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Honorable Karen L. Strombom

U.S. DEPARTMENT OF JUSTICE

Tax Division

P.O. Box 683, Ben Franklin Station

AMENDED ORDER Washington, DC 20044

TO SHOW CAUSE (Misc. No. 06-5017 FDB KLS) - 1 - Telephone: (202) 514-9593

UNITED STATES DISTRICT COURT

WESTERN DISTRICT OF WASHINGTON 

AT TACOMA

UNITED STATES OF AMERICA, )

)

Petitioner, )

)

 v. )

)

EFFIE LIGON, individually, and as managing )

partner of IBIS GROUP, LLC, and as trustee )

of IBIS COMPANY TRUST, )

 )

)

Respondent. ) 

Case No. MS06-5017 FDB KLS

AMENDED ORDER TO SHOW

CAUSE RE: PETITION TO

ENFORCE INTERNAL REVENUE

SERVICE SUMMONSES

Upon the petition of the United States and the Declaration of Revenue Agent Paul R. Shipley,

including the exhibits attached thereto, it is hereby

ORDERED that respondent Effie Ligon appear before United States Magistrate Judge Karen L.

Strombom in Courtroom F of the United States District Court located at 1717 Pacific Avenue, Tacoma,

Washington, on the 8th day of September, 2006, at 9:00 a.m., to show cause why she should not be

compelled to obey the Internal Revenue Service summonses served upon her.

///

Case 3:06-mc-05017-FDB Document 9 Filed 08/25/06 Page 1 of 4
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U.S. DEPARTMENT OF JUSTICE

Tax Division

P.O. Box 683, Ben Franklin Station

AMENDED ORDER Washington, DC 20044

TO SHOW CAUSE (Misc. No. 06-5017 FDB KLS) - 2 - Telephone: (202) 514-9593

///

It is further ORDERED that:

1. A copy of this Order, together with the Order of Reference to Magistrate Judge (Dkt. #3),

shall be served upon respondent in accordance with Fed. R. Civ. P. 5, as soon as practicable after this

Order is served upon counsel for the United States.

2. Proof of any service done pursuant to paragraph 1, above, shall be filed with the Clerk of

Court as soon as practicable.

3. Since the file in this case reflects a prima facie showing that the examination is being

conducted for a legitimate purpose, that the inquiry may be relevant to that purpose, that the information

sought is not already within the Commissioner's possession, and that the administrative steps required by

the Internal Revenue Code have been followed, United States v. Powell, 379 U.S. 48, 57-58 (1964), the

burden of coming forward has shifted to respondent to oppose enforcement of the summonses.

4. If respondent has any defense to present or opposition to the petition, such defense or

opposition shall be made in writing and filed with the Clerk of Court and copies served on counsel for the

United States in Washington D.C., at least 5 court days prior to the date set for the show cause hearing. 

The United States may file and serve a reply memorandum to any opposition at least 2 court days prior to

the date set for the show cause hearing.

5. At the show cause hearing, the Court will consider all issues raised by respondent. Only

those issues brought into controversy by the responsive pleadings and supported by affidavit will be

considered. Any uncontested allegation in the petition will be considered admitted.

6. Respondent may notify the Court, in a writing filed with the Clerk and served on counsel for

the United States in Washington, D.C., at least 5 court days prior to the date set for the show cause

hearing, that respondent has no objection to enforcement of the summons. The respondent's appearance at

the show cause hearing will then be excused.

Respondent is hereby notified that failure to comply with this Order may subject respondent to

Case 3:06-mc-05017-FDB Document 9 Filed 08/25/06 Page 2 of 4
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U.S. DEPARTMENT OF JUSTICE

Tax Division

P.O. Box 683, Ben Franklin Station

AMENDED ORDER Washington, DC 20044

TO SHOW CAUSE (Misc. No. 06-5017 FDB KLS) - 3 - Telephone: (202) 514-9593

sanctions for contempt of court.

The Clerk shall forward copies of this Order to counsel for the United States, at the address

indicated on its pleadings.

DATED the 25th day of August, 2006.

A

Karen L. Strombom

United States Magistrate Judge

Submitted by:

JOHN MCKAY

United States Attorney

ROBERT BROUILLARD

Assistant United States Attorney

s/ Jennifer D. Auchterlonie 

JENNIFER D. AUCHTERLONIE, WSBA 29481

Trial Attorney, Tax Division

U.S. Department of Justice

Post Office Box 683

Ben Franklin Station

Washington, D.C. 20044

Telephone: (202) 514-9593

Facsimile: (202) 307-0054

E-mail: Jennifer.D.Auchterlonie@USDOJ.gov

Case 3:06-mc-05017-FDB Document 9 Filed 08/25/06 Page 3 of 4
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U.S. DEPARTMENT OF JUSTICE

Tax Division

P.O. Box 683, Ben Franklin Station

AMENDED ORDER Washington, DC 20044

TO SHOW CAUSE (Misc. No. 06-5017 FDB KLS) - 4 - Telephone: (202) 514-9593

Case 3:06-mc-05017-FDB Document 9 Filed 08/25/06 Page 4 of 4