The Washington times., 1894-07-27
Banks and Business Men We're Swim
died by David Coleman.
HE RAKED ABOUT $4,000 IN ALL
Bought Blocks Of Stock in Manufacturing
Concerns and Paid with Bogus Checks on
the Columbia National Bank Of Wash
tngton-Deteotives Have No Clew.

means of false checks has come to naught
through the watchfulness Of Mr.. Clarence
Carson, the cashier.
When Mr.. Carson opened his mail on Tues
day morning he was astounded to find n letter
from the cashier of the Lincoln National Bank
Of New York requesting the Columbia Ma
tional Bank to remit S61. 900 on two checks
which were enclosed. The checks purported
to have been drawn by David Coleman and
Endorsed by E. C. Rice, paying teller. The
checks bore every appearance OF being
genuine. but as no such person as David
Coleman had an account at the bank, nor had
any one by the name OF E. o. Rice been pay
ing teller, Mr.. Carson at once saw that the
checks were bogus and SO notified the Lincoln
bank by wire One of the checks was for
S33, 600, drawn by David Coleman In favor Of
himself and deposited in the Lincoln bank
for collection. The other was for s25, 600,
drawn by David Coleman In favor OF the Hig
gins Soap Company, of New York city,
David Coleman, auditor, and ]. W. Stray,
treasurer.
Inter in the day another check for s20, 500
came through the Washington clearing house
from the Bank Of the Republic, which had
received 1t from the Fourteenth Street Bank
OF New York for collection. This check was
also signed David Coleman, and WAS indorsed
by J. j. Richardson. In the afternoon tele-
gram was received from the First National
Bank of Paterson, n. J., asking If certified
check for s35, 900 drawn by David Coleman
was good Cashier Carson Immediately re-
piled that II was not.
The Columbia Bank will not lose anything
by the transaction, but the New York banks
are out considerable sum, aud the officials
OF the bank here are at n loss TO know how
the New Workers came to be taken in so
cleverly.
CoLEMAN's CLEVER OPERATIONS.
The explanation, however, comes from Pat
erson, \. j. 1t seems that Rev. Gerhardt W.
/. Landau a retired Presbyterian minister,
who now conducts real estate business in
that city, about three weeks ago read an ad-
vertisement in q New York paper in which
the advertiser said that he had $4,000 which
he desired TO invest in some good paying
business and that he desired TO become either
an active or silent partner. Mr.. Landau is
the owner Of large silk mill property IN
Paterson, which, on account OF the dull times.
has been Idle for some time past and as he
desired partner with capital he answered
the advertisement.
On the following day the supposed investor,
who said his name was David Coleman. called
at the Office of Shatfer 4 Burt, No. 20 Nassau
street. He told Mr.. Burt that he was looking
for some neat lucrative business in which TO
invest his money. and spoke about the adyer-
tisement he had inserted in the papers. Offer
ing to put go. 900 into good business, and
he had received two answers which he de-
sired the lawyer TO investigate.
One OF the answers was from Mr.. Landau.
Mr.. Landan's letter was answered. and last
Thursday Messrs. Burt and Coleman went TO
to inspect the silk plant.
THEY BIT AT THE BAIT.
The result was that bargain was struck
up between them then and there. The two
principals agreed to form a copartnership
under the firm name OF G.. W. l. Landau
Co.. Coleman TO pay $50. 900 for which he was
to receive half interest in Landan's silk
mill. Each was to put in e, 500 as running
account TO be deposited in one of the Pater-
son banks.
On Monday Mr. Landau met Burt and Cole
man at the station in Paterson and took them
to the Office OF Lawyer Weiss, when the
deed conveying the half interest was drawn
up When they went to the First National
Bank to consummate the transaction Coleman
did not give Mr.. Landau the cash as he had
agreed, but instead produced what purported
to be a certified check for S35 900 on the
Columbia National Bank of Washington and
a bank book to show that he had 500. 900 on
deposit there. As he handed the cashier Of
the bank the check Mr.. Landau said it was
all right and gave Coleman his own check
for 80. 500. Coleman said: 81 may as well
deposit this right here and then 1 can have a
small personal account TO start with" He
drew 5000. however, and left the remainder
on deposit.
Mr.. Landau then went to the bank to draw
Sl5. 900 of the money with which to pay off a
on his plant. Cashier Bell, of the
bank suggested that as the transaction was a
large one, it would be well to inquire of the
what he represented. This was done and an
answer received that the officials knew moth
ing whatever about Coleman, and had certi-
fed no check for him.
BANK BILLS AND CHECKS GALORE.
Mr.. Landau went to New York, where he
called on Mr.. Burt and explained matters to
him. That gentleman was greatly surprised,
for he too had been duped. Landau and
Burt went to number of places where Cole
man had said he had been staying or had
done business, but he was not known at any
of them. While Coleman was talking with
Landau in Paterson he exhibited big roll OF
bank bills and also two certified checks. one
bia National Bank of Washington He also
showed certificates OF 900 worth of stock
in the Higgins German Soap Company OF
New York.
In speaking of the matter Mr.. Landau. who
reported his loss to Inspector Mclaughlin, of
the New York police department, said that
the inspector told him that New York had
never seen a cleverer swindler or one whose
plans were 80 well conceived and carried out.
fnr u-os cpr,ylamapfe1 last
night by two press dispatches. one from New
York and the other from Brooklyn. The
New York dispatch said:
$50 far as known to-day the man calling
himself David Coleman. and describing hiul-
self as retired mail transportation contrac
tor and capitalist. has left town with $4,000
of the assets of the Lincoln National Bank of
Forty-second street, 81 100 of the money of
Mr.. j. J. Richardson of 81 Beekman street,
5000 from the account of G.. W. Landau in
t he Paterson bank, S2S. GOO worth of stock of
Brooklyn. which he paid for with forged
check. and contract for $4,000 stock in
the Cyclone Furnace Company. paid for with
a forged check. The Richardson transaction
was made in the Fourteenth street bank, but
that institution does not lose a cent. The
police have no clew to Coleman's Whereabouts
as yet."
HIS DEAL WITH THE HIGGINS COMPANY.
The Brooklyn dispatch told the following
story: ION motion of Counsellor Lamb in the
special term of the supreme court this morn
ing, Judge Bartlett appointed Joseph W.
Stray as receiver for the Higgins Soap Com
pany, with securities to the amount OF S20.-
600. Some time since the company became
involved and unable to meet its obligations,
and il was finally decided to sell number OF