The Manitowoc pilot. [volume] (Manitowoc, Wis.) 1859-1932, 1910-05-26
SPITZER, GUILTY
IN SUGAR FRAUD,
FREED BY TAFT
GOVERNMENT PLAYS TRUMP CARD
BY CALLING HIM IN HEIKE
TRIAL
ESCAPES TWO YEAR TERM.
Announcement of Pardon Is Made When
Defense Objects to Convicted
Mans Testimony.
CREATES SURPRISE IN COURT.


card in the prosecution of Charles X.
Heike, secretary of the American Sugar
Refining company, was placed at the
opening of the sugar trust underweigh
ing conspiracy trial today, when Prose
cutor Stimson called as the governments
first witness, Oliver Splitter, superintend-
ent of the Williamsburg docks. who,
some months ago, was convicted of I'M
derweighing and sentenced to two years
in the federal penitentiary at Atlanta.
When Splitter took the stand John b.
Stanchtield, for the defense. claimed that
under the federal statute Splitter as a
convicted man, could not testify.
The sensation of the trial was then Gre
ated by the declaration in court that
Splitter had been pardoned by President
Taft
Six on Trial.
! Heike is on trial il the United States
circuit court with five former employees
! of the American Sugar Refining com
pany on the charge of conspiring to de-
/ fraud the government by underweighing
cargoes of sugar imports. Witnesses
have testified to the discovery of fraudu-
/ lent devices on the sugar docks at Will
1 liamsburg whereby, il was alleged, EN-
/ ploycs of the so-called sugar trust man
/ ipulated the scales so as to bring about
underweights. .
The evidence Of Richard parr, a gov
eminent Inspector who made n raid on
/ the sugar docks in November, 1867, and
others, Splitter, who was the dock super
ntendent at the time and for some years
previous, was convicted with four check
srs employed under him Of connection
with the conspiracy to perpetrate frauds
whereby the government was cheated out
If millions of dollars in sugar duties.
The four checkers, Boyle, Coyle, Kehoe
4 IL.
wells island penitentary for year.
Splitter got two years in Atlanta He
protested ignorance of frauds on the
docks.
Sought Men Higher Up.
Men higher up" were sought and
Heike, the secretary Of the trust, and
Ernest f. Gcrbracht the refinery SUI
perintendent, were indicted. With them
On trial now. besides four other former
company checkers, is James f. Bender
lagel, the refinery cashier, who was tried
with Splitter and the others. The jury
disagreed as to whether Bcndcrnagel had
L part in the conspiracy and it was de-
cided to retry him.
AS Splitter testified to the undcrweigh-
ing frauds on the docks. it was developed
that President Taft granted him an un-
conditional pardon on May 10 last
Splitter went back to the years 1894
~
he made developed the fact that the
checkers were affecting the weights on
raw sugar by placing small bags Of lead
on the beams of the scales, causing the
recorded weights to drop below the actu-
Ill, often as much as forty pounds on each
draft. In addition, Splitter said it was
also the practice to stuff paper under
meath the floors of the scales for the same
purpose. He said that when Deputy
Surveyor of Customs Vail took office
these devices were abandoned and the
use of the steel corset spring instead was
begun and continued.
Shows How Lead Worked.
1t was said before Splitter got we'll
into his testimony that he would make
a clean breast of the frauds alleged to
have been committed in the undcrwcigh-
ing of raw sugar on the williamsburg
docks. Splitter demonstrated in court the
use of bags of lead.
Tcstifying regarding the use of the
wire spring which superseded the bag of
lead Splitter said two styles Of springs
wer oused a heavy one first and then
spring considerably lighter in weight.
Spitzer's testimony about the weight les
SEEMING device of the newspapers under
meath the scale was an absolutely new
Development Heike listened to SpItzer's
testimony with tense interest.
Splitter talked freely about the frauds
by which the government was robbed of
millions of dollars. He said the use
Of the steel springs was stopped after
the sugar trust had paid the rebate to
the government as result Of the federal
suit.
Did you arrange system of signal
lights in the scale house. suddenly
Yes, sir" replied Splitter, who then
related that the signals were used to
warn the weghers of any sudden dan
ger.
How were the lights worked"
by the switch in my Office" replied
Splitter, who said that the switch was
turned whenever a government official
was seen to approach.
Receives Warning to Stop.
Splitter said that in the fall OF 1906 he
received a certain telephone message
which caused letting up IN the frauds.
He said he did not know who sent the
message, which warned him to be care
full of the wire springs as the govern
ment was watching the docks.
Splitter said that following the raid in
November, 1901 10y the government. he
was informed by Gerbracht that the
weighers and himself would be taken
care of.
charged what happenedY
Il paid them the same wages every
week at my home was the reply Of
splitter, who said that the money was
given him each week by Gcrbrncht.
who left it in q package ut his garage.
when did this money ceaseY'
"When | was sentenced last Febru-
ary," answered Splitter
Splitter said he knew Secretary IIeike.
but did not connect him in any way with
knowledge of the false weighing Cross
examination Of the witness was deferred
Prosecutor Stimson said Splitter be
came conscience stricken while in prison
and desired to tell all he knew of the al.