-220-
and records of IRA, THC, Carlco, TMT, and BWK, respondent
requested production of documents relevant to determining the
ownership of these entities, including stock ledgers and records
of stockholders. At the start of the trial, Kanter’s counsel
informed the Court that no documents would be produced because
the subpoenas were served on Gallenberger and she was not the
custodian of records for IRA, THC, Carlco, TMT, and BWK. Dick,
Transcr. at 26-27. Kanter’s counsel informed the Court that
Kanter was the custodian of the records in question. Dick,
Transcr. at 26-27. Respondent then served Kanter with subpoenas
for the documents in question. Transcr. at 28.
Petitioners produced complete THC trial balances only for
1980 and 1981. Exhs. 5850, 5851. Respondent possessed from
prior audits (1) partial general ledgers of THC for 1983, 1984,
and 1985, Exhs. 148-150, and (2) partial trial balances of THC
for 1983 and 1984, Exhs. 161-162; Gallenberger, Transcr. at 2510-
2511. There are no complete receipts and disbursement journals,
general ledgers, or trial balances for THC for 1980, 1981, 1982,
1985 (partial), 1986, 1987, 1988, and 1989. Accordingly,
payments made by Schaffel, Frey, and Eulich/Essex Partnership to
THC are not traceable through THC’s books and records.
Gallenberger had in her possession the records of THC for
1986, 1987, and 1988 and at some point turned those records over
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