The Portland daily press., 1877-10-03
WALL STREET SENSATION.
Heavy Forgeries of Stock Certificates Dis
covered.

Heavy Forgeries of Stock CertiGcates Dis
covered.
NEW YORK, Oct. 2.-Wall street had genu-
inc sensation today in the discovery of forgeries
OF STOCK certificates of the Atlantic Mutual In
svrance 20. to the amount of $107 O00 Yester-
uay TWO ceftihcates OF profit as they are called,
were presented to the Atlantic Mutual Insnr-
ance 20. by the Third National Bank for certi-
ncat.on as to their genuineness They purported
10 be issued for $4,000 each and were issued in
the name of VIM. 9. Gilman. On examining
the books it was found the certificates were is
sued for only 500 each aud that they were
adroitly raised to 600. The Third National
Bank was promptly notified of the forgery to-
day. Ten other certlfica of the same scrip
purDoftipg to aggregate SS7, 800 we've presented
to the company and on examinationscf thelboobs
it was found that the stock was issued by the
company only for an aggregate amount of
81, 260 and that these certificates had also been
raised cleverly. They were all issued i'm the
nameof VIM. q. Gilman. They had all been
issued since October, 1875, but the powers of
the attorney which executed them were in Gil
mans handwriting, and the first was made in
January, eS76, and the last in May, 1877. The
large portion of today's batch of certificates
came In through the American Exchange
Bank, and it is said that they have adva need
heavily on them. Most of them were present.
ed through Ii. Talmage, banker. Gilman has
an office on the corner of Pine and William
streets and alwas has been considered respecta-
BILE. He was not at his Office today and the
persons IN his office knew nothing about the ru-
mors and declined to say anything. The loss
tails OF course upon the parties who m AIDE the
loans on the raised securities. Fortunately
they are both abundantly able to bear the loss
es.
1t appears that Henry Talmage & CO., bank
ers OF No. 30 Pine street, applied to the Third
National Bank on Monday for a loan present.
ing two certificates of scrip of the Atlantic
Mutual Insurance Co for $4,000 each as col
lateral. The bank officials accepted the securi-
ties and sent them to the office of the insurance
company for Identification and certification,
They were informed late in the day that the
raised from 500 each, the amount for which
they were issued in 1876 to VIM. G. Gilman, a
broker IN insurance scrip at William and Pine
streets. The discovery was made public this
morning and the bank where Gilman trans
acted business was a scene of universal excite
| ment. The vaults were opened and his Sc
curltes closely scrutinized At American Ex-
| change Bank about ten certificates of the At
lantc Mutual Insurance Co. were found, rep
| resentlng an aggregate value of $87, 1920 and q
message was hastily sent to the of the insur-
| ance company to ascertain their true
value. A careful comparison of the dates,
names and amounts proved that
these certificates had been originally pur-
chased by William @. Gilman at different times
during the years 1875, 1876 and 1877, aggregate
| ing only $1260. On this lot of certificates hy-
| pothecated at the American Exchange Bank the
forgeries amounted to $4,000. These forged
| certif1cates were presented at the bank and de-
posted by Gilman in person, and so highly was
he esteemed by the officials that they were not
| critically examined, and the amount of money
he requested was promptly paid him. This
| amount was estimated by one of the clerks at
| between $50, 900 and 100000.
Information was received later that another
| set OF these certificates had been discovered,
purporting to have been issued for $25, COO
| which as originally delivered to Mr.. Gilman,
| were for $780, The trust company, the name
| of which could not be learned, also sent in a
long list of securities upon which loans had
been effected for large amounts. Fifteen of
the twenty-four certificates held by this insti-
tuition were not delivered, but the remainder
had been raised from $1460 to $4,000.
! No system has been adopted in making the
figures. In one instance he had altered q $50
certificate to $4,000. When his needs were
not urgent he would deposit the genuine scrip,
obtaining such percentage as bankers would
advance. The forgeries were confined to small
certificates, the original amounts ringing from
$50 to 800.
As far as the Atlantic Mutual ms, Co. ia
concerned all but three of the certificates issued
to Gilman have been accounted for, and these
were for $1C0 each. Ii is thought probable that
these have been altered like the others of the
same value to $4,000 each.