Northstar’s last employee says developer Brian Watson strived ‘to protect investor money’
Emotional Testimony from Developer Brian Watson in SEC Trial
Developer Brian Watson emotionally detailed on Wednesday how accusations of defrauding investors have impacted his real estate firm, Northstar Capital Partners. He accused the U.S. Securities and Exchange Commission of unfairly targeting him.
Watson, 54, took the witness stand and expressed his emotions about the trial, stating, “For six years I have been silent and this is my first trial. So, if I get emotional, it is not phony.”
He defended his firm’s ethics, saying, “I always told people that on a scale of one to 10, with 10 being going to prison because you did something wrong, I don’t want to come in higher than a one or two.”
Watson faces three civil counts of securities fraud in the ongoing jury trial. The SEC alleges that Watson and Northstar Capital Partners defrauded investors in 11 real estate projects by not investing the promised 5% of equity capital in the properties. Watson denies these allegations.
During his testimony, Watson refuted the claims, stating, “They make it sound like it was all a sham, that I’m some kind of shyster. It’s offensive. It breaks my heart to have to be here today.”
Witness testimony from Kristi Fisher, a long-time employee of Northstar, highlighted Watson’s commitment to protecting investor money and ensuring profitability. Fisher described Watson as dedicated to the success of the company and its stakeholders.
Testimony from other former Northstar executives presented conflicting views on Watson’s investment practices. The trial also saw a legal debate over discussing the sophistication of Northstar investors.
Watson shared his life story on the witness stand, recounting his journey from humble beginnings to building Northstar Capital Partners. He expressed shock at the SEC’s lawsuit and lamented the impact it had on his employees and business.
The trial took an emotional turn when Watson remembered a former colleague, Don Marcotte, who passed away. Watson attributed Marcotte’s death to the stress caused by the SEC’s actions.
Despite the challenges, Watson maintains that he cooperated fully with the SEC’s investigation and continues to defend his integrity in the face of the allegations.
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