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example, in 1983 they used GD&L losses of $33,758 to offset gross
income of $53,422, and in 1984 they used GD&L losses of $23,484
to offset gross income of $75,664. The substantial losses that
GD&L generated for 2 consecutive years should have concerned even
unsophisticated investors. Although petitioners may not have
fully understood their GD&L investment and may not have known all
the "gremlins" that were present in the investment, it would seem
that they should have inquired. See Maminga v. Commissioner,
T.C. Memo. 1995-361; Sacks v. Commissioner, T.C. Memo. 1994-217.
We have considered Heasley v. Commissioner, 902 F.2d 380
(5th Cir. 1990), revg. T.C. Memo. 1988-408, in our evaluation of
this case. In Heasley, the taxpayers were not educated beyond
high school and had limited investment experience. The taxpayers
in Heasley relied upon the advice of an independent accountant
who apparently did not receive a commission from the sale of the
tax shelter in which the taxpayers invested. Further, the
taxpayers actively monitored their investment and intended to
profit from the investment.
We cannot reach similar conclusions in the instant case.
Although petitioners have educational backgrounds similar to the
taxpayers in Heasley, they did not have an accountant or any
other individual independently review the container investment.
Instead, they relied only on the advice of Lukensow and the
promotional materials. Moreover, petitioners made no effort to
monitor their investment, and they have failed to establish that
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