EXECUTOR OF THE ESTATE ALLEGES THE FC DID NOT CONSULT WITH HER PRIOR TO PURCHASING INVESTMENTS IN THE ACCOUNT. DATES OF ALLEGED ACTIVITIES:12/19/2007

$184,800.00

I HAD REGULAR AND ONGOING COMMUNICATION WITH MY CLIENT AND MY RECOMMENDATIONS WERE SUITABLE.

COMPLAINT FROM TRUSTEE ALLEGED UNAUTHORIZED TRADING IN THE TRUSTEE'S BROTHER'S TRUST ACCOUNT DURING MAY AND JUNE 2007.

$32,000.00

CLIENT TOOK OVER AS POWER OF ATTORNEY OF HIS BROTHER'S ACCOUNT TAKING AN ACTIVE ROLE IN THE MANAGEMENT OF THE ASSETS. HE DIRECTED TRANSACTIONS FROM THE INITIAL MEETING ON MAY 16TH, 2007. FOUR MONTHS LATER IN LATE AUGUST COINCIDENTALLY TIME WITH THE "CREDIT CRUNCH" HE BEGAN ATTEMPTING TO BACK OUT OF TRADES PLACED IN THE ACCOUNT DURING MAY AND JUNE. HE IS NOW CLAIMING THEY WERE "UNAUTHORIZED" AND THAT "HE WAS NOT AWARE OF THEM" EVEN AFTER SEVERAL MEETINGS IN PERSON DURING MAY, JUNE, AND JULY WHERE CONFIRMATIONS AND STATEMENTS WERE REVIEWED. THE ACCOUNT HAD NOT REALIZED ANY LOSSES WHILE THE SECURITIES WERE HELD AT WELLS FARGO INVESTMENTS. AS A RESULT OF TRANSACTIONS DURING THIS PERIOD THE ACCOUNT REALIZED A LONG TERM CAPITAL GAIN OF $3,562.50. INCOME WAS RECEIVED IN THE AMOUNT OF $5,884.39 UP UNTIL THE ASSETS WERE TRANSFERRED IN KIND TO HIS ACCOUNT AT MERRILL LYNCH.