The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1899-11-28
BUBBLE BURSTS.
'sWhite's Bureau" a ''Get Rich
Quick" Concern,
Is No More and the Manager
Has Decamped.
MONEY OF OTHERS
Went With Him to the Extent
of Probably 100000.
Had Victims From Maine to
California.

rich quick concern, located in the Cot
ton Exchange building vanished with
its managers on Sunday and it is estl-
mated that credulous depOsitOrs are
out of pocket more than 5000, 600.
Whites bureau was in many respects
similar to the Franklin syndicate, Op-
Grated by William F. Miller. Like the
Franklin syndicate, it offered tremend-
Gus dividends to depOsitOrs Like the
Franklin syndicate, it prOfessed to be
legitimate and to be an old established
concern. Like the Franklin syndicate,
it professed to have the strongest kind
of recommendations from bank and
Like the Franklin syndicate, it man
aged its business without any inquiries
being made by the police. 1t had ac-
counts in several downtown banks, and
drafts from it's customers passed
through the banks without any Ques-
tiOns being asked. except in the in
stance of one bank.
Like the Franklin syndicate, it paid
out dividends" to depOsitOrs presuma-
bly, from the money placed on deposit
in order to lure larger gudgeons. Final
", like the Franklin syndicate, its
hackers took alarm and disappeared
with a large quantity of other peoples
money.
Whites bureau was opened by two
young men who went under the name
of Hyman. One of them gave the name
of c. H. Hyman and he is understood
to have been the &c. H. White whose
bureau the concern purported to be.
The bureau" began business in the
latter part of September. It sub-let two
rooms from another tenant on the first
floor. the offices are very handsome
ly furnished and are partitiOned off in
to smaller rooms. Many typeWriters
were employed and when the business
was first established an enormous
quantity of letters and circulars was
sent forth.
The firm inserted advertisements in
newspapers all over the country prom
iSing that Whites bureau would make
money for anybody who would send his
cash on to New York. The advertise
ment was as alluring as green goods
circulars. These circulars and adVer-
tisements soon began to have the usual
effect. Letters began to come in from
al lover the country. EThe mail of the
bureau grew to such proportions that
the suspicious of the superintendent of
the Cotton Exchange building became
Lroused and he says he made an in
vestigatiOn. He could not find out
anything about the busy young man
except that he professed to be doing a
general investment business, so they
We're permitted to remain.
The bureau went on uninterruptedly
and the suspicious of nobody seemed
likely to cause trouble.
But a prominent bank in this city on
November IA, received a letter from
Louisville. KY. enclosing one OF
Whites circulars and inquiring wheth-
er the scheme were safe.
This bank has a large and efficient
credit bureau and an investigation was
Immediately begun into the affairs of
w mite s bureau. An agent OF the bank
called at the Cotton Exchange building
on November IA. and asked to see Mr..
White" Mr.. White" was not in. The
agent saw c. H. Hyman, whose name
was on the door of the office. Mr.. Hy-
man said that he was the manager and
would answer any questions in the alb
sence of Mr.. White"
Mr.. Hyman was asked for references
as to the financial stability of the es-
tablishment Instead of producing ref
erences, he said that the money being
handled by the firm was not theirs.
He was asked if he did not claim
some financial responsibility of his own
In reply he said that Mr.. White had
some means, but he could give no def
mite information as to the amount. He
admitted that Mr. White was not a
member of any of the exchanges. but
said that he speculated, made some in
vestments and bought stocks on specific
orders.
The agent of the bank pressed Hy-
man for information as to how he could
make such wonderful profits for Gus
toners. Mr.. Hyman replied that the
bureau did not guarantee any fixed div
idends. The dividends were regulated
by the loans that were made.
This ended the investigation for the
time but in the meantime drafts had
begun to come into this bank from far
and near 1t was ascertained that a
draft for 500 had come from Savannah
Ga. 1t was on the banking and trust
company of Savannah, in favor of
Charles W. White, dated November z,
1899, indOrsed by White and paid by
the National Park bank of this city.
Woodstock. Ohio, literally rained
drafts This is the small town the in
habitants of which have gone almost
crazy over the new speculative scheme
where almost every business man, and
farmer around the place has lost money
to the Franklin syndicate. The drafts
payable to White from Woodstock O.,
in this one New York bank. soon
mounted up to twenty. They range in
amounts from $125 to S16. Three drafts
came in from the Savannah banking
and trust company. Drafts were sent
persons who were trying their luck
with White sent their drafts through
the Elliott and Atlas banks of Boston
Whites bureau was open as usual on
Saturday. During the time it was open
on Sunday the two men who were un-
derstOOd to have been the managers
of the business, entered the office, tore
up a great quantity of papers, emerged
with three huge bundles and disappear
ed. The office furniture was intact
but no records or money was left.
1t is impossible to make any esti-
mate. based on reliable figures, as to
the amount of business that Whites
bureau did 1t was unquestiOnably very
large. Taking into considerable all
the banks in the city, the business rep
resented by drafts alone would be
somewhere between $4,000 and 800 OOO
The bulk of the business. however, done
tered letters, postoffice money orders
and express packages. The business by
mail reached all over the country from
Maine to Florida and from the Atlantic
to the great west.