Arizona republican. [volume], July 21, 1921, Image 1

About Arizona republican. [volume] (Phoenix, Ariz.) 1890-1930

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ARIZONA BEPUBLiGAN
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Buy The
Products
of Arizona
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ona Dairy
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CM INDEPENDENT PROGRESS3VE JOURNAL
THIRTY-SECOND YEAR
10 PAGES
PHOENIX, ARIZONA, THURSDAY MORNING, JULY 21, 1921
10 PAGES
VOL: XXXIL, NO. 85
URMTp
qurg
HELD
FRAUD
BURNS SAYS SOX
CROSSED WORLD
SERIES FRAJDERS
Testimony Of State's Star
Witness Unshaken After
12 Hours Grilling; Black
Sox Split Baseball
"Frame Up"
l Republican A. P. Leased Wire
CHICAGO. July 20. Bill Burns, the
tatea chief strength In the baseball
trial, today finished his story of how
he and others conspired with eight
Chicago White Sox players for them
-t throw the 1S19 world series to Cin
cinnati. The admitted accomplice in
the, alleged sellout then withstood
tarea hours of nerve racking cross
examination by two defense attorneys
la which he fought a give and take
battle, never weakening; in the essen
tial facts f his story, although sev
eral times badly confused on inci
dental details.
At the end of his twelfth hour on
She- stand, the witness appeared ex
hausted. His body was limp in the
witness stand, his eyes were half
closed but his head was held back
nd his answers came defiantly and
clearly despite a cataract of innuen
does, disparaging; remarks about his
tnentality and character, and other
bitter verbal shots heaped on him by
bis questioners.
The impression made by Burns a
witness despite loopholes found in
his testimony by the defense might
b summed up in the remarks of a
defense attorney at the end of the
day that "if that man's story is not
proven false we may as well consider
ear case lost. We believe we can
prove some parts of his story abso
lutely false."
After finishing his story of Cin
cinnati conferences between himself..
Abe Attell and Bennet. whom he
identified yesterday as David Zelzer
of De-s Moines, Iowa, a defendant.
Burns told of further meeting in
Chicago, of how the playeru double
crossed the alleged fixers" by win
ning th third game when -they were
sot paid after the first two and how
r agreed with Ban Johnson, presi
dent" of the American league, and
John TyrrelV 'assistant states attor
ney, tt come to Chicago and testify
tor the state. He denied that he
was paid ether than his expenses for
his testimony or that he was
premised any reward.
He was then turned over to James
C. Ropes'" O'Brien, who earned his
nickname and fame in the middle
wt by sending many men to - the
gallows when be was assistant state's
attorney. ,
"Ropes" O'Brien Takes Cass
Under O'Brien's examination,
Burns at first appeared hesitant In
his answers. After half an hour of
repartea in which he successfully met
Mr. O'Erien's witticisms and sar
casms with replies equally as witty
and as sarcastic. Burns appeared to
gain confidence, and sitting erect,
answered all questions in a clear
voice heard all over the court room.
Teterday the Jury bad difficulty in
hearing Mm. It was Mr. O'Brien,
however, who obtained from Burns
w hat may prove a damaging point to
the, state. Bums had testified on
direct examination to twiee'meeting
Chick Gandil in the Warner hotel in
Chicago, while games, were being
olaved here.
After having Burns repeat the
torv. O'Brien said:
T-on't you know that Gandil never
lived at the Warner hotel in this
series? Don't you know that he and
other players you say you met at the
Warner lived at the Tyson ?"
-I only know that I met Gandil at
t Warner." replied Burns.
"And Gandil told you there that he
was through snd wouldn t tnrow any
more games, that he wouldn't accept
vour offers of money, tnat ....
bKn Mr. O'Brien.
if vou sav he did. I guess he did
Pnrn reoiied sharply. . ''He's your
rhnt and he knows n.ore about this
case than T d". Ask. him if you want
to know all the details."
Burns Stands Fire
Burns then testified that he talked
with Nick Allen, a t inonnau piayer.
the morning of the tmra game 01 m
series.
Don t you Know ini ""'"'
. nut nraeticing at tnat time,
hfliited O'Brien.
-T don't know what the team was,,,,,.., turner! over-by Thomson can
.. ht I know 1 talked with Al- ne linuidated." he continued, "and
'.-in Burns. This conversation
had nothing to do with the alleged
coniriraov
,. i"r O'Brien. Thomas Nash,
representing Buck vr.
.Anther stvle of examination. Mr.
V.sh got chummy with the witness,
c "."g him "Bill" and asking him
Several questions in the quiet manner
and then suddenly shot some sharp
,.rv at the witness.
He questioned Burns closelv about
the hours of alleged meetings with
Ihe inducted players, the distances be
tween hotels in Cincinnati, room
and such details, and at
numbers and s confused.
tlIes !"- ..atemcnt that he
,Ul the ball players in a hotel toom
Z Cincinnati that he -had one hun
dred thousand dollars for the series
f be thrown." Mr. O'Brien asked if
r.e had not Uert men.
:F'ut yTuddtShave .100,000 on
you .
-I meant l
could get" started
Burns.
-An.wer yes or no , i
;' have it.
said O'Brien.
-NO-4 Witness Unshaken
r-Un: U trouble during the
purns got m d quesuoned
L , oiiired meetings wun
hout niKis1' nrt
tne i - f t story
lory. 'lm"u-
ny hotel roori
Cincinnati, except the one
;Uh?r It nin.s . -a have
nued on pge 2)
iConti
Aircraft Fails To
Sink Battleship In
J oint Bornbing Test
Republican A. P. Leased Wire :'
ON BOARD THE DESTROYER
LEARY EN ROL'TE TO NOR
FOLK. . Va., July 20. Aircraft
failed today to sink or- materially
damage the former German bat
tleship Ostfriesland in the open
ing of the final phase of the joint
army and navy bombing tests off
the Virginia capes to determine
the effect of airplane attacks. en
capital and other types .of war
ships. Dropping a total of . B2 bombs.
33 of 230 pounds and 19 of 520
to 600 pounds, navy, marine corps
and army aviators placed 1$ of
them on board and practically all
of the others in the water close
by. V About all the apparent dam
age resulting however, was to the
upper decks and superstructure
immediately around, -the spots
where the projectiles struck.
British Premier .-,
Plans Generous .
Offer To Ireland
Republican A.' P. Leased Wire
LONDON. July 20. The British
cabinet sat for two hours and a half
this evening considering the Irish
plans, after which Premier - Lloyd
George went to Buckingham Palace
and laid before the king the proposals
tor submission to Eamonn de Valera,
the Irish republican leader, at tomor
row's conference. - ''
The prime minister presided at the
cabinet council held in the bouse of
commons and outlined bis new offer
to Ireland, which is described as being
drawn on generous lines. ,
i The financial arrangements' is .the
new - offer have" given considerable
trouble to the ministers,- it is, under
stood, but eventually were agreed to
It is also 'understood that the general
lines of the' premier's offer havetbe
approval of Austen Charberlln. the
government leader in tn house-of
commons: Sir Robert' Home. " Sir
Laming , Worthington Evan a. - secre
tary for war and other ministers, and
that probably, with modification the
entire cabinet will assent to the pro
posals,- - j '. - ,
hether Mr. Lloyd Ceerge nas suc
ceeded in overcoming the reluctance
of Sir James Craig, the- Lister pre
mier, to Join in a trl-partite confer
ence, is not known, but an announce
ment that Sir James is coming to
London again, probably, next week, is-
considered a, favorable omen, and In
any case no hint of a breakdown in
the negotiations is apparent. Tnese.
however, may be . more protracted
than had been generally expected.
General Jan Christiaan Smuts, pre
mier of South Africa, la holding him
self in readiness to go to Ireland
again, if needed.
Mr. de Valera gave a reception to
night which was attended by mem
bers and executives of the various
Irish organizations in Great Britain
o
Audit Of Thomson
Books Shows Total
Shortage $1,187,000
Republican A. P. Leased Wire
CHICAGO. July 20. Following an
audit of the books of the George H.
Horelm snd company, packers of
Austin, Minn., officers of , the com
pany announced this" afternoon that
the total shortage of R. J. Thomson
was $1,187,000
Thomson who last week admitted
embezzlement of the funds, has
turned over all his property to Jay C.
Hormel. vice-president of the com
pany. it was announced.
"While naturally the company is
embarrassed temporarily by this
laree shortage, it is sbsoltuely sol
vent.'" said E. E
Bron, vice-presi-
.dent or trie f irst Rational bihk di
Chicago, at wnose otnees a meeting
i rr1itors was held today.
I "It will be some time before the
meanwhile the banks interested will
give the company time to work out
its difficulties and will, if necessary.
! loan it an additional amount in order
to continue full operations."
Thomson's property included
farm in Iowa and Its aggregate cost
was in excess cf 11,000,000.
It is understood that nearly i.
000.000 in demand and short term
notes of the Hormel concern is held
by banks, brokers and private indi
viduals.
The comoanv will be able to mak
good the losses suffered through
Thomson within two or three years,
it was said tonicht.
Thomson has been employed by the
comnanv for 13 years, starting as a
candv salesman at 112 a week. He
spent the monev embezzled to brin
his Minnesota and Iowa farms up to
date in every detail, and his palatial
countrv home and attendant extrav
agances attracted attention through
out the middlewest.
o
Victim Of Tar And
Feather Mob Taken
To Texas Hospital
Republican A. P. Leased Wire
SHRKVEPORT. La.. July 20. J.
. McKnignt, who last nignt was
i,,i, i. v.-; ,:i...f.
in'i fu icnana ana v-enier. is in a
I san'tarium in Nacogdoches and his
condition Is not at ail reassuring,
aecordir.g to a telephone message re
reived here from Sheriff Smith at
I Nacogdoches. Tex.
Texas May Take
Action Against
White Cap Mobs
Republican A. P. Leased Wire
. DALLAS. Tex.. July 20 Appeals
from Various parts of the state to the
legislature, now in special session at
Austin,' for an investigation of the
reported widespread activity: of the
masked bands In Texas., were supple
mented today by the circulation by
Representative Patman, aimed at the
Ku KIux Klan. asking the governor
to submit a bill during the present
legislative session, making it a felony
to wear a disguise in public. -
Since April . 1 fifteen or twenty
cases of masked activity .have been
reported, and- eight have come to light
within-the last ten days.
The latest occurred today at Luf
kin. where Sherwood Vinson was
seized at the depot by four masked
men. whisked away in a motor car.
and 40 minutes later was dumped out
in towa with a coat of tar and feath
ers covering his body. It was the
second attack there within -the last
IS. hours. : Last' night. Ben Wiley.- 30
years old. was taken from town and
later dumped into a street filled with
theater crowds following an assault,
No prosecution of alleged members
of the masked organisation have re
sulted,, except at Win, where a tar
party episode resulted in the arrest
of fourmen. Three have been bound
over to' the grand Jury on charges of
whitecapping and the fourth released.
DOUSE DEFUSES
TO PUT TAX ON
LEATHER SHOES
Republican A. P. Leased Wire
"WASHINGTON, July 20 The
house refused today to put an Import
tax on -boots and shoes and other
leather products, although it prev
iously had fixed a tariff on hides.
The house voted. 99 to 62. a ways
ana means : committee - amendment
proposing a duty." of 10 per cent on
leather products, -which was regarded
as an indication that the house may
reverse itself on the duty of 15 per
cent on hides . when that question
comes up for separate vote tomorrow,
i Action by the house on the leather
Schedule came, at the close "of a
stormy cession. : Tomorrow at
o'clock voting; on amendments and on
the 'bill itself , ail! tart, " with th
understanding that final action on the
measure will be taken before adjournment.--The
bill then will be sent
to the senate.
Many members who voted for a tax
on bides opposed today the added tax
on- the manufactured article. . The
bulk Of the Republican members of
the committee stood out, however,
for the compensatory duty.
Representative Kreider, Republican
of Pennsylvania, a shoe manufac
turer, precipitated, an uproar during
the debate by urging - the duty on
shoes and leather goods,' half of the
house breaking 'n with demands for a
ote. . - .
Representative Rayburn. Democrat
of Texas, fn reply declared that shoe
manufacturers in the business for the
last few years ought ' to be satisfied
with fortunes already - made. In the
discussion - that . followed a telegram
from Representative Kitchin, the
Democratic leader, ill at his home in
North Carolina, was, read by Repre
sentative Garrett of Tennessee, the
acting leader. The fight being made
against the FOrdney bill. Mr. Kitchin
said, was "nerving Democrats every
where for an enthusiastic and united
fight in 1922 and 1924 and giving
them fresh hope of coming victory."
He asked that the strongest possible
appeal be' made to every Democrat
not to mar the excellent record made
thus far by voting for- Republican
protection of hides, cotton, oil, asphalt
or other products. ;
The house action on leather shoes
did- not hold, however, with respect
to shoes the uppers of which are
made from cloth, felt or kindred sub
stances, on which a duty of 25 per
cent was placed. The vote on the
paragraph was close, but it will stand
in the bill, since a separate vote in.
the house is not permitted under the
rules. A duty of 3 cents a pound, an
increase of 1 cent, was placed on
coffee, acorns and chicory. Certain
kinds of cedar logs were reduced
from 15 per cent to 10 per cent and
the tax on phosphorus was lowered
from 15 Cents to 10 cents -a pound.
Of the. increases, perhaps the
greatest was on citrate of lime, a by
product of lemons, which was raised
frm Zy, cents to 7 cents a pound.'
An amendment also was adopted
substituting the. Payne-Aldrich law
provision with respect to drawbacks
or rebates of duties on commodities
imported and manufactured and again
exported. .
One entirely new paragraph was
Included in the chemical schedule,
putting a duty of 10. cents a pound
on bromine, bromide and compounds
of-either. '
"Kidnaped" Sharon
Man Returns Home;
May , Be Arrested
Republican A. P. Leased Wire
SHARON, Pa.. July 20. Thomas D.
Randolph, business man here, re
ported to have been kidnaped Monday
night last and held for $50,000 ran
som, returned o his home at 8 o'clock
tonight, according to word received at
the police station.
Thomas D. Randolph, business man
of Sharon, missing since "Monday and
for whose return a $50,000 ransom
was said to have been demanded by
alleged nbductors. was arrested fol
lowing his return tonight to the home
of his fatber-in-la w. Boyce Fogle, on
orders of Mayor Frank Gilbert.
He was held without bail on the
technical charge of being a suspicious
person, it was said.
Randolph will be given a hearing
tomorrow before postal inspectors
and the distrirt attorney. He ap
peared to be exhausted and talked incoherently.
WILSON
'SL
IMP
LSIH0
WITH ALLIES IS
Agreement To Defer Inter
est Payment on Allied
Debts Reduced To Writ
ten .Memoranda By
Treasury Official
- Republican A. P. Leased Wire! "
WASHINGTON. July 20 The
understanding" reached' by the W ll-
son administration, deferring interest
payments on loans made by the
United States to allied nations will
be binding upon the present admin
istration. Secretary Mellon stated to-
dav to the senate finance committee.
The secretary, however, did not
disclose the poliev which he will pur
sue in making collections and advlseci
the committee he had reached no
agreement with any of the debtor na
tions on the subject..
The present situation, -which the
secretary called embarrassing, was
caused by discussions In 1919 between
former. Assistant Secretary of the
Treasury Rathbone and a Mr. Black
ett, representing Great 'Britain with
the result that the "understanding"'
was reduced to a written memoramla.
These conferences, the committee
was informed, were held after Sec
retary Glass and his successor. David
S. Houston, had decided there was
authority in law for the deferment of
interest payments. ,
- Assistant Secretary Wadsworth
who accompanied Mr. Mellon before
the committee, declared a large part
of the interest which the United
States had collected upon its foreign
loans was from money which the
allied governments had borrowed for
that . purpose. Figures were pre
sented to the committee showing that
on the' foreign loans amounting to
over ten billion dollars, there has ac
cumulated aecruea interest amount
ing to 93.5S4,75S which is unpaid
snd has been deferred. ., Of,., this,
France- owes - 24.14S.8S; Great
Britain, $407.JS,2S3: Belgium, S34.-
007.40S. and Italy, $181.078 088.
. Secretary Mellon, submitted to the
committee a copy. of a letter written
by him last May 11 to the British
ambassador on the refunding of the
British debt. The serretar-' said he
confined himself to submitting to the
ambassador various memoranda pre
pared as a result of the conference
between Mr. Rathbone and Mr.
Blackett.
"The papers cannot be said to have
been in any sense the drafts or pro
posals of either government." the
secretary continued, "and the fact
that any provision is contained in
them does not Indicate that either
was prepared to agree to it."
o '-
M'KELLAR SAYS
DETECTIVES IN
- Republican A. P. Leased Wire
WASHINGTON. July 20. Aroused
by a description of methods used by
private detectives in obtaining infor
mation about activities of union
miners. Senator McKellar, Democrat,
of Tennessee, at today's hearing be
fore the committee investigating dis
orders in the Mingo, West Virginia,
field, declared it was not "right" for
men to Work themselves into the con
fidence of' union officials and then to
report to detective agencies on what
was transpiring.
C. E. Lively had testified that while
a member of the United Mine Work
ers he served as an agency operative
in behalf of mine owners. During the
past nine years, he said, he had at
tended union meetings, was vice
president of a local and attended con
ventions as a delegate and all the
while had made regular reports to the
detective agency.
Then the Tennessee senator In
quired of Lively whether the miners
would have let him into their meet
ings if they had known he was a de
tective. "Let me in?" Lively retorted. "They
would have turned me over to the
undertaker."
S. D. Avis, counsel for the oper
ators, remarked the department .oX
justice resorted to' the practice of
having' its agents join unions and
other organizations in order to report
developments. '
'I don t rare if it does." declared
Mr. McKellar. "Conduct like that
doesn't fit in with my idea of Amer
ican honor. No wonder you're having
trouble in West Virginia.'
Lively testified he kept the fact he
was a detective a secret both from
coal operators for whom he worked
and from union miners with whom
he associated until after the est
- I Virginia gun battle in May. I92A, dur
ing which 10 men. among them seven
company detectives, vere killed.
The day of the shooting. Lively told
the committee, he was at the United
Mine Workers' headquarters w-n
Charleston, W. Va.' When news of
the affray wal received the' witness
declared almost all the union-men at
the headquarters agreed Ht "was
prettv g-Hd thing," and "seetaed
enjoy it" -
DAN
.nrnpTiim
imULlldlHIY
BINDING ON NEW
ADMINISTRATION
UN ONS BENEATH
1 CNHNOR
Investigate Jap
Deportations In
Melon Districts
(Republican A. P. Leased Wire
irRI-OCK, -al., July 20 An In
estigation "of the deportation of a
nurnbe f Jaiarn frtiit pickers and
melon field vr.Jflerg ti-om tho Turlock
district early today was berv by
Sheriff R. L. Dallas and Dif t-
torney W. J. Brown of S; is
county. J.o arrests were ma..
Eighty-eight male Japanese work
ers were forced to leave the district,
according to corrected figures issued
by the police. The women and chil
dren and Japanese lease holders were
not molested. Official figures show
that the mob of whites who forced
the Japanese to leave after putting
them on automobile trucks was com
posed of 150 men.
The police said that '60 per cent of
the mob were residents of Turlock
and the others were itinerant fruit
and melon pickers who objected to the
lapanese picking melons under con
tract at 16 cents a crate while the
union of white men demanded 25 and
26 cents a crate.
Anrests were expected here tonight
of several Turlock men charged with
having taken part in the deportation.
Sheriff R. I Dallas of Stanislaus
county was reported on his way from
Moriesto. the county seat, with war
rants for tive Turlock men charged
with kidnapping.
o .
IS
E
T
Republican A. P. Leased Wire
CHICAGO. July 20. The arrest by
federal authorities of Max Schall
man, a native of Russia, and the ac
tion today of United States' Com
missioner Glass tn holding him to
the grand jury in bonds of $5,000 for
violation of the espionage act, is be
lieved to ' have uncovered deals in
which influential business men of
Detroit. . Cincinnati. Chicago . and I
other cities are said to have urged
their congressmen and senators to
hasten recognition by the United
States of the soviet government so
that contracts totaling $150,000,000
could be consummated with Russia
through Schallman.
Schallman, who is said to have
been arrested as he was about to
leave for Russia, has admitted, gov
ernment officials say, that he repre
sented himself as en agent for Rus
sia. There are three charges against
him, one for lvpre oncing himself
as the agent of a foreign country,
demanding things of value, and act
ing as agent of a foreign government
without first registering as auch at
the office of the secretary of state.
Each of these charges is a violation
of the espionage act.
Some of the .business men thus ap
proached even went direct to Presi
dent Harding and Secretary of State
Hughes with their appeals for rec
ognition of the soviet government.
Among the companies with which
Schallman dealt is said to have been
the United States Motor Truck com
pany of Cincinnati, where a contract
for $90,000,000 of trucks was made,
it was alleged. With the Charles
Lapedus company of Chicago, $500,000
worth of overcoats, it is said, were
contracted for. while a $15,000,000
contract is SHid to- have been made
with the Mutual Tailoring company,
also of Chicago.
Also the supposed soviet agent is
alleged to have planned the purchase
of extensive warehouse facilities in
Chicago and elsewhere, his projects
even extending to the purchase of
certain railroad canal rights.
Schallman'a attorney, who ap
peared with Schallman in federal
court, said Schallman was in close
touch with Lenlne and Trotzky and
lis a bona fide representative of the
soviet, nis onjy mistaKe. according
to the attorney, was that he failed
to register with the secretary of
state.
Schallman was unable to raise his
bond tonight and spent the night In
the county jail.
o
Beer Regulations
Will Be Issued By
Blair In Few Days
Republican A. P. Leased Wire
WASHINGTON. July 20. Prohibi
tion Commissioner Blair today an
nounced that he would issue regula
tions covering the use of beer as a
medicine within the next few days
unless it appeared that prohibitory
action would be taken by congress
in the meanwhile- Kfforts to bring
the Willis-Campbell anti-beer bill to
a vote in the senate next week were
blocked today by opponents.
The new regulations for the manu
facture and use of beer for medical
purposes are understood to make the
case, the unit for prescriptions, but
set no limit to the number of pre
scriptions which may be written or
obtained on the theory that Attor
ney General Palmer held that the
quantity of beer or the number of
prescriptions might be limited, but
not both
Regulations for the use of wine as
medicine are understood to permit
two quarts to be prescribed at one
time.
Formal proposals by Senator Ster
ling. Republican of South Dakota, for
final disposition of the measure early-
next week were thwarted by Senator
Broussard. Democrat of Louisiana,
who re!wscd to enter into a unani
mous consent agreement.
Wayne R. Wheeler, general counsel
for the Anti-Saloon League, today
issued another statement urging
prompt action -on the bi'd.'whkh. he
said, would ' prevent breweries from
a making "real beer" in a day or two
toi after the regulations are issued, as
I they are likely to do.
RUSSIAN AGENT
SPONAGE AG
STATE
$1,000,000
INTEREST
Small Protests ,
Innocence In All '
Charges Of Fraud
Republican A. P. Leased Wire
SPRINGFIELD, Ills., July 20
Governor Small, indicted today by
the Sangamon
county grand
Jury for embez
zle m e n t and
conspiracy t o
defraud the
state, declared
in a message to
the "people ot
Illinois'" tonight,
that he is abso
lutely innocent
of "every charge
they make." He
added that he
1 , : T
tenant Governor
Sterling and Vernon Curtis, In
dicted with him are equally in
nocent. Sterling Welcomes
Chance To Answer
All Fraud Charges
Republican A. P. Leased Wire
. ROCKFORD, 111.. July 20 Lieu
tenant Governor F. E. Sterling made
the following statement tonight in
connection with hia indictment by the
Sangamon, county grand Jury which
has been investigating conditions in
the lll.noi state treasury: - -
'I have no comment to offer on
the action of the Sangamon county
grand 1ury. All I know about the
evidence which was submitted is
what I have read in the newspapers.
"I have violated no. law to, my
knowledge and. will welcome an op
portunity to meet and fullyi answer,
any charges when the proper time
arrives." . .-'..-,
o .
Famine Threatens To
End Red Government
BERLIN. July 20. The possible
downfall of the Russian soviet gov
ernment unless means are found to
prevent the starvation of large num
bers of persons because of the crop
failure in Russia Is suggested today
by the Rote Fahne, the soviet organ,
which asserts that 25.000,000 Russians
are in imminent danger of dying.
The newspaper expresses the fear
that the capitalistic countries will
take advantage of the confused con
dition to cause new military action
against Russia.
IS FIRST
CHIEF
WHILE
OFFICE
Governor Len Small Is the first gov
ernor of Illinois to be Indicted by a
grand Jury while holding office. He
also is the first Illinois governor to
face charges made after an investi
gation by an official body.
Available historical records give no
instances of governors of other states
being indicted while in office, but
there have been several instances of
impeachment.
In 1862. Gov. Charles Robinson of
Kansas was ,mpeached. He was ac
quitted. Charges were made against
Gov. Harrison Reed of Florida in
1SR8, the charges later being dropped.
Gov. William H. Holden of North
Carolina, two years later, was the
first governor to be convicted and
removed from office.
Impeachment proceedings against
Gov. Powell Clayton of Arkansas
were started in 1871. but were soon
dropped. The same year Gov. Davift
Butler of Nebraska was removed from
office. In the next year, 1872, charges
against Gov. Henry C. Warmoth o
Louisiana were dropped when his
term of office expired.
Gov. Adelbert Ames of Mississippi
faced charges in 1872 and resigned
from office. From that time until
1913 there were no such proceedings
Then came the sensational trial of
Gov. William Sulzer ot New York,
ending in his removal.
In 1917. Gov. James K. Ferguson of
Texas was removed from office.
o ;
Floating Bar Makes
Regular Trips Off
Long Island Coast
NEW YORK. July 20. Assertion
th.1t a floating bar wa-s being oper
ated off Long Island, outside the
three-mile limit, was made today by
the Brooklyn Eagle.
According to that newsparer, a
liquor laden ship, dubbed the Flying
Dutchman, hns made a third visit t
waters near Montauk Point, disposed
of 4000 cases to craft -that swarmed
out from shore, and sailed back to the
Bahamas. It was alleged that the
liquor had hern landed on New Vork
and Connecticut shores and that
-l.teve- mirVi k. axirl of th nils-
tomers. the maritime bartender was
I within the law.
11
SMALL
ILLINOIS
N TO
HOLDING
OFFICIAL CHARGED WITM
EMBEZZLEMENT
ON STATE
LIEUTENANT r GOVERNOR STER
LING AND 'GRANT PARK BANK
ER ALSO HELD IN GIGANTIC
CONSPIRACY INVOLVING OYER
$3,000,000 IN STATE FUNDS
(Republican A. P. Leased Wire)
SPRINGFIELD, 111.. July 20 Warrants were
issued for Governor Small, Lieutenant Governor Ster
ling and Vernon Curtis, the Grant.Park banker, follow
ing their, indictment this .afternoon on charges of em
bezzlement, conspiracy and operating a confidence
game through the alleged usg of interest on state funds
for their personal gain. "
Four indictments were returned. They cover
charges of fraud by the trio during the terms of Small
and Sterling in the "state treasurer's off ice between 1917 ...
and 1921. I
-The first indictment charged the governor, lieu
tenant governor; and Curtis jointly with embezzlement
of $70(5000.' A separate indictment against Governor
Small charged him- with embezzlement of $500,000
while Lieutenant Governor Sterling was individually
charged with embezzlement of $700,000. The fourth;
indictment charges the three with conspiracy and opera
tion of a confidence game, involving $2,000,000, interest;
on state funds.
The alleged illegal operations 1
named . In the indictment centered
around deposits of state funds with
the "Grant Park Bank," held by the
grand jury to have been a fictitious
institution since .1808, when it ceased
to function,
Individual bonds an each indict
ment were fixed at $50,000 by Judge
K. S. Smith.'- . - , - .- ----- .-v.
Governor Small was notified of the
indictments at his office through his
secretary. George Sutton. Lieutenant
Governor Stirling"" and Mr. Curtis
were notified by the sheriffs office
of their respective counties.
Governor Small will appear 'n
court at i a. m. tomorrow, it was
said, to arrange his bonds.
The "Grand - Park Bank." estab
lished many years ago by Alonzo
Curtis, father of Vernon Curtis, and
the late Senator Curtis, although
having -ceased to function several
years prior to Small's term as treas
urer, was used by the alleged con
spirators as the agency through vhirh
to make loana of- state funda to Ar
mour and company, and Switt snd
company, Chicago packers, according
to the indictments. Although the
packers' notes drew 7 and 8 per cent
interest, it la charged that less than
2 per cent was turned in to the state
treasury during the Small and Ster
ling terms.
Under the law in operation then
the state treasurer was required to
obtain at least 2 per cent on state
funds, but according to Attorney
General Brundage. who pushed the.
investigation, the law did not ptrmit'
the treasurer to use for private gain
any intereat earnings in excess of
2 per cent.
In its report, presented by the fore
man, the jury aaid: -
"From the evidence submitted it
appears that the treasurer of the
state of Illinois carried large daily
balances and that during the admin
istration of Fred E. Sterling hose
balances have ranged from 122.000.000
to $32,000,000. During the adminis
tration of Len Small and Fred K.
Sterling, as treasurers, the -law thin
In force In this state required t ie
state treasurer, to deposit all mon.-vs
received by him on account of the
state within five days after receiv-
ing same in such banks in the cities
IL AST MDRKUirE RJILSi
(Republican Associated Press Leased Wire) .
FRISCO BRICKLAYERS RETURN
SAN FRANCISCO, July 20 Union bricklayers returned to work on eity
jobs today after having quit a few days ago in sympathy with other member
of their union who r idle because of differencea with private contractor.
. CARTER BEATS JOHNNY SCHAUER 1 r
COLORADO SPRINGS, Colo, Jul 20 Tommy Carter of El Paso. Ts,r
was awarded the referae'a decision over Johnny Schauar cf St.' Paul at tha
and of their 12 round fight here tonight. The men ara lightweights. They
stood toe to to and fought from the first gong until the last.
'
FOLLOW LION TRACK3 FOR CHILD
GLOBE, Ariz, July 20 A posse of 35 under Deputy Sheriff J. B. Wight,
today began a systematic search of tha Pinal mountains, about six mile
from Globe, in an effort to find Ray Alvarez, 7, missing for four days. Re
ports that tracks of a hug mountain lien had been seen at tha head of
lc House canon led the posse in that direction.
RESIGNING OFFICIAL GIVEN t20,000
MINNEAPOLIS. Minn- Julv 20 Georoa E. Allen, educational director
of the American Institute of Bankera, today presented hia resignation to th
convention.
Ha was presented with a check for $20,000, and a committee waa ap
pointed to aslect his successor.
MONTANA GASSER ON FIRE
BILLINGS, Mont, July 20 Gas. estimated to flow between thre and
four million feet a day, was struck in a deep test well being put down by t
Barnsdall-Foster Corporation of Tulsa. Ok!a, in the Batt'e Butte structure,
24 miles from her today and the well immediately took fire.
PACIFIC LINER SINKS
ASTORIA, Ore, July 20 The steamer Effingham cf the European
Pacific line, en rou to the United
j port!an(Jf ltruck the rockv bank cf
, .. , ., .
"', '"" '- - s."..
. tonight.
Officers and crew escaped
I according to reports received here.
MONEYS
. V?
of the ctate as in the opinion or the
treasurer we're secure and which paid
the highest rate of interest.
"We find that both the letter t1
spirit ot that law were iolated. For
the. purpose of circumventing -thesa
provisions an ingenious schema til
adhered to: '
"Beginning with the administration !
of former Treasurer Small, the daily
balance wera carried on the bo
under two primary funds, one de
nominated as the "vault fund' and
the other as the 'safe fund." The so.
called safe fund represented loans
made to the so-called 'Grant Park
Bank. which was formerly a privata"
oanKing. msiiLuiion k mt-n Rupuiuiny
ceased to function as a bank after
1W)S Althnnph this ntirnArl.H hinlr
was purported to be owned by- a
single individual, and not not trans
act banking business whatever and
had no depositor other than the state
nf Tllinll it wa riv.n hllK lf
posits of public moneys by two for
mer state treasurers. Small and
Sterling. '
"The evidence shows that money
was taken from the state treasury
generally in lots of $500,000 and de
posited in the so-called Grant Park
Bank, which thereupon issued and
delivered to the state treasury cer
tificates of deposit for the amount
received but without any collateral
I J I 11 J . 1 I. UIHOI .. VJ 1 I. ... ,11V Wll.J
evidence of indebtedness and the only
security held by the treasurer for
loans aggregating $10,000,000 wer
paper obligations of a fictitious bank.
The moneys so received were used In
purchasing at a discount short time
t V... Cn-ih nit rrm n ,
and Armour and company, two large
corporations engaged in the packing
business in Chicago. These transac
tions netted the purchasers of tha
notes large profits. If any portion
of the profits so realized was paid
into the treasury it was less than. 3
v i.i-. -
"The records of the treasurer's of
fice for July 10, 1919. illustrate- tha
manner in which the public' funds
were handled. On that day the vault
fund is debited with $7,977,500, of
which IJ.000.000 was deposited in a
private banking institution, while tha
safe fund' was debited with $18,-
000,000."
Kingdom with a peroral ca'go tron
the Columbia river at Ste'la. Wash, 15
.., .,,---: H receiver! hr-
- . ,
though the steamer sank qui: