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the granting of a motion for summary judgment. Morrison v.
Commissioner, 81 T.C. 644, 651 (1983). Respondent may establish
fraud by relying on facts deemed admitted under Rule 90(c).
Marshall v. Commissioner, 85 T.C. 267, 272-273 (1985); Doncaster
v. Commissioner, 77 T.C. 334, 336 (1981).
Respondent has established through petitioner's deemed
admissions that petitioner's failure to file a Federal income tax
return for each of the taxable years 1990, 1991, and 1992 was
fraudulent. Respondent has demonstrated petitioner's fraudulent
intent by establishing "badges of fraud".
The deemed admissions establish that petitioner failed to
file Federal income tax returns from taxable year 1986 through
taxable year 1992. Petitioner received payroll checks and Forms
W-2 from Prudential in 1990, 1991, and 1992. Petitioner also
submitted a false Form W-4 to Prudential for taxable year 1990.
Further, from 1991 to 1992, petitioner converted to his own use
$107,000 that he received from elderly individuals in his
capacity as a Prudential insurance agent.
To avoid summary judgment, petitioner must set forth
specific facts showing that there is a genuine issue for trial
and cannot rely upon mere allegations and denials in his peti-
tion. Rule 121(d); O'Neal v. Commissioner, 102 T.C. 666, 674
(1994). Petitioner has failed to refute the material facts on
which respondent's fraud claims are based for the taxable years
1990, 1991, and 1992. Through the deemed admission of facts set
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