- 9 - compromised due to the longstanding nature of the case; (4) petitioners were defrauded by Hoyt; and (5) the offer-in- compromise should be accepted based on equity and public policy grounds. On February 22, 2005, a telephone section 6330 hearing was held between Mr. Owens and Ms. Gellner. During the hearing, Mr. Owens requested more information regarding changes in income and expenses reported on the Form 433-A, a second mortgage on petitioners’ house obtained in May 2001, and refinancings of petitioners’ house in June 2002 and February 2004. Because she did not have the requested information, Mr. Owens allowed Ms. Gellner additional time to confer with petitioners. On February 28, 2005, and March 3, 2005, petitioners sent additional letters to Mr. Owens explaining the changes in income and expenses, the second mortgage, and the refinancings. With regard to the second mortgage and the refinancings, petitioners stated: The Lindleys obtained a second mortgage for $110,500.00 in May 2001 at 12.02% interest. * * * The June 2002 refinance absorbed all of the remaining $110,500.00 second mortgage except for $35,000.00, which could not be included because that amount exceeded 80% of the appraised value. Thus, $35,000.00 was still at the high interest rate of 12.02% when the June 2002 refinance was complete. The February 2004 mortgage for $45,000.00 was used to pay the high interest $35,000.00, a $7,500.00 note with Telco Credit Union, and $2,500.00 toward credit cards.Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 Next
Last modified: May 25, 2011