Omaha daily bee. (Omaha [Neb.]) 187?-1922, 1906-08-26
CONFIDENCE GAME EXPOSED
American Promoter of Mexican Com
pany In Bad Lisht-Nebrsskan
An the Game.


Chicago declare the arrest OF Henry ID.
Bushnell and L, B. Miller. officers Of the
Tabasco-Chiapas Trading and Transports
ton company. has brought to light the
most gigantic confidence game ever worked
in this country. The authorities say they
have evidence that proves the Mexican
company colossal fraud and that the
officers of the company have organized a
system Of stock-jobbiDg concerns, capital
ICED at, millions OF dollars. for the sole
purpose OF fleeing the public. Detective
Sergeant Woodbridge declared he had sum-
cient evidence to secure thirty indictments
against President Bushnell for his opera
tions In connection with the United States
Peat Fuel company. 1s4 Monroe street.
This man Bushnell is a regular Napoleon
OF crooked fnance," said Detective Wool
bridge. HE was the head of a dozen get
rich-quick schemes or rather II was one
big scheme under a dozen names. When
the grand jury convenes we expect to Sc
cure thirty or. forty indictments against
him for his work in the United States Peat
Fuel company alone"
According to prospectuses issued by
Bushnell, Miller and John R Marlkley.
promoters OF the Mexican Plantations COM
pany. the various concerns affiliated with
the Tabasco-Chiapas company are capital
ICED at sa0O,O0O.0oo. The Mexican Pianta-
lions company the parent organization of
the Tabasco- Chiapas and the Lu-Me-Ha
Mills company, also is under investigation
by the postal authorities. This corpora
ton Is one OF the oldest of its kind in the
United States and has 5000 stockholders.
Postal authorities declare the plantation
companies have paid dividends ON the esti-
mated profits raised. on the Mexican land,
although no record has been found to show
that any of the crops were used for any
thing but feeding stock and employees on
the plantations.
| Markley and Miller are said to be the
promoters of the Mexican Plantations as
ISOLATION and Bushnell posed merely as a
| stakeholder. Miller, who formerly was
treasurer OF Knox county. Nebraska, Ia
interested in many Mexican schemes
among them being the International Lum.
Der and Development company, which is
now being investigated by the government
the Philadelphia company. a plantation
concern. and several other corporations.
All these companies. 1t is declared, have
sprung from the purchase by the pro-
motors of 1900 acres OF land In Mexico al
a price of s1.25 per acre. The association
then capitalized at 81. 900 and to develop
the property stock certificates were sold a
from 800 to 800 share. each share rep
resenting a cultivated acre of ground
which was to be turned over to the IN
weston fully developed at the end Of sever
years. The association Is said to have
secured the ivestment OF .1,o4o,ooo by this
plan.
1.-THE scheme OF Miller and Bushnell
looks like one OF those where fraud is Gov
- .
declared Assistant District Attorney Mar
ston, who has the case in charge.
The federal authorities say Bushnell and
Miller were unable to explain how divi
dends were paid to stockholders, declaring
the vouchers had been destroyed by fire
In explaining the delay and neglect II
equipping agents which is charged agains
the Lu-Me-Ha Mills company 1t is said
clerk was absent on his vacation and thu
correspondence was mislaid.
The Peat Fuel company organized b!
, Bushnell had five branch corpora tion
, scattered through the United States ant
Canada. According TO the prospectus o
the company a new process was discovere,
| by which waste matter could be manufac
tured into peat, making a fuel far superio
to coal. The company was first organizes
in Chicago in 1906 with headquarters a
|
II was removed TO F'ranham. Cam by Bush
nell and incorporated for 100000 as tn
Imperial Heat and Power company. TIL
Chicago company was then reorganized a
the United States Peat Fuel company an
branches were incorporated at Macote
MINI; Boston, Mass, and Green River
Ill. All these concerns were heavily capi
talized and stock was sold to investors.
When the cases of Bushnell and Mile
. are called before Commissioner Foote Au
gust 81. II is probable that a further con
tinuance will be granted to enable attor
neys for the defendants to get books @
the concern from Mexico. The law fir
of Matthias Shope. Zane & Weber is reI
resenting Bushnell and Miller and the al
9 torneys declare they will have no troubl
In proving that the Tabasco-Chiapas CON
y pany and the Lu-Me-Ha mills were pay
u ing ventures
/ The postal authorities declare they wi
be satisfied with nothing less than paper
e showing that the goods clsimed to hay
: been produced were actually handled an
that the statements issued by the con
: panies to the investors were true. Bust
:. nell and Miller have been released on tn
; nominal bond OF 5000 each. - Chicag
Chronicle.