- 7 - ULTIMATE FINDINGS OF FACT.....................................200 OPINION.......................................................202 I. Burden of Proof.........................................203 II. Structural Defect.......................................211 A. Case Law................................................211 B. Arguments...............................................215 C. Summary of Government Misconduct........................218 D. Discussion..............................................225 III. Harmless Error Analysis.................................233 A. Review of Dixon II......................................236 1. Mr. Kersting's Lack of Credibility...................237 2. Sham Analysis........................................238 3. Lack of Genuine Debt/Waltz of Funds..................240 i. Subscription Interest...........................241 ii. Primary Loans...................................242 iii. Leverage Loans..................................244 4. Collection Litigation................................244 5. CAT-FIT Plan.........................................245 6. Additions to Tax.....................................247 i. Negligence......................................247 ii. Late Filing.....................................247 iii. Substantial Understatement......................247 iv. Increased Interest..............................248 B. Discussion..............................................249 1. Mr. Cravens.........................................249 i. Sham Analysis...................................251 ii. Lack of Genuine Debt/Waltz of Funds.............254 2. Mr. Thompson.........................................255 i. Sham Analysis...................................257 ii. Lack of Genuine Debt/Waltz of Funds.............258 iii. Additions to Tax................................262 3. Mr. Alexander........................................264 4. Summary..............................................266 IV. Fraud, Misrepresentation, and Misconduct................267 V. Fraud on the Court......................................271 A. Case Law Survey.........................................271 B. Discussion..............................................281 VI. Mr. Izen's Allegations That Mr. DeCastro Was a "Mole"...283 VII. Enforceability of Piggyback Agreements..................284 A. Principles of Contract Law..............................285 B. Discussion..............................................290 1. Benefit of the Bargain...............................290 2. Mr. Seery's Purported Conflict of Interest...........294Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 Next
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