- 7 - Kildare Timmy did not execute a note with respect to either of the Frederick Underwriters’ 1992 loans to Mr. Ramsburg. Kildare Timmy did not make any payments of principal to Mr. Ramsburg or Frederick Underwriters with respect to either of such loans. On December 31, 1994, Mr. Stottlemeyer executed a document entitled “NOTE” (Mr. Stottlemeyer’s note)6 that provided in pertinent part: I Carroll K. Stottlemeyer, after date, FOR VALUE RECEIVED, the Undersigned, jointly and severally, promise to pay to the order of Jacob R. Ramsburg Jr., the lesser of my share of cash proceeds from disposi- tion of horses owned by the entity known as Kildare Timmy or the sum of one hundred fourty six thousand seven hundred and fifty Dollars payable at the offices of Frederick Underwriters, with interest from date at the rate of 0% per annum. [Reproduced literally.] 5(...continued) failed to carry their burden of showing, that Frederick Under- writers did not make the Frederick Underwriters’ 1995 loans to Mr. Ramsburg in his individual capacity, that Mr. Ramsburg did not sign Mr. Ramsburg’s 1995 notes in his individual capacity, and that he did not transfer the proceeds of Frederick Underwrit- ers’ 1995 loans to Mr. Ramsburg to Kildare Timmy as capital contributions. In any event, whether (1) Frederick Underwriters’ 1992 loans to Mr. Ramsburg and Mr. Ramsburg’s 1992 notes or (2) Frederick Underwriters’ 1995 loans to Mr. Ramsburg and Mr. Ramsburg’s 1995 notes were outstanding at the end of 1997 and on the next day (i.e., Jan. 1, 1998) on which Kildare Timmy distrib- uted all of its assets to Mr. Ramsburg does not affect our findings and conclusions herein. For convenience, we shall hereinafter refer only to Frederick Underwriters’ 1992 loans to Mr. Ramsburg and Mr. Ramsburg’s 1992 notes. 6By using the term “Mr. Stottlemeyer’s note”, we do not intend to suggest that for tax purposes there was a loan by Mr. Ramsburg to Mr. Stottlemeyer.Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 Next
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