Evening star., 1923-09-30
Special Dispatch to The Star.

Special Dispatch to The Star.
INDIANAPOLIS, Ind, September 29.'
An unprecedented political situa-
tion exists in Indiana as republican
leaders, ranging from cabinet offi-
GER on down the scale, prepared to
enter a meeting Of the state COM
mittee tomorrow, the result OF which
may be a demand on Gov. Warren T.
McCray to resign because of compli-
cations arising from his recent finan-
cial collapse.
Coincidental with the gathering or
the state committeeman. the Marion
grand Jury will be placed at the dis
posal OF representatives of the Marion.
Ind, National Bank, who have asked
permission to testify relative TO NC
Crays financial operations with that
institution. James A. Collins. judge
OF the Marion county criminal court
expects to name Charles w. Moores.
United States commissioner, a special
prosecutor to conduct the examina-
ton into McCray's affairs because the
prosecutor, William p. Evans. is a
son-in-law of the governor.
How extensive the grand jury probe
will be depends on the situation as it
develops Monday. Indications now
are, however. that 1t may include all
of the governors financial dealings.
In that case the investigation would
last for weeks. il is said.
1t is almost impossible to forecast
the action of the state committee, but
those well informed are of the opin-
ion that 1t will either result in
straight-out demand for McCray to
relinquish his Office or the complete
severance Of diplomatic relations be-
tween the party organization and the
governor.
Watson and New Unite.
/ The move. which has as it's undis-
guised aim the ousting Of Gov. Nc
Cray, is sponsored by the allied forces
of Postmaster General Harry S. New
and Senator James L. Watson, the
first time in years. The fact that the
committee meeting was postponed
from today until Monday in order
that Mr.. New could be present lends
credence to the report that the ma
| tional administration is deeply in
terested in the affair.
Weight to this theory is lent also
by the fact that James p. Goodrich,
former governor. and one OF the lead
ing spirits in the formation of a
s350.000 pool" which came to Gov.
McCray's rescue when his financial
predicament first became serious, re-
Gently was entertained at luncheon at
the White House by President Cool
idge. In fact, the report is going the
rounds here that the White House
has asked the Postmaster General to
investigate the situation and its bear
ing on future Indiana republican ac-
tivities.
New held a series OF conferences in
Indianapolis last week, in which Gov.
McCray's misfortune was discussed
and the word went out then that the
New forces felt he should surrender
h. hn orr of
Senator Watson, that element of the
republican party started conferring,
the net result of the meetings being
that Clyde A. Walb, state chairman,
issued a call for the state committee
to meet.
Walb, acting as spokesman. asserts
that the committee is not disposed to
prejudge Gov. McCray. The state chair
man is accommodating a mass Of data
relative to the governors fiscal opera
tions, including photographs of notes
McCray is said to have indorsed, and
this material will be presented to the
committeeman.
Gov. McCray insists that he will not
resign, asserts that he has done moth
ing wrong and through his attorney
James w. Noel, declares he welcomes
the proposed grand jury investiga-
tion.
He asked walb to postpone the
meeting for ten days. but the chair
have led to some bitter words be-
tween Walb and the governor.
Gov. McCray is not without friends.
as. many believe that his personal
misfortune was due to the depression
in farm values. John Moorman of
Knox, the governors political mem
tor during the last session of the
Legislature, is his chief adviser in the
present crisis.
The governor has been asked to
attend the committee meeting, al
though Walb warned Norman that
frank statements will be made and
frank questions will be asked.
whether McCray will face the COM
mittee and the formidable array of
political forces has not been de-
termined, although from the manner
in which he met the first onslaught
those acquainted with him believe
he will be present
Besides the committeeman, the
meeting will be attended by New,
Irsn