The Helena independent. [volume] (Helena, Mont.) 1875-1943, 1891-08-08
1t Would Doubtless Have Melted
Him Fortune in Short
Time.
But q Cruel Illinois Grand Jury
Indicted Him for Embez-
element.
He Set Up as Claim Agent at Washington
"A ProviAo That Looked
HnrnlesA

OHlCAdos aug IA reIuCbant Dut none
the less startling recital of almost incredi-
BILE fraud was ELECTED to-day from one of
the victims. Not the least interesting fea-
ture of tho case is tho fact that the chief
parsonage is u typical Washington claim
agent, whose operations have been 80 ex-
tensively curtailed of late by the San Fran
cisco Examiners newly established bureau
of claims at the national capital. The ar
rest at Washington of Loring B. Loomis
and his compulsory return to Chicago to
stand trial for number of embezzlements
committed here has, it would seem, broken
up one Of the most cunningly devised plans
yet unsarthed to fleece persons who
hold claims against the United
States. Loomis had his scheme already
underway and in few months he
would have drawn untold Thousands of
dollars from unsuspecting people who con-
AIDED their claims to his "agency." Loomis
was arrested in Washington about July %
by Detective Greenhslge, Of Chicago, on a
requisition issued by Gov. Fifsr, of Illinois,
conformably to the finding Of two indict-
msnts for smbezzlement against him by the
Cook county grand jury. His career in
Chicago prior to his flight with some $14,-
600 of ether peoples money, seemed to be q
sort of preparatory school for his more
extensively planned bogus claim "agency"
in Washington.
William H. Douglas, the greatest sufferer
by Loomis' rascality, was seen by a repre-
sentative of the Examiner. Mr.. Douglas
holds an important position in the central
grain and stock exchange, and owns a
fine residence in Hyde park. Now
do not want to say anything against Loo
mis for his family's sake" said Mr.. Doug
las, "but what | will say will be 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
time any connection as partner with Loo
mls. 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 he
met in the claim agency business at Wash
lngton in partnership with one Clarke, but
brought hero with him, SO it was given
out, some $4,000, which had been fur
nished him by his father. Soon after
he came here he started in the stock
and grain brokerage business, hay
ing an Office in the Royal Insurance build
ing. He leased wires and did big business
and was very successful for while. Most
of his customers were out-of-toWn people.
/ guess things went against him. because
one day he went to the bank and drew out
all the money belonging to his customers
and skipped. In the sum he took was SIS, ,0O0
of mine, which l had put up with him az a
margin on trades which he had made fot
my account. That was the only connection
had with him. lie was my broker ana he
ran away with my money. l and Others
whose money he had taken went before the
grand jury and on our evidence two indict-
ments were found against him. under
stand that after leaving Chicago with
the stolen money he travelled con-
siderably and then went to Wash
inRton, whore he resumed the claim
agency business in Washington with
Clarke. They made a speciality of Indian
claims, and they sent out thousands upon
thousands Of circulars. Loonis 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 stipulated percentage
of this amount as compensation if tbs
claim was collected by them from the gov
ernment. But the contracts had little
proviso which looked harmless but meant q
great deal. 1t was to the effect that nc
other charges would be made by the agency
expense incurred. This provision OF
clause you see was 80 vague and indefinite
that under it the agency could make any
charges it pleased and the people
who had assigned their claims coulc
not object. OF course Loomis' arrest
stopped the fruition of the scheme, but il
had great possibilities for man of Loomis
peculiar ideas of meum and tsunl. Loomit
Is now at Manchester, Iowa. The case il
not settled az was reported, and he will be
tried in court ON the two charges of embez-
Element"
A man who was we'll acquainted with
Loomis says that if he had not been ar
rested he would have cleared $1 600 600 q,
more on his "agency'' scheme. beoaus,
every dollar collected for the CLAIMANT
could be retained by him under the ingeni
ouB device of extra expenses'n