Beginning immediately after the board of directors’ meeting where NRFA was established, on April 5, 1968, it began to purchase oil, gas, and mineral interests from KRC. King reported to the FOF board of directors on August 2, 1968, that $3 million of the initial authorization of $10 million was committed. For the year-end 1968 audit of FOF, the Denver office of Andersen prepared a series of comparisons of prices charged by the King group to FOF, other King affiliates, and other knowledgeable industry purchasers. The “Summary of 1968 Sales” showed the following with respect to sales to the King affiliates: