- 12 - meetings. As an example of the latter, minutes of the HGAMC board meeting held on June 27, 1997, read as follows: The Executive Director, Homer L. Richardson as instructed by the Board of Directors made available to the Board of Directors research from the Aegis Company, Court Cases and legal opinions regarding IRS Notice 97- 24. Mr. Richardson provided a report from the Aegis Company that addressed each paragraph of IRS Notice 97-24 in which it was pointed out that Notice 97-24 was concerned with I.R.C. Sec 671-679 as it pertains to grantor trusts and that when a person attempts to apply business trust procedures of tax reduction to an “ordinary trust” the trust is labeled by the IRS as an “abusive trust”. The report concluded that 97-24 is not addressing legitimate business trusts. Mr. Richardson also provided a copy of American Jurisprudence Second Edition volume 13 Business Trusts, Excerpts from Executive’s Business Law Section regarding Business Trusts, a report from George M. Turner, M.S. J.D. regarding the legal foundation of the Business Trust and taxation of a Business Trust and a report from the Yale law [sic] Journal titled the trust as an instrument of Commerce. The materials supplied, the legal opinions and the research conducted regarding business trusts do not support the position that the Aegis business trust is the kind of trust that is addressed in IRS Notice 97- 24. In addition to personally implementing an Aegis multitrust package, Mr. Richardson also became involved in the promotion and sale of the Aegis system. Beginning in 1996, Mr. Richardson sold Aegis trust packages through Asset Protection Services, and it was this business that was managed by HGAMC under the contractual arrangement detailed above. Generally, HGAMC would retain a percentage of the sales price of a trust package as a commissionPage: Previous 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 Next
Last modified: May 25, 2011