The evening times. [volume] (Washington, D.C.) 1895-1902, 1900-10-31
CONSPIRACY TO SWINDLE
BE- Frauds Said to Have Been IN
earthed in New York.
Six Indictment Found Against Men
Su.ns-Three of the Accused I'm
der Arrest-The Alleged Scheme.

NEW YORK, Oct 3L-The grand jury
yesterday found inducements against six
men well known in this city who are
charged with being at the head of enc OF
the most extensive swindling concerns ever
exposed. Three arrests were made 1t is
expected that the other three men viii be
apprehendcd before long.
The three men arrested are: Edward
F. Stern. lawyer. Of 10 Wall Street; IgEatz
Kornfeldt. merchant, with various ad-
dresses. and Walter A Vandercook, wire
merchant. of zee Broadway.
The technical charge against these men
is grand larceny in the first degree The
police estimate that they have defrauGed
merchants in this city out of hundreds Of
thousands OF dollars According TO the
District Attorney it would not be suypris-
ing if the amount OF the defalcaticns ran
up into the millions.
District Attorney Gardiner learned some
time ago that a number of men went about
this city and secured large consIgnnenJs
Of goods upon Misrepresentation. Colonel
Gardiner detailed Assistant District Attor-
ney Thomas F. Byrne to take charge OF the
matter. Many Of the victims were eXamin-
ed and a warrant was issued for the ar
rest of Kornfeldt.
Sanchez Haya & Co, wholesale dealers
IL imported cigars, appeared against Kern
fe.dt. They told Magistrate Cornell, in
the Centre Street Police Court, that korn-
feldt had secured $500 worth of imported
cigars from them upon false representa-
ton.
Incidentally the other men whose names
were presented to the grand jury were
mentioned in the police court. The case
against the alleged Conspirators came up
ha iI4rv- fay
Several merchants appeared as complain
anus. This is the scheme of the accused
men as related TO the grand jury;
One of the men would go to a prominent
merchant and tell him that he was repu-
table man who wanted TO enlarge his BUSH
ress. He would select large list OF
goods, on credit, of course, and ask that
the goods be shipped TO a certain address.
But who are your sponsOrs?" the mer-
chant would ask.
Then the confidence man would give the
names of his co-conspirato9s.
I have plenty of good real estgte in
this city, the alleged merchant would
say. Just so and see my lawyer, Mr..
Stern, he will tell you how I stand"
The compliments told thu
grand jurors that they visited
Attorney Stern and he assured
them that the alleged purchaser was pos
sessed of d large amount of valuable real
estate. Then the goods would be forth
coming. They would be shipped TO the adj
dress given. Then when the bill was sent
the eonsignee could not be found.
Attorney Stern, KornfeIdt, and Wander
cook We're brought into court yesterday and
entered plea of not guilty to charges of
grand larceny in the first degree Stern
and Vandercock gave bail, while Kornfeldt
was sent to the Tombs.
I'VE are not through with this gang
yet" said Assistant District Attcrney
Byrne- LAS far as Stern is concerned we
have IN excellent case against him The
scheme these men adopted and works
successfully is a novel one. They would
give alleged real estate possession as Sc
curity whenever they approached one of
their victims
For instance, they would get hold Of
a piece of property valued at $4,000.
There would be mortgage of $4,000 on
this property. But the confidence man
would tell the merchant that the proper
ty was worth $40, COO Then he would re-
fer to Attorney Stern for verifcation''
Assistant District Attorney Bysne said
that he had claims against the alleged
conspirators amounting to nearly $780,
O00. There were many other victims who
had not yet been examined.
Mr.. Stern, when seen last night, de-
MED that he knew Kornfeldt LAS 1 I'M
derstand the case" Mr.. Stern said
'Kornfeldt obtained the goods under the
name of J. B. Salmon | had a client of
that name and transacted considerable
business for him.
Last July I was called upon by sew
eral persons who enquired If knew one
J. 3. Salmon. I told them I did and
they enquired as to his standing / re-
feTred them to mercantile agency for
his rating. That is all I know about the
rase, and the only connection I had with