The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1891-08-06
A CLAIM SWINDLER
A Victim Tells the Story Of
His Experience.
SCHEMES TO MULCT CLAIMANTS
The Agency In Washington for Prosecuting
Claims Against Uncle Sam-The
Arrest Of the Agent.

| Especial to THE NEUTRALITY-SUSPICIOUS. DispatchJ
CHICAGO, Aug. 5.-A reluctant but none
the less startling recital of almost incredi-
Die fraud was ELECTED to-day from one OF
the victims. Not the least interesting
| feature of the case is the fact that the chief
parsonage is typical Washington claim
agent, whose operations have been SO ex-
tensively curtailed Of late by the Examiners
newly estat hsed bureau Of claims at the
national capital. The arrest at Washing
ton of Loring Il. Loomis and his compulsory
return to Chicago TO stand trial Cor num-
Der OF entertainments committed here has,
it would seem, broken up one of the most
cunningly devised plans yet unearthed to
fleece persons who hold claims against the
| United States. Loomis had his scheme
already underway and in few months he
wonld have drawn untold thousands of
dollars from unsuspecting people who con-
tded their claims to his agency" LOOMS
was arrested in Washington about July %
by Detective Greehalge, of Chicago,
on requisition issued by Gov
ernor Fifer, of Illinois, comformably TO
the finding Of two indictments for en-
bezzlement against him by the Cook county
grand Jury. His career in Chicago prior 10
his flight with some sl4 ,0O0 of other peo-
pies money, seemed TO be sort of pre-
paratory school for his more extensively
planned bogus claim agency" in Wash
lngton.
William II. Douglas, the greatest sufferer
by LOOMS rascailty, was seen to-day by a
representative of the Examiner Mr.
Douglas holds an important position in the
central grain and stock exchange, and
do not want to say anything against
Loomis for his family's sake" SAID Mr..
Douglas, but what 1 will say will DO
facts. In the first place, the published
statement that am or was in the land
claim business Is not correct. Not being in
that business myself, OF course Loomis
could not have been in iI with me. Mel
Their had at any time any connection as a
partner with LOOMS. As far as | know,
Loomis first came here year and half or
so ago. He had been, so he gave it out to
those whom ne met, IN the claim agency
business at Washington in partnership
W ith one Clarke, but the scheme did not
seem to pay. He brought here with him,
so il was given out, some $4,000, which
had been furnished him by his father.
Soon after he came here he started in the
stock and grain brokerage business. kav-
ing an office In the Royal Insurance build
ing. He leased wires and did big bust
ness and was very successful for a while.
Most OF his customers were out-of-
town people. 1 que things went against
him, because one gay he went to the bank
and drew out ali the money belonging to
his customers and skipped. In the sum he
took was $500 OF mine, which | had put
up with him as margin en- trades which
he had made for my account. That was
the only connection l had with him. He
was my broker and he ran away with my
and 0fhprS vvhnlp had
taken went before the grand jury, and on
our evidence two indictments were found
against him. L understand that after leav-
ing Chicago with the stolen money he trav-
eled considerably and then went to Wash
ington, where he resumed the claim
agency business in Washington with
Clarke. They made speciality of Indian
claims, and they sent out thousands upon
thousands of circulars. Loomis followed
the circulars to Texas where he went
around getting people to assign their
claims TO him. The agreement was that he,
or the firm, was to retain a stipulated per-
centage of this amount as compensation if
the claim was collected by them from the
government. But the contracts had little
proviso which looked harmless but meant
great deal. 1t was TO the effect that no
other charges would be made by
the agency unless extra service was
rendered or extra expense incurred This
prOElSlOu UT CLAUSE yOu see WAS 50 vague
and indefinite that under 1t the agency
could make any charges it pleased and the
people who had assigned their claims could
not object. OF course LOOMS arrest
stopped the fruition of the scheme, but it
had great possibilities for man Of LOOMS
peculiar ideas of meum and teum. Loomis
is now at Manchester, Ia The case is not
settled as was reported and he will be tried
in court on the two charges of embezzle-
ment."
A man who was well acquainted with
Loomis says that il he had not been ar
rested ne would have cleared $1,000, 0oe or
more on his agency scheme, because
every dollar collected for the claimants
could be retained by him under the ingsni-
Gus device Of extra expenses