Agapito Fajardo and Clara S. Fajardo - Page 6

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          mailing address.2  Petitioner informed the Court that he intended           
          to confer with respondent's counsel regarding stipulations and              
          requested that the case be recalled so that he might do so.  The            
          Court granted his request, directed the parties to meet and                 
          review whatever documents and information petitioner wanted to              
          present, and ordered that the case be recalled for a report                 
          and/or trial on September 14, 1998.                                         
               On September 14, 1998, the case was recalled.  Neither of              
          petitioners appeared.  Respondent's counsel reported that                   
          petitioner had met with respondent's counsel on Friday, September           
          11 and on Sunday, September 13.  On September 11, petitioner did            
          not have any documentation with him, despite several earlier                
          requests that he produce whatever documents he had to support his           
          return positions and despite the Court's Standing Pre-Trial                 
          Order, which required the parties to exchange documents at least            
          15 days before the beginning of the trial session.  On September            
          13, petitioner finally presented some documentation purporting to           
          demonstrate his entitlement to the deductions and exemptions at             
          issue in this case.  According to respondent's counsel, some of             
          the documents were clearly personal in nature, and the remaining            
          documents were not organized to facilitate review.  After                   
          approximately 4 hours, respondent's counsel offered petitioners             

               2At the calendar call on Sept. 8, 1998, petitioner notified            
          the Court of his new address.                                               

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