New Orleans Republican. [volume] (New Orleans, La) 1867-1878, 1870-10-23
A ASTOCK.JOBBING OPERATION.
High Contracting Parties to a Wall Street
Scheme.


About the first of August last it was made
the stock of the Parkersburg branch of the
Baltimore and Ohio Railroad to the extent
of $4,000, 900. One Mr.. l.. Crawford, who
had been the Treasurer, it was alleged, had
forged the signature of the President,
William W. Vanwinkle. This fraudulent
stock had been hypothecated as collateral
security for some 5000, 900 or 100000. The
money was raised upon the stock chiefly in
Baltimore and New York. Crawford, it
appeared had none of the money had led a
quiet life and had no means of disposing
Of it.
His being assigned the respOnsi ble position
was rather remarkable, not having average
intelligence. This branch (Parkersburg) of
the Baltimore and Ohio Railroad was very
desirable to the latter, and also to the
Northern Central and Pennsylvania Cen
tral, because it cut the connection of the
Baltimore and Ohio. The depreciation of
the Parkersburg stock was a great object to
those who favored the Baltimore and Ohio
Railroad, because it kept off her competitors
from laying out much or venturing much for
the purchase of it, and whether such man
was selected for the purpose of being made
a victim Of SO that the stock should 90
down, is not known, but that result was di-
rectly accomplished. Enough has trans
pired to show that some three parties of
high commercial standing availed them
selves of the situation and received the
money advanced upon this stock.
The New York victims who had advanced
money upon the fraudulent stock employed
John Henry keene. Jr., of the Baltimore
bar, as their counsel. Under his advice de-
tectives from New York, Chicago and Rich
mond were cmplOyed-in all some nine.
To each was assigned a special duty, and no
information afforded any one of the detec
tives that any other than themselves were
engaged. Nor did any one of them know
the ultimate object or the motive of his in
vestigation. The result was that deposits
were traced to New York banks CORE
spending with the sums raised upon the Sc
curties the day after they were offered.
These deposits were changed from day to
day and transferred to Chicago, and thence
to Fredericksburg. and thence to Baltimore.
The discovery of one led to that of the
others. These detectives were then dis
charged and a fresh relay obtained, no one
of whom was ever brought in contact with
the other, each performing separate branches
of service, Some six weeks were occupied
in the investigation, and some ten thousand
dollars expended in making it. 1t is said
that at last, through some agency, papers
were secured which showed the distribution
among the three, and the result has been
that sooner than suffer the exposure, the
parties implicated made one settlement
upon small claim upon the surrender of
the papers, which had been, however, pre-
viOusly photographed
1t was currently reported that large
sum, being the balance upon the issue of
false stock, was settled at eighty cents on
the dollar, the parties preferring that to the
exposure to which prosecution would have
led.
The success of the investigation is owing
solely to the new mode of handling the de-
tectives-rnaking them perform the service
without disclosing to them its aim or object,
so that they We're not in a position to have
their virtue assailed by counter propositions
from the enemy.
Nothing has transpired to g i've any clue
to the parties, nor do even the detectives
engaged in the matter know its results. Mr..
keene went into the matter upon contin-
gent fee, and,s it is said has realized some
$75, 1000 from the settlement.