Indianapolis Times, Indianapolis, Marion County, 5 February 1943 — Page 11
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Proctr- Gamble Research
* Chief and Three Other
Employees Fined.
BOSTON, Feb. 5 (U. P).—A federal court jury today was ordered to acquit the Procter & Gamble Co.
and two individuals after a three-|.
week trial on conspiracy charges involving patent rights and use of the mails to defraud. . - Guilty verdicts, however, were ordered against four defendants. : Dr. D. Paul Smelser of Cincinnati, head of the company’s market and research department, was fined
$5000 and two of his employees]:
lesser amounts. A third employee received a six-month suspended jail sentence. - Four defendants who
pleaded guilty will be sentenced|}
later. The defendants were charged with conspiracy to steal trade secrets of the Lever Brothers Co. Cambridge, a competitive soap concern.
Conspiracy Is Doubted Judge Sweeney ordered the verdicts of acquittal after defense sel charged. that the government had failed to establish grounds for prosecution. “Fhere were probably breaches of business ethics in this case, but I am not at all satisfied that any of the officers or board of directors knew of any conspiracy or attempt to use the mails to defraud,” the Judge said.
The government alleged that from expressed its gratitude by Joining Mr. Ruml explained carefully that |:
Pebruary, 1937, to January, 1942, employees of Lever Brothers were bribed to obtain samples of soap and other confidential data from the laboratories and: files of their employer, ;
It’s a long, long march, but this marine private is getting nowhere. With a full pack, he treads the treadmill at Naval Medical Center in Washington to show the physical reactions at various marching speeds and under simlated weather conditions.
BUNNY AIDS MEAT DRIVE NAPA, Cal. (U, -P).—A. white
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tablishing :a- new record for California. . The past record was 15.
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Committee but He Takes i Placidly.
By THOMAS L. STOKES Times Special Writer
WASHINGTON, Feb. 5. — A
“;As one member of the house ways decide among various Pay-as-you-go| meet tomorrow to considés: the bill
and means ‘committee—faced with the job of cooking up a practical [ ‘palatable to both the taxpayers. put it:
author of the Rum! “pay-as-you- |¢¢ipes.
save before the house ways. and
“The coniniites: has before it at
go” tax plan, is not without honor Teast six plans—some concrete, some esigned
means committee.
He went before the committee to explain and advocate his plan, which is simply to turn the tax clock forward a year and start collecting taxes this year on this year’s income, instead of on last year’s. The Ruml plan has fired the pub-
Hic imagination. So much so, in fact,
that congress has had to sit up and listen, and the administration, too. That is why the ways and means ‘committee is now considering his proposal. : Pulled and Hauled
Yet, when he appeared before the committee, members began to go after him as if he had committed some crime. They pulled and hauled at him all day, beginning,’ just after he had finished his prepared state-
meént, with.the dour and Scottish chairman Doughton (D. N. C.), who just couldn’t see omitting ihe tax on last year’s income. It was a debt, he insisted, though
nebulous—for a tax reform d to extract the largest ‘amount of money from: taxpayers with a mini-
mum of pain. The six are in ac-
cord on one: thing—that something should be done. © Beyond that they are most nearIy in accord on the principle of collection at the source.” Only one of the six plans—that offered by Rep. Donald H. McLean (R. N. ¥.)=-0p= poses that.
<McLean feels it is the right of
every American to get at least one look at the money he earns. ; Split on Skip-a-Year | The ‘greatest’ divergence is on’ the skip-a-year principle, of wiping 1942's income tax liability off : the hoards completely and starting fresh on 1943. That in general is where the com-
mittee stands now after three days|:
of hearings on pay-as-you-go plans. Rep. Fred L. Crawford (R. Mich.) told the house ways and means committee today that the. philosophy of the Ruml plan of pay-as-you-go ifcome taxation neared “economic blasphemy.”
taxes are what congress. says they| are, and ‘that congress’ can change]
the system any time: it wishes, ‘as| ' -
it’ has done’ so often. The elderly but vigorous ; man ‘set the tone.’ As the
hn i oy progressed, it became plain that it}:
was the intention of many members of the committee—not all; for some few are for the plan—to make it
plans. These plans range from the “skip a year” theory outlined by Ruml yesterday to those which re-
quire taxpayers to pay two years
taxes in one year. Then there are
prophet such as Beardsley Ruml,| “Right now: we got 25 different |RUmerous in-between gradations.
“Mr. Ruml presented no figures
statistics: which would show the re-|:
sult. of his plan,” Crawford said. “Instead he delivered a cleverly
worded essay inducing citizens to}
lose their conscientious concern for the financial soundness of the government. “Such a philosophy coming from:
2 man of such responsibility in the}:
financial world and of national and international reputation is an approach to economic blasphemy.”
Assails “Forgiveness”
Crawford said pay-as-you-go for 1943 desirable but insisted there should’ be no “forgiveness” of taxes on 1942 income save in cases of ac-| tual hardship. ‘1 Meanwhile the committee received. an outline of “a delayed tax reduction pay-as-you-go plan” from city councilman A. L. Wolk of Pittsburgh, Wolk told the committee that: “Under my plan the government says to the taxpayer: Pay your 1943 income tax as you earn in 1943 and also. pay your 1942 ‘income tax in 1943 ‘and you will be given a ‘tax reduction in a sum-equal to the 1942 income tax in the form of government certificates :of .indebtedness,
to raise the national debt limit from $1 9,000,000,000 to $210,000,000,000. ‘Here Are -8ix Plans
. For the record, here's how. the six plans look, briefly: 1. The Ruml Plan Forget 1042 lability and collect from the: source on 1943 income. 2. The Robertson Plan: Forgive
1942 taxes on the first $2000 of net tincome and collect 20 per cent at
the source on 1943 income.
3. The Doughton Plan: Collect
ee on 1942 income on the 1941
basis—this would in effect collect
about: $7,000,000,000 instead of: $10,-
000,000,000—and ‘collect at source on 1943 income: : ‘4. The Treasury Plan: Forgive “as little as possible” on 1942 liability and collect at source on 1943. : 5. The McLean Plan: Same as ‘Ruml plan, but without collection-. at-the-source, McLean would pro-| vide taxpayers with “convenient| places to pay and let them pay in ‘monthly installments.” | 6. The Gearhart Plan: Collection gt-source on current income to begin July 1, 1943. ' Half of 1942 tax to -be ‘paid in two installments—
3
March 15 and June 15—with re-|Q mainder in 10 easy paynients ‘gver il:
a period of years.. As for the tax on income for the first half of 1943, ‘Gearhart says he “has not Sgured! that out yet.”
Rll INET PLAN §
YEARS TO PAY!
seem complicated, to bog it down in|:
technicalities,
The result, for some onlookers,|
was a growing conviction that unless the public brings more pres-
sure it is likely to get, after long}
delay, a really complicated “pay-as-you-go” tax plan that will be unduly burdensome, will require payment of two years’ taxes in one, and may re-
sult in defaults through inability to]
meet the obligations imposed. Ruml Never Ruffled Mr. Ruml himself warned of‘this
danger; but he never, despite the|
hostility toward him, became ruffled
or annoyed’ during the five hours he # stood before the committee. The|8\
big fellow took it all placidly. He was led, with infinite detail,
through all the steps congress: has}
to take to pass any sort of bill, with}
the conclusion that it would be July 1: before any “pay-as-you-go” plan} could be enacted. “This. delay itself indicates ‘that
‘a complicated plan ‘will .be ‘the re-|.
sult,” he observed. He thought congress: could put a} ‘Bill through, a simple bill] in time |- to start collecting under the plan by | April 1, and he told how-the me-| chanics could be worked out. No new tax forms
could use the present form, figure
his income on the 1942 basis, and}
at the end of the year, as the treasury itself proposes, adjust the differences between estimated income and actual income. Collections at the source, by the employer, could begin April 1, he said.
IS HITLER DEAD?
POSSIBILY SO, BUT--
Be (Continued from Page One)
ruthlessly “to put down any ate tempt at civilian - ‘insurrection. : But they would keep it secret from the German people as long : as possible if Hitler, the symbol, 1a died a coward’s death by suie.
See Germany Doomed
Still another probability is that they would appoint a rubber.
d bel} ‘needed, he said. i ll
stamp chancellor — Pastor -Nie«
moeller, famed rebel against Hitler and for years past in a con= centration camp, has been mene: tioned as a likely choice. = Then they would approach the united nations, point out : that : Hitlerism was ended and a negotiated _peace—which would leave Gerniany the actual winner
(of the war and ‘overlord of all
Buthe. : High ranking Germans — and among them Adolf Hitler if he still is living—know Germany is
doomed if the fight goes on—that Fhe War is alfeady Jost.
A logical move now, by the army
‘clique, would be to settle .on: the. |3
best terms they could get before complete disaster overwhelms:
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