Evening star., 1924-04-08

enough wine released 1or SARA
mental purposes in Illinois "to flood
the state" He told OF a case at
Joliet where a fellow agent shot him;
He claimed to have lost his head
Armstrong said.
"But he really shot to get rid of
you?" asked Senator Wheeler.
Il will always believe So.
Improvement in Chicago.
on cross-examination Armstrong
said administration of law in Chicago
had improved wonderfully" under
United States Attorney Olsen, but
there was still lots of room for i'm
provement." Olsen succeeded Clyne.
AS to the Department of Justice
policy in prohibition enforcement,
Armstrong said there were spots"
over the country where there should
be change. He said that Mrs. Mabel
walker Willebrandt, in charge of this
work in the department, had said in
his presence within the past three
weeks, that she was consulted only
in such cases as they" wanted to
take up. The witness did not elab-
crate this statement.
The bootleggers, the witness said,
are "non-partisan."
They vote for the fellows that can
deliver" he said. 1T is not confined
to the republican party"
Counsel for Daugherty brought out
that the litigation division of the pro-
hibition unit, which issues permits to
breweries, has no connection with the
Department of Justice, but is eXclu-
sively under authority of the Treas
ury. Armstrong insisted that all his
cases had been brought to the at
tention of the Department of Justice
officials at Chicago.
Declares Prosecution Blocked.
The witness declared also that pend
ing criminal and civil proceedings
were opposed by the Department of
Justice and that a telegram showed
this had been "dictated' by somebody
in the Department of Justice. He did
not have copy of the message.
An order for seizure of "the Stand
ard Beverage Company" had been OBJ
was to be seized" he declared
The fact that United States mar
of the property means nothing" he
said, because 1.-The plant Is operating"
Armstrong said he knew there
We're collections OF graft every day
In Chicago, in regard to the issue of
liquor permits. In his opinion, every
plea of guilty in q liquor case in Chi
cago in four years has been based on
an arrangement" with the defend
ant, insuring that he would only be
fined. In "99 cases out Of 100" he
said, the United States attorney made
these arrangements" without con-
sulting the prohibition enforcement
Office.
Money had been paid to politicians
of dollars in a month";" he said, Ito
fix" cases. He cited the case of a
man named Flowers" who had
"squealed," he said, as to a $4,000
payment made by him to a negro
politician on the South Side named
McGowan.
Questioned by Mrs. WiHebrandt.
Armstrong said Mrs. Willebrandt
had summoned him to her office with
Il. G. Yellowley and James j, Britt
of the prohibition bureau last month.
She had always recommended" seiz-
'ure of outlaw brewerieS," Arm
strong said, and asked Britt to ex-
complete files in brewery cases.
He didn't make an explanation"
Armstrong said.
The witness suggested that Mr.
Yellowley could tell you all that" and
the committee agreed to call Yellow
ley.
Britt had referred to "bootlegger
lawyers" the witness said, and pres
sure from senators and representa-
tives," saying, What can I do?"
Armstrong said Mrs. Willebrandt
rspllsd she woTid SEND send th9se who at
"A warm place." asked Rowland.
"She did not say that said Arm
strong.
George W. Stock, a Department of
Justice accountant, was called to the
Green case" a $4,000, 900 mail fraud
case in Boston. 1t was a 'stock SELL
ing SYSTEM" Stock said, and in his
investigation "Mr. Green" told him
that he could not proceed. as Harry
NJ: Daugherty was his attorney" The
witness fixed the date, however. as
before Daugherty became Attorney
General. He said he recommended
the case for prosecution.
"And there never has been prose-
cution?" asked Senator Wheeler.
said Stock, adding that there had been
a state prosecution.
Memo to du Pont Counsel.
The witness read notes he had
made on his Survey" Of the Old
Hickory Powder case in Tennessee
Assistant Attorney General John W.
Grim, who assigned him to this case.
urged the Attorney General to take
action in the case. In subsequent
conference. Stock declared, he found
that his confidential memo to Mr..
Grim on the case" had been turned
over to the du Pont attorneys inter-
ested in the matter. The memo con-
tanned leads" for prosecution.
Grim told him, Stock said, that the
memo had been turned over on his
resignation to Assistant Attorney
General Anderson.
At conference of department off,
cials in January, 1924, Stock said, the
estimates of the recoverable money in
the case was from $5,000,000 to $780,
100000. Assistant Attorney General
Holland was present at this confer
ence, and it was said there that the
Duponts had $1,500.000 Of admitted"
government money on deposit which
they refused to pay back unless they
obtained "a clean bill Of health"
Stock read from his notes that "a
SON. in law Of the du Points" had been
named contracting officer" at the Old
Hickory Plant, and by his direction.
only 40 out of each 100" invoices
were checked. If there was difference
between the government. check and
the company figures. he said, "the du
Pont check was always taken"
Stock identified the du Pont SON in
law as Capt Foulke." He charged
there had been account padding in
cotton purchases and cotton freight
rates.
''The Louisville and Nashville ad-
mitted an overcharge of $29.000."
Stock said. They charged ii to prof
it and loss and wrote an employe 1t
could be adjusted"
Assistant Attorney General Grim or