DAYTON DAILY NEWS       DAYTON DAILY NEWS                   Copyright (c) 1997, Dayton Newspapers Inc.DATE: Thursday, July 24, 1997               TAG: 9707240187EDITION: CITY          SECTION: NEWS        PAGE: 1A SOURCE: By Margo Rutledge Kissell Cox News Service                                MISSING KIDS                      AS SEARCH WIDENS, NERVES RUBBED RAW * Investigators are quizzing a clerk who said she saw the children in herGreenville bakery.    URBANA - Investigators in the search for two Champaign County children arefocusing on a Greenville bakery after a clerk there said she talked to twochildren who called themselves `India' and `Cody' on July 9 - the same daythat two siblings with those names vanished.   India Smith, 11, and her brother, Cody, 5, vanished from the yard of theirmother's home at 1311 Knight Road in Champaign County just before 2 p.m. thatday. Their stepfather, Kevin Neal, reported them missing.   The clerk at Aunt Millie's Bakery Outlet in Darke County on Wednesday saidtwo children came into the store between 2 and 4 p.m. that day with an olderwoman.   She said the girl was looking at snacks and the boy picked up some plasticjuice bottles.   `When they were in here the little boy said, `Indi, look what I have,' 'said the 46-year-old clerk, who asked that her name not be published.   The clerk said she asked the girl if her name was "Indi"  `and she said,`No, it's India.' '   The boy with her then said, ` `My name is Cody,' ' the clerk said.   India Smith's nickname is Indi, relatives said. The girl at the Greenvillebakery had a gap between her front teeth, the clerk said. Photographs of IndiaSmith show a similar gap.   As she chatted with the children, she said the woman they were withapproached and said, `We got to hurry up and get going. Grandpa is going tothink we're spending all his money.'   The news appeared to be a welcomed  break in a case that has beenfrustrating for law enforcement officials as well as the family. By Wednesday,  family members who are beginning to show the strain of thetwo-week investigation.   Kevin Neal had a hearing in Marion County Criminal Court  in Indianapolison charges from a 1995 attempted rape. Before the hearing, his wife, Sue,confronted Gary McGraw, Cody's father. The mother of India Smith, 11, and CodySmith, 5, lunged toward McGraw, who is Cody' s father.   Kevin Neal stopped his wife before she reachedi McGraw, but Sue Neal blamedMcGraw for her children's disappearance.   In the meantime, police are trying to determine the identity of the womanwho was seen with the children, and if she could be related to the family. At his daily news conference Wednesday, Champaign County Sheriff DavidDeskins said investigators are pursuing the sighting.   `I have no reason to doubt it at this point and we're actively andaggressively trying to work on it,' he said.   He released a description of the woman seen at the bakery, which is west ofChampaign County.   She was described as white, in her early 60s, about 5 feet 2 inches, with amedium build and short, salt-and-pepper colored hair.BOX:      Related     * Indiana judge jails the stepfather of India and Cody Smith.  6ALENGTH:   79 linesILLUSTRATION: 4 PHOTOS:          Photo #1:          Kevin Neal restrains wife Sue at the Marion County Criminal Court in          Indianapolis. Sue, the mother of India and Cody Smith, was screaming          at Cody's father, Gary McGraw.          CREDIT: MARSHALL GORBY/COX NEWS SERVICE          Photo #2:          India Smith          Photo #3:          Cody Smith          Photo #4:          Map showing distance between missing children's home in Champagne          County to the alleged sighting in Greenville, Ohio.CATEG: CRIME AND JUSTICESUBJ: KIDNAPPINGNA: INDIA SMITH    CODY SMITHGEOG:  AT: SIGHTING     ENHANCER: ref9