Los Angeles herald., 1892-01-22

The trustees of the Kaweah Co-opera-
tive Colony company were arraigned be-
fore Judge Ross in the United States
district court yesterday on indictments
found by the federal grand jury. The
defendants all pleaded not guilty to the
allegations. Their names are Burnett
G. Haskell, James j. Martin, John H.
Redstone, Henry 7. Taylor and William
Christie, and each is charged with hav-
ing used the United States mails to fur
ther a fraudulent scheme. There are
three indictments against Martin, who
was treasurer of the concern, and is
accredited with possessing smoother
manner than any of his colleagues. He
IS supposed to have cornered a good
share OF the profits of the concern for
himself.
The indictments set forth that the
Kaweah Cooperative Colony company
was organized for the purpose of de-
frauding people. Circulars were sent
broadcast through the country in
which the purposes Of the company
were set forth in glowing terms. A MEM
bership cost $500, and great many
checks and gold pieces found their way
into the company's Golfers. The follow
ing extract gives an idea of the purposes
| of the company as set forth to persons
in whom the organizers saw possible
customers:
"To engage the production and dis
tribution of wealth, the collection of raw
material, its fashioning by hand craft
and machine craft into commodities I;
the culture of both animal and vegetable
products, the production of food, cloth
ing, shelter, machinery and all other
| articles of convenience, necessity or
luxury; the establishment of just and
correct systems of credit account and
exchange: the building OF houses for
themselves and families, their CO.
operative administration the arbi-
tration and just settlement of disputes
between themselves; the practice
among themselves of just systems of
social organization, the education of
themselves and their children in proper
| physical, mental, moral and intellectual
and artistic lines, to improve the
health, secure the happiness and per-
feet we'll being of each and every MEM
ber, as well as to propagate and extend
to the world at large the idea of uni
versal, just co operation"
The indictments set up that all these
representations were false and fraudu-
lent, and made for the purpose of de-
frauding people by inducing them to in
vest their money, which was appropri-
ated by the trustees of the company to
their own uses, instead of being ex-
pended in carrying out the plans repre-
sented.
Haskell was editor OF paper besides
being member of the board of trustees.
The paper, called The Commonwealth,
was "a journal for those who labor and
those who think" Its columns were
devoted exclusively to the colony
scheme, and through the representa-
tions made by the editor many members
were secured. The indictments contain
extracts from the Commonwealth, all of
which are alleged to be utterly false.
When arraigned the defendants
declared they are too poor to
employ counsel or to give bonds, and
Henry G. Dillon, Esq, who defended
them in the trial for timber cutting,
volunteered his services as counsel.
After entering their pleas the defend
ants were remanded to Jail. A reporter
called at the Jail last evening but was
informed that they are not confined
there.