Evening star., 1951-03-28
Carroll
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OContlnued From First Page.)
the marshal's Office to notify him
as soon as copies of the two in
formations are received in St
Louis.
Section Of Code Cited.
The attorney said the charges
apparently were in no way con-
nected with Carroll's testimony
before the Senate Committee.
| The section of the Internal
Revenue code under which Car
roll was charged requires:
First. that all persons making
payments to other persons of more
than $600-other than those on
which taxes are withheld by en-
ployers - are required to report
those payments individually to the
Internal Revenue Department. S
processing division, which is locat-
ed in Kansas City.
Second, that all such payments
must be listed collectively and re-
ported annually to the processing
division. These provisions are
found in section lat of the In
ternal Revenue Code.
Had Previous Trouble.
In Washington, Revenue Com
missioner George J. Schoeneman
said Carroll had told a revenue
agent he did not file information
returns because to do so would
put him out of business"
Mr.. Schoeneman said revenue
agents have been having trou-
BILE" with Carroll for several years
about his income tax records, and
that today's charges were the
fruit of a ''long and painstakine
investigation
The chief problem, officials said
was in finding potential witnesses
and getting their agreement to
testify in the case.
Mr.. Shoeneman said Carrolrs
betting business employed as
many as 40 statisticians, account
ants, mathematicians, cashiers,
stenographers and runners" at
one time. He observed, however
that Carroll has been quoted as
saying. Il am my own tax expert
The informations, cited Car
roll as having paid the money to
winning bettors and in the form
OF commissions" All prosecu-
tions under section lat Of the code
lfall under the jurisdiction of Mr..
Wear because of the location of
the processing division.
The first information charges
Carroll on "a counts of failing to
report individual payments of
more than $500 made by him dur
ing the two years. The second
charges two counts of Carrooll's
having failed to file the annual
lists, one in 194a and one in 1949.
Could Get 2s Years.
Classified as misdemeanors, each
count carries maximum penalty
OF one year in jail, fine of $1,000
or both. Carroll could be SEN
fenced to 26 years and fined
$4,000.
Twenty individuals and COM
panies were listed as having been
recipients of payments from Car
roll totaling $32, 2,086.65 in 1s4S and
$20,601.50 in 1949. Four were
named in both years to bring the
number of counts in the first in
formation to "a.
Mr.. Wear said a warrant would
be issued for CAROLS arrest.
Bond could be made in st. Louis
but Carroll would have to come
here for arraignment and trial.
Specific Instances Given.
The specific instances with
which Carroll was charged, listing
the date. names and addresses of
those allegedly paid by him
amounts and type of transaction :
November 4, 1948.
James F. Dill, Sedalio, Mo-,
l$2,S80, representing gambling
gains.
j. J. Glazer, Evansville, Ind.
81, 500, representing gambling
gains.
Joseph Rose. also known as J
A. Rose, Edna, Mo-, $4,000, gam
bling gains.
L. Hennessey, also known as
Leo j. Hennessey. St. Louis, $4,000
gambling gains.
Cobe r. Ablan, st. Louis, $500
gambling gains.
,.oseph H. Popp, st. Louis, $500