Don C. and Judy Montgomery - Page 12

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                                                             Amount Of                
                   Date        Check No.       Amount                                 
                                                           Cashier's Check            
                   n/a            1358         $9,500         $9,500                  
                 11/02/88         1334         2,150          2,150                   
                 11/21/88         n/a           6,300         6,300                   
                  Total                       17,950         17,950                  
                  None of the cashier's checks purchased in the manner                
             described above bears any notation indicating the purpose                
             for which it was issued.  The back of each check bears the               
             statement "Cashier's Check issued in lieu of the check                   
             Payable to the same payee."  We find that each of these                  
             cashier's checks was used to pay Jordan Distributors for                 
             the cost of fuel that H&B transported for Trans State.                   
             The difference, if any, between the amount of each check                 
             and the amount of the corresponding cashier's check                      
             represents a fee charged by First Interstate for issuing                 
             the cashier's check.                                                     
                            Each time Trans State received a shipment of              
             fuel from H&B, its representative would pay H&B's driver                 
             for the fuel with either cash or a cashier's check.  The                 
             H&B driver receiving the cash or cashier's check would then              
             deliver the funds to petitioner.  In total, the amount of                
             money petitioner received from Trans State was equal to or               
             exceeded the amount of money H&B paid to Jordan                          
             Distributors for the fuel, as reflected by the cashier's                 
             checks summarized above.  Petitioner did not deposit any of              





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