Evening star., 1922-03-23
ACCUSES BANKER
|NM|AM|DRY CASE
Federal Agent Testifies Clay
ton Wrote Agreement for
Sale of Liquor.
BY tho Aasnciated Presa,

| BY tho Associated Press.
MIAMI. Fla. March 23.-"Salvatore
Pacetta, a prohibition agent. was the
| first witness called today in the pre-
liminary hearing Of c. M. Clayton. MI
ami banker. arrested with twenty-five
others by prohibition agents working
in a campaign under direction Of L.
G. Mutt. of the prohibition commits
sioner's office.
W. ]. spillard, federal narcotic
agent, assisting in the liquor raids.
recounted in detail the alleged con-
spiracy involving Clayton and four
others in the bringing Into the coun-
from the Bahama Islands. When the
four attorneys for the defense took
the witness in cross-examination each
OF them compelled him to repeatedly
admit that he had misrepresented
himself and his business to the de-
against them. and that he had used
the governments money not only for
the purchase of liquor for evidence.
but for his own consumption and that
Of other prohibition agents.
Admits He Lied.
Spillard testified that he had told
| the alleged conspirators that he was
a bootlegger from New York and that
he was going to ship the liquor there.
| ernment's witness admitted that he
had lied. but justified his position by
saying he could not have secured the
| evidence otherwise, and that he and
I other agents frequently drank liquor
bought with the governments money,
| tors and make them think the pro-
! hibition agents were bootleggers.
| Spillard said that C. NJ Clayton, vice
| president Of the Miami National Bank
! wrote the agreement by which he was
| to purchase for $4,050 a cargo OF
liquor.
Clayton. with N. c. Phelps. T. N.
| Lewis, Foster Sloan and Mrs. G. o.
Harrison. co-defendants. was ar
raigned before United States Com
missioner j. N. Graham.
| Spillard said that he had been d.
could supply him with liquor in lar;>s
quantities. With two other govern
| ment agents and Lewis. Spillard said
he went to the bank. where they met
| Clayton. Clayton was told, Spiilaro
| testified. that the negotiations were
| liquor, whisky at $45 a case and gin
at $50. Upon settlement Of terms
Spillard testified Clayton wrote the
agreement and he (Spillard) turned
| over $500 to him to be held In escrow
! until the liquor was delivered. The
agreement was made out in four
copies, he said.
Liquor II Seized.
Spillard said Lewis and Phelps then
| arranged for the boat to bring the
| liquor into Miami from Nassau. 1t
| was to be taken to a vacant house on
the water front. When Spillard went
| to the house. he said, where Sloan
! and Mrs. Harrison were guarding the
liquor, he was accompanied by e. b.
| Henson, an official of the prohibition
looked over the liquor and were shown
! part Of it that had been set aside
| as Clayton's part for his assistance
in the deal, the witness testified. The
party then returned to the bank,
! where a clerk told them that Clay
ton would see them at his home.
While they went to the bankers home
to turn over the money in escrow to
Phelps. other government agents
! went to the vacant house and con-
! fisca:ted the liquor. Spillard said.
The government has about a dozen
witnesses to introduce, 1t was an
nounced.
The raiding squads are marking
time and the only other development
in the drive was the announcement
by Col. L. G. Mutt. head of the mar
cotio division Of the internal revenue
bureau, in personal charge here now.
that seizure Of more than 100000
worth Of liquor had been frustrated
because tips had gone forth He
gave no intimation as to what ac-
ton he would take against inform
ers or further raids