The Washington times., 1907-01-21
j. p. Gruet, Former Oil
Trust Man. to Figure
in Case.
Part of Senator's Income
Alleged to Be Stock of
Oil Company.
Many Documents Involv-
ing Accused Said to Be
in Hands of Texas.

NEW YORK. Jan. 2I.-Charges against
Joseph W. Bailey. OF being a tool OF
the Standard oil Company and other
trusts. for which he has received over
81 100000 (his influence as a United
States Senator, and not his services as
a lawyer, being what lie was expected TO
give IN return, are being investigated
today by special committees Of the
Texas house and senate. The charges
were made by ". A. Cook OF san An
tonic. and they are of such startling
nature that the Lone Star State is
stirred as IL never was before over the
action OF a high public servant.
The indications now are that. unless
he withdraws from the race Bailey will
be the worst beaten man who ever stood
for election before the Texas Legis-
lAture
Photographs in Evidence.
Conveniently with the charges Of Mr..
Cook, the New York American and
the Chicago Examiner, which have
charged for several months that Sena-
tor Bailey had been made a millionaire
by serving the trust. made an amaz-
ing exposure OF his methods. the moneys
he received. presented complete set
10 be used as evidence. watch will con
Wet him Of being in the pay Of the
Standard Oil Company, with the full
knowledge that he was working Cor
this trust through its branch. the
WaIers-pierce Oil Company.
j. r. Gruet, for seventeen years sec
rotary OF the Waters-Pierce Oil Com
paHy. ana whose relations with ID G..
close until two years ago. gave out the
documents ana other evidence which
may convict the Texas Senator OF being
The hireling OF trusts.
j, +. Gruet, IL IS stated, will be a wit
ness before the committee OF the Texas
Legislature that viii investigate Senator
Baileys Connection with the Waters
Pierce Company.
The Charges.
Chief among the charges made against
Senator Bailey is that his services 10
the Waters-Pierce Company were using
his influence 10 re-Instau the company
In Texas. after il had been OusIed by the
supreme courts of the State instead OF
as a legal adviser; that various sums
we're paid 10 Bailey in this matter Of
Texas legislation. the money passing
through the hands OF President Pierce,
who was reimbursed by the oil company
Specific denial is made, on the au-
ThOrity OF Gruet that a particular note
for 5000 was given 10 President Pierce
and transferred by him 10 the company.
which Bailey has described as a loan.
and stated on the floor or the Texas
Legisia ture had been repaid, was ever
paid In any form but was charged or
after maturity, on the cOmpany's books
10 profit and loss.
Gruet Is quoted as saying he will 90
10 Texas 10 tell Senator Bailey he
Hes" II he asserts this note was
paid. Gruet says he is in possession or
this note.
Papers which. iJ is said. fully prove
Senator Baileys guilt" We're attached
without his knowledge 10 vouchers
representing payments TO him, and SO
became part Of the company's records.
Bailey's Alleged Income.
AS part OF Senator Bailey's reward,
II is charged. he received the dividends
on 100 shares Of the Waters-Pierce Com
pany stock. One payment OF these
dividends. Il Is said. amounted 70 81. 500
Alr. Gruet estimates that for three years
Bailey received over SIS zoo annually "a
such dividends,
Many of the documents involving
Bailey IL Is stated, are now ia the
hands OF the attorney general of Texas