Leonard Pipeline Contractors, Ltd. - Page 10

                                                  -10-                                                    
            Year    Payor                                 Amount                                          
            1979    Not specified                         $695,176  Can                                   
                                                                                                         
            1980    RLLC                                    18,195  Can                                   
            LPH                                    150,000  Can                                           
                                                                                                         
            1981    RLLC                                    18,109  Can                                   
            LPH                                     50,000  Can                                           
            personal use of corporate car            2,640  Can                                           
                                                                                                         
            1982    RLLC                                    43,228  Can                                   
                                                                                                         
            1983    RLLC                                   155,175  Can                                   
            Petitioner                             364,185  Can                                           
                                                                                                         
            1984    Petitioner                               7,500  Can                                   
                                                                                                         
            1985    Petitioner/Anchor Wate joint venture   110,000                                        
            Petitioner/Texas Coating Supply         52,252                                                
            joint venture                                                                                 
            1986    Petitioner/Anchor Wate joint venture   120,000                                        
            Petitioner/Texas Coating Supply         22,748                                                
            1987    Petitioner (bonus)                   1,680,000                                        
            (wages)                      97,700                                                           
            Environmental Builders, Inc.            21,000                                                
                                                                                                         
            1988    LPCC                                 1,176,684                                        
                                                                                                         
            The reasonableness of the $1,777,700 ($1,680,000 bonus plus $97,700                           
            wages) payment to Mr. Leonard from petitioner in 1987 is at issue                             
            herein.6                                                                                      
                  We note that Mr. Leonard also received dividends from RLLH in                           
            1983 and 1984 in the respective amounts of Can$500,000 and                                    
            Can$200,000.                                                                                  


                  6     Petitioner issued a check to Mr. Leonard on Sept. 28,                             
            1987, and Mr. Leonard deposited it in his personal bank account.                              
            Simultaneously, Mr. Leonard transferred $289,703 of the bonus                                 
            back to petitioner. While the record is unclear as to why Mr.                                 
            Leonard remitted the $289,703 to petitioner, it appears he                                    
            believed that he owed petitioner this amount.                                                 






Page:  Previous  1  2  3  4  5  6  7  8  9  10  11  12  13  14  15  16  17  18  19  20  Next

Last modified: May 25, 2011