Chen C. and Victoria R. Wang, et al. - Page 4

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                                  FINDINGS OF FACT                                    
               Some of the facts have been stipulated and are so found.               
          The stipulation of facts, the first supplemental stipulation of             
          facts, the second supplemental stipulation of facts, and the                
          exhibits attached thereto are incorporated herein by this                   
          reference.  Petitioner Chen C. Wang (petitioner) and his wife,              
          petitioner Victoria R. Wang, resided in Woodside, California, at            
          the time their petitions were filed.  At the time its petitions             
          were filed, the principal place of business for EIC was located             
          in Redwood City, California.                                                
               Petitioner moved to the United States from Taiwan nearly 40            
          years ago.  He has a degree in electrical engineering from San              
          Jose State University and a Masters in Business Administration              
          from the University of California at Berkeley.  After completing            
          his education, petitioner went to work for IBM.  While at IBM,              
          petitioner investigated ways to increase his income, and he                 
          ultimately decided that the best way to make money was to invest            
          in real estate.  Thereafter, petitioner began investing in real             
          estate, eventually leaving IBM to devote more of his time and               
          energy to increasing his real estate business.  In 1982, peti-              
          tioner incorporated EIC and used it as the vehicle to effectuate            
          his real estate investment strategy.  Nevertheless, occasionally            
          petitioner personally purchased and sold land for his own                   
          account.                                                                    





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