New-York tribune., 1902-03-19
SAY HE STOLE 100000.
STOCK BROKERAGE FIRM DISCOVERS
OLD THEFTS-FORMER PART
NER ARRESTED.

Max c. Mayer, formerly confidential manager
for the Stock Exchange firm of c. l.. Rath-
borne & Co, was yesterday morning arrested
at his home at Bayonne y. J.. for the embeZ-
Element of funds amounting in the aggregate 1t
is said to more than 100000. The arrest was
made by Detective Sergeants Cuff and Nc
Naught, Of the District Attorneys staff on the
specific charge of taking 81. 800
Mayer is thirty-two years old, and lives with
his wife and one child in Bayonne. He was born
| In this city. and is a graduate of the Columbia
| Grammar School. In 1896 he secured seat on
the Produce Exchange. and. with Willy Loeb
became a grain exporter, sharing, it is said, in
the profits, but not in the losses. Mayer after
ward entered the employ of Burr, Stokes & Co.
which firm, in 1898, was bought out by c. l.
Rathborne. the firm Of c. l.. Rathborne & Co
being formed. This firm was dissolved in
March, 1900 and month later the firm of
Rathborne, Mayer & Rathborne was formed
with Mayer one of its members That part
nership was dissolved In November 1900 when
Mayors connection with the house ceased; and
the present firm of Rathborne & Son was or
Ganized, with c. L. Rathborne and r. w. Rath-
! borne, jr, its members and with Offices at
No. Wall-st
For the last two three months an eXamina-
tion of the books of the old firm of c. L. Rath-
borne & Co, has been il progress. and the al
( legged discrepancies were discovered through
that examination. 1t was discovered six weeks
ago that from account which was long of
! certain stock one thousand shares of the stock
had been transferred at 60 though the market
| price ruling at the time was - to IS The ac-
! count to which this stock was transferred was
/ credited with the disposal of the shares at 10
! to IS, giving profit of $4,000 TO $4,000. which
/ was in turn transferred to other accounts, and
! paid in checks. II is also alleged that the va
! rious accounts to which the shares and profits
| were transferred were fictitious, and the checks
| drawn it is alleged, have been traced to Mayors
account with another stock brokerage firm.
The prisoner ii is asserted, did a large bust
ness with this other firm, and his account with
| il forms a part of the evidence laid before the
grand jury in this county on Monday, which
| an indictment for embezzlement was found
The reason the discovery Of the transfer Of
! the one thousand shares of stock from the ac-
count to which they originally belonged was
| not discovered sooner. It is said. was that the
! person carrying the account went into bank
! ruptCy owing G. L. Rathborne & Co. a large
sum which never settled.
1nquireTs the office Of RathbOrnb & Son
yesterday were referred TO c. \. Morgan of No
"a William-st, who is the counsel of {. l.. Rath-
borne. Mr.. Morgan said that some weeks ago
at work on the books to get correct statement
OF certain accounts. The expert discovered
Mayors deficits. which had been carried on by
carrying fictitious accounts on the books. Since
Mayer left the firm in 1900, the RathbOrnes
had had no dealings with him. and had known
nothing about him They had suspicion OF
anything being wrong with his accounts, and
the discovery was made by pure accident.
1t IS understood that the loss ocCasioned by
Mayors acts will fall the old firm Of c. l..
RathbOrne Co