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expenses under section 2053 paid by or on behalf of the estate
and the estate had enough income with which to pay the additional
expenses.
2. Whether the Additional Expenses Were Paid on Behalf of
the Estate
Respondent contends that the additional expenses are not
administration expenses because they were not paid on behalf of
the estate. The estate points out that Bergreen testified that
the estate paid $4,507,723 to Cullen & Dykman, Price Waterhouse,
Fensterstock & Partners, Pearl Meyer, and Carter Ledyard for
necessary services provided to the estate. The estate contends
that the additional expenses were paid on its behalf. We agree
in part and disagree in part with both parties.
a. Payments to Pearl Meyer
Bergreen’s memorandum, Exhibit 48-R, states that the
foundation hired Pearl Meyer. The estate points out that it paid
Pearl Meyer and contends that respondent reads Bergreen’s
memorandum out of context. We disagree.
Bergreen’s memorandum is consistent with the objective facts
of this case, including: (1) The New York State attorney
general’s office asked the foundation, not the estate, to
evaluate reasonable compensation of nine foundation executives
including Bergreen and Moody; (2) the Pearl Meyer findings with
respect to Bergreen and Moody are based primarily on Bergreen’s
and Moody’s activities for the businesses and the foundation, not
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