WEBVTT - Bankman-Fried's Former Girlfriend Testifies Against Him

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<v Speaker 1>This is Bloomberg Law with June Brusso from Bloomberg Radio.

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<v Speaker 1>We have said that the burden that you're assuming of

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<v Speaker 1>disentangling race and politics in a situation like this is very,

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<v Speaker 1>very difficult.

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<v Speaker 2>The Chief Justice aptly described the problem in the case

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<v Speaker 2>before the Supreme Court the limits of parties in jerrymandering

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<v Speaker 2>when it intersects with race. It's a case that could

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<v Speaker 2>help determine which party controls the House after next year's election.

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<v Speaker 2>A panel of three federal judges, after an eight day trial,

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<v Speaker 2>concluded that Republican lawmakers had engaged in unconstitutional racial gerrymandering

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<v Speaker 2>in drawing South Carolina's first congressional district, but at oral arguments.

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<v Speaker 2>The conservative justice has expressed skepticism about that panel's decision

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<v Speaker 2>and suggested they will reinstate the Republican drawn map. Here's

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<v Speaker 2>Chief Justice John Roberts, but.

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<v Speaker 1>We've never had a case where there's been no direct evidence,

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<v Speaker 1>no map, no strangely configured districts, a very large amount

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<v Speaker 1>of political evidence, whether the district court chose to credit

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<v Speaker 1>it or not, and instead it all resting on circumstantial evidence.

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<v Speaker 2>While the three liberal justices suggested the lower court had

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<v Speaker 2>adequate evidence to conclude that South Carolina lawmakers improperly relied

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<v Speaker 2>on race to get to its established target of seventeen

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<v Speaker 2>percent black voters in the district by shifting thirty thousand

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<v Speaker 2>black voters out of the district to hit that goal.

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<v Speaker 2>Here's Justice Elena Kagan.

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<v Speaker 3>You have two experts here, Reguso and Lou who answered

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<v Speaker 3>the exact question that is supposed to be answered in

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<v Speaker 3>such a case. In other words, is this gerrymander based

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<v Speaker 3>on politics or is it a way to get to

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<v Speaker 3>an ultimate goal? An ultimate political goal? But the gerrymanderin

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<v Speaker 3>is based on race. And what the two of them

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<v Speaker 3>do is that they show that black Democrats are excluded

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<v Speaker 3>from District one at a far greater percentage than white

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<v Speaker 3>Democrats are joining.

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<v Speaker 2>Me is elections law expert Richard Brefald, a professor at

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<v Speaker 2>Columbia Law School. So Rich tell us about the case

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<v Speaker 2>and the main issue here.

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<v Speaker 4>So, this case is about a challenge to the redistricting

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<v Speaker 4>of South Carolina's congressional plan in twenty twenty two following

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<v Speaker 4>the twenty twenty census. The major development affected District one,

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<v Speaker 4>which is basically around Charleston, and it made the district

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<v Speaker 4>more Republican by moving out of a significant number of

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<v Speaker 4>black voters into an adjacent black majority district. District one

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<v Speaker 4>had been a Republican district, but in recent years had

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<v Speaker 4>been more closely contested, and in twenty eighteen the Democrats

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<v Speaker 4>actually won it for one term. Twenty twenty the Republicans

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<v Speaker 4>wanted that very narrowly. So one of the things the

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<v Speaker 4>legislature did in twenty twenty two was changed the composition

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<v Speaker 4>to make it more Republican, and it's so doing It

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<v Speaker 4>basically moved about thirty thousand black voters from Charleston out

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<v Speaker 4>of the district into an adjacent district. By the way,

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<v Speaker 4>District one is the district that elects Nancy Mace, who

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<v Speaker 4>had been previously considered a moderate that since her district

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<v Speaker 4>was change, seems to become more conservative. But she's one

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<v Speaker 4>of the eight who voted to depose Kevin McCarthy. So

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<v Speaker 4>the question before the court, it's a tough question, is

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<v Speaker 4>whether the legislature was motivated by race or by party.

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<v Speaker 4>You might say that in a state where race and

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<v Speaker 4>party are so intertwined, that's an impossible question answers. It's

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<v Speaker 4>the same thing, but It's crucial because the Supreme Court

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<v Speaker 4>has said that racial gerrymandering, that is to say, the

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<v Speaker 4>intentional movement of voters because of their race from one

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<v Speaker 4>district into another is unconstitutional. But partisan jerry mandering, as

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<v Speaker 4>we all know since the RUCO decision in twenty nineteen,

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<v Speaker 4>is non justiciable. So it's okay for the state to

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<v Speaker 4>engage in partisan gerrymandering, it's not okay for the state

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<v Speaker 4>to engage in racial gerrymandering. South Carolina says it was

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<v Speaker 4>both the following traditional district lines but also had a

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<v Speaker 4>partisan political purpose. What the lower court found was that

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<v Speaker 4>actually the movements of voters did exhibit racial predominance, that

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<v Speaker 4>given away the voters, which voters were targeted, and relying

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<v Speaker 4>on the testimony of experts, they basically said that a

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<v Speaker 4>disproportionate number of black Democrats relative to white Democrats were

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<v Speaker 4>the ones who were moved, and therefore the district court

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<v Speaker 4>was able to conclude that this was a racial gerrymander.

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<v Speaker 4>That's what's being tested in the Supreme Court right now,

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<v Speaker 4>whether this is a racial or a partisan gerrymander. Did

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<v Speaker 4>the district court do it right? To what extent is

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<v Speaker 4>the Supreme Court required to defer to the findings of

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<v Speaker 4>the district Court, and the district Court's findings are really

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<v Speaker 4>sort of factual. They basically made a determination based on

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<v Speaker 4>the testimony of a person who wrote the South Carolina

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<v Speaker 4>Plan and of other experts that this was racially motivated.

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<v Speaker 4>So one of the big issues before the court is

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<v Speaker 4>what difference the district court finding was supposed to gets. Normally,

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<v Speaker 4>the standard that applies to something called clearly erroneous, which

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<v Speaker 4>means the district court gets a lot of difference. But

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<v Speaker 4>you saw some of the more conservative justices pushing back

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<v Speaker 4>on that here, saying that given the fact that the

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<v Speaker 4>district Court doesn't appear to have given trusted in the

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<v Speaker 4>good faith of the legislature, and given some of the

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<v Speaker 4>other challenges to the evidence in front of the district Court,

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<v Speaker 4>maybe the district Court doesn't get the kind of difference

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<v Speaker 4>that the clearly erroneous standard normally would give them.

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<v Speaker 2>Okay, so let's take those That's a lot of issues,

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<v Speaker 2>one one by one. So the three judge federal panel

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<v Speaker 2>referred to the revised map as effective bleaching of African

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<v Speaker 2>American voters out of the Charleston County portion of the

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<v Speaker 2>district and they came to that conclusion after an extensive

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<v Speaker 2>eight day trial featuring forty two witnesses and six hundred

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<v Speaker 2>and fifty two exhibits. So doesn't the court usually defer

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<v Speaker 2>to the factual findings of lower court judges?

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<v Speaker 4>Yes, I mean, indeed, that is the standard they're supposed

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<v Speaker 4>to apply, with col the clearly erroneous standard, not just

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<v Speaker 4>with the district court right on balance, but as long

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<v Speaker 4>as the district court did was plausible, long as they

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<v Speaker 4>didn't do something which was clearly wrong as opposed to

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<v Speaker 4>debatably wrong, they're supposed to defer. And you definitely heard

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<v Speaker 4>the liberal justices emphasizing the importance of adhering to the

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<v Speaker 4>clearly erroneous standard that there was evidence to support with

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<v Speaker 4>the district court found, and indeed the United States came

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<v Speaker 4>in the United States had not been a party to

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<v Speaker 4>the case originally, but this listener General's Office came if

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<v Speaker 4>the United States had actually emphasized the importance of following

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<v Speaker 4>the clearly erroneous standard.

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<v Speaker 2>Chief Justice John Roberts said that the challengers of the

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<v Speaker 2>map had no direct evidence that race had predominated in

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<v Speaker 2>the decision making process, just circumstantial evidence. This would be

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<v Speaker 2>breaking new ground in our voting rights jurisprudence. Is that true?

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<v Speaker 2>I mean, isn't circumstantial evidence enough?

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<v Speaker 4>Right? They've often found circums relied on circumstantial evidence. But

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<v Speaker 4>his full statement was there were there's no direct evidence.

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<v Speaker 4>He also said it was not an oddly shaped district,

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<v Speaker 4>and the number of the early other cases in which

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<v Speaker 4>the Court has found racial gerrymandering, the district was oddly shaped.

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<v Speaker 4>On this one, there was a big change in the district.

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<v Speaker 4>People were moved around a lot, but the district itself

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<v Speaker 4>didn't flunk any kind of test of odd shape, which

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<v Speaker 4>is somethings the Court has sometimes used. And the other

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<v Speaker 4>issue that came up before the court was the fact

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<v Speaker 4>that the plaintiffs had not presented an alternative map. Basically,

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<v Speaker 4>the question was could the state have gotten its partisan

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<v Speaker 4>goals without moving as many black voters around? And the

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<v Speaker 4>question came up, should the plaintiffs have been required to

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<v Speaker 4>present an alternative map showing that the state could have

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<v Speaker 4>made the district just as republican without moving as many

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<v Speaker 4>black voters. And there was a debate in the court

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<v Speaker 4>as to whether the plaintiffs had to do that, and

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<v Speaker 4>the president is that they don't have to. Indeed, Justice

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<v Speaker 4>Kagan was quite strong on that, because she'd actually written

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<v Speaker 4>the case that said that, a case called Cooper about

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<v Speaker 4>five years ago. But nonetheless, the other justices sort of

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<v Speaker 4>came back and said, well, maybe you didn't have to,

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<v Speaker 4>but why didn't you Why wouldn't that have helped your

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<v Speaker 4>case if you could have shown that they could obtained

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<v Speaker 4>their partisan goals without using race quite as much. I mean,

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<v Speaker 4>it really went into the question this difficulty of separating

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<v Speaker 4>out race and party an effect the conservative justices were

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<v Speaker 4>sort of creating it, even though the prior case Cooper

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<v Speaker 4>had said there's no such requirement. You saw some of

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<v Speaker 4>them basically kind of suggesting that either that there is,

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<v Speaker 4>or that there should be, or that it's a problem

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<v Speaker 4>when there isn't.

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<v Speaker 2>Justice Kagan argued that the map makers wouldn't just have

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<v Speaker 2>relied on the twenty twenty election results. She said this

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<v Speaker 2>to the lawyer arguing for South Carolina. Your defense was

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<v Speaker 2>we didn't look at the racial data for this purpose,

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<v Speaker 2>and what the lower court said was I don't believe that.

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<v Speaker 2>And she also said they had not only the opportunity,

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<v Speaker 2>it was sit they're on their computers, but the clear

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<v Speaker 2>incentive to be looking at this race data. So explain

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<v Speaker 2>what you was getting at there and did you find

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<v Speaker 2>it persuasive.

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<v Speaker 4>So the couple questions here are one is why would

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<v Speaker 4>they Why would the state bother using race when they

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<v Speaker 4>could just use party? And if their goal was to

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<v Speaker 4>make the district more Republican, why not just use the

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<v Speaker 4>party voting? Why use race as approxy when you actually

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<v Speaker 4>have the party data. One response to that is, actually,

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<v Speaker 4>they had much more information on race than on party.

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<v Speaker 4>They only had because of the way in which votes

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<v Speaker 4>were counted in South Carolina. They only had one election

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<v Speaker 4>in which they had good party data, and that was

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<v Speaker 4>the twenty twenty presidential election, and the least the argument

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<v Speaker 4>was that wasn't a good predictor because there had been

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<v Speaker 4>more kind of a white crossover voting for Biden over

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<v Speaker 4>Trump in that election. So the plaintiffs argued, and Justice

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<v Speaker 4>Kagan suggested she agreed that in this case, actually the

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<v Speaker 4>state used the race data because race data was more reliable,

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<v Speaker 4>better predicted value than the more limited party data. The

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<v Speaker 4>next question was, well, again this goes to Justice roberts

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<v Speaker 4>point about there's no direct evidence, nobody got up in

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<v Speaker 4>the state legislature and said, let's move the black voters.

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<v Speaker 4>Her point was that it was on their computers, that

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<v Speaker 4>was in their data, was in their face, and they

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<v Speaker 4>couldn't have been unaware of it. And indeed, at one

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<v Speaker 4>point in the trial, the lead witness for South Carolina,

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<v Speaker 4>the principal map maker, basically said, well, we weren't doing

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<v Speaker 4>this for race, but yes, of course we were aware

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<v Speaker 4>of the racial data. And this is where the lower

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<v Speaker 4>court basically concluded they really didn't believe him on that.

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<v Speaker 4>They said that given the omnipresence of the race data

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<v Speaker 4>as they were joining the maps, that they simply didn't

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<v Speaker 4>believe his statement that the state was not rowing on

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<v Speaker 4>the race data when it drew the maps.

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<v Speaker 2>Coming up next, we'll take a look at how the

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<v Speaker 2>court might rule.

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<v Speaker 3>This is Bloomberg.

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<v Speaker 2>I've been talking to Columbia Law School professor Richard Brefalt

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<v Speaker 2>about Supreme Court arguments this week over whether it will

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<v Speaker 2>reinstate a Republican drawn congressional map in South Carolina after

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<v Speaker 2>a lower court concluded that Republican lawmakers engaged in unconstitutional

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<v Speaker 2>racial gerrymandering in drawing what is now a Republican held district.

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<v Speaker 2>Justice Samuel Alito was the most aggressive questioner of the

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<v Speaker 2>validity of the lower court's decision. He posed nearly forty

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<v Speaker 2>questions to the NAACP's attorney. What was the thrust of

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<v Speaker 2>his questions or problems?

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<v Speaker 4>I think he basically said that this is politics and

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<v Speaker 4>that the burden was heavy on the plaintiffs to show

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<v Speaker 4>that it wasn't politics and that it was race. Much

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<v Speaker 4>of this went into some of the details about what

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<v Speaker 4>some of the experts testify to or their failure to

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<v Speaker 4>address every point that the state raised. Some of the

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<v Speaker 4>experts testify to whether or not the district complied with

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<v Speaker 4>traditional districting criteria, but not whether or not it was

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<v Speaker 4>Others focused on whether it was partisan or racial, but

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<v Speaker 4>not in the district criteria. So he felt that the

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<v Speaker 4>expert testimony was inadequate to support the trial court's find

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<v Speaker 4>He repeatedly raised the question about the alternative map, even

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<v Speaker 4>as he acknowledged that an alternative map was not required.

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<v Speaker 4>He sort of found that the absence of an alternative

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<v Speaker 4>map undermined the plaintiff's case, and again he basically said

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<v Speaker 4>that in some sense suggests that there was a heavier

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<v Speaker 4>burden on the District Court to prove that it was

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<v Speaker 4>race and not party, given the way that the two

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<v Speaker 4>were so tightly intertwined.

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<v Speaker 2>Justice Katanji Brown Jackson kept stressing that the court relies

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<v Speaker 2>on the factual findings of lower courts, and she said

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<v Speaker 2>it would be a dramatic shift to precedent if they

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<v Speaker 2>overturned the trial court's findings. Is that true or if

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<v Speaker 2>they find clear error, which Justice Clarence Thomas brought up

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<v Speaker 2>right at the beginning, would it not be violative of precedent?

0:12:51.679 --> 0:12:54.320
<v Speaker 4>Well, if they found clear error, it wouldn't be because

0:12:54.360 --> 0:12:57.600
<v Speaker 4>the standard is clearly ironing. Is the district Court's findings

0:12:57.600 --> 0:13:01.760
<v Speaker 4>are not immune from review to be clear error, as

0:13:01.800 --> 0:13:04.760
<v Speaker 4>opposed to whether or not it was debatable in some sense.

0:13:04.800 --> 0:13:07.600
<v Speaker 4>The US government, as I said, they came in on

0:13:07.679 --> 0:13:10.400
<v Speaker 4>the side of the plaintiffs, on the side of the NAACP,

0:13:10.480 --> 0:13:13.280
<v Speaker 4>and said, in effect, we think that the three judge

0:13:13.280 --> 0:13:16.320
<v Speaker 4>court could have gone either way. There was evidence to

0:13:16.360 --> 0:13:19.199
<v Speaker 4>support either position, but the position that the District Court

0:13:19.280 --> 0:13:22.640
<v Speaker 4>found was reasonable given the evidence they had, and so

0:13:22.760 --> 0:13:25.480
<v Speaker 4>that's why you should defer to them. I mean, one

0:13:25.559 --> 0:13:28.640
<v Speaker 4>question that Justice Barrett raised to just maybe whether the

0:13:28.679 --> 0:13:32.200
<v Speaker 4>standard should be higher in a case involving a state legislature.

0:13:32.559 --> 0:13:36.360
<v Speaker 4>Maybe there should be more burden on the district court

0:13:36.400 --> 0:13:39.040
<v Speaker 4>to show that the legislature wasn't acting in good faith.

0:13:39.520 --> 0:13:42.200
<v Speaker 4>There's a kind of presumption that legislators state legislatures act

0:13:42.200 --> 0:13:44.280
<v Speaker 4>in good faith, so maybe there should be a higher

0:13:44.640 --> 0:13:47.679
<v Speaker 4>legal burden on the district court. And you're right. Justice

0:13:47.800 --> 0:13:51.760
<v Speaker 4>Jackson was very heavy on it, sort of sticking to

0:13:51.800 --> 0:13:55.280
<v Speaker 4>the traditional role of the district court in finding the

0:13:55.320 --> 0:13:57.199
<v Speaker 4>facts and the duty of appellate court so that the

0:13:57.240 --> 0:13:59.559
<v Speaker 4>first year had been at district court judge. It was

0:13:59.640 --> 0:14:02.559
<v Speaker 4>kind of a civil procedure argument as much as anything else,

0:14:03.240 --> 0:14:05.480
<v Speaker 4>that the traditional role of the court is to see

0:14:05.480 --> 0:14:08.520
<v Speaker 4>whether the lower court applied the law properly, but to

0:14:08.559 --> 0:14:11.840
<v Speaker 4>defer to their factual finding. The liberals were the strongest

0:14:11.840 --> 0:14:16.320
<v Speaker 4>on this about the importance of following this traditional judicial

0:14:16.559 --> 0:14:20.120
<v Speaker 4>role of deferring to lower courts on their factual findings.

0:14:20.560 --> 0:14:25.600
<v Speaker 2>Most legal commentators concluded after hearing the arguments that the

0:14:25.600 --> 0:14:30.200
<v Speaker 2>conservative majority is going to uphold the Republican drawn map.

0:14:30.440 --> 0:14:31.280
<v Speaker 2>Do you agree with that?

0:14:31.640 --> 0:14:34.120
<v Speaker 4>There were certainly a lot of negative questioning, even from

0:14:34.160 --> 0:14:38.160
<v Speaker 4>some of the so called more moderate conservative justices. Remember

0:14:38.520 --> 0:14:41.920
<v Speaker 4>the most recent case involving race and voting, Allen versus

0:14:41.960 --> 0:14:45.280
<v Speaker 4>Milligan went off five to four, with two of the conservatives,

0:14:45.520 --> 0:14:49.480
<v Speaker 4>Roberts and Kavanaugh, joining the liberals. Roberts was clearly pretty

0:14:49.520 --> 0:14:52.720
<v Speaker 4>skeptical about the lower courts finding in this case. He

0:14:52.840 --> 0:14:55.920
<v Speaker 4>seemed less likely. Kavanaugh's questions were a little bit harder

0:14:55.920 --> 0:14:57.960
<v Speaker 4>to read. I mean, some of it was again about

0:14:57.960 --> 0:15:00.440
<v Speaker 4>the evidence, but some of it also seemed to be

0:15:00.520 --> 0:15:03.200
<v Speaker 4>indicated he was thinking about, what's the burden on the

0:15:03.240 --> 0:15:06.040
<v Speaker 4>defendants in this case? Who are the appellants to show

0:15:06.040 --> 0:15:08.920
<v Speaker 4>that the district court was clearly wrong? I think it

0:15:09.040 --> 0:15:12.520
<v Speaker 4>was only a tough argument for the NAACP defending the

0:15:12.560 --> 0:15:14.760
<v Speaker 4>lower court's finding. I think if they have any chance,

0:15:14.800 --> 0:15:16.680
<v Speaker 4>it's going to be to the extent that the Court

0:15:16.680 --> 0:15:20.920
<v Speaker 4>decides to rally around the idea that unless it's clearly erroneous,

0:15:21.200 --> 0:15:23.680
<v Speaker 4>there should be difference in lower courts finding. On the

0:15:23.720 --> 0:15:26.960
<v Speaker 4>other hand, this is the court's first sort of race

0:15:27.040 --> 0:15:31.120
<v Speaker 4>party intertwined case since Rucho four years ago, when the

0:15:31.160 --> 0:15:35.640
<v Speaker 4>Court said that partisan gerrymandering is not on conceiutional, it's

0:15:35.680 --> 0:15:38.480
<v Speaker 4>non justiciable so it's the first time that they will

0:15:38.520 --> 0:15:41.880
<v Speaker 4>speak to the how do you separate out race and party?

0:15:42.440 --> 0:15:45.520
<v Speaker 4>And one could imagine they may want to shut down

0:15:46.240 --> 0:15:49.520
<v Speaker 4>the idea that you could get around Rucho by reframing

0:15:49.560 --> 0:15:52.320
<v Speaker 4>things around race. Now, the Court in the past has said,

0:15:52.440 --> 0:15:55.760
<v Speaker 4>even if there's a partisan factor, that the state can't

0:15:55.840 --> 0:15:58.240
<v Speaker 4>use the race as approxy for party when it draws

0:15:58.320 --> 0:16:01.440
<v Speaker 4>lines to favor a party. But one could imagine this

0:16:01.480 --> 0:16:04.400
<v Speaker 4>is a case where the Court might want to address

0:16:04.920 --> 0:16:08.280
<v Speaker 4>the how do you disentangle race and party in a

0:16:08.320 --> 0:16:12.680
<v Speaker 4>world in which racial jerry mannering is unconstitutional but partisan

0:16:12.760 --> 0:16:13.720
<v Speaker 4>jerry mannering is not.

0:16:14.800 --> 0:16:19.000
<v Speaker 2>Explain why this case is different from the case you

0:16:19.080 --> 0:16:23.920
<v Speaker 2>referred to, the Alabama case, where it was surprising that

0:16:24.280 --> 0:16:28.280
<v Speaker 2>the Chief and Justice Kavanaugh sided with the liberals there.

0:16:28.640 --> 0:16:30.800
<v Speaker 4>That case was really about whether or not the Alabama

0:16:30.960 --> 0:16:33.600
<v Speaker 4>violated the Voting Rights Act. This one is whether or

0:16:33.640 --> 0:16:37.560
<v Speaker 4>not South Carolina violated the Constitution. Although the result in

0:16:37.560 --> 0:16:41.000
<v Speaker 4>Alabama will have a partisan consequence, there wasn't an argument

0:16:41.080 --> 0:16:44.320
<v Speaker 4>that the state was doing it to help the Republicans.

0:16:44.440 --> 0:16:46.120
<v Speaker 4>It wasn't really an argument about the intent of the

0:16:46.160 --> 0:16:49.080
<v Speaker 4>state at all. That case, under the Voting Rights Act.

0:16:49.240 --> 0:16:52.480
<v Speaker 4>The plaintiffs can win if they show disparate impact, if

0:16:52.520 --> 0:16:56.000
<v Speaker 4>they show that the state drew lines in a way

0:16:56.480 --> 0:17:00.240
<v Speaker 4>that had the effect of minimizing minority voting power. I mean,

0:17:00.240 --> 0:17:02.960
<v Speaker 4>the thing is, in South Carolina, the district that was changed,

0:17:03.000 --> 0:17:06.400
<v Speaker 4>District one, was not going to be a majority minority district.

0:17:06.520 --> 0:17:09.360
<v Speaker 4>It was going to be a white majority district either way,

0:17:09.680 --> 0:17:12.760
<v Speaker 4>although for the larger black share of the voting population

0:17:13.160 --> 0:17:15.640
<v Speaker 4>it might have been a democratic district, probably a white

0:17:15.640 --> 0:17:18.480
<v Speaker 4>Democratic district. And that's sort of one of the differences

0:17:18.520 --> 0:17:22.600
<v Speaker 4>here is that the court is somewhat sensitive to state

0:17:22.640 --> 0:17:26.440
<v Speaker 4>actions that dilute minority voting power, but they don't care

0:17:26.600 --> 0:17:29.199
<v Speaker 4>about state actions that chap on one party over another.

0:17:29.359 --> 0:17:32.880
<v Speaker 4>And so the Alabama case was argued entirely around minority

0:17:32.960 --> 0:17:35.520
<v Speaker 4>voting rights, although it turns out if you increase minority

0:17:35.600 --> 0:17:38.240
<v Speaker 4>voting power in that state you were likely to get

0:17:38.400 --> 0:17:40.879
<v Speaker 4>it was all I could have a partisan consequence here.

0:17:41.200 --> 0:17:43.719
<v Speaker 4>Wasn't really a claim the minority votes were being diluted,

0:17:44.280 --> 0:17:47.080
<v Speaker 4>just that voters were being moved around from one district

0:17:47.080 --> 0:17:50.560
<v Speaker 4>to another. And so the case was broad as a

0:17:50.600 --> 0:17:55.280
<v Speaker 4>case about intentional racial discrimination. But there was no claim

0:17:55.359 --> 0:17:57.800
<v Speaker 4>that if the voters had all been just left alone,

0:17:58.440 --> 0:18:01.760
<v Speaker 4>that district one would have been black majority district. It

0:18:01.760 --> 0:18:03.879
<v Speaker 4>would have been a white majority district, although one that

0:18:03.960 --> 0:18:05.760
<v Speaker 4>might have tilted more democratic.

0:18:06.640 --> 0:18:09.880
<v Speaker 2>This case is the third time in two years that

0:18:10.080 --> 0:18:14.040
<v Speaker 2>the Court has heard arguments about state's congressional lines, and

0:18:14.160 --> 0:18:17.000
<v Speaker 2>two other cases are advancing in the lower courts in

0:18:17.040 --> 0:18:20.880
<v Speaker 2>Georgia and Louisiana that challenge maps under the Voting Rights Act.

0:18:21.119 --> 0:18:24.080
<v Speaker 2>Is it that the Court's precedent is not clear or

0:18:24.200 --> 0:18:26.720
<v Speaker 2>are these kinds of cases always challenged?

0:18:27.119 --> 0:18:29.960
<v Speaker 4>Well, I think anything evolving redistricting is going to be challenged.

0:18:30.359 --> 0:18:32.320
<v Speaker 4>This case is different from the old ones. The other

0:18:32.359 --> 0:18:35.520
<v Speaker 4>two cases, the one you mentioned our Voting Rights Act

0:18:35.600 --> 0:18:38.480
<v Speaker 4>challenges where the plaintiffs are arguing that the way the

0:18:38.560 --> 0:18:42.679
<v Speaker 4>lines are drawn reduces the ability of black voters to

0:18:42.760 --> 0:18:46.360
<v Speaker 4>elect the candidates of their choice in districts which might

0:18:46.440 --> 0:18:52.199
<v Speaker 4>generate more minority representation. Louisiana clearly so. And this one again,

0:18:52.600 --> 0:18:54.640
<v Speaker 4>there wasn't a claim that you would have created another

0:18:54.680 --> 0:18:58.280
<v Speaker 4>black majority district. Interestingly, the Court has tend to look

0:18:58.320 --> 0:19:00.439
<v Speaker 4>at these things as to whether the going to be

0:19:00.440 --> 0:19:02.920
<v Speaker 4>a sort of a majority minority or district where minority

0:19:02.960 --> 0:19:06.119
<v Speaker 4>voters are likely to prevail at least have the opportunity prevail.

0:19:06.240 --> 0:19:09.679
<v Speaker 4>They've been less sympathetic to arguments about, well, maybe minority

0:19:09.720 --> 0:19:12.560
<v Speaker 4>voters must be more influential if they're a bigger share,

0:19:12.640 --> 0:19:15.160
<v Speaker 4>but not nearly a majority, and so they haven't bought

0:19:15.160 --> 0:19:19.600
<v Speaker 4>that argument. And so the voting rights arguments are always

0:19:20.080 --> 0:19:24.400
<v Speaker 4>difficult because the plaintiffs have to show that there could

0:19:24.440 --> 0:19:28.919
<v Speaker 4>have been another minority district, that there is racially polarized voting,

0:19:29.440 --> 0:19:33.000
<v Speaker 4>and that under the totality of the circumstances, the setup

0:19:33.040 --> 0:19:36.000
<v Speaker 4>is unfaired minority voters, and that's a tough standard to meet.

0:19:36.320 --> 0:19:38.320
<v Speaker 4>And many people thought that the court just didn't seem

0:19:38.359 --> 0:19:41.880
<v Speaker 4>that interested. The Allen case kind of maybe not revived

0:19:41.920 --> 0:19:45.119
<v Speaker 4>that standard, but confirm that that is still the standard.

0:19:45.520 --> 0:19:47.800
<v Speaker 4>And so I think it's what's given to wind at

0:19:47.800 --> 0:19:51.000
<v Speaker 4>the backs of the people bringing the challenges. Nonetheless, there's

0:19:51.040 --> 0:19:53.879
<v Speaker 4>a slow slog through the courts, even if the district

0:19:53.920 --> 0:19:57.240
<v Speaker 4>courts are favorable. What's happening in Louisiana is the appellate court,

0:19:57.280 --> 0:20:00.280
<v Speaker 4>the Fifth Circuit, is slowing everything down. So so it's

0:20:00.320 --> 0:20:02.679
<v Speaker 4>not clear we're going to get any decisive changes in

0:20:02.680 --> 0:20:04.800
<v Speaker 4>those two states before the twenty four election.

0:20:05.119 --> 0:20:07.600
<v Speaker 2>Lately, it always seems to be the fifth circuit that's

0:20:07.600 --> 0:20:10.520
<v Speaker 2>a hang up. Thanks so much, rich that's Professor Richard

0:20:10.520 --> 0:20:14.200
<v Speaker 2>Brafalt of Columbia Law School. Coming up next, we'll talk

0:20:14.240 --> 0:20:17.919
<v Speaker 2>about the star witness in Sam Bankman Freed's trial, his

0:20:18.040 --> 0:20:21.440
<v Speaker 2>former girlfriend. I'm June Grossow and you're listening to Bloomberg.

0:20:21.880 --> 0:20:25.600
<v Speaker 2>Prosecutors have built their case against Sam Bankman Freed by

0:20:25.680 --> 0:20:29.520
<v Speaker 2>tapping into his inner circle and reaching cooperation deals with

0:20:29.640 --> 0:20:33.639
<v Speaker 2>some of his closest confidants. And this week, the government's

0:20:33.680 --> 0:20:38.960
<v Speaker 2>star witness, Caroline Ellison, the former CEO of Alameda Research,

0:20:39.320 --> 0:20:43.719
<v Speaker 2>testified against her former boss and boyfriend. From her first

0:20:43.760 --> 0:20:47.200
<v Speaker 2>minutes on the witness stand, Ellison pointed to Bankman Freed

0:20:47.320 --> 0:20:50.480
<v Speaker 2>as the man responsible for the loss of billions in

0:20:50.520 --> 0:20:54.920
<v Speaker 2>customer funds and the collapse of the cryptocurrency platform FTX.

0:20:55.359 --> 0:20:59.359
<v Speaker 2>My guest is former federal prosecutor Jordan Estez, a partner

0:20:59.359 --> 0:21:03.439
<v Speaker 2>at Kramer Leans. It seems like the government here has

0:21:03.520 --> 0:21:08.080
<v Speaker 2>an overwhelming amount of evidence against Bankman Freed. Witnesses who

0:21:08.119 --> 0:21:11.160
<v Speaker 2>were in on the alleged fraud code that was altered

0:21:11.280 --> 0:21:16.200
<v Speaker 2>balance sheets, texts, internal documents. As a defense attorney, how

0:21:16.240 --> 0:21:18.760
<v Speaker 2>do you defend against that kind of a case.

0:21:19.560 --> 0:21:24.080
<v Speaker 5>It's certainly very challenging in these circumstances. The one thing

0:21:24.160 --> 0:21:28.080
<v Speaker 5>I think the defense is doing, and they're trying to do,

0:21:28.480 --> 0:21:33.080
<v Speaker 5>is create a record that this was actually legitimate business.

0:21:33.240 --> 0:21:36.399
<v Speaker 5>Nobody thought they were doing anything wrong, So they're going

0:21:36.480 --> 0:21:39.000
<v Speaker 5>to try to do that through the cross examination of

0:21:39.040 --> 0:21:41.359
<v Speaker 5>the witnesses of the company. I do think it's a

0:21:41.400 --> 0:21:45.520
<v Speaker 5>real challenge in a case where witnesses like Caroline Ellison

0:21:45.680 --> 0:21:50.720
<v Speaker 5>seem to have fully embraced that the conduct was wrongful.

0:21:50.800 --> 0:21:53.840
<v Speaker 5>So if you have a witness like that, they're really

0:21:53.880 --> 0:21:57.680
<v Speaker 5>going to have to attack her credibility through cross examination.

0:21:58.280 --> 0:22:00.880
<v Speaker 5>And there seemed to be some angles for given her

0:22:00.880 --> 0:22:04.240
<v Speaker 5>prior relationship with the defendant. You know, perhaps they have

0:22:04.359 --> 0:22:07.560
<v Speaker 5>some documents up their sleeve that nobody knows about. That

0:22:07.720 --> 0:22:09.920
<v Speaker 5>is a benefit of being a defense attorney is that

0:22:10.280 --> 0:22:12.639
<v Speaker 5>you can hold some things back that can be surprising

0:22:12.720 --> 0:22:15.960
<v Speaker 5>during cross examination. But I do think from my read

0:22:16.000 --> 0:22:20.200
<v Speaker 5>of her testimony it was very overwhelming. It's in very

0:22:20.240 --> 0:22:23.000
<v Speaker 5>dramatic and compelling, So they're going to have to do

0:22:23.040 --> 0:22:26.120
<v Speaker 5>a lot of work in discrediting her, which will be hard.

0:22:26.400 --> 0:22:29.520
<v Speaker 2>I mean, she is the state star witness. How much

0:22:29.560 --> 0:22:31.240
<v Speaker 2>depends on the jury believing her.

0:22:31.920 --> 0:22:35.240
<v Speaker 5>So I think in a cooperator case, the government really

0:22:35.240 --> 0:22:39.000
<v Speaker 5>does need the jury to believe the cooperators. They need

0:22:39.080 --> 0:22:43.320
<v Speaker 5>them to believe not necessarily every cooperator, but at least

0:22:43.520 --> 0:22:46.359
<v Speaker 5>one of the principal wands, like Caroline Ellison. They're certainly

0:22:46.359 --> 0:22:49.080
<v Speaker 5>going to have to believe her. But you can imagine

0:22:49.080 --> 0:22:52.880
<v Speaker 5>the government has documents lined up that support her testimony.

0:22:53.080 --> 0:22:56.720
<v Speaker 5>I have not seen the full trial transcript, but often

0:22:56.840 --> 0:23:01.119
<v Speaker 5>as the cooperator testifies, you then introduce exhibits that confirm

0:23:01.240 --> 0:23:05.720
<v Speaker 5>what the cooperating witness is saying, or perhaps another witness

0:23:05.760 --> 0:23:10.320
<v Speaker 5>from FTX who testifies later may say something that's consistent

0:23:10.960 --> 0:23:13.560
<v Speaker 5>with Caroline Ellison's testimony. So there are a number of

0:23:13.600 --> 0:23:16.880
<v Speaker 5>ways to try to get the jury to believe the witness,

0:23:16.920 --> 0:23:19.639
<v Speaker 5>but that is ultimately it's very critical to the case.

0:23:20.560 --> 0:23:24.359
<v Speaker 2>The first four witnesses, one is his former girlfriend, another

0:23:24.440 --> 0:23:28.479
<v Speaker 2>is one of his oldest friends, another an mit friend.

0:23:28.880 --> 0:23:32.400
<v Speaker 2>Does that help or hurt their credibility that they were

0:23:32.440 --> 0:23:35.680
<v Speaker 2>friends who turned on him when things fell apart?

0:23:36.040 --> 0:23:39.280
<v Speaker 5>I think for the government's view is typically that that

0:23:39.440 --> 0:23:42.920
<v Speaker 5>helps their credibility. These were the people who were closest

0:23:42.920 --> 0:23:47.000
<v Speaker 5>to the defendant. They were inside the conspiracy, and they're

0:23:47.000 --> 0:23:50.680
<v Speaker 5>the ones who can tell you every detail of what happened.

0:23:51.000 --> 0:23:54.480
<v Speaker 5>If you have an outsider, it's easier to distance them

0:23:54.840 --> 0:23:57.639
<v Speaker 5>from the defendant and suggest how would they actually know

0:23:57.720 --> 0:24:00.159
<v Speaker 5>what he intended or what was really going on. But

0:24:00.200 --> 0:24:03.480
<v Speaker 5>because they have people that were right on the inside,

0:24:03.600 --> 0:24:06.600
<v Speaker 5>that worked side by side with him, that have admitted

0:24:06.640 --> 0:24:09.960
<v Speaker 5>their guilt, that's really tough for the defense, and I

0:24:10.000 --> 0:24:12.679
<v Speaker 5>think the government probably views that very favorably.

0:24:12.960 --> 0:24:15.919
<v Speaker 2>Do you think there could be an element of looking

0:24:16.000 --> 0:24:20.760
<v Speaker 2>for during nullification in that you have these people who

0:24:20.840 --> 0:24:25.760
<v Speaker 2>were also responsible to his three top lieutenants, and they're

0:24:25.760 --> 0:24:28.440
<v Speaker 2>all getting a deal and hanging it on him.

0:24:29.359 --> 0:24:32.680
<v Speaker 5>Maybe I don't know that that's the way to go.

0:24:32.920 --> 0:24:36.360
<v Speaker 5>I think it's maybe not dury nullification, but I would

0:24:36.440 --> 0:24:39.920
<v Speaker 5>use that to suggest they're lying. They threw him under

0:24:39.920 --> 0:24:43.120
<v Speaker 5>the bus because they knew they were sort of caught

0:24:43.200 --> 0:24:46.080
<v Speaker 5>red handed, and they knew there was only one way

0:24:46.160 --> 0:24:48.520
<v Speaker 5>to save themselves, and that's that the government wanted the

0:24:48.560 --> 0:24:50.280
<v Speaker 5>top guy, and so they had to give him up.

0:24:51.080 --> 0:24:56.439
<v Speaker 2>Was there anything about Caroline Ellison's testimony that struck you.

0:24:57.080 --> 0:25:00.000
<v Speaker 5>So I thought a lot of the anecdotes he provides

0:25:00.400 --> 0:25:03.639
<v Speaker 5>are the kinds of things that really stick out to

0:25:03.760 --> 0:25:06.200
<v Speaker 5>a juror. They may not be direct evidence of fraud,

0:25:06.280 --> 0:25:10.199
<v Speaker 5>but they're dramatic moments, like when she said that he

0:25:10.240 --> 0:25:12.560
<v Speaker 5>said there was a five percent chance that he would

0:25:12.560 --> 0:25:15.760
<v Speaker 5>be president. I'm sure that's something that stands out and

0:25:15.920 --> 0:25:20.119
<v Speaker 5>just I think raises questions about his judgment. But she

0:25:20.200 --> 0:25:23.119
<v Speaker 5>seemed to have a lot of dramatic moments in her testimony.

0:25:23.160 --> 0:25:27.040
<v Speaker 5>I think, in particular, given their relationship, there's this added

0:25:27.119 --> 0:25:30.359
<v Speaker 5>drama on top of what you have in a fraud case.

0:25:30.520 --> 0:25:33.959
<v Speaker 5>So it's very good for the government that when there

0:25:34.040 --> 0:25:37.440
<v Speaker 5>is drama when you have a complicated case, jurors can

0:25:37.440 --> 0:25:40.160
<v Speaker 5>go to sleep if you're talking about code and cryptocurrency

0:25:40.200 --> 0:25:42.000
<v Speaker 5>and things like that. But when you have a witness

0:25:42.080 --> 0:25:45.600
<v Speaker 5>who was in a romantic relationship when there was this

0:25:45.760 --> 0:25:49.720
<v Speaker 5>power dynamic, that's something that certainly captures the jury's attention

0:25:50.800 --> 0:25:55.200
<v Speaker 5>and I think creates this extra element there that her

0:25:55.240 --> 0:26:00.480
<v Speaker 5>boss and her former boyfriend is also asking her to

0:26:00.560 --> 0:26:03.800
<v Speaker 5>commit fraud or committing fraud with her. It's an interesting

0:26:03.840 --> 0:26:06.200
<v Speaker 5>power dynamic that I think will stand out to a jury.

0:26:06.480 --> 0:26:09.600
<v Speaker 2>Yeah. I think also what'll stand out is that she

0:26:09.760 --> 0:26:13.440
<v Speaker 2>talked about things like his concerns with his public image

0:26:13.480 --> 0:26:17.480
<v Speaker 2>and that he thought his long, unkempt hair was valuable

0:26:17.560 --> 0:26:21.000
<v Speaker 2>in contributing to the narrative. And he swapped a luxury

0:26:21.080 --> 0:26:24.080
<v Speaker 2>car for a Toyota Corolla because it was better for

0:26:24.119 --> 0:26:28.400
<v Speaker 2>his public image, So that also paints a picture of him.

0:26:29.080 --> 0:26:29.280
<v Speaker 1>Right.

0:26:29.400 --> 0:26:33.240
<v Speaker 5>There are many things that are they're not directly relevant

0:26:33.320 --> 0:26:37.320
<v Speaker 5>to fraud charges, and maybe in certain courts these may

0:26:37.359 --> 0:26:39.960
<v Speaker 5>not be admissible. There could be sustained objections. There were

0:26:39.960 --> 0:26:44.880
<v Speaker 5>things like his hair, But these are things that give

0:26:44.960 --> 0:26:48.879
<v Speaker 5>the jurors an image of the defendant that's not necessarily favorable.

0:26:48.880 --> 0:26:51.840
<v Speaker 5>So you can certainly see why the government would want

0:26:51.880 --> 0:26:55.320
<v Speaker 5>to elicit them, and why why the defense might I'm

0:26:55.359 --> 0:26:57.320
<v Speaker 5>not sure if they objected here, but why they might

0:26:57.359 --> 0:26:59.160
<v Speaker 5>want to object to topics like that.

0:27:00.160 --> 0:27:04.080
<v Speaker 2>Just like FTX co founder Gary Wang, who testified before her,

0:27:04.520 --> 0:27:08.960
<v Speaker 2>Ellison was adamant that bankman Freed was the ultimate decision maker.

0:27:09.480 --> 0:27:11.400
<v Speaker 2>Right at the start of her testimony, she said, he

0:27:11.560 --> 0:27:14.760
<v Speaker 2>directed me to commit these crimes at every turn. She

0:27:14.880 --> 0:27:19.600
<v Speaker 2>told jurors it was Bankman Freed calling the shots. Is

0:27:19.640 --> 0:27:24.000
<v Speaker 2>that constant repetition important even though it makes it seem

0:27:24.080 --> 0:27:27.880
<v Speaker 2>like she's not taking responsibility, just pointing at him.

0:27:28.200 --> 0:27:31.480
<v Speaker 5>So I think the prosecutors certainly see that as important,

0:27:31.480 --> 0:27:34.200
<v Speaker 5>and that's something you want the jury to take home.

0:27:34.480 --> 0:27:37.320
<v Speaker 5>And that sort of goes back to this concept in

0:27:37.359 --> 0:27:41.200
<v Speaker 5>the government that you often don't want somebody to cooperate down.

0:27:41.280 --> 0:27:44.800
<v Speaker 5>You always want the cooperator to be a level lower,

0:27:44.840 --> 0:27:47.560
<v Speaker 5>for instance, than the person going to trial. So this

0:27:47.680 --> 0:27:51.119
<v Speaker 5>is something that the government hammer's home. In an array

0:27:51.160 --> 0:27:54.359
<v Speaker 5>of cases, whether it's a drug case or a fraud case,

0:27:54.480 --> 0:27:57.359
<v Speaker 5>they usually have a cooperator who will be talking about

0:27:57.400 --> 0:28:00.720
<v Speaker 5>the person above them and the criminal conspiracy. So it

0:28:01.200 --> 0:28:04.919
<v Speaker 5>is certainly important from the government's perspective now as to

0:28:04.960 --> 0:28:10.680
<v Speaker 5>whether whether it undercuts that she's accepted responsibility. I think

0:28:10.720 --> 0:28:13.320
<v Speaker 5>the defense may argue that, although it is a little

0:28:13.400 --> 0:28:16.679
<v Speaker 5>hard when she has in other instances on the stand

0:28:16.760 --> 0:28:19.320
<v Speaker 5>acknowledged her role in the scheme, and she is of

0:28:19.359 --> 0:28:20.400
<v Speaker 5>course pled guilty.

0:28:21.119 --> 0:28:25.440
<v Speaker 2>The defense landed some small victories so far. In its

0:28:25.600 --> 0:28:29.400
<v Speaker 2>cross examination. She said there were periods of time when

0:28:29.720 --> 0:28:34.159
<v Speaker 2>Bankman Freed wasn't paying attention to Alameda or interacting with

0:28:34.240 --> 0:28:38.720
<v Speaker 2>the firm's executives, and she recalled telling prosecutors that it

0:28:38.800 --> 0:28:43.080
<v Speaker 2>seemed like he might not know that Legacy FTX customers

0:28:43.120 --> 0:28:47.560
<v Speaker 2>continued to wire money to Alameda bank accounts even after

0:28:48.040 --> 0:28:51.320
<v Speaker 2>the exchange got its own account. So the defense is

0:28:51.360 --> 0:28:55.239
<v Speaker 2>poking some holes in the idea that bankman Freed was

0:28:55.640 --> 0:28:59.040
<v Speaker 2>always calling the shots at Alameda. But how many holes

0:28:59.080 --> 0:29:02.240
<v Speaker 2>would they need to negate her testimony?

0:29:02.640 --> 0:29:04.800
<v Speaker 5>I think they are going to need a lot. But

0:29:05.000 --> 0:29:09.440
<v Speaker 5>one thing defense attorneys do is through the cross examination

0:29:09.560 --> 0:29:13.120
<v Speaker 5>of many witnesses, you try to establish these small, good

0:29:13.200 --> 0:29:17.880
<v Speaker 5>facts for your client, and then ultimately in summation at

0:29:17.880 --> 0:29:21.280
<v Speaker 5>the very end, you pull them together and sometimes you

0:29:21.320 --> 0:29:23.160
<v Speaker 5>can pull them together in a way in a closing

0:29:23.200 --> 0:29:27.040
<v Speaker 5>statement that is unexpected. Those little victories, as you say,

0:29:27.160 --> 0:29:30.680
<v Speaker 5>could be setting up their arguments and closing. So it's

0:29:30.720 --> 0:29:32.200
<v Speaker 5>important that they're getting them.

0:29:32.440 --> 0:29:37.080
<v Speaker 2>And so as prosecutors almost always do. They brought out

0:29:37.080 --> 0:29:41.280
<v Speaker 2>her cooperation agreement on direct but they said she faces

0:29:41.280 --> 0:29:44.040
<v Speaker 2>a maximum prison sentence of one hundred and ten years.

0:29:44.680 --> 0:29:47.800
<v Speaker 2>Is that disingenuous? I mean, no one's getting one hundred

0:29:47.840 --> 0:29:49.880
<v Speaker 2>and ten years here, Even Sam bankman freed.

0:29:50.320 --> 0:29:53.440
<v Speaker 5>It is contained in the cooperation agreement that the statutory

0:29:53.520 --> 0:29:56.760
<v Speaker 5>maximum sentence is in there, so that's why they tend

0:29:56.760 --> 0:29:59.920
<v Speaker 5>to elicit it. I mean, in practice, most cooperating when

0:30:00.280 --> 0:30:03.960
<v Speaker 5>is especially in fraud cases, do get time served. So

0:30:04.520 --> 0:30:08.560
<v Speaker 5>here it's very likely she could get no time at all.

0:30:08.600 --> 0:30:10.920
<v Speaker 5>But it is something that's ultimately up to a judge,

0:30:10.960 --> 0:30:14.680
<v Speaker 5>so a prosecutor cannot promise it, and even if they're

0:30:14.680 --> 0:30:17.240
<v Speaker 5>hoping to get that, it is hard to tell until

0:30:17.280 --> 0:30:19.400
<v Speaker 5>sentencing comes whether that will actually happen.

0:30:20.320 --> 0:30:26.240
<v Speaker 2>The prosecutors, in opening statements contended that Sam magmun Fried

0:30:26.600 --> 0:30:32.360
<v Speaker 2>orchestrated this fraud, engaged his top lieutenants in this conspiracy

0:30:32.720 --> 0:30:36.160
<v Speaker 2>to lie about their crimes, that he was this criminal mastermind.

0:30:36.640 --> 0:30:40.200
<v Speaker 2>And I'm wondering if that's a bridge too far saying

0:30:40.200 --> 0:30:43.719
<v Speaker 2>that he was the only one responsible when the prosecution

0:30:43.800 --> 0:30:47.400
<v Speaker 2>has given deals to three members of his inner circle.

0:30:48.080 --> 0:30:50.600
<v Speaker 5>There can certainly be arguments that that was a bridge

0:30:50.640 --> 0:30:53.800
<v Speaker 5>too far. They do seem to be painting him, though.

0:30:54.040 --> 0:30:57.280
<v Speaker 5>Is the leader of the scheme, the leader of this company,

0:30:57.440 --> 0:30:59.840
<v Speaker 5>the one that had most of the power. I don't

0:30:59.880 --> 0:31:02.160
<v Speaker 5>know the details of the evidence to the contrary but

0:31:02.200 --> 0:31:04.560
<v Speaker 5>from a lot of what I've read in the press

0:31:04.560 --> 0:31:07.160
<v Speaker 5>and the news, that also seems consistent, So it may

0:31:07.200 --> 0:31:11.400
<v Speaker 5>not be entirely inappropriate for them to do that. If

0:31:11.400 --> 0:31:13.600
<v Speaker 5>he is the one that is the most powerful person

0:31:13.600 --> 0:31:16.440
<v Speaker 5>in the company, it is a little easier to make

0:31:16.480 --> 0:31:19.400
<v Speaker 5>that leap and make that argument. The defense. Of course, though,

0:31:19.440 --> 0:31:22.360
<v Speaker 5>that gives them something to shoot at. When prosecutors do

0:31:23.160 --> 0:31:27.400
<v Speaker 5>say things that maybe overstating the case, that's an easy

0:31:27.440 --> 0:31:29.360
<v Speaker 5>thing to try to knock down insummation.

0:31:29.800 --> 0:31:34.000
<v Speaker 2>I ask everyone about whether they think that sam Begminfried

0:31:34.040 --> 0:31:35.440
<v Speaker 2>will take the stand.

0:31:35.840 --> 0:31:40.600
<v Speaker 5>Great question. My view is that, based on his relationship

0:31:40.600 --> 0:31:42.960
<v Speaker 5>with the press and the media, is that he will

0:31:43.000 --> 0:31:46.320
<v Speaker 5>take the stand. He's the sort of person that wants

0:31:46.400 --> 0:31:49.080
<v Speaker 5>to get his story out there. And I think at

0:31:49.120 --> 0:31:53.400
<v Speaker 5>some point when the prosecution's case appears very strong and

0:31:53.520 --> 0:31:55.880
<v Speaker 5>I haven't been in court, but from what I've read

0:31:56.080 --> 0:32:01.080
<v Speaker 5>it seems strong, than taking the stand is a hail Mary.

0:32:01.440 --> 0:32:03.480
<v Speaker 5>You may not have much to lose at that point.

0:32:04.000 --> 0:32:07.800
<v Speaker 5>It also gives the jurors a real alternative narrative, and

0:32:07.920 --> 0:32:10.400
<v Speaker 5>often when a defendant takes the stand, it becomes a

0:32:10.440 --> 0:32:13.960
<v Speaker 5>credibility question. Do the jurors believe him. If he's convinced

0:32:14.000 --> 0:32:17.280
<v Speaker 5>people before with his companies that they should believe in

0:32:17.320 --> 0:32:20.160
<v Speaker 5>his companies, maybe he believes he can convince the jurors

0:32:20.160 --> 0:32:22.720
<v Speaker 5>here or that he's innocent. It will be very interesting

0:32:22.760 --> 0:32:25.640
<v Speaker 5>to see what the defense is and whether he testifies.

0:32:25.680 --> 0:32:28.000
<v Speaker 5>You know, that's something you don't often get a window

0:32:28.080 --> 0:32:32.040
<v Speaker 5>in before a criminal trial begins. You may not know

0:32:32.280 --> 0:32:34.200
<v Speaker 5>if there are going to be defense witnesses who they

0:32:34.200 --> 0:32:36.479
<v Speaker 5>will be. So I think it'll be really interesting to

0:32:36.520 --> 0:32:39.600
<v Speaker 5>see what the defense case is and how they present

0:32:39.800 --> 0:32:40.920
<v Speaker 5>their narrative.

0:32:41.560 --> 0:32:44.440
<v Speaker 2>And jurors always want to hear from the defendant, even

0:32:44.440 --> 0:32:46.400
<v Speaker 2>though the judge will tell them that they don't have

0:32:46.440 --> 0:32:47.160
<v Speaker 2>to testify.

0:32:47.280 --> 0:32:49.960
<v Speaker 5>I mean I was talking about dramatic moments with Caroline Ellison.

0:32:50.680 --> 0:32:54.640
<v Speaker 5>That would be a hugely dramatic moment where all eyes

0:32:54.680 --> 0:32:57.240
<v Speaker 5>will be on him and they will be on the

0:32:57.400 --> 0:33:00.480
<v Speaker 5>edge of their seeds listening to his testimony. So that's

0:33:00.520 --> 0:33:03.720
<v Speaker 5>an opportunity for the defense to really change the game.

0:33:04.040 --> 0:33:07.240
<v Speaker 2>Thanks for being on the show. At Jordan, that's Jordan Estes,

0:33:07.600 --> 0:33:11.720
<v Speaker 2>a partner at Kramer Levin. And that's it for this

0:33:11.840 --> 0:33:14.560
<v Speaker 2>edition of The Bloomberg Law Show. Remember you can always

0:33:14.600 --> 0:33:17.520
<v Speaker 2>get the latest legal news on our Bloomberg Law Podcast.

0:33:17.800 --> 0:33:20.840
<v Speaker 2>You can find them on Apple Podcasts, Spotify, and at

0:33:21.000 --> 0:33:26.000
<v Speaker 2>www dot bloomberg dot com, slash podcast slash Law, and

0:33:26.080 --> 0:33:29.160
<v Speaker 2>remember to tune into The Bloomberg Law Show every weeknight

0:33:29.240 --> 0:33:32.680
<v Speaker 2>at ten pm Wall Street Time. I'm June Grosso and

0:33:32.760 --> 0:33:34.240
<v Speaker 2>you're listening to Bloomberg