New-York tribune., 1919-06-07
Arrest Involves
$4,000 Bribe
On Income Tax
Jay A. Weber, of Pictorial
Review Company, Is Ac.
cused of Seeking to Buy
Off U. S. Accountant

Jay A. Weber, secretary to ". P.
Ahnelt, president of the Pictorial Re-
view Company, which publishes a num-
ber of magazines, was taken in custody
at the McAlpin Hotel yesterday by Fed
eral agents and arraigned before United
States Commissioner Hitchcock on q
complaint charging him with attempt
ing to bribe Federal official
1t is alleged that Weber promised
$4,000 to N. ". Gropper, an Internal
Revenue agent, if Gropper would GER
tify to the correctness of the income
tax return of the Pictorial Review
Company for the year 1918. According
to Gropper and other Federal. opera
tives, Weber called at the McAlpin yes
terday and paid the first instafment
of the promised money.
Benjamin De Witt, Assistant United
States Attorney, who has charge of
Hitchcock to hold the prisoner in $780,
900 bail, asserting that the bribe was
arranged so as to enable the Pictorial
Review Company to evade payment on
income taxes aggregating more than
s6OO,000. This Commissioner Hitch
cock declined to do. He fixed bail at
$4,000, and set the examination for
June 13. Surety was furnished last
night and Weber was released.
Company's Books Seized
After the arrest of Weber the Fed
eral authorities seized the books and
records of the Pictorial Review Com
pany for the purpose of making a thor
ough examination to determine the
exact taxable income of the concern
and comparing it with the returns filed
for several years back.
According to the Federal authorities
Gropper was assigned several weeks
ago to verify the income tax return
filed by the Pictorial Review Company
While thus engaged, they say, he was
approached by Weber, who offered him
$4,000 to certify to the CORRECTNESS
Of the returns made by the company
The Federal agent, they assert, con-
veyed the impression that he might
consider the matter and Immediately
informed his superiors of the offer
Acting under their instructions he
kept an appointment with Weber yes
terday afternoon at the McAlpin
where, they say, $4,000 was passed over
to him. The passing of the money, it
is asserted, was witnessed by Intcrna!
Revenue Agents H. B. Stokes, w. D.
Allen and J. M. Grossman.
Immediately after the money is
alleged to have been passed Weber was
apprehended and taken to the Custom
House.
| Ahnelt Denies Charges
William P. Ahnelt, president Of the
Pictorial Review Company, issued the
following statement last night:
Il have talked with Mr. Weber since
the proceedings of this afternoon and
l am convinced that he is absolutely
innocent Of the charge made against
him.
1T is fact that for about three
weeks two agents of the Internal Rcve-
nue. Department have been examining
the books and accounts of the Pictorial
Review Company, a course which !
understand is followed as to all bust
ness houses which are liable to Fed
"These agents we're given full access
TO all OF the company's records with
out the slightest reservation. The only
criticisms made by them were-as
am informed-as to one or two tech
nical matters presenting legal qucs-
tions. The company had acted as to
these matters under the advice Of coun-
sci in preparing its report, and its
books show fully the complete trans
actions. I have no doubt but that in
these particulars, as in all others, the
correctness Of the company's returns
Will be sustained. In any event. they
could not give rise to any legitimate
claim Of fraud or misdoing Of any
kind.
1T is needless for me to say that no
officer Of "The Pictorial Review" com
pany has at any time or in any way
shape Or manner, been party to any
attempt to influence improperly any
official Of the government"
II was intimated last night that the
Federal authorities intend to start tho
prosecution of a number Of prominent
persons and officials Of big corpora
tions who have sought TO evade ths
payment 01 income taxes.