J. Ramsay Farah and Elizabeth Farah - Page 11




                                        -11-                                          
          Petitioners’ Move Back to Hagerstown and the Sale of the Berlin             
          House and the South Point Road Lot                                          
               In January 2001, Ms. Farah was diagnosed with an aggressive            
          and rare form of lung cancer requiring major surgery and medical            
          followup.  At that time, petitioners were unsure of her chances             
          of survival and their prospects for the future.  As they needed             
          additional funds, and felt Ms. Farah’s future medical needs would           
          be best served in a major medical center, petitioners decided to            
          sell the Berlin house and the South Point Road lot.                         
               In March 2001, Dr. Farah consulted with his attorney                   
          regarding his estate plan and the sale of the two properties.  On           
          March 11, 2001, petitioners entered into a listing agreement to             
          sell the Berlin residence, together with the South Point Road               
          lot.  The listing agreement listed the owner of the South Point             
          Road lot as the Family Partnership.  Petitioners never considered           
          selling the properties separately.                                          
               In the spring of 2001, Dr. Farah was a candidate for a                 
          position on the Maryland Board of Physician Quality Assurance               
          (BPQA).   Dr. Farah’s candidate submission to the BPQA                      
          represented that he resided in Hagerstown, Maryland.  In May                
          2001, Dr. Farah began working part time as the Medical Director             
          for Colonial Management Group in Hagerstown, Maryland.                      
          Consequently, Dr. Farah began spending more time in Hagerstown.             









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