Hilton H. Hackley - Page 3




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          County Metropolitan Transportation Authority as a full-time bus             
          operator.  Since 1993 petitioner resided at 4431 West 49th Place,           
          Los Angeles (LA residence).  The LA residence was purchased in              
          1993 by Druetta R. Orum (Ms. Orum), petitioner’s sister.                    
          According to petitioner, he did not qualify for the loan to                 
          purchase the LA residence and Ms. Orum “agreed to go in and get             
          the property in her name” and that “it was never intended for her           
          to live there.”  During the years in issue, petitioner lived                
          alone at the LA residence.  Petitioner testified that he did not            
          pay rent to Ms. Orum but made the mortgage payments directly to             
          the lender, Countrywide Home Loans (Countrywide), and also paid             
          for all real estate taxes, homeowner’s insurance, repairs, and              
          maintenance of the LA residence.  Petitioner and Ms. Orum owned a           
          joint checking account with Fidelity Federal Bank (joint                    
          account).  All payments for mortgage interest, real estate tax,             
          and insurance on the LA residence were made from the joint                  
          account.  Petitioner testified that Ms. Orum did not make                   
          deposits into the joint account.                                            
               According to petitioner, his name is not on the deed of the            
          LA residence, and it is his belief that during the years in issue           
          he could not sell or transfer the property.  The deed to the LA             
          property is not a part of the record, and Ms. Orum did not                  
          testify at trial.                                                           
               In 1998, petitioner assumed Ms. Orum’s loan to Countrywide.            






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