Reed Smith Shaw & MClay, William J. Smith, Tax Matters Partner - Page 8

                                        - 8 -                                         

             The Steins' Broadcort Account                                            
                  Mr. Stein and his wife opened a brokerage account with              
             Broadcort Capital Corp. (Broadcort) sometime in January                  
             1987.  The account was in the name of Mr. Stein and his                  
             wife as joint tenants with rights of survivorship.                       
             Steinberg & Lyman, a New York brokerage firm, acted as                   
             agents of Broadcort, and Mr. Stein dealt with a vice                     
             president of Steinberg & Lyman, Mr. Charles Tessarini,                   
             and his assistant Ms. Janice Murphy.  The Steins received                
             monthly statements of transactions in their account about                
             2 to 3 weeks after the close of each accounting period.                  
                  The statement for the period beginning March 28, 1987,              
             and ending April 24, 1987, reports that on April 15, 1987,               
             4,000 shares of stock of Saztec International, Inc.                      
             (Saztec), were sold for $31,998 or $8 per share, and on                  
             April 23, 1987, another 500 shares of Saztec stock were                  
             sold for $3,973 or $8 per share.  Saztec was publicly                    
             traded on the NASDAQ.  As of April 25, 1987, 5,500 shares                
             of Saztec stock remained in the Steins' account.  The                    
             statement also reports the purchase on April 1, 1987,                    
             of 4,000 shares of Texcel International, Inc. (Texcel)                   
             stock for $32,502 or $8.125 per share, and it reports the                








Page:  Previous  1  2  3  4  5  6  7  8  9  10  11  12  13  14  15  16  17  18  19  20  Next

Last modified: May 25, 2011