New-York tribune., 1920-12-02
Steel
Men Indicted
In Tax Frauds
Plot to Cheat Government
Out of Several Millions
in Income and Excess
Profit Levies, Is Charged
hen Companies Involved
U. S. Investigator Works ON
Books for Months to
Obtain Needed Evidence
Special Dispatch to The T,ib,,n,

>|effdI DiSpdtCt 70 The Tribune
PlIISBU RICH, Dec. 1.-The Federal
Grand Jury to-day voted an indictment
against Herbert Dupuy, formerly presi-
dent and chairman of the board Of d.
rectors of the Crucible Steel Company
OF America, and George A. Turyille.
former president and secretary
treasurer of the company. They are
charged with conspiracy to dofraud the
united States government OF income
and excess profits taxes. The loss TO
the government it is said wilb reach
several million dollars.
The Indictment charges that Dunnv
and Turville "conspired and agreed
with one another, and with others nm
known to the grand jury" to make
laise returns on income and profits.
Several Companies Involved
The companies concerned. and
through which the false reports are
SAID 10 nave been made, are the Hal
comb Steel Company, the Crucible
Steel Mining and Milling Company. the
hudson Railroad and TRANSFORMATION
Company, the Penn Connecting Rail
road Company, the Crucible Steel Com
panE, the Crucible Coal Company. the
Crucible Fuel Company, the Midland
improvement Comwny, the Midland
" ater Company AID the Cumberland
Supply Company.
Inc indictment contains three
counts, concealius assets of the Cruel
bic Steel Company. making false and
fraudulent returns II the Internal
Revenue Department and violating
chapters III, 1l3 and III of the In
ternaI Revenue act Of February "a.
1915" The last count deals with the
subject of returns to the UNited States
government of incomes subject to the
excess profits tax
In the Indictment il :; claimed that
on or about April 81. i9l7. the totaI
value Of the assets of the Crucihl.
Steel Company and affiliated companies
subject TO tax was given as S9.lOO,-
zVo. .09 when IN reality it was in excess
of $40 900 900
Il IS further charged that ON or about
August 81, 1918 d return of SlS.9OS.
3557S was made to the Internal Reve-
nue. Department As subject to tax,
whereas in reality it was of the value
OF more than $21 ,000.0 900
Charges Based on Journal
The general journal kept by the com
pai:y in which items for plant depre-
citation are entered showed an item of
S2.057 1851 which was charged as a
deduction for taxes due the govern
ment.
The Indictment charges that this
item was mot made or entered until
long after the closing Of said fiscal
year which ended August 81 The
indictment covers twenty-five type
written pages, each containing about
four hundred words. Amorg the Wit
nesses who appeared were Robert W.
Huston. Richard J. Clark. Reinharo
Rrietenbach, Charles c. Koehendorfer
Turviile Norman W. Nolen and Henry
II. Stewart.
Dennis Kelleher, 4 special investi-
gator from the Internal Revenue Office
in Washington, worked on the books
of the company for months in this city
and at other points. The Indictment
was found on November Z. but was not
made public by the grand jury until
tO-HAV
il was said at the Office of the Cruci-
Bile Steel Company that the govern
ment's claim against the company
which was for almost $10.000.O00, was
settled.