The Birmingham age-herald., 1918-07-09
Edward A. Rumely Found to Be Acting for the German Imperial
 Government
BERLIN SAID TO HAVE FURNISHED $1,316,000
 TO PURCHASE PAPER
Bondholders Take Charge of Property and Say Pub licatiOn Will Be AbsO-
 lutely American

New York, July S.---Edwnrd A. Rune Iy. vice president and treasurer of the Mail ard Express company, publisher of the New York Evening Mail. was arrested here tonight In the office of perjury in . report to A. Mitchell Pal mer. alien property custodian.
 The complaint against Dr. Rumely charged that in making . report to the alien property custodian regarding the transacticn. he failed to disclose his relation with Count Von Bernstorff, t:efmnr ambasaadsr 10 the pHitex states. and Dr. Heinrich F. Albert, conmereial attache of the German cui- bassy.
 The attorney general charged that the German government paid to Rune- iy in several transactions connected with the purchase of the Mail $1,316,- OOO. The payments. it was alleged, were concealed until their details were dis covered ny investigators for the de- partment of justice md the New York state attorney general.
 The warrant was signed by a federal
 
 Attorney General Lewis. who had been conducting an investigation for son,c- time into the affairs of the Mail.
 The attorney general charged that Humely purchased the stock of the Mall and Express company in June, 1915. from Henry l.. stoddard. and thnt in doing so he acted on behalf of the imperial German government.
 OFFICIAL STATEMENT
 In an announcement tonight Of the arrest of Dr. Rumely. Attorney General Lewis declafed the money was paid to Rumely iron, deposits of the German government standing in the name of Dr. Albert, or of Albert and Von BernstorT jointly, in this city. The total so far traced, he added is 31, ,361, ,O00. The trans fers of money, MT Lewis said. were con- cealed in this manner:
 Albert procured various banks where the German government had accounts to issue cashiers checks to the order ot one Walker Lyon, member of the foe- mer Wall street firm of Renskorf. Lyon & Co. This firm in turn paid the money over to Rumely or to the S. S. Mcclure Newspaper corporation, which had been organized by Rumely for the purpose or the transaction.
 Tn some cases Albert drew the money in cash and delivered it to the attor- neys Of the embassy, Hays, Kaufma n n X Lindheim, who took the cash to Rens- korf Lyon X Co. They in turn made payments 10 Rumely. In one transac- tion, 75,c00 in bills was handled in this manner. Rumely then drew his nores to the order of Walter Lyon, covering the transfers in money and pledged stock in the s. s. Mcclure Newspaper corpora tion to secure the loans
 ..Dr Rtlrnely in his reDort tn fhn alian , property custodian made no disclosure of his relations with Albert or Won Berns- tortf, the imperial German govern ment. Instead, he reported that he owed 900 to Hermann Sielcken. now de- ceased. upon note. and he also reported that the notes which he had given Renokorf, Lyon X Co. accompanied py , a pledge of the stock of the s. s. Me Clure Newspaper corporation, had been surrendered to him in exchange for the slOo,ooO note in September. 1917. In other words. by giving his note for s100, 900. he had obtained return of notes aggregaf- | ing in excess of $l,361, ,O00 and stock rep resenting controlling interest in the Evening Mail
 "Rumely has claimed recently that it was Sielcken who put up the money in the transaction. Previously he had stated Mrs. Busch had contributed to the [ and the Columbia Trust company. execu- 1 tor of Hermann Sieicken. as well as MT, Sielckens partners in the firm of Cross man &. Sielcken, state that so far as they knew, MT. S;ecken had nothing to dc with the trapsaction."
 :, Attorney General Lewis declared that Mrs Buscn. referred to in his statement. was Mrs A6olphus Busch. widow of th' l St Louis Brewer. who was questioned
 recently by government officials upon ! her return from Germany.
 l pr. Rmely's interests were varied. for. besides being engaged in the newspa per business. he was secretary Of the M. l Rumely company, of La Porte. Ina, which manufactured agricultural imple- ments and as founder of the lnterlaken school Of which he is president, has written several books. embodying novel ideas on educational matters.
 l Moreover, after having attended thf l li-niversity of Notre Dame and the Uni versity of Heidleherg, he studied at 'ite | University of Freiburg, which in lst
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