The New York herald., 1879-09-06
How a Broker Was Induced to Sign a
FNe-Hundred- Dollar Check.
ALLEGED BLACKMAIL
Complications Arising from "a Town
Treasurers Speculations.

Police Justice Duffy, told to Superintendent
Wallng yesterday by Mr.. T. Potter Wight. OF the
firm of T. Potter Wight Co.. of No 80 Wall street.
well known for years as bankers and brokers.
Mr.. Wight says that about January i, 1875 Mr.
James g. Goldsmith, formerly Treasurer OF Peru,
Ind. opened account with his firm by letter,
and for over seven months he continued to order
certain purchases and sales of stocks putting up the
customary margin and operating in the usual line
of stocks in the market. During the eight or nine
months that the account was carried. Mr. Gold
smith lost about 81, ,SO0 and accepted a statement
showing his losses without making any demur at
the time He had never been known to Mr.. Wight
excepting by letter. having never had personal in
terview with him. and the next that the latter heard
of his former customer the news that he had
proved defaulter to the town of Peru and had fled
from the place, leaving deficiency in his accounts
of about $1,000. This was about July l, and nothing
more was heard of Mr. Goldsmith until some weeks
afterward. when he arrested at the Revere
House in this city, and taken back to Peru by Detec
tive Shelley. of Police Headquarters. a requisi
ton from the Governor of Indiana.
DETECTIVE INVESTIGATING ACCOUNTS.
About month ago Shelley called on Mr.. Wight,
having returned from Peru. and, finding only
clerk in the Office. left word that he wanted to
Mr.. Wight personally on important business. and
that would be for the latters interest appoint
IN interview with him. Mr.. Wight did SO, and the
two met at the office Of Mr.. G.. b. Ashley, No. 70
Cedar street. Here Shelley said that Goldsmiths
bondsmen had made good the deficiency in his &C.
counts, and that the criminal proceeding that had
been begun against him had been dropped. Gold
smith. however. had complained to his boudsmen
that Wight Co. had not dealt fairly with him. and
that the money, portion of it, which they de-
clared he had lost in his speculations had kept
by them Shelley said that on this statement he mad
tn In vasfi ataf fha
standing Of the firm and their mode of doing busi-
Mr.. Wight referred him at once to his counsel.
Mr. Ashley, and to various well known firms on
1.-THE street." and offered to allow him to inspect
Mr. Goldsmith's account on the books. After con-
perfectly satisfied. Two days afterward, however,
he called again at Wight Co.'s Office. and again
the firms business. The clerk cannot tell all that
Shelley said. One expression he used however. the
CLERK says was: This game isn't square one and
minutes without breaking anything up, and far,
IS Mr. Wight is prepared to testify positively. has
taken further steps in the matter.
PRIVATE DETECTIVE STEPS IN
A few days after this man went to Wight Il Co.'s
Office and introduced himself Mr.. Mercer. of
Chicago, saying that he wanted to speculate
a margin and Offering $50 deposit tor opera
tions. Mr.. Wight refused the money, saying that
the firm did not do business with small amounts,
but told him that there places the street
where he could operate with $50 less. Mr..
Mercer went out but in few minutes returned and
said that he had received telegram and must leave
town. Mr. Wight was not particularly Interested in
some perplexity when he heard that Mr.. Mercer
called the next day at Mr. Ashley office and inq uired
for him (Wight), evidently expecting to find him
there. Why he went to Mr.. Ashley's Office Mr..
Wight does know he told the stranger nothing
about that place. Mr.. Mercer did not appear again
personally but two three days afterward ton
Monday, August 1s) the following advertisement ap
peared in the HERALD:-
DARTlES DOING BUSINESS WITH r. POTTER
i Wight a Co., 81 Wall ST., address W. MERCER 10
East lUoth ST.
Almost side by side with this advertisement was
M
GERS Private Detective Agency is located at No 40
East 1O5th street Mr. Wight, not fancying the idea
o. private detective advertising for correspondence
with his business connections. went immediately to
Counsellor William f. Knitting and told him the
ttory up to this point Mr.. Knitting went with him
to superintendent Walling and asked him to sum-
mon Mercer before him and demand an explanation
OF the advertisement. This Mr.. Walling refused to
do. saying he had not the power, though he seemed
A STRANGER TAKES A HAND.
few days later the janitor of No. 35 Wall street
says he Detective Shelley come to that building
with another man and point out to him Wight Il
Co. office. He then went away, and the went
into the office and delivered the following letter.
DEAR sn-rho e.u.s Of SsE Ss,on 9osk D" august M s7
hereby give notice that if the paid at once
lcc the You must be of your liability in con
probe this thing bottom the infor
nation which have received within the last fow days
Yours truly, GEORGE ii. HUNTER.
corner Centre and Chambers streets
Mr.. Mays account, Mr.. Wight says, is one that
was closed by Wight Co. III 1875 and there is in II
disputed item OF OF $780, 1t in htisa-
tion however. Mr.. Wight again sought Counsellor
KNITTING. who inquired of Clerk Hogan. OF the First
District Court who Mr.. Hunter Mr.. Hogan SAID
that hunter was not connected with the Court in
any way. but that he brought a good many suits
there on assigned claims. MIR. Knitting theroupon
sent for Mr.. Hunter and asked him what he meant
by the letter. denouncing IT as an attempt at black
it alleged gave no explanaton but left Kntzings
Office saying ho would nave Mr.. Wight arrested at
once. At this point Mr.. Hunter disappears from
the story, MIR. Wight not having been arrested.
MOVE.
The next move was made on Thursday night. At
about ten p. NJ. Mr.. Wight came to the door of his
house in Madison square with two ladies' and two
men followed him up the front steps and through
the front door. As they entered they asked for Mr.
Wight and that gentleman answered that Mr.. Wight
could not be at that hour They followed him
up stairs, however, and into the front Apartment
when the elder intruder said, ''Ar Wight, you know
me very well. am MIR. Goldsmith, of Peru. want
to talk with you ON very important business" MIR.
Wight thereupon invited him into another room,
which he private Office and there talked
with him, the other man remaining at the head Of
the stairs until he called.
The who called himself Mr.. Goldsmith was
about forty years old tall and well made. with black
curly hair. black eyes and slight black beard. lie
wore dark business suit and appeared like a man
OF fair position Mr.. Wight believed ut first that il
was Goldsmith, but is now IN some doubt about it,
He cannot describe the other further than to
ne light clothes, seemed to be abo ut thirty
hve and was of an interior appearance. Gold
smith" talked earnestly ana oven ncoherently about
his losses saying that by his cmbezzlements he had
laid himself liable to be sentenced State Prison.
and that he determined to have portion of tho
money he had sent to Wight a. Co. restored to him.
He claimed that there ! L. 200 him and de-
manoed that nr. Wight should 90 over the accounts
with him.
To this Mr.. Wight agreed, saying that he would
be glad to go the books the morning ut his
Office. but denying that there was any thing wrong
in the account Goldsmith" then demanded that
payment should be made at once. saying that If it
not the man outside, who court officer,
would arrest Mr. Wight there and then that he had
awarrant from Justice Duffy for the arrest. Mr..
Wight asked TO the warrant, and the other.man
was called in. When Goldsmith" asked him to show
the warrant he took out q pocketbook such court
officers usually carry warrants in and looked in IL
for the paper. lilo then said he did have it
with him. "wcll, go and get it," said Goldsmith" !"
ana turning to Mr.. Wight no added, 'Shecy and
superintendent waling are outside. They are going
to this through"
The younger man went out and returned almost i'm
mediately with a paper, which he showed to Mr.
Wight. lie read IL. and never having seen warrant
ha 'la atur of