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<p class="MsoNormal"><span style="font-size:11.0pt;font-family:&quot;Calibri&quot;,&quot;sans-serif&quot;;color:#1F497D">Martin,<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:11.0pt;font-family:&quot;Calibri&quot;,&quot;sans-serif&quot;;color:#1F497D">Although SCI has not met, there has been some discussion on the list regarding your request on behalf of the BC Charter subteam.&nbsp;
<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:11.0pt;font-family:&quot;Calibri&quot;,&quot;sans-serif&quot;;color:#1F497D"><o:p>&nbsp;</o:p></span></p>
<p class="MsoNormal"><span style="font-size:11.0pt;font-family:&quot;Calibri&quot;,&quot;sans-serif&quot;;color:#1F497D">Staff (Mary Wong) is drafting a response to your request for SCI and will be circulating that response to SCI members for purposes of developing a consensus
 on the recommended approach for BC in this fact situation. &nbsp;At present we have&nbsp; no calls scheduled.&nbsp; If SCI members are not in agreement with the approach described in the draft response that staff is preparing, we will likely need to schedule a call to discuss
 in more detail than achieved to date on the list.&nbsp; In this regard, you may want to alert and brief the BC members of SCI as to this particular issue since, to my knowledge, neither one of the BC SCI appointees has commented in the discussion of this matter
 on the SCI list.<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:11.0pt;font-family:&quot;Calibri&quot;,&quot;sans-serif&quot;;color:#1F497D">Thank you,<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:11.0pt;font-family:&quot;Calibri&quot;,&quot;sans-serif&quot;;color:#1F497D">Anne<o:p></o:p></span></p>
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<p class="MsoNormal"><b><span style="font-size:9.0pt;font-family:&quot;Calibri&quot;,&quot;sans-serif&quot;;color:black">Anne E. Aikman-Scalese, Of Counsel</span></b><span style="font-size:11.0pt;font-family:&quot;Calibri&quot;,&quot;sans-serif&quot;;color:#1F497D"><o:p></o:p></span></p>
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<p class="MsoNormal"><b><span style="font-size:9.0pt;font-family:&quot;Calibri&quot;,&quot;sans-serif&quot;;color:black">Lewis Roca Rothgerber LLP |
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<p class="MsoNormal"><b><span style="font-size:9.0pt;font-family:&quot;Calibri&quot;,&quot;sans-serif&quot;;color:black">One South Church Avenue Suite 700 | Tucson, Arizona 85701-1611</span></b><span style="font-size:11.0pt;font-family:&quot;Calibri&quot;,&quot;sans-serif&quot;;color:#1F497D"><o:p></o:p></span></p>
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<p class="MsoNormal"><b><span style="font-size:9.0pt;font-family:&quot;Calibri&quot;,&quot;sans-serif&quot;;color:black">(T) 520.629.4428 | (F) 520.879.4725</span></b><span style="font-size:11.0pt;font-family:&quot;Calibri&quot;,&quot;sans-serif&quot;;color:#1F497D"><o:p></o:p></span></p>
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<p class="MsoNormal"><b><u><span style="font-size:9.0pt;font-family:&quot;Calibri&quot;,&quot;sans-serif&quot;;color:blue"><a href="mailto:AAikman@LRRLaw.com" target="_new" title="Email User">AAikman@LRRLaw.com</a></span></u></b><b><span style="font-size:9.0pt;font-family:&quot;Calibri&quot;,&quot;sans-serif&quot;;color:black">
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<p class="MsoNormal"><b><span style="font-size:11.0pt;font-family:&quot;Calibri&quot;,&quot;sans-serif&quot;;color:black">&nbsp;</span></b><span style="font-size:11.0pt;font-family:&quot;Calibri&quot;,&quot;sans-serif&quot;;color:#1F497D"><o:p></o:p></span></p>
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<p class="MsoNormal"><b><span style="font-size:10.0pt;font-family:&quot;Tahoma&quot;,&quot;sans-serif&quot;">From:</span></b><span style="font-size:10.0pt;font-family:&quot;Tahoma&quot;,&quot;sans-serif&quot;"> martinsutton@hsbc.com [mailto:martinsutton@hsbc.com]
<br>
<b>Sent:</b> Friday, March 06, 2015 9:17 AM<br>
<b>To:</b> Aikman-Scalese, Anne<br>
<b>Subject:</b> Re: Request to the SCI - Vote switching<o:p></o:p></span></p>
<p class="MsoNormal"><o:p>&nbsp;</o:p></p>
<p class="MsoNormal"><span style="font-size:10.0pt;font-family:&quot;Arial&quot;,&quot;sans-serif&quot;">Dear Anne,</span>
<br>
<br>
<span style="font-size:10.0pt;font-family:&quot;Arial&quot;,&quot;sans-serif&quot;">As a follow-up, could you please let me know when the SCI is next due to meet/discuss the item raised below? &nbsp;I just want to manage expectations with the BC Charter group, so an indicative time
 would be helpful. <br>
</span><br>
<span style="font-size:10.0pt;font-family:&quot;Arial&quot;,&quot;sans-serif&quot;">Kind regards,<br>
</span><br>
<span style="font-size:10.0pt;font-family:&quot;Arial&quot;,&quot;sans-serif&quot;">Martin</span> <br>
<b><span style="font-size:10.0pt;font-family:&quot;Arial&quot;,&quot;sans-serif&quot;;color:red">Martin C SUTTON
</span></b><br>
<span style="font-size:7.5pt;font-family:&quot;Arial&quot;,&quot;sans-serif&quot;">Manager, Group Fraud Risk &amp; Intelligence
<br>
Global Security &amp; Fraud Risk<br>
Level 8,1 Canada Square,Canary Wharf,London,E14 5AB,United Kingdom</span> <o:p></o:p></p>
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<p class="MsoNormal"><span style="font-size:7.5pt;font-family:&quot;Arial&quot;,&quot;sans-serif&quot;;color:#4F4F4F">&#43;44 (0)207 991 8074</span>
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<p class="MsoNormal"><a href="mailto:martinsutton@hsbc.com"><span style="font-size:7.5pt;font-family:&quot;Arial&quot;,&quot;sans-serif&quot;;color:red">martinsutton@hsbc.com</span></a>
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<p class="MsoNormal"><span style="font-size:7.5pt;font-family:&quot;Arial&quot;,&quot;sans-serif&quot;;color:#4F4F4F">Website</span>
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<p class="MsoNormal"><a href="http://www.hsbc.com/"><span style="font-size:7.5pt;font-family:&quot;Arial&quot;,&quot;sans-serif&quot;;color:red">www.hsbc.com</span></a><o:p></o:p></p>
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<br>
<span style="font-size:7.5pt;font-family:&quot;Arial&quot;,&quot;sans-serif&quot;;color:red">__________________________________________________________________</span>
<br>
<span style="font-size:7.5pt;font-family:&quot;Arial&quot;,&quot;sans-serif&quot;;color:green">Protect our environment - please only print this if you have to!</span><o:p></o:p></p>
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<span style="font-size:7.5pt;font-family:&quot;Arial&quot;,&quot;sans-serif&quot;;color:#5F5F5F">From: &nbsp; &nbsp; &nbsp; &nbsp;</span><span style="font-size:7.5pt;font-family:&quot;Arial&quot;,&quot;sans-serif&quot;">Martin C SUTTON/HGHQ/HSBC</span>
<br>
<span style="font-size:7.5pt;font-family:&quot;Arial&quot;,&quot;sans-serif&quot;;color:#5F5F5F">To: &nbsp; &nbsp; &nbsp; &nbsp;</span><span style="font-size:7.5pt;font-family:&quot;Arial&quot;,&quot;sans-serif&quot;">&quot;Anne Aikman-Scalese&quot; &lt;<a href="mailto:AAikman@LRRLaw.com">AAikman@LRRLaw.com</a>&gt;</span>
<br>
<span style="font-size:7.5pt;font-family:&quot;Arial&quot;,&quot;sans-serif&quot;;color:#5F5F5F">Date: &nbsp; &nbsp; &nbsp; &nbsp;</span><span style="font-size:7.5pt;font-family:&quot;Arial&quot;,&quot;sans-serif&quot;">26/02/2015 23:21</span>
<br>
<span style="font-size:7.5pt;font-family:&quot;Arial&quot;,&quot;sans-serif&quot;;color:#5F5F5F">Subject: &nbsp; &nbsp; &nbsp; &nbsp;</span><span style="font-size:7.5pt;font-family:&quot;Arial&quot;,&quot;sans-serif&quot;">Re: Request to the SCI - Vote switching</span>
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<br>
Thank you Anne, much appreciated. <br>
<br>
Martin Sutton<br>
Manager, Group Fraud Risk and Intelligence<br>
Ph: &nbsp;&#43;&#43;44 (0)20 7991 8074<br>
Mob: &nbsp;&#43;&#43;44 (0)777 4556680<br>
Sent from my BlackBerry<br>
<br>
*********************************<br>
<br>
HSBC Holdings plc<br>
Registered Office: 1 Canada Square, London E14 5AB, United Kingdom<br>
Registered in England number 617987<br>
<br>
********************************* <o:p></o:p></p>
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<p><b>&nbsp; From: </b>&quot;Aikman-Scalese, Anne&quot; [AAikman@lrrlaw.com]<b><br>
&nbsp;Sent: </b>26/02/2015 20:31 GMT<b><br>
&nbsp;To: </b>Martin C SUTTON<b><br>
&nbsp;Subject: </b>RE: Request to the SCI - Vote switching <o:p></o:p></p>
<p><br>
<span style="font-size:10.0pt;font-family:&quot;Calibri&quot;,&quot;sans-serif&quot;;color:#004080">Thanks Martin. I will bring this before SCI.</span>
<br>
<span style="font-size:10.0pt;font-family:&quot;Calibri&quot;,&quot;sans-serif&quot;;color:#004080">Anne</span>
<br>
<span style="font-size:10.0pt;font-family:&quot;Calibri&quot;,&quot;sans-serif&quot;;color:#004080">&nbsp;</span>
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<p class="MsoNormal"><b><span style="font-size:7.5pt;font-family:&quot;Calibri&quot;,&quot;sans-serif&quot;">Anne E. Aikman-Scalese, Of Counsel</span></b>
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<span style="font-size:10.0pt;font-family:&quot;Calibri&quot;,&quot;sans-serif&quot;;color:#004080">&nbsp;</span>
<br>
<b><span style="font-size:10.0pt;font-family:&quot;Tahoma&quot;,&quot;sans-serif&quot;">From:</span></b><span style="font-size:10.0pt;font-family:&quot;Tahoma&quot;,&quot;sans-serif&quot;">
<a href="mailto:martinsutton@hsbc.com">martinsutton@hsbc.com</a> [</span><a href="mailto:martinsutton@hsbc.com"><span style="font-size:10.0pt;font-family:&quot;Tahoma&quot;,&quot;sans-serif&quot;">mailto:martinsutton@hsbc.com</span></a><span style="font-size:10.0pt;font-family:&quot;Tahoma&quot;,&quot;sans-serif&quot;">]
<b><br>
Sent:</b> Thursday, February 26, 2015 12:30 PM<b><br>
To:</b> Aikman-Scalese, Anne<b><br>
Subject:</b> Request to the SCI - Vote switching</span> <br>
&nbsp; <br>
<span style="font-size:10.0pt;font-family:&quot;Arial&quot;,&quot;sans-serif&quot;">Dear Anne,</span>
<br>
<span style="font-size:10.0pt;font-family:&quot;Arial&quot;,&quot;sans-serif&quot;"><br>
I am a member of the Business Constituency and currently working with the BC Charter Review team. &nbsp;During our recent discussions, we identified a potential issue that may affect GNSO Stakeholder Groups (SGs) and Constituencies (Cs) which may warrant the attention
 of the SCI, which I understand you currently chair.</span> <br>
<span style="font-size:10.0pt;font-family:&quot;Arial&quot;,&quot;sans-serif&quot;"><br>
With the introduction of New gTLDs, an increasing number of organisations now meet the criteria of membership within multiple groups, even across the contracting and non-contracting parties divide. &nbsp;The point in question is in relation to the ability for a
 member of multiple SGs and Cs to regularly switch their voting rights between these groups in a tactical manner, so as to apply votes for elections/decisions where they may have concerns with lack of representation within a specific group, at a specific time.
 Whilst they may only vote in one of the SGs or Cs, there is no restriction as to when and how frequently they may switch their voting power between these groups. &nbsp;This could be too flexible and potentially allow the system to be exploited.</span>
<br>
<span style="font-size:10.0pt;font-family:&quot;Arial&quot;,&quot;sans-serif&quot;"><br>
I am pleased to say that there is no evidence that this is occurring but as new members continue to increase, it seems sensible to consider preventative measures be put in place to protect the GNSO for the future. &nbsp;As an example, a multi-member organisation
 could be obliged to commit &nbsp;holding it's voting rights within one group for a minimum term of 12 months before switching to another group. &nbsp;Of course, this would need to be uniform across all of the SGs and Cs, hence, we think it is appropriate to raise this
 issue with the SCI for consideration.</span> <br>
<span style="font-size:10.0pt;font-family:&quot;Arial&quot;,&quot;sans-serif&quot;"><br>
I would be happy to discuss further and interested to know if you feel this would be appropriate and worthwhile for the SCI to assess.</span>
<br>
<span style="font-size:10.0pt;font-family:&quot;Arial&quot;,&quot;sans-serif&quot;"><br>
Kind regards,</span><br>
<span style="font-size:10.0pt;font-family:&quot;Arial&quot;,&quot;sans-serif&quot;"><br>
Martin</span> <b><span style="font-size:10.0pt;font-family:&quot;Arial&quot;,&quot;sans-serif&quot;;color:red"><br>
Martin C SUTTON </span></b><span style="font-size:7.5pt;font-family:&quot;Arial&quot;,&quot;sans-serif&quot;"><br>
Manager, Group Fraud Risk &amp; Intelligence <br>
Global Security &amp; Fraud Risk<br>
Level 8,1 Canada Square,Canary Wharf,London,E14 5AB,United Kingdom</span> <o:p></o:p></p>
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