Universal Trust 06-15-90 - Page 5




                                                                                - 5 -- 5 -                                                                                 

                              On June 15, 1990, Donna L. Chisum as “Settlor” and Four WS                                                                                   
                    TT01 as “First Trustee” executed a document (the original                                                                                              
                    indenture)6 purporting to create “Universal Trust 06-15-90”                                                                                            
                    (i.e., petitioner).  The original indenture stated that                                                                                                
                    petitioner was a “COMMON LAW BUSINESS TRUST ORGANIZATION, also                                                                                         
                    known as a CONTRACTUAL COMPANY * * * with certain assets to be                                                                                         
                    administered by the Trustee for capital Unit Holders represented                                                                                       
                    by Certificates in accordance with the inalienable Common Law                                                                                          
                    rights afforded to man.”  Notwithstanding this language                                                                                                
                    purporting to create a trust, the original indenture also stated                                                                                       
                    that “It is expressly declared that an Unincorporated Business                                                                                         
                    Organization by Contract is hereby created and not a trust                                                                                             
                    agreement by gift, or a partnership, or a company, or a                                                                                                
                    corporation, or a joint venture, or any entity of statutory                                                                                            
                    nature”.  (Emphasis added.)  The original indenture further                                                                                            
                    stated that petitioner “shall be originally domiciled in and                                                                                           
                    shall be interpreted and construed under the Constitution of the                                                                                       
                    United States and the laws of the State of NEVADA.”                                                                                                    
                              Other documents also dated June 15, 1990, show that all 100                                                                                  
                    “capital units” in petitioner that could be issued were issued on                                                                                      
                    that date to Mr. Johnston and Ms. Ghavami.  These documents state                                                                                      

                              6 We use the term “indenture” for convenience and not to                                                                                     
                    suggest that petitioner should be recognized as a trust for State                                                                                      
                    law or Federal income tax purposes.                                                                                                                    






Page:  Previous  1  2  3  4  5  6  7  8  9  10  11  12  13  14  15  16  17  18  19  20  Next

Last modified: May 25, 2011