The Waterbury Democrat., 1946-12-05
Merry-GO-ROund

WAsHTNaTOn, Dec b-Two weshs ego this eel. ann told how tehn tA Lewis had pAd out around eSOo,0OO Of miners dues to spiingilsa, Ill., mine owner, oan BAh0h Co keep hs mine closed
 ft N nov possible to reveal that since publication of that column the Treasury Department has taken thu john L Lswlssunited Mine Workers income tak return out of the files and b studying t wth View t0 possible prosecution,
 ment to mnesowner Carl Eshoif, but despite the urging of Secretary Mofgenthau, experts finally dee CIded not Co prosecute.
 The facts In the case are that EiShOff closed hls coal mines on May t2 ie57 and remained closed for e5OO6O0 from Lewis, who at that time vas trying Q throw 0t of work . rival union employed by Elsh0if which had won an election under the Wagner Act Since he couldn't win Out under the Wagner Act Lewis closed the mine,
 Later he reported the expenditure of the eSOoO0O In his tax return, but EishOn failed tO report the e5OO,0O0 as income,
 Thus the Treasury appeared at first to have case against E1shon and not against Lewis, However when Lewis discovered that the Treasury was probing the matter series of notes were sent by Eishoff to Lewis to make the transaction appear @ loan However, the Treasury claimed it had evidence that the notes were pre.dated and that th. loan was .s pure afterthought to cover Up the fact that Eshof had failed to pay taxes on the money.
 1t was-and stlii is--the contention of Treasury experts that Lewis was guilty of conspiracy in help. ing Eishoff avoid income taxes This was the ground On WnCn the TreaSufy III lv46 WHnteu to pTo8eeuge 1t finally decided not to on the grounds that h would be interpreted by Jury as labor prosecution.
 Now that the Treasury has dtvted off the case and looked into t again, the decisbonfmay be differ- ent-if the statute of Limitations has not run
 N0TE-some very big tax scandals viii leak out of the Treasury.Justice Departments soon. Certain big war contractors who knew the right people got off scot free It will be the worst scandal yet of the Truman Administration.
 C1O President Philip Murray k worried about the coal strike for many reasons.
 For one thing, tens of thousands of steel work being laid off More important the coal strike is threatening to wipe out the IS billion dollars in profits big business built tip during 1e46.
 Murray was hoping to base new wage claims on these profits not to new price increases If the strike continues until after January 1, the C1o may have to remap it's whole wage-increase drive.
 It isn't being whispered outside the State De- partment but Assistant Secretary of State Sprullle Braden Is laying 1t right on the line before Secre. tary Byrnes that George Messersmth .. 6. Am- bassador to Argentina, must be fired.
 The roiy-poly Braden has long contended that Messersmith was friendly to Argentine President Peron and dsloyal to the State Departments anti dictator policy. Now, however. Braden has secured about fifty secret letters written by Messersmth to American newspapermen and State Department offi- cials denouncing. Braden personally together with State Department policy toward Argentina.
 Braden. who looks soft but Is tough will use these letters in final showdown with Jimmy Byrnes