The times dispatch. [volume] (Richmond, Va.) 1903-1914, 1913-02-14
Broad Rock Men Denied
Relief by Court of
Appeals.
REMOVE CASE TO
SUPREME COURT
c. B. Wood, ]. M. Rhea and
L. w. Williams May APP
peal to Highest Tribunal
to Escape Fine and
Long Prison Term
in Atlanta.

NJ. Ithca and Luther w. Williams. en-
ploycs, OF tho dcfunct Broad Rock Dis
iiilin;; Company, of Chesterfield Coun-
ty. lost six months fight for liberty
yesterday, when the United States
Circuit Court OF Appeals affirmed the
action OF the District Court in Rich
mond. Imposing upon the men fines
and prison sentences for violations Of
the Federal internal revenue laws.
Sentence WAS pronounced upon the
defendants by Judge Edmund waddin
Jr.. on July l3. 1912 Wood and Ithca
were fined $500 each and given
eighteen months in the Federal prison
at Atlanta. The same fine was i'm
posed upon Williams but his prison
sentence was made only twelve
months SIX months to a day after
sentence was pronounced by Judge
Waddin. the Circuit Court OF Appeals
yesterday, in an opinion written by
Judge Rose. affirmed the action Of
the lower court.
Attorney George a Hanson. OF
counsel for the defense. said yester-
day. that while he had had no opportu-
nifty 10 discuss the matter with his
clients, IL was probable that the de-
fcrse will file a petition for a re-
herring Failing this. he said, the
case will be appealed to the Supreme
Court of the United States.
Case Wns Big Sensation.
Many elements combined to make the
Eroad Rock DlstillinE Company case
the most sensational ever tried in the
Eastern revenue district of Virginia.
The prosecution uncovered an extern
sivc system Of bribery. Involving in it's
meshes the owner OF the distillcry. Its
bookkccpcr. and the trusted agent OF
the government who was stationed at
the plant in the capacity of storekecp-
cr gnugcr
ON April 3, 1912. the grand jury in
the District Court returned n true
hin charging Wood. Rhca. williams
and several others who were later eN-
onerated. In sixteen counts with grave
violations OF the revenue laws On
June II, 1912. a jury found the defend
ants guilty on the first and sixteenth
counts. and on July IL Judge Waddill
pronounced sentence.
The first count upon which the CON
viction was secured charged that
I Wood Rhea and Williams unla wfulIy
carried OH the business of dstilling
with intent 20 dcfraud the United
states of the tax on part of the spirits
distilled by them. The other charged
that the defendants made false entries
in the books required to be kept by
the revenue department. understat-
ing the amount of grain consumed b.
the distillcry. we'll as the amount
of spirits il manufactured.
bribrd Government Gauger.
In the trial Of the case the govern
mcnt introduced Ethelbert Elmore
bookkeeper Of the distillcry. who pre-
sented in evidence a private notebook
containing a record OF Illicit transac-
tions claimed to have been carried on
by order of Wood. with Oren r. Bur-
roughs, the government storckeeper
gauScr. According 10 Elmore. he paid
To burroughs So for every barrel OF
spirits the latter permitted TO go by
untaXpaid.
The same witness told the court that
he was given authority by Wood to
pay 81 for each barrel OF contraband
whiskey to l.. w. Williams. who was
employed at the distilIery as beer
runner. The notebook he introduced
the output of the plant. Opposite a
number Of entries was the capital
letter B-said by Elmore 10 indicate
block liquor passed by Burroughs
and Williams under the bribery ar
ransement. The notebook also i,npli-
Gated Rhea. who was general man
ager of the distillery
oren T. Burroughs, the government
Gauger. was brought to trial. and was
defended by .. Lawrence Groner, of
Norfolk. now United States District
( Attorney. He denied in toto Elmorc's
| charges. The case resulted in mis-
trial. and is stu on the criminal
docket
Not Twice In Jeopardy.
Prior 10 the prosecution OF Wood
Rhea and Williams. the government
| following in rem proceedings. had Sc
cured verdict against the Broad Rock
l)istillinS Company. Inc. on the same
general charges that were later pre-
ferred against the principals Under
this verdict the local revenue office
contiscated the Broad Rock plant and
sold il at auction.
unon this circumstance Wood filed a
special appeal to the Circuit Court,
claiming that as sole owner of the
broad Rock Distillng Company ne had
already been punished by the forfeiture
OF his property. and that to proceed
against him personally violated the
constitutional inhibition against plac-
ing II person in jeopardy twice for the
same offense. The opinion YESTERDAY
denies the appeal In this language:
! IF man for his own convenience
| chooses to conduct any business
through corpocatIon, he is estopped
! Continued on Eleventh PageD