AMERICAN CORRUPTION.

Waimate Daily Advertiser, Volume XXIV, 24 March 1924, Page 3

AMERICAN CORRUPTION.

AMAZING EVIDENCE. FKM rfi-ESB JUSBOCIAIIUN-—€urYIUGHW / ■ Washington’ March 22/ The Daugherty Investigation Com--1 lee Heard an amazing recital regarding the ramifications of the bootleg trust, from the testimony of a iNew York drug importer, who admitted he represented the boot-leggers, and paid within a three months period, 200,000 dollars to two influential men, who illegally procured permits for the withdrawal of 50,000 cases of liquor from warehouses and distilleries, one of which was the Overholt Distillery, in Pittsburg, which is reputed to be partly owned by Mellon (United States Treasurer) interests. Witness states that permits cost fifteen dollars per case, the money being paid to one Jess Smith, who was also instrumental in purchasing immunity from prosecution in connection with the DempseyCarpentier films. Witness further traced the labyrinth of corruption among the Department of Justice officers, describing minutely how varilous co-operating subordinates shared the money with which their influence was bought. The Committee meanwhile is highly indignant at Mr Daugherty s increasing investigation of its members. Its chairman (Senator Brookhart) de- , dared that he had just received the names of two Department of Justice officers, who had been specially sent, from Montana for the purpose of investigating Senator Wheeler. Great disorder ensued, which became well nigh uncontrollable when Senator Ashurst made the charge that Mr i Daugherty had spirited away to Europe, the arch conspirator whose testimony the committee regards n essential to explain the mysterious secret influences to which the Department has been subjected. ■ Tex Rickard testified that he knew perfectly well that it was against the law to exhibit fight pictures outside New Jersey, but they assured him they could get Mr Daugherty to pass legislation permitting the display of the film in every State. “But they did not exactly deliver the goods” complained Rickard, who smarts under a WOO dollar fine personally charged As the result of constant charges of cllicial corruption and increasing evidence of non-feasance and misfeasance Representative Kendrick (New York) introduced a resolution in the House of Representatives directing sweeping investigations into the Federal prohibition enforcement.

Probably the outstanding sensation of the oil investigation’s myriad sensations, was offered to-day by a former train robber, whose name is classic m the history of th.s profession, namely Al. Jennings, who now is evangelist ,<1 also an oil speculator. He has been summoned from California to appear before the Senate Committee, and prior to entraining for Washington lie informed the newspaper men that he would tell the Committee of an Eastern ex-Senator, prominent in Republican circles who absolutely controlled the Republican National Convention in 1920, and practically engineered Mr Harding’s nomination upon payment of a million dollars from certain oil interests. Al. Jennings, after this brief announcement, dramatically declared that his lips were sealed, until he occupied the Senatorial witness chair, when he will divulge everything v, ill Hays (Republican campaign manager in 1920) told the Oil Committee that he approached and obtained from Sinclair who subsequently received an oil lease of 000 dollars, with which to help to ’iquidate the million foliar campaign lefleit. Curiously enough Sinclair had been a liberal contributor to both the Republican, as well as the Democratic election expenses.

Sinclair also appeared before the committee but refused to testify. The committee indicated that Sinclair would be cited for contempt. The Daugherty Committees of Inquiry reached a climax when Senator Wheeler demanded that President Coolidge suspend Mr Daugherty until the investigation is finished. Senator Wheeler sharply attacked President Coolidge for permitting Mr Daugherty to retain the tremendous power in controlling the secret service for personal advantage. “X think Mr Daugherty stooped to a cowardly dirty trick, when he attacked the character of a poor defenceless woman.” Senator Wheeler here referred to the statement issued by Daugherty following on Miss Stinson’s charges.

Miss Stinson, resuming her testimony offered a variant concerning President Harding’s nomination, declaring that Jess Smith (Mr Daugherty’s closest -associate) told her of the machination during 1920 Republican Convention, whereby Mr Daugherty, as a return for President Harding’s nomination, extracted the latter’s promise to give the secretaryship of the Interior to a representa tive of the oil interests.