- 3 - Petitioner was an attorney and was admitted to the practice of law. During 1985, petitioner had a money market account at Jacksonville Savings and Loan Association (money market account) and a bank account at Atlantic National Bank of Florida (Atlantic National account). B. Petitioner’s Real Estate Activities Petitioner was involved in several real estate development projects in 1985 which we refer to as Southern Grove I, Southern Grove II, Beach Harbor I, and River Creek. He financed those projects with bank loans that he obtained in 1985 totaling $822,500 for Southern Grove I, $525,000 for Southern Grove II, $1,125,000 for Beach Harbor I, and $1,186,750 for River Creek. Petitioner used shell corporations to buy land from third parties and immediately resell the land at inflated prices to limited partnerships that he controlled. He concealed from lenders the fact that he controlled the shell corporations, that he had purchased the land at prices substantially lower than the inflated resale prices, and that the limited partnerships had not made substantial downpayments. Petitioner used part of the loan proceeds to buy property from third party sellers and to pay other development costs. In addition, petitioner’s attorney wrote checks paying part of the loan proceeds to petitioner’s shell corporations. In 1985, petitioner endorsed some of those checks and deposited thePage: 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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