New-York tribune., 1900-12-06
RAID ON ANOTHER BROKER
G. W. MORGAN AND BOOKKEEPER
CHARGED WITH GRAND LARCENY.
TORN BOOKS IN LEWIS e. VAN RIPER's AND
JOHN B. MKENZIE'S OFFICES
CONFISCATED

AS the result of Investigations made by AS
sistant District Attorney Byrnes, c. w. Morgan
trading as c. w. Morgan & Co. a Consolidated
Exchange brokerage firm, at No. II Broadway
and Morgan's bookkeeper, Michael Hart. were
arrested yesterday afternoon on the charge Of
conspiracy and grand larceny. The arrests were
made on warrants issued by Magistrate Zeller
by Detective Sergeants McConville. Barrett and
Mulry' Of Captain McClusky's staff. The men
were locked up in Police Headquarters.
The detectives confiscated ali the books and
papers in the office of Morgan and in the offices
OF Lewis E. Van Ripper and John B. Mckenzie,
discretionary brokers. both at No IL Broadway
Van Riper and Mckenzie had left their Offices
1t was found that the written matter in the
books of Van Ripper and Mckenzie had been torn
out leading the police to suppose that the men
had been informed os their coming.
The attention of Assistant District Attorney
Byrnes was directed to the matter through his
work In the Shera case. the defendant having
been arrested. it is said. for securing sum
or money from General Daniel Sickles three
weeks ago. which to be invested in stocks.
Shera's bookkeeper, it is alleged. intimated that
such methods were in vogue with other brokers
in Wall Street.
BIG BUSINESS BY MAIL.
A thorough investigation was made. and it
was found that Mckenzie and Van Ripper did an
extensive business throughout the United States
and Canada. They sent out as many
hundred thousand letters week some Of which
told how easily money was made in Wall Street,
In no case the recipient of the letters
asked to send money to Mckenzie or Van Ripper,
but he was told to send it TO Morgan. Van
Riper and Mckenzie. it is alleged. advised each
other Of their success with the prospective Gus
toner. and they in turn advised Morgan. If
man sent money TO Morgan he would advise the
brokers. Morgan had office at Thir.y-thlrd-
ST. ana Broadway, and thu police say he had
various offices throughout the country
The complainant against the prisoners Is Will
lam d. Bailey, mill owner, OF Matawan n. J.
The police say they have thirty others who will
testify against the men. and one of the thirty
admits having lost $4,000 through the schemes.
Nhen the police entered MOrgan's Office to ar
rest him they found a man. whose name Captain
McClusky refuses to divulge at this time, in
quiring TO what had become of his money.
The man went with the detectives 10 Police
Headquarters. where he said he had placed $500
with the brokers and had made 1924 last month.
He had left the 5000 with the brokers to be
traded with, and on Tuesday afternoon was cold
that it had been used to purchase Sugar at 134.
Wncn was the hshest nsure. When ne IN
quired as TO the profits the man says he was
Informed that Sugar went down and his
money wiped out
Assistant District Attorney Byrne says that
the strongest point against the brokers is the
fact that IN their advices sent out 10 men who
sent money to Morgan some were told con-
the same days that conditions were unfa-
vorable on the same stock. Mr.. Byrne says that
while Morgan, VINO a member Of the Con-
scliGated Stock Exchange undoubtedly made
some transactions which in the records, he
made other transactions which counterhaIan need
the ones made for the benefit of his customers.
The record Of Morgan as given out by the po-
lice follows: Born in 1865 in New-York. Early
In life he was in the grocery business ana in
the early nIneties became member OF the Con-
solidated stock Exchange Two years ago he
opened his present Office at No. II Broadway,
and, although re had no partner, conducted the
business under the firm name of c. w Morgan
q Co. II is estimated he has made S250OOO in
two years. and mas property in his wifes name
in Pleasure Bay, where he lives in the summer.
Morgan has steam yacht, and is a member Of
two or three clubs. He does a small trading
respectabity TO his general brokerage business.
Exchange for about $4,000 At different times he
has traded with Van Riper and Mckenzie, and
with one or the otter has published the follow
ing Wall Street periodicals: The United States
Financial and Mercantile Examiner The Wall
Street Ticker and The Wall Street Forecast
all of which have ceased publication, and were
devoted at the time they were published to
furtherng the plans Of the brokers'
On October 30 three men who pretended to be
reporters were arrested charged with attempt
ing to backmail Morgan They now in the
Tombs awaiting trial The John Evans,
Leonard A Watson and Ferdinand Gardner.
Morgan and Hart admitted to bail by
Magistrate Deuel. in the sum Of $1,000 each, fur
nished by Arthur j. Moore, Of No. 45O West
Twenty -third-st.