The New York herald., 1922-06-01
Banton to Search Rapidly for
Evidence Of Crime i'm
Brokerage.
OTHER SEIZURES LIKELY
Lesser Bankrupt Firms Must
Yield Accounts Under
U. S. Ruling.

A Grand Jury subpoena was issued
yesterday for the books Of the bank
rupt brokerage Of z. d. Dier Co.
District Attorney Banton said he also
would round up the books of other
alleged bucket shops.
The Dier subpoena duces tecum or
dered Manfred w. ELrich, receiver for
the concern, to produce the books to-
day before the Grand Jury. Mr.. Ban
ton then will start an immediate ex-
animation of the books to determine
il they contain any evidence Of crime.
Mr.. Enrich was quoted on Tuesday as
saying he did not wish the books 20 oe
taken out of his hands as the admins
tration of the estate required them. Mr.
Banton emphasized, however, that he de-
sired physical possession of the RECORDS
and expected to get them. He acded;
II intend to have the books in my
office and I hope ! shall not have 10
cause Mr.. Enrich any annoyance be-
cause of that. I do not wish to be
Obliged to send a staff Of assistant dis
trict attorneys down to the offices Of the
concern. at AZ New street. every day to
inspect the papers
whole Field Open to Banton.
Since the failure of the DER firm on
January II, with liabilities of $4,000
900 and assets of about 100000, the
books have been In the hands OF the re-
ceiver. During all this time District
Attorney Bantors -kas heen restrained
tt,l ~
ruling OF Judge Learned Hsnd In the
United States District Court On Mon
day the United States Supreme Court
released the books for inspection by the
prosecutirx officer.
Mr.. Banton explained that he pur-
posely has delayed any attempt at
seizure of the books of many other de-
faulting brokers pending the outcome
Of the fight over the Dier records. But
with the action of the Supreme Court
as a precedent he now intends taking
full advantage of his powers.
AS Mr.. Banton won his point in the
Dier case OH the contention that when
the books were turned over 20 the re-
ceiver there was no stipulation that the
Arm reserved it's constitutional right
not to furnish them to a prosecuting
officer. he can apply the decision to
numerous lesser bankruptcies in which
the firms failed to make this stipulation.
Mr.. Banton said he intended to push
bucket shop cases 20 trial, at the same
time making a general drive against
bucketeers similar to the recent concen-
trated attack on crimes Of violence.
Ruskay Case Another Bar.
There are some cases, however. which
do not coincide with that Of Dier & Co..
and which may have to be held In abey-
ance until the test case or 5. 5. Ruskay
& Co. has been acted on by the courts.
When this firm failed its counsel
claimed its constitutional rights, but the
District Attorney Is attempting TO over
throw this contention. A special mas
ter has reported against the District
Attorney and the latter Is waiting until
Judge Hand takes action on this report
IL that, too, Is In favor of the other
side he will appeal the case to the Su-
preme Court.
BENJAMIN +. Schreiber, Assistant Dis
trict Attorney. who has been working
almost exclusively for several months
on bucket shop complaints, VIII be In
charge OF the examination OF the DER
books. AS many other assistants as are
necessary will be assigned to the task.
There have been numerous complaints
against the DER concern.
The subpoena was served by John
Markey. investigator OH the District At
torney's staff, and commanded the re-
ceivcr to take TO the District Attorneys 8
office all '1edgers, blotters. cash and
check books, bank deposit books, stock
record books and all other routine books
of the firm OF Il. ID. DER Co." The
penalty for failure TO comply with the
order is a fine OF $3.50 and imprison-
ment for thirty days for criminal con-