The New York herald., 1865-06-27
GIGANTIC SWMDLE EXPOSED.
DISCLOSURES IN OIL SPECUL ATOMS
The United Service Petroleum and
Mining Company Shown Up.
ARREST OF THE VICE PRESIDENT.
Prospectus Of tho Company Capital
Stock $500, 900,
&s.. &e., &s.

grand espess Of the internal workings Of Ths United
Service Petroleum Company" took place before Justice
Dodge q the Jefferson Market Police Court yesterday
afternoon. Mr. W. D. Mann, Vice President and General
Superintendent Of Of the new oil companies, has
been arrested by ocer ANDRE Of the court squad the
complaint Of Mr. George D. Kellogg, residing at No. Se7
West Twenty third street. who charges Mann and Daniel
straton, Jr al partner Of Mr. Mann in tho petroleum
and mining business with having defrauded him by
means Of false and fraudulent representations.
The complaint alleges that stratton Mann,
obtained subscriptions to the amount Of for cer
tain shares in the capital stock Of the United Service
Petroleum Company, named institution which they
advertised having $500, 900 capital in one hundred
thousand shares Of IS each and that the accused paes
had obtained money from several gentlemen whom they
had roped into the Manu. who taken At the
Astor House. committed to await an examination
His partner sratton, is absent from the CITY, but steps
have been taken to secure his arrest.
Below may be found affidavit and other papers
throwing further light upon the matter
George d. Kellogg, 367 West Twenty third street. being
deposes and that about the 5h day Of
February, 1866 he induced to visit A. d. Mann, ut
his Office 24O Broadway upon such visit found there
present Daniel Sratton Jr, and that said Mann and
Sraon did then and there represent to this dcponent
that they had purchased valuable oil lands in Ohio and
Pennsylvania for the purpose OF forming an oil compa
NY which had actually cost them $45O00, and were to
be put into company which they were about organi-
money had been subscribed for and in addition thereto
the Of SIS 600 for working capital to develop said
lands that said Mann had been appointed trustee to
complete such purchase and conduct the business until
such company could be formed that said Mann had sub
srbcd $4,000 and said Stratton So 200 toward said
amounts that II deponen would subscribe 81 00O he the
said Manu. would let deponent have 900 of his said
Manns) subscription provided said Straton would part
with similar amount Of his (said Sratton's) subscrip
tion to which said Stratton assentcd It further
stated at that time by said Manu. that said Straton
about leaving for the West TO complete the purchase Of
thcr sayeh that said Mann and Sratton then and there
exhibited to him paper purportng TO contain full de-
scrpton OF said lands represented TO have been
chased by them aforesaid and which description
substantially the the several lots parcels Of
lands mentioned by the numbers from one to
ten inclusive, and the annexed prospectus Of the
United Service Mining and Petroleum Company [then
follows an elaborate advertisement Of four fooscap
pagesl stating the time that the said Mann and
Statton had carefully selected and purchased said lands
and that the investment was valuable one Deponen
further saith that relying and believing the said
representations of said Mann and Stratton being
trey true and believing that they had purchased the
said lands and had paid OF were to therefor in good
faith the OF s4b, 900, he induced subscribe
towards the same and that he paid to the defendant
Mann, $500 account Of said subscription Deponen,
further saith that the subscribers Tor majority Of hem
TO the fund Of 100000 aforesaid met in the city OF
Washington, d. c., about the beginning OF March, 1865,
| the defendant, Manu. being present and consenting
thereto, and authorized Generals W. 8. Hancock and
William Hoffman, OF the United States Army and Messrs
Hllyer Hotchkiss Marks Chadwick Church, this depo-
nent and the defendant Mann to form company under
the laws of the State of New York under the corporate
|
Company and directed the trustee of said subscribers
10 WIZ SAID Mann, 10 convey the properly aforesaid 10
said company as soon as organized That the said com
| pany organized about the ninth day Of March,
1868 and that on OF about the 10Th OF said month the
trustees aforesaid, or majority OF thcm, assembled IN
the CITY OF New YORK and organized, ana that TINS
deponent was then and there elected secretary
OF said company: Deponent further saith that
The prospectus OF said company was prepared
by the said Mann ana pubished oy MN about the 10th
OF March last and was not seen by deponent until after
the same was printed and published and that the said
Mann represented 10 this deponen that all the matters
the defendant straton the two spoken Of
In said prospectus as having selected the lands therein
described Deponcnt further saith that relying upon
the representations OF SAID sann ana sraon and upon
the contents OF SAID prospectus ne mas since the same
was published procured among his friends further sub
scnptions 10 the amount three thousand dollars
towards he purchase Oh SAID ianos and mas paid tne
same 70 sad mann as trustee peponeht iurther sa.h