Court Opinion

ID: 9444651
Source: CourtListenerOpinion
Date Created: 2023-08-03 21:07:53.844104+00
Date Added: 2024-06-11T17:29:57.156268
License: Public Domain

HINCKS, Circuit Judge
(dissenting in part).
Although I concur in the holding of the court in so far as it affirms the decision below, I am unable to join in the partial reversal. I share the difficulty which this court had in United States v. Bruswitz, 2 Cir., 219 F.2d 59, in distinguishing the rationale of Commissioner of Internal Revenue v. Wilcox, 327 U.S. 404, 66 S.Ct. 546, 90 L.Ed. 752, from that of Rutkin v. United States, 343 U.S. 130, 72 S.Ct. 571, 96 L.Ed. 833. But having in mind the findings below — well supported by the record — that Jacob Dix, who dominated the corporate taxpayer, a family corporation, by deceiving his son, who was the only other responsible corporate executive, fraudulently withheld the entry of corporate receipts from the corporate books and utilized his authorized power to draw on corporate bank accounts by diverting funds to his own personal use, I think the facts here are stronger against the taxpayer than in Wilcox and come within the rationale of the Rutkin Case. Cf. Kann v. Commissioner, 3 Cir., 210 F.2d 247, and Marienfeld v. United States, 8 Cir., 214 F.2d 632. And if such facts are not enough to distinguish the case here from Wilcox, I think the court below was right in following the later pronouncement of the Supreme Court.