Vol. 119—No. 98
Phone RI7-4611
Dallas, Texas, Saturday, January 6, 1968
Price 10 Cents,
4 Sections ★★★*
State He
adquarters Iv
Agents' I inks
To Dallas Man'
Being Probed
©1968. The Dallas Morning News
A 2-pronged investigation of statewide
dimensions has produced evidence ot-'h
"protection racket" involving Texas LiquOr
Control Board Agents and a Dallas restdeqt
who is well known to law enforcement officers, The Dallas News learned FridSyL
Investigators have evidence that tavern
owners were told they could prevent the
loss of their licenses if they paid money
to the Dallas man after TLCB agents accused them of violating regulations.
TLCB state headquarters in Austin. Links
between two supervisory officials there and
the Dallas man are being studied.
Dist. Atty. Henry Wade is spearheading
an investigation by his staff.
The Texas Department of Public Safety,
including undercover agents from its intelligence division, also are compiling evidence.
Gov. John Connally told the Austin Bureau of The News the three policy-setting
members of the TLCB and Coke Stevenson
Jr. its administrator, asked the DPS "weeks
ago" to assist in a thorough investigation
of alleged irregularities.
"They did so out of an abundance of
caution," the governor said. "They are anxious, just as I am, to probe every facet
of possible wrongdoing and to see that it is
TOE NEWS WAS TOLD the Dallas man.
a central figure in the investigation, boasted to tavern owners of his influence with
TLCB agents.
Investigators also have evidence he: tj
• Arranged for delivery of furniture-Tto
the Austin home of a TLCB supervisorytpfficial.
• Made numerotis phone calls to TLCB
state headquarters and to the home of another supervisory official there.
d Provided various.items, including automobile tires and a German Shepherd dog,
for agents in the Dallas office.
The News was told the investigation has
not produced any evidence of links betw&eh
the Dallas man and Stevenson.
Instead, investigators have become convinced the Dallas man prepared an anonymous leaflet in an attempt to get Stevensdh
Wade is debating whether he should present his evidence directly to the Dallas
County grand jury or ask a district judge
to convene a court of inquiry.
WADE SAID FRIDAY he has not yet
conferred with a judge about calling a
court of inqufty, but observers speculated
he may ask Dist. Judge J. Frank Wilson ;»r
Dist. Judge Dee Brown Walker to convene
the court. Judge Walker presided in September during a court of inquiry into home
improvement loans.
Grand jury proceedings are secret under
Texas law.
The public would not become aware bf
evidence presented before a grand jury unless it was revbaled in a courtroom later
during a trial.
Courts of inquiry are public. Their purtiomng of witnesses while they are <■■»*«•
But regardless of evidence presented
during a court of inquiry involving the
TLCB, Wade could not prosecute anyofae
on felony charges unless he obtained an
indictment from grand jurors.
One investigator described the evidence
already assembled as "shocking."
Investigators said the Dallas man had
close ties with two agents in the Dallas office and performed various favors for other
agents there.
A former member of the TLCB staff
here told investigators the Dallas man offered to replace tilts on his car. The agent
said he did not pay for the tires and as-',
sumes the Dallas man arranged for payment.
TOE MAN WHO provided the tires is expected to be called before the grand jury
or a court of inquiiy.
Another agent admitted he received
three tires as a gift from a liquor store
—Associated Press Wirephoto.
Head dowrl and hair flying, miniskirted Vicki McClay of Minneapolis, Minn., steps along a downtown sidewalk in frigid temperatures attempting to remain stylish without getting frostbite.
Flu Strain Named
School Hit Hard
\ -AmcistedPmiWIntfcato.
oDr. Benjamin Spock . . .
under indictment.

The Dallas Morning News - 1/20