The Clone Wars episodes “An Old Friend,” “The Rise of Clovis,” and “Crisis at the Heart” center the Banking Clan and its role in the Clone Wars. Operating as a galactic IMF and neutral territory, the Banking Clan on the planet Scipio is the economic heart of the galaxy handling funds for both the Republic and the Separatist movement.
The story opens with Senator Amidala traveling to Scipio to obtain aid for those displaced by the ongoing Clone Wars. Enter “traitor to the Republic and known Separatist” Rush Clovis, the representative assigned to discuss the terms of the aid loan with Senator Amidala. If you’re wondering why anyone would put their trust in someone with such a title, I’d remind you that even though the phrase “I have a bad feeling about this” abounds in a galaxy far, far away, no one ever seems to follow that up with a “yeah, you’re right, let’s not do this.” But I digress.
Although Padme initially requests that Clovis be removed from the loan negotiations, she later agrees to work with him to investigate his allegations of fraud and stolen money that has left the bank out of funds. Together they convince the Core Five to allow Padme to enter the vault and accompany the transfer of funds and later devise a plan for Padme to obtain the evidence while the power to the vault is temporarily disabled. While they manage to successfully obtain incriminating evidence, they’re quickly caught with Padme being detained for espionage.
Once rescued by her husband, Anakin, Padme and Clovis return to Coruscant to expose the banking fraud on Scipio.
Oh, Padme (and frankly everyone in the Republic leadership)! If only you had followed the Federal Rules of Evidence. The brief battle at Scipio (deemed a “war”, although I’m not sure this title fits) would have been avoided and the banks may not have ended up in the Chancellor’s control. Although they may have eventually, given how things ended up in Revenge of the Sith, it might have at least been delayed.
The initial drive
The drive that Padme and Clovis bring to the Chancellor in “The Rise of Clovis,” is the first piece of evidence introduced to prove the corruption in the Banking Clan. The Chancellor–as our theoretical judge–asks Clovis to substantiate these claims of corruption. When Clovis presents the drive which shows funds being diverted from the bank into private accounts, Senator Organa rightly demands to know the veracity of the evidence. After all, Clovis’ credibility is questionable. Padme responds by invoking the spirit of the Federal Rules of Evidence of 901. Rule 901 of the Federal Rules of Evidence covers the authentication of evidence. Rule 901(a) states that “to satisfy the requirement of authenticating or identifying an item of evidence, the proponent must produce evidence sufficient to support a finding that the item is what the proponent claims it is.” Authentication and identification are the conditions precedent to the admission of documents and physical evidence.
In order to identify the drive that Clovis is presenting, Padme tells Senator Organa that it was she who downloaded the files from the Muun mainframe. Given Padme’s knowledge of the files, the Chancellor asks Padme to work with Clovis to investigate the Banking Clan and determine the extent of the corruption.
With the foundational evidence establishing the corruption in the Banking Clan, we can, as Darth Sidious said: “move to the next stage of the proceedings.”
The “smoking gun”
As the investigation continues, it is discovered that the Separatists have not been paying interest on their loans, and yet the Banking Clan is lending credits to the Republic–credits it does not have. However, Padme notes that there is still a critical piece of information missing.
Meanwhile, Count Dooku is tasked with bringing Rush Clovis back into the fold and making him head of the Banking Clan. Dooku uses a droid to send Clovis a message asserting that the Separatist government will support his appointment to the leader of the Banking Clan and providing him with a disc containing the details of the secret Muun accounts.
Clovis takes the disc to Nix Card and the Chancellor who blindly accept this evidence and arrest the Core Five for corruption and embezzlement based on this “smoking gun” showing the secret accounts.
Unlike the disc that Padme brings from Scipio, no one questions the veracity of the disc with the secret accounts. No one asks Clovis to identify the source or authenticity of the evidence.
This is troubling considering the way Clovis’s character has previously been attacked. More importantly, for our purposes anyway, it is concerning given that there’s a clear hearsay objection to be made. The evidence of the secret accounts on the disc is an out-of-court statement being offered to prove the truth of the matter asserted because they are being used to prove the existence of the accounts. The only way to admit the evidence on the disc would be under a hearsay exception–most likely the business records exception (Rule 803(6)). This would require a Muun custodian of the records to testify that the bank records on the disc were kept as part of the ordinary course of business. Testimony would also be required from someone with knowledge of the veracity of the information on the disc. Neither of which happened in this case.
The moral of the story–the Chancellor/Darth Sidious’s plans could have been easily foiled by a legal Jedi with superior knowledge of the rules of evidence.
