St. Paul daily globe. [volume] (Saint Paul, Minn.) 1884-1896, 1889-08-14
WHERE ISTHE WHEAT?
A Question Brother Sherman
Must Answer to the Buff
falo Courts.
He and His Chief Lieutenant
jailed, Charged With
Grand Larceny.
To Escape Arrest a Wolverine
Lareenist Kills a Law
officer.
Heavy Rains Convert NebraS-
ka Rills Into Raging
Torrents.

BUFFALO, n. Y, Aug. Is. AT late
hour last night Stephen +. Sherman, of
the defunct firm of Sherman Bros. &
Co., whose irregularities in connection
with the grain elevators here caused a
deficiency of about 100000, was arrest
ed at his home, 344 Linwood avenue,
and taken to the station house, where
he remained the rest of the night The
arrest was made on the complaint of E.
K. Hawks, stakeholder of the elevator
association, who Swore out five war
rants. The first charges the culprit
with grand larceny in the first
degree, and the others are for
violation of sections 632 and 633
of the penal code, which refer to the
handling of commercial paper, in which
elevator certificates are included. Will
son Ii. Sherman, the other brother, is
again missing. and the other members
of the firm and every person in any
way implicated in the recent tranSac-
tions, are understood to be out of the
city. The trustees of the Merchants
Exchange yesterday afternoon opened
the trial of the charges against the Sher-
mans. The defendants all filed ans
wers and the matter will be thoroughly
gone over. Edward c. Loveridge, late
assistant manager of the associated
elevators, was also arrested last night
and taken to police headquarters on
charges similar to those made against
Sherman. Edward G. HaW Ks was seen
this afternoon and frankly conversed on
the subject of arrest of S. F. Sherman
and F. Coveridge. He said: [ am the
complainant in this case
IN MY OWN BEHALF.
On behalf of those who, like myself,
own stock in the elevators and in the
public's interest. The elevators have
received a large amount of grain, ware
house receipts have been issued for the
amount, and there is no grain in the
elevators to satisfy those receipts. There
is shortage for which cmebOdy is re-
sponsible. and we are seeking to fix that
responsibility. We have been trying to
get at the bottom of the matter, and our
present action is for the purpose of get
ting at the actual facts. S. f. Sherman
had charge of the associated elevators.
They were under his control. IL he is
innocent of wrong-dOing he will have
an opportunity of proving it when the
matter comes to trial. Mr.. LOveridge
has been the assistant manager, and has
exercised similar powers to those
welded by Mr.. Sherman. Mr.. Lover
Idge's name is signed to large number
of warehouse receipts, as assist
ant manager, for grain which is not now
to be found in the elevators. He either
acted as Mr.. Sherman's representative
or on the assumption that he was acting
manager. We have nothing to do with
w. Ii. Sherman. He had no control
over the elevators. He did not issue
warehouse receipts for grain which is
missing. The elevator owners have no
hold upon him or his employees, and no
proceedings have been taken against
him or Them" From an official source
it was learned that the Total shortage at
the different elevators, the Lake Shore,
the International and the Dakota,
amount to S375,000. The value of ele-
vator stock recovered is $500, 900, so that
the loss to be met by the elevator own
ers is $4,000. The party giving this
information said: 1--WE have just ascer-
tanned the actual figures. The net loss
will not vary $1,000 either way from
S175,000." The heaviest loss. more than
half, will fall upon the Lake Shore ele-
vator proprietors. The loss at the Da-
kota elevator is comparatively light.