The San Francisco call., 1904-07-30
NAY END LAND
FRAUDS TRIAL
Judge Lacombe's Decision
Discharging John A. Ben
son Is Blow to Government
THE WEST INTERESTED
Federal Attorneys Expect
an Appeal Will Be Taken
to the Supreme Court

The decision rendered Thursday by
Judge Lacombe of the United States
Circuit Court in New York discharg-
ing John a Benson of this city from
the Federal indictment for conspiracy
to defraud the Government out OF pub
lie lands was accepted by many San
Francisco lawyers yesterday as mean
ing the end of the now celebrated land
frauds case.
II * true that Benson's ALLEGED CO.
conspirators. Frederick A Hyde and
Henry z. Dimond, have been held by
Commissioner Heacock of this city for
trial at Washington and that Judges
de Haven and Morrow, both of wham
will probably be asked to pass on the
Commissioner ruling, may take a
different view of the law from that
held by the New York jurist. 1t is also
true that the Government may appeal
from Judge Lacombe's decision TO the
United States Supreme Court. Such,
however, is LaCCmbes reputation for
sound law that it is said his decision
will have great weight with the Fed
eral Judges here. The probability of
the Supreme Courts reversing him is
slight The case is one in which the
public. especially in the West, has TAX
en- great interest.
So far as has yet been learned here,
Judge Lacombe dismissed Benson sole
" on the technical ground that the in
dictment failed to set forth facts show
ing a conspiracy to commit an offense
under the laws of the United States.
This decision is a triumph for a well
known San Francisco lawyer, eX-Judge
J. c.. Campbell. who was Bensons lead
ing attorney at the hearings in New
York. Associated with Campbell was
Frank II Platt Of New York City. son
fr7-i -i-f
upon by Campbell was that if any
fraud was charged in the Indictment
il was a fraud against the States of
Oregon and California and not against
the Government of the United States
GREAT FRAUDS CHARGED.
The Indictment which Judge La
combe declares invalid was found by
the Grand Jury of the Supreme Court
of the District of Columbia on Feb
ruary L. 1t charges John A. Benson.
Frederick A. Hyde, Henry p. Dimond
and JGost H. Schneider with conspiring
to defraud the Government of large
tracts of Western land by exchanging,
under the forest reserve act, Oregon
and California State school lands OBJ
tained by fraud for lieu lands outside
the reserves. The title to the State
lands in question is alleged 10 have
been obtained by the use of forged affi-
davits, dummies" and fictitious selec-
tors.
John A Benson was arrested on this
indictment in New York. and therefore
had his preliminary hearing there be-
fore Federal Commissioner Shields
HYDE and Dimond were arrested in San
! Francisco. Their preliminary examina-
ton began before Commissioner Hea-
cock on March 81 and closed May IA
In both cases the Commissioner held
the defendants for trial at Washing
ton. The fourth defendant Schneider
was arrested in Washington D. c., and
therefore had no preliminary examina-
tion.
During the long hearing before Com
missioner Heacock. Garret W. McEner-
ney and other counsel for the defend
ants. HYDE and Dimond, raised the same
point against the indictment that Judge
Campbell made with signal success be-
fore Judge Lacombe in New York They
argued that If any fraud had been COM
mitted il was a fraud against the West
ern States. whose school lands had been
obtained by Illegal means, and that the
Federal Government, having accepted
these lands as an innocent purchaser
for value. had not been efrauded. be-
cause the States could not recover the
school lands by suit against the Gov
ernment Where fictitious names had
been used, the lawyers further contend
ed no State lands passed TO the Gov
eminent and no lieu lands passed from
the Government, therefore the whole
transaction was void and no fraud was
committed Commissioner Heacok re-
fused to entertain this view. but it
would annear that Judge Lacombe has
held it TO be sound law.
GOVERNMENT MAY APPEAL.
on the hearing here the Government
was represented in chief by Francis j.
Heney as special counsel. Mr.. Heney
said yesterday that while he had no di-
rect information from Washington he
had EH0 doubt the Government would
appeal TO the Supreme Court from the
Lacombe decision. and he was hopeful
il would be reversed.
The next move on the part of the
Government in the land frauds case
will be made in San Francisco August