St. Paul daily globe. [volume] (Saint Paul, Minn.) 1884-1896, 1891-01-16
Government Officials Pounce
Upon the Claus Spreekles
Refinery.
Evidence of the Existence Of
a Gigantic Conspiracy
Unearthed.
A New York Banker Arrested,
Charged With Selling Lot
terry Tickets.
Denver's Chief Of Police, Haw-
ley, Shot Down in His
Tracks.

PHILADELPHIA, Jan. l0.-Dptcldi
Agent Chance, of the customs service,
made an important discovery few
days ago which gave evidence Of the
existence of gigantic conspiracy to de-
fraud the government out of legitimate
revenue. By the meresJ accident he
was made aware of the fact that there
was lowering of the sugar entries OF
W. Ford Thomas, representing the
Claus Spreckles sugar refinery. Col
lector Cooper at once started an investi-
CATION IN conjunction with Special
Treasury Agent Hanlon. 1t took but
short time to show that fraudulent
alterations had been made in the sugar
entries, and the casual examinations
led to the opinion that the amount
of money out Of which the gov
eminent had been cheated was al
most $4,000. Collector Cooper, with
view of protecting the govern
ment, made an Immediate demand
upon G. A. Spreckles, for the
sum of $4,000, believing that sum
would cover the extent of the fraud,
Mr.. Spreckles handed to the collector a
certified check for that amount and
this, 1t is believed, will fully protect
the government. The district attorney
will at once institute an investigation
with the view to the prosecution of the
offenders. The discovery was made on
Monday last and the investigation be-
gan on Tuesday. On that day Collector
Cooper sent for Mr.. Speckles and his
broker, w. Ford Thomas. Both denied
all knowledge of the fraud. When in
formed of the probable loss to the gov
eminent, Mr.. Spreckles at once offered
His Certified Check
or any other security required to cover
any amount of loss pending investiga-
ton and reliquidation. The method
pursued shows that one or more per-
sons in the appraisers Office acted with
some one on the outside supposed to
represent the Spreckles refinery. The
way the scheme was worked was to so
change the figures on the invoices
which showed the pOlarlscOpe test OF
the sugar as to reduce the amount OF
duty to be paid. Tie government Off
Gals said this afternoon they had not
proceeded far enough with the lnvestl-
CATION to warrant making known the
names OF the suspected persons. Adolph
afternoon and asked for an explanation.
Without reserve, and with entire will
ingness, he told what he knew Of the
affair, prefacing what he had to say
with the remark: ~ would like, to
know the motive for this, which, to my
mind. is nothing more than cOnspir-
acy." Continuing, he said:
Conspiracy Suggested.
our house. 1t may be the design is to
damage Mr.. Thomas. who has been in
our employ for eight years. He has
been faithful and honest man, and in
our experience we have never seen any
thing to cause us to question his integ-
rity. He could not have profted by it,
for the reason that he is poor man
and has a family. Mr.. Thomas has
been aggressive in looking after our
interests, and in demanding our rights
has been instrumental in having three
or four governments mployes discharged
for being concerned in frauds. 1t may
then be a conspiracy on the part of
some one or more persons to drive him
out of the business. We desire the
fullest investigation, and we have moth
ing to conceal. We would rather pay
five times the amount than have any
wrong committed by any one in our
employ or representing our establish
ment."
When it was suggested to Mr.. Spreck-
les that Mr.. Thomas may not have paid
the full amount of the checks drawn by
the firm, Mr.. Spreckles said: 81 cannot
think Mr. Thomas has done any wrong.
lie has done all our brokerage bust
ness. and we never had any occasion
r. L L.
always been above suspicion. If it is
not conspiracy to injure him, it is an
effort to injure us through him. Every
thing is open for examination by the
government officials. regret the mat
ter has obtained any publicity for the
reason that | do not think it right that
even suspicion should rest upon us. l
am at a loss to understand what it all
MEANS"