GOVERNMENT DEFRAUDED OF $50 MILLION IN TAXES & PENALTIES
New York City (JFK+50) On November 17, 1921, Frederick J. Kopff, assistant United States attorney of Brooklyn stated that between 25 and 30 bootleggers* here in New York City "have defrauded the government of more than $50,000,000 in 1920 income taxes and penalties."
In one case Mr. Kopff is investigating, Edward J. Donegan**, a Brooklyn contractor, is compelled to pay more than $1.6 million in taxes and penalties.
*Bootleggers, a.k.a. Rum-runners, in the business of smuggling alcoholic beverages where such transport is illegal. The term comes from the Civil War when soldiers would sneak liquor into camp in their boots.
**Edward J. Donegan was a laborer who became a millionaire within 4 months by bootlegging. EJD attempted to bribe IRS agents & was convicted of the intent to defraud the United States.
SOURCE
"Bootleggers Defraud U.S. of $50,000,000," The Evening Star, Washington, D.C., November 17, 1921, Chronicling America, Library of Congress, www.loc.gov/
