The times dispatch. [volume] (Richmond, Va.) 1903-1914, 1912-04-13
Federal Jury Return S
Verdict Against Broad
Rock Distillery.
MAY CONFISCATE
EN- TIRE PLAN T
Argument on Motion to Set
Aside Verdict Will Be Heard
Next Week-Appeal Ger
tain if Request by De-
Tense Is Dcnied-Try
Owners Next.


suficed yesterday for the jury in the
case OF the United States against the
Broad Rock Distilling Company. 10
return verdict for the governments.
Argument ny counsel for the nrosccu-
ton and defense began shortly after
court convened at 1880 O'Clock, CON
tinuiny with a short intcrmiasion for
luncheon until 800 o'clock. Twenty
minutes later the foreman reported
the finding Of the jury against the
indicted company.
ii this action tie United states
WAS proceeding IN rem against the
Broad Rock Distilling Company. In
corporstcd. OF Chesterfield county. on
the charge that It carried on illegally
the business OF dlstlllcrs. that Il vio-
lated the internal revenue laws by
cvading the tax on part OF the spirits
It manufactured. and that II gave "A
fraudulent bond. Tho verdict of the
jury gives tho government the right
10 coniisca.e the entire property Of
the company. valued at several thou
sand dollars. Aside from this
feature OF the case tho outcome will
have an important bearing upon the
prosecution OF the owners and en-
rioyes of the distiilcry, which will
begin to-day or Monday.
MUves Ia Set Aside Verdict.
Immediately upon the announcement
of the verdict. Attorney George y.
lIanaon. for the dcfcnsc moved that
81 be set aside In making the mo-
ton he assigned numerous instances
ar error, which VIII be rrgucd before
Judge Wadd,i next Week l'nicss ,hc
verdict OF the jury IS sc, aslde--which
seems extremely uniiicly-tic case
VIII be taken by the defense to the
Circuit Court OF Appeals.
As chief ground for MS motion TO
Ji.y 10. 4
that the court was without iurisIic-
tion 10 entertain tho proceedings In
tho present form, because, although
the collector Is not empowered To seize
real estate, tho action was founded
upon such seizure. Under the statute,
I'm conformity with which the case was
brought. he declared further, conyic-
tlon must first be had upon present
ment and indictment, ard proceedings
In rem can only be had as supplement
tai TO proceedings TO previous convic-
ton.
The verdict was contrary TO law and
evidence. he avcrre6. In that the court
proceeded on the assumption that this
was Il civil case and instructed that "A
verdict may be had on the prepond-
GRANGE of testimony. when instructions
should have been given. AS In criminal
eases. that the jury must be satisfied
beyond all reasonable doubt.
Victory for Governments.
Tho conviction of the indicted dis
tiilery was tho subjec; of much com
ment in revenue circles and was look
al upon generally as n vindication Of
tho Revenue Department which. in
both the action Just ended and in the
Trial OF Orcn r. Burroughe. was scath
ingly arraigncd as to its methods, by
attorneys for the defense. The case
against the indicted government store
Il cd ..S-t a ,srf..
almost identical with that which hg-
ured in the action against the distill-
ing company, but the burroughs jury
could not arrive at unanimous agree
1nent. and a mistriai was ordered.
The testimony recorded IN tho in rem
proceedings just closed viii be heard
anew next week in the trial of the
owners of tn, Broad Rock pistilling
Company, against whom three indict-
ments have been filed charging fraud
key. illegal operation or rectifying and
distiliins plants. and bribery.
Gilmore tho scnpcEont.
Ethelbcrt Gilmore and his little pur-
ple.covered notebook formed the storm
centre OF ycsterday's arSument The
former bookkeeper OF the distillery
and his discriminating records to proye
dts case, and the defense ben, as every
effort to blackcn his character ana to
impugn his testimony.
Assistant Distric, At,orncy robert
II Talley. opening for the govern
ment, called attention TO the signi1-
cant agreement between the statcinsn.
of the bank III which the checks III.
moro received from Rhca were de-
posted, and the record or these pay
except In two instances. h. said, were
identical to n cent. This was official
and unquestioned corrobora lion, he
thought, Of Elmorc's evidence as
shown In the notebook. ana ono of
the strongest indicasioIe OF guilt
Tho lawyer introduced figures 10
show that ii 1t ne true that the dis
tillery. was legally operated. 1T must
OF more than $500 PER month At IN.
regulation profit of 81 cents on the
gallon. that much money. he said. rep
total profit from sales and the regular
monthly expense. taking as a basis of
calculation tho reports turned in by
the company TO tho revenue depart
sny'x $4,000 Was stolen.
with such state of affairs. assert
sd MT; Talley; there existed abundant
said, and Ills was done by b brihine ne a
government officer to connivc, against
tho government which gave him en-
ployment. More than $4,000, he as
serted. was stolen by the defendant
company in tho two months of No
vember and December, 1911
Attorney Hanson. presenting the case
for the defense. kept zip running fra
upon government witness IGlmore. the
character of his testimony, and its
Significance. lie denounced the revc-
rue department roundly for the ques-
tionablc methods il employed In secur-
ing I3lmorc's testimony
"Three parties" he said. ''nre virtual
~ under Indictment. Tho United
States government for giving employ
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