St. Paul daily globe. [volume] (Saint Paul, Minn.) 1884-1896, 1895-03-26
WHISKY TRUST FRAUD
EXPERTS MAKE A SENSATIONAL
REPORT CLAIMING
OFFICERS STOLE MILLIONS
BY Selling to Themselves Stocks
at Less Than Half Their
Value.

CHICAGO, March 25.-A most SEN
sational report was submitted to Re-
ceiver McNulta, Of the Whisky trust,
today by the experts who for
month have been examining the.
books of the Greenhut management
of the concern. Charges of Juggling
accounts, doctoring books and sim
liar work is made, and the report
asserts that the former directors and
officers, by disposing of the stock to
themselves, have left a discrepancy
of 1924, 120. The report states that
"a, 1884 shares of the stock were sold
by the officers and directors to
themselves at 40 cents on the dollar,
and that consequently almost $1,000
600 is due from them to the stock
holders of the Distilling & Cattle
Feeding company. Whether or not
action will be taken to recover the
amount thus said to be due is as yet
undecided. Gen. McNulta has called
a conference of interested parties
to consider the matter and what the
decision will be is a question, but
there is little doubt that the experts
report will result in a hot fight be-
tween the present management and
the Greenhut people.
Receiver McNulta said today that
he believed that more sensational
discoveries would follow the further
Investigations of the experts. They
no 60 10
before the affairs of the old manage
ment are untangled. Gen. McNulta
refused to say what action, if any,
would be taken against eX-PreSident
Greenhut and the ex-directors of the
trust. !,
NEW YORK, March 25.-The re-
organization committee of the Dis
filling & Cattle Feeding company
reports that upward of 425, 900 shares
were deposited up to the closing OF
business today, of which 225, 00C
shares were deposited today. The
committee, believing it to be to the
interests of the stockholders to ex.
tend the time for the deposit of the
stock, has extended the time to
March 80, imposing, however, a
heavy penalty of % cents per share
on all stock deposited after today.
President Greenhut, of the whisky
trust, arrived in Chicago today from
New York. 81 can state positively,
he said, that the experts employed
by the receivers did not find any pa
pers in the private safe in Peoria
which bear on the Gibson case, as has
been stated. 1 put away all the papers
that were in that safe, and therefore
/ am certain about it's contents. AS tC
the charges which have been made, ]
have nothing to say. 1 shall try my
case in the courts"
What about the disclosure of the
experts that the alleged price of the
Shufeldt distillery, $3.50, 600, is twice
charged on the books of the company
with nothing to show for the second
entry?'
81 have explained to the satisfaction
of the receivers what they say they
do not understand"
81 repeat that 1 have explained it to
their satisfaction"
Greenhut was asked further about
the charges of the erasure and various
entries on the books. He was asked
to explain what was done with the
large sums charged to the statistics
account, but he declined to make any
explanations. Mr. Greenhut remained
in conference with ex-Receiver Law
renee for some time, but both men de-
clined afterward to say anything about
the matter under discussion.