MALLAS v. U.S.

Nos. 92-1982, 92-2027.

993 F.2d 1111 (1993)

James G. MALLAS; Robert V. Jones, Jr., Plaintiffs-Appellants, and John W. Flint; Perry Brunk; Peoples Supply Company, Incorporated; Omega Energy, Incorporated; Revel, Incorporated; Trinity Properties, Incorporated; Genesis Leases, Incorporated; Star Cross Properties, Incorporated, Plaintiffs, v. UNITED STATES of America, Defendant-Appellee, and Alvin H. Kolak; Joanne D. Miller; William H. Ball; Paul G. Topolka; Jack D. Yarbrough; Fred T. Goldberg, Jr.; Alan I. Weinberg; Larry L. Davis; Robert Forrest; Internal Revenue Service, Defendants. James G. MALLAS; Robert V. Jones, Jr., Plaintiffs-Appellees, and John W. Flint; Perry Brunk; Peoples Supply Company, Incorporated; Omega Energy, Incorporated; Revel, Incorporated; Trinity Properties, Incorporated; Genesis Leases, Incorporated; Star Cross Properties, Incorporated, Plaintiffs, v. UNITED STATES of America, Defendant-Appellant, and Alvin H. Kolak; Joanne D. Miller; William H. Ball; Paul G. Topolka; Jack D. Yarbrough; Fred T. Goldberg, Jr.; Alan I. Weinberg; Larry L. Davis; Robert Forrest; Internal Revenue Service, Defendants.

United States Court of Appeals, Fourth Circuit.

Decided May 20, 1993.


Attorney(s) appearing for the Case

Georg Nicholas Herman, argued (Steven A. Bernholz, on brief), Bernholz & Herman, Chapel Hill, NC, for appellant.

Bruce Raleigh Ellisen, Tax Div., U.S. Dept. of Justice, Washington, DC, argued (James A. Bruton, Acting Asst. Atty. Gen., Gary R. Allen, Janet A. Bradley, Tax Div., U.S. Dept. of Justice, Washington, DC, and Robert H. Edmunds, Jr., U.S. Atty., Greensboro, NC, on brief), for appellee.

Before LUTTIG, Circuit Judge, MACKENZIE, Senior United States District Judge for the Eastern District of Virginia, sitting by designation, and WILLIAMS, Senior United States District Judge for the Eastern District of Virginia, sitting by designation.


OPINION

LUTTIG, Circuit Judge:

The Internal Revenue Service, without explanation, continued to disseminate reports to tax shelter investors of plaintiffs James G. Mallas and Robert V. Jones, Jr., describing Mallas' and Jones' criminal convictions, even after a panel of this court had unanimously reversed those convictions. Mallas, Jones, and several corporations of which they are the sole shareholders, brought the instant action for damages against the United...

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