August 20, 1999





Hon. Gray Davis

Office of the Governor

State of California

State Capitol

Sacramento, California


Subject:  Officer "D. Heitman" [sic]


Dear Governor Davis:


We are writing to inform you that we have been retained to perform a routine trace of an insurance company check issued jointly to "D. Heitman" and "State of Ca Franchise Tax Board" [sic].  We are doing research necessary to determine if this check is evidence of fraud and/or interstate racketeering.


Because it now appears to us that one or more employees of the California State Attorney General's Office may already have information that is relevant, we feel obliged to recommend that you proceed cautiously in the matter of one "D. Heitman".


You could help us greatly by directing a trusted member of your professional staff to contact the State Personnel Board, in order to confirm whether or not a "D. Heitman" is on the State payroll.


For your information, we have now confirmed that a "D. Heitman" (aka Daren Heitman) is a principal with Skyline Funds, reportedly managers of the Skyline Special Equities Portfolio, Symbol SKSEX, CUSIP #830833208 (see attached).


Governor Davis, we appreciate your confidential assistance in this delicate matter.



Sincerely yours,


/s/ Paul Andrew Mitchell


Paul Andrew Mitchell, B.A., M.S.

Counselor at Law, Federal Witness,

and Private Attorney General


     c/o Forwarding Agent at:

         345 Estudillo Avenue, Suite 104

         San Leandro 94577



copies:  County Sheriff for Sacramento, California

         Judge Alex Kozinski, 9th Circuit (supervising)