Omaha daily bee., 1910-03-04
Moonshiners in Chicago Had 0rgani-
cation to Maintain Prices.
RATE CUTTER IS sLUGGED
Association Refused to Reimburse
Witness Who Paid Thug.
MOXLEY's NAME MENTIONED
Congressman from sixth Illinois Dis
trict ana Other Prominent Makers
Are Mentioned In the
Testimony.

CHICAGO, March 3.-Federal grand fury
investigation Of the oleomargarine industry
! in this city was ordered by Judge X NJ
Lands in the United States district court
late this afternoon, after the court had
listened to testimony given by three men
who had pleaded guilty to charges Of
violating the internal revenue law relating
to the colorlng of oleomargarine. The
name Of William ]. Moxley, congressman
from the Sixth Illinois district as well as
those Of other prominent manufacturers Of
the product figured in the hearing
The testimony upon this action was based
was given by Samuel Driesbach, Daniel
Bortz and William Broadwell, dealers in
oleomargarine in this city. Broadwen was
sentenced to six years in the federal prison
at Fort Leavenworth and fined $4,000 by
Judge Lands on Monday, but after hearing
the story OF the three men, the court dI-
rected United States Marshal Hoy not to
execute the sentence until further notice
The sentence Of Driesbach and Bortz was
deferred.
-Four Thousand Pounds a Day.
Broadwell, who gave the most startling
testimony, appeared as a witness on his
own account and acknowledged that he
did so without any hope of leniency. He
NSiN OleOUnaFEaTlnG
from manufacturers, who, he said, furnished
him with the coloring, and of his selling
the Illegally colored product to restaurant
keepers, hospitals and hotels More than
half of the total output of the oleomargar-
inc factories in Chicago is sold to moon
sinners" according to the testimony Of
Broadwell.
Pays for SIugGlng.
Samuel DriaeharI, cola A.
tail the course pursued by him and others
in mixing and selling oleomargarine. He
declared that in 1906 he mixed oleomargar-
Inc in different places on the west side OF
this city, principally in barns. He said that
he went under the name OF Jersey Creamery
company and mixed about ten tubs a day
At one point In the story he told of be-
ing in q barn mixing the product when the
place was raided and he escaped by means
OF a secret stairway which had ben built
Tor that emergency. Driesbach said that
the oleomargarine "moonshlners'' had an
organization 10 maintain high prices and
that one of the members had been
siugged' because he cut prices. The wit.
ness complained that he had paid the
sluggers and had not been able to get ne
Endorsements from the "moonshiners'' as
ISOLATION.
The witness declared that in the last wear
he had assisted in disposing Of about 1000
pounds of unlawfully colored oIeomargarlne
6aily.
DOdginE Revenue Collectors,
William Broadwell, who gave the most
important testimony, occupied the stand
during the afternon session. After telling
how he happened to get into the business
OF coloring oleomargarine, witness de-
scribed methods used to dodge" revenue
collectors" At one time he said he had
fifteen tubs of oleomargarine stored at
the Moxley plant and when the revenue
collector made raid of his place he had
the stuff shifted around from place to
place.
The witness said he was president Of the
Association Of "Oleomargarine Moonshin- !
ers," which was organized in 1907. The Or
ganization kept books concerning their
dealings, but finally the members decided |
TO have the books burned
Broadwell testified an employe of the |
Moxley concern showed him how to use the |
coloring
IL Is expected the grand jury investiga-
tion will begin on Monday.