Brockman’s Friend Stays Mum at Hearing Amid Prosecution Risk
Brockman’s Friend Stays Mum at Hearing Amid Prosecution Risk
(Bloomberg) -- A hearing to determine whether Robert Brockman is competent to stand trial on tax-fraud charges took an unusual turn Thursday when a judge said a prominent Houston physician who is close with the billionaire faced a “substantial and real” risk of criminal prosecution if forced to testify.
Stuart Yudofsky, a neuropsychiatrist, was subpoenaed by prosecutors who claim that Brockman, 80, is faking dementia to avoid trial. Yudofsky is an emeritus professor at Baylor College of Medicine, where Brockman’s family trust endowed a $25 million neuropsychiatry program in his honor. Yudofsky’s attorney told the judge that his client would assert his constitutional right against self-incrimination and only testify if granted immunity.
At a closed hearing with attorneys, U.S. District Judge George C. Hanks Jr. reviewed six areas of testimony proposed by the government. In open court, the judge said he would not order Yudofsky to testify because his risk of prosecution was not “trifling” and “imaginary.” The judge didn’t specify why Yudofsky might face prosecution.
Yudofsky’s attorney, Mark J. MacDougall, declined to comment.
Hanks has been hearing testimony for four days on whether Brockman is competent to help his lawyers defend against charges that he evaded taxes on $2 billion in income. Lawyers for Brockman say his dementia has left him unable to aid in his defense.
The Yudofsky drama had built for weeks, after prosecutors said in court papers that he has seen Brockman in “intimate personal settings” like fishing trips, excursions on his yacht and jet, and board meetings and dinners. Yudofsky, who also served as chairman of a scientific advisory board of the Brockman Medical Research Foundation, had indicated in court filings that he would invoke his Fifth Amendment privilege.
In May 2017, Brockman emailed Yudofsky to express concern about his memory loss, which prosecutors have suggested may have been part of a ruse as the billionaire faced criminal investigation, court records show.
After Yudofsky left Thursday’s hearing, prosecutors called a lawyer from the Federal Trade Commission to support their argument that Brockman has exaggerated his cognitive decline for several years. The lawyer, Dana Abrahamsen, recounted his deposition of Brockman in September 2019 as the agency investigated Brockman’s company, Reynolds & Reynolds, a dominant player in the software market for auto dealers.
‘Tremendous Command’
Abrahamsen testified that Brockman “had tremendous command of the technical issues,” as well as the history of the company and its people.
Brockman retired as chief executive officer of Reynolds & Reynolds after his indictment in October 2020.
Hanks also heard testimony from Brockman’s successor as CEO, Tommy Barras, who said he didn’t notice any cognitive decline in his boss before his retirement, adding that they’d discussed important company decisions in mid-2020. Barras, who was hired by Brockman out of high school 45 years ago, said he makes $11 million a year. He sparred with prosecutor Lee Langston, acknowledging that he winked at Brockman from the witness stand.
Langston asked if Barras would “do horrible things” to protect Brockman. Barras said: “Define horrible.” Langston then pointed Barras to a March 2020 email in which he used the expression. Barras said that he was referring to terminating a friend or associate. During the Barras testimony, Brockman appeared to take notes.
©2021 Bloomberg L.P.