New-York tribune., 1907-12-31
RAID NEXT EXCHANGE
THREE BROKERS TAKEN.
Broad Street Firm arrested on
Grand Larceny Charge.

Detectives raided office on the fifth floor
at No. 20 Broad street yesterday afternoon
and arrested three brokers' the charge OF
grand larceny. Books. papers. bundles of Sc
curities and a strong box were loaded into the
patrol wagon, which backed up to the curb
next door to the Stock Exchange building.
The prisoners were Joseph Cowan of No. GOO
West 13Sth street; John l.. MCLEAN. of No. l
West SD street, and Edward Keith, of No.
O. West 131th street. They have been doing
business under the name of George F. Shurt-
left & Company Shurtleff himself is at pres
ent in Arizona. according to the prisoners.
Arthur Bacon, a bricklayer of No. 239 East
44th street is the complainant. He told the
police that he had given the brokers S105
May 81, 1907, and on September IA, 1907, he
says, he gave them additional SJl, for which
he to receive certain stocks which he de-
Clares We're never delivered
According to Bacon. Shurtleff & Co. issued
weekly bulletin relating to financial affairs, par
ticulary mining stocks in which he was inter-
ested- He decided buy S105 worth of Cobalt
Silver Wedge Himited), for which he says he
paid the Shurtleff company May 81, 1907.
Bacon said that of the three men arrested
told him at that time that the stock would be
delivered TO him on June Z, but he says also
that he did not receive the shares then nor at
any time since.
The next time he called to ask about the
stock he was told. he says that 1t was tied up
in little litigation, which they would clear up
in the future. 80
So il went until along in September accord
ing to Bacon's story, and he adds that up to
that time he had no suspicion. So much did he
trust them that he invested additional s57
with them, which had been given him by two
him in East 44th street These two whose
the police have Charles Jones and
Thompson Savage. did not make any complaint
directly against the Shurtleff company. but told
the police that Bacon was authorized to act as
their agent.
When he bought the additional shares Sep
tember II Bacon says that Mr.. Cowan, who
conducted the transaction, advised him to in
vest in some shares known Pride of Cobalt.
because the Cobalt Silver Wedge Oimited) stock
was still involved in litigation
Bacon says he became suspicious. and made
g complaint to the police on December 3.
Cowan. according to the police was formerly
member of the Consolidated Exchange. He
was engaged in the commission business in
this city, but failed some time ago After his
failure he expelled from the Consolidated
Exchange charges of violating the rules OF
the institution.
In 1903 he arrested on complaint OF
Mrs Blanche II. Smith. of Milwaukee. who
charged him with sdefrauding her out of S53,-
o0O When the came up in the Supreme
Court it was dismissed. A civil suit was later
brought against Cowan In Milwaukee, and the
lawyer for Mrs. Smith said that Mr Cowan
made settlement TO the satisfaction Of his
client.
Again. in 1906. when he was A member of the
firm Of &. Y Denk & Co, stock brokers' he
arrested IN A Supreme Court suit brought
against him and two other members of the
firm 10 recover 81 200 given to them TO buy
stocks.
of J. L. Mclean & Co, which failed a few
years ago. This concern at that time was
q member of the Consolidated Stock Exchange
It had several branch offices in this city, and
had also branch Offices out of town After the
failure of the company Mclean. too. was forcea
ont of the Consolidated Stock Exchange
In the same year he was fined S1OO by Jus
tice Leventrtt, in the Supreme Court for re-
fusinS to obey order requiring him to pro-
duce the purchase. sales and stock books or
the firm, in suit brought by Christian Butt
Ter to recover on a transaction in stocks
The three brokers were baiIed out lust be-
fore midnight last night in bonds Of 81, 900 each
Clinton Stephans, of Classon Point, n Y fur
nished the bonds, which were approved by Mag
istrate Finn in the night court He gave as Sc
curity two lots at No. e11 Union avenue The
Bronx