Evening journal., 1889-11-27
a WHOLESALE SWlNDLE.
A Western Real Estate Firms
Game of Grab.
RICH AND POOR OUT $1,000, 900.

Thousands Of Farmers In Kansas ama
Iowa swindled by Rredericksen a Co.
Hundreds OF servans oivIs Lose TheIs
Hard Earned Savings.
CHICAGO, nov 2T.-It is now said chat She
amount involved in the alleged fraudulent
transactions of Fredericksen Il Co, in CON
nectton with which their cashier, Bidgood.
who was arrested, villa reach 81 ,000. GOO. Tha
rhnrgr is based on alleged crooked tssnszae-
tions ins giving mortgages on lands to which
the Fresleriokserm had 40 title. These mort
cages are said to have been p1odged as 80
ourity for loans. FredcriclTsen & Co. have
heen doing large business In western rail.
road landa, selling for the most part small
tsnats Of forty or fifty acres on the INSTALL
mFnt plan the purchasers usually being inn
migrants or poor people who wished TO in
yes9 their earnings in farms
Many Worthless Mortgages.
After a certain number OF payments had
been madc Fre1ericksen gave a deed, mort
gage on the land being taken for the unpaid
portan Of the purchase money. These mort
cages II is alleged, were then given as col
lateral for loans or sold outright through
the west
Amoag others ex-Governor j. A. Rice. o4
Wisconsin; r. Nunnenmchar, cashier OF the
Merchants Exchange bans. OF Milm,ukee.
and T. G, Comstoca, a Milwaukee lawyer.
nro said 70 have been large buyers It is
now claimed that many Of these mortgages
are worthless When seen at the station Hid-
good stated that bis connection with tlie com
pany was purely as cashier and that Be did
not SEQ how be could be- implicated IN Fred
ercksen's transactions The business, he said
amounted v 1000 acres year, but he could
NOT say how much of this was ia mortgages
i q. CoHie said that he represented the
interests Of his father-in-law, ex-GovernoF
Rice, Of Harlnnd, Wis, who, he said was =
loser 70 the extent Of 100000 or more by
the alleged fraudulent operations
Working People swindteds
"The charge we make be said, ''is that
NJ G. Fredericksen, Bidgood and D @. NJ
frederiehsen ept up fraudulent mortgages.
went out on the street and gave men s. to
sign them. Then they went TO capitalists
with the mortgages and raised money on
them. They gave mortgages on hand IN
Minnesota, Dal1oia and other parts of tho
northwest There are hun0nNa oi working
% the Fredersksens. thinking they were
buying land, and now find their deeds worth
less. Many Of tsnse mortgages were placed
in Milwaukee,
Bidgood Says He Is Innocent.
Bidgood was arraigned m police court
and his case was continued till Saturday in
bonds % $4,000 The prisoner looked Is II
Ap had spent the night ID wakafuiness ana
tears. He declared his entire Innocence and
tsserts that he never had reason 90 suppoaa
tlat the business 0f Fredericksen g Co was
ether than strictly legitimate.
Two Hundred Servant Girls Are Victims.
There are about 200 servant girls ia this
city, said Alr. Cowie, "who invested from
$50 70 S4O0 each IA these bogus lands, and
who, OF course, have lost alf But aside
from these there are bankers in Chicago whd
hold a lot Of alleged mortgages, which they
might as well throw in the fire. He de-
clares that he will secure the arrest OF the
missing fredericlSsens if it becomes neces
sary % follow them SO the end Of the world
The Concern Has No Assets
Helge A. Hangar, the receiver appointed
by Judge Shepard for Fredericksen 20 Co,
asked leave of Judge Shepard to resign his
reeeivership He says that he has been ahls
70 collect only Ss2 80, and that the concern
mas no assets except some apparently worth
less papers. He sees no need Of a receiver,
there being nothing to receive.
IL Is stated that eight or ten eastern cap
italsts contributed 100000 to the Golfers of
Fredericksen q Co, and t. g. Comstock,
Milwaukee capitalist, drops about S7O,0 ,000
One Man in $3.50, 900.
DR. John a. Rice one of the victims Of the
swindle said: "a hold $3.50, 600 Of mortgages
sold me by Fredericksen and every one of
them bears written guarantee, signed by
Fredericksen, that the mortgages are good
Most Of them now find 10 be worthless
had faith in Fredericksen because l knew
that good Chicago men were backing him
know that thousands Of settlers in Kansas
and Iowa who suppose they have paid for
their lands have no title TO itn