Evening star., 1940-02-11
Peney Is Held Here
Under $4,000 Bond;
Fights Extradition
Says He Hos Plenty Of
Money to Resist Removal
To North CuroIinu
tContinued From First Page)

VCOQUluuCO CIO41l T1loU dSCc
about my business in an orderly
manner. From what I read in the
papers. I seem to be guilty Of set
ting up printing press"
Pelley declared: II still believe in
the Dies Committee and am con-
vinced 1t is doing good work"
The Silver Shirt head was ar
rested on Capitol Hill by Detective
Sergt. Guy Rome of the Washington
police force. He received permis-
sion to summon his lawyers before
he was taken to headquarters to be
booked. He gave his residence as
Asheville, his age as so and his oc-
cupation as publisher.
Pelley was the second Dies wit
ness to be arrested in recent months
as he stepped from the witness
staad. William &. MCCu1stion was
taken TO police headquarters sew
eral months ago and held for New
Orleans authorities in connection
with q murder investigation.
Counsel Retained.
Pelley last night said he had
retained T. Edward O'Connell OF
Washington as his chief counsel.
Earlier he said he would be repre-
sented by Frank M. Anderson and
Ralph Potts, both of this city, and
Mr.. Hatfield of Langley, Wash.
Mr.. C'Connell said he had con-
ferred with "a District Court judge"
who expressed willingness to re-
duce Pelleys bond last night. But
the lawyer said he declined the
offer.
"I refused" Mr.. O'Connell said,
ITO put any judge on the spot.
knowing that political capital would
be made of the fact that he took
some step which would aid Pelley
without the North Carolina au-
thorities being heard
The attorney predicted that Pei
ley's bond would be reduced dras-
tically tomorrow, possibly below the
$2,5OO figure that was first fixed yes
terday afternoon.
At police headquarters, before the
bond was raised to $4,000, Pelley
had produced a 500 bill from
money belt and offered it to bonds
men as a pledge supplementing the
$4,000 certified check that he dis
played. The bill and check and
any other large sums of money Pei
ley had on his person must have
been turned over to counsel, how
ever, for when searched at No. l
precinct, Pelley had only $36.
Conviction Called Mistake.
Before the Dies Committee in the
afternoon, Pelley, confident and
smoking one cigar after another,
had referred to his conviction and
fine in North Carolina as "a silly
and technical mistake"
Conceding that he had received
more than S220,000 between 1881
and 1899 from publishing and or
ganization activities, Pelley told the
committee he recently had agreed
to pay any Federal income tax def
cits that Federal agents discover.
Representative Starnes, acting
committee chairman, told Pelley
that "you have by your own mouth
established all the most serious
charges which previous testimony
before this committee levelled
against yourself and the Silver
Legion Of America"
The witness protested that he had
not been given a free hearing.
IT tell you. this is not fair ne
said. I'm not being allowed to tell
the whole story
He also related how he had eluded
months of efforts of the congress
sional committee and Federal OFF,
GERS to bring him here for testimony
until he voluntarily appeared.
He said he sometimes had used
the name of William Goodale, had
employed an agent in Washington
to keep him informed on all Capitol
activities, including attempts to
catch him, and had even visited a
Congress member, Representative
Thorkelon, Republican, OF Montana
last September when the committee
was frantically trying to find him.
Would Imprison 3 Leaders.
Along with details of his financial
affairs, Pelley gave the Dies Com
mittee testimony yesterday that ne
favored life Imprisonment for Sen
ator La Toilette Progressive, OF Wis
consin: John L. Lewis, c. I. O. lead
er, and Representative Dickstein,
Democrat, of New York, because
of their communistic activity"
He also said it would be "a very
humane and fine thing to designate
certain cities in which the Hebrew
people could live their own life and
have their own religion and not have
this constant friction"
Pelley also testified he had re-
fused an offer from Fritz Kuhn,
erstwhile chief of the German
American Bund, to combine the
Bund with the Silver Shirts, and de-
MED there had been any connec-
ton between his organization and
"the so-called Black Shirts" OF
Michigan.
He blandly insisted, too, that he
had been able to read a page OF
print with his eyes closed; after
hie rhvxica1 hein0 within few