The daily sentinel., 1907-08-10

| IGuLAluS lTIlSuNlOu ana rover
company against the government
made, upon its publication i'm
the Sentinel yesterday.
During the evening il was the
topic of conversation of the hour
and crowds gathered here and
there upon the streets and in
the public business houses dis
cussing the various phases of the
alleged conspiracy.
The information given by this pa
per last night, always the first to give
the public the news, IS backed by the
information and Investigations made
by the government officer, here for.
the purpose of probing into the all
legged frauds. The story of the all
legged conspiracy was given with
out any coloring whatever no per-
son having had any knowledge that
the story of the attempt to defraud
the government would be published
by this paper in advance of the pa
per's appearance upon the street.
In the morning publication Mr..
James S. Carnahan, as attorney forl
the Redlands Irrigation and Power
company makes n lengthy statement
which is given as part of this ar-l
ticle. We have nothing whatever to |
say in regard to the statement made
by Mr.. Carnahan, save one item of
his statement. He states almost att
the conclusion of his signed state
ment as follows: "The sensational ar J
ticle of the Sentinel was to carry out
the real conspiracy, and not to give
the news What purpose Mr.. Car
nahan had in making that statement
we do not know, but the statement
is a deliberate falsehood.
No person, as we have stated above /
knew that such an article would ap-i
pear in this publication, save the
news force of the paper. No one was
consulted regarding It's publication |
and no decision to make public the |
information possessed by this paper
upon the alleged cJIl4giracy was de-
cided upon until after a lengthy inl
terview with Mr.. Ralph Kelley, the
government agent at about two-thir- /,
ty O'Clock in the afternoon.
The Redlands people are given the
same privileges to state their side
of the story in this paper. as is Civ
en- to the statements made by the gov
ernment agents. The Sentinel look
ed upon the publication of news that
had come to be public property solely /
from a newspaper standpoint.
That the trouble into which the
Redlands company finds itself is toI
be regretted everyone will agree. |
of all other matters in relation toI
the alleged conspiracy this paper is,
not informed.
The following is Mr.. Carnahan's
statement in full:
"The Redlands company has been
constructing an irrigation plant ana
ditch and expendinE a large amount
of money for the past year. All we'll
informed people in the community
have known that they were doing thisi
and that they also had some kind of
a contract with the land claimants
for water from their ditch and plant.
They nor anyone else could not
construct without or would not be
warranted in doing so. These con-
tracts were not unknown, but We're
public and no attempt was made tol
keep them from the public.
"They provide for the payment of
a certain sum of money for a water
right for the lands, whether pat
ented or desert entries, and the
claimants have the option of the pay
ment of money at the rate, or Civ |
ing land for water, the same as II |
patented.
"The most Of these entries were
made in the summer of 1905, and the
company was not formed nor were
there finances to build the ditch and
power plant in sight until about June
/. 1906, nearly a year after these
desert entries were made; 1t would
be hard to understand how, in the
making of these entries, conspir-
acy could exist with corporation
that was not created until a year ai-
terwards, or with the officers OF COR
poration not yet formed.
"The real conspiracy lies in high
financial circles in this city. some
financial institutions do not want
enterprise carried out that they do
not dominate.
ON concert large number of
contests are filed about the 2Gth of.
TuIy. this year. Notice of the con-
tasf Is not served until the 9th or
| Anpust Between the filing of these
contests and the service of notice to|
claimants, a special inspector in the
emn1oy of the government Mr.. Kelly
/ comes on the scene. He goes to these
claimants whose entries are contested
! fmoetlv lady claimants) and in one
case tells her that she had better re-
linquish, as she might have to ap-|
( near before a federal grand jury and
mat these entries surely would bel
cancelled. .,- f..
the Union Trust and Banking com
many for sale and adyertises it pub
iicajv to be sold by the attorneys for.
the Mesa County National.
"The Redlauds is not a depositor
with the Mesa County National.
"Mr. Kelly has not seen Mr.. Keifer
tho nresident Of the company up to-
This time, nor has he tried to see any
of the officers Of the company, to.
ask for or get from them information,
Mr. Keifer says that the statement
in IN the Sentinel to the effect that Mr..
Kelly has been in close consultation
with him several times, is absolutely
! Continued on Page Six