Chapter 12

The SEC came in, but I was expecting a team of fifty guys demanding files, and intimidating everyone in the office. It was much more subdued. We all gathered in a conference room, and learned that they planned to record the meeting. I missed John when Steve Milton the new Chief Legal Officer came in. It was boring. Karen had all the trades for our accounts. Many were available as we used the model from the contest. The examiner asked Karen about specific trades.

We were near the end when the examiner asked, "Why on August fourth did you buy puts on ten thousand shares of Wal-Mart?"

She started to look at her notes, and look for the chart for that stock, but just stopped and put down the papers. She looked at the examiner, and said, "This all boils down to the market. We were buying until the S&P 500 index hit two ninety. At that point, we systematically sold off our positions while at the same time we started to buy Put options for what we felt would be a sharp decline in the market. We had so much money that we were buying anything that we could. We bought in other countries because we couldn't find enough here on our exchanges. If you want to discuss the triggers that made us change our direction, it might answer your questions better or it might help us come to a common assumption that might cover all of these at a higher level."

Mr. Wilson the head examiner said, "We aren't on a witch hunt, but need to review what you did to make sure it was all above-board and ethical."

"We have models and computer programs that we use to help us make decisions. Some are short-term; some are long-term. We anticipated the crash, but continued to buy for seven months waiting for the signal to change direction. We continued to buy and hold while anticipating the downturn. My concerns are that you're recording this meeting, and we don't want our millions of dollars in strategy development published or released to the public or our competitors. If we were Kentucky Fried Chicken, I don't want to give you the secret recipe."

"I understand that, but we also need to make sure you didn't manipulate the market."

Karen responded, "I can understand your job, and appreciate what you do but, we have to protect our livelihood. I also had concerns that our investment in the markets demise could be looked upon as an impetus for the downward trend. We didn't dump any positions, but we did sell out of the market in an orderly fashion over a month to six-week period. We bought Put Option contracts. Some firms probably track open options on different positions in the market, but if the market goes up the same could be said about the bull market investors when the market goes up."

"How can we say that your negative pressure wasn't what made the market move?"

"We didn't do anything wrong. There were other factors based on our analysis, the large U.S. trade deficit on October 14, which led Treasury Secretary James Baker to suggest the need for a fall in the dollar on foreign exchange markets. Fears of a lower dollar led foreigners to pull out of dollar-denominated assets, causing a sharp rise in interest rates.

"Long term bond rates jumped, and people wanted to lock into safer investments while the rates were high, I know we did.

"There was also the anti-takeover legislation, which we believe triggered the crash. They note that as the legislation began to move through Congress for the week before the crash, and the market dropped ten percent that week leading up to the crash.

"I think that it was a specific combination of these things that caused the drastic sell off along with computerized trading, and stops or triggers that continued to execute, and trigger further trades until the market bottomed out. We didn't want this to happen, but we predicted it, and were ready for it when it happened. I can predict that there will be a hurricane this year. I don't know the exact time or place, but we can be ready for a hurricane, and take steps so we are not hurt by it."

"As I mentioned earlier, this isn't a witch hunt, and I don't think that you did anything illegal. To help me in this investigation, I'd like to see some of those charts. It is also my understanding that you along with other traders use proprietary models. I think that you have a good research team, and a good grasp of the markets."

Without revealing the formulas, Karen walked Mr. Wilson through the Index charts, and pointed out support and resistance levels. She talked about history, and that the 1929 crash and the 1987 crash both happened in October. She pointed out that we weren't perfect, and didn't sell at the top or buy at the bottom, but had a good idea when we were close to both, and reacted accordingly.

As he was leaving he said, "Karen it was nice meeting you. I don't see anything that I feel was illegal or unethical. Congratulations on winning the contest last year. It's refreshing to see new ideas and strategies become a reality. It's also refreshing to see a woman make such a significant breakthrough in this male dominated profession, and succeed so effectively. I wish you the best of luck, and wish that I had money invested with you. Your computer models and formulas are a sight to behold."

"Thank you Mr. Wilson. If you have other questions we'll be happy to answer them at any time."

"Do you have any stock tips?"

"I just bought more Charles Schwab stock today. If you think that we're changing the stock market, watch out for him."

"I was kidding, but thanks for the tip."

After he'd left, I told Karen what an awesome job she'd done in handling the meeting. She was so excited; I wouldn't be surprised if she ran home for a quickie with Darcy. While I was in the office, I wandered down to my office area. Nicole was at her desk, but both Beth's and my office were empty. I said hello to Nicole, and asked if there was anything else that she needed me for today. She didn't, so I told her that I was heading home.

Lilly was the only one at the house, and she was cleaning. I said, "I think that we need to hire someone to clean this house, and maybe a cook. You do a great job, but you're family. This house is four times the size of the one in New York, and ten times the size of the one in San Francisco."

"I can handle it, but when I travel with you I do fall behind."

"Where's Darcy, across the street again?"

"No she's at the house in town. It's near the university, and she's doing some meetings for her clothing line."

"I am going to play cards, so I won't be here for dinner."

"Win big."

"I'll try."

The Lamborghini was itching for a trip to town. The valets loved to drive it, and it was fun to watch a new guy try to drive the stick shift without stalling or pealing out in the thing. At the last minute, I decided to stop by to see how the interviews were going, saw a few cars parked out front, and Darcy's Mercedes in the driveway. It never dawned on me to knock on the door before entering, so there was a big surprise when I walked in on the UNLV women's soccer team in all different states of undress. As I stood there leering, I covered my eyes to all the shrieks, and headed for the door. Darcy met me outside.

"I'm sorry. I thought you were interviewing guys to figure out the different package sizes."

"We did that yesterday and this morning. By the way, you're an extra-large if you're ever out shopping. We have a few samples that the girls are trying on. They're all telling us that they love the feel and support that the sports bra and underwear gives them."

"You should sponsor the Universities to wear your brand, and make the underwear a little longer than their shorts. They'd have the university colors and your logo sticking out of the bottom. It'd be great advertising and help the schools."

Beth came outside while we were talking and said, "Half of those girls wanted to kill you and the other half wanted your number."

"Tell the upset ones that I am sorry and give the others Darcy's number and she can schedule my flings."

"Don't tempt her. As long as she could watch and maybe get some leftovers the slut would have your schedule booked tighter than when you were on the road. Seriously, though, the girls really like the prototypes. I think this thing has a great chance to become big."

"There are some sports where the under garment and the over garment could end up being the same thing, so you'll need to prepare for that, and look at thicker or more opaque materials."

Darcy asked, "Can you give me an example, so I can picture it?"

"Swimming and gymnastics come to mind, but I could see track and volleyball as options, but basketball could go either way. Maybe we can make up some for our girls' team."

Beth said, "Would it help the girls play better or just help you, and your wet dreams?"

"I was thinking of Johnny and Darcy's dreams, but now that you mention it Mary would look fine."

Darcy asked, "Did you need something from the house or did just you just come by to see the girls?"

"I was going to play cards, and stopped by to make sure you two weren't having an orgy with all the guys on campus. I really just came by to say hi, and get a kiss or two. By the way, Karen kicked ass today in the meeting with the SEC. You'll want to stop what you're doing here, and be home when she gets there."

"She can get very excited, and I get the benefit. Have fun playing cards."

I got a hug and kiss from Darcy before she darted back inside. I pulled Beth in for a hug. I kissed her with a closed mouth kiss. She kissed back briefly, then turned her head, and put it against my chest. She didn't let go of the hug. I whispered, "Just remember that I am here for you, Baby; take your time, but I haven't stopped loving or caring for you. If you need anything, just let me know."

She pulled me a little tighter, then broke the hug, and smacked my butt. "Go play your card game. I hope you win."

"Thanks."

It was a good day for cards, and there was a big oil convention in town. I have never seen so many cowboy hats in the casino. I stayed until three thirty, but made over two hundred and fifty grand. The professional players can make a living playing, but in takes a lot of time at the table. They have to learn how to have patience, and wait for the right hand. They pass winnings back and forth throughout the night with the hope of being up when they leave. The game is their income; if they lose too much or too often then, they won't have the stake they need to go to work the next night.

Businessmen don't have the skill or experience, but have the deep pocket, and a daytime job, which allows them to go big, and bully other players. If I bet a million and lose then, I pull out another million, and try again. A professional player doesn't make enough to do that day in and day out, so the dynamics of the game change. I'm lucky to have the best of both worlds, because I have patience to wait for good cards and the bankroll to push back against the bullies. When these guys come in town, it's like taking candy from a baby.

Just before summer, I got a call from New York. Angus wanted to let me know that Mark had found a girl, and they were coming out for a weekend in Las Vegas.

I said, "Bring April and Brittany with you, and they can stay at my house. I have a house near the strip, and a Suite at Bally's where we guys can stay. Darcy would kill me if April stayed home."

"After looking at our account after what you did in the crash, we can't plead that we don't have enough money. April teases her dad all the time about trying to scare you off the first time you two met. She tells him that we'd be living in their basement if he'd been successful."

"Is Ken doing well?"

"He's doing fine. I'll tell him that you asked about him. We'll be flying in next Thursday evening, and then Fly home Monday some time."

"We can all stay at the house on Thursday, and then have the bachelor party over the weekend. Lilly will love to see her little angel, but I'm not sure if Brittany will even remember her."

"April has pictures, and asks Brittany who people are. She'll recognize you, Darcy and Lilly."

"I'll be waiting for you when your flight arrives. Just call Nicole with the time. Are you flying commercial or charter?"

"We just decided to come out there we don't have flights booked yet."

"I can have a jet fly you out and back. I am part of a club, and pay for flights for the year. I am behind in using them, and I'd rather you use them than I lose them."

"I won't turn you down on an offer like that."

"Just give Nicole some notice when you want to fly, and she'll book the trip."

"Thanks Britt. I'll talk to April. Should we bring Mark's fiancé?"

"That would be fine with me. I'll see what shows are playing, and make reservations, so let me know the final number. Are your other buddies coming?"

"One is busy, the other got married, and his wife won't let him come."

"Ah, the old ball and chain story. Oh well, we'll have fun anyways. I wonder what his wife will think when she finds out that you took your wife and daughter. She'll feel like a stick in the mud."

"See ya Britt."

The next week, I was waiting with the Suburban when the jet landed. They all were looking for their sunglasses as they got off the plane. Brittany was trying to break free to come see me, but April held her back. She finally made it, and I picked her up.

She said, "Beach?"

I said, "No beach, but we have a pool to swim at the house, and we can go down the slide together."

"Slide?"

"You'll see it in a little while. I'm going to set you down now, so I can hug your mommy, OK?"

I handed her to Angus, shook his hand then turned, and took April in my arms. I whispered, "I missed you Baby, you look great. I'm glad you came out to see me."

"If you'd send a jet more often I'll come visit you more often."

"Don't say that or there will be one permanently parked at your airport with pilots waiting, and the engines idling."

"You would. You know Mark, and this is his fiancée Eileen."

I shook Marks hand, and then gave Eileen a hug. She was a little unsure what to do, but April said, "Just ignore him, everyone else does."

We went back to the house, and Darcy gave the tour while Lilly moved the bags into the guest rooms. She then helped Brittany into her swimsuit. They came skipping out, and Lilly took her to see the pool. Her eyes were big when she saw how big it was. I'd changed into my suit, so I scooped her up, and walked into the water to get wet. She was happy, and we splashed a bit. Lilly went to get the camera, and I took Brittany up to the top of the slide. We zoomed down, and Lilly snapped a picture as we came off the end together. Brittany loved it. She was a good swimmer, so I had Lilly take her up to the top to let her go down on her own. I was there to catch her, but let her make the plunge, and swim by herself to me. She was a happy girl. She wanted to go again, I pushed her to Lilly on the side of the pool, and she walked her back to the top of the slide. April came out, and asked where Brittany was.

I shrugged, and we both heard "WEEEEEEEEEE." Brittany shot off the end, and I stood there while she swam to me. I scooped her up, and asked if she was having fun. She nodded big, and wanted to go again. She waived to April, swam to the side, and started toward the top again.

I turned to April, and said; "She'll wear herself out before too long. I'd imagine that she'd be all right by herself on the slide if someone is out here with her. If you're scared, I'll hold you for your first ride down the slide."

"It looks like fun. I think we'll be spending a lot of time by the pool."

"You think? I know you will."

Eileen came out, and said, "This house is fabulous, who needs casinos with this pool?"

Just then, Brittany came off the end of the slide again. I watched her out of the corner of my eye, but didn't move to get her. She swam a little further, but didn't complain. I sat on the side of the pool while April and Eileen sat in chairs; we watched her slide down repeatedly. Mark and Angus finally came out with their suits on. They had to make sure that the pool table worked before they could come outside. Lilly brought out drinks for everyone, and Darcy came out in a sexy swimsuit. April asked where she got it, and Darcy said, "It's one of mine from our new collection."

The girls went crazy asking all kinds of questions. I had never seen it or any other bathing suit from her clothing line before. It was hot. She just winked at me. We discussed the weekend, and we told the stories of my party and Angus's party without making it sound too bad. I jokingly asked April if she gave Angus a note for the weekend, and she frowned at me, then looked at Angus, and raised her eyebrows, "Do you want one?"

She actually asked if he wanted to fuck another woman, and it sounded like she was ready to approve.

"I wasn't planning on needing one. I didn't think it would come up."

Darcy almost shot some beer out of her nose, "Didn't think it would come up huh. Poor baby or I should say poor April." The rest of us got the joke, and laughed except Eileen. She knew that she was a step behind, and just then, Brittany came off the end of the slide, and dropped into the water. Angus was ready to make a dash for the pool, but she started to swim to the side, and pull herself out of the water to go again.

Angus said, "When did she learn to swim that well?"

"Britt taught her while you were banging balls with Mark."

Even Eileen got that joke. She asked about the note, and it got quiet. Darcy the brave one said, "Britt has had a rule that he doesn't sleep with married women unless they have a note or permission slip from their spouse. Britt was kidding that if Angus was going to get lucky this weekend that he should get a note from April now. I gave Britt his note already, so if he finds a young sexy or old sexy thing he can pound away with my approval."

Eileen looked at Darcy as if she had three heads. April said, "Britt has a moral code. Angus and I went to different colleges, and it came up when we left each other to go back to school at the end of the summer. Britt made a point to tell both of us that we needed to discuss what our arrangement would be for all the time away from each other at school. We did, and were honest with each other. We made it through school, and now we're happily married. He's never requested a note since we got married. I guess he still didn't, but Britt asked for him."

"What about Mark?" Eileen asked.

I said, "That's between you and Mark. I don't know what type of relationship you have or want to have, but whatever you decide between the two of you we'll respect it, and not try to make you change."

She asked, "Do you want a note?"

April said, "Britt you're going to doom this marriage before it starts."

"I'm sorry. I hate hiring hookers, so it doesn't look as if I'm going out to get any pussy. Sometimes I run into women or they run into me, and I say, 'I'd go to bed with her. I don't do it often, and Darcy trusts me to come back to her when I'm done. Since we got engaged, I can only count a handful of times that it occurred, and she was there most of the times."

"I'm not a total prude, and Mark wasn't pure as the driven snow when we met."

Brittany came down one more time, and swam towards us. Lilly met her at the steps, and took her inside to use the bathroom.

Mark said, "I wasn't planning on needing a pass either, but from my few brief encounters with Britt, you never know what'll happen."

The guys never asked for passes, and the girls never gave them as we changed the subject to where we were going to dinner, and what show we were going to see.

I said, "The professional rodeo is in town, but I didn't think you'd want to see that. Frank Sinatra is out-of-town this week. I got us tickets to see Paul Anka at the Tropicana. He's one of the longest running shows in Vegas."

When Brittany came back out, April told her that she would be staying with Lilly, and that the rest of the Adults and Karen would be going out to dinner. We had some more drinks, and then got ready to go out. Karen made it home in time, so she went to change and came back in a pretty dress. The limo showed up, and I saw Beth joining us. April went to her, and gave her a hug. I'm sure she said something about John. She's a 'class act' that girl. We all went to the Frontier for dinner, and then went out on the strip to stretch our legs before the nine o'clock show. We were on the sidewalk when two girls walked by dressed in their western duds.

I said, loud enough for our group to hear, and the girls walking by, "I wouldn't kick that cowgirl out of my bed."

Faces looked horror-stricken except for the girl who'd just passed by. She looked like she was getting ready to punch me, but suddenly she recognized me, jumped into my arms, and wrapped her legs around me. Everyone was waiting to see what would happen next. She had her arms around me, and I had her ass in my hand. I said, "Save a horse ride a cowgirl."

She jumped down from me, and said, "Marny, this is my good friend Britt. Britt this is Marny."

"Hi Marny, these are my friends, Mark, Angus, April, Eileen, Karen, and my wife Darcy. This is Laura; she's a professional barrel racer."

Laura said, "I'm sorry, I didn't know he had married."

"It's OK it looked like you were both having a good time. As long as I can watch we'll be alright."

"I like her better than that last girl you were with. You should have let me kick her ass."

Mark said, "I told you that when you go out with Britt that you should expect the unexpected. I've stopped trying to keep up with all of his adventures."

"Are you free? We were going over to Bally's to have a few drinks before going to a show a little later. You and Marny are welcome to join us, my treat."