Evening star., 1924-05-29
CHARGES PLOT TO PAY
G. O.P. DEBT IN LIQUOR
Means Says Mellon Agreed to Is.
sue Whisky Permits to Meet
Party Deficit.
DECLARES UPHAM INVOLVED
Bookkeeper Confessed, Witness
States, Naming Entire Ring"

CASTOR 3. Means told the Senate
received from Jess w. Smith in 1922
certain documents purporting to show
that Secretary Mellon agreed to is
sue batch of whisky withdrawal per-
mits in return for money which was
to go toward payment of the deficit
Of the republican national committee.
The alleged arrangement. the wit
ness said, was with a plan named
Rex Sheldon, who was ~ receive the
permits and pay over the money. He
added that. according to the story,
Senator Bursum of New Mexico and
Fred Cpham. treasurer of the Re-
publican national committee went to
Mr.. Melons office in regard to the
matter.
Secretary Mellon, Means asserted.
himself told II. l.. Scaife. a former
arrangement in September, 1922
Afterward. the witness went on, he
got a confession from a man named
stevens. bookkeeper for the
La Montagues in New York. 'involv-
ing Mr.. Upham and the whole whisky
ring.
Later. he said. Senator Bursum
denied that he had any part in such
plan. and said he had sent Sheldon
to the Treasury Secretary just as he
would send any other caller" and
without knowing his purpose.
Means story ended. he will go to
New York for trial next week on
charges of taking money from boot
leggers, in prosecution in which he
promised ito ask or give no quarter"
hi I,at
in the summer of 1922 Smith asked
him on the strength of a letter from
President Harding to investigate the
liquor situation. He worked for some
time. Means said, on such an inquiry
in New York.
Facts in Stolen Papers.
Senator Wheeler switched the ex-
animation to prohibition matters.
Means said that in September, 1922.
Mrs. Mabel Walker Willebrandt, as
sistant attorney general, in charge
of prohibition cases. had informa :
tion that S1.500,000 worth of whisky
had been illegally taken from the
Guckenheim distillery at Freeport,
Pa
Il met Fargus and Brown" Means
said, who owned the distillery. /
forged permits which released the
whisky from the distillery to Mrs.
Willebrandt. Government officials
were in on the graft. The lead went
up to the highest officials of this gov
ernment, because the Mellon line of
banks held the paper on these banks
and nobody knows the value of whis-
ky so well as Secretary Mellon
THAT'S the real thing in this boot
Logging business: there's nothing in
prosecuting the lower elements, strike
at the top"
ssWhere are yo,r raports 80 AL: ~,
Senator Wheeler asked
They are in those papers that dis
appeared while Mr.. Todd the special
assistant attorney general, had six
men following me-"
Who was Rex Sheldon?" Senator
Wheeler asked.
Jess Smith handed me some docu-
ments that Mr.. Mellon had gone into
an arrangement with Rex Sheldon
to give Sheldon permits. for which
he was to pay-or pay in part-the
Republican national committees debt
Saved One Black Book.
"I heard that Mr.. Mellon said he
hadn't done anything about it, but
that Senator Bursum and Fred
Upham, the treasurer of the national
committee, had come to his office with
regard to arrangement.
II went to Col. Miller, the alien
property. custodian, and told him
Il
Means had one of his little black
diaries, which he said contained a
record of the interview with Miller
This book was in his pocket. he said
when the rest went"
Secretary Mellon told Scaife in Sep
tember, 1922, about Rex Sheldon's
arrangement. the witness added.
Means said he later called on SEN
ator Bursum, with Miller.
Senator Bursum said that if the
Secretary said that he had sent Shell
don in with that Offer the witness
went on, "he was incorrect" Senator
Bursum said he went Sheldon to Sec
retary Mellon just as he would send
any other caller, who had business
and that he did not know his purpose
Says Press Controlled.
my next move was to come in con-
tact with Undersecretary Gilbert, -
Means went on. II told Gilbert
Scaife was going to blow them out
of the water. Gilbert turned to me
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