Free Status Report - District Court of Federal Claims - federal

Case 1:05-cv-00296-FMA

Document 82

Filed 10/12/2007

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IN THE UNITED STATES COURT OF FEDERAL CLAIMS GRAPEVINE IMPORTS, LTD., and T-TECH, INC., as Tax Matters Partner Plaintiffs, v. UNITED STATES OF AMERICA, Defendant. ' ' ' ' ' ' ' ' ' '

No. 05-296T (Judge Allegra)

JOINT STATUS REPORT The United States continues to review the plaintiffs' settlement offer. Counsel for the United States has prepared a memo detailing this case's facts and analyzing how the applicable legal principles apply to those facts. That memo has been forwarded to executives within the Department of Justice and IRS for their review. Because this case involves a transaction that the Internal Revenue Service has designated as a tax shelter, and one which is involved in a number of other pending cases, the review process is more protracted than usual. The United States will finish its review as soon as possible.

Case 1:05-cv-00296-FMA

Document 82

Filed 10/12/2007

Page 2 of 2

Respectfully Submitted,

/s/ Grover Hartt III GROVER HARTT, III Attorney of Record Tax Division U.S. Department of Justice 717 N. Hardwood, Suite 400 Dallas, Texas 75201 (214) 880-9721 (Main) (214) 880-9741 (Fax) RICHARD T. MORRISON Acting Asst. Attorney General DAVID D. GUSTAFSON Chief, Court of Fed. Claims Section CYNTHIA E. MESSERSMITH CHRISTOPHER R. EGAN ATTORNEYS FOR THE UNITED STATES Signed: October 12, 2007.

/s/ Grover Hartt III for M. Todd Welty Josh O. Ungerman David E. Colmenero MEADOWS, OWENS, COLLIER, REED, COUSINS & BLAU, L.L.P. 901 Main Street Suite 3700 Dallas, TX 75202 (214) 744-3700 Telephone (214) 747-3732 Facsimile [email protected] [email protected] ATTORNEYS FOR PLAINTIFFS Signed: October 12, 2007

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