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2223 C37UANN5 Farhat - Direct 1 Q 2223 C37UANN5 Farhat - direct 1 Q. How did you meet Zehy Jereis? 2 A. In 1995 he came to me that he is looking for a mortgage. 3 Q. For a mortgage? 4 A. Yes. 5 Q. Did you help him get that mortgage? 6 A. Yes. 7 Q. What if any work did you do for Mr. Jereis to help him 8 prepare his income tax returns? 9 A. Prepare the taxes, the yearend taxes. 10 Q. Did you help him prepare his taxes? 11 A. Yes. 12 Q. For what year? 13 A. From 1995, I think, to 2006. 14 Q. Do you know someone named Sandy Annabi? 15 A. Yes. 16 Q. How did you meet her? 17 A. It came to me through introduction of Zehy Jereis. 18 Q. How many if any other clients did Zehy Jereis refer you to? 19 A. None. 20 Q. About what year did you meet Sandy Annabi? 21 A. I met her around 2002. 22 Q. 2002? 23 A. Yes. 24 Q. What years did you prepare her tax returns for? 25 A. 2001, 2002, 2003 and 2005. SOUTHERN DISTRICT REPORTERS, P.C. (212) 805-0300 2224 C37UANN5 Farhat - direct 1 Q. 2003 or 2004? What is your best recollection? You said 2 2001, 2002 and then what? 3 A. 2004 and 2005. 4 Q. And why not in 2003? 5 A. For nonpayment I didn't do the taxes. 6 Q. Why didn't you do it again in 2004? 7 A. When we met the second time, it is on good faith, they 8 thought that we had already paid and when we finished the year, 9 they make the payment. 10 Q. When if ever did Ms. Annabi pay you to prepare her tax 11 return? 12 A. No, she never paid. 13 Q. Generally, sir, when you meet with a client to do their 14 taxes, what if any checklist do you go through with the client? 15 A. We have a standard checklist that is a 1040 form. A 16 corporation we have a checklist for a corporation for our 17 questions. We have checklist for questions too. 18 Q. For an individual you have a standard checklist? 19 A. Yes. 20 Q. You said the 1040, you have a standard checklist? 21 A. Yes. 22 Q. Give the jury a sense of what types of questions you ask 23 when you meet with a new client on that checklist? 24 A. First, I think we ask for the name, for their Social 25 Security, for date of birth, what kind work, what kind of SOUTHERN DISTRICT REPORTERS, P.C. (212) 805-0300 2225 C37UANN5 Farhat - direct 1 income -- 2 Q. I would ask you to talk a little bit slower. 3 A. -- from where their source of income and what expenses they 4 have. 5 Q. What expenses they have, is that what you said? 6 A. If there is any deduction that they have. 7 Q. When you first met with Sandy Annabi, did you go through 8 the checklist? 9 A. Yes. 10 Q. Who provided you with the information to put on Sandy 11 Annabi's tax returns? 12 A. Herself. 13 Q. What if anything did Ms. Annabi tell you about whether she 14 would allow her father to give you information for her return? 15 A. Sometimes, yes, she would ask me if my father bring you any 16 information, you accept it. 17 Q. I think you said "my father." When you said that, who were 18 you referring to? 19 A. Herself. 20 Q. And how many times if ever did you prepare tax returns for 21 Sandy Annabi's father? 22 A. I never did tax return for him. 23 Q. For him? 24 A. Yes. 25 Q. Let me direct your attention to Ms. Annabi's 2005 tax SOUTHERN DISTRICT REPORTERS, P.C. (212) 805-0300 2226 C37UANN5 Farhat - direct 1 return. Who gave you the information about her income, her 2 mortgage interest and her expenses? 3 A. Herself. 4 Q. Sir, let me now show you what's been marked as Government 5 Exhibits 651 through 653. 6 MR. HALPERIN: May I approach, Judge? 7 THE COURT: Yes. 8 Q. Sir, please take a moment and review those documents. Just 9 look at them. Do you recognize these documents? 10 A. Yes. 11 Q. Have you reviewed them before trial? Have you reviewed 12 them before coming here today? Did you look at them? 13 A. No. 14 Q. Did you look at them at all before you came here today? 15 A. No. 16 Q. Sir, whose tax returns do these documents relate to? 17 A. Sandy Annabi. 18 Q. And who gave you these documents? 19 A. Sandy Annabi. 20 Q. Is there a Bates number starting with the letters EVGN at 21 the bottom of the page? 22 A. Yes. 23 Q. Did you provide these documents to the government? 24 A. Yes. 25 MR. HALPERIN: Your Honor, the government offers GX SOUTHERN DISTRICT REPORTERS, P.C. (212) 805-0300 2227 C37UANN5 Farhat - direct 1 651 through 653 into evidence. 2 MR. ARONWALD: No objection. 3 MR. SIANO: No objection. 4 THE COURT: Admitted. 5 (Government Exhibits 651, 652, 653 received in 6 evidence) 7 MR. HALPERIN: Mr. Turk, let's just display 651 8 please. Let's just highlight the top half of the page, please. 9 BY MR. HALPERIN: 10 Q. Mr. Farhat, in the upper right corner, what is the title of 11 this document? 12 A. This is a 1098 mortgage interest. 13 Q. You said 1098, is that shown under the year 2005? 14 A. Yes. 15 Q. Generally, what does the mortgage interest statement show? 16 A. $1,458. 17 Q. For which taxpayer? 18 A. Sandy Annabi. 19 Q. At what address? 20 A. 245 Rumsey Road, Apartment 1B, Yonkers, New York 10701. 21 Q. Thank you. 22 MR. HALPERIN: Mr. Turk, could we have the next one. 23 Judge, could we have a moment? 24 (Discussion off the record among counsel) 25 MR. ARONWALD: Your Honor, just for the record, there SOUTHERN DISTRICT REPORTERS, P.C. (212) 805-0300 2228 C37UANN5 Farhat - direct 1 is a portion of the document that needs to be redacted. I 2 understand that the government will redact it. 3 MR. HALPERIN: We have agreed to redact the bottom 4 half of the document. 5 THE COURT: You will get the top half, ladies and 6 gentlemen. 7 MR. HALPERIN: Just for the record, we obviously have 8 not shown the jury the bottom half of the document. 9 Let's have the top half of the page, please. 10 BY MR. HALPERIN: 11 Q. What is this document, sir, in the upper right corner? 12 You can look at the computer screen in front of you 13 too. 14 A. This is also a mortgage interest form 1098. 15 Q. For what year? 16 A. 2005. 17 Q. What is the amount of mortgage interest received? 18 A. $4,934. 19 Q. What is the borrower name? 20 A. Sandy Annabi. 21 Q. What address? 22 A. 45 Bacon Place, Yonkers, New York 10710. 23 Q. Thank you. 24 MR. HALPERIN: Mr. Turk, let's have the next one, 25 please. Let's just have the top half of the page maximized. SOUTHERN DISTRICT REPORTERS, P.C. (212) 805-0300 2229 C37UANN5 Farhat - direct 1 Q. Sir, what is this document? 2 A. This is a W-2. It is an income from job. 3 Q. For which taxpayer? 4 A. Sandy Annabi. 5 Q. If you look up under line C, what is the employer's name 6 here? 7 A. City of Yonkers, City Hall, 40 South Broadway, Yonkers, New 8 York 10701. 9 Q. Line 1, what were the total wages for that year? 10 A. $4,821. 11 Q. 48 cents? 12 A. Usually below 50 cents, they don't count. 13 MR. HALPERIN: Mr. Turk, let's look at the bottom half 14 of the document, please. 15 Q. What is this, Mr. Farhat? 16 A. This is another wages, W-2. 17 Q. From which employer? 18 A. St. Joseph's Hospital. 19 Q. For which borrower? 20 A. Sandy Annabi. 21 Q. What address? 22 A. 45 Bacon Place, Yonkers, New York 10710. 23 Q. And line 1, what was the wages? 24 A. $61,940.82. 25 MR. HALPERIN: Thank you, Mr. Turk. SOUTHERN DISTRICT REPORTERS, P.C. (212) 805-0300 2230 C37UANN5 Farhat - direct 1 Your Honor, I am just going to grab those pages. 2 Mr. Turk, can we have 656, please, top half of the 3 document. 4 Q. Mr. Farhat, what is the title of this document in the upper 5 right corner? 6 A. This is the 2005 student loan. 7 Q. Student loan interest statement? 8 A. Yes. 9 Q. What is the amount of the student loan interest received by 10 lender? 11 A. $133. 12 Q. For which borrower? 13 A. Sandy Annabi. 14 MR. HALPERIN: Mr. Turk, can we have 661, please. 15 Let's highlight the top half above the -- a little farther 16 down, please. Keep going right to there. 17 Q. In the upper right corner, sir, what is the title of this 18 document? 19 A. 2005 mortgage interest. 20 Q. In the upper left, what is the name of the company there? 21 A.
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