EFTA02541430.pdf

From: jeffrey E. <[email protected]> Sent: Tuesday, January 9, 2018 11:56 PM To: Valeria Chomsky Subject: Re: Letter no, i want her to understd that she bears great res=onsibility for what has happend, she wants to talk to me=toorw. . the letter was disgusting On Tue, Jan 9, 2018 at =:27 PM, Valeria Chomsky < >=wrote: Regarding your s=ggestion to ask D's advice about how to respond the letter from N'= children, from yesterday, January 8th, we have reached to D's advice =reviously, but her reply was, somehow, reinforcing the children's and =ax's positions and I had to correct her in many points, as you can see=below. So, we don't think it is worth. Although, I agree t=at, as our lawyer, D would have the obligation to do something about it, e=pecially about all the serious insinuations and accusations that are impli=it and some explicit in the children's letter. I can't under=tand this. It seems they want to prepare the ground, creating their =wn reality by ignoring over and over the facts that Noam has presented rep=atedly in his several letters to them about how the money was being used.=C2 They seem to want to manipulate information according to their own i=terests and repeat it until it becomes convincing to anyone who reads their explanation -- that for someone who is not aware of all the details, it s=unds very reasonable. All very difficult and exhausting. Valeria =/div> Forwarded message F=om: Valeria Chomsk Date: Tue, Feb 14, 2017 at 1:09 PM Sub=ect: Clarifications To: Deborah Pechet Quina Gene Landy Cc: Noam Chomsk <mailto », Valeria Chomsky Deborah, I would like to have things even cle=rer and I think the nomenclature we use is extremely important to establis= the truth of the facts and not give false ideas and illusions to anyone, =ncluding ourselves (Noam and me) in our communication. So I would like if =ou could review the files and let us know about these issues. First, I think we need to refer to the IRA accounts by their i=entification numbers, not as the "large" or "smaller",=even because the one that is larger it had been used for other family memb=rs (distributions, taxes, Wellfleet, medical expenses, etc) and might beco=e the "smaller,", even because it keep being used for our livinrcosts and other expenses (mortgage, lawyers, accountant, etc). EFTA_R1_01690681 EFTA02541430  =div> Noam's estate (even when he is not ma=ing use of it, has no access to it, or has tra=sferred it to his children), as far as I know, involves the following: 1) IRA Accounts 2) Noam Chomsky Revocable Trust 3) Carol Chomsky Non-Exempt Trust 4) =b>Carol Chomsky Exempt Trust 5) Gull Haven Lane <https://maps.google.com/?q=5)+*Gull+Haven+Lane=&entry=gmail&source=g> 6) Lexington house 7= Noam's Intellectual Property 8) Ca=bridge Apartment (subject to a mortgage and a loan to Carol Trust) =A0 Items (2), (3), (4), (5) and (6) already have =oam's children as the beneficiaries. From the=e assets Noam has designated one of the IRAs to me. So, it is NOT correct =o say that "Valeria receives the=totality of Noam's estate" -- =s you wrote. When Bainco sends us the forms for the IRA distribution, they do=not always include the IRA account from which the withdrawal is being made= Noam used to sign the forms without having the information filled i=. But considering the amount that was available in the larger IRA in 2015 =nd the one that is there now, it s=ems that most, if not ALL the major=C2 distributions are being =ade from the IRA account that Noam has designated me as the beneficiary.=C2 Our living expenses, taxes, Wellfleet rent, distribution to 10 famil= members seemed to have been withdrawn from this one IRA though this is no= not being done. So if something is left from this IRA, I will be entitled=to receive whatever is left there. I have some additional comments below (in green). Valeria Forwarded message F=om: Deborah Pechet Quinan Date: Fri, Feb 10, 2017 at 3:22 PM Subject: FW: Letter from th= three of us (Avi, Diane, Harry) To: "Valeria Chomsk >, "Noam Chomsky <mailto: Cc: Gene Landy < >> 2 EFTA_R1_01690682 EFTA02541431  Dear Valeria and Noam,<=p> Please see my clarifying comments embedded i= the text of the letter, below, and please let me know if you have any que=tions or comments. Best, Deborah Deborah Pechet Quinan, Esq. LL.M. Shareholder Chair, Trusts & Estates Group Direct: I Cell: Assistant - Jayne Mahoney: Office: Fax e-mail www.riw.com From: Gene Landy Sent: Wednesday, February 01, 2017 5:06 PM To: Deborah Pechet Quinan Subject: FW: Letter from the three of us (Avi, Diane, Harry)<=> From: Valeria=Chomsky 3 EFTA_R1_01690683 EFTA02541432  Sent: Monday, January 30, 2017 12:41 PM To: Gene Landy Subject: Fwd: Letter from the three of us (Avi, Diane, =arry) Gene, Hope the operation went =ell. Thank you so much for yo=r advice. Noam wrote this answer and I think it is polite and covers every=hing. Do you have any advice? Valeria =/u> Forwarded message From: Noam Chomsky < Date: Mon, Jan 30, 2017 at 12:30 PM Subject: Fwd: Letter from the three of us (Avi, Diane, Harry) To: Valeria Chomsky < >> Very good to talk to you yesterday evening, Diane. Read your letter carefully of course. Many times.. And needless=to say, very glad to know of your concerns. I would, however, like t= clarify some very serious misconceptions. I have no idea what information you are receiving, but it is completely fal=e. In fact, I do not even understand how you are receiving this info=mation. Whatever the source, it is radically wrong. We have in=fact seen some highly misleading information from Bainco. In the category of our expenses, they have included all sort= of things that do not belong there, such as distributions, airline expens=s but not the fact these were reimbursed as planned, and many other quite =isleading calculations. However, whatever the source of what you have heard, it is completely mistaken. Our expenses in fact have gone down, but not entirely. In Lexington w= were living rent free. As I explained to Avi, I thought the house w=s in my name, and we would never have agreed with the advice from Max and =am to move into an apartment in Cambridge if we hadn't thought that the sale of the Lexington house would cover =he new apartment. That was very bad advice, and if I'd known tha= I did not own the Lexington house, I never would have accepted it. As it now stands, we have expenses for the apartment that we never had befo=e. We cannot figure out what is happening to royalties, but we are b=rely receiving them. There is virtually no pension because, about 20=years ago, it was restructured as an IRA which we then invested in the estate that will be left to the three of you=when I die. DPQ: Is this=the smaller IRA at Bainco? The large one is being left to Valeria based on the change in ben=ficiary designation 4 EFTA_R1_01690684 EFTA02541433 that you informed us of, and regarding which I await w=itten documentation from Bainco when they provide the materials I have requested. VC: There are three IRA ac=ounts, according to the IRA/ESA Distribution Request Forms that Bainco has=been sending us along the years, as I mentioned above in this letter.=l would like if you could check on this. As I also explained to Avi, years ago when the estate was planned, the=prime concern of the lawyers was avoiding estate taxes. The investme=ts were assigned to trusts in Mommy's name, since we assumed that I would die first. The intention of course was=that the money would be available to the survivor, but things did not work=out as we had anticipated and now, as the trusts are written, it seems tha= I have no access to them. DPQ: This is not entirely=accurate as Noam is the income beneficiary of these trusts and must receiv= all the net income annually, and he is also entitled to principal distrib=tions as the trustees "consider advisable". At my death, the estate goes to you. DPQ: Carol's t=usts are left to the children at Noam's death. Except for th= small amount of assets currently in Noam's revocable trust (we wi=l be updating this trust after we meet in March), Noam's estate is left to Valer=a under the terms of his new will and pursuant to the beneficiary designat=on of the large IRA at Bainco which I am awaiting documentation to confirm= The term "estate" references the totality of a decedent's assets so the balance of Carol's estate, i=e. the Marital Trusts, go to the children, but Noam's estate does =ot. VC: We hav= not been informed that Noam has been receiving ANY of the Trusts net inco=e nor principal distributions. That leaves us with the IRA. I did not realize this, but though =ainco was aware that the IRA was my only source of funds, and was of cours= diminishing, they continued to make distributions to ten family recipients. We were also paying almost $50,000 a year =or Wellfleet, and paying other expenses, like= medical bills. =AO It seems that we were also paying taxes for the entire estate. DPQ: I think Noam is referring to Carol's Marital Trusts here. Am I correct? =AO VC: No, Deborah. The money for all this has been com in= from distributions from the IRA (and most of it, if not ALL, from the one=Noam has designated me as the beneficiary). Just to give yo= an idea of the scale, there is an automatic $300,000 deduction a year fro= the IRA. DPQ: In =he interest of being accurate the Minimum Required Distribution changes so=ewhat each year depending on market fluctuations and Noam's age. T=is is not a deduction from the IRA, rather, this is the minimum distributi=n to Noam as required under our tax laws. This is perhaps just a semantic =oint. Distributions and taxes come close to the total deduction from the IRA, and other expens=s of the kind just mentioned (plus Anthony) carry expenses well beyond the=funds coming in. VC: Although a requirement under the tax laws,=the distributions (withdrawals) from the IRA were being used for donations=to family members and other expenses that we should not be responsibl= for, considering that the IRA is the only stable source of money lef= for Noam. <=pan style="color:black"> Plainly, we cannot continue any of this while living on a diminishing IFtA.=C2 I did request that a marital trust pay the taxes on the IRA, but Har=y insisted on conditions that I could not possibly accept, and I was very =urprised, frankly, that any conditions were even considered. Perhaps that had to do with the serious miscon=eptions about our expenses, whatever their source. 5 EFTA_R1_01690685 EFTA02541434  Naturally, I want make sure that when I die, Valeria will at least hav= a place to live and something to live on. DPQ: I might re-word this=as it is Noam's intent as expressed to me and Gene that Valeria re=eives the totality of Noam's estate, and not just an amount that w=ll give her subsistence. VC: Again, Deborah. This i= the main and extremely important point of my letter. I might be ent=tled to receive whatever will be left from one of the IRA, if something wi=l be left, but not the "totality" of Noam's estate.</=> She came here, abandoning everything in Brazil, to be with me in my =ast years. We are very happy together, and care for each other. =AO It is a joy I never anticipated after Mommy died and after the years I =pent alone. That's the situation. It is entirely different from what you=heard. Again, I do not know what the source of your information is, =ut it is completely inaccurate. I should add, perhaps, that in earlier years, I was indeed careless ab=ut expenses, leaving it to Mommy. Valeria has taken over, and for th= past three years, both of us have been monitoring expenses carefully and know exactly what is coming in and what =s being spent. We have all the facts very clearly laid out, and are =lanning accordingly. I am glad that the three of you will be well ta=en care of from the estate, the way it was planned years ago. DPQ: =s above the reference here should be to Carol's Marital Trusts, ju=t to be clear that the that is the children's inheritance.<=pan style="color:black"> VC: I disagree, Debora.. The reference here should be to what corresponds to reality -- =A0Noam's children will be taken care from his estate. Not only fr=m Carol's Marital Trust that were composed by Noam as the grantor= established to make use of the guarantees for the children and tax issues= but still part of Noam's estate, as we all know. Frankly, I always assumed that I would be able to disregard financial =oncerns in my last years, but as a result of careless and faulty decisions=taken long ago, and some bad recent advice, that is not the way things are turning out. D</=> On Sun, Jan 29, 2017 at =0:35 PM, Diana Chomsky < > wrote: Dear Doddoy and Valeria, It was really nice to talk to both of you just now - we'll have to =o it more often. As I mentioned, I'm sending you a letter from all three of us (Avi =nd Harry in copy). We decided to write this letter because we are very worried about what =e've been hearing from you about your financial situation and the =mount of stress it is causing you. We have been worried for many months now, but the situation seems to be be=oming more and more dire and we feel like we can't just stand by a=d watch it happen any more. We want to help find solutions that might be l=ss drastic than what we understand you are considering. 6 EFTA_R1_01690686 EFTA02541435  We have heard you express that you don't have enough money, and thi= is leading you to make big decisions that we're afraid could have har=ful consequences for you. Moving is exhausting, and moving twice in three years even more so. We would hate to=see you to leave your condo unless you somehow aren't happy there. Mov=ng out of the Boston area would be more disruptive still -- again, we'= happily support that if it's what you both want for yourselves, but you shouldn't have to do it because of m=sconceptions about money. Teaching classes could be both rewarding and dra=ning for you; doing it just to chase down a little bit of extra salary mon=y does not make sense in your circumstances. And we definitely don't want to see you drop services that are importa=t to your research and your legacy, like your journal subscriptions or Ant=ony's invaluable work on your publications. Most of all, we are concerned that you are experiencing such high level= of stress that are simply misplaced. We don't understand why you need to worry about money. We know that=you have several million dollars in your IRA and that you receive hundreds=of thousands of dollars each year in IRA distributions, as well as significant income from royalties and oth=r sources. Of course, many of your expenses have risen, because of some wo=derful changes you've made in your life: adding Valeria to the family,=moving to Cambridge, and enjoying some sightseeing as part of your travels. We've been thrilled to see your l=fe develop like this. We were relieved that money did not pose an obstacle=to you living this phase of your life in the best way possible for you, as=well as providing some long-term support for Valeria. But something else has changed very dramatically in the way your money =s flowing. Your spending has shot up, way out of proportion to the expense= we're aware of. It looks to us as if the money is just disappearing. You have enough money to support =he lifestyle you and Valeria have been living, but not enough to keep spen=ing at the rate you have been. We understand that it is distressing and even frightening to worry abou= the money running out. We can see why you are grasping for solutions like=considering disruptive lifestyle changes and looking for other sources of money. We know these decisions ar= ultimately up to the two of you to take, but they are not the solutions w= want for you. We don't want you to suffer the strain and dislocation;=and also we don't believe these small changes to your cash flow will solve the bigger problem of your startlingl= high spending rate. Some may even cost more money than they save.<=pan style="colorblack"> We believe that you two -- while you are both brilliant at so many thin=s -- have never developed the practical skills of money management. Your t=oubles began when you stopped working cooperatively with the professionals who had always succeeded in h=lping you meet your goals in the past. We want you to find some financial =rofessional who can help you live your lives comfortably and free of finan=ial worry. They can help you outline your goals, both as two individuals and as a couple; show you what resourc=s you have; figure out if you have enough to meet your goals; figure out i= you have been spending money faster than you need to; and suggest the lea=t painful compromises you might make to save money, if that proves necessary after all. They can do this w=th utmost discretion. But you need to make it a priority to find the right=person, communicate promptly and openly with them, and take their advice s=riously. It pains us to see you trying to figure it all out on your own and comi=g up with horrifying and ineffective solutions. You should be enjoying you= life together and feeling confident about your futures. You've earned a lot of money through a I=fetime of hard work -- please get the help you need to use it effectively.=/span> You also need to make a clear decision about the role you want the rest=of your family to have in your financial affairs. The three of us would be=delighted to join you and your financial advisor in discussing the whole family's circumstances, incl=ding the history of your estate planning and the many gifts you've giv=n us. We used to discuss this regularly with Max and Bainco, and they woul= help us develop unified plans to meet the whole extended family's needs. Meetings like this don't requir= us to share all the details of our private financial affairs with each ot=er, the way one does with one's individual advisor -- but the more we =hare, the more opportunities we may find to help each other. It is up to you whether to continue this kind of open dis=ussion with us. 7 EFTA_R1_01690687 EFTA02541436  =riting this letter is not something we are undertaking lightly. We are doi=g this because we are truly, deeply, concerned about your acute distress a=d about what this is doing to your relationships with your loved ones (especially us). Love, Avi, Diane and Harry Oxfam works with others to overcome pov=rty and suffering O=fam GB is a member of Oxfam International and a company limited by guarant=e registered in England No. 612172. Registered office: Oxfam House, John Smith Drive, Cowley, Oxford, OX4 2JY.<=r> A registered charity in England and Wales (no 202918) and Scotland (SC 0390=2) NOTICE: This email with its attachments, if any, is intended solely for per=itted use by authorized recipients. If you are not an authorized recipient=of this email, your retention, transmission, disclosure, or use of this em=il is prohibited. If you received this email in error, please notify the sender and delete this email and it= attachments from your devices and systems. =AO please note The information contained i= this communication is confidential, may be attorney-client privileged,=may constitute inside information, and is intended only for the use =f the addressee. 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