The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1899-02-24

I
Burton, cashier of the State Bank of
| Utah. who said that Shuman presented a
note given by the bank for payment which
he knew had been paid last year. and he
refused payment. The note had been
given by the State Bank in consideration
OF an advertisement in the Merchants
Reference Encyclopedia. in whose inter-
est Mr.. Shuman is travelling as collector.
with headquarters at San Francisco. Mr..
Burton started "a man off to follow Shu-
man and at once notified Chief Pratt, who
put Detective Sheets on the track. The
officer picked him up just as he had left
Joseph +. Taylors establishment. where
he collected $40 His wife was with him
when the arrest was made. In the chiefs
office q careful investigation was made
of the material found in Shuman's pos
session. and some experts on negotiable
paper were called in. Several notes were
found, drawn by Salt Lake parties, but
when called in the parties declared they
had no knowledge of having given the
notes. although confessing that the sigma
lures were certainly genuine. They said
the notes had been paid a year or so ago
in consideration of advertising in the
encyclopedia. The mystery of the notes
being renewed was finally solved.
HOW IT IS DONE.
1t was discovered that whenever note
was paid the drawer was asked TO sign
2 Cancelled contract in the following
form:
Cancelled contracts must accompany
this statement with each collection
paid contract No. -
The sum Of
for insertion of display heading in cap
letters in the Merchants Encyclopedia,
"(signed. )-
''- 1S9-.'
This conceled contract with the sigma
tire of the patron Is sent TO the house
AMI it is plain that with a little clipping
and additional printing the old note can be
reproduced as follows:
70 0 non tbS s mo of d aSTees
for insertion of display heading in cap
letters in the Merchants Encyclopedia,
Gsignature.)-
1t will be seen that by cutting off the
Cancelled contract just above the line
contract No. =" and printing the blank
promise to pay" the paper is readily
transferred into note with the firms
signature at the bottom. The transforma-
tfon was expedited by the fact that the
body of the contracts were filled out in
lead pencil and could be written out in
ink when changed to a note
NUMEROUS VICTIMS.
BY this method the notes are renewed
and presented each year by new collectors,
and the firms, convinced of the genuine
ness of their signatures, are induced to
pay the amount. taking II for granted
that they renewed the contract to in
of the firms who have been induced TO
pay in this way are the Il. c. NJ. l.. JO-
seph T.. Taylor Z. ". Duncan of the Ma
tional Bank of the Republic, Wasatch
Drug company and Hook & Francis.
1t is stated that Shuman, in this way,
collected $1O0 from the H. c. NJ. l. and
after his arrest, offered to return the
money Chief Pratt has two advertising
directories which he took from Shuman.
One is the Merchants Reference En-
cyclopedia' of 1899 with the imprint of
,AIcNally & CO.. publishers. of Chicago.
The other volume is the Trade Guide of
the West" 1889. published at San Fran
cisco. The names of many Salt Lake
firms appear in the volumes.
Shuman deposited 800 for safe keeping
with Harry Lichtenstein, jeweler, 2l4
Main street, who says he has known him
as a collector for several years. He was
at the police station las0 night in the
view of bailing out Shuman, but Chief
Pratt declined to let him out on bonds.
Shuman and his wife have been stopping
at As West Third South.