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1:00 PM
CORCORAN to WORTH CLARK (Continued):
TC - Well then get him to call GEORGE HURLEY. I want you to take this
tax case off my hands as much as you can. I want to get TIM on
the phone with HURLEY Monday morning and tell TIM ahead of time
what GEORGE hopes he could do. Say, one of the troubles is,
GEORGE says he is worried about two things, and I have gone thru
the whole principle behind it, and he says that the fellow who
hired him at one time was tempted to go into collateral--not in
relationship with GERBER but with relationship to somebody else,
but drop the whole thing. There isn't any interest which GEORGE
is representing, which is contrary to the best interest or exclusive
determination of the interest of RICE, but he is worried about the
MENKOFF (phonetic) situation which I'm not worried about.
WC - Well, there is nothing to worry about there
TC - He thinks there must be a profit in there which should be reported.
WC - Well, there is no profit in that transaction. As a matter of fact,
they paid this fellow, put it on a basis of friendship and he is
a spot broken--goes out and buys machinery, etc.
TC - Junkman.
WC - Yeah, then has a buyer for it. This fellow RICE merely said, which
as a matter of friendship, that he would take his checks which he
gets from various purchasers for his equipment in order to give
him cash at once as he never had much credit at the bank, and RICE
did. All he was doing is cashing his checks with the cash they got
from GERBER-you see-so he would present the checks to the bank
instead of the cash, and it kept the suspicion away for a while.
No, all in the world they do--they go into that transaction--I
wouldn't be a bit surprised if RICE wasn't there in this MENKOFF
or whatever the name is--rather than the other way around.
TC - That's right--remember the way GEORGE put it is, he said I'm afraid
of an amended return yet because I'm afraid that these fellows
haven't come completely clean on me in the figures that they have
given me in relationship to the profits they made out of these
other deals. That's GEORGE's excuse. What he hopes is--he has
this pipeline in from the Providence office that there isn't going
to be any prosecution anyway.
WC - Yeah, I know. There is going to be an investigation, in fact, there
already is an investigation. They are going to disgourge the cash
and are going to have to pay the penalty.
TC - Point is how about the Federal prosecution.
WC - Well the only way, in my opinion, that they can be kept out of jail--
TC - O.K. Now will you and TIM get on the phone to GEORGE on Monday
morning.
WC - Yeah sure.
TC - Well I'm going to be on the Laundry checks, going to be working at
the laundry. O.K.
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"ocrText": "- 4 -\n1:00 PM\nCORCORAN to WORTH CLARK (Continued):\nTC - Well then get him to call GEORGE HURLEY. I want you to take this\ntax case off my hands as much as you can. I want to get TIM on\nthe phone with HURLEY Monday morning and tell TIM ahead of time\nwhat GEORGE hopes he could do. Say, one of the troubles is,\nGEORGE says he is worried about two things, and I have gone thru\nthe whole principle behind it, and he says that the fellow who\nhired him at one time was tempted to go into collateral--not in\nrelationship with GERBER but with relationship to somebody else,\nbut drop the whole thing. There isn't any interest which GEORGE\nis representing, which is contrary to the best interest or exclusive\ndetermination of the interest of RICE, but he is worried about the\nMENKOFF (phonetic) situation which I'm not worried about.\nWC - Well, there is nothing to worry about there\nTC - He thinks there must be a profit in there which should be reported.\nWC - Well, there is no profit in that transaction. As a matter of fact,\nthey paid this fellow, put it on a basis of friendship and he is\na spot broken--goes out and buys machinery, etc.\nTC - Junkman.\nWC - Yeah, then has a buyer for it. This fellow RICE merely said, which\nas a matter of friendship, that he would take his checks which he\ngets from various purchasers for his equipment in order to give\nhim cash at once as he never had much credit at the bank, and RICE\ndid. All he was doing is cashing his checks with the cash they got\nfrom GERBER-you see-so he would present the checks to the bank\ninstead of the cash, and it kept the suspicion away for a while.\nNo, all in the world they do--they go into that transaction--I\nwouldn't be a bit surprised if RICE wasn't there in this MENKOFF\nor whatever the name is--rather than the other way around.\nTC - That's right--remember the way GEORGE put it is, he said I'm afraid\nof an amended return yet because I'm afraid that these fellows\nhaven't come completely clean on me in the figures that they have\ngiven me in relationship to the profits they made out of these\nother deals. That's GEORGE's excuse. What he hopes is--he has\nthis pipeline in from the Providence office that there isn't going\nto be any prosecution anyway.\nWC - Yeah, I know. There is going to be an investigation, in fact, there\nalready is an investigation. They are going to disgourge the cash\nand are going to have to pay the penalty.\nTC - Point is how about the Federal prosecution.\nWC - Well the only way, in my opinion, that they can be kept out of jail--\nTC - O.K. Now will you and TIM get on the phone to GEORGE on Monday\nmorning.\nWC - Yeah sure.\nTC - Well I'm going to be on the Laundry checks, going to be working at\nthe laundry. O.K."
}