- 569 -
With respect to the HELO notes, Kanter testified that "It
was an entity that had ceased doing business sometime earlier. I
don't know exactly when. It had no assets." This statement that
HELO had no assets lacks foundation in his personal knowledge of
the financial condition of HELO, and we disregard it. In any
event, even if Kanter's testimony is to be believed, his
testimony does not establish the year that the alleged HELO debts
actually became worthless.
With respect to the Safari, Elk Investment, and Inter Alia
notes, Kanter's statements that these entities had no assets also
lack in foundation in his knowledge of the financial condition of
these entities and, therefore, are disregarded. In any event,
even if Kanter's testimony is to be believed, his testimony does
not establish the year that these alleged debts actually became
worthless.
With respect to the CMB Cinema Trust, CMB Trust II, RWL
Cinema Trust, and RWL Cinema Trust II "notes", these "loans" were
fictitious and used as a means to transfer funds to Ballard and
Lisle. Therefore, IRA is not entitled to a loss on the sale of
these "notes."
With respect to the alleged note receivable from Steve and
Karen Hargen, Kanter testified that because neither he nor anyone
he knew could locate Steve Hargen, "it was considered worthless".
No other evidence was presented of any efforts to locate the
Page: Previous 559 560 561 562 563 564 565 566 567 568 569 570 571 572 573 574 575 576 577 578 NextLast modified: May 25, 2011