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c. Through the device of appointing the manager of a certain hotel in Bermuda as its agent, Colonial on numerous occasions furnished transportation at 20 percent less that its then currently effective tariff to employees of such hotel between New York, New York, and Hamilton, Bermuda. Under this arrangement, blocks of blank tickets were issued to the hotel. The hotel paid Colonial's tariff rate for every nine tickets so issued less ten percent and received every tenth ticket free ostensibly as a tour conductor's ticket, although in only one instance did a group of ten employees travel together on the same flight. 

3. Beginning in 1948 and continuing to date, various practices were resorted to on numerous occasions whereby funds of Colonial were diverted to the personal benefit and enrichment of certain officers of Colonial and particularly Janas, under the guise of company expenditures. These practices include, but are not limited to the following:

a. Colonial funds totaling more than 50,000 United States dollars were withdrawn from its bank account and charged to Janas as advanced expenses. These funds were used by Janas to purchase in his own name and for his own account Canadian dollars at the substantially higher rate of exchange. Thereafter, daily deposits of Canadian dollars, reported as revenues from "other sales", were deposited in Colonial's account in Canada and credited to the said advance expenses account of Janas. The profits realized from these transactions were retained by Janas. 

b. Excessive amounts, based on unsupported or false statements, were paid by Colonial to individuals on its payroll, to advertising agencies retained by it, and to other individuals retained to perform various services for Colonial. Such amounts in whole or in part were then turned over or "kicked back" to certain officers of Colonial, particularly to Janas and Hudson. 

c. Colonial funds were used to pay personal and unofficial expenses and accounts of Janas and his wife, including but not limited to the purchase of jewelry, groceries and clothing, and the payment of household and other living expenses. 

d. Substantial sums were paid monthly to Janas, his wife, and Hudson and charged to petty cash funds and expense accounts on the basis of unsupported statements. 

4. a. Janas has been responsible for and has organized and financed with Colonial funds various organizations and companies, including Canadian AirExpress, Airlines Limousine, Ltd., and Bermuda Airways, Ltd. Such organizations and companies have been controlled and dominated by Colonials and Janas.