New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1891-09-12
STEMS PECULIAR METHODS.
HOW HE swINDLED MANY CREDITORS.
A MIXTURE OF 1MpUDENcE AND sHREwDNEss-
-, go, x~ornrr rAStry

A MIXTURE OF IMPUDENCE AMI. sHf'EWDNEsS-
HE GOT CREDIT EASILY.
The detailed story Of the operations OF Lewis seln'
formerly manufacturer OF gartcrs aud elastic sup
porters at No 378 Canalst, but now living for goou
reasons, at No 1924 ST. Cathernest, Montreal Cah'
ada is interesting record of shrewdness ana M
pudence his part. and II also shows how easy 10
L. apparently for an interruptions merchant TO get
almost unlimited credit in this city, One prominent
business man. whose firm IS among the vicuns' "a"
yesterday that competition was so bitter tDat &c"
business houses could afford to refuse credit even wnc
they had some reason 10 doubt the soupdness Oh VIC
customer The consequence is that Stein got lots Of
goods, even from men whom he had done no ousr
ness with before, and whose goods be dd not heeu IA
his trade, as for instance. when he secured c''Se III
cheap jewelry from Broadway tobber'
New creditors arc cropping up hourly, ana me
lawyers, Blumenstiel Hrsch, who represent inc
creditors yesterday got ont attachment ior te ac
count OF George B. GurIey for $1,000 Tbs rpN-
sents not the amount Stein 20 urley, but assign
meuts made to bin. STEMS Indebtedness to Gurley
is S11o3. reported in yesterdays tribune be-
sides this claim, the lawyers have brought sun tut
Abraham Stenam Edwin Horrax, the Armstrong MAN.
ufactuTing Company, Jules NJ. Grevet q "lchs' anu
the Martin Brothers Manufacturing Company wnich
aggregate 50 O0O Besides the case OF jewcry, stem
got goods worth s431 from the New Haven Web Com
psny In the affidavit OF this company II Is said that
Stein bought the goods (webbings asserting that ne
intended to use them in his business The order con-
sisted of 21s yards OF webbing at IL cents ya'u'
and the goods were delivered at STEMS factory III
cansl-st. on August o. The New-Iiaven Web Com
paDy afterward discovered thai stein had sold the
webbing day or two afterwad. TO the American Brace
Company OF this city, ut cents yard, which was
I2 cent less than had cost him, besides allowing
discount Of per cent.
This Is one specimen The creditors and the
lawyers are busily hunting for other goods winch
Stein bought and stored, evidently to wait "unui le
affair blows over' as he said in the letter published
In Yesterdays Tribune They found goods worth sew
eral thousands of dollars I'm Jersey City Yesterday
and also levied an attachment In the afternoon
on some goods which Stein had sent to CmcaSo
There are now eighteen cases intact In New YORK
CITY, The firm OF T. Martin d Bros Manufacturing
Co., TO whom stein owes 1923, had their suspicious
aroused some time ago when they heard that ne
had been selling webbing, instead OF using II Ill MS
factory Then, when he sold his business, several
creditors became anxious, and during tle hsV '"o
DAYS in August they hired detective TO watch MN,
Stein gave the detective long chase and tried hafu
10 throw him of the track, succeeding late al night
after he had travelled over the city from one emu 10
the other.
ceorcc n Nichols 70 whom Stein soli his business.
said Yesterday that on April lie entered INTO an
agreement with stein for the purchase OF his stochR
supporter business together with -he GOODWILL OF H.
the understanding being that Stein was 10 deliver up
the business to him SEPTEMBER l. in pursuance Ol
this agreement Stein executed bill Of sale ~ MIN on
August 81 and he took possession of the premises Oh
the following day. Shortly after he gave up possession
90 the business some of STEMS creditors called and
made INQUIRIES regarding him, which exoed Mr.
Nichols's Suspicion. The following day he informed
Stein that he had evidently been doing some crOoNeu
work and was liable to arrest, ard tha' he ad oete
arrange matters and avoid ouble stein SAID mat ne
expected TO pay them al and en- the following DAY he
IN a
Nichols the letter published IN Yesterdays Tribune III
che meantime Mr. Nichols had discovered that stem
had not only destroyed the goodwill OF the business
Int could not keep his contract with mm' whch WIS
IN act as SalesmaI for lin. OF his way 10 Cahlorhi
where he expected to 80 for his health AS stem mao
not furnished him the goods according 10 aEreehe'
Mr. Nichols concluded to 20 TO Montreal TO see MIN
aud endeavor 10 recover HIS notes frOm INN.
Then Mr. Nichols described his visit to Montreal as
follows On my arrival at Montreal prOceedu u MS
honse stated 10 him the exact position ne hao poo7u
himself ill., and demanded return OF the dehcencS'
He refused TO make the return. also ADVISED nm
that Tho hest thing for him do would be to give up
tbe goods TO their Ovner. as it was clear Case Oh
theft and that ii certainly eXtradhabie' TIC w
came excited at my PLAIN talk. and lett MN at Ilc
time stating that he could find nc at the hote uhh
Z O'Clock IL he should change his mnd' AO1uV MON
sent note 10 him by messenger SAVING ti'ao nc
could see me at O'Clock Iheh he WIo'e i'o 'i0 ~
lowing Eotc H. reply:
Dear Sir YOd can safe yourSeD the uouole Vi
irving 10 get me to change my mind being that ulu
NOT like at all the treatment therefore Shdl Ho'
even call upon you any further -.
Afterward Stein came into the car, as was aoouV
starting for New-YoIk and said that he did not WISH
mo IN 90 without at least bidding me good-6y' ana
when expressed my surprise at his impudehce' nc
ianpbed ON my return to New York, Immediately
called a meeting of his creditors, who had left tnar
addresses with me- and placed the matter before tei
Tile carnan who removed tic goods was lVuilu' alu
he gave the creditors Information as 70 wleS utJS
were II Is evident from STEMS letter tnt lie h9uso
ne could nVegle me into a scheme Dy NmViI Ho
might unload his goods and he as much as Salu 80
when met him in Canada. In fact he did achnowi-
edge that he had the best of me, but was Wiling 70
make ii right If / would take the deficiency III gVous
This OF course, ! refused on the ground that was
not dealing In stolen goods" ,.
Mr. Nichols said last night that he had lost aDout
I'll 400 throrsh stein lie bought the busineSs ei t
becanse he wanted 10 lease the building which stem
ocenpcd and he expected that stein could sell tne
old Stock Which he boGght with the business. ne
said that since his flight, he had discovered tiat
Stein had made the Interpretations about INC
amomnt and kind of stock hand, and had charged
him for goods which were not IN existence, besides
Invoicing large quantities of goods when only small
Suantites were in stock. Another dodge Of his was
10 invoice cheap goods at high prices Tie f9rthel
the Investigation goes tile worse do the frauds pc
come Mr. Nichols had paid for the business with
check and two notes. IL was for the purpose OF get
check had been frauduenty cashed by stein almost at
Stein Is about thirty-fve years old. lie IS
bachelor and has no relatives In York, so far a.
known Sir. Nichols said he boarded in Eghth-st,
In this city.