- 7 - Petitioner used FCE funds to partially pay for the construction of his personal residence. In particular, FCE paid First Coast Supply between $8,000 and $10,000 to build and install kitchen cabinets in petitioner's new home. In late 1989, or early 1990, petitioner and Mr. Young had a falling out, and FCE ceased operations by early 1990. Upon the closing of FCE, the company's computer and copier were stored at the apartment of Ms. Fischer until they were given to petitioner. Income From Paragon Construction Group, Inc. On April 4, 1990, petitioner incorporated PCG, which operated as a general contractor in the construction business. Petitioner was the sole shareholder and president of this corporation. Petitioner started PCG with a capital contribution of $20,000. PCG had a corporate bank account at First Union National Bank of Florida. Petitioner had complete control over this account. Checks written on PCG's corporate account directly to petitioner totaled $39,219.91 in 1990 and $82,162.80 in 1991. In addition to the checks written directly to petitioner, PCG also paid for labor, materials, building permits, and property taxes associated with the construction of petitioner's personal residence, including the following: Check No. Date Payee Amount 107 4/20/90 Coastal Interiors $2,200.00Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 Next
Last modified: May 25, 2011