Omaha daily bee., 1902-05-02
CHARGES SYSTEMATIC FRAUD
Creditors Of Defunct Globe Savings Bank
Make Sweeping Allegations,
NAMES CADET TAYLOR AS PRINCIPAL
Alleges that He ana Others Create
Many Fake Companies 90 Evade
on old Judg-
ments.

In an effort to recover on an old judg-
ment for 81, 4O5.19 and $3.50 costs, A. C.
Wakeley and ]. S. Cooley, attorneys for
James NJ. e. weckerly have been digging
deep into the history Of Cadet Taylor, pres
ent collector Of customs at the port of
Omaha, w. B, Taylor. his brother, Henry
o. Devries and others. This history plaintiff
relates in a petition is of such sensational
nature that Judge Read yesterday granted
an order restraining the sherman & Neon
nell Drug company from paying rent TO
any Of the defendants pending a hearing
May 10, on an application for temporary
injunction.
Weckerly. who Is said to be a laborer
whose only income is the earning Of his
hands, in his petition, tells a long and
somewhat complicated story which is in
substance that the Taylor brothers we're
the principal movers in a scheme to defraud
old creditors by shifting titles often, yet
keeping them practically in their own hands,
Plaintiff begins by relating that March 80,
1901, in district court he received a judg-
ment against Cadet Taylor. Mount, Globe
Loan and Trust company, Emma o. Dew
ries, as ADMINISTRATORS, and the Globe Saw
ings bank, for the sum above stated, which
judgment is still in full force.
story Of a Bond.
II was, he says rendered upon a $50, 900
bond executed to the state by the defendant,
the Globe Savings bank as principal and
Cadet Taylor, David T. Mount, Globe Loan
and Trust company and H. o. Devries as
%sureties. about two years after the bank,
which had been organized March %, 1890,
under the name Of the Globe Loan and
Trust Company's Savings bank, became in
solvent and unable to pay its creditors.
At that time, plaintiff AYERS, a state bank
examiner, who later had charge OF the
bank, recommended applying to the district
court for a receiver, but on June 26, 1896.
the defendants, the Taylor brothers, Mount
and Devries jointly and severally executed
the bond above referred to, agreeing in
1t to settle in full all liabilities Of the
Globe Savings bank within three years Of
the date Of the bond. BY doing this they
secured $55, 900 assets and property Of the
bank, but when the three years were ex-
pired in June, 1899, plaintiff states, they
failed to keep the promise to settle liabil-
tiles, among which was the plaintiffs
81, 1879 judgment. And they are, he al
leges, still refusing to make such settle
ment. On April 5, 1901, he caused an ex-
ecution to be issued on certain property
the bank possessed and sold the same for
the munifcent sum OF IS, since which time
he has not been able to collect a cent more,
although he tried IL with another execu-
ton one week ago today.
Formation of Corporations
A history of the Taylor evries evasion Of
executions is given and the chapter is one
Of the broadcast and bluntest Of his long
petition. 1t sets out that Devries and
the Taylor brothers in 1889 and 1890 en-
barked in various business ventures Of a
hazardous nature and anticipating the fact
that these ventures might result disas-
trously to themselves and expose them to
personal liability, in order to defraud their
clients and customers and to provide an
easy means OF shifting about the title Of
their real estate and other assets, and there
by efectually defrauding their creditors.
organized in the city Of Omaha the follow
ing corporations:
On November s, 1889, the Globe Loan
and Trust company, which became insolv-
ent and ceased to transact any business
about 1896.
On March %, 1890. the Globe Loan and
Trust Company Savings bank, which be-
came insolvent a short time after it was
organized and whose affairs were taken in
charge by the state bank examiner in 1895.
On October p, 1890, the Globe Building
company.
On October 8. 1896, the Henryton Land
company.
On January "a, 1898, the Putnam Land
company.
On October /, 1890, the Linwood Park
Land company, whose control and manage
ment subsequently fell into the hands OF
Cadet and w. Beach Taylor and Deyries.
In all these ingeniously created con-
Germs Taylor and Devries constituted
the controlling element, associating other
names with theirs only for the sake OF
appearances. OF the first, plaintiff says
that one name, that Of NJ. Eugene Culver,
he believes to either be fictitious or a per-
son not a resident in Nebraska, and he
charges that the company became in
solvent Through fraud OF mismanage-
ment." leaving debts and Judgments that
are still on the records. OF the Henryton
Land company and the Putnam company,
he says that the interpretations were
simply hired to do the Incorporating for
the Taylors; that Cadet Taylor is presi-
dent and w. b. Taylor is secretary OF the
latter, and these companies and the Globe
Building company were created, In SO far
as Cadet Taylor or Henry o. Deveries were
Interested and concerned, purely for the
purpose of defrauding the creditors Of the
Globe Savings bank and the Globe Loan
and Trust company, and to AFFORD the
H ~NA - a@@la' AAG pAOpN
erty and assets OF the said several cor
porstions from one TO another, indiscrim>
inately and Interchangeable"
/ some sample Gases.
In support Of this allegation the plaintiff
? relates the history Of several illustrative
: cases. He states that William ]. Ijams
and wife, on June Z 1892, mortgaged Iots
? in Oak Knoll east of Omaha to the Globe
; Loan and Trust company for SlI 900, and
= that on June IS, just eight days later, tbs
: trust company assigned and conveyed the
: mortgage to the Linwood Park Land com.
pany, but without consideration, and that
? as part OF the scheme to hinder the cred
itors the Linwood company brought an ae-
tion in the district court in Douglas county
to foreclose the mortgage. and did fore.
close II, but on February II, 1900, pre-,
: tended to sell and convey parts Of II to the
e Putnam company, which company. without
compensation, pretended to sell a part OF