Rolf E. Polentarutti - Page 8

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               Petitioner contends that a judge dismissed a civil lawsuit             
          by petitioner's investors against him and contends that this                
          shows that he did nothing wrong.  We disagree.  The record does             
          not show why the lawsuit against petitioner was dismissed.  We              
          draw no inference from his unsubstantiated statement that a suit            
          against him was dismissed.                                                  
               Petitioner contends that we can reasonably infer from the              
          fact that his investors generally did not respond to Elwood's               
          letter that he had authority to use their funds for personal                
          investments.  We disagree.  As petitioner noted, the investors              
          may have had several reasons for not answering Elwood's letters,            
          such as they did not want to help petitioner because they were              
          angry that they had lost substantial sums of money, or they did             
          not take the letter seriously because it contained grammatical              
          mistakes.  We do not believe that their silence shows that they             
          approved.                                                                   
               Petitioner contends that the fact that he borrowed $200,000            
          in 1990 to repay money he received in 1989 to invest in World               
          Golf & Tennis but instead used for personal investments shows               
          that the funds he received in 1989 were a loan.  Petitioner's               
          argument misses the mark.  Even if petitioner used the funds he             
          borrowed in 1990 to replace the $200,000 he used for personal               
          purposes in 1989, he has not shown that those funds were a loan             
          to him in 1989.                                                             






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