Earle v. Commissioner of Internal Revenue

MANTON, Circuit Judge.

The petitioner was assessed a deficiency tax on his income for the year 1927. His son, who had access to a safe deposit box jointly used by them, took his father’s securities, valued at $100,000, without his consent, to his broker, who used them as collateral security to protect the son’s trading account in stocks and bonds. Some of the securities taken belonged to the petitioner personally; others to him as trustee. The son informed his father of the abstraction when called upon- for further collateral. Petitioner was obliged to pay $38,840.50 to obtain a return of the…