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shareholder utilized the corporation to steal from, embezzle
from, or otherwise defraud other stockholders or third parties
dealing with the corporation or shareholder.” Id. at 1297; see
also United States v. Peters, 153 F.3d 445 (7th Cir. 1998)
(citing Truesdell with approval).
Respondent contends that the instant case should be governed
by Leaf rather than Truesdell because petitioner took the funds
at issue to defraud a third party (Northwest) dealing with the
corporation. We disagree. The unreported income issue is new
matter which respondent raised by amendment to answer to the
amended petition. Therefore, respondent has the burden of proof
on this issue. Rule 142(a). Respondent has not shown by a
preponderance of the evidence that the funds taken by petitioner
belonged to Northwest as opposed to IL NA Tours or one of the
other corporations of which petitioner was the sole shareholder.
Northwest issued the ticket stock to petitioner’s corporations at
a large discount. Money for the ticket stock was due after the
tickets were sold. The corporations were entitled to substantial
commissions for the sold tickets. There is no evidence that IL
NA Tours, or any of petitioner’s other corporations, segregated
the funds due Northwest or that the consolidator agreement
required them to do so. In addition, the NA Tours companies
served as consolidators for Korean Air Lines, and Air America and
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