Can we expose bk467p191?       Where did the money go?      

       

 

12th account and the report of it

1,475.97 - 816.00 = 659.97

I am trustee for a trust under the will of our Dad H. A. O'Connell. I did the accounting for the trust except for one year, in 1991 when the CPA Joanne Barnes did it (7th trust court account and 1991 fiduciary returns). I could not get Joanne Barnes to explain or correct her accounting (7th trust court account and 1991 fiduciary returns) so in my 12th trust court account I ask the Commissioner of Accounts for help. I use the accounting trail 1,475.97 - 816.00 = 659.97 as an example.

The accounting trail 1,475.97 - 816.00 = 659.97 is the simplest example of an accounting entanglement. An accounting entanglement is used as a wedge and takeover tool and as cover. Whoever controls the accounting entanglements controls the people and assets that are entangled. If you can recognize the dynamics in the accounting entanglement 1,475.97 - 816.00 = 659.97 you can recognize the same dynamics in the more complicated ones.

The 1,475.97 - 816.00 = 659.97 entanglement was created by Joanne Barnes preparing a figure for the Court that was different from the figure for the IRS when the figures should be the same; 816.00 was prepared for the IRS and 1,475.97 was prepared for the Court:

To the Court in the Seventh Account for the Trust u/w of H. A. O'Connell at Bk480p1768:
"Payable to the Esate of Jean M. O'Connell ... ... ... ... $ 1,475.97"

To the Court in the First Account for the Estate of Jean O'Connell at Bk467p192:
"Int fm Harold O'Connell Trust  ......................................... 816.00
 Debt fm Harold O’Connell Trust ...................................... 659.97 "

To the IRS and the State in the Estate tax return and it's two amendments:
"4 Interest due Harold O'Connell Trust  ......................................... 816.00
  5 Debt due from Harold O’Connell Trust ..................................... 659.97"

One indicator of the importance of an accounting entanglement such as 1,475.97 - 816.00 = 659.97 is that the accountant's who created the numbers, reported the numbers, asked me about the numbers, and approved the numbers, do not recognize the accounting trail 1,475.97 - 816.00 = 659.97, or any accounting trail, for these numbers when asked.

The issue is not the amount of money. The issue is that it is an accounting entanglement. Making the issue the amount when the amount is small makes the issue appear insignificant and not worth addressing.. Accounting entanglements are ubiquitous at Bk467p191 and make it impossible to expose the accounting trails and find out where the money went.

Please compare the actual 12th account with the report of it to the Judges. I don't understand why Jesse Wilson does not recognize the accounting trail 1,475.97 - 816.00 = 659.97 or any accounting trail for these numbers. I don't understand why it took me fifteen years to understand how Jesse Wilson does accounting. By then it was too late. Jean O'Connell had died and left her family and her assets in the control of the accountants. Our family has been rendered powerless, we can't find out where the money went, the accountants have invisible control of Accotink, and there is no end in sight. Families should know before it is too late.

I don't understand why my 12th trust account asking the Commissioner of Accounts for help in getting the accountants to remove their accounting entanglements resulted in the Commission closing the trust accounting; or why my 12th account was described in the Commissioner's Report to the Judges differently from what it was.

Does it appear that there are two paper trails; one that the accountants put in the Court records that makes the family appear as the problem so the accounting trails don't have to be exposed, and the actual one which shows how the accountants make it appear as if the family is the problem?

I don't understand why confusion or conflict would ever be a reasonable justification to stop exposing the accounting trails. Confusion and conflict, especially in accounting, are flags to see what is behind them.

Differences between the actual 12th account and the Report of it to the Judges

12th Trust account (narrative only)

1999.08.09 Anthony O'Connell to Jesse Wilson and Henry Mackall
(The Trust's Twelfth Court Account, covering the period from 1996.1.1 to 1996.12.31)
"A check for $63.00 is enclosed to file this Twelfth Account. This is not a Final Account.
The accounting for the Trust u/w of H. A. O'Connell was entangled with the accounting of the Estate of Jean M. O'Connell, fiduciary # 49160, by the CPA (firm) I hired and by the lawyer who is co-executor for the Estate:
Ms. Jo Anne Barnes, CPA (firm).
Bruner, Kane & McCarthy, Limited
700 North Fairfax
Alexandria, Virginia 22313
Mr. Edward White, Attorney and Co-Executor
P.0. Box 207
Kinsale, Virginia 22488 (Last known address)
Those who control the entanglements control the people and assets that are entangled. I have experienced the CPA-lawyer entanglements before and know it would be foolhardy to try to sell Accotink (my family's remaining real estate, B8845 p1444 and B8307 p1446) until all the entanglements are removed and the accountings are clear.
To keep this Twelth Account simple and clear I will only address one of the known entanglements. In short, the CPA (firm) did the Trust's Seventh Court Account in a manner that required me to pay the Estate $ 1,475.97. The lawyer discovers that this is $659.97 too much. I can't get the CPA (firm) or the lawyer to address this $659.97 debt much less pay it back. This one is easy to see because it is clearly stated in the beginning of the Estate accounting as a Debt from the Harold O'Connell Trust 659.97. If you review the attached pages 1 through 17 that are part of this Twelfth Account you may notice that:

  • The lawyer unilateraly hires the CPA into the Estate (page 1).
  • The lawyer will seek my sister's approval to sue me if I don't file the Trust's Seventh Court Account early (page 1). The combined advice of the CPA(firm) and the lawyer force me to file it approximately eighteen months earlier than the Commissioner's scheduled date of October 20, 1993, because I cannnot convince my sister, Jean Nader, that their combined advice is wrong (pages 5,6 and 7). This places the filing of the Trust Account before the filing of the Estate Tax Return that is due on June 15, 1992. This makes it easier to entangle the Trust accounting with the Estate Tax Return accounting and make it appear to my family that the estate was damaged by my management of the Trust.
  • The lawyer's letter of April 22, 1992 lists a Debt from the Harold O'Connell Trust   659.97 (page 3) even though I do not sign or submit the Trust's Seventh Court Account that created the $659.97 debt until May 11, 1992 (page 8). The lawyer's letter of May 19, 1992 makes it appear that he doesn’t know what this $659.97 is about and that it is my fault (pages 9 and 10).
  • This $659.97 debt is reported to the IRS (page 16 ). But when I ask the lawyer and CPA (firm) about this $659.97 debt they avoid it (page 15), don't know what I'm talking about (text box on page 16), or don't respond (page 17).

Do any of you have the power to compel the CPA (firm) and the lawyer to:
1. Explain why they created this $659.97 debt.
2. Explain why I am made to appear responsible for it.
3. Show exactly where this $ 659.97 debt is now.
4. Pay the $ 659.97 back from the estate to the trust.
5.  Do it without inflicting anymore cost and conflict on any member of my family.
I want to keep this simple but you have to understand that the CPA (firm) and the lawyer avoid accountability by using a trusting family member, with no accounting background, such as my sister, Jean Nader, co-executor, to cover for them. Please note the advice that the lawyer expects Jean Nader to rely upon in his letter of April 22, 1992. Jean Nader is innocent and is being used.  She does not understand that she is being used. She is not responsible for what the CPA (firm) and the lawyer did. She did not do the accounting. I did not do the accounting. The CPA (firm) and lawyer did the accounting. They will use Jean Nader again and again and again. She has been led to believe that keeping estate accountings a secrect is being loyal to our mother (which makes me appear disloyal). You have to go around Jean Nader to compel the CPA (firm) and the lawyer to be accountable. Please; positively, absolutely, completely, and without exception, do not allow the CPA (firm) and the lawyer to inflict anymore cost and conflict on any member of my family. If you don't have the power to compel the the CPA (firm) and the lawyer to expose and remove the entanglements they created, please understand how I can't.
I would appreciate any effort you might make. Thank you.

 

Report to the Judges (narrative only)

2000.08.08   (Jesse Wilson's Report to the Judges)
"To the Honorable Judges of Said Court:
RE: Estate of Harold A. OConnell, Trust
Fiduciary No. 21840
1. By a Tenth Account duly filed herein and approved by the undersigned on August 25, 1995, the trustee herein, Anthony M. 0'Connell, properly accounted for all of the remaining assets reported as being assets of the trust created by the will of Harold OConnell and reported a zero balance on hand. A copy of said account is filed herewith as Exhibit 1.
2. By an Eleventh Account, Anthony M. OConnell, trustee, again reported zero assets on hand and no receipts or disbursements. A copy of said account is filed herewith as Exhibit 2.
3. Both the Tenth and Eleventh accounts carried the notation "This is not a final account".
4. In the ordinary case, an account which shows the distribution of all remaining assets is filed as a Final Account, and its approval terminates the fiduciary's responsibility to the Court and permits the Commissioner of Accounts to close the file.
5. The said trustee has also filed a Twelfth Account in which he reports as an asset $659.97 "due from the Estate of Jean M. OConnell".  A copy of that "account" is enclosed herewith as Exhibit 3.
6. The Estate of Jean M. OConnell, deceased, Fiduciary No. 49160, was closed in the Commissioner of Accounts office after approval of a Final Account on May 31, 1994.
7. The said $659.97 was the subject of correspondence between the said trustee and Edward J. White, attorney and co-executor of the estate of Jean M. OConnell, copies of which are attached hereto as Exhibits 4*[May 19, 1992, letter] and 5. In his letter,
Exhibit 5, the trustee explains that the $659.97 is part of a net income payment of $1,475.97 which the trust owed the estate of Jean M. OConnell. In that same letter, the trustee states that "At this point in time, I believe Mr. Balderson and I are of one mind that the estate does not owe the trust and the trust does not owe the estate".
Mr. Balderson was a CPA for the estate. Both of these letters were provided to the Commissioner of Accounts by the trustee in support of his "Twelfth Account".
8. The trustee also provided the Commissioner with a copy of a page from a "Jean M. OConnell estate tax analysis" which shows $659.97 under "Assets" of that estate as "Debt from Harold OConnell Trust".  A copy of that page is attached as Exhibits 6.
From a review of this information the Commissioner finds that there is no evidence to support an assertion by the trustee that the $659.97 is an asset of the trust. To the contrary, it appears that either it is not a debt at all, or, from the estate's point of view, it was money owed by the trust to the estate, i.e. an asset of the estate of Jean M. OConnell. That estate has been closed for more that six years.
Accordingly, the foregoing Eleventh Account of Anthony M. OConnell, Trustee has been marked a "Final Account" by the undersigned and is hereby approved as a Final Account in the trust under the will of Harold A. OConnell and is filed herewith.
In the event that the trustee is successful in recovering $659.97 or any other funds which are proper trust assets to be accounted for, such may be reported to the Commissioner of Accounts by an Amended Inventory and, thereafter, accounted for by proper accounts.
GIVEN under my hand this 8th day of August, 2000.
Respectfully submitted,
Jesse B. Wilson, III
Commissioner of Accounts
Fairfax County, Virginia
JBW:jcs
Enc.: Exhibits, 1 - 6
cc: Anthony M. OConnell, Trustee"
(See the exhibits in the pdf reference)

*Exhibit 4 (May 19, 1992, letter)

1992.05.19   (Edward White to Anthony O'Connell, c/o E.A. Prichard, copy to Jean Nader)
"In your letter of May 6 to Jean you asked that I communicate with you with regard to the Harold O'Connell Trust.
I am trying to prepare the estate tax, and as usual in these cases, there are problems trying to understand the flow of debts and income.
I do have a few questions which are put forward simply so that the figures on the Trust's tax returns and accounting will agree with the estate's.
1. The K-1 filed by the Trust for 1991 showed income to your mother of $41,446.00. The Seventh Accounting appears to show a disbursement to her of $40,000.00 plus first half realty taxes paid by the trust for her and thus a disbursal to her of $1794.89. If these two disbursals are added the sum is $41,794.89. This leaves $348.89 which I cannot figure out. It could well be a disbursal of principal and not taxable. 1
2. The K-1 filed by the Trust showed a payment of $816.00 in interest to the estate. You sent a check in the amount of $1475.97 to the estate. What was the remaining $659.97? Do I have this confused with the tax debt/credit situation which ran from the Third Accounting? 2
3. On the Seventh Accounting "Income per 7th Account" is shown as $5181.71, but I cannot figure that one out either.
I am of the opinion that the estate owes the trust for the second half real estate taxes from September 15, 1991 through December 31, 1991 in the amount of $1052.35. This is shown on your accounting a disbursed to the heirs. Should this be paid back to the heirs or to the Trust?
I believe that the income received from the savings accounts from September 15 to the date the various banks made their next payment to the Trust (9/30 and 9/21) should be split on a per diem basis, since the Trust terminated on her death. This will be a small amount of course.
Are there any other debts which your Mother owed the Trust? 3
I realize that Jo Ann Barnes prepared this and if you authorize it I can ask her to help me out.
Please understand that I have no problem with the Accounting, I m just trying to match things up. In the long run, since the beneficiaries are the same, the matter is academic. 4
Please send the bill for the appraisal whenever you receive it. Jean is filing the Fairfax form for re-assessment in her capacity as a co-owner in order to give us a better basis to get this assessment changed and to meet the county's deadline. It will state that the appraisal you have ordered will follow. I think this will be to all of your benefit in the long run.
Sincerely, Edward J. White"

1 The K-1 reports $41,446.00 to the IRS but the Court account reports something different from $41,446.00 but Edward White is confused about what it is.

2 The K-1 reports $816.00 to the IRS but the Court account reports $1,475.97, creating a difference of $659.97.

I sent a check to the Estate for $1,475.97 because that is what Joanne Barnes' accounting told me to do. The 1991 accounting (7th) for the Court at Bk480p1768 says: "Payable to the Estate of Jean M. O'Connell ... ... ... ... $1,475.97". Can Joanne Barnes explain why she did this and then made the amount on the K-1 $816?

3Flag. This makes it appear as if I would be responsible for other "debts" such as unpaid capital gains taxes on the 1991 Lynch payment of $125,188 and unpaid capital gains taxes on the 1992 Lynch payment of $545,820. See 4debts2payments.

4 Flag for accounting entanglements. "... since the beneficiaries are the same, the matter is academic." and similar phrases implies that the issue is the amount of money and that they are not worth correcting because the amount is so small. The actual issue is that they are accounting entanglements. I am powerless to stop the accountants from making the family appear responsible for them much less remove them.

I tried to get the accountants to address Edward White's May 19, 1992, questions in writing but they would not do it. By default I responded to Edward White's questions in writing and repeated the explanations the accountants had given me. This was a mistake. It allows the accountants to use my letter to make me responsible for what the accountants do:

From Jesse Wilson's Report to the Judges:
"7. The said $659.97 was the subject of correspondence between the said trustee and Edward J. White, attorney and co-executor of the estate of Jean M. O'Connell, copies of which are attached hereto as Exhibits 4 and 5. In his letter, Exhibit 5, the trustee explains that the $659.97 is part of a net income payment of $1,475.97 which the trust owed the estate of Jean M. O'Connell. In that same letter, the trustee states that "At this point in time, I believe Mr. Balderson and I are of one mind that the estate does not owe the trust and the trust does not owe the estate".
Mr. Balderson was a CPA for the estate. Both of these letters were provided to the Commissioner of Accounts by the trustee in support of his "Twelfth Account".

Edward White's letter of May 19, 1992, and the Commisioner's letter of January 12, 1992, asking me to correct something in Joanne Barnes accounting creates a paper trail that makes it appear that the accounting entanglements/descrepances were pointed out to me and that I was asked to correct them, and I did not correct them. Families should know that they have to preserve their own paper trails of what actually happened to counter paper trails that are different from what actually happened.

 

Related letters

2000.08.08   (Jesse Wilson to Anthony OConnell)
"Enclosed please find a copy of my report approving your 1l th account as trustee in the above matter as your Final Account. As you will see from the report, it appears to me from the information you have provided that the $659.97 debt you report is not a trust asset. Even if the debt existed as you suggest, it's collectability would be so problematic and uncertain, and the effort so costly, as to render it worthless and make reasonable a decision for it to be abandoned as an asset. It certainly should not be the basis for keeping this trust estate open and requiring the filing of annual accounts indefinitely.
In the event that the trustee is successful in recovering $659.97 or any other funds which are proper trust assets to be accounted for, such may be reported to the Commissioner of Accounts by an Amended Inventory and, thereafter, accounted for by proper accounts.
If you disagree with this action by me, you may file exceptions with the
Court within fifteen (15) days of the filing of my report and take the matter up directly with the Court.
Very truly yours,
Jesse B. Wilson, III
Commissioner of Accounts"

2000.08.08   (Jesse Wilson to Anthony OConnell)
"RE: Estate of Jean M. OConnell
Fiduciary No. 49160
Dear Mr. OConnell
This will acknowledge receipt of a copy of your letter of July 24, 2000 to Judges of the Nineteenth Judicial Circuit Court of Virginia.
While I do not presume to speak for the Court or any of the Judges, I think that it is safe to say:
(1) the Court is not organized or constituted for the purpose of conducting the sort of investigation required to establish the facts that you allege in your letter. The Court can only decide cases based on evidence produced by others;
(2) the officials who are responsible for conducting investigations of alleged crimes in Virginia are the Commonwealth Attorneys (the prosecutors) in each jurisdiction and the police departments and their detectives. If the available facts are sufficient to convince the Commonwealth's Attorney that it can be proved that a crime has been committed, and that a prosecution is not barred by the statute of limitations, his/her job is to bring the matter before the Court.
I hope this will be helpful.
Very truly yours,
Jesse B. Wilson, III
Commissioner of Accounts"