debt]," Rose testified that he had no idea what Bertolini was talking about, and reiterated that he had already told us the purpose of the checks to Bertolini.[175] Rose again adamantly stated: "I'm going to say this one more time. I don't owe anybody a dime. New York; New England; New Mexico. A dime. Nothing.''[176] Footnotes: 142) Bertolini denied placing bets for Pete Rose. Upon the advice of counsel, Bertolini refused to submit to an interview or to produce records from the two companies he operates with the financial assistance of Pete Rose: Sports Images, Inc. and Hit King Marketing, Inc. Counsel for Rose said they do not have control of any records of these corporations and were unable to produce them, except for some limited records regarding Sports Images, Inc. Letters to John Dowd from Robert Pitcairn dated March 23, 1989, March 27, 1989 and March 30, 1989. See Exhibit 25. 143) Janszen stated that Rose placed bets through Bertolini on baseball during the same April, May, June 1987 period that Rose was using Janszen to bet with Steve Chevashore, Peters and a bookmaker known as Val. Transcript of Janszen Interview, February 24-25, 1989, at 45-46. See Exhibit 26. Rose's betting with Chevashore and Val, is discussed in Section III-C. Paul Janszen explained the reasoning behind using two bookies:
Janszen Interview, February 24-25, 1989, at 46. 144) Transcript of Janszen-Bertolini Conversation, taped by Janszen on April 4, 1988, at 7-8. See Exhibit 27. 145) Janszen-Bertolini Conversation at 9-11. 146) Janszen-Bertolini Conversation at 11-12. According to Steve Chevashore, who placed bets for Rose in Tampa, Florida during Spring training 1987, (See Section III-C), Bertolini was also not in good standing with the bookies in New York:
Transcript of Janszen-Chevashore Conversation, taped by Janszen on December 27, 1988, at 19-20. See Exhibit 28. 147) Peters Dep. at 22. 148) Pete Rose Personal Checks, #182-#187, #412-#417, #188-#192, #195, dated from November 16, 1986 to December 3, 1986, and Account statement at Oak Hills Savings and Loan for October, November, December 1986. See Exhibit 29. 149) The eleventh check, dated December 3, 1986 to a "Bob Smith" for $8,000 was endorsed by "Bob Smith" and "Bruno Fiorito," a friend of Mike Bertolini. See Exhibit 29. 150) Janszen-Bertolini Conversation at 23-24. 151) Rose Dep. at 240; Loan Agreement, Star Bank, dated May 22, 1987. See Exhibit 30. 152) Rose Dep. at 240-244; Loan Agreement, Star Bank, dated September 1987. See Exhibit 31. 153) Loan Agreement, Star Bank, dated February 23, 1989. See Exhibit 32. 154) Janszen-Bertolini Conversation at 27-30. In a letter dated March 30, 1989, to Rose's counsel, Robert Pitcairn, we requested copies of all records in Star Bank s possession pertaining to Sports Images, Inc. and Hit King Marketing, Inc. See Exhibit 33. Subsequent letters to Rose's counsel of April 11, 1989 and April 27, 1989 again requested these documents. See Exhibits 34, 35. Mr. Rose stated during his deposition that Ms. Menike of the Star Bank was prepared to produce all of the records requested. Rose Dep. at 241-243. In an April 27, 1989 letter, counsel for Rose stated that Star Bank would not release the monthly statements and copies of checks of Sports Images and Hit King Marketing without the authorization of Mr. Bertolini, Counsel did not say the bank would not release the records to Mr. Rose. See Exhibit 36. On May 4 1989 we received copies of the $43,000 and $50,000 loan notes from Star Bank described in the text. In addition, we were provided a copy of a 35-day promissory note for $28,000 which Rose signed with Star Bank on April 4,1989. See Exhibit 37. 155) Janszen-Bertolini Conversation at 21-23. 156) Janszen-Bertolini Conversation at 10-11. 157) See Exhibit 29. Early in the investigation we requested Rose to produce all his bank account records. However, the records of Rose's account at Oak Hills Savings and Loan were not produced by Rose along with his other bank account records. We learned about this account when we saw reference to it in other records. Upon learning of the account's existence, we requested Rose to produce the Oak Hills records. Thereafter, we were provided copies of the eleven checks for $8,000 described in the text. On May 4, 1989, we were provided copies of some additional checks, many of which were illegible. Letter to John Dowd from Robert Pitcairn, April 27, 1989. See Exhibit 36. 158) See Exhibit 29. 159) Rose Dep. at 340. 160) Rose Dep. at 84. 161) Rose Dep. at 109-110. 162) Rose Dep. at 110, 247-250. 163) Rose Dep. at 110. Were Bertolini to have cashed a check in excess of $10,000, U.S. Treasury regulations would have required a report of the transaction be made. See 31C.F.R. § 103.22. 164) Rose Dep. at 110. 165) Rose Dep. at 112. 166) Rose Dep. at 112. 167) Rose Dep. at 112. 168) Rose Dep. at 118. 169) Rose Dep. at 344. 170) Rose Dep. at 349. 171) Rose Dep. at 341-344. 172) Rose Dep. at 342. 173) Rose Dep. at 343. 174) Rose Dep. at 343. 175) Rose-Dep. at 345. 176) Rose Dep. at 345. [ Previous Page ] [ Next Page ] |
