Arizona republican., 1919-12-07
MOTOR HEAD
GU|[TY--OTHERs
ARE ACQU|T TED
President Pandolfo Is Con
victed On 4 of IL Counts
Charging Use Of The
Mails To Defraud-12 AS
sociates Are Exonerated
By Federal Jury
TRepubIican A. p. Leased WIreJ


CHICAGO, Dec. 6.-S. c. Pandolfo,
convicted today in federal district
court on a charge of using the mails to
defraud in the promotion of the Pan
Motor company of st. Cloud, Mimi,
through his attorney filed a motion for
a new trial and hearing was set for 10
o'clock December Is. His II associates
were acquitted.
Pandolfo. president of the company,
was convicted on of the II counts re-
turned against him by the grand jlny.
Two counts were dismissed early in the
trial Il guess it might have been
worse" was Pandolfo's first comment.
The counts on which he was found
guilty were the first, second, third aid
fifth
Pandolfo was the promoter of tie
company of which he became president
and fiscal agent The other officials
who were acquitted are:
Charles S. Schwab, Peter Thielman,
G. E. Hanscomb, bankers; Hugh Evans,
wholesale grocer; Fl. c. Erwin, j. r.
Miller, Fred Schilplin, publisher;
Charles S. Bunnell, real estate dealer,
all directors; Charles f. Lardner. vice
president John Barritt, secretary, all
of St Cloud; Norman A. Street and
George Heideman. Chicago patent at
torneys, and H. S. WigIe of Spokane
Wash, former vice. president and
chief stock salesman of the company.
The men were indicted on II counts
10 of which charged misuse of the
United States mails and the eleventh
alleging conspiracy to use the mails tc
defraud. The court had instructed the
| jury to disregard the first five counts
against Schwab, Thielman. Hanscomb
Evans, Erwin, Schilplin, Bunnell ant
/ Lardner
/ The jury reached the decision aftel
I celebrating for II hours.
In dismissing the jury, Judge Landi:
expressed his appreciation for theil
! services.
Worn by the long triad, some of tn,
! defendants wept when the verdict o
mot guilty. was announced.
I'm glad you fellows got off, saiC
Pandolfo.
Pandolfo will be under his old bono
of $4,000 untiis the hearing of Decem
Der 10. The counts on which he wa,
found guilty are all concerning acts il
violation of the mail laws and he wa
found not guilty with the other de
PENDANTS on the conspiracy charge.
THE problem now is to handle tn
Pan plant in the best way to make
success of it, the ST. Cloud directors o
the corporation declared.
Defendants who had been acquitte
shook hands with Benjamin Epstein
assistant United States district attor
ney, and declared that his prosecution
had been a fair one.
Organization of the Pan Motor com
pany of st. Cloud, Mimi. began in Ney
Mexico in 1916 when S. C. Pandolfc
who had been in the insurance bust
ness in New Mexico md Texas, decide
to build up an automobile corporation
He sold some stock in the southwes
came to Chicago, incorporated early i
1917, and decided to build the plant q
st. Cloud. He secured eight bushes
men for his board of directors and sol
much stock of the new company a
over the western half of the countr,
using the money above commission /
, build a plant and to promote and ad
! vertise the company.
1t is in these stock selling opera
tions that he and his associates ra
, afoul of the United States postal law
The prosecution charged he took
, per cent commissions.