The Idaho Republican. [volume] (Blackfoot, Idaho) 1904-1932, 1923-11-01
FEDERAL COURT NEWS

POCATELLO, Idaho. IS. s..
Champlain and L. H. Lathrop,
named in an indictment returned by
the grand jury as officers of the
Northwestern Investment company
and charged with seven counts in
volving the use of the United States
mails in scheme of defraud in con-
! nection with a land sale at Black
foot, were found guilty of the seven
counts, the jury returning verdict
shortly after l o'clock Sunday after
noon, after twenty-four hours DELHI
Grafton. The case, which was tried
in the federal court all of last week,
was submitted to the jury Saturday
noon
George w. Clarke, also named in
the indictment as one of the agents
of the company, was found guilty Of
the first, third, fourth and seventh
counts, and not guilty of the second,
fifth and sixth counts. D. D. Burn
side, mentioned as one of the Of
ficers, was found not guilty of all
seven counts.
The Northwestern Investment
company case was one of the most
interesting which has been tried in
period, and each court session dur
ing the six days trial was attended
by many interested spectators.
While Harry r. Leech, ]. C. |
Davies, j. C. Bell and !. Davies,
mentioned in the indictment as
agents for the company, were also on
trial, they were dismissed during the
progress of the case when it was
found that they had no connection
with the alleged fraud.
Six of the counts of the indictment
charged the defendants with using
the mails to defraud in the further
ance of a land sale known as the
Yellowstone subdivision at Black
foot, while the seventh count
charged conspiracy
The case dates back to>the spring
and summer of 1920, when the
Investment company
entered into an agreement for the
purchase of a tract of land at Black
foot The subdivision was divided
into lots and sold to farmers in that
vicinity upon the representation that
would be made with
out delay and that 80 per cent of the
totes taken in payment for the lots
|
nance the improvements.
The government introduced testi
nony proving that the company was
nsolvent at the time the tract was
purchased, that no improvements
we're made and that no trust fund
vas cerated. Many of the govern
nent witnesses testified that they
7ere given to understand that their
or hut bof |
hey were sold as soon as their con-
racts were received at the Pocatello
ffice.
District Attorney Cole G.. Davis
nd Assistant District Attorney John
I. McEvers represented the govern
lent, while the defendants were
epresented by Attorneys j. H. Peter
IN, Jesse R. S. Bulge, Guy Bissell
Id j. M. Stephens
J. T. Carruth, formerly connected
18th the U. S. land office at Black
'ot, charged in an indictment re-
rned by the grand jury with en- r
,zzlement of government funds, en-
red plea of not guilty Saturday
ternoon before Federal Judge F. s.
etrich, and upon motion of the
strict attorney the case was con-
lued for the term.
Floyd Johnson, who entered
ca Of guilty during the present ses-
IN of the court to the charge Of
plating the national prohibition
t, was fined $500 and given three
)nths in the Bingham county jail
Blackfoot. A stay of execution
s granted until December 10 in
Ter that the defendant might har
IT his potato crop.
Charles Hoffner charged with a
uor violation, who also entered
a of guilty, was fined 5000 and
ltenced to three months in the
lgham county jail.