New-York tribune., 1901-08-07
BIG SWINDLING SCHEME.
MANY MERCHANTS VICTIMS OF ROGUES
UNDER COVER OF REPUTABLE
FIRMS NAME.

Systematic swindling a large. perhaps a
gigantic. scale of producers OF lumber and other
materials in the country districts of New-York
and Western Pennsylvania has just been dis
covered by the National Wholesale Lumber
Dealers Association Of this city.
The swindlers operated under the name of the
GreenvilIe Coal and Ice Company. a reputable
corporation of Jersey City. which once had a
branch Office in Hoboken. Early in June one
OF the swindlers, whose name is not known. but
who said he represented that company, engaged
desk room at So month from William Hersey
of No. 80 First-st., Hoboken. The man called
daily for the "company's" mail which was
heavy. He had little to say. and disappeared
after about a month. The letters continued to
come, but unopened. Consignments of
lumber and produce also poured in.
Failure to receive either money for their con-
signments or answers to their inquiries finally
made the consgnors suspicious, and COM
plant of number OF them the National Whole
sale Lumber Dealers Association has been max
ing together with the Postoffice Department, a
thorough investigation. They have learned that
the swindlers' plan of operation was to sell the
carloads of lumber. hay. potatoes or grain as
soon as they arrived at any prices obtainable,
even accepting as much as $3.50 less than the
regular rates, for instance. for carload of lum-
ber Promises only We're sent to the consignors.
The reasons for the delay in learning even the
outlines of the fraud were the confidence of the
consignors in the concern in whose name the
plan was operated. and the length of time which
naturally elapsed between the order of the
goods and their arrival The postal authorities
are now returning to the senders the mail ad-
dressed to the company, and the Lumber Deal
ers Association has taken legal steps to pre-
vent the swindlers from taking any more of the
carloads from the freight yards at Hoboken.
Some of the shippers, too. now in this city
trying to reclaim their shipments.
Five of the lumbermen who have been de-
frauded called al No. 80 First-st.. Hoboken. yes
terday. The Greenville Coal and Ice Company.
of Jersey City. asserts that it knows nothing of
the men who operated under its name in Ho-
boken.
Just how large the losses are cannot be
learned, OF course until all the victims are heard
from or the guilty persons captured. Z. F.
Perry secretary of the Lumber Dealers Asso-
citation. said last night at Nyack:
"A full investigation may show many more
fraudulent operations by these men than we
have Yet discovered. They may have used
other railroads than the Erie, and at any rate
there are probably more on the way on
that road. When the carloads came to Ho-
bOken they reShiUpzd to New York,
Brooklyn. Long Island City or perhaps TO some
place in New-Jersey. and this, of course, makes
II much harder for the detectives To get clews
that VIII lead 10 the detection Of these men than
II the carloads were all sold. say, at HObOken."
Mr.. Perry would not tell the names of any of
the producers who had been duped though he
said that one Of the iumbermen from Brad
ford, Penn, and another from place near there.
They had probably not shown good business
naturally would not want their names pub
lished.