The New York herald., 1862-05-30
The Indiana Bond Issue.
TDespatch to the Cincinnati Gaze tie. I

..rN uh INDIANAPOLIS, May rs, 1882.
Astounding D,sclosares-Grea F,aud in Nro Iork-A
STATE agent Issues 81 zoo, 900 Spurious BondsPdt ef
he Bonds Rsieemei-Tsoo Wal Street Brokers Connect
ed uith the Ffaud-An Indiaad County Treasurer 40
seconded, dc. f5
The pccple Of the whole country will be startled by the
exposure OF Of the largest and most gigantic frauds
ever perpctrated n this country Previous 70 February
1859 was practice OF this State to allow the agent
OF the State, residing In the city OF New York. TO keep
constantly hand in his Office large number Of blank
certificates OF stock which were signed and sealed sx
cept by tho agent.
IL is now discovered that during the year 1859, Mr.. D.
c. Stovcr the clerk OF Hon. John Cravens the pre-
sent member Of Congress the second Cong
district this State but at that time agent Of the STATE
issued largo amount OF fraudulent five per cont stock
Mr. resigned the position Of State agent after
he had held inc once eas sno,s az 'nc ana uovcraVt y
is than likely that he continued TO issue those
fraudulent bonds during his entire term Of Office. ante
dating them during Craven's torn, IN order TO make
them valid, and II possible save his own bondsmsn
In not known 10 what amount these bonds have been
issued but more than million dollars is to have
been in existence by the confession OF the guilty parties
IL Is but justice Mr. Craveus TO say that no had no
knowledge whatever OF the transaction until few days
Tn. bonds are signed "J A. Cravens, by H. c. Grover,
None these counerfst spurious issues have
ever received here for transfer since February IL
eighteen hundred and nifty nins and the officers hers
OF course the war loan or six per cent bonds Of Indiana
being coupon bondss have connection with the Ave
Der cents or the state which Is Inscribed stock.
Colonel Hudson the present Adutant OF State learned
this fraud some months sncc and informed tho state
Authorities here OF Its existence Governor Morton went
immediately 10 New York and insisted upon an mmedi-
ate arrest and the prosecution OF the guilty parties but
Mr. A. Oakley Hall the District Attorney and Hon. Dan.
ie s. Dickinson the Attorney General OF New York, on
whom the prosecution will devolvc objected and insist
that these parties could be induced 70 take up these
bonds, when arrangement was effected between
Messrs Hall aad Stovers accompiccs 70 redeem twenty
i've thousand dollars weekly, and up TO last saturday
they had redeemed seven hundreq thousand dol
lars leaving as they assert about haK million still In
tho hands Of innocent parties
Mr. Stovey sonesses the crime, and says the funds
are an Ia the hahds Of his accomplices, two well known
Wall street brokers.
The same parties have bank at Bsllevillo New Jer
soy Of which Mr. Slower Ia the President Arrangements
have bscn made for the arrest OF tho guilty parties
Governor Morton, who 10 now At General Halsck's
headquarters Corinth teegraphsd these facts
aud Immediately telegraphsd Mr. Jshn Kbbley, Attor
nsy General Of this State and Jesse Brown one OF the
Loan Commissioners 70 90 10 New York at once, and
assst in the prosecution OF the guilty parties which vii
| be Immediately dono.
Mr. Slower Is expected here this evening telegram
from New York says eve are getting along pretty wei
with the fraudulent issues and think We will DO able
save the State from all harm"
Martin hltzer. for the past eight years treasurer
Franklin county, Indiana, recently decampsd with SOM
thirty thousand dollars belonging 10 the county II Is sal
that he has deserted hts family, and that woman, no
his wife, accompanied him In his flight he left home TO
the ostsnsibs purpose OF settling with the state Trea
surcr which he failed 10 do He Il represented a. bsin
| slightly secesh.