Evening star., 1918-07-09
NEW YORK MAIL
OWNED BY HUNS
Dr.. Edward A. RumeIy, the
Publisher, Arrested on
U. S. Warrant.
Won BERNsT0RFF IN DEAL

checking of financial transactions. in
ternational in scope. by which. 1t Is
alleged, the New York Evening Mail
became the property of the imperial
German government. state and federal
authorities caused the arrest late yes
terday Of Dr. Edward A. Rumely. vice
president and publisher.
Assertions that DR.. Runely placed
all his records at the disposal OF the
Department of Justice during per-
sonal visits to Warrington led to bail
being hxed at $4,000 instead OF 800, j.
900 as originally asked by federal
counsel when DR.: Rumely was ar
raigned today before United States
of perjury.
Hearing in the case involving all
legations by the government that the
Mail 10 owned by the German Ina
perial government was deferred Tor
two weeks.
Basis Of Perjury Charge.
terday after a lengthy Investigation
arising out of an examination Of the
records seized in this country from
Hugo Schmidt. who was Germany's
flscal agent in America: He had
property custodian. that the Mail was
American owned. whereas inquiry by
federal and state officials has dis
closed. according to the investigators.
that German money purchased the
newspaper and paid for its publtca-
ton.
DR.. Rumely. brought to the federal
building from the Tombs. objected.
through his counsel, Frederick ]. Pow
ell. to the higher amount of bail asked
by Harold Harper. federal assistant
-. ia AAA unf1 hA q
fendant was a man Of large resources.
handling considerable money for the
Mail and having pledged his personal
finances on the Mails notes. and was
a man Of high reputation"
During the period of investigation.
counsel said, DR.. Rumely supplied gov
ernmsnt agents with all the informa-
tion in his possession. placing copies
Of all his papers before the investi-
gators and otherwise cooperating.
Mr.. Harper. in asking for $4,000
bail alluded to recent case of fed
eral prisoner who fed from the courts
Jurisdiction after small bond had been
fixed. It was assumed the counsel had
jeremiah O'Leary in mind. After con-
sultation with DR.. Rumely's attorney.
however, Mr.. Harper informed Com
missioner Hitchcock he had no desire
would be unable to furnish and con-
sented to the smaller bond.
Rumely Issues Statement.
While waiting for his bail to be
furnished DR.. Rume1y made a state
ment to newspaper men, in which he
asserted that the Nails editorial poll
CITES, controlled wholly by himself.
had been squarely behind the govern
ment, and that his return made to the
enemy property custodian would be
found to be truthful in every respect.
DR.. Rumely declined to discuss his as
sociations with former Ambassa-
dor Won Bernstorn and DR.. Heinrich
Albert, through whom the Mail is al
legged to have been financed, but ad-
in this connection within twenty-fouI
hours Regarding the Mails war pol
icies, he said:
"They have been under my absolute
and sole control The paper, the edi-
torial page in particular. has been
lio questions, uninhuenced by any con-
sideration other than my own judr,
ment OF what was the right thinR tc
do from the standpoint OF Americas
interest
'Ths Mail has backed up every va.
activity OF the government to tn:
q work second to no other paper IN
developing policies for tho edicisnt
Organization Of our country's fofeea
necessary to the war.
MY return to the alien propePtJ
custodian regarding the notes which
am convinced, when all the facts ars
svailable. be found truthful in every
Dr. Rumsly said he would not nov
snter into any controversy" with
Henry !. stoddard, president Of ths
Mail and Express Company. Mr.. Stod.
dard said last night that he told DR.
| the war. that unless the Mail was az.
Gressively loyal the bonds on th&
| property held by Mr.. Stoddard ant
| hiA friends would be foreclosed q
their maturity on October /. 1917.
echraidts Books Gave Clue.
The ffst suspicion that GermAI
money paid for the Mall, It 10 said
came through an examination by fed
sral authorities Of the books OF Hug<
Schmidt the German fiscal agent u
The money. amounting to t1,sei. .ooe
used In this transaction. which A.
| torney General Lewis said has been
carefully traced and checked mp, VA
obtained in this country through tAs
sale Of German war loans.
The documents IN the cd9ep ASkQts
nsy General Lewis stated. indicate
that Rumsly purchassd the stock Of
the Mall and Exprsss Company from
Henry L. Stoddard In June, 1915, ths
moaey paid to Rumely being drawu
frona deposits Of the German govern.
ment at various banks in the city e1
New York, these accounts standing IN
the name OF Bernstorff. the former
ambassador Of Germany at Washing.
ton, and Of DR.. Heinrich Albert, Wde
was known, believe, AZ the CONNER
cial attache Of the embassy. The
msasy ss.s :, xss dssxH srs" . tAS !e;at 20