davidaulloa/AmericanStories huggingface dataset:
The Washington times. [volume] (Washington [D.C.]) 1902-1939, 1938-12-19
"COSTER" PAID
OFF IN STOCK,
SEC BELIEVES
"GiftS" Were Made to
Gain Protection
BY ERIC FREEDMEN
Copyright, 1880

(TN.SO Information indicating
that persons high in Government
and military circles were presented
with sizeable blocks of McKesSon
and Robbins Drug Company stock
for cooperating" in the schemes
of IF. Donald Coster," is being in
vestigated by agents of the Secur-
titles and Exchange Commission.
William o. Douglas, commission
chairman, informed International
News Service today the possibility
that "Coster" made substantial
stock gifts to persons who could
give him protection" is an i'm
portant phase of SECS inquiry.
Douglas made this disclosure
after returning 70 the Capital
from New York where he con,
ferred with James ]. Caffrey. SEC
regional administrator. on the
various aspects of the sensa-
tional activities of the late arch
swindIer and head of the drug
firm.
GAVE AWAY STOCK
During my conference with
Caffrey, was told that Cos
ter" or some of those associated
with him, may have given away
stock to Influential people"
Douglas said.
"Our agents are making a
thorough check on this informa-
ton and IT. is one of the many
leads they are running down.
AS far as l know al the present
moment, nothing definite has
been uncovered to support this
Information. and it may prove
to be false"
Nevertheless, our New York
staff is going into every angle
of this case thoroughly. The
information relative to the
stock gifts Is one of those
angles thar has peen deemed
Well.worth investigating"
Douglas conceded that the task
Of tracing the history of McKes-
son and Robbins stock would be
a gigantic one. According to the
company's registration statement
on file with the SEC, more than
1000 900 shares of common stock
Is outstanding.
TRACE OWNERSHIP
While he was president of the
drug firm, "Coster," at various
periods, owned considerable blocks
of the company's securities. In
1885, he held as high as one-tenth
Of the outstanding common stock.
The commissions ents,
operating under the trading and
exchange division, are making the
inquiry into the ownership Of the
stock. This division, known as the
Policeman of Wall Street." has
turned up numerous stock market
trading violations by so-called fl
nancial insiders" and assisted
materially in the expose Of Rich.
ard Whitney, former Stock Elk
change president.
The tangible evidence already
GAAOCA 44OAA4 VAC AAcs1C Va oAAoAO"J |
transactions that preceded the
McKesson and Robbins bank
ruptcy and the dramatic suicide
Of "CoSter," may point the finger
of suspicion at many persons Of
prominence, officials said.
MANY IMPLICATED
Federal Investigators already
have implicated several local and
political figures in the
tangled affairs. The
view expressed by high-ranking
of the SEC and the JUS
tice Department is that there
probably are a lot more in the
background, including members of
the military establishment.
Douglas reported that studies
also are being made to determine
If stricter accounting Of corpora
ton affairs can be instituted to
prevent lengthy concealment Of
the type of financial manipula-
$ioVos aoco nod in hv 0TocfarD
The Washington times. [volume] (Washington [D.C.]) 1902-1939, 1938-12-19
HAS SPOKEN TWICE

"If this was the first time that
the Senate had ever been asked
for an anti-third term express
sion, I should probably agree
that it Is not any of our business.
But at least twice before, under
not diSSimilar circumstances, the
Senate has asserted its oppoSi-
ton to third terms.
THAT creates q totally differ
ent situation in which silence to-
day might be construed as Sen
ate consent. I am opposed to
third terms for any President
and I shall vote accordingly.
THE American tradition
against third terms is so en-
phatic and consistent that it
has come to be a definite part
Of our protection against a
White House dynasty.
q. s. RULE BY DECREE
Eat a moment when one half
Of the world is in the grip Of
dictatorship and our own Col1n-
try already virtually lives under
government by executive decree,
I think it more essential than
ever to cling to and defend even
the Semblance Of perpetuation
Of executive authority in the
Tinted States
The Washington times. [volume] (Washington [D.C.]) 1902-1939, 1938-12-19
Bank Records of Coster Sought
In Effort to Prove BlaCNnail

South In past winters with hef
employer.
While the Federal grand jury
considered new indictments in the
case, Noonan mapped plans to
question others in the Musica
family, several McKesSon & Rob
bins officials, politicians with
whom Coster allegedly had deal
ingS and other assorted witnesses.
He wants to question Alfred E.
Becker, former assistant State
attorney general, for whom Coster
w an informer in 1917 under the
name Of William johnson.
Noonan seeks also w. Rogers
Duell, q former assistant district
attorney, who was indicted with
Coster for subornation of perjury
as an outgrowth Of the Barnet
Baff chicken murder case. An
official of McKesson & Robbins
has a name somewhat similar to
Duell.
Investigator Sought
Still another witness who Is
being hunted is Morris Luben, an
investigator for Ex-Governor
Charles S. Whitman Of New York
when he was district attorney
and prosecuting the RoSenthal
murder case.
There also is an attorney to in
terrogate. For three days before
he killed himself in the bathroom
Of his Fairfield villa, Coster is
said to have tried to communi-
cate with this lawyer.
Agencies besides the SEC which
were to be represented at the Nc
Mahon conference include the
local United States attorney, The
Post Office Department, State De.
Ipartment, Treasury, FBI, and Mar
coticS Bureau.
Archibald Mcneil, former Dem
ocratic national committeeman
from Connecticut, who classifies
himself as public relations coun-
sci" for McKesson & Robbins,
HEADED the list Of political wit.
neSSes Supoenaed before the Fed
eral grand jury.
Also Subpoenaed from Connecti-
cut was Harry E. Mackenzie, lead
ing Republican until he pleaded
guilty in the $1,000. 900 municipal
scandal at Waterbury. He is sup.
posed to have been a lobbyist for
Coster'S company.
Charles F. Michaels, the firms
executive vice president and at
present one of its two reorganiza-
ton trustees, has been called to
testify about his sale Of $11S,53O
worth of McKesson & Robbins
stock a month before the scandal
burst.
DR.. Stephen J. Petrovits, Of
Westbury, Long Island, disclosed
new information about the mas.
uuerading MusicaS.
The Washington times. [volume] (Washington [D.C.]) 1902-1939, 1938-12-19

'ered three Of them into McKesson
and Robbins.
George Musica George E. Diet
rich) was assistant vice-preSident
and assistant treasurer; Arthur
Musica George Vernard) was
head of W w. Smith and Co.,
fictitious Canadian agents for the
firm, and Robert MuSica, the baby
brother (Robert Dietrich, was
purchasing agent at the Bridge
port factory.
Find Arms Contract
George Musica was to be
brought here today from the New
Haven Jail for arraignment and
then taken to the Federal House
Of Detention, where the other two
brothers are celled. All three are
held in default Of 100000 bond
on SEC fraud counts. .
Acting United States Attorney
Gregory F. Noonan and his assist
ant, Irving Kaufman, who have
insisted that Conclusive evidence"
links Coster to gun-smuggling,
have found an arms contract in
the Coster files, it become known
today.
Furthermore, they have found
a letter, dated last June 10, asking
McKesson & Robbins to line UP
$50, 00e Lee Enfield rifles Of World
War manufacture and $50, 600, 900
ROUNDS of ammuniation, as well as
cleaning rods and bayonets. The
name signed to the letter was
withheld by investigators. -
Believed in Florida
simultaneously with news Of
the armament letter came word
that d search is in progress for a
girl known as Edith" who was
described as having been Coster's
secretary for several years.
She left Bridgeport two weeks
ago for Florida. 1t was said she
had been In the habit Of going
The Washington times. [volume] (Washington [D.C.]) 1902-1939, 1938-12-19
vANDENBERG
DEMANDS POLL
ON THIRD Term
Michigan COP. Choice
Calls For Showdown
By ROBERT HUMPHREYS

Il. N. 81. A showdown in the
Senate on its attitude toward a
third term for President Roose-
welt was demanded today by SEN
ator Arthur H. Vandenberg R) t,
Michigan, himself a potential pres
idential candidate. n
Failure Of the Senate to take
a stand on the two-term tradition.
Senator Vandenberg warned,
would be tantamount to approval
Of third term.
HOLT HEADS MOVE /
In his statement, Vandenberg
disagreed sharply with the Re
publican leader in the upper
branch of Congress, Senator
Charles McNary of Oregon, who
said that an antithird term reso
luton would be "ill-advised, ILL.,
hammered and wholly beyond the
functions of the Senate"
Senator Rush D. Holt CD, West
Virginia, has served notice he in
tends to Offer a resolution oppoS-
ing q third term, and several OF
his Democratic colleagues have in
dicated their support of the plan.
IL agree" Senator Vandenberg
told newsmen, that the Senate
Is in a rather curious business
when it departs from its own
functions to advise presidential
candidates what they ought to
do.
The Washington times. [volume] (Washington [D.C.]) 1902-1939, 1938-12-19

RATES BY MAIL FOR VIRGINIA.
MARYLAND. WEST VIRGINIA
AND NORTH CAROLINA
Nogales international., 1938-01-15
lCONFESSES TO
LOCAL ROBBERY

Juan Hernandez of Nogales, So
nora, confessed Tuesday to the rob-
berry of the Halstead Lumber Com
pany Monday night. Police officers
Louis Fleischer and Deputy Sheriff
Harry Drewein caught Hernandez in
the act of breaking into car and
Police Officers Soto identified the
materials in Hernandez possession
as materials which had been taken
from the Halstead Lumber Com
pany.
The charge against Hernandez is
first degree robbery committed at
night by forcing entrance.
Nogales international., 1938-01-15
TO CHICAGO

o. A. Smith is leaving Monday
for Chicago where he will serve as
chaplain of the annual meeting of
the National Congregational Christ
ian Superintendent. He will also
speak at the Chicago Women'S S
Fellowship annual meeting January
28th. He will return to Nogales the
first or second of February.
Nogales international., 1938-01-15
NEW RESIDENTS

Russell Meeker arrived here Tues
day from Phoenix to become man.
ager of the local office of the
Mountain States Telephone & Tele-
graph Company, succeeding Leslie
D. Young, who is to be manager in
the Mesa Tempe Chandler district.
Meeker is accompanied here by his
wife and two sons-one five years
old and the other six months.
Nogales international., 1938-01-15
WEATHER

Maximum temperature the past
week was IS degrees Wednesday and
minimum, 80, Saturday and Mon
day. It's been very much like April
in January practically all winter
at Nogales.
Nogales international., 1938-01-15
NEW MANAGER AT
PAY'N TAKIT STORE

G. r. Alvarez, manager of the
Payn Takit store will leave tomor-
row for Douglas where he will be
manager for the same company.
Ted Quiroz, who has been manager
of the meat department, will be-
come general manager of the local
store.
Nogales international., 1938-01-15
LEASES GARAGE

The Wise Garage has been leased
to A. Ramirez of Phoenix and in
the future will be known as the
Richfield Garage and Service Sta
ton. Richfield products will be han
died exclusively. MIR. Ramirez was
formerly in the produce business
in Phoenix.
Nogales international., 1938-01-15
IN NEW OFFICES

The Scatena Brokerage Company
Judge" William A. Scatena preSi-
dent, has moved from the depot
building to larger quarters on the
second floor of La Vile de Paris
building, in rooms formerly occu-
pied by the A & M Marketing Com
pany.
Nogales international., 1938-01-15
LOCAL NEWS
FISHING TRIP

r. E. Thornton and Frank Daugh-
rerty arrived here Wednesday from
Tucson and accompanied by w. w.
Barbee left for Guaynas to spend
a week fishing.
Nogales international., 1938-01-15
NOT LEAVING HERE

DR.. j. A. Knight, chiropodist ply
sician,. with offices over tht Wise
garage on Grand avenue, denied
this week reports, he was locating in
Tucson. He said he couldn't under
stand how such reports got start
Ell.
Nogales international., 1938-01-15
LOCAL BOY HURT

Arturo G.. Garcia, Nogales CCC
boys, was injured in an auto acci-
dent at Phoenix this week. Bill
Smith, about go years old, was killed
in the accident.
Nogales international., 1938-01-15
MOVE TO MEXICO CITY

Lawrence George, wife, and two
daughters, have left for Mexico
City where they will make their
home.
Nogales international., 1938-01-15

State Highway Patrolman R. c.
Michelena and family left Tuesday
ON a trip to San Simon.
Nogales international., 1938-01-15

R. C. Edgell and wife were bust
ness visitors in Tucson Tuesday
evening. +,
Nogales international., 1938-01-15
County News
-~15--S9
ELGIN- -SONOITA

There will be a dance in the Elgin
Club House Saturday night, Janu-
ary 18th.
Troy j. Cope, of Salem, Ohio,
who has been visiting his wife and
family for the past month, left for
his home the first of the week.
Troy Ramsey and Herman CraW-
ford motored to Los Angeles Satur-
day.
Mrs. G. A. Dalton and Mrs. F.
E. Dalton entertained Thursday
evening with a bridge party at the
c. A. Dalton home.
The regular business meeting anC
luncheon of the Elgin Club will be
Wednesday, January 10th. HoStesses
for the day are: Mesdames, Jan
uel, Roath and Schock.
Mrs. j. B. Buck entertained the
Sonoita Sewing Circle Wednesday
at her Evergreen ranch home, in
Empire Canyon.
Miss Marstel Klene has returned
home from Ajo where she spent the
holidays with her brother.
The freshman and sophomore
students of the Patagonia High
School attended the show Navy
Blue & Cold in Nogales Sunday
night
The Plunkett's Minstrel Show
was in the Elgin club house Mon
day night. A large crowd attended.
Nogales international., 1938-01-15

w. A. Scatena, president of the
Scatena Brokerage Company, mo-
,tOred to Tucson Tuesday.
Nogales international., 1938-01-15
AT LIONS MEET

Rosalie Espinosa, Victor j. Wag-
er. Jr., Roy v. Cheshire and DR.. w.
D. Gilmore were guests at Tuesday S
luncheon of the Lions Club.
Nogales international., 1938-01-15

William P. Zacharias is in re-
ceipt of word of the death at Tue
son Sunday of the father of Jack
Neuman, head Of the Complete Au-
to Parts Company.
j. r. Campodonico, secretary
treasurer of the Sonora Highway
Commission, was expected to arrive
here yesterday from Hermosillo.
DR.. v. A. Smoker was here from
Tucson Tuesday.
G. H. McNulty, manager of the
| Citizens Utilities Company. return
eG this week from a business trip
to Phoenix
Judge E. R. Thurman left Thurs
day to hold court at Tucson.
Roe Martin was here THURSDAY
from his ranch in Carr Canyon.
Penn Kaanta has returned from
Michigan where he took the body
of his uncle for burial.
Charles Case, prominent Ruby
merchant, was here Monday.
D. Macnab of Sunnyside has lef
for Denver, Colo, for employment
Nogales international., 1938-01-15

There will be a dance in the Elgin
Club House Saturday night, Janu-
airy 18th.
Nogales international., 1938-01-15

Troy j. Cope, of Salem, Ohio,
who has been visiting his wife and
family for the past month, left for
his home the first of the week.
Nogales international., 1938-01-15
CLASSIFIED


FOR SALE: Half breed Brahma
bulls. James Hathaway, Nogales,
AriZ. 1Pub. l2-31 3t)
HUSTLER WANTED! to introduce,
supply demand for Rawleigh Ne
cessities. Sales way up this year.
Good routes open nearby. Raw
leigh Methods get business. No
selling experience needed. We
supply Sales, Advertising liter
ature-all you need Profits should
increase every month. Low prices;
good values, complete service.
Rawleigh's Dept. ARA-44-63, Oak
land. Calf. (Pub. Jan.15)
Nogales international., 1938-01-15

Troy Ramsey and Herman CraW-
ford motored to Los Angeles Satur-
day.
Nogales international., 1938-01-15

The Plunketts Minstrel Show
was in the Elgin club house Mon
day night. A large crowd attended
Nogales international., 1938-01-15

Mrs. G. A. Dalton and Mrs. F.
E. Dalton entertained Thursday
evening with a bridge party at the
c. A. Dalton home.
Nogales international., 1938-01-15

Miss Marstel Klene has returned
home from Ajo where she spent the
holidays with her brother.
The Sauk Centre herald. (Sauk Centre, Stearns County, Minn.) 1886-current, 1938-10-27
OTTO J.STEIN
CANDIDATE FOR
State Senator
46th Legislative Dist.
Stearns County, MINI.

Born in Wisconsin in 1875, Mr..
Stein came with his parents to
Stearns county in 1885, living the
past SO years on the family home
stead which he owns and conducts
large dairy farm. Mr.. Stein organ
lied the Holding Farmers Coopera-
tive creamery in 1911, is chairman
Of the board of directors which Of
flee he has held for "a years. Mr..
Stein served two terms in the leg
islature in 1921 and 1923, and was a
member Of the school board district
number SO for 81 years. During
this period the school grew from a
one room, one teacher school to a
large modern high school with ~
teachers. Mr.. Stein was chairman
of the school board for three years.
This senatorial district represents
the largest dairy district in the
state and with the experience that
Mr.. Stein has had in the legisla-
ture, farming, and cooperative
movements, if elected he should be
able to give the people Of his dis
trict the best representation they
have had at the Capitol in years.
The Sauk Centre herald. (Sauk Centre, Stearns County, Minn.) 1886-current, 1938-10-27

such an Improvement; in fact 1t can
be said that the black topping of
city, and to all tax payers. because
any block Is Of benefit to the whole
that street is improved for all trans
portation.
I introduced the following method
Of spreading special assessments in
Minneapolis years ago, and since 1t
was accepted with favor and used
by many of the commissions which
spread assessments for street i'm
provements, I feel that local prop
erty owners will be interested,
especially since it is more equit-
able distribution Of the special as
sessments. This method relieves the
heavy burden on the corner lot, and
does not impose an unnecessary
burden upon other lots. The method
adopted in Minneapolis was to re-
lieve the corner lot Of percentage
Of the improvement costs along the
side Of the lot, and spread this up
on the inside lots in that block, so
that all lots in the block contri-
buted a bit toward paying for the
side streets. The percentage of re-
lief varied with the width of the
lots, and the number of lots in a
block.
Most Of our blocks contain
twelve lots, six on each side, and
if 60 per cent Of this side street
assessment was levied against a
corner lot, Is per cent against the
lot next to the corner, and Is per
cent on the next adjoining lot, all
lots in each block would therefore
help pay for the side streets.
The present project includes a
great many streets where the full
one hundred sixty-six feet of the
corner lot is involved in the assess
ment.
From a standpoint of equity,
have never heard of an argument
against the above plan. If enough
property owners are interested in
this plan, I feel sure that the City
Council will adopt the above plan
in spreading the black topping cost
G. v. Morse
The Sauk Centre herald. (Sauk Centre, Stearns County, Minn.) 1886-current, 1938-10-27
Order for Hearing on Final Account
and Petition for Distribution

Order for Hearing on Final Account
and Petition for Distribution
STATE OF MINNESOTA,
County of Stearns
IN PROBATE COURT
File No. 1924
In Re Estate of Leopold Schloegl
Decedent.
THE STATE OF MINNESOTA to
all persons interested in the final
account and distribution Of the
estate Of said decedent
The representative OF the above
named estate having filed her final
account and petition for adjustment
and allowance thereof and for dis
tribution to the persons thereunto
entitled
THEREFORE, you and each Of you
are hereby cited and required to
show cause, II any you have, before
this Court at the Probate Court
Room in the Court House in the
City of st. Cloud. Mimi, on the 18Th
day Of November. 1898, at 9 o'clock
A. M. why. said petition should not
be granted.
Notice Of this order shall be
given by publication of this order
in the Sank Centre Herald, legal
newspaper and by mailing a COPY
The Sauk Centre herald. (Sauk Centre, Stearns County, Minn.) 1886-current, 1938-10-27

Simply that in four years I have
not learned several things. One OF
them is things that will get me q
bust in the noggin one Of these fine
days. Give a guy typewriter, an
old sheet Of yellow paper, and it's
surprising what he'll do. just
half an hour before this was pound
ed out, Coach Harvey says to me-
"We'u make you eat those words
I am always eating something dis.
tasteful. Those words refer to the
paragraph that we wrote, to wit, to
WOO: "Sauk Centre will beat Alex
and the town will throw a fit
They'll beat Alex some year real
soon, but this amt It," 4. Which
seemed perfectly sensible before the
Albany game, but now the boys say
they are going to make me chew
the paper. Boy, I hope they ram
the whole sentence including the
period right down my esophagus. :.
But I'll toss in this addendum. In
eight years of football Sank Centre
has not yet defeated Alexandria.
Which is something to rub over the
old pate and speculate about. For
a win this year would mean dump
ing brand new rival for the first
time; and with a team that has
not looked too good all season.
Now I'd better enlarge upon that.
I say they haven't looked too good
in spite of the fact they have not
been beaten in Dist. % ball nor have
they lost more than one game in
six starts. Then why the killarney,
dope? Simply this. It's been a diff
ferent type of ball team each game.
One game they ram with power;
another they fly through the air
like the man on the flying trapeze
with passes; another they are de-
fensive rock. Isn't that all
right? Sure, as far as it goes ;.
But put them all together and you
have good, sound ball club. Split
them up and someplace along the
line you'll get tripped. -. Well,
against Albany they did put them
all together. And now with the
toughest game of the season in
front of them. really think they're
set. =.
There's little doubt in this
Uranium Of mine that the lads
reached the high point of their
power at psychologicalIy cor
rect time. =. If you'll pardon
my turning psychiatrist for the
moment But now loom two
games-I am including that
Glenwood game last night-that
the boys really want 10 win.
And now the reserve list Is
strong; the defensive Is tight,
the passing looks true; and the
power that be smiled on the loo
ais. They may lose these
games; but I maintain by q
more scant margin than II they
had reached their peak earlier
In the season.
It was good to see Ethum and
Cokeley working together again.
-. Ye gods, those lads join
hands and dance around those
other boys like they were stand
ing still >. You know, really,
this Albany game appeared
easy. One time I saw Egan
standing around cleaning his
finger nails, and telling jokes
The Sauk Centre herald. (Sauk Centre, Stearns County, Minn.) 1886-current, 1938-10-27
PUBLIC OPINION
Street Improvements

Street improvements, such as
black topping, incur rather heavy
proportionate expense upon corner
lots. The present contemplated
black topping is estimated to cost
fifty-five cents per running foot
The tax on a sixty-six foot front
lot would therefore be $3.50. Cor
ner lots would pay this $3.50, plus
55c per running foot along the side
Of the lot, or $91.30, and the tota'
tax on a corner lot upon this bash
would therefore be $127.60, whereas
the adjoining lot and the other in
side lots would only stand tay
Of $3.50. The property owner Is
not the only one who benefits thr'