Evening star., 1924-05-29
CHARGES PLOT TO, PAY
G. 0. P. DEBT IN LIQUOR
Continued from First Page.)

and said that he'd put Scaife under
shadow, put him in Jail. and they did
pat Scaife under surveillance.
Gilbert said ScaEfe couldn't get his
stuff in the newspapers because. he
said, they came mighty near control
ling the metropolitan press.
knowing full We'll that Rex Shell
don had furnished the permits for
Withdrawing whisky for the Green
How did you know'that?" broke in
Senator Wheeler.
"From less Smith-from tips.
went on and got a onfession from
Montagnes. The Treasury crowd had
him under surveillance. That was my
last act in New York.
offered sIOO.OoO.
Il took the confession to John Hol-
ley Clark. the assistant United States
Attorney in New York 1t involved
Mr.. Upham-the whole whisky ring"
What way?" asked Senator Wheel
Showed that he helped get the
whisky out for the La Montagnes and
the whole Green River crowd We be
lieved that we would get the whole
thing at the La Montague trials. but
they pleaded guilty. Why if | wanted
money, Marshall, attorney for the
La Montagnes offered me 100000"
Had the La Montagnes taken the
stand, they would have involved ey-
erybody-the Republican and Demo-
cratic administrations"
Sought Ia Hit Mellon.
Had the La Montague brothers stood
trial when they We're caught in New
York. instead of pleading. guilty. the
witness DECLARED. the whole story
would have come ont, involving both
the Republican and Democratic ad-
mnstrations.
The money for this investigation.
Means said, was furnished him by
| Jess Smith, who in turn was making
the inquiry at the request OF Presi-
dent Harding. Smiths immediate OBJ
| jectivs, ho<>eNer, the witness de-
clared. was to discredit Mr.. Mellon
and get control of the whisky permit
system himself
Our constant drive was to attack
the Treasury Department to force
the whisky business into the Depart
! ment of Justice" said Means Jess
Smith told me that when Mellon first
came to the cabinet, he had no in
| fiuence with Harding. but that as
time went on he had grown up to
an equal footing with Attorney Cen
of the jealousy and the anita agonism."
How did Stevens involve Cpham p
persisted Senator Wheeler.
Gave Report to World.
He tells the whole thing" Means
said. How they supplied wines and
whis kies-the transactions and the
exact method. The La Montagues
were very sore-they thought they
| We're working under proper protec-
| ton, that the case would be pushed
But when / got this confession from
| Stevens. I slipped copy to a World
reporter, so that il would force the
district attorney to prosecute. | was
| instructed to do that"
You were working then for Jess
SMITH" Senator Wheeler suggested.
Yes
WAS Rex Sheldon indicted?"
Il understand he has been since
| this investigation started and that he
jumped to Europe. Somebody told
me he'd come back"
DO you know Sheldon was work
ing for the Republican national COM
mittee.
II don't He was to handle the
money, sell the permits. Rex Sheldon
| was to get the permits and charge
| people who wanted to withdraw
| whisky s2S or $40 per case-exactly
how much, don't know. He was to
| pay this to the Republican national
committee. Fred Upham was down
! there with him. That is the state
ment Secretary Mellon made to Capt.
| Scaife and afterward denied
Investigated Oil Matters.
Senator Wheeler then asked If he
| had anything to do with oil.
II did. The Department of Justice
assigned me to investigate oil mat
| ters in February, 1922" said Means
| He went on to say that Richard
| Cole, an oil man. came to Washington
| and entertained a number of senators.
\ Asked If Cole was attorney for
| Estaban Cantu, who was planning
| revolution in Lower California.
| Mexico. he replied:
| He was more a promoter. He had
q lot of correspondence with the