Sharon Purcell DiLeonardo - Page 9




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          beneficiaries’ lost income be made up for out of the Trustee’s              
          assets and not by taking away what should go to remainder                   
          beneficiaries.  Petitioner charged that the Trustee should have             
          opposed homestead status for the residence of L.O. Ivey’s widow,            
          and that the Trustee’s failure to oppose homestead status was a             
          breach of fiduciary duty which may have resulted from “an                   
          extrinsic fraud”.  The asserted extrinsic fraud involved a                  
          conflict of interest in that the conservator for L.O. Ivey’s                
          widow (the conservator also was a residual beneficiary of the               
          widow’s estate) was married to a partner in the law firm that               
          represented the Trustee, as a result of which the Trustee acted,            
          or failed to act, in a manner that favored L.O. Ivey’s widow over           
          the other beneficiaries of the Trust.                                       
               Investments too aggressive.  Petitioner charged that there             
          was a large turnover in the Trust’s investment portfolio, and               
          contended that she should be given the opportunity to investigate           
          the situation.                                                              
               Self-dealing.  Petitioner charged that the Trustee                     
          improperly deposited substantial cash amounts in the Trustee’s              
          own money market accounts and contended that there should be an             
          examination of comparative interest rates and costs to determine            
          whether income beneficiaries were disadvantaged by these                    
          deposits.                                                                   








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