Norwich bulletin., 1918-07-09
New York Evening
 Mail Enemy Property
DISCLOSURE MADE BY ARREST OF
  DIR. EDWARD A. RUMELY
s1,sel,ooo IS INVOLVED
It Is Charged That RumeIy in Purchase of the Newspaper Acted in Behalf of the Imperial German Government.

Rumely, vice president and treasurer | of the Mail and Express company, pub fisher of the New York Evening Mail l was arrested here tonight in the office l of Attorney General Lewis, charged | with perjury in a report to A. Mitchell | Palmer, alien property custodian.
 The warrant was issued by a federal 1 commissioner upon the complaint of Attorney General Lewis. who had been conducting all investigation for some time into the affairs of the Mail.
 Acted for German Government.
 The attorney general charged that Rumely purchased the stock of the Mail and Express company in June, 1915, from Henry L. Stoddard and that in doing so he acted on behalf of the imperial German government.
 The complaint against Dr. Rumely charges that in making a report to the alien property custodian regarding the transaction he failed to disclose his relation with Count Non Bernstorff, German ambassador to the United | States, and Dr. Heinrich F. Albert, commercial attache of the German embassy.
 Payments Were Concealed. The attorney general charges that the German government paid to l Rumely, in several transactions con nected with the purchase of the Mail, | Fl 361, 900. The payments, it was al l legged, were concealed until their de- 1 tails were discovered by investigators l for the department of justice and the New York state attorney general.
 In an announcement tonight of the arrest of Dr. Rumely. Attorney Gen l hot i was paid to Rumely from deposits of the German government standing in the name of Dr. Albert, or of Albert and Von Bernstorf, jointly, in this city. The total so far traced, he add
 ed, is $1,361 ,000.
 The transfers of money, MT. Lewis said. were concealed in this manner:
 How Transfers Were Concealed.
 Albert procured various banks where the German government had ac- counts to issue cashiers checks to the order Of one Walter Lyon, a mem Der of the former Wall street firm of
 Rensworf, Lyon & company This 3I. firm, in turn, paid the money over to ] paper -eoEhafation, which had been or
 ganized by Rumely for the purpose of
 the transaction. In some cases, Albert I drew the money in cash and delivered
 it to the attorneys of the embassy
 Messrs. Hays, Kaufman & Lindheim
 who took the cash to Rensworf. Lyon
 & company. They in turn made pay E ments to Rumely. In one transaction
 900 in bills was handled in this l manner Rumely then drew his notes to the order of Walter Lyon coverins
 the transfers in money, and pledged l stock in the s. s. Mcclure Newspaper corporation to secure the loans. Concealed Relations With Won Bern
 storff
 "Dr. Rumely, in his report to the alien property custodian, made no dis
 closure of his relations with Albert ol
 Von Bernstorff or the imperial Ger man government. Instead, he report
 ed that he owed $1O0.OOO to Hermann ! Sielcken, now deceased, upon a note . and he also reported that the note
 which he had given Renskorf Lyon ( : company, accompanied by pledge O
 the stock Of the s. s. Mcclure News : paper corporation, had been surren 1 dered to him in exchange for tn
 S100,000 note in September. 1917. II ; other words. by giving his note fo
 $1O0,0O0 he had obtained a return o notes agsregating in excess of $1,
 S00,00G and stock representing a con
 trolling interest in the Evening Mai : Made False Statements. if 'Rumely has claimed recently tha k it was Sielcken who put up the none
 III the transaction. Previously. h
 had stated Mrs. Busch had contribute 6 10 the fund. Mrs. Busch, however, de
 nies it and the Columbia Trust com
 pany, eXecutor of Hermann Sielcker
 as well as MT. Sielcken's partners i d the firm of Crossman and Sielcker
 state that so far as they know, Nil
 Sielcken had nothing to do with tn l.. transaction.
 e Dr. RUme1y's interests were varieC l. for besides being engaged in tn n newspaper business, he was secretar ,- ot the M. Rumely Company of Laport a Ind, which manufactured agriculture . implements and, as founder of the In 's terlaken school. of which he is. presi l., dent, has written several books em d bodying novel ideas on education; n matters.
 ,- Moreover, after having attended tn n University of Notre Dame and tn F University of Heidelberg, he studio ia at the University of Freibure which i 70 1908 granted him the degree of docte 10 If medicine.
 - Attorney General Lewis declare
 that Mrs Busch, referred to in h
 statement, was Mrs Adolphus Busc
 widow of the St Louis brewer, wh
 was questioned recently by goverr
 ment officials upon her return fro Germany.
 Y Committed to the Tonbs. in Dr. Rumely was committed to u in Tombs by United States Commission 30 CT Hitchcock. Bail will be fixed tC y morrow morning,
 l. Although the attorney general on statement termed Dr. Rumely 'vit m president and treasurer of the Ma V and Express Company" the newsp; IS pers editorial page shows him to ne vice president and secretary. Ie, Statement by Attorney General CT In q statement issued late tonis .,l ,l Assistant State Attorney Gener ,k' Becker said:
 II The entire amount which went in Il the purchase of the Evening Mail w o derived from the sale of German w es bonds in this country. and Americ; a a citizens furnished the money to a L. quire the paper which was 10 be us
 for the purpose of carrying on Ge
 man propaganda
 es While the deal was made with H he " l.. Stoddard for tf.e paper. there of ro evidence that Mir. Stoddard kne ,n. it was German nonsy Nr. Stodda 73. retired from the management of | ]. paper and still holds nest Of the ou ic, standing bonds. When the Unit rs States declared war against German 2 EMr Stnddard threa tened to foraoIo