Pittsburg dispatch. [volume] (Pittsburg [Pa.]) 1880-1923, 1890-12-02
SAME AS PITTSBURG.
The Granite State PrOvident Branch
in Cleveland Also
SEEMS IN SERIOUS TROUBLE.
The Stockholders Devising Means to Re-
cover Their Money.
EASTERN OFFICE TO BE INVESTIGATED

CLEVELAND, Dec. Last Tuesday the
Cleveland office OF the Granite State Proyi-
dent Association was locked by the agents,
Max Fuerst and Maurice Maitus, to be re-
opened by keeper from justice court. A
number of attachment suits were
brought by stockholders of the local
branch of the association and other per-
sons against the agents, who disappeared.
The agents came here four or five months
ago, rented an office in the Blackstone build
ing, hired stenographer, and bought fine
furniture. Then they began business, and
in the course of few months, by plausible
talk, induced 316 persons TO subscribe for
shares of stock.
The association was ostensiblY organized
to present and operate a mutual benefit"
erty. By its methods it was promised that
any person who could pay rent Tor a house
could easily pay for and own a home.
All persons desiring to join
the association were to make applica-
tion for stock and paw monthly dues
for six months from the date of the certif-
Gates of shares before being entitled to apply
for property. An illustration will serve best
to show the plan of operation. Five shares
would purchase, in time, property worth
$500, the member paying $40 monthly. For
the first six months 81 per month on each
share was paid, and at
THE END OF THAT TIME
the stockholder was to borrow $500 for build
ing house. After the money was loaned
him he paid So share per month. The
total expense of obtaining an $500 loan was
$3.50, payable monthly in installments as
explained.
The agents here appear to have done a
good business, and SIG stockholders were
obtained. 1t is claimed that about S12, 900
has been paid to the agents in monthly dues.
The headquarters of the association are in
Manchester, n. H., but since the disappear
ance of the agents nothing has beer heard
from the home office, and the stockholders
have become anxious to learn if their
money has been invested in a bona fde in
stitution, or if they have been deirauded.
To discuss the situation a meeting of the
local branch shareholders was held in the
Office IN the Blackstone block yesterday
afternoon. Nearly 200 stockholders ex-
pressed their interest by attending the
meeting, which was held with closed doors.
j. F. Grether was elected chairman and J.
C. Foster secretary. The first business
exclude newspaper reporters. The Justices
keeper, w. H. Hudson, was appointed SER
geant-at-arms and ordered to guard the door
and plug up the keyholes. A statement
issued by the home Office on September /,
1890, showing the assets of the association
to be SIG, 969 06, was read by Stock
holder Bensall. Somebody asked if
anybody knew that there was such
an institution az home Office or chartered
association. Nobody knew, but one or two
thought there was headquarters in Man
chester. n. H. The ex-attorney for the miss
ing agents, j. NJ. Hurlburt, Esq. arose to
explain to the stockholders the meaning OF
the fine print on the back of the certificates
Of stock, which many had overlooked. Mr..
Hurlburt has
ATTACHED THE OFFICE FURNITURE
to secure his fees, and the stockholders en-
wed him his good fortune in having a first
mortgage upon the plush-covered arm chairs
and settees in the room. They listened to
him for a time, and then a shareholder
asked the lawyer it he was q stockholder.
Mr.. Hurlburt replied that he was not fnan-
cialIy interested in the association. A
stakeholder intimated that he did not care
to listen longer to the legal gentleman.
Then someone moved that Mr.. Hurlburt be
allowed to proceed with his speech.
81 move to amend so that he be allowed to
retire." said another.
This motion was seconded and put.
"Aye," shouted score of voices. There
were no audible mays" and the attorney
gracefully retired and Joined the reporters
on the outside.
Then two or three German stockholders
grumbled because the language used at the
meeting was English. The colored stock
holders objected to German as the official
language, but the chair surmounted the
by translating the English
speeches into German. 1t was explained
that the bylaws OF the association provided
that local board of directors must be
elected before loans would be made in this
city, and that none of the stockholders
could borrow money with which to pur-
chase property until such board was organ
lied and approved by the general board of
directors. Several shareholders proposed to
elect such board. There were others who
desired that a man be sent to Manchester
and to New York to investigate the affairs
of the association and ascertain if it was a
bona ide organization doing business on a
sound financial basis. There were some
stockholders who objected to paying out
any more money even to learn if the invest
nent they had made was a good one or if
hey had been victimized.