The Washington times. [volume] (Washington [D.C.]) 1902-1939, 1906-08-20
Federal Commercial In
veStment Co.'S Agent
May Be indicted.
PAID AGENTS 20 PER CENT
Detectives Say Methods Of
Concern Show 1t to Be
BOldeSt SWIndle.

II is likely that within the next few
/ days wholesale arrests in connection
! with the Federal Commercial Invest
I ment Company. the local office of which
/ went under several weeks ago. This
I was the idea conveyed by Robert
BOardman, OF the Detective Bureau, to-
/ day.
! Detectives Flather and Pratt. OF the
/ Central once. arrested Jefferson T.
/ Mason. one Of the local solicitors and
collectors for the company. on Friday.
/ He was held under $3.50 bond for trial on
I "a charge of obtaining money under false
pretenses. consisting of collecting
money from Investors when he knew
| the company went TO the wall on Au-
gust /. when William Rothermel. the
treasurer. committed suicide. Mason
was released from jail on Saturday
night on bond furnished by a title
company.
Mason's arrest was merely a pTeIimi-
nary step. according to the authorities
and il is within the range Of possibility
that every officer connected with the
local company will be indicted by the
local grand jury. At least. the local
authorities will ask that such action
be taken. It IS the belief OF Inspector
BOardman that the company operated
one of the most glariug and bold
sWindlIng schemes his men were ever
called upon TO Investigate
Local investors when they learned
through The Times that the company
was no longer in existence called upon
Inspector Poardman and -Se,. for al
vice. Mason's arrest was n result of the
investigation which followed. In his pos
session the police fouE0 letter from
George Graves. director = agencies Of
the company, 20 the local office. On
which he instructed the agents to "try TO
land a-number of easy things" The d.
rectors Of agencies also iuclosed the
names OF a number OF sO-CaIled
"cinches,' and instructed the agents in
this city TO lose no time IN getting them
10 Invest at least $4,000 in the company.
In the safe at Police Headquarters
tnere are now number OF letters and
pamphlets which viii be shown TO the
District Attorney this afternoon IL rs
with these documents that Inspector
BOdrdman hopes TO indiCU every member
OF the company because II is his belief
thaL the concerns S methods were Grim
luaL Inspector BOardman is OF the
opinion that the bonds were not worth
the paper they were written on and does
not see how the company could posi-
hly paw interest on the investors money
when the collectors were paid 20 cents
on each dollar they collected. He thinks
The company was "Set-rich-qUiCk+
concern with no good intention toward
the public
The best evidence Of the fact that
the company was not straight" said
Inspector Boardman. 'is that the Of
ticers i'm writing to the local agents
used the expressions easy marks
'cinChes, land and other Of kindred
nature. which are not found i'm the vo-
cabularly OF officials Of bona dde, opeu
and above board concerns"
In the letters which followed the one IN
which the names of many local money
ed men and women WeeT found. the
out-Of-town officials congratulated the
Washington agents on having 'harpoon-
ed suckers and landed easy marks"
and gave further instructions for pro-
ceeding against the good things" that
had not already been rOped I'm on the
alleged worthless bond scheme