Joseph R. Rollins - Page 18

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               foundations “naturally” deal with their donors and                     
               their donors’ businesses.                                              
                    If a substantial donor owns an office building,                   
               the foundation should look elsewhere for its office                    
               space.  (Interim rules provided in the case of existing                
               arrangements are discussed below.)  A recent issue (May                
               1969) of the American Bar Association Journal                          
               discussing an instance of an attorney purchasing assets                
               at fair market value from an estate he was representing                
               suggests the problems even in “fair market value” self-                
               dealing:                                                               
                    The Ethics Committee said that it is                              
                    generally “improper for an attorney to                            
                    purchase assets from an estate or an executor                     
                    or personal representative, for whom he is                        
                    acting as attorney.  Any such dealings                            
                    ordinarily raise an issue as to the                               
                    attorney’s individual interest as opposed to                      
                    the interest of the estate or personal                            
                    representative whom he is representing as                         
                    attorney.  While there may be situations in                       
                    which after a full disclosure of all the                          
                    facts and with the approval of the court, it                      
                    might be proper for such purchases to be made                     
                    * * * in virtually all circumstances of this                      
                    kind, the lawyer should not subject himself                       
                    to the temptation of using for his own                            
                    advantage information which he may have                           
                    personally or professionally * * *”                               
         S. Rept. 91-552, 29, 30-31 (1969), 1969-3 C.B. 443, 444.  To the             
         same effect, see also TRA ‘69 Blue Book 31, 32.                              
              c.  Sec. 4975 (ERISA ‘74)                                               
               By 1974, the Congress reached similar conclusions about the            
          same sorts of transactions involving employees plans.                       











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