The news & observer. [volume] (Raleigh, N.C.) 1894-current, 1900-02-02
WERE BONDS OF VIRGINIA
SCHROEDER IS ARRESTED IN
NEW YORK CITY.
BORROWED OF LADENBURG & THALMAN
Anaigned in Police Court and Held in Five
Thousand Dollars Bail, He is Unable
to Furnish the Money and
Goes 10 the Tombs.

New York, Feb. Julius Schroeder,
this city on a warrant today. charging
forgery on complaint of Ladenburg
Thalman and Company, bankers, who
charge Schroeder with forging bonds OF
the State of Virginia
Upon these alleged forged Virginia
bonds, amounting to about 500 600 it
Is charged that Schroeder succeeded in
obtaining loans amounting to $3.50
from the Importers and Traders National
Bank and Ladenberg, Thalman & Com
pany.
According to the story as given out by
Captain McClusky. Schroeder obtained
an introduction to one of the Vice Presi-
dents of the Importers and Traders Ma
tional Bank in September last, and -e
gotiated loan of 100000. giving as Sc
curity $4,000 worth of Virginia bonds
The following month he brought to the
bank S45.O0 more of these bonds. on
which he asked for a loan of $4,000.
but there being some suspicion he was
put off for time Some of the bonds
were sent to Virginia for veriication
when it was found that they were forg-
cries. They then demanded that
Schroeder put up good collateral.
On November 18th Schroeder called on
Ladenbery Thalman Il Company and ne
gotiated for loan of S3S000. He
offered $4,000 Of these Virginia State
bonds He failed to get TIE amount that
day. and the next day returned with
$4,000 of bonds which he offered for a
loan of $4,000
This he got in two checks for $1,000
each Schroeder then took one Of the
checks to the Importers and Traders
National Bank and paid that amount on
his first loan there. reducing the indeb'
edness to $4,000. He also gave the
bank 400 shares of stock in manufac-
turing company in which he was interest
ell and received back for them $4,000
of the Virginia bonds. As he had al
ready given the firm of Ladenberg,
Thalman * Company $4,000 OF the
$4,000 bonds offered he took $40 600
Of the returned bonds TO them and re-
ceived the $4,000 promised him on the
S3S, 600 loans.
Later the Ladenberg, Thalman firm
investigated the transaction and found
that the bonds were bogus and jmme'
diately informed the chief Of detectives.
Captain McClusky said Schroeder had
also been successful in negotiating
loan with the Seaboard National Bank.
Here he put up $4,000 of the bonds and
received $4,000 on them.
In negotiating the loans, Schroeder is
quoted by Captain McClusky as saying
that the bonds were not his but belonged
to Mrs Emeline Turner. formerly of
Mount Vernon, but now living in Lon
don. England He is also said 10 have
shown a power of attorney which al-
thoriZed him to dispose of her property.
Captain McClusky said he thought there
was no doubt the power of attorney was
also forgery. 1t is said that nc bonds
were issued in 1882 by the Kendall Bank
Note Company of this city on ORDER Of
the State of Virginia. Previous 10 the
full issue the amount Of which is not
known by the police. 500 of The bonds
were issued and sent to Virginia. The
order was unsatisfactory to the Virginia
officials and the rest of the order was
cancelled. The 800 bonds which had
been made and shipped to Virginia were
afterward sold at public auction in Gn
express office in Virginia as curiosities
and merely as pieces of common paper.
Schroeder was arraigned in police courr
and held in $4,000 bail for further OK.
animation tomorrow. He was unable to
furnish bail and was sent to the Iombs
Schoeter refused to say anything at al
either about himself or about the tnsn
cia transactions. The woman, Emelne
Turner. whom Schoeter is quoted ;ts hav
ing said to have owned the bonds IS be
leved by the police to he in the neighbor.
hood of New York instead of in London.
The police say that she has been inti-
mately acquainted with Schoeter for
some years and a party to his dealings.