


			   THE WHITE HOUSE

		    Office of the Press Secretary

_____________________________________________________________________
For Immediate Release                                  April 15, 1994


			    PRESS BRIEFING
	      BY PERSON WHO IS FAMILIAR WITH THE RECORDS

 
			  The Briefing Room



3:11 P.M. EDT
	     
	     
	     MR. GEARAN:  I think given the timeline that you 
received the information, it might be best for us to walk through 
this, read this statement on the record and then the rest of the 
briefing on the details, and as we get into this, can be on 
background.  So why don't we just go through this so we can --
	     
	     Q    Has this actually been mailed -- gone now?
	     
	     MR. GEARAN:  The Clintons signed the return this morning 
and it's been forwarded today.
	     
	     MR. KENDALL:  I'm not sure it's actually at the post 
office this second, but it's on its way.
	     
	     MR. GEARAN:  We'll take the question.  (Laughter.)  
	     
	     The President and Mrs. Clinton's 1993 federal income tax 
return shows that they have paid $62,670 in federal income tax on an 
adjusted gross income of $293,757, of which $189,167 was the 
President's salary.  The return shows that the Clintons are entitled 
to a refund of $7,982.  The Clintons have elected to apply this 
amount, in its entirety, to their 1994 taxes and, therefore, will not 
receive any refund at this time.  
	     
	     In addition to the President's salary, the Clintons' 
income included interest and dividend income and capital gains, 
including income and capital gains reported by Boston Harbor Trust 
Company, the trustee of the Clintons' blind trust; a refund of 1992 
taxes paid by the Clintons to the state of Arkansas; and residual 
payments and royalty income.  The Clintons' adjusted gross income 
also included miscellaneous income of approximately $38,700, 
representing the reimbursement by the Presidential Transition 
Planning Foundation of the cost of the Clintons' move from Little 
Rock, Arkansas, to Washington, D.C., in January 1993.   The tax law 
permits deduction of the full amount of these moving expenses as an 
itemized deduction on the Clintons' return.  If this one-time moving 
expense was not included, the Clintons would have paid $61,583 on an 
adjusted gross income of $255,074.
	     
	     The return also reports dividend and interest income of 
$12,000 from an annual Henry G. Freeman, Jr. Pin Money Fund 
established under a 1912 will for whoever is, at any given time, the 
wife of the President of the United States.  Mrs. Clinton intends to 
contribute this income to charitable entities.
	     
	     The Clintons have claimed itemized deductions of 
$71,482, which includes $17,000 in contributions to charities; 
$38,683 in moving expenses, as we noted in the third paragraph here; 
and $15,815 in payments of state and local taxes; and $5,543 in 
interest deductions.
	     
	     The preparation of the Clintons returns was prepared by 
Robert Jones, who is a member of the Washington, D. C., accounting 
firm of Hariton, Mancuso and Jones.  Mr. Jones did not prepare the 
1992 returns; they were prepared by a Little Rock firm.  When the 
Clintons moved to Washington, they switched their accounts to the 
appropriate work here in Washington.  
	     
	     We've gone through the salaries.  I've gone through the 
statement.  Let me go through the individual line-by-line so we can 
just walk our way through this.  For line 7, for the wages and 
salaries, $191,640 includes the President's salary of $189,167.  That 
represents the income he earned starting January 20, 1993 --obviously 
less than a full year.  The wages and salaries also includes $2,473 
paid to the Clinton by E.P. Talent for residuals that the Clintons 
earned in 1993 for appearances on the Arsenio Hall Show; 
specifically, $2,046 was paid to the President, and $427 was paid to 
Mrs. Clinton.
	     
	     For our next line, as we get into the line A taxable 
interest income -- with the exception of $288 paid to California, 
again associated with this E.P. Talent, the remainder of state and 
local taxes of the $15,641 was paid to Arkansas.  Line  8B, as you 
work your way down to tax-exempt interest income, this is the 
interest earned principally from Arkansas municipal bonds.  It also 
includes $588 in interest from Cortland municipal money market fund, 
and $41 from a Schwab tax-exempt money fund.
	     
	     PERSON FAMILIAR WITH THE RECORDS:  Stop for just a 
second.  The $16,000 is actually the -- it's not -- that's the 
interest they got from the various investments -- scheduled -- not 
the state and local --
	     
	     MR. GEARAN:  Right, right.  The $16,000 -- Jim corrects 
me -- is, as we get to Schedule B, the total -- as you can see on 
Schedule B on line 4; the total from the interest income that's 
listed in Schedule B.
	     
	     Where are we?  Taxable refunds -- that's from a state 
tax refund from Arkansas, the $2,046 noted there.  Line 13, capital 
gains, that's as reported by the blind trust; that's gone over in 
Schedule D, which is attached.  Line 17A is the pensions and 
annuities; this amount represents those monies rolled over from Mrs. 
Clinton's interest in the Rose Law Firm retirement plans into an IRA 
that is now in the blind trust.  It also includes amounts rolled over 
to IRAs now in the blind trust from two Keough accounts of Mrs. 
Clinton.  The Clintons' other pension and annuity interests were also 
placed in blind trust accounts.  When the custody of those accounts 
was transferred to the trustee, there's no distribution of assets 
and, thus, no requirement to report the transfer on line 17A of the 
return.

	     Line 18 -- this is all the interest and dividend income 
reported, plus a $3 royalty which is reviewed in Schedule C for 
Midlife.  
	     
	     PERSON FAMILIAR WITH THE RECORDS:  Well, this is just 
the royalty off of Schedule E.
	     
	     MR. GEARAN:  The royalty off of Schedule E that we'll go 
into later.  Statement 1 details the other income, which is the 
moving expenses that I noted at the beginning -- the $38,683 in 
moving expenses that was based on a calculation using the Rand 
McNally Atlas from Little Rock to Washington, D.C., they calculated 
that.  So we bring it down to the total income of $293,757.  
	     
	     Q    When do you want to take questions?  As we go 
along?
	     
	     MR. GEARAN:  Why don't I just grind through this just so 
we can get through it?  The next page goes through the deductions 
that we can go through -- $71,000 -- the total tax paid, you see 
there is -- $670 -- yes, the tax that's required that's due.  We go 
through -- I think everything else here is straightforward.  The one 
thing -- 58A, this excess Social Security is from E.P. Talent --
everything else I think we went through in the opening statement.  
	     
	     The overpaid money, as I noted, is credited to next 
year's taxes.
	     
	     Q    How about -- taxpayers -- on -- income tax withheld 
-- $61,495 and -- 
	     
	     SENIOR ADMINISTRATION OFFICIAL:  I'm sorry, what line 
are you on?
	     
	     Q       1993 estimated taxpayers -- $5,000 --
	     
	     SENIOR ADMINISTRATION OFFICIAL:  What's the question?
	     
	     PERSON FAMILIAR WITH THE RECORDS:  Yes, the President 
and Mrs. Clinton.  They had other income in addition just to salary, 
so they had to make up --
	     
	     Q    Those are carried over from last year, isn't it?  
It says applied from '92 returns.
	     
	     Q    That's -- tax payments and amount applied for '92.
	     
	     SENIOR ADMINISTRATION OFFICIAL:  Schedule A, we can go 
quickly through this.  As I said, the state and local taxes is mainly 
Arkansas, with the exception of $288 to California.  The personal 
property tax of $66 is for a 1986 Oldsmobile that the Clintons own.
	     
	     Q    They're selling it?
	     
	     SENIOR ADMINISTRATION OFFICIAL:  Yes.
	     
	     Q    Is it here in Washington?
	     
	     SENIOR ADMINISTRATION OFFICIAL:  It's in Arkansas.
	     
	     Q    Is it with the Mustang?
	     
	     SENIOR ADMINISTRATION OFFICIAL:  It's an Oldsmobile.
	     
	     Q    Where is the Mustang?
	     
	     SENIOR ADMINISTRATION OFFICIAL:  The Mustang is in a 
museum.  Any other car-related questions?  (Laughter.)
	     
	     Q    Not until Sunday.
	     
	     Q    Where is this car?
	     
	     SENIOR ADMINISTRATION OFFICIAL:  Where in Arkansas?
	     
	     Q    Where -- is it parked at somebody's house?  
	     
	     SENIOR ADMINISTRATION OFFICIAL:  I'll take the question.  
(Laughter.)
	     
	     Q    He's going to take the Mustang back after he goes 
home to real life?
	     
	     SENIOR ADMINISTRATION OFFICIAL:  I can't confirm that.  
All right, we've gotten through the cars.  The home interest mortgage 
deducted on the Clintons' return -- this is the interest that the 
Clintons paid on their half of the mortgage on the residence in 
Little Rock that is lived in year-round by Mrs. Clinton's mother.  
And it's also the Clintons' residence in Arkansas.  It's the place of 
residence for purposes of state taxes and for the purposes of voter 
registration.  That has been previously deducted in past years.  
	     
	     The investment interest expense -- this is reported on 
form K-1, the K-1 earning statement supplied by their trustee of the 
blind trust.  Interest expense was incurred on one or more of the 
investments, placed in a blind trust.  But because, obviously, the 
trust is blind, we do not know the particular investment or 
investments.  That's the total contributions.  Now we're down to --
the contributions is $17,000.  Those are all paid by checks.  That's 
the total of their contributions to charitable organizations for this  
year.
	     
	     Q    Can you provide a list of those?  And do they 
include that $12,000 that was passed along from the Freeman will?  
	     
	     SENIOR ADMINISTRATION OFFICIAL:  No.  Mrs. Clinton 
intends to donate that to charity.  It's not included in the $17,000.  
I can read you this list for -- 
	     
	     Q    Can you put it up afterwards?
	     
	     SENIOR ADMINISTRATION OFFICIAL:  -- and for historical 
purposes, and we will provide it to you.  The Arkansas Bar 
Foundation, Children's Hospital Foundation in Washington, D.C.
	     
	     Q    No amounts?
	     
	     SENIOR ADMINISTRATION OFFICIAL:  No.  The total is --
Union Rescue Mission, the First United Methodist Church in Little 
Rock, the Vincent W. Foster Scholarship Fund; the Foundry United 
Methodist Church in Washington, D.C.; Georgetown University, Emmanuel 
Baptist Church in Little Rock, Arkansas; Penn State, the Charles 
Engle Memorial Scholarship; Penn State, the Hugh E. Rodham Memorial 
Scholarship.  Eleanor Roosevelt Monument Fund, St. Vincent 
Development Fund in Little Rock, the Sidwell Friends School; WAMU 
88.5 FM, that's National Public Radio.
	     
	     Q    What, to get them off the air sooner?  (Laughter.)
	     
	     SENIOR ADMINISTRATION OFFICIAL:  Is he getting a 
director's chair?  The Washington Ballet.
	     
	     Q    You mean WAMU, isn't it?
	     
	     SENIOR ADMINISTRATION OFFICIAL:  WAMU.  What did I say?
	     
	     Q    WMAU.
	     
	     SENIOR ADMINISTRATION OFFICIAL:  Okay, WAMU.  Washington 
Ballet, Wellesley College and Yale Law School.
	     
	     Q    So when are you going to let us know the amounts?  
I think you did last year.
	     
	     SENIOR ADMINISTRATION OFFICIAL:  We'll post the complete 
list with the total at $17,000.  I think that's --
	     
	     Q    With individual amounts?
	     
	     SENIOR ADMINISTRATION OFFICIAL:  No.
	     
	     Q    I believe you provided individual amounts last 
year.
	     
	     SENIOR ADMINISTRATION OFFICIAL:  That's how we're going 
to leave it this year.
	     
	     Q    Is there a reason for the change?
	     
	     SENIOR ADMINISTRATION OFFICIAL:  No.  
	     
	     Q    It's not provided as part of the tax return?  They 
don't get an itemized list of the contributions?
	     
	     PERSON FAMILIAR WITH THE RECORDS:  No, it's not 
required.
	     
	     SENIOR ADMINISTRATION OFFICIAL:  Okay, moving expenses 
-- we --
	     
	     Q    I'm sorry -- it's this just like a matter of 
privacy, or what?  
	     
	     SENIOR ADMINISTRATION OFFICIAL:  I think this is just 
the approach that we're taking this year.  I don't know --
	     
	     Q    Who made the decision after --
	     
	     SENIOR ADMINISTRATION OFFICIAL:  I'm not aware of who 
made the decision.  Let me visit the question.  I mean, frankly -- we 
had the information, we had the list; we thought we were really on 
the ball here with that list.  (Laughter.)  If there's a change in 
our policy here we'll -- if there's any change in the 1986 
Oldsmobile, I'll be able to show it to you.  White House shifting.
	     
	     Wait a minute.  I'm going through this.  Line 18 --
moving expenses -- we talked about from the Transition Foundation 
that was -- we dealt with at the top of this.
	     
	     Q    So they're claiming some of that as income, is that 
right?
	     
	     SENIOR ADMINISTRATION OFFICIAL:  Yes.
	     
	     Q    It's a small amount.
	     
	     SENIOR ADMINISTRATION OFFICIAL:  It's all --
	     
	     Q    I know, but it doesn't match the $38,683 on
this Moore income -- on --
	     
	     PERSON FAMILIAR WITH THE RECORDS:  This income -- on 
line 22 is where the $38,683 is included in this plus -- if you look 
at statement one, it explains it.
	     
	     Q    Is that because of limitation on deductions?  I see 
$7,000 vanishes -- 
	     
	     SENIOR ADMINISTRATION OFFICIAL:  No, no -- as you can 
see --
	     
	     Q       vanishes between the total on the bottom and 
their income is high enough to be subject to limitation on 
deductions.  Is that the reason for that?
	     
	     PERSON FAMILIAR WITH THE RECORDS:  No, that's just the 
way it's always -- the proper treatment.  You report it as income; 
you take it as a deduction -- you do get because of the phase-out on 
deductions, you do get hurt a little bit on that.
	     
	     Q    So there's less than $100 difference, though?
	     
	     SENIOR ADMINISTRATION OFFICIAL:  Yes.  
	     
	     Q    That's what also accounts for the difference in the 
total there, isn't it?
	     
	     SENIOR ADMINISTRATION OFFICIAL:  I think the difference 
you'll see at the last page -- the royalty income that we said at the 
beginning -- it's $255.  That accounts for the difference.
	     
	     Q    No, I'm talking about itemized deduction -- if you 
add up the total figures, they add to $77,041, but the total at the 
bottom is $71,400 and that's subject to limitation --
	     
	     PERSON FAMILIAR WITH THE RECORDS:  Yes, that's right.  
That's right.
	     
	     Q    And that's the reason?
	     
	     PERSON FAMILIAR WITH THE RECORDS:  That's correct.
	     
	     SENIOR ADMINISTRATION OFFICIAL:  You understand your 
question?
	     
	     Q    Yes, I understand.
	     
	     SENIOR ADMINISTRATION OFFICIAL:  Okay.  Schedule B --
Boston Harbor Trust is, as we said, the blind trust.  Fidelity Bank 
is the handout that we gave you when you came into the room.  
	     
	     Under the terms of Mr. Freeman's will, upon the decease 
of the last surviving member of this family, or stated in the will, 
the First Lady in the land, the wife of the President of the United 
States, or anyone representing the President is to receive $12,000 
annually.  
	     
	     You'll see on page, I think it's 5 of the will that 
describes this as that Henry G. Freeman, Jr. Pin Money Fund.  And he 
states the reason that he makes this fund is because he feels the 
President of the United States receives such a miserable pittance for 
a man holding the greatest position on Earth.  (Laughter.)  That is 
on the record, thank you.
	     
	     Q    So this is a -- we haven't seen this one before, so 
is this the first time it's been claimed?
	     
	     SENIOR ADMINISTRATION OFFICIAL:  I don't know the --
	     
	     PERSON FAMILIAR WITH THE RECORDS:  It's the first time 
it has appeared on the Clinton return, as this is their first year in 
the White House.  The trust, according to the information we have, 
these payments are to begin after all of the heirs and descendants of 
this particular man had phased out; and that apparently happened in 
1989; and left a sum of so-called adjudications -- distributions of 
the will in December of 1992.  So whether any payment was made to 
Mrs. Bush, we don't know.
	     
	     SENIOR ADMINISTRATION OFFICIAL:  So the last surviving 
annuitant died on November 6, 1989; adjudication rendered December 
21st, 1992.
	     
	     Q    Does that imply it was disputed?  That somebody 
else felt is should come to them instead of the First --
	     
	     PERSON FAMILIAR WITH THE RECORDS:  Not that we know, no.  
I imagine it's a trust -- after all, this is -- year old --
	     
	     Q    But the adjudication in 1992, sir?
	     
	     PERSON FAMILIAR WITH THE RECORDS:  -- whoever the 
executor is wanted to get it --
	     
	     Q    Why is it called the Pin Money Fund?
	     
	     PERSON FAMILIAR WITH THE RECORDS:  That's what he calls 
it.
	     
	     Q    And who is this fella?
	     
	     PERSON FAMILIAR WITH THE RECORDS:  We expect you to go 
out and help me find out -- we don't know.
	     
	     SENIOR ADMINISTRATION OFFICIAL:  (Inaudible.)  
(Laughter.)
	     
	     Q    How did you find out about this -- 
	     
	     PERSON FAMILIAR WITH THE RECORDS:  We got a letter from 
the bank that's the executor --
	     
	     SENIOR ADMINISTRATION OFFICIAL:  Trustee.
	     
	     SENIOR ADMINISTRATION OFFICIAL:  Well, we released the 
-- 
	     
	     Q    Do you know when he died?  The --
	     
	     SENIOR ADMINISTRATION OFFICIAL:  Yes, 1912.
	     
	     PERSON FAMILIAR WITH THE RECORDS:  The will is dated 
1912.  And there are a couple of codicils -- exactly when he died. 
	     
	     SENIOR ADMINISTRATION OFFICIAL:  In 1928, I believe is 
when --
	     
	     SENIOR ADMINISTRATION OFFICIAL:  Okay, that deals with 
the reference there to Fidelity Bank.  Mid-Life Investments, as been 
previously reported; it was -- Mrs. Clinton was a co-investor with 
other Rose Law Firm partners, and an investment only partnership 
named at Life Investments.  This had only one source of income which 
was an investment in a limited partnership that invested several 
years ago in a production of a television movie, which netted $2 in 
royalties to Mrs. Clinton in 1992, and $3 in 1993.
	     
	     Stephens, Inc. is the asset -- by Stephens, all of which 
were placed in the Clinton's blind trust -- were stock in TCBY and 
WalMart; investments in an automated government money trust fund; in 
federal government cash series; an interest bearing account in 
Arkansas Municipal Bonds. 
	     
	     Twin City Bank -- were the national banker -- personal 
checking accounts, and two CDs, the dividend income.  I think we 
pretty much handled the -- of Liz Claiborne, which was also put into 
the blind trust.
	     
	     Q       the rough size of the blind trust?
	     
	     PERSON FAMILIAR WITH THE RECORDS:  I don't know how to 
answer that.
	     
	     SENIOR ADMINISTRATION OFFICIAL:  Why don't we end there 
for this.  We can now take questions and this should be, I think 
appropriately, ON BACKGROUND.
	     
	     Q    Can you explain why it cost $39,000 to move him?  
That seems pretty high.
	     
	     SENIOR ADMINISTRATION OFFICIAL:  That was the, again, 
the amount is not literally $39,000.  You've got the right amount.
	     
	     Q    It's $38,700.
	     
	     SENIOR ADMINISTRATION OFFICIAL:  Yes, whatever it is, 
was the amount paid to United Van Lines as calculated mileage, as I 
mentioned, from Little Rock to Washington.  It's the cost incurred 
for packing, storing, transport, unpacking.  I don't know if there 
were any associated costs due to the nature of a president versus 
anyone else making the move.  But that was literally the amount that 
was provided.
	     
	     Q    Were they -- to his records or something, because I 
thought they didn't have that much furniture.  And that's an awful 
lot for a move.
	     
	     Q    We recall seeing one -- we were told the day they 
moved in Little Rock there was one van and not many personal 
belongings, because they've lived in the mansion for so long.
	     
	     SENIOR ADMINISTRATION OFFICIAL:  I don't have any better 
guidance to you, but that was --
	     
	     Q    That all was paid --
	     
	     SENIOR ADMINISTRATION OFFICIAL:  That was all paid 
directly to United Van Lines.  
	     
	     Q    That's only their personal stuff, right?  We're not 
talking office files, anything like that?
	     
	     SENIOR ADMINISTRATION OFFICIAL:  My understanding is, 
this is --
	     
	     Q    And that doesn't include anything like lodgings or 
incidentals?  It's all for the van lines?
	     
	      SENIOR ADMINISTRATION OFFICIAL:   I don't speak for 
United Van Lines.  I don't know how they calculate that.  I think the 
best guidance we can give you to this is, literally, the amount that 
was determined by them, that was paid directly to them.  
	     
	     Q    Where did this money come from?  I know it was from 
the transition planning foundation.  But is this part of the fund 
that the transition had available to it?
	     
	     SENIOR ADMINISTRATION OFFICIAL:  Yes.  This is the 
transition planning foundation.  These are not the government funds.  
These were the funds raised by individuals that were part of the 
transition fund and the board of directors saw this as an appropriate 
expenditure of foundation monies as appropriate to the mission of the 
transition, to have moving expenses incurred.
	     
	     Q    Was it for the single truck we saw unload here, or 
were there other trucks, like with library stuff and -- 
	     
	     Q    Do you know the -- I mean, I guess --
	     
	     Q    As a general matter, there's no limit on the amount 
of money that is deductible as moving expenses?
	     
	     PERSON FAMILIAR WITH THE RECORDS:  Well, there are some 
limits, yes, but generally 
	     
	     Q    Forty thousand dollars?  (Laughter.)
	     
	     PERSON FAMILIAR WITH THE RECORDS:  -- usually the limits 
are on your lodging -- meals and lodging that you can incur.  But the 
direct -- what you pay the van lines is usually fully deductible.
	     
	     Q    You may have explained this, but what was The New 
York Times royalty income for?
	     
	     PERSON FAMILIAR WITH THE RECORDS:  We understand it was 
for the residual for some op-ed pieces from the syndication of some 
old op-ed pieces by the Clintons --
	     
	     Q    Both of them?
	     
	     PERSON FAMILIAR WITH THE RECORDS:  I don't know.  I 
don't know the details.  
	     
	     Q    When was the blind trust actually set up? 
	     
	     SENIOR ADMINISTRATION OFFICIAL:  It was set up in July 
of 1993.
	     
	     Q    Do you have any idea how big it is?
	     
	     Q    We'll know in May when the financial disclosure 
forms come out, or is that how --
	     
	     SENIOR ADMINISTRATION OFFICIAL:  It's regulated by the 
Office of Government.  
	     
	     Q    The blind trust documents --
	     
	     Q    What were the dates, or the date of the Arsenio 
Hall appearance -- 
	     
	     SENIOR ADMINISTRATION OFFICIAL:  I don't know.
	     
	     PERSON FAMILIAR WITH THE RECORDS:  June.
	     
	     Q    Last summer.
	     
	     Q    Do the get residuals every time this -- 
	     
	     SENIOR ADMINISTRATION OFFICIAL:  State capitals for 
$400, please.
	     
	     Q    Do they keep getting money every time this clip of 
the show is shown?
	     
	     SENIOR ADMINISTRATION OFFICIAL:  Yes, my 
understanding -- residuals -- 

	     Q    These are residuals for the appearance during the 
campaign?
	     
	     SENIOR ADMINISTRATION OFFICIAL:  Yes.  He did not appear 
in 1993.  
	     
	     Q       the Boston company?  Do you know who owns it?  
Who runs it?  Any details of that?
	     
	     SENIOR ADMINISTRATION OFFICIAL:  No.
	     
	     Q    There's no money put aside by -- IRA. 
	     
	     Q    Do they have any kind of retirement program?
	     
	     PERSON FAMILIAR WITH THE RECORDS:  There were no 
deductions from his salary.  There is, in the compensation package 
for the President, there is a retirement feature to it.  It's not a 
qualified plan situation.
	     
	     Q    Can you specify -- you said that the retirement 
funds, the rollover funds, came from her pension at Rose plus two 
Keoughs, which would be the self-employed thing, I think.  What 
companies were those involved with?  Where were those Keoughs from, 
do you know?
	     
	     SENIOR ADMINISTRATION OFFICIAL:  Well, the amount from 
the Rose retirement plan was $136,161.  The amount from the Keough 
accounts were --
	     
	     Q    $136 --
	     
	     SENIOR ADMINISTRATION OFFICIAL:  -- 161.  The amount 
from the Keough accounts was $6,367.  
	     
	     Q    $6,367, but you don't know which companies they 
were with?  What self-employment she earned that under?
	     
	     SENIOR ADMINISTRATION OFFICIAL:  No.
	     
	     Q    Did this become part of the blind trust?
	     
	     SENIOR ADMINISTRATION OFFICIAL:  Yes.
	     
	     Q    Does it keep its character as a retirement fund?
	     
	     PERSON FAMILIAR WITH THE RECORDS:  Yes, it's a rollover.
	     
	     Q    So when they come out of the blind -- when they 
take back the assets, it will be -- it will still be retirement?  
	     
	     PERSON FAMILIAR WITH THE RECORDS:  Yes, correct.
	     
	     It's just listed under 17, you'll see, that's just a 
distribution.  You'll see the taxable amount as listed as zero on 
line 17B.
	     
	     Q    Were you doing the amount of what was state return 
and also was annual return filed on behalf of Chelsea?  And will that 
be available for us?
	     
	     SENIOR ADMINISTRATION OFFICIAL:  The state return has 
not been filed yet.  I don't know Chelsea's circumstances.
	     
	     Q       deadline?
	     
	     SENIOR ADMINISTRATION OFFICIAL:  Yeah, it's May 16th or 
something.
	     
	     Q    Have those taxes not been calculated yet for the 
state?
	     
	     SENIOR ADMINISTRATION OFFICIAL:  They have not been 
filed yet.
	     
	     Q    They have not been filed.
	     
	     PERSON FAMILIAR WITH THE RECORDS:   Chelsea, that's a 
good -- I don't know the answer to that.
	     
	     PERSON FAMILIAR WITH THE RECORDS:  Well, I think that 
her income is so low, it's under the threshold.
	     
	     PERSON FAMILIAR WITH THE RECORDS:  So there's not 
separate filing for her --
	     
	     Q    What is Chelsea's income?  Where does she get 
income?
	     
	     PERSON FAMILIAR WITH THE RECORDS:   I don't know.  I 
don't know.
	     
	     PERSON FAMILIAR WITH THE RECORDS:  This is another 
serious question.  The Boston Harvard Trust Company does not have 
anything to do with the clean-up fund.  It's not like limited itself 
to Boston Harbor bonds or anything.  It's just a regular financial 
firm.
	     
	     SENIOR ADMINISTRATION OFFICIAL:  It's a blind trust.
	     
	     PERSON FAMILIAR WITH THE RECORDS:   The nature of the 
firm.
	     
	     PERSON FAMILIAR WITH THE RECORDS:  The company that does 
it, right.
	     
	     SENIOR ADMINISTRATION OFFICIAL:  I don't know.
	     
	     Q    Boston Harbor -- right?
	     
	     PERSON FAMILIAR WITH THE RECORDS:  Yes.
	     
	     Q    Back to Chelsea for a second.  I don't know what 
she files, but it seems to me that her income would be passive.  
There were some investments set up for her, and even a dollar of 
passive income obliges her to file a tax return.
	     
	     PERSON FAMILIAR WITH THE RECORDS:  I'll just have to 
check with the accountant on that.
	     
	     SENIOR ADMINISTRATION OFFICIAL:  We'll have to check.
	     
	     Q    What more can you tell us about the TV movie.
		  
	     SENIOR ADMINISTRATION OFFICIAL:  Nothing.
	     
	     Q       clients -- $3.00?
	     
	     SENIOR ADMINISTRATION OFFICIAL:  I don't know.  --
	     
	     Q    What about the house -- the mother's house?  Did 
you say they owned half of it?
	     
	     SENIOR ADMINISTRATION OFFICIAL:  They sure -- yeah.
	     
	     Q    I thought the mother paid off the loan -- the 
$20,000 loan -- to buy the house.
	     
	     SENIOR ADMINISTRATION OFFICIAL:  I'm sorry, this is Mrs. 
Rodhams' home in Illinois.
	     
	     PERSON FAMILIAR WITH THE RECORDS:  Actually, did he say 
that?
	     
	     SENIOR ADMINISTRATION OFFICIAL:  Yes.
	     
	     PERSON FAMILIAR WITH THE RECORDS:  Anything else we can 
help you with today.
	     
	     Q    Her occupation is attorney.
	     
	     SENIOR ADMINISTRATION OFFICIAL:  Is there anything here?
	     
	     Q    Going back to the McDougal Van Lines -- (Laughter.)
	     
	     SENIOR ADMINISTRATION OFFICIAL:  Thank you.
	     
	     Q    You wouldn't be inclined to read that statement in 
front of the camera, would you, since you did it on the record?


				 END4:39 P.M. EDT

