one large hotel (the Madison Hotel) in New Jersey.       In

August 1981, MHM was awarded a contract to manage another large

hotel, the Allentown Hilton.

     Beginning in the fall of 1981 and into early 1982, Kanter

and Eulich organized Essex Corp. and Essex Partnership.    The

organization of these entities coincided with Prudential’s

decision to award the management contracts for the Gateway Hilton

(fall 1981) and the Midland Hilton (no later than February 1982)

to Connolly (the onsite manager of the Gateway Hilton).    Ballard

and Lisle were instrumental in awarding these contracts to

Connolly, even though they knew that Connolly did not have the

support services (personnel) to manage the hotels on his own.



     113
          Eulich testified in pertinent part:

     Kanter was the person whose influence and contacts that
     we wanted at MHM because of his--again, his involvement
     as one of the founders of Hyatt International, his
     involvement with the Pritzkers, and his involvement,
     significant involvement with this Mullett Bay Resort.

          I mean, the man--he knew a lot of people in the
     hotel business, and he knew people who owned the types
     of properties that we wanted, and we were not able to
     attract, because we