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TARTER KRINSKY & DROGIN LLP Attorneys for The Christian Brothers Institute, et al. Debtors and Debtors-in-Possession 1350 Broadway, 11th Floor New York, New York 10018 (212) 216-8000 Scott S. Markowitz, Esq. Eric H. Horn, Esq. UNITED STATES BANKRUPTCY COURT SOUTHERN DISTRICT OF NEW YORK ------------------------------------------------------------------- x In re: : : THE CHRISTIAN BROTHERS INSTITUTE, et al. : : Debtors. : ------------------------------------------------------------------- x

Chapter 11 Case No.: 11-22820 (RDD) (Jointly Administered)

SECOND SUPPLEMENTAL DECLARATION OF ANTHONY D. DOUGHERTY IN SUPPORT OF DEBTORS APPLICATION FOR AN ORDER AUTHORIZING EMPLOYMENT AND RETENTION OF TARTER KRINSKY & DROGIN LLP AS THE DEBTORS COUNSEL, PURSUANT TO 11 U.S.C. 327, 328 AND 1107, AND FEDERAL RULE OF BANKRUPTCY PROCEDURE 2014 Pursuant to Rule 2014(a) of the Federal Rules of Bankruptcy Procedure, Rule 2014-1 of the Local Bankruptcy Rules for the Southern District of New York, and 28 U.S.C. 1746, Anthony D. Dougherty, Esq. declares under penalty of perjury under the laws of the United States of America, as follows: 1. I am an attorney admitted to practice before the Courts of the State of New York

and the United States District Court for the Southern District of New York. I am a partner in the firm of Tarter Krinsky & Drogin LLP (TKD or Firm) which maintains offices for the practice of law at 1350 Broadway, 11th Floor, New York, New York 10018. 2. I submit this supplemental disclosure to supplement (i) the affidavit of Scott S.

Markowitz dated May 11, 2011 in support of the application of the above-captioned debtors and debtors-in-possession to retain TKD as general bankruptcy counsel in these Chapter 11 cases

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(Docket No. 14) (the Markowitz Affidavit), and (ii) the supplemental declaration of Anthony D. Dougherty dated September 13, 2011 in support of the application of the above-captioned debtors and debtors-in-possession to retain TKD as general bankruptcy counsel in these Chapter 11 cases (Docket No. 92) (the Dougherty Declaration). 3. In June 2005, TKD prepared a certificate of incorporation on behalf of Mount Sion

Community, Inc. (Mount Sion). Mount Sion is a not-for-profit entity established to provide for an orderly method for the administration of the business and temporal affairs of the Provincial Leadership Team of the Edmund Rice Christian Brothers North America, a province of the Congregation of Christian Brothers. Mount Sion has never paid any legal fees to TKD. 4. TKD has provided assistance to Seattle counsel in defending the North American

Province of the Congregation of Christian Brothers (NAP) in connection with the pre-petition state court litigation commenced against the NAP in Seattle, Washington related to alleged abuse at Briscoe Memorial School and ODea High School. The NAP has never paid any legal fees to TKD. 5. In 2005, Fr. Robert M. Hoatson (Hoatson) commenced a lawsuit in the United

States District Court for the Southern District of New York naming the Congregation of Christian Brothers (the Congregation) as a defendant (the District Court Action). Although the

Congregation was named as a defendant, the true defendant was the former Eastern American Province of the Edmund Rice Christian Brothers, of which Hoatson was a member and upon which service was effectuated. Hoatson never served the Congregation. The complaint was inartfully drafted, using the broad general term Congregation of Christian Brothers. TKD appeared on behalf of the former Eastern American Province (improperly named as the Congregation). Judge Crotty dismissed the two federal counts contained in the complaint, which included a RICO count,

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and declined to exercise supplemental jurisdiction over the remaining counts which were dismissed without prejudice. The Second Circuit affirmed the dismissal. 6. In 2007, Hoatson commenced an action in Supreme Court, New York County,

again improperly naming the Congregation and asserted substantially similar allegations which were made in the District Court Action. TKD filed a motion on behalf of the former Eastern American Province (wrongly referred to as the Congregation) on statute of limitation grounds. In or about October 2009, the state court dismissed the action as time barred under the applicable statute of limitations. Hoatson never appealed the dismissal. 7. TKD currently represents the Congregation in an appeal with respect to the matter

entitled Emmanuel Ellul v. Congregation of Christian Brothers, et al., Case No. 09-cv-10590 (S.D.N.Y.) (the Ellul Action). TKD appeared on behalf of the Congregation, on a limited basis, in the Ellul Action with respect to a service of process issue. In the Ellul Action, Judge Crotty, a United States District Court Judge for the Southern District of New York dismissed the case against the Congregation solely due to lack of personal jurisdiction. The plaintiffs in an action commenced under the Alien Tort Act had asserted that service upon the NAPs office in New Jersey somehow constituted proper service on the Worldwide Congregation of Christian Brothers located in Rome. Ellul filed an appeal to the Second Circuit, which is pending. TKD is

representing the Congregation in the appeal with respect to the limited issue relative to personal jurisdiction over the Congregation based upon service of the NAP in New Jersey. To the extent that the Second Circuit finds jurisdiction over the Congregation to be proper, TKD will not continue to represent the Congregation going forward. Rather, the matter will be handled by another law firm. TKDs fees were not paid by the Congregation but by the Christian Brothers Oceana (the Australian Province).

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8.

TKDs representation of Mount Sion, the NAP and the Congregation were in no

way related to the Debtors Chapter 11 cases, and TKD remains a disinterested person for the reasons set forth in the Markowitz Affidavit and the Dougherty Declaration. 9. I submit this declaration to comply with my continuing obligation of disclosure of

relevant connections with the Debtors and their creditors as required by Federal Rule of Bankruptcy Procedure 2014(a). 10. TKDs failure to make the above disclosures was solely due to my unfamiliarity

with the disclosure requirements under the Bankruptcy Code and TKDs bankruptcy partner, Scott S. Markowitz, was unaware of these TKDs involvement in the above-referenced matters. 11. I declare under penalty of perjury that the foregoing is true and correct to the best of

my knowledge, information and belief. Dated: New York, New York October 18, 2011 /s/ Anthony D. Dougherty Anthony D. Dougherty

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