for Released “indér the John F. Kennedy Assassination Records Collection Act of 1992 (44 USC 2107 HoTtey. DATE: 11-14-27017 ° a ri. . CG 87-22928 ADMINISTRATIVE Information copies have been furnished the Detroit and New Orleans Divisions in that these divisions should be cognizant of the developments of this case in the event future leads are set forth. It-is noted that the principal activities regarding this prosecution are in the New Orleans and Detroit areas. The foreign source abroad referred to in the body of this report is an investigation conducted by the Royal Canadian Mounted Police, which had been. requested by the Legat in Ottawa, Ontario. This information was furnished to the Legat in Ottawa by E. L. MARTIN, Superintendent, Officer in Charge, Criminal Investigation Branch, Royal Canadian Mounted Police, Ottawa, Canada. - Be - COVER PAGE Docld: 323294580 Page 2?
Released under the John F. Kennedy Assassination Records Collection Act of 1992 (44 USC 3107 Hotes. DATE: 11-14-2017. t+ . CG 87-22928 1. Nova Scotia, Docld: 32329480 Page 3 WOODROW YARED Copy of Michigan Bell Telephone statement of calls and telegrams from September 5, 1963, through Oc tober 3, 1964. JOHN BLACK Copy of check number 13509, amount of $4,000.00, payable to First National Mortgage Company, dated August 16, 1963, endorsed by LEONARD STALLMAN and Capitol Bank of Chicago. ~ Copy of check number 13734, dated September 25, 1963, for $900.00, to JOE STEIN for financial advice, endorsed and signed JOE STEIN, First National Mortgage by LEONARD STALLMAN. Minutes of meeting regarding JOSEPH STEIN's presence at board meeting. RONALD E. WAGER, SR. | ‘Copies of memorandum of agreement, telegrams and correspondence from and/or to STEIN. In September, 1964, a foreign source abroad advised Khattar's Realties, Limited, 463 Prince Street, Sydney, is a firm composed of three brothers, namely — JOSEPH J. KHATTAR (President), SIMON J.. KHATTAR and GEORGE . KHATTAR. It is mainly involved in the real estate and mortgage brokerage business. The mortgage brokerage end is the sole concern of JOSEPH J. KHATTAR, who operates on the basis of a "standby fee" plus a percentage (usually 3%) if he locates a favorable mortgage loan for his clients. During the summer of 1963 Khattar’s Realties, Limited, learned that the Joyland Shopping Center, Detroit, Michigan, - 4-
N [Reteased under the John F. Kennedy Assassination Records Collection Act of 199>° (44 Usc 2TRy. Ho te}. 11- 14- 7017 CG 87-22928 U.S.A., was up for sale and the firm (Khattar's Realties) attempted to purchase same on its own behalf. KHATTAR (refering to JOSEPH JOHN KHATTAR) was contacted by ROY BROWN and LEO COLE of Roy Brown and Associates, 20026 Greenfield, Detroit, Michigan, who were handling the sale, and a price of: $1, 275, 000 was agreed upon. -In attempting to raise this amount of money KHATTAR contacted one GERALD R. SITTSER of H.A.S. Corporation (actual name of the firm could not be determined), 100 B. Waters Building, Grand Rapids, Michigan, who in turn advised KHATTAR that he had found the required: financing with First National Mortgage Company. (KHATTAR maintained he never personally met SITTSER, being in contact with him only via telephone and mail). At this stage Mr. JOSEPH Y. STEIN of First National Mortgage Company entered the picture and requested a $5,000 retainer from KHATTAR on the understanding that his firm would raise the $1,275,000 in sixty days for the purchase of Joyland Shopping Center. The retainer in form of a cheque was paid in escrow to ROY H. BROWN and G. L. SITTSER rather than First National Mortgage. (This action was taken on the instructions of SIMON J. KHATTAR, who acts as the legal adviser for Khattar's Realties). During the course of the sixty days period, STEIN made a trip to Sydney where he met the directors of Superior Concrete Products, Sydney, Nova Scotia (who employ SIMON J. KHATTAR as legal counsel), who were interested in locating a loan of $250,000 for the firm. .STEIN told the directors that he probably could locate this amount of money for Superior Concrete but wanted a $7,500 retainer before any effort was made in this regard. On behalf of Superior Concrete, SIMON J. KHATTAR turned down STEIN's offer unless he (STEIN) could produce a legal registered commitment from a bonafide lender in the 7% U.S.A. that the money was available, only then would Superior Concrete pay the $7,500 retainer. It should be noted that SIMON J. KHATTAR was using the Joyland Shopping Center mortgage as a lever against STEIN and the loan required by Superior Concrete. However, the directors of Superior Concrete were aware of this and agreed to the terms set by their Counsel). It was at this meeting, which was also attended by JOSEPH J. KHATTAR, that STEIN first mentioned his firm already had a commitment for the Joyland Shopping Center and ; therefore Superior Concrete should not object to the $7,500 retainer. SIMON J. KHATTAR refused STEIN's request, advising he wished to see the commitment in writing before he would - 5 - ; Docld: 323294580 Page 4
sleased under the John F. Kennedy Assassination Records Collection Act of 1997 (ff Tt FityT Hotes. ’ DATE: 11-14-2017 . 7 : CG 87-22928 agree to the Superior Concrete retainer, which incidentally, was never paid because First National could not produce a bonafide lender for the Joyland Shopping Center commitment. In January, 1964, Khattar's Realties engaged one FRED J. POTVIN, Attorney and Counsellor, 418 Buhl Building, Detroit, Michigan (Telephone No: Woodward 5-0544), to carry out the actual purchase of the Joyland Shopping Center, and this subject is familiar with the contract dealings between Khattar's Realties, First National Mortgage Company, ROY BROWN, LEO T. COLE and JOSEPH Y. STEIN. According to KHATTAR it was POTVIN who endorsed the $5,000 cheque, on behalf of Khattar's Realties, over to STEIN. KHATTAR admitted that he suggested he be paid a commission on the mortgage loan to be made to Khattar's Realties by the First National Mortgage Company and stated he told SITTSER that First National should pay him 50% of the "mortgage interest fee" because of the amount of money involved and the fact that Khattar's Realties was in the same type of business as First National. KHATTAR advised he never expected “> | to have the firm in question agree to such a request. | e. KHATTAR also mentioned that STEIN appeared to be at the head of First National and therefore he attempted to deal oan | directly with this individual rather than dealing with | SITTSER who was somewhat reluntant to carry out Khattar's Realties interests at the rate requested of him. In. view of the above, KHATTAR advised that when the sale of Joyland Shopping Center was to be finalized, he went to First National to obtain the $1,275,000 commitment, . 8 which was to be repaid in (19) years at 6% interest, and was told by LEONARD STALLMAN (also employed by First National) that the firm did not have the commitment in question and therefore could not give KHATTAR the money. This occurred only a short. time after STALLMAN had spoken personally to ROY BROWN and KHATTAR in the Chicago office of First National, that. the firm had the required commitment in writing from a responsible lender but he (STALLMAN) required a few days to formalize the agreement and present it to KHATTAR and BROWN. Docld: 32329480 Page 5