The New York herald., 1921-02-15
j. S. JURY CHARGES
FRAUD BY COAL MEN
Wholesale Trade Association
Secretary and Washington
Lawyer Are Indicted.

An indictment charging Gibbs Baker.
nj ointment lawyer of Washington, D.
c.. and Charles S. Allen. secretary OF
the Wholesale Coal Trade Association
of 90 West street. with entering into a
scheme to defraud and conspiring to
use the mails to defraud. was returned
Yesterday by the Federal Grand Jury
in the United States District Court.
The men are charged with having OBJ
tanned s12.5O0 from several coal COM
panies and dealers of this city, by false
ly representing themselves as friends OF
Department of Justice officials. whom
they could influence to squelch indict-
ments that might be returned against
them Soon after the indictment was
returned, the defendants were arraigned
before Judge w. Fl. s. Thompson and
held in $4,000 bail each. They pleaded
not guilty
According to the Indictment. which
contained six counts. Baker represented
himself as being well acquainted with
William NJ. Speer. assistant to the
United States Attorney General. and
other officials whose names were said to
be unknown. 1T charges that Baker
inforced several coal dealers in this city
that the names OF their companies were
on a list kept by Mr.. Speer, and that
they were to be indicted and prosecuted
for alleged violation of the Lever Act
and other United States statutes
According to the indictment. the first
money collected by the defendants was
on August ., 1920, when they sent for
William +. Coale of Ccale & Co of
i49 Broadway and requested that he
meet them in the Old Colony Club in
the Hotel Biltmore. He did So and
after meeting paid Mr.. Baker a check
on Coale & Co. for 81 600. which after
ward. the indictment alleges. was in
dorsed and cashed by the defendants
on August 3. 1920. the defendants OBJ
talned a check for 81 900 from j. Ayers
of shawnee Fuel Company, Inc, Of 90
West street. which later was indorsed
and cashed, according to the indict-
ment.
Between that date and September 90.
1920. the defendants obtained checks
/ from five coal dealers under false pre-
lenses. according to the indictment.
I Those said to have paid the defendants
/ for protection" and the amounts are
! h. J. Lynch & Co. $500; Dixie Trans
portation Company. $1,000 w. II. Brad
/ ford & Co. 81 900 and H. p. Wood. two
checks for $4,000 each.
What the Government attorneys claim
as the most important link of evidence
I'm the indictment are two letters, one
alleged to have been written on Oc-
tober rs. 1920. to William +. Coale by
Mr.. Baker, in which a bill for $500
for alleged services was enclosed. The
Services" according TO the letter, was
the promise that Baker would intro
duce a Mr.. Curtis, said to be attorney
for Coale G. Co. TO Mr.. Speer The
second letter was written on Novem
Der 2. 1920. by Mr. Allen TO w. II. Brad
ford & Co. asking 5000 for services
during investigation by Interstate Com
merce Commission regarding shipment
Of coal 10 the account of the Brooklyr
Edison Company
The Indictment of Baker and Allci
resulted from an investigation and evi
dence submitted by Arnin W. Rile,
and Frank j. Gregg OF Syracuse, spe
ciaI assistants to the Attorney-General
Allen and Baker. In a statemer
issued last night. denied tho allegation
in the Indictment. and said;
Certain coal dealers under indict
ment have apparently induced Mr.. Rile.
TO befrlend them and call them befor
the Grand Jury to aid them with
backfire Obviously the men who hav'
been indicted for their evil practice
are only too glad to find a special AS
sistsnt Attorney General to take thei
part and indict US as smoke screen.