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after this correspondence.38 The transfers made to the ANB
accounts after Northwest obtained the TRO do not reflect
petitioner’s agency; they were involuntary.
Petitioner’s claim that he used the funds at issue on behalf
of IL NA Tours, i.e., “to keep it in business”, is contradicted
by the objective evidence in the record. As late as April 1988,
Northwest remained willing to do business with petitioner and his
corporations, providing them with substantial ticket stock for
resale pursuant to the terms of the Interim Agreement,
notwithstanding that they had acknowledged selling Northwest’s
tickets and failing to remit proceeds in an amount exceeding $8
million. (Presumably, Northwest made the business calculation
that its chances of ever seeing its money were better if
petitioner’s corporations were allowed to continue operations.)
However, what Northwest perceived as petitioner’s unrelenting
efforts to hide the missing funds from Northwest’s auditors--that
is, his refusal to cooperate in providing the information he had
agreed to provide in the Interim Agreement, even when both sides
acknowledged that ticket proceeds exceeding $8 million had not
been remitted--ultimately prompted Northwest to file suit and
38 An additional $137,128 of the funds that the record
establishes were taken from the IL NA Tours’ account and placed
in the Sam Han account was not revealed and made subject to the
TRO until Oct. 14, 1988.
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