that begins on September 13, 1948, and carries on to July 28, 1949, and through July 28, 1949, down to January 18, 1950, when the account was closed out. The CHAIRMAN. Were these photostatic copies of the ledger sheet submitted under subpena to the bank? Mr. BELLINO. Yes, sir. The CHAIRMAN. And containing the full account? Mr. BELLINO. Yes, sir. The CHAIRMAN. These sheets may be made exhibit 43. Number them 1, 2, 3, and 4 in the order of their date. They may be made exhibit 43. (Exhibit No. 43 may be found in the files of the subcommittee.) I will ask you this: When the account was closed out, what was the last check that closed it out? Mr. BELLINO. The last check was $59.82, which closed out the account. The CHAIRMAN. The account speaks for itself. Without reading it into the record, I will ask you to examine it and indicate the largest single check that is drawn on it. Mr. BELLINO. The largest single check was a check for $1,206.10. I believe that was in purchase of a car. Is that correct? Captain WOOL. That is right. Mr. BELLINO. The next largest single check is a $1,200 charge on October 7, 1948. That is the only other large charge. All other items are under $500, or under $300. Approximately $300 or less. TESTIMONY OF RAYMOND WOOL, CAPTAIN, UNITED STATES AIR FORCE-Resumed The CHAIRMAN. Have you any corrections to make in the account? Captain WOOL. I don't remember the account. The CHAIRMAN. Do you want to examine the account? It is submitted by the bank. Captain WOOL. That is all right. I wouldn't remember what the checks were for now anyway, sir. The CHAIRMAN. All right. Proceed. Mr. KENNEDY. Do you want to correct this about the $4,000? Captain WOOL. No, sir, I still had about $4,000 of my own money in the box. The CHAIRMAN. Let's leave it that way, if that is his explanation. Mr. KENNEDY. That is the total amount of money that you had in the box at the time you went into business? Captain WOOL. That is right. Mr. KENNEDY. That is all? Captain WOOL. That is right. Mr. KENNEDY. You had $4,000 in the box. Mr. BELLINO. April 1950? Captain WOOL. That is right. Mr. KENNEDY. Tell us what happened, then. Go ahead, Captain Wool. Captain WOOL. $3,000 I borrowed from my uncle. Mr. KENNEDY. What is his name? Captain WOOL. Rafkin. Mr. KENNEDY. What is his first name? Mr. KENNEDY. Which one did you borrow it from? Captain WOOL. That is right. Mr. BELLINO. How much was that? Captain WOOL. $3,000. Mr. BELLINO. Did you get it all at one time? Captain WOOL. I believe it was all in one check. Mr. BELLINO. As a matter of fact, did you not receive $1,000 in 1950? Captain WOOL. That is right, but then I gave them a check, I am sure, for the $3,000 and then borrowed that back. Mr. BELLINO. Your books show that you borrowed $2,000 from Rafkin brothers in about July 1950. Captain WOOL. That is right, and then I made out a check for $3,000. Mr. BELLINO. And you paid them back $3,000 in the same month and borrowed $2,000 again? Captain WOOL. That is right, and I still owed them $1,000, which I put into the business. Mr. BELLINO. Your books don't show that. Captain WOOL. He has a note from me for $3,000. Mr. BELLINO. When did you borrow the first $1,000? Captain WOOL. I don't know. 1947 or 1948, I think. I don't remember. Mr. KENNEDY. You stuck that in the box? Captain WOOL. That was part of it. Mr. KENNEDY. Let's find out. What did you put into the box? Captain WooL. Let's keep going on this, and we will get it all. Mr. KENNEDY. We don't want to go into all the money you had. We want to know what you put into the box. Captain WOOL. That, we can assume, is part of what is in the box. Mr. KENNEDY. We don't assume. The CHAIRMAN. Captain, what would you borrow a thousand dollars to put into the box for? Captain WooL. It wasn't borrowed for that purpose, sir. The CHAIRMAN. You borrowed it and put it into the box? The CHAIRMAN. That was not in there? Captain WOOL. No, sir. The CHAIRMAN. Then that does not go in there, if it did not go into the box. Captain WOOL. Not at the moment, no, sir. The CHAIRMAN. It does not go in there yet. All right, move along. Proceed. Captain WooL. Then I borrowed the other $2,000, making a total of $3,000. The CHAIRMAN. I would put that in parenthesis and see how it is going to wind up. What did you do with it? You have $3,000 that you borrowed and finally gave a note for, is that correct? Captain WOOL. That is right, sir. The CHAIRMAN. All right. Account for the $3,000. What did you do with it? Captain WOOL. That went into the business. The CHAIRMAN. It went into the business? The CHAIRMAN. It did not go into the box? The CHAIRMAN. It went into the business. All right, get the next one. What did you next do? (At this point, Senator Symington entered the hearing room.) Captain WooL. On and off we had borrowed money from Mr. Luciano. The CHAIRMAN. Did what? Captain WooL. We had borrowed money from Mr. Luciano on and off during the course of the business. The CHAIRMAN. How much did you borrow from Mr. Luciano? Captain WOOL. I am not certain of the full amount. I know we had paid back quite a bit of it. When we decided to liquidate at the end. of 1952, my wife sat down with him and figured out there were still $5,000 due him for rents that were owed to him and cash that he had advanced. The CHAIRMAN. Did any of that go into the box? Captain WOOL. That eventually went into the box, sir, yes, sir. All of it. (At this point, Senator Ervin withdrew from the hearing room.) The CHAIRMAN. Did it go into the box or into the business, the money that you borrowed? Captain WOOL. It was in the business originally. It was taken out of the business. The CHAIRMAN. That money didn't go into the box. It went into the business originally? Captain WOOL. That is right. The CHAIRMAN. All right, that went into the business. That is where it went when you first got it, and we want to find out how it ever got into the box. Show what you did with it when you first got it and trace it down and see the time when any money got into that box. Captain WOOL. Well, as we were making sales, on all the good weeks, during the holiday seasons and all, we were taking it out of the business and putting it into the box mainly for the purpose of repaying the loans. The CHAIRMAN. Putting it into the box for the purpose of repaying the loans? Captain WOOL. That is right, sir. The CHAIRMAN. All of the rest of the money that went into the box, except the original $4,000, all of the rest of it came out of the business, is that correct? Captain WOOL. That is correct. The CHAIRMAN. How much was that? Captain WOOL. $8,000. The CHAIRMAN. $8,000 came out of the business and went into the box? Captain WOOL. That is right, sir. 62915-55- -36 Mr. KENNEDY. Didn't you borrow $9,000 from the banks? Mr. KENNEDY. That is $9,000 in the business and then you paid it back, is that right? Captain WOOL. Yes, sir. The CHAIRMAN. Show $9,000 borrowed from the banks that went into the business. Is that your explanation of the money in the box? The CHAIRMAN. What else? Mr. KENNEDY. Do you mean the 3, the 5, and the 4? Captain WOOL. That is right. Mr. KENNEDY. All right. Go ahead. Captain WOOL. Then there were other moneys. When we were breaking up the house, when I had sold all of our bonds, plus some little cash I had aside The CHAIRMAN. Where did you have that cash? Captain WOOL. I had that put aside, sir. The CHAIRMAN. Have you got another box somewhere? The CHAIRMAN. You had another one? Where is it? Captain WOOL. I had that put aside, because I say when we had broken up the house, at that time I thought I was going to have the children. The CHAIRMAN. That was some years ago, wasn't it? Captain WOOL. That is right, sir. My wife had no knowledge of this money that I had put away. Mr. KENNEDY. Do you mean this $4,000 in April now goes up to $9,000? Captain WooL. That $4,000 had nothing to do with the other moneys that I had put aside. The CHAIRMAN. Did this money that you had aside finally go into this box? Captain WOOL. Eventually, yes, sir. The CHAIRMAN. When did it go in there? Mr. BELLINO. What is this? The CHAIRMAN. It is money aside. Mr. KENNEDY. Where did it come from, Captain? Captain WooL. From the sale of the bonds Mr. KENNEDY. How much did you get for the sale of the bonds? Captain WOOL. I don't recall the exact amount. I know we had several thousand dollars worth of bonds. Mr. KENNEDY. How much? You said $5,000 before. Captain WOOL. I don't know. All I know is that from the bonds and from some little money I had put aside it was between four and five thousand dollars. Mr. KENNEDY. How much from the bonds? Captain WOOL. I am not certain of the amount. Mr. KENNEDY. Before you told Mr. Bellino and me that you had $5,000 in bonds, and the record shows that in 1948, you and your wife cashed your bonds in for $2,284, and that from 1945 to 1949 you and your wife cashed your bonds in to the total of $3,004.72. Captain WOOL. It may have been possibly around $3,000 or more in cash that we received from the bonds. Mr. KENNEDY. Why did you tell us $5,000 before? Captain WOOL. I had a little money of my own, plus what I received from the sale of the bonds, which came between four and five thousand dollars. Mr. KENNEDY. Then you had $6,000 of your own money around the house during 1948, 1949, and 1950, plus $3,000? Captain Wool. I wouldn't doubt it. Mr. KENNEDY. You have had $9,000 around the house? Captain WOOL. Well, not quite that much. Mr. KENNEDY. Captain, you had to. You had $4,000 of your own money and then you had $5,000 of your own money. Captain WOOL. Between four and five, yes. Mr. KENNEDY. Then you had approximately $9,000? Captain WOOL. That is right. The CHAIRMAN. Do you claim you had that much in 1948, immediately after you sold the furniture? Captain WOOL. Around then, yes, sir. The CHAIRMAN. Eight or nine thousand dollars? Captain WOOL. Somewhere around that. Mr. KENNEDY. Captain, why-when you were applying for a loan from the Manufacturers Trust Co., February 1951, they asked you how much cash you had, and you said $500. In fact, you claim now you had $9,000, at least. The CHAIRMAN. Is this a photostatic copy of his application for loans? Mr. BELLINO. Yes, sir. The CHAIRMAN. Did he sign it? Mr. BELLINO. Yes, sir. Captain WOOL. I think that was all the amount I showed in the bank at the time. The CHAIRMAN. I ask you to identify that photostatic copy. What is it? (Document handed to witness.) Captain WOOL. It is a request for a loan from the Manufacturers Trust Co. The CHAIRMAN. Made by whom? Captain WoOL. Myself. The CHAIRMAN. What is the date of it? Mr. KENNEDY. It is at the bottom righthand corner, February 1951. Captain WOOL. February 2, 1951. The CHAIRMAN. Did you state in there how much cash you had on hand at that time? Mr. KENNEDY. The second page. It is on the lefthand side. Captain WOOL. I showed $500. The CHAIRMAN. You showed $500 cash? Captain WOOL. As I say, sir, I believe that was about what I had in the bank at the time. The CHAIRMAN. Did you sign that? Captain WOOL. Yes, sir. The CHAIRMAN. That is your signature on it? Captain WOOL. Yes, sir. The CHAIRMAN. All right. That may be made exhibit No. 44. (Exhibit No. 44 may be found in the files of the subcommittee.) Proceed. |