The Wichita daily eagle. [volume] (Wichita, Kan.) 1890-1906, 1896-02-28

a Observation-Disclosures are Afte
r1ent With a sharp Stick-One of En-
poria's Prominent Citizens was Also ia
the Combine, But He is Too Sick to b.
Arrested-CoIorado Also Furnishes 8
Few Members OF the Firm.
Topeka, Kan, Feb. 27.-Stringency
of postal rules relating to the trans
mission of lottery matter is operating
against Thomas II. Balm, a member OF
the Topeka bar.
Mr. Balm is president and legal ad-
visor of the Pan-American Coupon In
vestment company which recently in
CURED the suspicion of the postoffice
department.
An investigation was instituted and
in consequence the officers have been
arrested charged with sending lottery
and fraudulent matter through the
mails.
Yesterday Mr.. Balm was arrested
! and taken before Commissioner Wag-
ener He was placed under $1,000 bond
and secured his release by giving Sc
/
Early in the career of the company
| some objections were raised by the
authorities at Washington against the
use of the mails for the distribution of
| circulars. To set things right Mr..
/ Balm made visit to Washington and
passed the greater part of last sum
mer in that city arranging matters
with the department. Considering
| the difficulty averted, he returned 10
| Kansas and the company proceeded
| to transact business without inter
ruption until recently.
The doubts of the department Off
Gals had apparently been but tempo
rarily quelled and a few weeks ago
Postal Inspector George W. Water
bury was appointed 10 make the proper
inquiries.
The inspector has been quietly en-
gagged IN searching for evidence and
returned to Topeka Tuesday prepared
TO bring affairs to crisis. He made
complaint before the commissioner
and yesterday had Mr.. Balm arrested.
The other officers of the company are
in positions closely corresponding to
that Of the president. The vice pres
ident and general manager is II. Is.
Huffman of Emporia. He has not
yet been arrested as he is dangerously
i'll and and probably would not live
TO stand trial
II. W. Huffman, second vice presi-
dent and assistant secretary. is d son
of the vice president. He may be held
accountable for his conjunction with
the company though it is hardly prob
able as he was not closely connected
with the business.
J. Z. Day of Colorado has already
t.
company and as the investigation was
made largely in Colorado he was the
first to be apprehended after such dis
coyeries had been made as warranted
extreme measures.
The central figure in the company is
believed to be DR.. a. NJ Edison OF
Houston, Texas. The headquarters Of
the company are in Texas and the hea-
West responsibility is thought to rest
with him. He will probably be ar
rested today.
The proposition made by the Coupon !
company is tempting one but almost
too good. The unusual advantages Of /
fered TO the purchaser first attracted |
suspicion.
The investor receives from the COM 1
pany certificate for $3.50, payable in !
nine coupons of $50 each, the whole /
At what periods these payments will be /
made however is not stated.
The investor on his part makes an 4
immediate deposit of So, and monthly (
payments during the ten years that the I
contract exists of $1.25. By this plan
anyone dealing with the company pays
in total of $3.50 and receives $3.50.
Altogether 5000 of these certificates
have been sold, many of them in Kan
sas and at least a few in Topeka.
Mr.. Balm is not seriously worried
over the difficulties in which he has
become involved. He stated yesterday
that his connection with the company
has been mainly that of legal advisor.
When the business was started, Mr..
BAN states. he was engaged as attor-
ney but afterwards purchased stock
and at the following election was chos-
en- president.
Last summer finding that some oh
jections were being made to the use
of the postal service by his company.
Mr.. Balm went TO Washington Con-
sulting with the postal officials he
learned that the addition of a few al
terations in the character of their cir
cular would remove difficulties. Mr..
Balm says he was informed that no
obstacles would be offered should the
suggested changes be made. The first
sSue of circulars, according TO Mr.. Balm
omitted through an error, the suggested
but after that the sugges-
ion was carefully followed
The present trouble. Mr. Balm be-
leVes, was caused by the Jealousy of
'ther companies DESTROYS of engaging
similar business but prohibited /
~ the department.
Several Of these, he says. have com
blamed because the Coupon COMPANY .
vas permitted to exist and use the
postal service while they were not al
owed similar privilege
our system he said. as like a
mutual life company except that YOU :
ion't have 10 die TO win. Instead of
he returns depending upon the life
Il person II depends upon the life OF
contract As soon as the money ,
laid IN by anyone has earned $50 that
mount Is paid. It is not necessary
@ wait for the completion OF the time
amed IN the contract
HIGH TONED ARGENTINE TRAMPs 7