Evening star., 1929-11-15
ZihIman, Crissinger, Donald
son and Others Investigated
by Grand Jury.
FIRM ORDERED TO BRING
RECORDS BEFORE BODY
Use of Mails to Defraud, Embezzle-
ment and Conspiracy Among
Charges Named.

erick N. Zihlman, chairman of the
District committee of the House; Dan
lei r. Crissinger, former controller OF
the currency; r. Golden Donaldson,
president of the Commercial National
Bank and former attorney Of the F. H.
Smith Co.; Samuel J. Henry, president
Of the company; John H. Edwards,
vice president of the company, and
Henry C. Maddox of the Hamilton Hotel
Co. were brought into the inquiry which
the Department Of Justice Is conducting
into the affairs of the F. H. Smith Co.
through the issuance today of supoena
to the F. H. Smith Co. to bring before
the grand jury next Tuesday at IL
o'clock certain papers and records OF
the company.
In addition to the new names in the
criminal inquiry, as disclosed by the
new subpoena, are mentioned those OF
G. Bryan Pitts, chairman of the board
of the Smith Company, and c. Tlbert
Anadale. its secretary, against whom
indictments are already pending.
Subpoena Names Charges.
From the subpoena 1t is learned that
all the persons named are being in
veStigated by the grand jury in con-
nection with the Smith Company's az
fairs. The subpoena sets forth that
the grand jury is investigating charges
of conspiracy to using the mails to de-
fraud embezzlement and conspiracy to
embezzle funds of divers persons and
individuals.
No specific statement of the alleged
defalcations is contained in the sub
poena.
Assistant United States Attorney
General Nugent Dodds caused the is
suance of the subpoena ine econfromlty
with the recent ruling of Justice VIII
liam Hitz that the Government Is en-
titled to have brought before the grand
Jury papers and records OF corpora
ton when the subpoena Specit1es the
person or persons who are being in
Vestigated.
The ruling was made when the Smith
company and several allied corporations
mover to QuaSh John Doe" subpoena
directed to them. Justice HitS reserved
his decision as to the John Doe
subpoena, but ruled with the Govern
ment when the parties are named, the
reason being that the people summoned
to bring the records would know just
who was being investigated.
Violations Enumerated.
The subpoena issued today is en-
titled THE United States VS.. the F. H.
Smith Co. and the names of all the
persons mentioned above, and all other
persons to the grand jury unknown" !"
The F. H. Smith Co. is advised in the
subpoena that the grand jury Is making
an investigation concerning alleged
violations of the criminal code Of the
United States and of the code Of law
g.. t~iA Ak ~
Violations on the part of said cor
poration and the above-named. persons
of section 2l5 of the Criminal Code of
the United States by the use OF the
United States mails to execute scheme
and artifice to defraud such persons as
would be and were induced by false
representations and promises to pur-
chase divers stocks and bonds from
the said r. H. Smith Co. and on the
part of those other persons to the grand
jury unknown.
violations Of section 81 Of the
Criminal Code of the United States on
the part of the above-named corpora
tions and persons by their conspiracy
to violate section 215 of the Criminal
Code of the United States by selling,
through the United States mails, divers
stocks and bonds in the execution OF a
scheme and artifice to defraud the per-
sons to whom such stocks and oonos
were to be sold, and on the part OF those
other persons to the grand jury un-
known.
Violation of section 834 of the code
of laws for the District of Columbia by
embezzlement on the part of divers of
the persons above named, OF divers
things of value in their possession, and
on the part of those other persons to
the grand jurV unknown,
Embezzelment Specified.
violations of section 041 of the code
of law for the District of Columbia by
embezzlement, on the part of divers
of the persons above named, OF money,
securities and other property of divers
corporations and persons and on the
part OF those other persons to the
grand jury unknown.
Violations of section 81 of the GRIM
inal code of the United States by con-
spiracy on the part of divers of the
above-named persons TO violate sections
834 and BAL Of the code of law for
the District of Columbia, by embezzle-
ment, and on the part of those other
persons to the grand jury unknown.
violations of section 842 OF the code
of law for the District of Columbia on
the part of divers of the persons above
named by the obtaining of money and
property from divers persons and cor
porations by false pretenseS, and on the
part of those other persons to the grand
jury unknown"
%