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nthdaehiiehetitamnetinedimaten = Mo. Teleon . tmanww Me? : Mri oosto | ‘ll by Zwillman’s wife and by his| - — _ — Ewillman’s teenie’. nual der —=—"’ Habits Told ‘Extravagant,’ ‘Gener, ous” but Not ‘Cheat,’ Fy s Hip John! £. Toolaw” ‘gounsel for ner j liltan today is chent as a man who not only was devoid of any infent to cheat the government gut had actually overpaid his in- some taxes, Toolan painted this picture in ypening for the defense ia Zwill- nan's trial on charges of having evaded payment of taxes of $46.100 for 1947 and 1948. Toolan presente dhis opening after As- sistant U.S. Allorney Wilfred W. Hollander, opening for the gov: ernment, told the jury they would be given enouzh facts to draw the fair inference that the de- fendant had deliberately cheated ~on his incame tax returns in overpaid his 1947 taxes by more than $18,600 and his 1948 by more than $20.000. His client, he said, “gat refunds in those amounts. He from Zwillman and therefore must be treated as a unit. “As an example,” he said, “in 1941 the defendant made a gift of the Public Service Tobacco Co. of Hillside to his wife. But | the defendant draws a $13,000 mall ary from that company, borrows) money from it and personally fends the company’s money to his friends without notes and without interact *F weerose. Hollander told the jury that the government had made an exhaus- tive investigation to make sure ‘hat the large sums spent by Zwillman in 1947 and 1948 had ot been lent or given to him or it length the net worth theory on vhich the government is basing ts case. He added “John J. O'Hara, special in- ernal revenue agent, made a node} investigation, He inquired >of every stock broker on the New York Stock Exchange. He went ‘rom store to store in certain owns. He covered every bank # n the state. “In 1947 the defendant spent nanan 3110,060 of clothing, furniture, f. i ‘emodeling his house and sump-|? Some of these jy uous vacations. xpenditures were made by Mrs. 4 twillman. After allowing the de- |: ‘endant credit for all funds avail- |, ible to him in those years, we i ¥ place was takeg by foun ; [Living tone of 1 : P nherited by him. He | ont ave., Rutherford, the first of four! ‘alternates selected last week. Defense counsel took deposi- tions fendels Friday {rom Mendeis, 82,} iwho is at the Zwillman home while recovering from an opera- tion. Government lawyers at- tended and cross-examined Men: dels. Depositions were authorized: by the court on a plea by defense | counsel that Mendcls, a key wit-| ness, migh¥”..vtvemable to come) to court to testify. | added: “A Man of Means” “This is not a man with a criminal intent to cheat. The record shows that he estimated rave $40,000 unaccounted for intl 1947 and $50,000 in 1948.” [ The trial started today with aj iury of 12 and three alternates |’ n the box. One of the original}. NEVARK EVENING NEWS Newark, New Jersey thase years, | Foolan said that Zwillman had his taxes generous! jurors, Harry P. Anson of 19 “He was aman of considerable} King St. Morristown, was taken! Date y-27-JE. Page_/. means. Petrhaps he was extrava-. sick immediately after he was gant but it is no erime to spend sworn in last Wednesday. He Enqition wh money. He made no illicit ex-, was still ill tedepeand was ex- _ penditures. He spent the money cused by Judge Wortendyke. His on his wife and two children, on: ~ 1 q his home (50 Beverly Rd. West UB ITTED BY TRE Orange) and on his father-in-law, NEWARK FIELD BDIVISICN Eugene E. Mendelis, with them. “The government has kept a magnifying glass on what Mr. Zwillman paid for his groceries, ' on hie hille far thea Butehar on fs Ouls for the buicher, the baker and candlestick maker. ; This man has lived in a glass’ / cage.” | Toolan emphasied that the gov- 1 ernment { prove beyond a rea- , L99-_A sonable “doubt that the Q i} — ~ who lives. <a ee sums, ai — a Zw iiman spent in excess of his a “\) NOT REY RDED reported income was income 135 : : earned “from some likely source, Joh. . 956 in those particular years.” He! said the government would fail to present such proof. Bil fhe. alr VE Pocket In the government's opening. Hollander said that the ey tion ne TE ee P: BZ got