SUPREME COURT OF THE STATE OF NEW YORK

COUNY OF NEW YORK

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GENTRY T. BEACH and ROBERT A. VOLLERO,

hidel( No. 603611/08

Plaíntiffs,

- agaínst -

IAS Par 56

(Lowe, J.)

TOURJI CAPITAL MAAGEMENT, LP and

PAUL TOURJI,

Defendants.

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TOURJI CAPITAL MAAGEMENT, LP and

PAUL TOURJI,

Counterclai Plaítiffs,

- againt.

GENTRY T. BEACH and ROBERT A. VOLLERO,

Counterclaim Defendants.

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TOURJI CAPITAL MAAGEMENT, LP,

DEEPROCK VENTU PARTNRS, LP and

PAUL TOURJI,

Counterclaim Plaítifs,

- aganst -

VOLLERO BEACH CAPITAL PARTNRS LLC,

VOLLERO BEACH CAPITAL FU, LP,

VOLLERO BEACH ASSOCIATES LLC,VOLLERO BEACH CAPITAL OFFSHORE, LTD.,

AN GARY BEACH

Counterclai.

Defendants.

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THE TOURAJI DEFENDANS' COUNTERCLAIMS

AN ANSWER TO FIRST AMNDED COMPLAI

.1I

TABLE OF CONTENTSNATU OF TH CASE ............................................................................................................. 1

ALLEGATIONS COMMON TO ALL CLAIS ................................................................ 5

A. Beach

And Vollero Join Tourdji Capital As At-Wil Employees Aftr

Their Maí hivestor Pulls Out Of

Their Prior Employer's Fund......................... 5

B. Beach And Vollero Are Paíd Millons Of

Dollars For 2005.................................. 8

C. Beach And Vollero Faíl To Deliver Capita As Represented............................. 8

D. Beach And Vollero Cause The Small-Cap Debacle hi 2006.............................10

E. Beach and Vollero Are Well Compensated For 2006 Despite Their Poor

Performance .......................................... ........................................................... 11

F. Beach And Vollero's Lackluster 2007 Performance ........................................ 12

G. Beach And V ollero Constrct And Superise An Abysmal Private Equity Effort

.....................................................................................~...................................... 12

H. Playa Oil & Gas: Beach Creates And Takes Advantage Of A Confict

Ofhiterest To Benefit His Father, And The Two Men Abscond With

hivestor Capita ................... ......... ........... ................................. ......... .................. 13

I. Beach Is Demoted Back To Anyst................................................................ 18

J. Beach's Failur In Private Equity Come To Light............................................. 20

K. Beach Apologies For His Repeated Faílures And Misconduct....................... 21

1. Beach's Demotion Is CommU!cated To Invesors .......................................... 22

M. Beach And His Father Implement Their Conspiracy To Abscond WithCapita From Playa ......................................................................................... 23

N. Beach And Vollero hivent Clais Of

Constrctive Dischage.......................... 24

O. Beach and His Father Abscond With hivestor Capita ....................................... 26

P. V ollero Remaís At Touradji Capita hi An Attempt To Manufactue

A Lawsuit................ ................................................. ............ ........................... 27

Q. Beach And Vollero Raise Capita For The Vollero Beach Parership

By Misrepresenting Their Track Record And Roles ......................................... 29

R. Beach And Vollero Manufactue Clais Of

Improper Tradig By

Touradji Capita ................................................................................................. 31

COUNERCLAIMS..................................................................................................................34ANSWER..................................................................................................................................44AFFIRATIVE DEFENSES .................................... .............................................................. 51

PRAYE FOR RELIEF ..........................................................................................................52