Opinion ID: 4017397
Heading Depth: 2
Heading Rank: 1

Heading: The Alavi Foundation

Text: The Alavi Foundation traces its origins to 1973, when the Shah of Iran, Mohammad Reza Pahlavi, incorporated the eponymous Pahlavi Foundation as a New York not‐for‐profit corporation, and endowed it with several million dollars. The Pahlavi Foundation’s stated mission was, inter alia, “[t]o render support and assistance for the study and promotion of the arts and sciences” and to support “established charitable, philanthropic, educational and civic endeavors.” App’x 5971–72. In 1974, the Pahlavi Foundation acquired property at 650 Fifth Avenue in New York City (“the Property”). In 1975, at the direction of the Shah, Bank Melli—a bank wholly owned by the Iranian government— loaned the Pahlavi Foundation $42 million, thus providing the Foundation with to admit evidence.” (internal quotation marks and alterations omitted)). In fact, the District Court here rejected all three of Claimants’ evidentiary objections, ruling (1) as to proffered statements in Farsi unaccompanied by a certified translation that “[t]here can be no serious dispute that a certified translation could be obtained,” (2) Claimants’ hearsay challenge failed on the merits, and (3) that at trial, the parties could either stipulate to documents’ authenticity or they could be authenticated by FBI Agent Jennifer McReynolds, the investigation’s evidence custodian. In re 650 Fifth Ave., No. 08 CIV. 10934(KBF), 2013 WL 5178677, at –5 & n.18 (S.D.N.Y. Sept. 16, 2013) (“In re 650 Fifth Ave. Summary Judgment Decision”). We identify no abuse of discretion in these evidentiary rulings. 12 funds to construct a 36‐story office tower on the Property, i.e., the Building, and Bank Melli with two mortgages on that Property.4 Following the 1979 Iranian Revolution, which deposed the Shah, Iran’s new Supreme Leader, Ayatollah Ruhollah Khomeini, ordered the formation of the Bonyad Mostazafan, an entity charged with managing property expropriated by the revolutionary government, including that at 650 Fifth Avenue. In 1980, the Pahlavi Foundation was renamed the Mostazafan Foundation of New York. The Foundation took on its present name in 1992.5 Since its inception, Alavi has purchased and maintained several properties in the United States. In addition to the Building, Alavi acquired seven real properties in the 1980s and 1990s, including two parcels of land in Rockville, Maryland, one property in Houston, Texas, one property in Carmichael, California, two parcels of land in Prince William County, Virginia, and one block of lots in Queens, New York (collectively, “Alavi Real Properties”). 4 Bank Melli first loaned the Pahlavi Foundation $30 million pursuant to an agreement executed on July 28, 1975, and subsequently provided an additional $12 million loan pursuant to an October 2, 1975 agreement. 5 For ease of reference only, we refer to all three iterations of the foundation as “Alavi” throughout the remainder of this opinion. 13 Alavi’s bylaws state that its Board controls the organization’s affairs and property and appoints corporate officers and directors, while its President supervises operations and reports to the Board. The bylaws make Alavi’s Board and President responsible for, inter alia, operational decisions such as charitable efforts, personnel decisions, and program management. Consistent with New York not‐for‐profit law, see N.Y. NOT‐FOR‐PROFIT CORP. LAW §§ 501, 601 (McKinney 2016), Alavi has never had formal owners, members, or shareholders. The record reflects that Alavi remains a not‐for‐profit corporation in “good standing,” and New York regulatory authorities have never sought to dissolve or remove the organization’s corporate status, or taken any action against Alavi, its directors, officers, or employees.