The times., 1898-03-06
SHREWD GAME BLOCKED
Energetic Scheme of the Com.
mercial Stock Exchange.
OPERATOR TELLS SECRETS
Tue Concern Did n Rushing Busi-
ness With Patrons Always on
tue Losing Side-How the Police
Unearthed the Promoters-The
Defendants in Court.

Other arrests may be made in connec-
ton with the alleged bogus stock eX-
change, five members of which We're
rounded up Friday night by Policemen
Warren, Miller and Austin, as told in
The Times yesterday morning. The police
have been informed that n well-known
sporting man in Alexandria is back of
the concern. and had frequently been seen
behind the counter of the company at
the Hotel Lawrence.
In the Police Court yesterday, the de-
PENDANTS, James Humphrey; Frank Ra-
Zin, telegraph operator; Albert j. HuS-
sey, John Wells and Henry Engle, were
formally charged with conspiracy. The
information recites that the defendants
combined to set up stock concern known
as the Commercial Stock Exchange -
purporting to make true reports of quo
tatious of stock markets of the New
York and Chicago stock exchange and did
obtain from James Duff certain large
sums of money.
About three months ago the CONNER
cial Company opened an office in tn
Lawrence Hotel. They announced that
they conducted a brokerage business ana
the permit for the Office was secured by
James Pumphrey, of this city. John
Wells, of Chicago, was assistant mana
ger. Every day they did a rushing busi-
ness but ii was noticed that nearly
always the patrons were on the losing
side of the market. Then anonymous let
ters were received by Major Moore, chiei
of police, asking that the concern be in
quired into. Several detectives were as
signed to investigate. Meanwhile, Po-
licemen Miller and Warren, whose beats
are in the vicinity of "BuZzards Roost,
a tenement building at Ninth and Il
Streets, northwest noticed that two well
dressed white men We're frequentinS the
place. They become suspicious and kept
u close watch on the building. They had
no idea that a wire running from the
second floor of the old building connected
| with the stock machine in the Lawrence
| Hotel. Nor had they heard about the
| complaints OF many losses, but they real
| lied that something was wrong. About
| two weeks ago the visits of the mer
| were renewed. The men We're traced tC
| a room on the second floor, and while tht
! policemen watched in vacant room
| they heard the clicking of telegraph in
| struments. This puzzled them more
| Lieutenant Amiss was notified and Pun
| phrey was traced to the Lawrence Hotel
| Then plans were laid for catching tn,
men. Friday night the arrests wer,
| made. Humphrey secured his release 10y
| furnishing $500 bond.
| Rain. the operator. made a confession
| yesterday afternoon. He said: II CANE
| from Chicago three months ago. Their
| are many such places there. We hav,
wire running from the building a
Ninth and E Streets to the hotel. Foui
| mining stocks are sold. The buye
| places his money and we are notified
| Then, instead Of getting quotations from
| New York or Chicago, we manipulate
the machines in the building known a,
''Buzzard's Roost," and the returns com,
| into the hotel on the ticker"
| Up in the dimly-lighted back room a
| Ninth and + Streets, which was occu
pied by the operator, was a clock ma
| chine, which is turned by u crank ant
| runs out returns as desired. Anothe
| machine receives the sale made at thu
| hotel. Rain also said that when the,
| left the building about ten days ago
| they went to Alexandria and sent in quo
| tations from there. Prior to their com
| ing to Washington the operating room
| was at Hyattsvile
| When the police ascended to the roo
| OF ''BuZZard's ROost' yesterday mornin;
| to trace the connection between tn,
house wires and the air line running L
the Hotel Lawrence, they found that tn
| wires had been tampered with by som
| unknown person at an earlier hour in TIL
| morning. Mr.. James G. Simpson. of til
| fire alarm service, an expert electrician
| was summoned by the police to make a
examination. He found that the hous
| wires had been disconnected from tn
| air line and the ends of the latter twiste
| about another wire which crosses tn
roof. The police say the line from "Buz
| yards Roost' to the hotel was put u
and maintained by the defendants.