Anthony Teong-Chan Gaw as Transferee of Radcliffe Investment LTD. - Page 170

                                                 - 68 -                                                    
            actions at issue, and she may have been able to supply informa-                                
            tion concerning matters as to which petitioner claimed ignorance,                              
            such as the source of the deposits made by Forward that were used                              
            as collateral.                                                                                 
                  We also note that the failure of a party to call available                               
            witnesses to corroborate that party's testimony can justify                                    
            drawing an adverse inference from their absence.  See Frierdich                                
            v. Commissioner, 925 F.2d 180, 185 (7th Cir. 1991), affg. T.C.                                 
            Memo. 1989-393; see also Stoumen v. Commissioner, supra.  Peti-                                
            tioner's testimony was at times vague, evasive, and conclusory,                                
            his credibility was challenged by respondent on cross-examina-                                 
            tion, and, based on our observation of his demeanor at trial, we                               
            generally did not find him to be credible.  The testimony of a                                 
            corroborating witness, such as Mme. Koo, would not have been                                   
            merely cumulative.                                                                             
                  In order to avoid having an adverse inference drawn from the                             
            failure to present a witness, a party may attempt, as petitioner                               
            does here, to explain the reason that witness was not called.                                  
            See Case v. New York Central R.R., 329 F.2d 936, 937-938 (2d Cir.                              
            1964); Schumacher v. United States, 216 F.2d 780, 787-788 (8th                                 
            Cir. 1954).  If the failure to present a witness is not satis-                                 
            factorily explained, we may draw an adverse inference from that                                
            witness' absence.  See Pollack v. Commissioner, 47 T.C. at 108.                                








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