I always thought my dad was pulling my leg about that when i was a kid.
Local residents brought a class-action lawsuit against the United States Industrial Alcohol Company. It ultimately paid out $600,000 in out-of-court settlements (at least $6.6 million in 2005 dollars)
The cause of the accident is not known with certainty; though at the time authorities were quick to blame bomb throwing anti-war anarchists.
It looks like some things haven't changed much in almost 90 years!