Evening star. [volume] (Washington, D.C.) 1854-1972, 1930-02-10
DRY CHARGE FACED
BY.CORN PRODUCTS
AND YEAST FIRMS
Indictments Are Reported on
Conspiracy to Violate,
VoIStead Act.
CHICAGO JURY UNC0VERS
BIG ALCOHOL DIVERSION
True Bill Returned by Federal
Jury Names $50 Persons and
81 Corporations.
Hy the Associated Press.

ST. LOUIS, February 10.-The St
Louis Post Dispatch, in a staff CORE
spondent's dispatch today from Spring
field, ILL.,. said the Corn Products Re
filming Co., the Fleischmann Yeast Co.
and II alleged moonshiners had been
indicted there on charges of conspiracy
to violate the Volstead act.
The newspaper said the indictments
were voted 10 days ago and had been
suppressed temporarily. Most of the
individual defendants were in Federal
District Court at Springfield to be ar
raigned and give bond before Judge
Louis Fitzhenry.
The Government will attempt to
show, the newspaper said, that the
Corn Products Refining Co. shipped
from its refineries in the st. Louis and
Peoria areas more than 200 carloads of
corn sugar, which found its way into
the hands of moonShinerS operating
around Benld, Ill.
The Government likewise will attempt
to prove the FleiSchmann Co. shipped
large quantities Of yeast from its st.
Louis plant which reached the Bend
moonshinerS.
This is said to be the first big case
in which the Government is charging
criminal responsibility, to sources of
patch continued. In view OF the far
reaching aspects it is anticipated the
indictments will be bitterly contested. +"
CHICAGO, February 10 GA con-
Spiracy indictment against l55 persons
and 81 corporations, charging them
with plot to violate the national pro-
hibition laws, was returned by the Fed
eral grand jury today. The Indictment,
returned before Federal Judge George
A. Carpenter, charged the illegal with
drawal of 10000 gallons OF alcohol
from Government sources.
The indictment came quickly after
disclosures that the Prohibition Depart
ment had completed the roundup OF a
gigantic liquor syndicate whose opera
lions have extended from coast to coast
for the last several years.
Most of the individuals and concerns
have been or still are located in the
Chicago area, although some outlets
were supposedly maintained by the con-
spiracy in New York, st. Paul, st. Louis
and probably some other cities.
Concerns are Named.
Among the concerns reported named
ir the Indictment were the Standard
Laboratories, st. Louis; the Nipola Co.,
st. Paul. and the following concerns in
New York: The Allied Rug & Chem
ical Co., Jobert Gle, Inc; E. M. LAYING
Co., Norda Essential Oil Co., G. H. Sell
lex, Inc; Dee Drug Co.. and the Maiden
Lane Drug Co.
The % other firms were located in
Chicago.
individuals named in the indictment
included Anasstoff Srebren, who was
described by George E. @. johnson,
United States district attorney, as a
chemist of international reputation,
formerly of Paris, who later came to
the United States to develop a process
whereby substandard alcohol and oils
approved by the Federal Bureau of Pro-
hibition we're re-distilled and made
available for beverage purposes.
None of the others named were
known figures in bootleg circles, and
rone of Chicago's reputed big shots
in the illicit liquor industry were men
toned.
The conspiracy charged in the in
dictment was one of the most wide
spread of any the Government has de-
veloped since prohibition. Federal pro-
hibition investigators of Cleveland,
Philadelphia, Los Angeles and Mime
apolis, among other places, took part in
the inquiry.
Method Is Explained.
The method pursued by the con-
Splracy, Government agents said, was
comparatively simply. The alcohol was
obtained from the Government os-
tensibly for use in the manufacture of
perfumes toilet articles medicinal rem
edieS and similar products. The alco-
hol then passed through a chemical
process which allegedly removed the
denaturants.
In a statement issued after the re-
turn of the indictment, District Attor-
ney Johnson said IA of the corporations
and individuals named still held permits
to withdraw industrial alcohol while 2e
formerly held permits He said five OF
the present permit holders were New
York firms, one in st. Paul and eight In
Chicago.
johnson said the indictment cited
violations in Detroit and North Bergen
N. j., in addition to the other cities
mentioned and extended as far back az
1923.
Srebren, described as the key figure
in the conspiracy, was brought to thu
United States from Paris by Jouber
Gle, New York firm of importers anC
manufacturers of toilet preparations
johnson said. This firm still holds ont
of the alcohol permits
In 1923. johnson said, Srebren came
TO Chicago as Western Representative,
OF the Charles v. Sparahawk Corpora
ton OF Newark, N. j. Since then thu
chemist has been associated with abou
80 different firms in the Chicago dis
trtct, according to the district attorney
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