Waterbury evening Democrat., 1889-02-18
SACCHARINE SWINDLERS
They Are Now Languishing in
 a Michigan Prison.
THE WHOLE GANG ARRESTED.

Ahht tic EtectTlc sugar fSeHn1nS SOI1h
 pany Was Organized for Fraudulent Pur
 poses-Stin Claiming a Secret Process
 ANN HARBoR, Mich, Feb. 1S-Mrs Olive E. Friend, her step-father, William E. How. ard, her mother, Emily Howard, Orin A. Holstead and George Hostead, the parties charged with conspiracy ill the Electric Sugar Refining company frauds, were ar. rested in Milan and brought to this city and placed in jail. In the latter part of January last, m New York, three indictments were re turned against the parties for obtaining money under false pretenses. These mdict- ments were kept profound secret. Requisi- tions were obtained by District Attorney Fellows from Governor Hill, and on these re- quisitions warrants were issued by Governor Luce Feb. 1. The trouble has been since that it took time to get Howard into Michigan. He was staying at Windsor and would not <hoss the river. Mrs. Friend returned to her home at Milan Friday. She had been traced within reach of the warrants several times, but was not arrested because they could not get Howard. On Saturday Howard, believ- ing that no criminal action could be com menced and that he could defend civil suits, IctuluSu CO dItl lllo dITeSU OI the en- tire gang followed
 Detectives Reed and Rutland, of Inspector Byrnes' force, were telegraphed for, and will arrive to take them to New York for trial
 The prisoners were visited at the county jail and interviewed by reporter Mr. and Mrs. William E. Howard were ill private bedroom on the second floor, not confined in the jail proper, but being guarded by the sheriff and his deputies. Mir. Howard is suf- fering from nervous prostration.
 Howard said ill response to questions that the one thing that he wanted to have done was to have a complete and unqualified state ment of his side of the case. He had tried to get the consent of his attorneys but they hes itated about the matter; even now he would not dare to give statement without consult ing them. He denounced the arrest as with out warrant. He was not interested in the company, and never held any of the stock except once, some five or six years ago, when five shares of the stock of the old company were given to him, so that he might vote for Professor Friend for some office, and which he afterward returned to the company, and they paid him $500. He had never held dollars worth of stock in the new company
 At the time of Friends death and prior he he was employed by the company in superin- tending the building of the machinery After llCuu oSdth SottSllu ttIlu IeODlllSon came to him and induced him to remain and finish the work. He was paid $50 week for several months and afterward raised to $50. He was promised something good, and was to have So,0OO when the first demonstration was made, S20, 900 more within month and S225,. GOO within six months.
 In his capacity as superintendent money was paid to him to pay for machinery and necessary articles for running the business Neither Cotterin nor any of the stockholders ever inquired what this money was paid for and never were to ask the question, as the contract provided that they should not ask or attempt to find out any of the secrets of the concern. He said that it was charged that he and Mrs. Friend had obtained S1S0 GOO or more from tine company, and had claimed to have used it in buying machinery and pre- pairing the building for use. This was not so: they had never received, all told from the company more than S20 900, and every dollar of this had been used for the purpose for which it was obtained. The machinery was expensive and complicated, and for maintain ing secrecy each part was made at different places. This made it cost more
 All the employees about the factory were sworn to secrecy, signing agreement to that effect, and were paid good wages on thls account. Howard was to have received S5, GOO on his contract after the last demonstration but when finished the treasurer had said they had but g., 300, and he only paid him that amount, still owing him under his contract 2,5O0. This sum, aside from his wages, was the only money that was ever paid to him by the company. He charges that while there might been some chicanery about the business Cotterill and Robinson were the head of the swindle, and it was worked for their benefit He says the whole scheme was originated by Cotterill and Professor Friend for the purpose of swindling.
 Barrels and barrels of raw sugar would be sent to the factory by Cotterill and Robinson, but every particle of that article that was sent to the factory is still there or was at the time he left the factory Not one pound had ever been used, nor was it ever claimed by him that any of it was used It could easily have been dumped off the wharf had there been any purpose on his part to defraud the company.
 He still claims that there is a secret process connected with the refining that was not dis covered when the factory was broken into The secret is only known to Mrs. Friend and the present procedure is denounced by How ard as a bluff to extort this secret from her.
 Mrs. Friend Is of medinm height and very feshy, weighing over 200 pounds. She suf- fers greatly from dropsy and heart troubles. She is a pleasant talker, but had little to say on the arrest. She thought, like Howard, that it was a scheme to secure the secret for mula. but said it would not work. She said: II alil not a particle afraid of the present aspect of the case, although I was greatly surprised at being arrested. have been at my home in Milan for the past four weeks, all that time within reach of the warrant and could easily have left the country, but have done nothing criminal and have not even received what my contract calls for Since my husband died have not received a single dollar fronf the company, except an allowance of $100 month.
 Terrible Domestic Tragedy.
 DETROIT, Feb. 1S-A Free Press special from Tecumseh, Mich, says: "A shocking tragedy occurred in this village Saturday night by which whole family was wiped out of existence. Frank l.. Silvers, a well known