- 65 -
revoking the Escrow Agreement between petitioner, WIB, and W&H.
If a dispute between petitioner and W&H had arisen with respect
to the disposition of the funds held in the Escrow Account, then
WIB would have frozen the account.
At petitioner’s executive committee meeting on July 19,
1986, the committee members directed petitioner’s staff to ask
W&H to increase petitioner’s monthly draw from $40,000 to
$64,000, beginning August 1, 1986. During the meeting,
petitioner’s executive director expressed his reservations about
petitioner’s increasing the amount of its monthly draws, unless
W&H provided written assurance that petitioner would not have to
repay the excess draws it received. However, the executive
committee member who proposed that petitioner should seek to
increase its monthly draw, responded that he wanted to have those
funds in UCC’s control and accounts despite the possible future
need to repay W&H. This member’s proposal was further supported
by another of the committee members.
At petitioner’s executive committee meeting held on
September 25, 1986, a W&H executive who attended a part of the
meeting advised the committee members that W&H was of the opinion
that petitioner should not increase its monthly draw beyond the
then-current $40,000, because of a decrease in petitioner’s
housefile mailing income. W&H suggested that petitioner wait
until January 1987 before increasing its monthly draw to $50,000.
Petitioner’s monthly draw was increased to $50,000 beginning in
Page: Previous 55 56 57 58 59 60 61 62 63 64 65 66 67 68 69 70 71 72 73 74 NextLast modified: May 25, 2011