The evening world. [volume] (New York, N.Y.) 1887-1931, 1895-05-04
Many Wholesale Shoe Dealers
Have Been Viotimized.
Auctioneers and Tradcsmcn Leaders
In the Scheme.

A startling swindling scheme. in
which wholesale shoe firms are sys-
tematically robbed by insolvent debtors,
aided by certain class of licensed auc-
tioneers. has been unearthcd and eN-
posed bv Hastings Il Gleason, Of 265
Broadway, attorneys for several OF the
victimixed firms.
This firm has filed informatons
against several auctioneers. and some
have been Indicted. The scheme is for
these auct,onecrs to buy the stock on
hand Of dealer who is on the verge OF
bankruptcy. cart the goods away to
their auction stores, and dispose OF
them while the dealer runs away.
The scheme. at first. worked only In
the purchase of goods of really insol-
vent dealers, but has so developed that
| now II Is regular trade. the abscond-
Ing debtor being as deep In the scheme
as the fake auctioncer and only in the
shoe business for tn" purpose OF max
Ing this cute swindle.
The lawyers relate "A surprising story
OF how they trapped certain auctioncers
alleged to be engaged In this business.
They say II. II. Harrison. of 30 East
E!ghty-sixth street and his partner,
named Fischel, are already indicted,
charged with fraud. In aiding James T..
Wilson. n shoedealcr at 3il Myrtle ave
nue.. Brooklyn. to defraud his creditors.
The story Is that Wilson was In league
with the auctioneers: that he bought
$40, 600 worth of goods with the intention
of never paying for them. and sold them
to Harrison & Fischel for $500. aud de-
camped. Wilson was arrested yestcr-
day In Lexington, Ky. on "A bench war
rant, and that Is how the story OF the
gigantic scheme came out, indicating
that score of New York auctioneers
were In It.
The lawyers have filed with the
Mayor an Information against several IL
being investigated with the purpose of
reNoking their license. If proven.
Evidence was secured against these
men. 1t Is alleged. by "A decoy system.
the lawyers negot .ating through "A Phila-
dclphia shoe dealer named Perry Rob
erts with several New York auctionocrs
who had advertised their ability to dis.
pose of stocks of goods quietly and
quickly" As "A result of the corrrspon-
dence, appointments were made and kept
with a dozen auctioneers at the Sturte-
want House. 1t Is alleged that these
arately and negotiated fnr "hnndlns'
Mr.. Roberts's supposititious stock agree
ing to pay 10 TO 80 cents on the dollar tor
II. IN eaCn instance tneN were tOld the
stock had been bought from wholesaler
| on time, was not paid for. and that Rob
erts was In desperate straits, could not
pay. for the goods: and must 20 into
bankruptcy II he did not realize some
cash on the goods and run away.
Appointments. 1t Is said. were made
with scvera. of these honest tra'les-
men In the auction business to go over
to Philadelphia by certain train and
| arrange for shipping the goods on a Sun
day morning.
The scheme has been In operation for
years. and wholesale shoe dealers hav,
lost n barrel of money through 1.-THE
loss reaching S2O0.OO last year. Blu,
| never before have the sufferers succeed
ed in running the receivers to earth.
Judge Moore. in the Court of Sessions
| Brooklyn. this morning, held Henry Har
| rison, Of West one Hundred and TGr
| tcenth street, and Adolph Fischel. Of l23
| Second avenue, New York, without bal
| on charge Of purchasing a part Of tn,
$2o.00 worth Of shoes which Frank n
Wilson deirauie1 his creditors out Of.