The Waterbury Democrat., 1945-01-02
FBI Arrests
 z S0bofeurs

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 ment. he said, was to mingle with service men in bars and pick up any bits of valuable information which they planned to transmit to the en- smy. They had not yet attempted to send any information, he said.
 Hoover declined to reveal how the attention of the FBI was attracted to Che two, but said both of them had made a complete statement. Their activities are still under inves- tigation, but the FBI chief said he had hastened to announce their ar- rest as soon as possible.
 T think that it has a powerful psychological effect on the German government to know that their plans have been baked" he said.
 Connecticut Native
 Colepaugh, alias William c. Cald- well, was born in Mantle, Conn. on March 25, 1918. of an American father, now dead, and a German mother who was born on a ship en route to this country.
 He attended public schools in Ni- antic and New London Conn, and was graduated from the Admiral Farragut Academy, a private school at Toms River. N. T., in 1898. Then he studied engineering for three years at Massachusetts Institute of technology. He quit to become merchant seaman and was arrested in Philadelphia on July p. l942, for failure to inform his local draft board of his address. He was re- leased on his promise to join the Navy.
 Colepaugh was inducted on Oct 2. 1042, but on Jan 20. l943, was discharged flor the convenience of the government" At that time he had shown German sympathies, au- thorities said.
 A year later he sailed for Europe as a messboy on the diplomatic liner Grtpsholn He jumped ship at Lisbon and contacted the Ger man consul, who helped him get to Germany
 He was accepted by the SS and trained in short-wave radio, photog- raphy and sabotage.
 Gimpel. native of Merseberg, Ger many, went to South America in 1885 as an employe of Telefunken, the German radio corporation. He was taken into custody in Peru in 1942 as an enemy alien and sent to this country for internment in a Texas camp. He was repatriated to Germany aboard the Drottningholm within few weeks and also was recruited for work in the SS.
 The two men, who said they were trained in The Hague school where the specialists who rescued Benito MusSolini from Italy were renearsed, left Germany on the U-boat 1230 on Sept. 26. 1914 The crossing took 54 days and the submarine entered Frenchman Bay on the Maine coast. passing between Bar Harbor and Winter Harbor. Of Hancock Point. six ar seven miles up the bay, Cole paugh and Gimpel went ashore in a rubber boat.
 Walked to Bangor
 With the aid of a pocket compass. | they walked to Bangor Me, From there they went to Boston.
 The men lived in swanky hotels Tn Boston and New York for the | month they were at large, and spent $3,425 of their funds in a fling at high living.
 C0lepaugh did not contact his mother and sister who live in this country, Hoover said, but he de- clined to say whether the two were | clear of all suspicion.
 The men did not carry explosives as did eight NaA saboteurs put ashore on Long Island, N. Y, and Flori0a on June 13 and June F. lo42.
 Colepaugh and Gimpel were held on an open charge. The Department or Justice said in Washington that Attorney General Francis Riddle would confer with President Roose- velt to determine if the men would be tried in civil court or before a special military tribunal such as convicted the other eight. Six of the others were executed and two are serving federal prison terms.
 Reporters Banned
 Portland, Ore, Jan ? - (UPD- Army ofncials remained silent today on the results of their examination Of a large balloon hauled from a mountainside 38 miles southeast of Portland
 A Federal Bureau of Investigation agent and an army demolition squad took possession Sunday afternoon of the balloon found by an unidenti- lied resident three miles from Hi- lockburn Rangr Station in the area Of large power plant and the Bull Hun headWorks of Portlands water system.
 The balloon, reported unoficially to nave been unmarked, was fouled Tn tree, which was chopped down to permit recovery of the sphere. Dozens of nativs looked on, but the tBl agent banned photographs and turned away reporters seeking to inspect the salvage Unofficial des- criptionS indicated the balloon was similar to the Japanese paper craft round near Kalispell, Mont, three weeks ago.
 Discovery of the Kalispell balloon was followed last week by the find Ing of a second mysterious lighter near Tacoma, Wash. Details of that balloon were not disclosed, but some sources said 1t might have been one sent up by A U, 8. weather station.
 The FBI said any information as to the origin of the latest balloon would come from army source, if at Contractor nm