Charles H. Addis and Cindi Addis - Page 4




                                        - 4 -                                         
               2.   NHF                                                               
               NHF is a section 501(c)(3) organization and is eligible to             
          receive tax-deductible contributions under section 170(c)(2).               
               3.   The Addis Family Foundation                                       
               On October 10, 1997, petitioners established a fund within             
          NHF called the Addis family foundation.  The purpose of the Addis           
          family foundation is to fund Christian organizations and programs           
          and individual evangelists.  Mrs. Addis paid $285 to NHF to                 
          establish the Addis family foundation.                                      
               4.   The Life Insurance Policy on Mrs. Addis                           
               On October 10, 1997, petitioner wrote to Dr. J.T. Houk, the            
          president of NHF, stating that the Addis family trust intended to           
          buy an insurance policy on the life of Mrs. Addis and would grant           
          NHF an option to acquire an interest in that policy.                        
               On October 15, 1997, the Commercial Union Life Insurance Co.           
          of America (Commercial Union Life) issued a life insurance policy           
          on the life of Mrs. Addis (the life insurance policy or the                 
          policy) to petitioner.  Mrs. Addis was 44 years old at that time.           
          Petitioners owned the policy through the Addis family trust.2               
               The life insurance policy had a $40,000 annual premium and             
          an initial death benefit of $991,789.                                       



               2  Petitioners possess rights in the insurance policy solely           
          through the Addis family trust.                                             






Page:  Previous  1  2  3  4  5  6  7  8  9  10  11  12  13  14  15  Next

Last modified: May 25, 2011