UNITED STATES DEPARTMENT OF TRANSPORTATION OFFICE OF HEARINGS

IN RE: GLOBAL AIRCRAFT INTERIORS, INC.

CASE NO. FAA-2014-0324

_____________________________________________________

HEARING BEFORE THE HONORABLE J.E. SULLIVAN TUESDAY, JUNE 30, 2015 1:34 P.M. HISTORIC JORDAN SPRINGS 1160 JORDAN SPRINGS ROAD STEPHENSON, VIRGINIA 22656IN RE: GLOBAL AIRCRAFT INTERIORS June 30, 2015 VR # 1679-4 Page 2

1 APPEARANCES 2 ON BEHALF OF THE PLAINTIFF, 3 FEDERAL AVIATION ADMINISTRATION: 4 ZACHARY M. BERMAN, ESQUIRE 5 FEDERAL AVIATION ADMINISTRATION 6 OFFICE OF THE REGIONAL COUNSEL 1 AVIATION PLAZA 7 JAMAICA, NEW YORK 11434 8 TELEPHONE: 718.553.3258 9 FACSIMILE: 718.995.5699 10 EMAIL: ZACHARY.BERMAN@FAA.GOV 11 12 ON BEHALF OF THE DEFENDANT, 13 GLOBAL AIRCRAFT INTERIORS, INC. 14 ROBERT ROTH 15 PRO SE 16 GLOBAL AIRCRAFT INTERIORS, INC. 17 2075 SMITHTOWN AVENUE 18 RONKONKOMA, NEW YORK 11779 19 TELEPHONE: 631.981.8470 20 EMAIL: ROBERT@GLOBALAIRCRAFTINTERIORS.COM 21 22 23 24 25IN RE: GLOBAL AIRCRAFT INTERIORS June 30, 2015 VR # 1679-4 Page 3

1 HEARING 2 TUESDAY, JUNE 30, 2015 3 1:34 P.M. 4 THE COURT: Good afternoon, this is Judge 5 Sullivan. Do I have Mr. Berman on the line? 6 MR. BERMAN: This is, this is Zach Berman. 7 THE COURT: Okay. And Mr. Robert Roth on 8 behalf of Global Aircraft Interiors. 9 MR. ROTH: Yes, I'm here, Judge. 10 THE COURT: Okay. And I should also have 11 Andrea Mikus from County Court Reporters? 12 COURT REPORTER: Yes, ma'am. 13 THE COURT: And, Ms. Mikus, are you ready? 14 COURT REPORTER: Yes, ma'am. 15 THE COURT: We're on the record ... 16 (WHEREUPON, an electrical issue affected the audio.) 17 THE COURT: ... 14-0324. Today is Tuesday, 18 June 30, 2015, and the parties have convened for a new 19 status conference on, in this action. Mr. Zachary M. 20 Berman is appearing on behalf of the complainant, the 21 Federal Aviation Administration, which I'll 22 hereinafter refer to as the FAA. The respondent, 23 Global Aircraft Interiors, Inc., is represented by its 24 lay representative, Mr. Robert Roth. Good afternoon to 25 you both.IN RE: GLOBAL AIRCRAFT INTERIORS June 30, 2015 VR # 1679-4 Page 4

1 MR. BERMAN: Good afternoon, Judge. 2 THE COURT: I will simply note that we last 3 convened on Wednesday, May 20, 2015 for a telephone 4 conference. At that time, the parties agreed they 5 needed some additional time to discuss the status of 6 the case as well as settlement options. As a result, 7 on that same day, May 20, 2015, an order setting 8 deadlines and new status conference was filed. In 9 lieu of that May 20, 2015 order, the respondent was 10 directed to notify the FAA no later than May 22nd, 11 2015 by 5:00 p.m. regarding the status of its request 12 for additional materials from its accounting firm, and 13 then there were some other matters that were addressed 14 by that May 20, 2015 order as well. To utilize our 15 time as best we can, why don't we start with the May 16 22nd, 2015 deadline. Mr. Roth, were you able to 17 provide that status report to the FAA by that 18 deadline? 19 MR. ROTH: I was able to give information to 20 Mr. Berman by the time of, via email. 21 THE COURT: I'm sorry, by the what? 22 MR. ROTH: Via email. I apologize. I've 23 worked so much, I've lost my voice, so I have to 24 apologize. 25 THE COURT: Okay, so ...IN RE: GLOBAL AIRCRAFT INTERIORS June 30, 2015 VR # 1679-4 Page 5

1 MR. ROTH: It was just starting to come back 2 today. 3 THE COURT: What's, so, you, you basically 4 complied with the May 22nd, 2015 deadline. Let's ... 5 MR. ROTH: That's correct. 6 THE COURT: ... talk about the June 5, 2015 7 deadline that's also contained in the May 20, 2015 8 order. Essentially, that June 5, 2015 deadline was 9 given to the client to provide any and all additional 10 materials it wished the FAA to consider in settlement 11 negotiations. Were you able to comply with that 12 deadline? 13 MR. ROTH: By June 5th, no, Judge. I went 14 in and spoke to Mr. Berman personally. I met with him 15 in his office. I don't recollect the actual date, 16 that conference that we had in person. 17 THE COURT: Okay. Well, why don't I turn to 18 Mr. Berman, then, and ask him to give me an idea what 19 the status of the case is. Mr. Berman? 20 MR. BERMAN: Yes, well, there was certain, 21 certain information that we, that we wanted to 22 evaluate the financial ability that Mr. Roth said he 23 could not provide, specifically tax returns. He said 24 there was a problem in obtaining copies of his most, 25 of his tax returns over the last couple of years. AndIN RE: GLOBAL AIRCRAFT INTERIORS June 30, 2015 VR # 1679-4 Page 6

1 I guess he could speak to this himself, because the 2 accountant has them, and he hasn't paid the 3 accountant, so he can't get them. And we also had the 4 discussion, and so, the way it is now, based on 5 financial information, I can't reduce our settlement. 6 I can't make our offer more favorable to Global 7 Aircraft than it was before, but we also discussed the 8 merits of the case, and he said, and Mr. Roth said 9 that, you know, even though the paperwork reflected 10 the training done, was done, he could perhaps produce 11 affidavits that the training was done. And he did 12 produce, over the last couple of days, I received an 13 affidavit, I think, there's one that I couldn't read, 14 but there's another one that, reflecting that one out 15 of the multiple employees cited in the complaint that 16 attested that, I forgot if it was a he or she, 17 received the training. But I'm not sure if that's 18 enough to satisfy us that training was done for, you 19 know, all these employees. So ... 20 THE COURT: So, essentially, if I look at 21 the complaint that was filed by the FAA on or about, 22 or issued, excuse me, by the FAA on or about June 13, 23 2014, on page 2 of that four-page complaint, it 24 indicates that there were seven employees that did not 25 receive training during the year of 2010. And thoseIN RE: GLOBAL AIRCRAFT INTERIORS June 30, 2015 VR # 1679-4 Page 7

1 seven employees were named in paragraph 6 of, on page 2 2 of the four-page complaint. So, of those seven 3 employees, Mr. Berman, who have you received 4 affidavits from? 5 MR. BERMAN: Well, there was one named 6 Lorena Sakwakawa (phonetic). I'm not sure if I'm 7 pronouncing it correctly, but she writes a statement, 8 "In regard to the case listed above," referring to 9 this case, "to the best of my recollection, Mr. Robert 10 Roth provided the required repair station training in 11 the year 2010." 12 THE COURT: Okay, so you have one affidavit 13 from Ms. Sakwakawa, and then no affidavits from the 14 other six people who are identified by name on page 2 15 of the four-page complaint? 16 MR. BERMAN: I'd, except there was one that 17 he provided that he couldn't provide me with a legible 18 copy of. The person took a photograph and scanned it 19 to him, and it's just, I mean, he said he could not 20 send me a more legible copy. 21 THE COURT: Okay, well, then, that's no copy 22 at all if you can't read it. Mr. Roth? 23 MR. ROTH: Yes, may I jump in, Judge, and 24 say something at this time ... 25 THE COURT: Yes, please.IN RE: GLOBAL AIRCRAFT INTERIORS June 30, 2015 VR # 1679-4 Page 8

1 MR. ROTH: ... if that's possible? 2 THE COURT: Yes. 3 MR. ROTH: There's also, they sent me 4 another letter on the people listed, a Murray Roth 5 (phonetic). I have a letter from him also stating, 6 and then also I have a letter from myself, which was 7 notarized as one of the people. I also have a letter 8 saying the information in regards to the merits of the 9 case, in regard to training. So, the only people I 10 was unable to get at this particular time, detours at 11 the time, was Jose Calle and Maria Ospina. I was able 12 to get from Loretta Segrilla (phonetic), Anthony 13 DiOrio (phonetic), Murray Roth, and Robert Roth. 14 THE COURT: Well, why doesn't Mr. Berman 15 have those, that material, too? 16 MR. ROTH: I know I did send them yesterday, 17 and I sent them via email. 18 MR. BERMAN: I have the one from, from 19 Robert, from Robert Roth, whose sitting in on this 20 conference. 21 MR. ROTH: And then, also, you should also 22 have the one I sent yesterday from, the one that you 23 were unable to read. There was 1-2, 2-2. One of 24 them, the one you were unable to read was Anthony 25 DiOrio, and the other one was Murray Roth. I haveIN RE: GLOBAL AIRCRAFT INTERIORS June 30, 2015 VR # 1679-4 Page 9

1 those letters in front of me also, and, I mean, I ... 2 THE COURT: And I'm going to note that Mr. 3 Roth and Mr. Berman have been talking to each other, 4 and I'm going to interject at this point. Mr. Roth, 5 let ... 6 MR. ROTH: Yes. 7 THE COURT: ... let's talk, let me ask you 8 to talk to me for a moment. 9 MR. ROTH: Mm-hmm (Indicating 10 affirmatively.) 11 THE COURT: So, according to you, you have 12 your own statement, because you're identifying 13 yourself as one of these employees. You have a 14 statement from Lorena Sakwakawa, a statement from 15 Murray Roth, and then a statement from Anthony DiOrio. 16 Is that correct? So, that's ... 17 MR. ROTH: That is correct, Judge. 18 THE COURT: So, that would leave three 19 people unaccounted for, those people being Jose Calle, 20 spelled C-A-L-L-E, LisaMarie Blumberg, LisaMarie being 21 all one word, Blumberg spelled B-L-U-M-B-E-R-G, and 22 lastly, Maria Ospina, spelled O-S-P-I-N-A. Do you 23 have declarations or statements from those three 24 people by any ... 25 MR. ROTH: No.IN RE: GLOBAL AIRCRAFT INTERIORS June 30, 2015 VR # 1679-4 Page 10

1 THE COURT: Okay. 2 MR. ROTH: I was unable to get in touch with 3 those people. I do not have information. It's been 4 many years since they've worked for me. 5 THE COURT: Okay. This, these particular 6 allegations date to the year 2010. Do you recall, if 7 at all, when you last had contact with any of these 8 three individuals? 9 MR. ROTH: Yes. 10 THE COURT: Would you like to share that 11 with us? 12 MR. ROTH: I'm sorry, can you please repeat 13 that, Judge? 14 THE COURT: Would you like to share that 15 information ... 16 MR. ROTH: Yes. 17 THE COURT: ... with us? 18 MR. ROTH: Ms. Blumberg, I don't know 19 exactly, but it's been many years. I don't know, 20 could be four years from that nature. I don't ... 21 THE COURT: Okay, four years ago would have 22 been approximately 2011. Would that ... 23 MR. ROTH: Correct. 24 THE COURT: ... sound right? Okay. What 25 about Ms. Ospina?IN RE: GLOBAL AIRCRAFT INTERIORS June 30, 2015 VR # 1679-4 Page 11

1 MR. ROTH: Approximately a year ago or so. 2 THE COURT: And a year ago from now would be 3 approximately 2014. Does that sound right? 4 MR. ROTH: Yes, that is correct. 5 THE COURT: And, lastly, what about Mr. 6 Calle? 7 MR. ROTH: I would say worked three years 8 ago, so 2012, I guess, or '13, in that range. 9 THE COURT: Okay. You've heard Mr. Berman 10 state that he cannot read the material that you sent 11 him from Mr. DiOrio. Do you have something that you 12 could resend that's more legible? 13 MR. ROTH: Unfortunately, the employee, 14 former employee does not have a fax machine at his 15 house or a scanner, so he was able to sign it and, and 16 take a picture, and I sent it to myself and printed it 17 out. 18 THE COURT: So, is that a no? 19 MR. ROTH: I mean, I can try again and maybe 20 just send it directly, rather than printing it, maybe 21 try emailing it and see if that might work. 22 THE COURT: Well, it's up to you, because 23 ... 24 MR. ROTH: Yes. 25 THE COURT: ... you're saying to Mr. BermanIN RE: GLOBAL AIRCRAFT INTERIORS June 30, 2015 VR # 1679-4 Page 12

1 that you think this is information that will help 2 persuade him ... 3 MR. ROTH: Yes. 4 THE COURT: ... to settle with you. So, if 5 you think that's true, then it might be worth your 6 time to resend it so that he can ... 7 MR. ROTH: Okay. 8 THE COURT: ... read it. 9 MR. ROTH: Yes. 10 THE COURT: Okay. 11 MR. ROTH: It is being sent as we speak, 12 Judge. 13 THE COURT: Okay. Mr. Berman, let me turn 14 back to you. In terms of the status of the case, do 15 you think it would be helpful to give the parties a 16 little more time, or should we go ahead and start 17 setting this up for a new hearing date? 18 MR. BERMAN: Yes, I think at this point it'd 19 be helpful to give some, a little more time to try to 20 resolve it. 21 THE COURT: Okay. Is there any other 22 information that you can think of, Mr. Berman, that 23 you might need from Mr. Roth that would be helpful in 24 your private discussion? 25 MR. BERMAN: Well, as I told him, I would,IN RE: GLOBAL AIRCRAFT INTERIORS June 30, 2015 VR # 1679-4 Page 13

1 you know, it would help if we could get affidavits 2 from as many people as he could, and if, the more 3 detailed they are, you know, the more convincing it 4 would be for me. But ... 5 THE COURT: When you say "more detailed," 6 what kind of detail are you looking for? Because 7 you're dealing with a pro se litigant who may not 8 understand what that means. 9 MR. BERMAN: Yes, I understand that. For 10 example, this one affidavit that I was able to read 11 where she said the training that she says Mr. Roth 12 provided the required repair station training in the 13 year 2010, it'd be helpful if whoever writes these 14 affidavits could just give a little brief description 15 of what this training was and also to specify that it 16 was repair, it was training of, to be a, whatever, an 17 employee at Global Aircraft. You know, I can't really 18 put words in their mouths. I'm just, bottom line is 19 just, I'm looking for, the more detail the better, I 20 guess, as it pertains ... 21 THE COURT: And why don't I give an example, 22 if I may. Mr. Roth ... 23 MR. ROTH: Yes, Judge. 24 THE COURT: ... there's a difference in how 25 you can present information. For example, I couldIN RE: GLOBAL AIRCRAFT INTERIORS June 30, 2015 VR # 1679-4 Page 14

1 tell you that I went to a restaurant and ate dinner, 2 and that's one way of saying an event happened. It 3 gives you very little information about where I went, 4 when I went, if anyone went with me, or what I had to 5 eat and how much it cost. On the other hand, I could 6 say to you, "I went to dinner on November 10, 2015 7 with my good friend Bobby Jo. We went to a restaurant 8 called Husk in Charleston, South Carolina, and we ate 9 a shrimp appetizer, a Caesar salad, a fish entrand 10 shared a chocolate mousse for dessert. The bill came 11 to $29.50. We had a wonderful time." So, that also 12 tells you information, but it's much more specific. 13 MR. ROTH: Confirmed. I fully understand, 14 Judge. 15 THE COURT: Yes, so I think what Mr. Berman 16 is saying is that he would rather have a more specific 17 statement as opposed to a general statement, if you 18 can provide that. 19 MR. ROTH: Not a problem. I fully 20 understand, Judge. 21 THE COURT: Okay. Then, Mr. Berman, turning 22 back to you, how much more time do you think it would 23 be of help to the parties to allow you to chat 24 privately before we set a discovery and litigation 25 schedule?IN RE: GLOBAL AIRCRAFT INTERIORS June 30, 2015 VR # 1679-4 Page 15

1 MR. BERMAN: I would say until the end of 2 July. 3 THE COURT: And, Mr. Roth, does that sound 4 reasonable to you as well? 5 MR. ROTH: Yes, I'm going, we're closing for 6 vacation the 23rd, I think it is, and we will not be 7 back until the 4th, if I'm remembering correctly. 8 THE COURT: Will you be able to get material 9 to Mr. Berman before the 23rd? 10 MR. ROTH: Yes. 11 THE COURT: Okay. Then what I'm going to do 12 is I'm going to set this matter back on my calendar 13 for early August, and at that point, I'm going to 14 presume that we're going to be setting a discovery and 15 litigation schedule, if you have not yet settled. So, 16 let's take a look at your calendars for the week of 17 August 10, 2015, and I'm going to turn to you first, 18 Mr. Berman. Other than Wednesday, I have the other 19 four days open. Do you have a preference? 20 MR. BERMAN: I'm open all week. 21 THE COURT: Okay. Mr. Roth, what about your 22 calendar? Do you have a preference? 23 MR. ROTH: I'm open at this particular time. 24 I'd prefer, if possible, not to have it on Monday the 25 10th, but any other day is fine.IN RE: GLOBAL AIRCRAFT INTERIORS June 30, 2015 VR # 1679-4 Page 16

1 THE COURT: Okay. Well, then, why don't we 2 do this. Let's set this for Tuesday afternoon on 3 August 11, 2015, and let's keep this time, since it 4 seems to be successful, 1:30 p.m. eastern time for a 5 litigation scheduling conference. If you decide to 6 settle prior to that time, please let me know, and 7 then I would send out an order canceling this 8 particular conference. Mr. Berman, on your client's 9 behalf, is there anything else that we can address for 10 you today? 11 MR. BERMAN: No, Judge. 12 THE COURT: Okay. Mr. Roth, on your client's 13 behalf, anything we need to address for you today, 14 anything ... 15 MR. ROTH: Not at this time, Judge. 16 THE COURT: Okay. Then I will look forward 17 to talking with you both on Tuesday, August 11, 2015 18 at 1:30 p.m. eastern time. I wish you all the best in 19 your continued negotiations, and with that, we can go 20 off the record, and I wish you both a good day. Thank 21 you. 22 MR. ROTH: Thank you very much, Judge. Have 23 a great day yourself. 24 THE COURT: All right, thank you. Bye-bye. 25 (WHEREUPON, the Hearing was concluded at 1:54 p.m.)IN RE: GLOBAL AIRCRAFT INTERIORS June 30, 2015 VR # 1679-4 Page 17

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1 STIPULATION 2 3 The foregoing matter was taken on the date, and at 4 the time and place set out on the title page hereof. 5 6 It was requested that the matter be taken by the 7 reporter and that the same be reduced to typewritten 8 form. 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 251 2 3 4

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25 24 23 22 **CERTIFICATE OF REPORTER AND SECURE ENCRYPTED**

I, **Andrea F. Mikus** , do hereby certify that the foregoing matter was reported by stenographic and/or mechanical means, that same was reduced to written form, that the transcript prepared by me or under my direction, is a true and accurate record of same to the best of my

This transcript and certificate have been digitally the action filed or its outcome. knowledge and ability; that there is no relation nor

parties hereto, nor financial or otherwise interest in employment by any attorney or counsel employed by the

Court Reporter **SIGNATURE AND DELIVERY OF CERTIFIED TRANSCRIPT**

signed and securely delivered through our encryption

server. IN WITNESS HEREOF, I have here unto set my hand this day of , .

**Andrea F. Mikus** 2ND JULY 2015IN RE: GLOBAL AIRCRAFT INTERIORS June 30, 2015 VR # 1679-4 Page 20

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