Twice-a-week plain dealer. (Cresco, Howard County, Iowa) 1895-1913, 1903-04-14
PENNELL IN N[N LIGHT.
Story Published at Buffalo That the
Supposed Murderer and Sui
eide Was Defaulter.
SAID TO HAVE USED and LOST FUNDS.
Amount of Shortage, 1t Is Said, May
Reach $2OO,OOO-Left Life Insur-
ance to Cover His Alleged 1rregu-
larities-Partial Confederation of
story by Friend of Dead Man.

Buffalo, N. Y, April S.-The Com
mercial publishes story in which it is
alleged that Arthur r. Pennell, who
was killed in an automobile accident
on March 10, was defaulter to the ex-
tent of from $15o,ooo to 100000. The
story, the Commercial says, leaked out
as the result of a legal dispute over two
lie insurance policies, and is to the eff
feet that Pennell induced friends in the
east who had known his family and
the family of his wife to place money
in his hands for investment. He acted.
in fact, as their financial agent. He
would inform them of some good in
vestment which he had come across
which would pay an excellent rate of
Interest, and they would send him
money. The money which was sent to
him for investment, it is alleged. he
spent, and when interest payments fell
due he made the payments out of his
own pocket. Wallace Thayer, who was
Pencils attorney and intimate friend,
is referred to by the paper as saying he
had suspected Irregularities, but that
he had no proof of any such wrong do
ing.
Insurance for Mrs. Burdick.
incidentally, it has been learned that
Pennell made provision for the pay
ment to Mrs. Edwin L. Burdick of $685.
900 out of his life insurance.
Pencil carried over 100000 life in
surance, in order, the Commercial says,
that after his death the eastern estates
to which he is alleged to have been a
defaulter, might be able to recoup the
losses which they sustained through
him. In his will Pencil named as adj
ministrator of his estate his brother,
j. Frederick Pencil. He left to his
administrator sealed instructions that
upon his death he should make good
in full out of his estate all the losses
which had been sustained through his
defalcations.
Partial Confederation of story.
Buffalo, N. Y, April S.-Wallace
Thayer, who was Arthur R. Pencils
friend and legal adviser in his life
time, was seen Tuesday relative to
published statement quoting him as
story of misrepresentation was true
and that Pencils brother, j. Fred
erick Pencil, had pleaded with him
to destroy the trust papers, repudi-
ated much that was attributed to
him and made brief statement
which embodied, he said, all that he
cared to state at the present time.
Mr.. Thayer said:
u. Frederick Pencil, brother to
A. r. Pencil, came to me last Fri
day and told me Arthur had left
large debts to friends in the east.
These debts, he said, were large
enough to practically consume all the
insurance, and he advanced that as a
reason why should turn over to him
the $4,000 in insurance which A. R.
Pencil left in trust with me. He
said: Unless you do this, there will
be practically nothing left for me-"
Then Mr.. Thayer made this state
ment:
II drew the inference from j. F.
Pencils statements that his broth
er must have made misrepresentation
of money. There is a vast amount of
debts against the estate, some $780,
600, and can't see how he could
have got into debt to that amount
unless he spent money belonging to
Others"
Thomas Penney, who has been act
ing as attorney for Pencils estate,
when seen Tuesday was unwilling to
disclose anything regarding Pencils
money transactions. When asked
whether the statement regarding his
relations with Burdick, which PEN
nell is said to have written out Just
prior to his death, would be made
public at the inquest, Mr.. Penney
said he knew nothing of any such
statement.