Evening star. [volume] (Washington, D.C.) 1854-1972, 1924-11-20
BALTIMORE POST
INDICTED IN TEST
Of TAXPUbL|C|N
U. S. Grand Jury Charges 5
Violations in Publication of
Income Payments.

The Baltimore Daily Post was in
d;cted by the Federal grand jury to-
day FOR publication of the income tax
lists.
The indictment. the first test case
to- be instituted by the Department Of
Justice 10 obtain judicial construc-
tion of conflicting provisions IN the
income tax law, charges that the
Post printed the returns OF income
taxes in violation OF section 3167 OF
the Revised Statutes despite warn
ing given by the Treasury Depart
ment when public inspection was or
dered.
Five Counts in Indictment.
Five counts We're contained in the
indictment returned by the Baltimore
grand jury against the Baltimore
Post Company. They were based on
the publication OF five separate re-
turns of Maryland citizens, published
on October "a.
The indictment followed the ap-
pearance before the grand jury TO-DAY
Of Harold Allen and Sewell Key, spe-
cial assistants to Attorney General
Stone.
Galen l.. TAFT. internal revenue col
lector of this district, was named as
the prosecuting witness. So far as
known, he was the only witness
Plans Other Tests.
In the grand jury proceeding
against the Post Attorney General
stone sought to present the various
phases of the question of publishing
income tax returns, so that court
ruling may be obtained under the
conditions existing in Baltimore.
He has instructed United States at
torneys in six or seven other in
stances to make presentments to
grand juries in as many cities, ask
ing indictments of newspapers there
to obtain court expressions in va
riety Of communities.
The Attorney General said today
he would press for early court action
in the Baltimore case, and would
nursue the same policy with respect
to the others. He desires to get the
tests to the Supreme Court as soon
as possible.
/win Try Other i.hase.
Since the indictment in Baltimore
is against the Baltimore Post Com
pany. it was indicated that the De-
uartment Of Justice desired to hinge
that case on the alleged culpability
Of corporation instead of an
individual. In some of the other
cases indictments may be brought
against individuals in order to
develop another phase Of the ap-
parent conflict in the tax law, which
says in one instance that the income
tax returns shall be open to public
inspection and in another paragraph
re-enacts section 1857 OF the revised
statutes, making 1t an offense to print
information concerning the returns.
The Attorney General received the
question Of liability of newspapers
under the tax law from the Treasury
Department. which at the time it or
dered the income tax lists made pub
lie issued a warning against their
publication.
The Treasury, Secretary Mellon said
at that time, could take no further
steps in the matter. 1t had attempted
to comply with the law, which said
specifically that the returns must be
opened at the earliest date after the
tax year was complete.
Local Indictment Expected.
While it had been expected that a
Washington newspaper might be in
dicted because Of the national inter-
est in the case. the Department of
Justice apparently has charged none
before the grand jury now in ses-
sion.
United States Attorney Gordon said
today that he had been informed Of
no intent on. the part of the De-
partment Of Justice to institute pro-
ceedings against any Washington
newspaper.