New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1909-01-22
SURE OF LIBEL BASIS.
The WOrIds' attorneys Find La15
of 1926 Vas Re-enQcted IN 1898.

Counsel for the Press Publishing Company.
publisher OF The World" against whom the in
qury before a special federal grand jury rela-
tive to the Panama Canal charges is being con-
Quoted, discovered yesterday that the statute OF
1929 making state laws applicable to govern
ment reservations ceded by state. was prac-
ticaly re-enacted in 1895. and that therefore the
libel laws, no matter how changed since those in
force over eighty years ago. be used in
prosecution by the government Soon after
making this discovery Delaney NicoH. one OF
the counselsof The World went to see District
Attorney Jerome about the present federal ef-
forts 10 find an Indictment.
Throughout the proceedings yesterday. which
were largely confined to the hearing OF new
witnesses. United States Attorney H l. Slim
son declined to explain the plans OF Attorney
General Bonaparte-
Mr. Nicou said in the afternoon that the gov
ernment undoubtedly intended to get indict-
ments against The World" or persons con-
nected with it in Washington and here, and
prosecute both simultaneously 1t learned
in the Federal Building that The Indianapolis
News would be Indicted in the District OF
Columbia if possible. as a suit could not %
brought elsewhere. none Of the copies con-
tanning the alleged libel had been circulated in
government army post
Although Judge Ward has not made his de-
cison regarding the status Of the subPoenas first
issued. new subpenas have been served. so that
there may be no delays, no matter what the de-
cision may be-
Another point made clear yesterday was that
the old Maryland libel laws will not have TO be
invoked in the District OF Columbia, the
federal statutes cover the situation The penalty
on a conviction for libel is more severe there
than in this state Here il is eighteen months
in prison or a maximum fine Of 5000. In the
District of Columbia the fine is the same. but
the Imprisonment penalty is five years
There was much interest yesterday in the spG
pearance of Edward F. Cragin. a promoter.
who was interested in the Nicaragua canal
Droiect. He was before the grand jury ten
minutes The talk about possible conspiracy
charge was revived. but counsel for The
world" when asked as TO this. said they could
not from present indications make any other
deduction than that a criminal libel prosecution
was the purpose OF the investigation EnOrts
to get Mr. Stimson to explain Mr.. Cragin's ap-
pearance failed. The other witnesses before the
grand Jury were employees OF The World
Daniel and Thomas Cochran. William J. Demp-
sey and William Gull
There was call for John Hammond early in
the day but he did not appear until the after
noon explaining that the subpoena he received
was one OF the first issued and that he was
awaiting Judge Wards decision He was served
with one OF the new forms and ordered to ap-
pear on Monday. to which time the grand jury
adjourned. Mr. Hammond employed on
..rbe World" A c. Rowsey, reporter. was
called. but did not remain in the jury room
more than minute
The 1898 statute reads:
section THAT when any offence is committed
in anv place jurisdiction over which has been re-
tained by the United states or eeded 10 IL By a