Evening star. [volume] (Washington, D.C.) 1854-1972, 1929-11-11
five ARE INDICTED
! ON BUCKET CHARGE
Grand Jury Returns Special
Report on Alleged Local
Stock Transactions.

| Conspiracy to conduct a bucket shop
! and conspiracy to bucket contracts to
! purchase stocks are charged in an in
| dictment reported this afternoon by the
grand jury against Benjamin r. Buck
/ Edith c. Freas, Harry L. Williams and
Michael P. Drain of this city and Will
liam Walsh, who is said to have been
in business in New York City as H. D.
Strahmann & Co., brokers. Buck for
| merly had offices in the Evans Building,
OH New York avenue. Miss Freas is
described as his treasurer" and Will
liams and Drain as his employees.
Buck and his three alleged local as
SociateS were arrested some days ago and
gave bail before Needham c. Turnage,
United States commissioner, for hear
ing scheduled for this after noon. To
prevent going into the testimony. As
sistant United States Attorney William
A. Gallagher fastened the preparation
of the indictment, and had the grand
jury make a special report of it to Jus
tice Peyton Gordon in advance of the
hour set for the hearing before the
commissioner.
Contained in Two Counts.
The idictment is in two counts, one
charging a conspiracy dated back to
January /, 1927, to keep bucket shop
NY LAdNhAS PtetIG az 1TGU NeW 1OEh
avenue where certain contracts, pro-
hibited by the bucket shop amendment
to the District code, were to be made
and offered to be made respecting the
purchase and sale, upon margin, of
divers securities. The second count
charges a conspiracy to deal in such
contracts. The first count relates to the
setting up of the place where such con-
tracts might be traded in
Securities of about 60 c0ropratiOp orn
enumerated IN the indictment and it is
alleged that Buck and his suspected
associates intend that such contracts
would be terminated, closed and settled,
upon the basis of public market quota
tons of prices upon the New York Ex-
change ana the New York Curb
Market without bona fide purchase
or sale"
Transactions Related.
In furtherance of the alleged con-
spiracy, it is charged that Buck from
January /, 1927 and thereafter rented
the rooms at 1920 New York avenue
and February. IA, 1927, signed an APP
plication to the New York telephone
company to furnish the defendants tele-
phone service at a room in 40 Wall
street, New York City. Buck, it is
charged, exhibited and displayed at
1920 New York avenue, quotations of
prices of securities in the named cor
porations; employed one Frank Catlin
in New York as a telegraph operator
to transmit by telegraph to the New
York avenue address quotations of Sc
curities, and sent telegram January
is, 1929. to Miss A. E. Snyder, Bristol,
Va, purporting to confirm the purchase
for her account of SO shares of Trans
continental Transport Co. upon margin.
Solicitation Charged.
Miss Freas, it is charged. in further
ance' of the alleged conspiracy April 10,
signed her name to a letter to G. @.
Browder, Jarratt, Va, soliciting him to
purchase upon margin shares of stock
OF the General Motors Co. Other let
tiers are specified as having been sent
out by Miss FreaS to 2. A. Gill of
Rehoboth Church, Va, and E. C. Ter
rell OF Beaver Dam, Va, purporting to
confirm purchases of stock to their ac-
counts.
Michael p. Drain is alleged to have
sent letter February 10, 1929, to D.
w. Chapman. House of Delegates, Rich
mond, Va, recommending the purchase
OF stock of the Great Northern Ore Co
Williams is charged with sending a
telegram November II, 1928, to E. c.
Terrell, Beaver Dam, purporting to
advise him to buy stock of the Gimbel
Bros Co.
Walsh, it is alleged, communicated
July l, 1929, by telephone with Catlin
and is said to have furnished the quo
tations which were transmitted by Cat
lin by telegraph to the Washington ONCE
of Buck & Co.