St. Paul daily globe. [volume] (Saint Paul, Minn.) 1884-1896, 1891-06-06
SKETCH FROM LIFE.

The peculiar real estate transactions prose-
cuted by Nels c. Freder1ckson, of Chicago,
has been subject of general comment and
speculation throughout the countryfor many
months. His methods were of the shrewd
sort, but not shrewd enough, however, to
save himself and his coadjutors from pretty
serious difficulties and complications. NJ.
Hew1tson, of Chicago, was in the city yester
day as the special commissioner appointed
by the courts to protect the interests of those
who had transactions with Frederickson, as
against the claims that are being set up by
the railway companies.
e5I i
You have perhaps heard of the old aphor-
ism that runs something like this: When
YOU do man a good turn you make him
your enemy" said Mr.. Hewitson to a GLOBE
reporter. 1T is particularly applicable to
Mr.. Fredericksons case. He helped a great
many people and he made great many enc
mics. He was wonderful man. Visionary
and sanguine, he saw millions in every part
of the country Indeed, he would buy the
earth, moon and stars and all the other
planets, provided he would be given thirty
days time. He gave notes ana blanket
mortgages with the nonchalanee of a ten
times millionaire. He had over 100 agents
live, energetic men-scattered about the
all on time either way. His scheme was
to COLOMBO people according to their
NEUTRALITY-SUSPICIOUS. in one place.
Germans in another, and Bohemians in still
another, and SO on. He was man of large
intellect and far-seeing, although he did
what appears to be the most foolhardy or
foolish things. He is from twenty to fifty
years ahead of his time To show that he
had genius and originality, let me say that it
was he who first proposed the manufacture
of sugar from beets. He lost all his own
money and all his family's money in sugar
experiments in Denmark, although beet
sugar is now one of the greatest sources Of
revenue in that country.
j.
"Frederiekson began his land operations
some eight or nine years ago in Milwaukee in
conjunction with the St. Paul road. He
hadn't dollar, but soon was doing monster
business. If he wanted to buy a tract of
land he would simply give his contract for it
Then he turned around and sold it. or he
would give blanket mortgages until the ag-
gregate Indebtedness so incurred would
mount into the millions. Well, he failed for
an even million dollars. That gives an idea
of the magnitude of his transactions. His
employees in his absence, said the failure
was for $1,000 or SIS, 000 but he telegraphed at
once asking to have it corrected, making the
total 81, 100000.
i
His method was to sell lands to the farm
ers and after taking their notes he swould
put these up as collaetrals to effect other
purchases until his manipulations would
reach mountain heights. He dealt in lands
in all the Western and Southern states. l
have known him paving as high as per cent
month interest. He was perfect find for
the Chicago usurers. 1t was matter of alb
solute Indifference to him what the penal
ties were so long as he got the money And
he often paid big bonuses to third parties
who would effect sales for him. 1t was only
question of time, and the end had to come
He is now bankrupt and under cloud.
''Frederickson has great presence. Men
would write him that he had collected, say
$500, on their deals, and threatened that if
he did not pay it over forthwith they would
have him arrested. He would go to them
with such perfect air of injured innocence,
and proffer such plausible schemes, that the
chances are that he secured more money for
new ventures from them before leaving He
has gone to Europe, but he went with moth
ing. His wife could have saved little fort
une, but she refused. Frederickson actually
had to borrow money enough to run away
with