Sharma Management, Inc. is a closely held company and is the general partner for Mining #1 and Mining #2. Sharma's financial interest in these two limited partnerships is immaterial to it. Kip Casey, a member, has an investment that is not material to his net worth in the limited partnership Mining #1. Casey has no investment in either Sharma or Mining #2.

Which of the following is CORRECT?

Casey is not independent of Mining #2 or Sharma Management, Inc.

Casey is independent of Mining #2 but not of Sharma Management, Inc.

Casey is independent of both Mining #2 and Sharma Management, Inc.

Casey is independent of Sharma Management, Inc. but not of Mining #2.