Evening star., 1926-03-31
CHARGES VIOLATION
OF ESPIONAGE ACT
Grand Jury Accuses MiIWau-
kee Man-47 Other In
diCtmentS Found.

John r. Hempel of Milwaukee,
Wis, otherwise known as John X
Hardy, was indicted today by the
Federal grand jury on a charge or
violating the espionage act by max
ing false statements in an application
for a passport to visit Europe. Inc
grand Jurors ignored charge OF
conspiracy against Hempel, Jacob 5.
Rothstein. a lawyer, and Stanley j.
Tarnowski a notary, all Of Milwau-
kee. Rothstein was supposed to be
counsel for Hempel and Tarnowski
was the notary before whom the al
legged false affidavit was taken.
According to the indictment, Hem
pei applied for a passport To visit
England, France, Italy, Norway and
Sweden and Denmark January 19,
1924. giving the name of John r.
Hardy and stating that the young
woman who accompanied him was
his wife. Edna NJ, Hardy. in the APP
pEcation rIerpel also is said TO nave
declared his fathers name was John
Hardy The passport was used, 1t
is stated
The penalty for Il false statement
in an application for passport is n
fine not to exceed $4,000 or impris-
@nment Of not more than five years.
AZ both.
ID. j. Shields Indicted.
Daniel j. Shields of Johnstown, Pa,
who was acquitted earlier in the
month of a charge of conspiracy with
a former attorney in the prohibition
unit to bribe a woman clerk In the
bureau, was indicted again today for
the alleged briberies The new indict-
ment contains 16 counts and covers
1l2 typewriter pages. 1t is an am
plification of a former bribery indict-
ment to which counsel for Shields had
filed n demurrer. which has not vet
been passed on by the court.
The new charges involved alleged
payments of 81 100 in sums varying
from 500 to $500 TO Della NJ. Hayes,
n stenographer in the prohibition unit,
between April %. 1923, and April p,
1924. 10 furnish Shields with secret
information of the bureau relating 10
the issuance Of permits for alcohol
to certain corporations in which, he
was Interested. The penalty under the
law is a fine of not more than three
times the bribe and imprisonment not
to exceed three years.
The corporations named in the IN
7ictment which were being inVeSu-
gated are the Standard Ice Co, 81
Mary's Beverage Co, HazelWood EeF-
erare Co. Peter Straub Sons, En-
nsr1ine Products Co, Germania Bev-
erage Corporation. Liberty Products
Co, Life Staff Products Co, New
Kensington Brewing Co., South Ford
Brewing Co, Logansport Distlllery'
American Cereal Beverage Co. Goen-
ner & Co. Johnstown Prod@c's CO.,
Windber Beverage Co, Anchor Brew.
ing Co, Cambria Brewing co. ana
Elk County Brewing Co. The young
woman is said to have furnished con
fidential reports made to the bureau.
The indictment sets forth that Shields
was not entitled to have the contents
of these reports.
Mail Fraud Charged.
Using the mails to defraud Is
charged in an indictment against
Charles p. Gerrish who conducts a
beauty culture university at 63l Penn
sylvania avenue. The indictment is
in five counts, and alleges that he de-
frauded Mrs. W. r. Dudley, Mrs. Iva
n. MYERS, Mrs. Alice T. Lattimer,
Mrs. Velma Marcel, Mrs. Grace B.
Weinberg and Others too numerous
to mention"
An investigation conducted by AS
sistant United States Attorney NJ.
Pearl Mccall and postal inspectors led
to the indictment which charges that
Gerrish made false claims in the
literature which he sent through the
mails. He is said to have professed
to be president of the University of
the American Society of Derma-
tologv. which, he claimed, had a
Government charter. and that beauty
culture schools enrolled with the
university" would not be subject to
restrictions of State laws. Gerrish
claims to be a graduate Of the Uni
versity at Berlin, it is stated.
A supplemental indictment was re-
ported by the grand jury charging
the unlawful use of the mails against
Frederick E. Lewis, Edward +.
Iukens, Fred A Dolph, Butler Kel-
logg and Warren T. Godfrey. The
men We're indicted some months ago
in connection with the conduct of
the business of S. B. Thayer & Co.,
financial experts.
A total of 4S indictments were pre-
sented today to Justice Bailey in
Criminal Division l and concludes
the work of the present grand jury.
~ new grand jury will be summoned
next week and is expected to begin
hmring about April Is.
Fifteen persons were eXonerated by
the grand jurors Of charges against
them. The charge Of manslaughter
against Joseph Z. Herbert and Clar-
ence f. Mealey, who killed Ernest H.
Erwin, years old with an automo-
bile March 10 on Minnesota avenue
southeast. was ignored. Other cases
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