St. Paul daily globe. [volume] (Saint Paul, Minn.) 1884-1896, 1889-11-27

Fredericksen, and every one of
them bears written guarantee signed
by Fredericksen-that the mortgages
represent purchased land on which the
amount OF the mortgage has been paid.
OF the whole $4,000 worth l know of
number which
ARE ABSOLUTELY vALUELEss.
"BesldeS myself, as has been stated,
Cashier Nunnemacher, of the Mer.
chants' Exchange bank, Milwaukee, is
one of the heavy losers, and c. ID. Ken
bricks, prominent real estate broker
of Milwaukee, has lost every cent he
had, and has been forced to assign"
How did it happen that men of such
experience as MIR. Nunnemacber, Mr..
Hendricks and yourself could be so de-
ceived?"
"That is one of the peculiar features
of it. You see we knew Chicago men
had been backing Fredericksen and it
was because we supposed they had in
yestigated him that we trusted him.
Kendrick, for instance, is an ola abstract
man and is the last man one wonId
suppose could be taken in by man
ufactured mortgage, but he was.
''Stephen RawSon, Chicago banker, I
am told, knew some time ago that Fred
erickson was not all right, and stopped
doing business with lin. In spite of
his knowledge of the man he was left
with large amount of Fredericksen'S
paper oh his hands with no security but
the same kind of mortgages we all hold"
II am not eXaggerating when | say that
thousands of settlers in Kansas and
Iowa who have, as they suppose. paid
for their land and got deeds from Fred
erickson. have absolutely no title to it.
The plan in such cases was a
yltn
get an option on tract of land from
some railroad company and represent
ing that he owned it, would sell farms
to ignorant emigrants, pocketing their
money and giving them deeds to the
land. If anybody questioned the title
Fredericksen would furnish an abstract
showing clear title. The purchasers
of these lands" said Rice, knew notn-
ing about the records, and took it for
granted that
EVERYTHING WAS ALL STRAIGHT
"HOw did Fredericksen get abstracts,
and how could fraudulent deed or
mortgage be acknowledged before no.
tary public without arouSing suspi-
ciOn?"
Easiest thing in the world. There
were three notaries in Fredericksen's
office who certified to anything, and
every man in his employ who was old
enough signed deeds and mortgages in
blank, which Fredericksen filled out at
his leisure" DR.. Rice makes the asser-
ton that six weeks ago Fredericksen
confessed that he hired men on the
street at S. apiece to sign mortgages,
and we made him give us the addresses
of those men. Besides the ten men IN
his office who were parties to the con-
spiracy. we have the addresses
of SpVpOtv-flyp mpn who cipOod
CAGES for land they never owned. Every
one of those men will be arrested. as
will all of his Office force" DR.. Rice
refused to give the names of the men
who are to be arrested. but said that
they were under surveillance, and will
be secured as soon as a conference
can be had with States Attorney
Longenecker. This will be tomorrow
morning, when Mr.. Nunnemacher. who
is expected from Milwaukee, will join
DIR. Rice, and the plan of the prosecu-
ton and all be determined upon. DIR.
Rice added: ''If we ever get Frederick
son back, we will prosecute him to the
FULLEST EXTENT OF THE LAW.
Six weeks ago, when he confessed to
Mr.. Nunnemacher. Mr.. KendrIek and
myself that he had been issuing fraudu-
lent deeds and mortgages, ! was in
favor of having him arrested, but my
associates thought the affair could be
tided over. We did hot know then the
enormous extent of the fraud and sup
posed $500. 900 or 100000 the limit.
We left Fredericksen to 90 ahead and
form stock company, with 100000 to
carry on the business, and we took most
of the stock. just at that time news of
other crookednesS. of which we knew
nothing, was published. and Fred
erickson skipped. Since then we have
been in receipt of dozens of
letters daily from all over the West.
The exposure has been complete" Or.
Rice says large number of the large
dealers in railroad lands in Chicago
hold good deal of Fredericksen's
paper. but are keeping quiet about it
for fear it will injure their credit.