- 15 - evidence in the record, such as a check issued on Sanwa or a bank statement from the Sanwa account, that shows that petitioner withdrew $50,000 from Sanwa. Petitioner produced bank statements from the Sanwa account for only the months of May, June, and December 1990. The deposit was made on July 23, 1990, and did not coincide with the payment of tuition by guaranteed students during that year. Tuition for the summer 1991 course was generally paid in May 1990. Petitioner has not explained his delay in establishing the alleged trust account. The logical conclusion is that petitioner used his own money to open the World Savings account rather than refundable tuition from the LECC's 1990 review courses, as he contends. There is no documentary support of petitioner’s or the guaranteed students’ alleged intent to create a trust account or escrow arrangement. Petitioner failed to deposit the tuition into the World Savings account; petitioner’s oral testimony that he intended to create a trust is not credible. Petitioner’s right to retain the tuition from the guaranteed courses was in some respects contingent on the students' performance on the California bar examination. However, the possibility that petitioner might have had to pay failing students refunds is not a substantial restriction on his use of the tuition. The World Savings account was not a trust account that created aPage: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 Next
Last modified: May 25, 2011