The Horry herald. (Conway, S.C.) 1886-1923, June 02, 1910, Image 6
SUGAR FRAUD
Trials Develops Some Sensational and
Demoting Evidence.
THE MAN HIGHER UP"
Lashed by His Conscience, Oliver
&pttzer Obtains Pardon from President
to Give Evidence in Trial ol
of Sugar Trust Officials CIinrgo?l
With IHMfrauding Government.
The biggest sensation of the trials
of the American Sugar He fining company
employees at New York was
created Monday morning by the announcement
that President Taft
has pardoned Oliver Spitzer, superintendent
of the Williamsburg docks
of the companj, who some months
ago was convi.fed of underweighing
and sentenced to two years in the
Feioral prison in Atlanta.
As Soitzer testified it developed
that President Taft granted him an
unconditional pardon on May 19
last. Spitzer testified that he arranged
signal lig.hts operated by a
switch to warn weighers of any
"sudden danger."
The trump card in the prosecution
of Charles B. Heike, secretary
of the American Sugar Refining Company,
was played at the opening of
the trial, when Prosecutor Stimson
called Mr. Spitzer as the government's
first witness. John B. Stanobfleld,
for the defense, claimed that
under the Federal statute Spitzer, as
a convicted man, could not testify.
It was then announced in court that
Spitzer had been pardoned by President
Taft.
Heike is on trial in the United
States court with five former em
ployees of the American Sugar Refining
company on the charge of conspiring
to defraud the government
by underweighing cargoes of sugar
im ports.
On the evidence of Richard Parr,
a government inspector, Spitzer was
convicted with Oour checkers employed
under him with the conspiracy
to perpetrate frauds w-hereby the
government was cheated out of millions
of dollars in sugar duties. The
four checkers?Boyle, Coyle, Kepoe
and Mennesy?were sent to the
Blackwell's Island penitentiary for a
year.
ISpitzer protested ignorance of
frauds on the docks. Men "higher
up" were sought and Heike, the secretary
of- the trust, and Ernest F.
Gerbracht, t.he refinery superintendent,
were indicated. With them on
trial now besides four other former
company checkers is James F. Hendernagel,'
the refinery cashier, who
was tried with Spitizer and the other
checkers. The jury disagreed as
to whether Bendernagel had a part
in the conspiracy, and it was deci led
to re-try him.
Jt was reported that Spitzer was
going to 'make a clean breast of
the alleged frauds. He described
the use, about 1 890 and 1 895, of
small bags of lead on the beams of
the scales, causing the recorded
weights to be sometimes forty pounds
short to a draft, and also the stuffing
of newspapers underneath the
floors of the scales for the same purpose.
The use of the paper was an
absolutely new development in the
fraud investigation. Heike listened
to Spitxer's testimony with tnse interest.
Spiffcer demonstrated in court
the use of the bags of lead and
testified about the steel springs saying
that first heavy ones were used
and later light ones. The springs,
he said, were substituted for lead
and paper when Deputy Surveyors of
Customs Vail took office, while the
use of springs was abandoned after
the sugar trust had paid the rebate
to the government as a result of the
Federal suit.
"Did you ever arrange a system
of signal lights in the scale house?"
suddenly asked the prosecution.
"Yes, sir," replied Spitzer, who
then related that the signals were
used to warn the weighers of any
sudden danger.
"How were the lights worked?"
"By a switch in my ofllce," replied
Spitzer, who said that the
switch was turned whenever a government
olllcial was seen to approach.
Spitzer said that an electric light
had been used in the scale houses
for many years, but that he made a
change in the signal system by installing
red lights. In reply to an
interrogation of the prosecution if
he had ever told of the weighing
frauds to any one, Spitzer replied
that he had informed a man named
Leroy, who worked in the Wall street
? ^ ^ 4 jn o q r met
UIUVU ' ?! I lie ou[)?i 11 uMi..
Th? witness said when he wanted
to raise any of the chercker's wages
he was obliged to put the matter
before Cashier James F. Hendernagel
and Frank W. Gerbracht.
rrhe checkers of the government
weighers were favorites over those
of the city weighers in the matter
of wages, he said, and every effort 1
possible was made to conceal this 1
from the other weighers on the 1
dock.
Spitzer said that in the fall of '
1906 he received a 'phone message <
from an unknown person, warning i
SHOT FULL OF LEAD
BY HIS COMRADES WHO DID NOT
KNOW HE WAS THERE.
With His Body Literally Shot to
Pieces, Private Heiherton Lived
For Two Days.
A dispatch from Monterey, Cal.,
relates a singular occurrence by
which a soldier lost his life. His
body an unseen target to t.he rain of
bullets of a firing squad at rifle
practice. Claude Iletherton, a private
of Company K, Thirteenth infantry,
stationed at the Phesidio,
* , ! ? f |w.
WI10 WHS IclKlIlK IIIfllMI I Clllfii in ui mh;
range, was literally shot to pieces
and died after lingering in t.he reservation
hospital for two days.
The acciden* occurred last w?ek.
but the facts have just come 'o lig'B.
An investigation of the affi ur delayed
the funeral until Sunday.
All during the afternoon of the day
he was shot, Hetherton crept about
on the embankment, pepered with
lead, while the bullets w.hizzed about
him. His cries could not be he a i.
After the first bullet had brought
him down .he made an effort to drag
himself out of range, but no matter
which way lie turned, his dsoape
was cut off by the flying missiles.
Finally he sank 011 the sand mound
awaiting the shot that would end
his torture. Bullets sped about him,
ripping his clothes and tearing his
flesh. When markers found him,
his head had been shot almost off.
Hetherton was married.
?
SAW HER SON DIE.
Young Mail Accitlontally Shoots and
Kills Himself.
Frank Itichard, a young white
man, accidentally shot and killed
himself at his home, about one mile
south of Edmund's, Lexington county,
late Friday afternoon. From information
gathered it seems that
young Ricard had finished his wock
for the day and had gone to the
pond, which is located a few hundred
yards from the house, to spend the
balance of the afternoon fishing, carrying
.his shotgun with him. He had
not been gone long before his mother
was attracted by the sound of a
gun. She and a young son w e it ?.t
once to the scene. Upon arrival at
the pond, they found the young man
lying fiat in the boat, gasping for
breath. The entire load of shot had
taken effect, in the stomach, making
a ghastly wound. He lived but a
few moments, dying without making
a statement. *
^ ^
HlX)ODY PEACH FESTIVAL.
Nino Negroes nro Wounded and Several
Will Die.
Reports of the wounding near Calhoun,
La., of nine negroes, three of
whom will die, wore received at the
sheriff's office at Monroe, La., Sunday,
and a squad of deputies left immediately
for Calhoun in an automobile.
.What had been advertised as1 a
"peace festival" was .held that night
by the negroes living near Calhoun's.
During the entertainment two negroes.
opened a revolver duel and
the fight became general. Ilomer
Davis, a negro man, and two unidentified
negro women, were fatally
wounded. Six other negroes who
were either shot or stabbed will recover.
Several negroes alleged to be ringleaders
in the shooting escaped.
These will be trailed by the deputies,
who loaded a pack of bloodhounds
into the automobile before they left
Monroe.
Caused Itlood Poisoning.
According to the coroner's announcement
a cat and tly were responsible
for the deat.h of Edward H.
Pratt, a manufacturer of Jersey City.
White petting a kitten a week ago
he was scratched on the hand and a
few hours later crushed a fly in
that hand. Septic blood poisoning,
...utsvli fttron uniniitflH^P COllld IlOt
VY?<IIA/lt U?UII uui]/MVV*?-v..
the supposed kidnappeis. *
him to be careful of the wire spring,
as the government was watching the
docks. This caused a letting up in
Hie frauds.
Following the raid in November,
1901, by the government, the witness
said he was informed by Mr.
Gerbracht that tho weighers and
himself would be taken care of.
"When the six weighers were discharged
what happened?"
"I paid them the same wages every
week at my home," replied Mr.
Spitzer, adding that the money was
given him each week by Mr. Gerbracht,
who left it in a package at
his garage.
"When did this money tease?"
"When I was sentenced last Feb- (
ruary," answered Mr. Spltzer. ,
J9pltzet said he knew secretary
Heike, hut did not connect him in j
any way with knowledge of the |
raise weighing. The cross-examination
of the witness was deferral
Prosecutor Stimson said Sp,fz? r |
became conscience svricken in prison
?nd desired to i?? ? <.11 he knew of c
he alleged frauds. t
ANSEL SHOULD RIIUL
REQUISITION OF GOVERNOR WHO
TUIINEI) HIS DOWN.
Patterson, Governor of Tennessee, Is
a Cheeky Individual and Needs
a Lesson.
Governor Ansel has now under
consideration the matter of whether
or not he should honor a requisition
requested by Governor Patterson, of
Tennessee.
Overshadowing tne mere question
as to the merits of the case, there
is great interest to the public at
large, not only in this State, but
throughout the country, in the fact
that last fall Gov. Patterson, who
has since come into such notoriety
by his pardon of Col. Cooper, refused
to honor a requisition sent from this
State for C. J. Herbert, wanted in
connection with the Seminole scandal.
Governor Ansel has not yet decided
whether he will honor the requisition,
but he gave a lengthy .hearing
to both sides in his office recently,
where appeared attorneys from Tennessee
and South Carolina, in the
interests of the two parties to the
cause.
The case centres around A. Shep
Pearlstine, of Brancvhville, who is
charged with embezzlement by Palmer
Brothers, of Charleston, Tenn.
There are eleven counts in the indictment,
involving nearly $20,000, altogether.
Mr. Pearlstine is perfectly
- ?! j i? n a. v_ n I
wining to ue rneu 111 ouutu v^ttiunuu,
but is resisting the requisition by
which -he would be carried to Tennessee
and placed 011 trial in a
strange state.
It appears also that the question is
largely one of law, and that the
merits of the case itself have but little
bearing in the way of public interest.
But for the fact that the
question of extradiction came up,
and the fact that the matter is with
the State of Tennessee, the story itself
might not have been given to the
public. Under the circumstances,
however, it could not be withheld,
even though the charge against Mr.
Pearlstine has not been proved.
One of the points in the argument
reads: "That the deponent, being in
the city of Augusta, State of Georgia,
drew a draft 011 Palmer Brothers.
Charleston. Tenn., for the sum of
$60, and that the said draft was
paid and is in the posession of Palmer
Brothers, as deponent believes,
and that the said charge of embezzlement
of $60 is made as of the 16th
of November, and that deponent received
of said Palmer Brothers a letter
bearing date November 18, 1 9 07,
postmarked Charleston, Tenn., as of
said date, and received a note at
Denmark, November 20; said letter
with exhibit heretofore set forth as
Exhibit *N\ That as to this account
deponent also submits affidavit of L.
C. Kice, who knows that deponent
was in the town of Denmark 011 or
thereabouts at t.he time mentioned
in this count of indictment. ' This
has reference to the second count
of the indictment. There are other
counts involving amounts from $50
ro $500.
Mr. Pearlstine's attorney submitted
affidavits from well-known Denmark
people to the effect that the
drafts were deposited by Mr. Pearlstine
in t.he Bank of Denmark. There
were a number of affidavits submitted
in the caso and Governor Ansel
heard them read.
There appeared before GovernorAnsel
Attorneys W. D. Mayfield of
Bamberg, and W. II. Townsend of
Columbia, for Mr. Pearlstine, and Atf
Air WT PK a m i\lo a f ^ h ti t f n -
IU i UCJ VJ. IV . VI1UI1I vy i.
tiooga, for the Palmer Company.
'Mr. Pearsltlne does not think that
he would Ret a fair trial in Tennessee
and .his attorneys contested the
extradition on this and other points
of law.
The contrast between Governor
Ansel's respectful hearing of both
sides of the case and Governor Patterson's
refusal Inst fall to honor the
axtradition for Hebert is marked. It
is interesting now to see the future
developments of this case.
CONFESS SKCON'D Ml liDKK.
+
Thinking His Petition for Pardon
Had Itecn Denied.
Believing that his application for
a pardon had been denied when it
had been continued for further Investigation,
Moises Freyas, a \Iexi
can serving a life sentence for murder
In the state penitentiary at Canon
City, Cal., .has sworn to an allldavit
declaring he committed another
murder for which Juan Duran, a
fellow Mexican is serving a sentence.
The two murders which wore
committed in the vicinity of Trinidad
ten years ago, wore closely connected.
Not until ho had signed .his confession
to tho second murder did
Kreyas know that his application for
pardon had been received with
enough favor to warrant the board
of pardons in making a careful investigation
in his case The invea- i
ligation will now be transferred to i
Lhe Duron's case. * 1
? ? i
The danger to a girl of being pret- |
y is she thinks she's prettier. i
The reason a man bets is so he 1
an brag if .he wins and forget to i
nontion it if he loses. j
%
SHOWS UP BADLY
^ 4
CoL Brock's Account on Inspection Trips
Heavy.
?
SPENT MONEY FREELY
?
According to the Testimony Col.
Brock's Expenses Wore Two or
Three Times as Much as Those of
Lieut. Cuban iss, the United States
Army Officer Accompanying Him.
The Boyd-Brock controversy Is be
coming quite Interesting. Sensational
allegations were made before
the court of enquiry on Tuesday as
to how Col. Brock charged the State
with expenses of his inspection tour
in the spring of last year.
Lieut. Cabaniss, the army officer
attached to General Boyd's office,
who made inspection with Col. Brock
was placed 011 the stand and comparison
made between his expenses at
the various points where inspections
occurred with itemized vochers filed
by Col. Brock and 011 which warrants
were issued to him.
The evidence showed Col. Brock
charging the State at every point
two to six times as much as Cabaniss
charged the federal government. At
various points teams and hack fare
were charged when apparently no
teams were used as they were guests
of local militiamen. In some places
Lieut. Cabaniss made 110 charges for
hotel bills, as he and Col. Brock
were guests of friends. During these
inspections, Mr. Cabaniss used 1,500
miles of mileage, while Col. Brock
charged the State up with four thousand
miles.
Pronrietor Molair of the hotel at
Barnwell testified t.hat the hotel bill
there, amounting to $1, had never
been paid. Capt. Cole had said he
would pay it. The voucher on which
Col. Brock was issued a warrant
show $2.75 each charged for .hotel
for himself and Lieut. Bennett.
Lieut. Cabaniss was then placed on
the stand. He read from his records
showing that his inspection expenses
for 1907 were 1 02.07, for 1908
$1 42.72, and for 1909 $156.02. Col.
Brock's were several hundred dollars
for eac.h year.
In detail the inspection trip of
last spring was covered, Lieut. Cabaniss
testifying from his vouchers
and Attorney Rembert reading from
the records from the comptroller general's
office.
At Hartsville where bot.h men were
the guests of Capt. Coker and Lieut.
Cabaniss paid nothing, Col. Brock
charged up a hotel bill of $1. At
Charleston, Lieut Cabaniss paid nothing,
while the State was charged
$18.50 for Col. Brock's hotel bill,
in addition to other charges. At
Camden Lieut Cabaniss paid a hotel
bill of $1.5 0, while Col. Brock charged
the State with $12, in addition
to team .hire of $4, although both
rode to the rifle range as the guests
of a local officer.
.In a trip by private conveyance
from Cheraw to Chester, witness
paid his share of the cost, which was
less than $4, and Col. Brock's voucher
showed a charge of $4 for this
trip. There was a similar showing
on the trip from Chester to Cornwell.
At Florence Col. Brock charged
up $4 for hotel bill, $3 for team and
50 conts each for hack and transfer.
Lieut. Cabaniss' expense was $2 for
hotel bill. So far as witness knew,
there was no need for a hack or a
team.
At Darlington witness .had a hotel
bill of $3.75, whereas Cbl. Brock
? i a < o e* 1 I ^ ? J .1 J
cnargea up $ i1 ror iiului m uuiution
to other charges.
At Bennettsville the stop was for
only a part of a day, witness' hotel
hill being 75 cents, whereas Col.
Brook charged $4 on account of hotel
bill.
At Rock Hill Col. Brook charged
up for a trip on the train to Fort
Mill, a few miles distant, 5 0 cents
for a team to carry him to Fort
Mill, although he had gone on the
train, $3 for hotel bill and 5 0 cents
for a telegram. Lieut Cabaniss had
no charges to make.
At Winnsboro the stop was brief
and witness had uo charges to make.
Col. Brock charged $1 for hotel, ?1
for hack and 'ransfer and $3 f? r
team, although the two had ridden
out to the point desired to he reached
as the guests of a local nflTvr
At Yorkville Col. Brock's changes
were $8 for hotel, $3 for team and
$1 for hack and transfer. WRness'
exoense was $3 for hotel, and ho
and Col. Brook had ridden out to
the rifle range as Col. Lindsay s
guest.
Similar showings were made as to
Spartanburg, Union, Clifton, Grconville,
Anderson, Denmark, Rdgefleld,
Laurens, Timmonsville, Conway,
Orangeburg, Georgetown and
Klloroe. ]
When asked whether he had ever
nharged up hotel expenses while In "
Columbia, Lieut. Cabanlss said that
he had not construed the war department's
ruling as allowing him ex- ^
senses of this kind while at home,
md to be on the safe side he had
never made such charges. Vouchers <
vere lntroducted to show that In one
rear Col. Brock had charged up ho
SINKS ?UH CREW
?
TWENTYVTIIRKE MEN RDOWNED
BY AN ACCIDENT.
A Submarine Boat is Bammed by a
Mail Bout and Immediately (Joes
to the Bottom.
A telegram received at tl>e British
Admiralty at London says a
French submarine was rammed and
sunk in the English Channel by a
mail boat running between Calais
and Dover. All aboard perished.
The foundered submarine's name
v<"p8 t.he Fluviose. The crew numbered
twenty-three. All were lost.
The submarine was sunk by the ferry
boat Pas De Calais two miles
northwest of Calais. The Pluvioso
sank In 160 feet of water.
The crew had no chance to escape
as their craft plunged to the
bottom in a moment after t.he collision.
The submarine's length was
160 feet and its displacement 3 98
tons, and was one of the best in the
French navy.
MKT FEARFUL FATE.
Little Two Year Old Girl Falls in
JiurniitK Oil.
The State says Gertrude Isabel,
the two year old daughter of C. G.
Ochmig, died Sunday as a result of
burns sustained Saturday afternoon
by accidentally falling into a tub
of hot cooking oil. Mr. Ochmig, a
baker, was absent from home at the
time and the oil was for use in the
preparation of doug.hnuts. The child
in some manner escaped the vigilance
of the family and wandered to
the spot where the oil had been
placed. The child's back and limbs
were severely scalded. Dr. DuBose
was hastily summoned and the little
child's* suffering alleviated for
the time, but medical skill proved
unavailing', th? burns covering so
large a portion of the body and being
of so severe a nature.
Hurts the Crops.
Hail covered practically all of
Oroyson county, Texas., Monday
night. Cotton is ruined and hundreds
of acres of fruit trees are stripped
of their fruitage and limbs. Hail
drifts more than two feet high were
found in places Monday. Throughout
the section damage was great.
?
IiOcal Option.
The State Democratic convention
in Montgomery, Ala., last week, doclared
for local option, a liberal attitude
toward capital, and more effective
and protective mining laws.
tel bills in Columbia amounting to
twentv-nine dollars.
4
LIQUOR and DRUG
HABIT J1 |'Sjj
DOjJYOU FEEL LET DOWN
DR. KINGS BLOOE
WILL BRING BACK Y<
BOOST your LB
ov
your o i
MAKE YOU FEEL GOOD
NOW !S ALSO TIBOWEL
T
no inNns nuD
L/ A\? 11 ft 1 1 VJ A/ Bit 1\
ENTERY i
RIGHTS ALL WRONGS AND IS GU A
will fore? water to kl
anywhere about the j
hard water, and have
or attic tank to freeze
Columbia Supply
Killed lit His Post.
Closing his address before the
Randleman Township Sunday-school
convention, In the auditorium at
Randleman, N. C., Sunday afternoon,
with the fervently uttered blessings,
"May God be with you till we meet
again," Wilson Davis, the aged superintendent
of St. John's Sunday
school, dropped to the floor and expired.
He was in good health and
was no intimation of the approaching
end.
+
Reform is always headed for reaction.
"classified column
For Sale?100 bushels fine cotton
seed, Laten strain.. $1.00 per bu.
f. o. b. R. E. Edward's, Elloree,
S. C.
For Sule?Juniper telegraph and telephone
poles, 2 0 feet to 65 feet
lone 4 to 8 inch tops.. Reeder
'Bros, Edmund, S. C.
Wanted?To buy wool, beeswax, tallow.
Write for prices. Crawford
& Co., 508-510 Reynard St., Augusta,
Ga. ^
Wanted?Names of those wanting
teachers; names of teachers desiring
positions. No charge to
school officials. Address with
stamp. Piedmont Teachers' 13u|
reau, Durham, N. C.
Wanted?Hardwoods, logs and lumber.
We are cash buyers of poplar,
cedar and walnut logs. Also
want poplar, ash, cottonwood, cypress
and oak lumber. Inspection
at your point. Easy cutting. Write
us. Savannah Valley Lumber Co.,
Augusta, Ga.
IMPORTANT NOTION.
For a short while we have decided
to save our future customers agent?'
expenses. This will save about twenty
per cent, on Organs, and about ton
per cent on Pianos.
Organs, from $75 up.
Pianos, froin $12125 up.
Less the discount as stated above.
Write at once for catalogs and terms
to the old established
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%