The Portland daily press., 1883-06-04
HUGE sWINDLE.
Gigantic Schemes That Existed
Only on Paper.
People Duped Right and Left by the
skiing of Peter Funks."

BOsroN, June 3,--James ii. Langley alias
"Dr." Langley alias j. Henry Langley, who
is known throughout the country as the king
of Peter Funks," was arrested on the arrival
OF the Fall River boat train this morning by
central office inspectors. For years he has
been operating in leading cities oil the east and
west as promoter of stock corporations, I"
organized ON paper for swindling purposes
Some weeks since complaints were made to
Chief Ham OF the detective corps TO the effect
that Langley with others were engaged IN a
huge swinding scheme under a pretence that
they were officials Of the United States Con-
struetion and Investment Company. Persons
making these complaints asserted the com
pany was fraud aud thar through Langley
they had been fleeced, the amounts varying
from $500 to $1,000 each. The officers found
that the company existed only III the minds OF
its incorporators and that Langley was I'M
doubtedly the same person who several years
ago hastily left Boston after defrauding peo pie
right and left out of many thousands.
The 'eompany's" headquarters were fitted
up with great elegance and occupied by a
small army of clerks who were mostly
composed of I.angley's victims who We're in
duced to invest their savings TO obtain situa-
tions aud who received neither salary, divi-
dends nor principal which were all secured
by blocks OF stock in the construction COM
pany. 1t was found that the COMPANY were
sending out beautifully printed prospectus
which set forth that "Ihe United States Con-
struotion and Investment Compony, capital
stock S600,C10, authorized by its charter %
buy, sell and deal Ia new inventions for rail-
way service; TO secure patents in all countries;
to organize corporations tor the purpose OF de-
yeoping improvements and enterprises con-
neeted with railway service, TO negotiate cap
ital for the promotion of sueh enterprises; 10
bnild railway rolling stock aud TO own, sell
and lease the same to construct railways, TO
buy and sell railways, stocks, bouda and Sc
curities; to own any real estate or personal
mr. ne arxvO ar
iness OF the corporation" The prospectus
further statsd that the company had "oorres-
pondents in all railroad cities throughout the
world" The capital stock was represented as
fully paid with large surplus il the treasury.
The following were given rs officers;
James Henry NEUTRALITY-SUSPICIOUS..
Franklin r. Homer-Vice President.
Alfred L. notwithstanding.
3. +. Qaimhy Assistant Secretary and
Auditor.
VIM. 4. Rand-Treasurer.
John f. Langley Mechanical superfntend-
a. @. Rodgers-Master Car Builder.
Samuel T. Fieid-Chief Mechanical Engi'
neeer.
H. S. Nettleton--Cseneral Agent.
Mr.. olph-Expert In patent cases.
Fred 9. Smith-AIanager Canadian affairs,
Montreal.
II. Donald Armstrong; Manager q Eprc-
pean affairs, London.
M A1uul-gd&NaASt Il EtdUNc anu Sci&t&h al
fairs, Paris
The company was organized under the New
York State statute last year, the names OF the
incorporators being given as Alfred III. Boyd,
Alfred T. Ackert and o. w Josslsp, ali OF
New York, John f. Langley and one Martin.
The existence of the two alleged New Workers
could not be asceftained John L. Langley
was found TO be the uncle of James Henry
Langley. Martin says his name was forged to
the incorporation articles.
Among the assets claimed by the company
was whole town known as bridgeport,
Texas. With this town the coHpany claimed
to hold of tssdisposa 10 QC9 eco acres, the value
OF which was represented IS fabulous. Glow
ing advertisements were inserted in the papers
of country districts and the victims were nu-
merons, and through small advertisements in
Boston papers offering important commercial
positions ito gentleman With $3.50" etc,
ETC., lured many. His victims among inyen-
Tors and young men in possession OF Cash and
seeking employment we're ipnumerabe. The
Limited Live Stock Express Company in
tended 10 dupe live stock aud cattle raisers OF
the Western States, wss also organized and run
by Langley, bat how much was realized from
this source is not known. In addition the
officers find that during the last i've years
Langley has organized q score Of bogus con-
Germs. He opened an office here under the firm
name OF d. Langley & Son, of New York. The
offico was 10 he used as an agency for ths sale
OF patent medicines. He advertised Tor men
OF capital many OF whom, II IS alleged, n5
swiGdled. The stock at the agency WAS
found to consist OF square blocks of wood 50
labelled as to convey the impression that the
packages contained medicines.
Later on he organized an anti-Iat and anti.
lean company under the laws Of New Hamp
shire; West Indian GuaDa Company at Ports
mouth; Mexican Gaano Company in Maine;
Chaplain anti-friction box car company In
New York; National anti-friction box car
company in Chicago. The Continental Con-
struction Company which had many victims
who will long remember it 10 their sorrow was
another Of his schemes. In connection with
the latter concern Boston gentleman Hamed
Worreli put iuto the stock some $67 0G1. Later
on a mortgage Of company on the old State
prison buildings at Concord, n, H., was FORE
closed and Worrell found himself held respon~
aiDle for debts contracted By Langley. Wor-
relI came out Of the investment with the loss
OF fully 500, ,0C9 After the Continental Lang
ley started the Franklin Foundry Company"
ip Maine, the "Anti-Friction Journal Bearing
Company Of New York." "Jewett Wrecking
Company" at Portland. All his concerns
proved worthless while his victims form legion.
He is supposed TO have numerous eonfederates
ia various parts Of the country two of whom it
is alleged ars j. MnnrOe Hunter and james
De Vaudeville who last September open an
offics aud swindled many people here. They
are under Indictment al Northampton for
swindling farmers by raising notes given them
for moving machines. Langley is said 10 have
served term in the New York penitentiary
and also 10 have several indictments standing
against him in the west. The costly furniture
and trappings of the office Of the Construction
Company was mortgaged by him some time
since.
Some weeks ago the uncle, John III. Lang
ley, wrote to the Doctor" telling him be was
In an impoverished condition, and that al
though he knew large sums had been taken in
at the Boston office. Nettleton would not give
him any, and that If he (the Doctor did not
take care Of bin he would make 1t warm for
for the whole gang. The Doctor" replied
Immediately, telling his uncle to be Of good
cheer and he would come to Boston and see
him this week The letter fell into the hands
Of the police and led to the DOCTORS arrest He
il now in Charles street jail nominally under
$4,000 bonds, which will probably be in
creased tomorrow to 100000. 1t is learned
that 'Dr." Langley had opened an office in
New York in connection with several other
gentlemen composing his "land syndicate"
intending to run the Boston offices and other
agencies as branches.