Evening star. [volume] (Washington, D.C.) 1854-1972, 1931-09-30
GRAND Jury PROBE
into CANNON CASE
ORDEREDBY ROVER
Bishop and Former Aide In
Anti-Smith Drive to Be
Investigated.
BANKERS AND CHURCHMEN
WILL BE SUBP0ENAED
Hearings Will Open Here October 8.
Defendants Not Expected to
Take Stand.

The District grand jury will launch
an investigation October 8 of charges
that Bishop James Cannon, jr.. and Ada
l.. Burroughs. former treasurer Of the
Virginia Anti-Smith Committee. con-
spired to violate the Federal corr1,ut
practices act during the last presidential
campaign.
Announcement Of the inquiry was
made early this afternoon by United
States Attorney Leo A. Rover.
Based on Expense Report.
Rover said the charges against the
pair resulted from their alleged failure
10 rle proper report Of certain cam
palgn expenditures with the clerk of
the House of Representatives, as pro-
vided by law.
score of witnesses, including sew
eral bankers and officials of the Meth
oolst Episcopal Church South, win be
quisitorial body.
The evidence against the clergyman
ana MS former employee will be pre-
sented by Assistant United States At
torney John j. Wilson.
Criticism of Bishop James Cannon
lr., ana his handling of the anti-Smith
l1emocratic Committee funds first arose
curing the Investigations of the Senate
LOBBY committee, headed by Senator
Caraway Of Arkansas, last year.
Later the Senate Campaign InveS.j-
eating Committee, of which Senator
Nye OF North Dakota is chairman. un-
uertook to investigate Bishop Cannon's
anu-Smith campaign expenditures. par
tlcularly with reference to expenditures
made in Virginia and the handling OF
some $65,000 contributed by z. c.
Jameson, a New York capitalist.
Challenges Investigation.
Bishop Cannon insisted that proper
reports had been made Of all expendi-
lures. He also challenged the right of
the Senate Committee to investigate the
conduct OF campaign for the election
OF State officers, claiming that presf-
Genital electors are State and not ma
tlonal officers, The anti-Smith CAM
paign money expended in Virginia, he
insisted, was not used to defeat or aid
In the election Of any member Of Con-
gress, but IN the presidential race alone.
The Nye Committee has continued
With its investigation of the charges
that Bishop Cannon violated the ma
tional corrupt practices act in not re-
porting fully to the clerk of the House
on all expenditures in the anti-Smith
Democratic campaign
Wilson was in conference this morn
ing with Nugent DodCls, assistant at
torney general in charge of criminal
prosecutions
Neither Bishop Cannon or Miss
Burroughs will be asked to testify be-
fore the grand jury, it was said.
Neither does the list of witnesses con-
~
investigated Bishop Cannon's CAM
paign conduct.
Action Is Rushed.
Decision was reached to rush the
Cannon case before the new grand Jury
as soon as practicable after it convenes
next week, necessitating a delay in
presentation of the Governments find
ings in the investigation Of the third
degree in Washington
IL was necessary to present the cleo
ton case first because the statute of
limitations in that case is about to ex-
p1re. The acts complained of IN the
Governments charges took place three
years ago, 1t was pointed out, bringing
them close to the immunity border line.
In statement issued last night
Bishop Cannon attacked testimony be-
lore the Senate Committee designed to
show that $1,000 used in the anti-Smith
campaign in North Carolina came
through him from Claudius Huston, a
former chairman of the Republican
National Committee
Dtsclaiming any intent to reflect on
the witnesses. Bishop Cannon charac-
terized the incident as an effort 'sby
some members of the committee and
its investigators to smear my reputa-
ton and destroy my influence
He also cited an AFFIDAVIT by Col.
Wade H. Cooper, president of the then
Continental Trust Co., to show the
origin of a draft for $1,000, which he
said represented the item in question.
Tells of Phone Call.
The bishop made the following state
ment through the Associated Press:
ON August %, before the Senatorial
Committee on Campaign Expenditures,
Mr.. w. H. Wood of Charlotte, N c.,
stated that he telephoned me, and that
! said that I would send him a check
for $4,000, and that / did send him
$4,000 for use in the North Carolina
anti-Smith campaign. Mr.. Wood also
stated that on october "a, 1928, he re-
ceived check for $4,000, drawn on the
international Germanic Trust Co. of
New York City. and made payable to
him. Mr.. Wood said that he could not
state definitely who signed the draft
upon the International Germanic Trust
Co. of New York. but that he thought
that Bishop Cannon signed it.
"On the same day Mr.. Conrad C.
Probst president of the Ge<manic Trust
Continued on Page 2. Column IL