Bruce P. Cadwell - Page 3

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          February 24, 1995, the Court granted respondent's motion and                
          deemed admitted for purposes of this case the undenied                      
          affirmative allegations of fact contained in paragraphs 7 and 8             
          of respondent's answer.  Rule 37(c).  On promulgation of our                
          order the pleadings herein were closed.  See Rules 34, 36, 37,              
          38, 121.  The following findings of fact are based upon the                 
          allegations in the answer which are deemed to be admitted.                  
                                  FINDINGS OF FACT                                    
               Petitioner filed Federal income tax returns in 1979, 1980,             
          and 1981 jointly with his wife (Pamela Marie Tinsley-Cadwell).              
          Although aware of his filing obligation, petitioner failed to               
          file timely tax returns for tax years 1983 through 1988,                    
          resulting in the omission of $243,170 of income.  During the                
          years at issue, petitioner received $243,170 in the form of wage            
          income or self-employment income as follows:                                
          Year                Payer                       Income                      
          1983           Holaday-Parks, Inc.           $47,562.74                     

          1984           Holaday-Parks, Inc.           4,777.51                       
          1984           Peter Kiewit Sons Co.         11,923.67                      
          1984           Natkin Sheet Metal Co.        20,183.68                      
          1984           Sun-Air Sheet Metal, Inc.     1,392.33                       
          1984           Toklat Sheet Metal, Inc.       13,078.02                     
                              Total 1984               51,355.21                      
          1985           Toklat Sheet Metal, Inc.      39,681.41                      
          1986           Toklat Sheet Metal, Inc.      52,000.62                      
          1987           Toklat Sheet Metal, Inc.      20,987.72                      
          1987           Sandstrom Plumbing & Heating   9,501.36                      
                              Total 1987               30,489.08                      




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