EFTA02548940.pdf

From: Richard Kahn <richardkahn12@gmail.com> Sent: Monday, December 11, 2017 6:06 PM To: jeffrey E. Subject: Fwd: Distributions for Tax Payments from Carol S. Chomsky Marital Trusts Richard Kahn HBRK Associates Inc. 575 =exington Avenue 4th Floor New York, NY 10022 tel 212-971-1306 fax 212-320-0381 cell 917-414-7584 Begin forwarded message: From: =/b>Deborah Pechet Quinan <dq@riw.com> Subject: =/b>RE: Distributions =or Tax Payments from Carol S. Chomsky Marital Trusts Date: =/b>December 11, 2017 at 1:01:12 PM =ST To: =/b>Noam Chomsky <nchomsky3@gmail.com> Cc: Valeria Chomsky <valeria.chomsky@gmail.com>, Richard Kahn <richardkahn12@gmail.com> Dear Noam, Thank you for your =greement with my proposed scope of the call. Unfortunately Richard =s not available to join the call as he is in Europe and he wishes me to =roceed one on one with Max, per emails that Richard and I exchanged =arly this morning and which I will forward to you now for your =iles. I will report back to the group after I speak with Max and =ave been able to synthesize our conversation. Best, Deborah Deborah Pechet Quinan, Esq. =L.M. EFTA_R1_01704022 EFTA02548940  Shareholder Chair, Trusts =amp; Estates Group 255 State Street, =th Floor I Boston, MA 02109 Direct: 617.570.3521 I Cell: =17.832.5726 Assistant - Jayne Mahoney: 617.570.3581 Office: 617.742.4200 I Fax: 617.742-2355 e-mail: dpq@riw.com <mailto:dpq@riw.com> I www.riw.com I BIO From: Noam Chomsky Imailto:nchomsky3@gmail.cornj Sent: Monday, December 11, 2017 =2:53 PM To: Deborah Pechet Quinan Cc: Valeria Chomsky; Richard =ahn Subject: Re: Distributions for Tax =ayments from Carol S. Chomsky Marital Trusts Sounds like the best approach for now. Noam On Mon, Dec 11, 2017 at 5:04 AM, Deborah Pechet Quinan <dq@riw.com> wrote: Dear Noam, I plan to speak with Richard this morning if he is available =egarding strategy for the call. I will limit the call to Max'= resignation per your note below and address Harry's at a =ubsequent date of you agree. Best, Deborah Sent from my iPhone. Please excuse =revity and typos. On Dec 10, 2017, =t 3:14 PM, Noam Chomsky <nchomsky3@gmail.com <mailto:nchomsky3@gmail.com» wrote: Could you please arrange to have Richard =oin in the call to Max? On the other matters you raise, I think it would be =est to delay until after I hear about the outcome of the discussion =ith Max and Richard. Noam On Fri, Dec 8, 2017 =t 12:49 PM, Deborah Pechet Quinan <dq@riw.com <mailto:dq@riw.com» wrote: Dear Noam, Thank you for getting back to me. I =ill contact Max to set up a telephone call. Do you, Valeria, or =ichard want to join in the call and if so when are you =vailable? Are you still planning on calling your =hildren to discuss your desire to have Max resign and Richard be =ppointed as his successor? We can proceed on both tracks in tandem and =eep each other, Valeria and Richard posted to ensure that all =ommunications are consistent. Please note that you only need two =hildren to remove any trustee, 2 EFTA_R1_01704023 EFTA02548941 so if two of =our children agree, either or both of Max and Harry can be =emoved. If both Max and Harry are removed, you =Ione appoint the =uccessor independent trustee. I =m in complete agreement with you on all of the points you raise in your =ote below. I need to add one more thought here that I have been =eluctant to express, out of respect and sensitivity for the fact that =arry is your child. It is my belief that Harry ought to either =esign or be removed immediately. It is not appropriate for a =hild to be involved or have a say in a competent parent's =inances unless the arrangement is peaceful and unbiased, and truly =omfortable for the parent. In other words, at the =oint in time when your best interests ceased to be the priority for =arry, he should have stepped down as trustee or he should have been =dvised to step down. Please let me know if anyone else wants to =e on the call with me. If I do not hear from anyone by 3:30 p.m. =astern I will go ahead and schedule the call with Max so as not to =elay; and the call can thereafter be rescheduled if anyone wants to =oin. Best, Deborah Deborah Pechet Quinan, Esq. =L.M. Shareholder Chair, Trusts =amp; Estates Group 255 =tate Street, 7th Floor I Boston, =A 02109 Direct: 617.570.3521 I Cell: 617.832.5726 Assistant - Jayne =ahoney: 617.570.3581 Office: 617.742.4200 I Fax: 617.742-2355 e-mail: dpq@riw.com I www.riw.com I BIO <image001.gif> From: Noam Chomsky (mailto:nchomsky3@gmail.comj Sent: Friday, December 08, 2017 =2:41 PM To: Deborah Pechet Quinan Cc: Valeria Chomsky; Richard =ahn Subject: Fwd: FW: Distributions for =ax Payments from Carol S. Chomsky Marital Trusts I am quite shocked to hear Max's =esponse. He had no objections when my IRA was being deplete to =ay taxes for the entire estate and for distributions to family, not to =peak of management fees for the whole estate, along with other =istributions to family that he knew of, more than exhausting the =equired withdrawal. He was supposed to have been my lawyer then, =nd was in constant contact with Sam. There were no requests for =inancial statements when I was paying taxes for everyone. That's =ust the beginning. I suppose you might as well talk to him. The technical =atters about delay of obtaining the funds until next week are just a =iversion. That doesn't matter as long as it is done by =id-month. What matters is his incomprehensible behavior. Noam Forwarded message From: Deborah Pechet Quinan <dq@riw.com> Date: Fri, Dec 8, 2017 at 7:02 AM 3 EFTA_R1_01704024 EFTA02548942  Subject: FW: =istributions for Tax Payments from Carol S. Chomsky Marital Trusts To: "Noam Chomsky (nchomsky3@gmail.com <mailto:nchomsky3@gmail.com> )" <nchomsky3@gmail.com>, "Valeria Chomsky (valeria.chomsky@gmail.com)" <valeria.chomsky@gmail.com>, "Richard Kahn (richardkahn12@gmail.com)" <richardkahn12@gmail.com> Dear Noam, Valeria and =ichard, Please see Max's response below to the email I sent =im yesterday. I also forwarded you yesterday the voice mail that =ax left me and I await your responses. I want to make sure that =e are all on the same page as to next steps before I respond to =ax. Deborah Deborah Pechet Quinan, Esq. LL.M. Shareholder Chair, Trusts & Estates =roup 255 =tate Street, 7th Floor I Boston, =A 02109 Direct: 617.570.3521 I Cell: 617.832.5726 Assistant = Jayne Mahoney: 617.570.3581 Office: 617.742.4200 I Fax: 617.742-2355 e-mail: dpq@riw.com <mailto:dpq@riw.com> www.riw.com <http://www.riw.com/> BIO <image001.gif> From: Max Kohlenberg imailto:MKohlenberg@hekblaw.cornj Sent: Thursday, December 07, 2017 =:22 PM To: Deborah Pechet Quinan Cc: Noam Chomsky (nchomsky3@gmail.com) Subject: RE: Distributions for Tax =ayments from Carol S. Chomsky Marital Trusts Deborah =E2$4 I =ave received your message and look forward to replying in greater =etail in due course. For this evening please let me note the =ollowing: 1. As I have noted to you, I do not agree =ith your assertion that I would be reasonably exercising my discretion =y making substantial principal distributions from the trusts without =ome inquiry into the circumstances surrounding Noam's =equest. I remain willing to discuss the scope of that inquiry, =ut I will not make the requested distributions without learning =ore. 2. While I acknowledge that Harry, as =rustee, is barred from participating in any decisions about principal =istributions, I do not in any way agree that this prevents me from =iscussing your message with him, which I intend to do =omentarily. As a co-trustee of the trust he is entitled to be =nformed of all trust matters, whether or not he has ultimate authority =s to any particular matter. He and his sisters are also entitled =o know of Noam's request, even if I choose not to follow any =dvice that they might offer. 4 EFTA_R1_01704025 EFTA02548943  3. As to practical matters, please note that = do not have any mechanism by which I can make direct payments from the =rust accounts. (I note this due to your reference to payment by =heck — there is no check writing capacity for either trust =ccount.) All trust assets are held at Bainco. 4. I contacted Bainco when I received your =essage, to give them notice that a request for funds may be =orthcoming. I was told that (a) it was already too late to =nitiate any fund transfers today, and (b) there is only a modest amount =f cash in each of the trust accounts. 5. If I request that Bainco liquidate =oldings to raise cash it is unlikely that funds will be available =efore early next week. 6. If Bainco were to liquidate assets to =aise cash substantial capital gains taxes may be triggered. 7. Lastly, please note that the team at =ainco informed me that very substantial withdrawals were made from =oam's IRA this year (which I was not aware of, of course) and =n each occasion that they distributed cash to Noam from his IRA they =ontemporaneously informed his accountants of the amounts withdrawn, so .4 is hard to understand why no timely planning was undertaken to =ddress his tax liabilities, leaving us instead with the tax payment =mergency that you describe. I will look forward to discussing this with you further =omorrow, if you are available. Thank you, Max A. =ax Kohlenberg Howland Evangelista Kohlenberg Burnett, LLP One Financial Plaza —=Suite 1600 Providence,=Rhode Island 02903 Direct: 401.283.1239 Main: 401.283.1234 Fax: 401.283.1221 mkohlenberg@hekblaw.com www.hekblaw.com This email and any attachments thereto are intended only for =se by the addressee(s) named herein and may contain legally privileged =nd/or confidential information. If you are not the intended =ecipient of this email, you are hereby notified that any dissemination, =istribution or copying of this email, and any attachments thereto, is =trictly prohibited. If you have received this email in error, =lease immediately notify me by return email and permanently delete the =riginal and any copy of this message or attachment. Thank =ou. 5 EFTA_R1_01704026 EFTA02548944  From: Deborah Pechet Quinan (mailto:dq@riw.com] Sent: Thursday, December 07, 2017 =:18 PM To: Max Kohlenberg Cc: Noam Chomsky (nchomsky3@gmail.com) Subject: Distributions for Tax =ayments from Carol S. Chomsky Marital Trusts Max - At Noam Chomsky's direction I am writing to formally =equest two distributions on his behalf to be made from the Carol S. =homsky Marital Trusts, as follows: $150,000 for 2017 federal estimated taxes =hich we ask that you remit directly to the US Treasury on Noam's =ccount (I do not have a voucher); and $109,271 for 2016 taxes paid from =oam's IRA and penalties incurred. As I know you are aware, distributions =rom the marital trusts are to be made in your sole discretion. =our co-trustee, Harry Chomsky, has no =ay in making =iscretionary distribution decisions per the terms =f the trust. Therefore there is no need for you to confer =ith Harry and you are able to accede to this requestpromptly and without delay. As I know you are also aware, the trust =ontains no standard requiring you to consider Noam's other =inancial resources. You are obligated to reasonably exercise your =iscretion, and making the 2017 income tax payment for Noam from these =rusts is more than reasonable under any analysis. In addition, Noam's income tax liability for 2016 =as unnecessarily increased due to your refusal to make =he 2016 income tax payments from the trust. As a result, Noam had =o withdraw $109,000 from his IRA to make 2016 income tax payments and =271 in tax penalties were incurred. These =ithdrawalsunnecessarily and unreasonably increased Noam's =016 and 2017 income tax liabilities because the marital trusts had more =han sufficient funds to allow you to make these 2016 tax payments from =ssets that would not incur ordinary income tax on every dollar =istributed. Again, this distribution of $109,271 is a reasonable =xercise of your discretion under any analysis. =nbsp; Please confirm that you will take care of these =ayments before the close of business tomorrow. Please remit =he $150,000 check directly to the federal taxing authorities and fax me = copy of the check and remittance correspondence. See my fax =umber below. I will send you another email shortly with =irections for you to remit the $109,271 distribution. Deborah Deborah Pechet Quinan, Esq. LL.M. Shareholder Chair, Trusts & Estates =roup 255 =tate Street, 7th Floor I Boston, =A 02109 Direct: 617.570.3521 I Cell: 617.832.5726 Assistant - Jayne Mahoney: 617.570.3581 Office: 617.742.4200 I Fax: 617.742-2355 6 EFTA_R1_01704027 EFTA02548945  e-mail: dpq@riw.com <mailto:dpq@riw.com> I www.riw.com <http://www.riw.com/> I BIO <image001.gif> NOTICE: This email with its attachments, if any, is intended =olely for permitted use by authorized recipients. If you are not an =uthorized recipient of this email, your retention, transmission, =isdosure, or use of this email is prohibited. If you received this =mail in error, please notify the sender and delete this email and its =ttachments from your devices and systems. NOTICE: This email =ith its attachments, if any, is intended solely for permitted use by =uthorized recipients. If you are not an authorized recipient of this =mail, your retention, transmission, disclosure, or use of this email is =rohibited. If you received this email in error, please notify the =ender and delete this email and its attachments from your devices and =ystems. NOTICE: This email =ith its attachments, if any, is intended solely for permitted use by =uthorized recipients. If you are not an authorized recipient of this =mail, your retention, transmission, disclosure, or use of this email is =rohibited. If you received this email in error, please notify the =ender and delete this email and its attachments from your devices and =ystems. 4=iv> NOTICE: This email =ith its attachments, if any, is intended solely for permitted use by =uthorized recipients. If you are not an authorized recipient of this =mail, your retention, transmission, disclosure, or use of this email is =rohibited. If you received this email in error, please notify the =ender and delete this email and its attachments from your devices and =ystems. NOTICE: This email with its =ttachments, if any, is intended solely for permitted use by authorized =ecipients. If you are not an authorized recipient of this email, your =etention, transmission, disclosure, or use of this email is prohibited. =f you received this email in error, please notify the sender and delete =his email and its attachments from your devices and =ystems. 7 EFTA_R1_01704 028 EFTA02548946