Browning chief. [volume] (Browning, Mont.) 1941-1953, 1950-03-31
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Tax Probe Reopened

Tax Probe Reopened
7 Asst JUNE, after a huddle Of
- lawyers in Birmingham, Ala, an
important income-tax fraud case
was sent back to the justice depart
ment in Washington where it was
marked "Closed," mo prosecu-
tion."
The case involved Joe Mitchell
and Sam Rips of Mobile who were
alleged to have profited from the
sale of jewelry to army post .ex-
changes during the war and then
cheated the government out of in
come taxes.
But the lawyers huddle in Biz
mingham decided that there was
no case against Mitchell and Rips,
and sent it back for mo prosecu-
ton"
Six months later, however, on
December 16, 1919, this column
published the whole story of the
Ripps-Mitchen scandal, including
the fact that they were defended
IN Birmingham by Ben Leader,
former law partner Of US. Attorn-
ey John Hill, the man who was sup
posed to prosecute them.
Just a few days before this
story was published, John Hill
telephoned the Justice depart
ment from Birmingham warn
ing that "Pearson had one Of
his investigators in Birming-
ham probing the Ripps-Mitch-
ell case" Three days later,
when the story was published,
Hill issued general denial.
However, the justice department,
with some of the new facts disclos-
ed by this column, reopened the
Ripps-Mitchell case. And the two
men were indicted in Mobile.
Unemployment Picture
The council of economic advisers
has presented significant, secret,
three-page analysis of the coun-
try's economic problems to the
President. Here in brief is what
Humans advisers told him:
l. The major problem facing the
country today is the sharp rise in
unemployment:
Az During the month of January,
unemployment set a record post
war high with AS million out of
work-almost million higher than
the previous month. Unemploy-
ment is now at per cent of the
total labor force as against only
little over 4 per cent one year ago.
b The increase of a million in
the ranks Of the unemployed in
30-day period is considerably more
than would normally occur at this
time of year.
2. Partly offsetting the poor I'M
employment picture is the high
level of home construction, bust
ness loans and bank clearings. In
addition, those people who are still
appreciate pay cuts.
3. In general, the present situa-
ton, while warranting the closest
study, is not as yet alarming.
4. The basic problem Is one
Of expanding the us. economy
fast enough to absorb the ever
increasing number of people
available to work. During the
year 1919, for example, the
labor force increased by 1873
million. Today's high level of
unemployment is due to the
failure Of the economy to grow
sufficiently during 1919.
S. The present economic situa-
ton calls for action along three
major lines:
Az The development of a pro-
gram to stimulate business invest
ment, planning for large public
works expenditures and increased |
attention to local areas of severe
b Continued government spend
ing in order to pour money into
the economic stream defense
spending, social security, unem-
ployment compensation. veterans
benefits, etc.
c. The rapid settlement of the
coal strike before coal shortages
send chain reaction of unemploy-
HleIt throughput tne HdtlOn.
Rankin SiIenced
John Rankin. the wild-talking
congressman, has met
his match on the house floor. 1t
happened early in the morning of
the long filibuster against FEPC.
Rankin, a small, stopped man
with shock of gray hair and a
tongue, kept the filibuster
going.
Fin ly Representative Andy
Jacobs, dubbed by colleagues "the
Abe Lincoln of Indiana YEARLY
pulled himself up and remarked:
''Tm getting little tired of this
Holy Willie prayer. You remember
Bobbie Burns Holy Willie, who