- 32 -
the records that reflected the donor's cost or adjusted basis
were available to him. We find this testimony to be credible and
conclude his minor oversight does not establish fraud on the part
of Mr. Davis.
F. Dr. Ottelin
Respondent contends that Mr. Davis' transfer of Strata stock
to Dr. Ottelin was part of a barter transaction (i.e., Dr.
Ottelin adjusted the dentures of Mr. Davis' mother in exchange
for shares of Strata stock) and was not a gift, and any testimony
by Dr. Ottelin or Mr. Davis to the contrary is not credible. We
disagree.
Dr. Ottelin credibly testified that the adjustment he
performed to the dentures of Mr. Davis' mother was a minor
adjustment, and it was his normal practice not to bill for such
services--they were gestures of goodwill. Furthermore, the gift
of stock Mr. Davis made to Dr. Ottelin was worth at least
hundreds, if not thousands, of dollars--an amount extremely
disproportionate in comparison to the services Dr. Ottelin
performed for Mr. Davis' mother. We conclude that the gift of
Strata stock to Dr. Ottelin was not part of a barter transaction.
G. Mr. Walker
Respondent contends that Mr. Davis sold Mr. Walker 100,000
shares of Strata stock. Respondent relies on a stock ledger
Page: Previous 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 NextLast modified: May 25, 2011