The sun., 1891-05-03
aorrscnA1x,s DEALINGS IN soxDs

The Detectives Say They werenr Regular
Bruins Gottschalk. q !" banker" OF .05o Third
avenue. did big business dealing In German
and other kinds OF bonds until Thursday last.
whom he was arrested By Detectives Heidel-
BERG and Dolan OF Inspector Byrnes's stan.
He fs In the Tombs waiting for same one to 70
on his bail for $4,000. Joseph Hoffman
BROOKLYN bought bonds from Gottschalk.
They were reputed 10 be worth t26S. A few
weeks ago Gottschalk called on Mr.. Hoffman
and told him that the books In his Office had
been DESTROYED. and that he wanted the bonds
for q day or two SO that he might reenter them.
Gotischalk gave . receipt 10 Hoffman. and
promised to return tho bonds in few days.
Hoffman waited several days and then asked
Gottsohalk for the bonds. aottschalk denied
all KNOWLEDGE Of them. Then Hoffman had
warrant charging him with larceny issued, and
Gottschalk was gathered In. His examination
is TO take place at tho Tombs Court In few
days.
Inspector Byrnes's detectives know Colts
chalk very we'll. although this Is the first time
they have found any ono to give evidence
against him. Ho has been selling bonds In
this city for several years. He had place In
Ninth street. they say. and did fourishinR
business there until some people made the
u0iSnpothOVu tOO uIboRT0eHDle IOT MIN. Iucu
he went up to Third avenue. Tho detectives
say they have been informed that hs served
three years term in the Pennsylvania State
prison for swindline.
6ottsohalk has many agents. They 20 about
the city looking for customers.
"Gottschalk sold his bonds on the INSTALL
mont plan" said ono Of Inspector Byrnos's mon
who had Investigated his methods to . Sun 70.
porter yesterday. when person agreed to
buy series Of bonds Gottschnlk or one Of his
agents gave certificate to him. The certia-
Gates have seen arc attractive and valuable
Of TIE syS. and ia Of parchment They are
81 s M he Snrs big G
.ns s S .ps
Of Ssnds 1Rss sho hs as
hss T:s. sns5s Oh Il. Srs sssy Of e M S
Eh H. os os s. SSsdsD &c
Sly Az t.!Ler who showed him sa,l0 certiiieste:
Even %9re sanay the S'hs The
Is6a:.s,.a Ssq:s .I o:i.a!s ,nst
.2oo ssries. the banker g take the 800 Ger
cases out OF ton the bait was taken. II the
buyer insisted that he wanted his bonds he
generally receiyed bonds not worth half the
value Of the 500 series. Very few people de-
tected the swindle. because they didn't know
much about those foreign bonds. II any one
found ont after tho tran nsactton had been closed
that he had been swindled. he couldn't do any |
thing, for the certificate containing all the evi-
dencs was In the hands Of the banker In
tho case OF tho man who AK roed to buy $500 |
eerios OF bonds similar game was played.
Sometimes for vory good reasons. Gotts. |
chalk has given the correct bonds to buyer.
Another scheme was worked In this case. He |
told ono OF his agents all about the purchase
whom the man received the bonds. q few OF |
their numbers. and other things that would |
chow he knew. something Of the transaction. |
This agent then went 70 the buyerNpd told |
him that Gottschalk'e books had been de- |
stroyed. He explained that II was necessary |
to keep Q record OF tho bonds. and asked the |
man to let him have them for . few days in |
order to re8nter them Tho knowledge shown |
by the agent convinced the buyer that every |
thing was all right and the bonds were given |
up. the man getting receipt for them. When |
be didn't get his bonds back at the time prom |
lsed he went to Gotteohalk. OF course. Colts
chalk denied that he knew anything about the |
man who took the bonds. and coolly niormed |
his customer that he had been swindled Tho |
man who had Gottsohalk arrested wouldn't |
kive the bond. to the agent Then .Gottschalk |
won't 70 him and and Hoffman let him have tho |
bonds, Gottsehalk trisd to bulldozs Hoffman
whom he 99ked the banker for an explana;
Hon. but Holman wouldn't take the bluff |
lhink 10 have good case against Gottschalk."