## Facts

- George F. Fish, Inc. operated as a New York wholesale dealer in fruits and vegetables; Michael Simon was a salesman for the corporation.
- The United States charged both defendants by information with unlawfully, willfully, and knowingly evading Revised Maximum Price Regulation No. 426, issued under § 2 of the Emergency Price Control Act of 1942.
- The alleged evasion occurred through “tie-in” sales: customers seeking rationed or scarce produce subject to a price ceiling were required to buy unrationed, unwanted items as a condition of getting the desired goods.
- The government’s proof included witness testimony and sales documents indicating forced purchases of unwanted commodities alongside controlled items, allowing the jury to infer that defendants extracted consideration beyond the maximum legal price for the controlled items.
- After a jury trial, the corporation was fined and Simon was sentenced to imprisonment.

## Issues

1. Whether defendants could challenge the validity or constitutionality (vagueness/ambiguity) of the price regulation as a defense in a criminal prosecution under the Emergency Price Control Act.
2. Whether the information sufficiently alleged a criminal offense under the Act and Revised Maximum Price Regulation No. 426.
3. Whether the evidence was sufficient to prove knowing and willful evasion through tie-in sales.
4. Whether the corporation could be held criminally liable for the salesman’s willful acts committed in the course of employment.

## Decision

- The court affirmed the convictions of both defendants.
- Defendants could not collaterally attack the regulation’s validity or constitutionality in the criminal case because the Act channeled such challenges to a specialized administrative and judicial review process.
- The information adequately alleged a crime by charging willful evasion of the identified regulation through the described conduct.
- The evidence supported the jury’s finding that defendants knowingly and willfully evaded price ceilings through tie-in sales.
- The corporation was properly held criminally responsible for the salesman’s acts performed within the scope of his employment and in furtherance of corporate business.

## Legal Principles

- When Congress provides an exclusive statutory procedure for reviewing the validity of administrative price regulations, defendants generally may not raise broad validity or constitutionality challenges as defenses in a criminal enforcement proceeding; the prescribed review route must be used.
- A criminal information is sufficient if it identifies the governing statute and regulation, charges willful evasion, and describes the conduct in a manner that gives fair notice of the offense.
- “Tie-in” sales requiring purchase of additional unwanted goods as a condition of obtaining controlled goods can constitute evasion of maximum price regulations by extracting extra consideration beyond the ceiling.
- A corporation may be criminally liable for statutory violations committed by its employees, including willful acts, when the employee acts within the scope of employment and for the corporation’s benefit.

## Conclusion

The Second Circuit upheld convictions for evading wartime maximum price controls through tie-in sales, held the charging instrument and evidence sufficient, limited validity challenges to the statutory review scheme, and confirmed that a corporation may be criminally liable for a salesman’s willful regulatory violations committed in the course of corporate business.


United States v. George F. Fish, Inc., 154 F.2d 798 (2d Cir. 1946)