The age-herald., 1901-12-14
w.. 1, DODD, FORMER
 OFFICER, ALSO ACCUSED
Morgan and BIinn Said to Have Elm bezzled 25,o0o, While $12,ooQ Is Named In Warrant
 for Dodd.

As a result Of the recent 1allure oI the Continental Security Redemption Com
 pany and the Birmingham Debenture Company, George w. Morgan, president
 and George A. Blinn, Jr. treasurer of the Continental Company. and W. L. Dodd,
 formerly secretary of the Birmingham
 Debenture- Company are under arrest
 charged with embedding amounts vary
 ing from $500 to s25,O0o.
 George W. Morgan lives at Hogansville' Ga,, and was arrested in that city yes terday on warrants sworn out by D. M.
 McCalia, John M Dean, E. W. Whaley and James Campbell, all of whom claim to hold bonds issued by the ,Continentai | Securely Redemption Company, and live | in this city One warrants charges the embezzlement of s25.o0o, another the em- | bezzlen,ent of a check for $2J,O0O. another
 the embezzlement of $500, and the fourth charges MT. Morgan with embedding $500 | Up to a late hour last night MT. Morgan | IuQ ldiltu lp poiAN'
 Biinn Arrested In Office. George A. Blinn, Jr., was arrested in
 his office in the Excelsior Laundry build ing yesterday on warrants sworn out by
 Thomas L. Norwood, charging him with | the embezzlement of $25,000, while the other charges the embezzlement of a | check for s25,0o0. The check Is said to
 have been drawn on the Peoples Savings Bank and Trust Company In favor Of | John M. Swanson, who was at the head of the Southern Debenture Redemption | Company.
 w. l.. Dodd was arrested on a warrant
 sworn out by Norwood, charging him with embezzlement of $12oOO. while secretary | and treasurer of the Birmingham Deben- | ture Company The warrants were sworn | out before Judge Dan A. Greene, and are | made returnable before Justice Iof the
 Peace I. H. Benners. MT. Dodd and Mi. Blinn both made bond and were re- | leased
 Absorbed Debenture Company. The Continental Security Redemption | Company before it's affairs became legally involved absorbed the Birmingham De- benture Company. the Columbia Invest ment Company, the Southern Debenture Company and the American Debenture
 Redemption Company. Out of this con solidation comes the warrants and ] charges against MT. Morgan, Mir. Blinn and MT. Dodd.
 The sums specified in the charge are said to represent the amounts which changed hands in the purchase of the | capital stock of the minor companies. The bondhoiders claim these amounts
 were fraudulently appropriated, and though the defendants will make no statements, it is understood they insist that the transactions were straightfor- ward and legitimate.
 Up to the time it's affairs became in- volved the Continental Security Redemp- ton Company carried on an extensive debenture business throughout Alabama Georgia and Kentucky. The direct cause of its failure was a decision by the att torney general for the Postoffice Depart ment chasing the debenture business with lotteries and compelling all matter sent through the mails to be marked fraudulent"
 Demanded Return of Money. When this decision was rendered hum dreds of letters began pouring into head quarters of the company in this city de-
 manding the refunding of money paid on bonds. As the situation grew worse George A. Blinn, Jr.. as treasurer. filed
 a petition in the United States Court of
 pointed to take charge of the company's
 affairs. In the petition the company gave
 reasons for fearing its inability to carry
 on It's business. It was alleged among
 other things that suits had been filed and
 a multitude of others were threatened
 and if something was not done the com
 pany would be seriously crippled.
 J. B. Cobbs. president of the Alabama
 National Bank was appointed receiver
 and immediately took charge of the bus
 mess. In the meantime a multitude of
 suits sprang out of the filing of the original bill and many of them are now
 pending in the State courts. An appeal
 was taken from the decision allowing
 a receiver and the matter is now before
 the United States Court of Appeals. The exact amount of the company's
 liabilities has never been published but
 it is estimated at $3OOOOO. while the as-
 sets are said to be less than $1o0.oO0.
 Irregularities Alleged.
 A reference in the debenture company case was held by Charles J. Allison, clerk of the United States Court sev- eral weeks ago and his report upon this reference showed number of alleged irregularities in the conduct of the com pany's affairs. Upon the evidence ad- duced at this hearing several of the bondholders decided to issue warrants for the arrest of the officers of the com pany.
 George w. Morgan, president of the Continental Security Redemption Comma ny has not been in Birmingham except on short visits since the litigation began and when the warrants were sworn out the papers were sent to Atlanta for ser vices. It was discovered he had gone to