Bisbee daily review., 1916-11-12
German Who Calls Self Inter- national Spy, Tries to Ped dle Letters Purporting to Be Embarrassing.
 MAN ALSO HAS SECRET CODE USED BY GERMANY Arrest Brings Out Spicy Lot of Gossip About Various High Ones, and Some of an International Nature.
(ey Review Leased Wirel


 WASHINGTON, Nov. 11.-kari Graves, a seIf-styled in-
 ternational spy and magazine
 writer, was arrested here today
 by agents of the department of
 justice and charged with attempt
 ina to exort s3,00o from Countess
 ven 5ernstorff, wife of the Ger
 man ambassador, by threatening
 to publish letters alleged to con-
 tain matters showing her infirrni-
 ties and failings."
 HAS STATE SECRET TOO.
 Officials of the embassy also
 sllege that Graves had in his pos
 session what apparently were care
 ful code diplomatic dispatches
 from the German government to
 Count 8ernstorff. The prisoner
 told the federal agents he obtained
 all the documents from persons
 who smuggled them past the
 British censors on the steamship
 Oscar n.
 In a statement after his arraign- ment at which he entered a plea of not guilty, Graves asserted that he had no intention of blackmailing the count ess. that he objected to the use of the word blackmail. and that the papers he had in his possession were purely diplomatic in character.
 Becomes international.
 Much interest was aroused in official quarters at the indirect manner in which persons and officials in Ger many apparently are avoiding the British censorship in communicating with the German embassy here.
 The arrest of Graves furnished a dramatic conclusion to negotiations which had been in progress for a week between him and Prince Hatzfeldt. counsellor to the German embassy. Graves is said to have come to Wash ington last week and called at the embassy.
 World-Known As Spy.
 He was known there as the man who had published widely what he al legged to be important secrets of the German war office and the Hohenzol- erns. He has described as a member of the German secret service and late as an employe in foreign fields of the British office
 Embarrassing" Letters. Officials allege that upon entering the office of Prince Hatzfeldt he made it known that he had in his possession the papers which brought about his ar rest today. One letter on exhibition was to Countess von BernstOrff from her son. ali officer in the German army. He said. according to statements made by federal officials tonight. that he had other letters that would prove embarrassing" for the countess should they be published.
 The official dispatches were said to be useless to him for the reason that he would not decipher them. He is alleged to have asked for SS.000 in cash if he delivered the papers. He also is alleged to have asked Prince Hatzfeldt to prepare and sign state ment that the money had been paid for services rendered the German gov ernment.
 Wanted Hush Money. Embassy officials said Graves threat ened to turn over some of the docu- ments to White House officials If the 1000 were not forthcoming. Officials of the embassy were con vinced that the letters had been ob- tained in some manner from a conf dential messenger. whose identity still is undiscovered. Federal officers de clare Graves gave Prince Haltzfeldt a certain time within which he was to comply with his conditions. Caught Taking Money. Prince HaltZfeldt communicated with the district attorney of Washington and Graves left his office. Another meeting was arranged and Graves telegraphed from New York that he would present himself later in the day. Prince Haltzfeldt put s3.OO0 into an envelope. and with two agents of the department of justice went to his home here to await Graves. He failed to make his appearance. however. This morning Graves called at the embassy and requested an appoint. (Continued on Page Three.)