Virginian-pilot. (Norfolk, Va.) 1898-1911, 1900-12-06

(By Telegraph to Virginan- Pilot.)
New York, Dec. 5.-As the result of
Investigations made by Assistant Dis
trict Attorney Byrne, c. w. Morgan.
trading as c. w. Morgan & Co., stock
brokers, and Morgan's book keeper,
Michael Hart. We're day arrested on
the charge of conspiracy and grand
larceny. The men were locked up in
police headquarters.
BOOKS AND PAPERS.
The detectives confscated all the
books and papers in the office of Nor
gen and in the offices of l.. L. Van
Ripper and John B. Mckenzie. discre-
tionary brokers. Van Ripper and Nc
kenzie 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 they had been informed
OF their coming.
The attention of Assistant District
Attorney Byrne was directed to the
matter through his work In the Siberia
case, the defendant having been ar
rested for, ii is said securing n sum
of money from General Daniel r..
Sickles, three weeks ago, which was
to be invested in stocks. Shera's book
Keeper, ii is alleged, minated that
such methods We're in vogue with other
brokers In Wall street.
~ THOROUGH INVESTIGATION.
~ thorough Investigation was made.
and 1t was found that Mckenzie and
van Ripper did an extensive business
throughout the United States and Can
ada. They sent out as many as one
hundred thousand letters week. some
of which told how easily money was
made in Wall street, and others ex-
planning certain deals the money to be
sent to Morgan IL Co. or C. b. Law
renee. Jr.
Van Ripper asd Mckenzie. it is al
legged. advised each other of their sue
cess with the prospective customer.
and they in turn advised Morgan. II
man sent money to Morgan he would
advise the brokers'.
Morgan had an office at Thirty-third
street and Broadway and the police
say he had various offices throughout
the country.
THE COMPLAINANT.
The complainant against the pris-
oners is William S. Bailey. mill owner
OF Matteawan. n. j. The police say
they have thirty others who will tes-
tify against the men. and one OF the
thirty admits having lost $4,000
through deals.
w men tnC DpllCe enleTCu Morgan
Office to arrest him they found n man,
whose name Captain McCluskey re-
fuses to divulge at this time inQuiring
as to what had become OF his money.
The man went with the detectives to
police headquarters. where he said he
had placed $500 with the brokers and
had made 1924 last month. He had left
the $500 with the brokers to be traded
with and on Tuesday afternoon was
told that it had been used to purchase
sugar at 1874, which was the highest
figure. When he inquired as to the
profits the man claims he was in
formed that sugar went down" and
his money was wiped out.
A STRONG POINT.
Assistant District Attorney Byrne
says that the strongest point against
the brokers Is the fact that in their
advices sent out to men who sent
money to Morgan some were told con-
ditions were favorable and that others
were told the same days that condi-
tions were unfavorable on the same
stock. Mr.. Bryne says that while Nor
gan. who was Il member of the Consolt-
dated Stock Exchange, undoubtedly
made some transactions which are in
the records. he made other transactions
which counterbalanced the ones he
made for the benefit of his customers.