Evening star., 1939-05-01
BY CARTER BROOKE JONES.


separate trial in the tar case.
By CARTER BROOKE JONES.
The income tax fraud case against
the three Warning brothers, until
recently big time numbers game
bankers, ended in District Court to-
day with plea of nolo contendere
(no defense) by Leo and Charles
rags added to the plea Of guilty
entered by Emmitt Friday.
Justice Bolitha j. Laws will sen.
tence the three at 10 Am. tomorrow.
Emmitt Warning, who headed the
big gambling syndicate, already is
serving two years and two months
for trying to influence jurors at his
two previous trials. Placed on trial
alone last Monday, he changed his
plea to guilty while the Government
was presenting its case.
After the court session, District
Attorney David A. Pine announced
that the case of the fourth defendant
in the tax conspiracy case, Gordon
L. R. Sadur, tax accountant. had
been referred to the Department of
Justice. Whether Sadur will be
prosecuted further will depend on
the departments recommendation,
it was indicated.
Result of Conferences.
The sudden break in the year-old
Warning tax case came abruptly
after a series of conferences which
the attorneys and officials from the
Justice Department and the In
ternal Revenue Bureau held in the
chambers of Justice Laws. When
Emmitt changed his plea, Justice
Laws announced it had come to his
attention that the brothers had
made the Government an offer to
settle the civil tax claims and this
was under consideration. But no
announcement concerning the case
of Leo and Charles was made at
that time. Together with Sadur,
they had been granted a separate
trial after Emmitt's sentence for
jury tampering, in which they were
not involved.
Charles and Leo, under bond, ap-
peared in court today with their
attorney, Leo A. Rover. Mr.. Rover
announced that they wanted to
change their pleas and each of the
brothers stood and confirmed this.
Their attorney said he wanted to
point out briefly two things to the
court.
For one thing he said, at is
apparent from the evidence that
these two defendants played very
minor part in this conspiracy, II
one existed.
While, as the District Attorney
pointed out on Friday, there is no
| particular relationship between the
settlement of the tax claim with
the Internal Revenue Bureau and
the criminal case, still I think your
honor should bear in mind that the
three Warnings have made a pro-
posal to the United States Govern
ment to settle the tax liability for
| a very considerable sum. I think
it is very fair amount they have
offered and it has been formally
rendered to the Government"
No Objection to Plea.
At the outset of the brief pro-
ceeding, Justice Laws said that as
he understood the law, It was dis
cretionary with the court whether
to accept a plea of nolo contendere.
He asked the United States Attor-
ney if he had any objection.
'I have no objection" said Mr..
Pine, "in view of the fact that it is
equivalent to plea of guilty."
| Justice Laws asked Mr.. Rover to
advise him during the day where
Leo and Charles received the iden-
tical figure they submitted as taxable
income for 1885. This was the year
the Warning brothers each returned
an income Of approximately $1,000,
when, the Government contended,
their business had taken in a gross
play of s2,000,000.
The court also wanted informa-
ton on whether they had conferred
with Sadur regarding the 1886 re-
turn. Justice Laws added that he
would like to be advised OF the
extent of their education.
rags" Warning was serving a
term in the Atlanta Penitentiary for
implication in the O'Brien gang
shooting when the income tax in
dictment was returned more than
a year ago.
He and Leo Warning, who have
been under bond of 5000 each, were
allowed their liberty under this Sc
curity pending the sentence.
Emmitt Warning and four others
were sent to prison as a result Of
the jury scandal which caused q
mistrial at the second tax trial Of
the four defendants. John B. Up
perman, then a deputy marshal and
jury custodian, received year. Carl
T. Denekas, juror at the second
trial, was sentenced to two months.
Harry Fine and Thomas Harrison
Quinlan, admitted Warning inter-
mediaries in the plot to approach
jurors, received, respectively, six
months and two months.