The sun. [volume] (New York [N.Y.]) 1916-1920, 1919-07-13
TRAP 5 TICKET
SPECTATORS
L. S. Agents Find Brokers
Selling Two Seats Worth
$40 for $3.50.
STAMP RULE IGNORED
Law Broken and Big Profit
Made on Checks for
"Follies" Is Charge.
STAMP RULE IGNORED

Five spectators in theatre tickets
we're arrested last night by agents of
the Federal internal revenue bureau
charged with violating the section OF
, the revenue law which requires that
! the price at which a theatre ticket
is sold to a patron. with the name
of the seller. be stamped on It's back.
All OF the defendants were charged
with selling tickets for last nights
performance of the "Follies OF 1919"
for much in excess of their price at
I the New Amsterdam Theatre box
Office. One internal revenue agent
paid $3.50 for two orchestra seats
for the "Follies," the box office price
for which would have been s77o with
: the war tax.
The brokers arrested In the midst
OF the after dinner rush for tickets
were the following: Alex Jones and
! Charles Levy. who did business as the
! Broadway Theatre Ticket Agency at
2iS West Forty-second street; Leo
Newman. 14s2 Broadway; David \.
Warfield. 2l2 West Forty-secord
street. and Louis Cohn, 2Oi West
Forty second street.
/ A warrant was issued for the arrest
Of John Mahoney. who is alleged to have
! sold tickets not marked as required BY
/ law AT tha Tyson agency at 1882 Rroad-
/ way. The warrant was not served. A
.awyer who appeared for the defendants
at their arraignnent before United
States Commissioner Hitchcock said
that he would produce Mahoney on Mon
day
Under the war revenue law theatre
tickets arc taxed At the rate of 10 per
/ cent. This tax is collected at the box
Office. In addition, a tax OF so per cent
is prescribed against all advances upon
the box Office price.
In the case Of Ziegfeld's "Follies" or
chestra seats are sold at the box Office
for $3.50. With the war tax the cost
TO the patron is S3.s5. Spectators were
! Permitted under a city ordinance TO
make an advance Of 80 cents on the box
Office price. On this they are liable TO
the 10 per cent. tax.
Theoretically theatre tickets may not
be sold In New York for more than so
cents above the box c.fce price stamped
upon them. The experience OF internal
J revenue agents In buying tickets yester-
: day makes it appear that the SPECTATORS
. have been charging all that people would
pay. The big advances. however. appear
to have been altogether for the "Foiies. I"
because no other shows were given as
those for which excessive prices were
charged.
The provisions relating TO the stamp
ing of the brokers' price and name on
the back of tickets is TO enable the
Government TO check UP on war tax pay
ments The cancelled tickets are found
by the Government in the theatre box
offices. and in the absence OF the brokers
stamp there Is no way OF tracing the
hands through which II has passed OF
the price at which IL was sold to the
patron.
One agent who went through the
theatrical district yesterday buying
tickets reported that at the agency OF
a Louis Cohn he paid $3.50 for two seats
in the fifth orchestra row for last nights
, performance OF the "Follies." He said
that there appeared TO be no anxiety al
4 the place TO have him take tho tickets
the attitude appearing to be that ht
could have them at the price demanded
or leave them for some one else
Another agent reported that ne paiC
sl5 at the Broadway Theatrical Ticke
Agency for two orchestra seats for tn,
"Follies," A charge OF $40 for a pair o.
!, orchestra seats for this show. whicl
, meant a profit of over SO TO the specu
; lator, provided he paid no excess wal
. tax, was more common.
: The agents reported that one az leas
= OF the two or three biggest brokers wal
b doing business within the law. TIL,
e agents invariably found that for show
like East Is West" 'Lghtnin'," Gale
. ties OF 1919" and the Winter Gardei
3 production no tickets were 10 be had a
D the agencies.
: The defendants gave their home ad
: dresses as follows: Newman, 6l2 Wes
= l15th street: Warheld. 1000 Seventh
y avenue Levy. 37o Manhattan avenue
r Jones, cot Congress street. Brooklyn
: Cohn, 2l5 West Eighty-eighth street
Q All gave ball In 500 and were released
= c-1KDrnc nEcTnnV