- 35 -
check No. 1171 to pay business expenses. However,
petitioners do not explain why Mr. Petty, who was away
from Oklahoma City at the time, would write a check payable
to petitioner to withdraw money from H&B's account for his
own business purposes. We find petitioners' explanation in
this regard both implausible and incredible.
During 1989, petitioner signed two checks, Nos. 1621
and 1655, drawn on H&B's First Interstate account and made
payable to cash in the aggregate amount of $5,175. Check
No. 1621 bears a notation stating that it was issued to
repay Ms. MacKall for a previous cash deposit. The
pegboard ledger entry for this check states "Repay money
dep. 2/10 for SW Comm". The pegboard ledger entry for
check No. 1655 states that it was issued to repay Wholesale
Fuels for a cash deposit.
We find that neither of these checks constitutes
income to petitioners. Ms. MacKall testified that she made
a wire transfer of her own personal funds to Southwest
Commercial Bank on H&B's behalf several days before check
No. 1621 was issued. Ms. MacKall testified that she made
this transfer to prevent H&B from incurring a fee for late
payment. We find Ms. MacKall's testimony credible in this
regard and find that check No. 1621 was issued to repay her
Page: Previous 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 NextLast modified: May 25, 2011