Indianapolis Times, Indianapolis, Marion County, 15 February 1952 — Page 3

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FRIDAY, FEB, 15, 1052

rnal Revenue

Serips-Howard

administrations.

Sen. John J. Williams (R. Del.) may break the long fight by administrative officials to keep income tax disclsoures confined to lesser officals and smaller offenses, : Mr. Nunan was selected to be commissioner of internal revenue in 1944 by the late Robert E. Hannegan. President Roosevelt appointed Mr. Nunan, with the approval of Henry Morgenthau, then treasury secretary.

Mr. Hannegan had come to (Washington from the collector's ‘office in St. Louis to be commissioner. Now he was going on to head the Democratic National Committee. Mr. Nunan had been collector fn —the first New York district (Brooklyn). This was the district where gamblers and bookies were later disclosed by a grand jury to have been paying a million dollars a year in profection to police officials. It was during the Hannegan

ternal Revenue that most of the scandals + uncovered so far had their origin. Mr. Nunan's name has come into some of the smellier messes uncovered by the King Investigating Committee. Despite this,

DESERT FLIGHT—Wendell Phillips and Eileen Salama, mem- he has not yet been before ‘he

bers of an American archeological expedition, have arrived at Aden, after escaping under gunfire from the King of Yemen's guard, across a desert inhabited by hostile tribes. Mr. Phillips said $200,000 in equipment had to be abandoned .in the flight.

Expect Cag2 Telecast to Go Off Well

Basketball - fans planning to watch the Indiana University! game at the Indiana Theater Monday night won't be disappointed in the new television experiment. From the second test, made by WTTV this morning, it appears no difficulties should arise. None are expected, theater representatives said, but a booster set has been installed just in case’ During the first test Thursday ice formed’ on , the antenna and caused minor problems which a booster set will clear: up. No Seats Reserved Viewers will find almost the entire surface of the theater screen covered by the projected TV picture. Although at times the reception becomes hazy, largeness of the screen compensates and no detail of the game should be lost. Since announcement, of the coming theater TV debuf, the In-

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committee at a public session. Linked to Case Here

The King committee and Treasury and Justice Department officials have been wrangling this week over whether to call Mr Nunan and three of his associates diana Theater has been swamped in internal revenue to testify bewith calls from fans wanting to fore a Brook]lvn grand jury, or reserve seats. No .seats will be before the King committee. Yesreserved. All tickets will go con terday, Sen. Williams charged in sdle at noon Sunday in the box the Senate that Mr. Nunan had office. Prices for the Monday Played a leading part in a fanshowing will be one dollar per tastic Indianapolis tax case. person, and includes a showing The case concerned the Indianof the main feature andthe news apolis Brewing Co., now defunct. following the game. Mr. Nunan immediately denied This game between two of the Sen. Williams’ charge that he had

nation’s top basketball teams will! ger" ee rN IY ut he hicked oy he eater a tion for supporting charges he Bloomington as it is televised by|PiSiCes, Jromptly ame hs Sug

WTTV. The pick-up is made pos-| sible by the antenna atop the Nunan got permission from the

theater building. It will .mark the first time in television history that such an experiment has been tried by a pa of the government may prosecute : any claim against the governThe picture will come into the ment within two years after he tHeater projection foom, be en- jeaves the federal payroll. The larged and :

Screen, the law in some cases.) This experimental program will Mr, Nunan's denial

pany.

oY CHESTER POTTER and RUTH FINNEY

The spotlight turned on Joseph D. Nunan Jr. by

:' THE INDIANAPOLIS TIMES,

Staff Writers

messy had

clique, Mr. Nunan at the time told newsmen that he had never heard of Nathan and Naster and that the charge wgs ridiculous. He, has not yet been called to Washington to testify. The brewery's tax case covered the years 1944-45-46, a [feriod when Mr. Nunan headed the

Nunan, as part of their tax-fix bY

pressure testified WASHINGTON, Feb. 15—The income tax scandal is mittee.

[took

fice at over. . Rep. Robert W, Kean (R.N. J.) Mr. Marcelle: mean to say that you found this office was In a. mess, and the

asked

condition,”

required

in October, i - 3 before the King com- o that when he I kli C ol F Bill % T * hi tg x . over the Brooklyn collec : ; t ’ Lee spreading into higher ranks of the Roosevelt and Truman iors office it was “in a pretty ran in oe S 00 t onig A and - that it “supernuman = effort” to get it back in shape. Mr.

He said

Chief Tied To Brewery Case Here

1951, and |

By LLOYD WALTON Times Staff Writer

FRANKLIN, Feb, 15

the Tonight

————|Marcelle sald he had been told js “Men's Night" on the Franklin Materials used in the gIantir, wil be the crowning of the Supervisor Thomas 8canlon cygjjege campus. The coeds aré “floral” pieces they fashion. of the poor condition of the of- footing the bill the time of the change- :

The annual “Cupid's Capers” dance. in the Student Center {is

“Do vou eagerly awaited at least by men

“man of the evening.”” The sky's dance.

tables , : gether a corsage to gladden the garnering the students, It's the turnabout event \ ..\ or any stalwart male. At comes head-man of the evening, of the year, with the girls calling least he man. who was responsible for the for the boys, paying for refresh-|j¢ the coed doesn't prove to be a The dance is over at 11:30 p. m., mess had just been appointed by ments and escorting their dates good

can eat the vegetables

PAGE 8 |

S paid

Judges are to be th

and dance chaperones.

on design, color a fess Top feature of the hilarious afe

“Pan-Hel King.” Each of the six

Starting with a wisp of lace, fraternities in the Pan-Hellénle a sheet of construction paper, a Council has a candidate. few hat pins and numerous vegethe gals will throw to- ters the dance. The lucky guy’

bach coed will vote as she enmost votes bee

But all good things must end.

provider during the eve: and the coeds will take the boys

Interna] Revenue Bureau. Mr, the President to be head of the home after the dance ning. ; # back to their fraternity houses. Nunan left the bureau June 30 entire Bureau of Internal Rev- Coeds take fierce pride In the And the most original corsage Look out fellows —= it's Leap enue?” corsages they create for their will be awarded a prize at the Year,

1947, Sen. Williams said, and on Mar. 28, 1949, obtained a waiver from the bureau to represent the brewing company, then under recefvership. Associated with him| in this case, Sen. Williams said, was John P. Wenchel of Wash-| ington, who resigned as chief] counsel for Internal levenue about the time Mr. Nunan left. When Mr. Nunan became commissioner, the Senator continued, the government said the company owed $812,000 in back taxes. When, Charles Oliphant, then general] counsel of the Revenue Bureau!

| | |

and Nunan administrations in In< he has since resigned—sent the

case to the Justice Department, the amount had dwindled tol $646,000, Sen. Williams said. “On Nov. 5, 1949,” he said, “an offer in comproniise was sub-| mitted . whereby the taxpayer would pay the government $4500 in lieu of the above claim. On| Dec. 8, 1949, on the basis of rec-| ommendations by Mr. Oliphant, | the offer was accepted by the! Justice Department's tax division] under Theron Lamar Caudle.” who has figured’ prominently in| the tax scandal. > Brewery Filed Suit Subsequently, Sen. Williams said. the brewery sued to recover] 535.000 which it claimed it had overpaid in taxes. Mr. Oliphant told the Justice Department he! had no defense against the suit,! and Uncle Sam paid the $35,000 on Nov. 2, 1951, the Senator said, although the receivership had (ended on May 12, 1950. The Treasury Department said the $35.000 check was indorsed by J. Carl Vandivier, former Marion County (Ind.) Republican chairman and a receiver for the brewery. Earlier the brewing company

| Treasury to represent the com- had had other troubles. A treble-

damage case for more than $500,

(The law says no- ex-employee 000 was settled by OPA in June,

1949, for $50,000. The brewery! had been accused of not filling bottles and with overcharging. When Mr. Nunan was first

reflected onto” the Treasury contends it can waive asked yesterday about his con-|

nection with the brewery, he em-

recalled Phatically denied ever represent-

add a potential 3100 extra spec- one he made last. December. This ing it. So did his Washington

tators to the normal handled in the IU Field House, heard Attorney Abraham Teiteland it may lead to theater tele- baum of Chicago testify that vision of all TU home basketball Frank Nathan and Bert Naster games, The show will begin at 7:15 him down for $500,000.

capacity was when the King committee associate, Mr. Wenchel.

“Checked Records” < Later, Mr. Nunan telephoned . the reporter to say he had

both of Miami, had tried to shake ‘checked Ris records” and was

certain that he never represented

p.-m: Monday with pre-game ac- Mr. Teitelbaum told the King the firm, never handled a tax tion. The game starts at 7:30 committee the men had named case for it and never received a

p. m. a half-dozen others, including Mr

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As the controversy between the) .

King committee and the Justice! and Treasury Departments sim-i ymered, Rep. Kenneth R. Keating| [(R. N. Y.) came to the defense, of the King committee. Mr. Keating is a member of a new judiciary subcommittee assigned to investigate the Justice Depart-| ment. Chairman Cecil R. King, (D. Cal.) of "the King committee, |charged yesterday that the Jus-| tice and Treasury Departments, were (trying to “stifle” the committee’s investigation of Mr. Nunan and others in the New York | area. 7 \ Referring to this accusation, Mr. Keating said: { “If Mr. King feels that his in-! vestigation is being interfered with, that perhaps ought to take precedence over matters we now have on the shelf, It would be a] proper province for us to investi-!

|gate it. The King committee is|

doing important work and if it; {needs our support, it ought to! [get it.” Promises Conference i Rep. Frank L. Chelf (D. Ky.) chairman of the new subcommittee, said he would “eonfer with Mr. King about this as soon as he returns to Washington.” Mr. King and some other, members of the committee are now holding hearings in San Francisco. Be-| cause of the welter of charges being made, it is believed the committee will hasten. its return to Washington, ! Mr. Nunan's name Was men- | [tioned at the first hearings held; iby the King committee last Sep-| tember in New York City. The hearing concerned James B. E. Olson, who resigned during, the hearings as district superintendent of the Internal Revenue Bureau's alcohol tax unit in New York. : | Mr. Olson, while holding this) government job, had been an ofilSal and part owner of the 1.B. BE Olson Corp., distributors of truck bodies to breweries and others. “Mr. Olson testified that Mr. Nunan, as commissioner, had told {him it was all right to go into this outside activity. A few days later, both men were mentioned in the Senate in-| vestigation of the Reconstruction | Finance Corp.; in connection with] the American Lithofold Corp. of St. Louis. It was disclosed that Mr. Olson had also been a vice president of Lithofold, and had gotten the company orders from, various liquor concerns for print-| ling labels. Mr. Nunan, it was ‘disclosed, had received $4055 from American Lithofold in commissions. ; , Mr. Nunan was collector at ‘Brooklyn from 1941 till Februlary, 1944, Mr. Olson had been his | {deputy and Mr. Nunan wanted Mr, Olson to succeed him as col-| lector. However, Brooklyn poli-

. = wicoos tielans had --dnother - candidate,

(Joseph H. Marcelle.. -So Mr, Ol|son was given the job in the al-|

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