New-York tribune., 1910-01-12
ANTI-FRAUD SCALE
LOEB FINDS DEFECTS.
Conricted Sugar Men to Try
Again for q Retial.

The first automatic scale built in Boston
for this port TO check fraud in the customs
service. and intended to be used principally
on the sugar docks. will not answer the
purpose unless several important changes
arc made. Collector Loeb and Surveyor
Clarkson have so informed the Treasury
Department at Washington. and have urseo
that one of their men be permitted to make
an investigation.
But this request Il was learned yester-
day. may not be granted. An employe of
the Bureau of Standardization at Wash
ington has been sent to Boston to report
on the condition and availability of the
weighing machine. This action has caused
much disappointment in the Custom House.
1t is feared that the examiner may pass
the scale as correct order 1t to be shipped,
and that as consequence the changes will
have to be made here. far away from the
factory.
There has been a great deal of delay in
filling the contract for the automatic scales,
and Collector Loeb is eager to do every
thing possible to avoid further loss of time
in the installation of the fraud preventing
device. A representative of the scale max
ers was at the Custom House recently, and
the defects were explained to him. He
wanted a wegher from this port to accom-
pany him TO Boston so that whatever short
comings the machine might possess could
be removed there.
The January federal grand jury, which
will be sworn in to-day, will take up the
investigation of the sugar frauds, and It
was said yesterday that large number OF
indictments might be found before the end
of the week. Some former employees of the
American Sugar Refining Company, already
S,,I; ha viii
plicity in the short weighing frauds in or
der to strengthen the case against them.
1t was reported yesterday that the De-
cember grand jury did not find indictments
because Of the proximity of the annual
meeting of the stockholders of the Ameri-
can Sugar Company, which occurs to-day,
but from the government prosecutors it was
learned that all the evidence required for
an indictment could not be assembled before
the term of the December grand jury ex-
pired.
The bail bonds of the four former en-
ployes of the American company, who were
sentenced on Monday, were approved by
the government counsel yesterday. and they
will be used If the United States Circuit
Court of Appeals should hear the counsel
who. 1t was said yesterday, will make an
appeal against the verdict in the lower
court. The convicted men may be released
on bail pending the decision of the appeal
court.
The papers in the appeal are ready. and
1t was said yesterday that Henry F. Coch-
rane, counsel for the men, will make an
effort to have the case retired the con-
viction reversed. The grounds will be the
same as In the application for a new trial
before Judge Martin. namely, lack of juris-
diction, immunity because of appearance
and testifying before a federal grand jury
in Brooklyn and lack of evidence.
In the notice sent out by the American
Sugar Refining Company of the annual
meeting of stockholders. it was said that
the latter will be asked to ratify a new
bylaw increasing the board of directors
from nine to eleven members. c. H. Senff,
a director. has declined reelection. and an
other, John Mayer, has resigned. W. B.
Thomas, the president and also a director.
and Henry f. Niese, a director. will have
to be reelected or successors chosen, as
their terms expire. The following are on
the ticket sent to the stockholders:
W. B. Thomas Henry E. Niese, Samuel
c. Hooker. of Philadelphia; Edwin S. Mars
ton. of this city, and Edwin F. Atkins and
Samuel Carr. of Boston. Messrs. Marston
Atkins and Carr represent the New Eng
land interests of the company, said to be
the largest, both in point of numbers of
stockholders and capital invested. Richard
Olney and Gilmer Clapp, of Boston, and
Stephen S. Palmer. of this city. will act as
a proxy committee.