  Pion Virtual Compton Scattering (VCS) via the reaction pi e --> pi e gamma
was observed in the Fermilab E781 SELEX experiment. SELEX used a 600 GeV/c pi-
beam incident on target atomic electrons, detecting the incident pi- and the
final state pi-, electron and gamma. Theoretical predictions based on chiral
perturbation theory are incorporated into a Monte Carlo simulation of the
experiment and are compared to the data. The number of reconstructed events (9)
and their distribution with respect to the kinematic variables (for the
kinematic region studied) are in reasonable accord with the predictions. The
corresponding pi- VCS experimental cross section is sigma=38.8+-13 nb, in
agreement with the theoretical expectation sigma=34.7 nb.
