Patrick G. & Valerie V. O'Malley - Page 38




                                        - 38 -                                         
          balance of the estimated $225,000 fair market value of lot 12                
          (i.e., $45,000) was to be reflected as a loan from petitioners to            
          Edward O’Malley on which Edward O’Malley was not required to make            
          any payments; (6) petitioners were to pay all the expenses relat-            
          ing to lot 12, including all real property taxes; and (7) Edward             
          O’Malley was to retransfer lot 12 to petitioners after a five-               
          year period.                                                                 
               On June 14, 2000, pursuant to the agreement between Edward              
          O’Malley and Mr. O’Malley, (1) petitioners entered into a trans-             
          action with Edward O’Malley with respect to lot 12 that was                  
          structured in the form of a sale of lot 12 by petitioners to                 
          Edward O’Malley; (2) Edward O’Malley borrowed $180,000 from F&M              
          Bank and secured that loan with lot 12; and (3) Edward O’Malley              
          transferred to petitioners all but $8,475 of the $180,000 F&M                
          Bank 2000 loan, or $171,535.34                                               
               Pursuant to the agreement between Edward O’Malley and Mr.               
          O’Malley, as modified by them when Edward O’Malley agreed to                 
          refinance the $180,000 F&M Bank 2000 loan, petitioners made from             
          July 2000 through December 2005 payments totaling $69,538.49 to              
          F&M Bank on the $180,000 F&M Bank 2000 loan or the refinanced F&M            
          Bank 2000 loan.  Pursuant to the agreement between Edward O’Mal-             
          ley and Mr. O’Malley, as modified by them when Edward O’Malley               
          agreed to refinance the $180,000 F&M Bank 2000 loan:  (1) From               

               34See supra note 15.                                                    






Page:  Previous  31  32  33  34  35  36  37  38  39  40  41  42  43  44  45  Next 

Last modified: November 10, 2007