New-York tribune., 1906-08-13
END PUT TO 4 SPINDLE.
Killed by Vigilant Postofce In
SpectOrS.
lFrom The Tribune Bureau.

IFrom The Tribune
Washington Aug I2.-Of all the national police
forces, that OF the postal service while not the
most popular comes into direct contact with the
most people. The army and navy act only in
great emergencies, and their influence for the COM
mon welfare IS exerted between wars in passive
way. The Secret Service of the Treasury devotes
itself the prevention Of counterfeiting and
Furnishing dishonest fiscal officers and the special
agents OF the various executive departments guard
against such offences against the federal statutes
a. land frauds, smuggling, '-moonshinlng" etc.
but the postal inspectors must be eternally vigi-
liant, not only 10 insure the security Of the mails
bat TO protect innocent individuals throughout the
land against becoming the prey Of sharpers
operating under the privacy afforded by sealed
envelopes 10 hide their netarious schemes from
the authorities
An Interesting instance Of the benehcent work
performed by the postoffice inspectors is related
by subordinate Of Postmaster General CortelyOus
which should be A warning 10 every against
sending money 10 strangers in the expectation that
il viii return in few months with several hundred
per cent profit. This particular incident has just
been closed but many like it. differing only in de-
tails. are continually appealing to more less in
telligent suckers through the medium Of the
mails. and in spite of the inspectors activity the
business will flourish long there gulible
persons bent getting rich quick"
Edward A. Vaughan appeared at the Germania
Bank, Minneapolis December 90 1904. with several
companions and deposited $500 in his own name.
advising the officers of the bank that about
TO stablish grain brokerage business in the city
He then rented Offices in the Guaranty Loan Build
ing. OF the finest Office buildings IN Mime
apolis; purchased expensive ONCE furniture from
local dealer the monthly payment plan. installed
telegraph service with a competent operator and
employed skful stenographers.
Printed circulars. purpOrting to describe the
ness containing Naughans likeness. pictures of
the magnificent building in which his offices were
located, scenes in Minneapolis, all bearing the
names Of the broker were shipped from Chicago by
freight and mailed from the Minneapolis post
Office Nearly 10000 copies of the first pamphlet.
called Wheat" mailed early in January,
last year. These were followed by thousands OF
other circulars telling Of EaughAn's experience as
business man and broker, requesting the public TO
send him sums Of money with which purchase
wheat. and guar anteeing large profits All the
literature attractive and bore evidence OF the
authors knowledge OF the gram and commission
business He also sent out facsimiles of letters
ofrs ,rroCrtiT 70 he from forr1er c1isfoTneTs in
ii ,,,-,s - 7o,5T+-E ~ 4rorI mo ~ ~ a., 6i-t
IN public lie, such as United States Senators,
Representatives, army officers and postmasters.
Actual business relations WIN a reputable Mime
apolis grain dealer We're begun, Through him some
instances small profits were remtted TO customers.
!ocaI oaily papers, lne SATURDAY issues IN Whlch
his market review appeared, and approximately
ihroughoat % the United States and canaoa man
The whole scheme was most carefully and ably
planned and artisticaly executed. By April l.
1905, three months after arriving in Minneapolis,
Vaughan and his associates had estab ablished through
their literature and by correspondence. n certain
standing with thousands Of people throughout the
country II was their plan 10 Keep the BUSINESS IN
operation. rather. to remain in Minneapolis I'M
m May 10 lS05. on April ( typewriter letter
bearing Vaughan 5 signature was got out Copies
of this were sent to thousands Of addresses II
This confdeutiaIIv advised the addressee that "a
big wheat deal was on" which would be con
summate ted Nav 70 Two hundred 70 500 per cent
profit guaranteed. Mr.. Vaughan had inside
Information. and wanted every one 10 get slice Of
the monster melon Fie Would receive rehlittailces
sums OF less than Sl00 TO operate in his own
the profit With these letters pictures of his Min
neapos residence and terminal facilities We're sent.
conveying evidence Of ms prosperity they were,
fact, pictures Of q Sl5Vt1 residence and an I'M
meuse grain elevator in Minneapolis, owned By
others.
Many apparently believed what they read,
2 bout Apr or remittances began 10 arrive BY
mail. express and telegraph. 5000 70 Ss,oe0 being
received bv Vaughan daily
The board Of Trade and bankers became sus-
ricf0us and reported their suspicious to the post
master. who consulted the inspector. Il was de-
Vaughan 10 Identify himself letter mail was not
sent 10 his office that morning by the carrier An
inspector called curing ie Lore309 95 aIe f IlIea
man the Office that Vaughan was then on his
way from Chicago and would arrive about noon;
this man did not return after Iunc1eon. ana
Vaughan never arrived. The scheme had collapsed
Vaughan who arrested in DENY yr on Jan
~, 1890, teStIfed AT MS trl n Nh
April Q that he in Winnipeg, Canada, April z
OF last wear. on that day ne received a telegram
from his con sederateS Minnea polls. which read
-+C.-ardrna is dead meaning ~,nat the scheme
bandoned and that those interested in u had ned
70 1-se convicted Dv q Jury sentenced 70 fifteen
months imprisonment in the state Reformatory,
81 cloud MINI, and fined $500.
IL is believed that from $4,000 70 $4,000 was re
ceiyed by Vaughan and his assorar res result Of
r.Is srherre Seven hundred eght hundred let
tors addressed 10 Vaughan, the majority OF when
the mali held Dy the postmaster. April T. 1888
were either returned 20 writer's sent 10 the Dead
I.ctter once, marked fraudulent by der OF the
department