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1986 that his cases were settled for a fixed amount although he
would receive a refund if the test case petitioners prevailed at
trial. Mr. Thompson further testified that, by virtue of his
settlement, he had informed Mr. DeCastro that he would not pay
attorney's fees for representation at the trial of the test
cases.
Mr. Thompson testified that the testimony that he provided
at the trial of the test cases was completely truthful, that his
testimony was not coached by either Mr. DeCastro or Mr. McWade,
and that he wanted to testify in part to influence Mr. Kersting
to withdraw his threats. Mr. Thompson testified that the $80,000
Bauspar loss that he mentioned in his testimony at the trial of
the test cases was not an out-of-pocket loss but the loss of the
returns he expected as a result of his participation in the
Bauspar program.
3. Mr. Alexander
Mr. Alexander appeared at the evidentiary hearing only after
Mr. Sticht made several unsuccessful attempts to serve him with a
subpoena. Mr. Alexander's credibility as a witness at the
evidentiary hearing was severely impaired by his evasive
testimony and total lack of recall of the circumstances that led
to the decisions eliminating his tax liabilities for 1974, 1975,
1976, and 1977. Mr. Alexander testified that he did not receive
a "finder's fee" for the information or assistance that he
provided to Mr. McWade during the trial of the test cases, nor
would he admit that he had arrived at an understanding with
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