Picto-Fiction was an attempt by EC publisher, William M. Gaines, to save his comic book business and avoid the Comics Code by going upscale to the magazine market. Picto-Fiction, including Terror Illustrated, Crime Illustrated, Confessions Illustrated and Shock Illustrated, were a mixture of art and story, not comic books, but not traditional magazines either. Picto-Fiction failed because it didn't reach the readers of either the comic book or prose fiction market. On the other hand, Mad, his non-Picto-Fiction magazine, succeeded beyond anyone's dreams.
"The Basket" is from Terror Illustrated #1, December 1955. It's adapted from a story in the 10¢ comic book, Haunt of Fear #7. In its original form it was drawn by Jack Davis. Graham Ingels handles the assignment here.
Hairy Green Eyeball presented a whole issue of the Picto-Fiction Crime Illustrated here.