Mark N. Wright and Erica Y. Wright - Page 14

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          and paid for these expenditures with the $54,000 deposited in               
          their Leadenhall bank account.                                              
               E. Petitioners’ Health                                                 
               Mr. Wright has experienced health problems in recent years.            
          In 2003, Mr. Wright had a stroke.  In 2004, he developed chest              
          pressure and following a stress test underwent several procedures           
          including two heart catheterizations and placement of stents into           
          obstructed arteries.  In 2005, Mr. Wright sought treatment for              
          memory loss and was scheduled to receive further memory testing             
          at the time of trial.  Mrs. Wright also has health problems                 
          having suffered from Crohn’s disease for more than 20 years.                
               F. Procedural History                                                  
               On November 22, 2002, petitioners filed a joint bankruptcy             
          petition under chapter 13 of the Bankruptcy Code.  On March 5,              
          2004, the bankruptcy court issued an order denying confirmation             
          and dismissing the case.  In response, Mr. Wright on March 10,              
          2004, filed a voluntary conversion of his chapter 13 case to a              
          chapter 7 case.  Mrs. Wright did not join in the conversion.  As            
          a result, the bankruptcy court directed that the joint bankruptcy           
          case be separated on July 1, 2004.  In September 2005, the                  
          bankruptcy court adjudged Mr. Wright’s debts to Ms. Mohr, then in           
          the amount of $172,010.17, to be nondischargeable.  Mr. Wright’s            
          chapter 7 case was discharged by the bankruptcy court on December           

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