Source: s3://data.kl3m.ai/documents/govinfo/USCOURTS/USCOURTS-caed-1_02-cv-06578/USCOURTS-caed-1_02-cv-06578-1/pdf.json

Nature of Suit Code: 870
Nature of Suit: Tax Suits
Cause of Action: 26:7403 Suit to Enforce Federal Tax Lien

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28 Amended Judgment

McGREGOR W. SCOTT

United States Attorney

G. PATRICK JENNINGS

Trial Attorney, Tax Division

U.S. Department of Justice

P.O. Box 683

Ben Franklin Station

Washington, D.C. 20044-0683

Telephone: (202) 307-6648

Attorneys for the United States of America

UNITED STATES DISTRICT COURT

EASTERN DISTRICT OF CALIFORNIA 

UNITED STATES OF AMERICA, )

 )

Plaintiff, )

 )

v. )

 )

LIEN C. THOMAS, et al., )

 )

 )

Defendants. )

 )

Case No. CIV-F-02-6578 AWI LJO

(1) AMENDED STIPULATION FOR

ENTRY OF JUDGMENT, 

(2) AMENDED JUDGMENT IN A CIVIL

CASE, and 

(3) ORDER

The active parties in this case are the United States, Lien C. Thomas (individually and

as trustee of various trusts), Jeffrey A. Thomas, Maria D. Anthony, the California Franchise

Tax Board (“FTB”), the County of Stanislaus, Clara Sharp, Danny D. Byker, and Judith L.

Byker. This amendment adds the County of Stanislaus, which holds a newly discovered

lien, as an active party. No other material change is made. It is hereby stipulated and

agreed by all active parties that final judgment may be entered as follows:

JUDGMENT IN A CIVIL CASE

1. Judgment is entered in favor of the United States and against Lien C. Thomas,

in the amount of $221,242.82, plus interest accruing after November 1, 2002, pursuant to

26 U.S.C. § 6601, 6621, and 6622, and 28 U.S.C. § 1961(c) until paid, for the unpaid federal

individual income tax, penalties, and interest for the taxable years ending December 31,

Case 1:02-cv-06578-AWI-GSA Document 79 Filed 04/20/06 Page 1 of 5
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28 - 2 - Amended Judgment

1988, 1989, 1991, and 1992.

2. The collection of this judgment and related tax liens on the property of Alan

Thomas has been settled by the following agreement. If the following obligations are

performed within 60 days of the date of this Judgment, the United States will file with the

Court a Satisfaction of Judgment.

a. The proceeds and payments described below will be paid to the Court

to be divided between the California FTB, the County of Stanislaus, and

the United States in full satisfaction of the federal individual income tax

liabilities of Allan Thomas and Lien Thomas for 1988, 1989, 1991, and

1992 (the “years in suit”). 

b. Lien C. Thomas, Jeffrey A. Thomas, and Maria D. Anthony as

individuals and on behalf of the Peabody Trust, the Homequity Trust,

the Common Sense Trust, the Gemini Funding Group, and the

Thomas/Pioneer Trust (collectively the “Thomases”) relinquish any

interest in the proceeds of the property and the property which was

identified in the amended complaint in the above-referenced case

(except the Thomas residence, discussed below). All such assets

(except the Thomas residence) will be liquidated and the proceeds

would be deposited to the Court to be divided later between the

California FTB, the County of Stanislaus, and the United States.

c. In addition to the foregoing, Lien Thomas would pay to the Court 80% of

the equity in her residence (3908 Lindenwood Court, Modesto,

California, as described in the amended complaint) in the amount of

$150,000.00 to be divided later between the California FTB, the County

of Stanislaus, and the United States. 

d. All parties would cooperate in government efforts to obtain Clara

Sharpe’s payment of the outstanding balance of the Sharp Note, in the

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28 - 3 - Amended Judgment

amount of $188,000; which proceeds would be deposited to the Court to

be divided later between the California FTB, the County of Stanislaus,

and the United States.

e. From the foregoing payments, the California FTB, the County of

Stanislaus, and the United States would agree to a division and

distribution of the proceeds in accordance with the priority of

assessments or as otherwise agreed.

f. The Internal Revenue Service will retain any funds previously levied

relating to the liabilities for the years in suit. The Thomases waive any

right to seek a refund of the settlement payments or previously levied

funds.

g. The United States, the California FTB, and the County of Stanislaus,

agree to cooperate in subordinating or discharging the tax liens from the

Thomas residence to permit the Thomases to borrow the settlement

payment in a loan secured by the Thomas residence.

h. If the proceeds and payments are deposited to the Court as set forth

above, and after the division of the deposited funds, within a reasonable

time the United States will file a satisfaction of the judgment, release the

federal tax liens relating to the years in suit, and abate any unpaid

balance for the years in suit.

i. The parties are to bear their respective costs, including any possible

attorney's fees or other expenses of this litigation.

3. Numerous other parties were named as defendants due to their claim of

interest in the notes and deeds of trust described in the amended complaint in this case. 

With the exception of the Sharp note, all such obligations have been liquidated and the

proceeds deposited to the Court. All defendants except those specifically named above are

dismissed from this case.

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28 - 4 - Amended Judgment

4. The Court retains jurisdiction to enforce this agreement, or, in the event of a

material default, to adjudicate all remaining issues raised in the amended complaint. 

 The parties agree and request an order directing entry of an amended final judgment

in accordance with the foregoing. 

McGREGOR W. SCOTT

United States Attorney

Dated: April 19, 2006 /S/ G. Patrick Jennings 

G. PATRICK JENNINGS

Trial Attorney, Tax Division

U.S. Department of Justice

Telephone: (202) 307-6648

BILL LOCKYER, Attorney General

for the State of California 

Dated: March 9, 2006 /S/ MICHAEL CORNEZ (as authorized on March

9, 2006) 

MICHAEL CORNEZ

Deputy Attorney General

Telephone: (916) 327-0305

Attorneys for the California Franchise Tax Board

Dated: March 5, 2006 /S/ LORI MERSEREAU (as authorized on

March 5, 2006) 

LORI MERSEREAU

Law Offices of Lori M. Mersereau 

Telephone: (916) 966-1860

Attorney for defendant Lien C. Thomas (as

individual and as trustee), Jeffrey A. Thomas,

(as individual and trustee), and Maria D.

Anthony

Dated: March 2, 2006 /S/ MICHAEL LEE ABBOTT (as authorized

on March 2, 2006) 

 

MICHAEL LEE ABBOTT,

Telephone: 

Attorney for Clara Sharp

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28 - 5 - Amended Judgment

Dated: March 31, 2006 /S/ KENNETH M. FOLEY (as authorized on

March 31, 2006) 

KENNETH M. FOLEY,

Telephone: (209) 754-1891

Attorney for Danny and Judith Byker

MICHAEL H. KRAUSNICK

Stanislaus County Counsel

Dated: March 6, 2006 /S/ DEIRDRE McGRATH (as authorized on

March 6, 2006) 

DEIRDRE McGRATH,

Deputy County Counsel

Telephone: (209) 525-4489

ORDER

In accordance with the agreement of the parties, the Clerk shall enter the

Judgment set forth above in the paragraphs numbered 1 through 4. The parties are

directed to contact the Court to schedule a status conference to be held within 90 days. 

IT IS SO ORDERED.

Dated: April 19, 2006 /s/ Anthony W. Ishii 

0m8i78 UNITED STATES DISTRICT JUDGE

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