The sun., 1908-12-13
SI5O,OOO SVINDLE EXPOSED
r\D or FRAUDULENT MEXICAN
MINING SCHEME.
rraud order against GeOrge W. Emanuel
90. and H. ID. SDyer & Co., the
promoters Of Properties Which Con-
sisted Of Two Holes In the Ground.

Ssten OF TWO hoieS VI tie STOunu'
WASHINGTON. Dec. i2.-The Post Ofict
Icratment to-day In isssling fraud
order against George w Emanuel & Co.
B Spyer Il Co and their officers and
rl,e Mutual Trust Company OF Mexico
whose offices are at 579 and 57S Fifth ave.
mn. New York. made public the report
of lost office inspectors who investigated
tbe concerns and who on December
caused the arrest Of Louis A. Prince and
j Walter Labaree in New York OH a charge
of using the mails TO defraud IN the pro-
motion of mining scheme. Prince and
Iaharee. with George w. Emanuel and j.
,ranston Thomas, made up the, firm OF
George W. Emanuel a Co.. which pur-
ported to be the American representative
of the Mutual Trust Company Of Mexico
in the sale Of stock Of the Dos Estrellas
Mines and Development Company. -.
The inspectors in their report TO the
Postmaster-G General say that the men
have succeeded in floating at least $3.50 ,0ot
worth of stock OF the Dos Estrellas Mines
and Development Company. and an
INSPECTOR who went TO Mexico reported
that the mines were myth.
Louis d. Fry. a Mexican mining engi.
uaer. informed tine Department that the
hos Estrellas Mines and Development
Company lis one OF the most disgraceful
swindles ever perpetrated. - He added
that he visited the properties" owned by
TN. company and they consisted Of two
holes in the ground which two men were
working The company, he said, had
never shipped pound OF ore. r
The Secretary of State transmitted to
the Postmaster General a commnnica-
ton from Ambassador Thomas at Mexico
City, which was in part as follows:
Lawrence y. Spyer and the Mutual
Trust Company Of Mexico appear to be
one and the same thing. In making the
best Inquiries | have been able TO make
here . appears that before the advent OF
this os Estrellas Mines and Development
Company the same outfit that now repre-
sentS il manipulated the same scheme on
Two other mines
The Ambassador added that he had been
informed by the United States Banking
COMPANY that there was no value on the
nruperty on which the Dos Estrellas min
ing stuck was sold. The Ambassador
said that the name is almost the same as
that of very rich mine in another State
in Mexico. .,.,.
The inspectors give history of Prince
and Labaree and OF their activities as
promoters and members of bucket shop
firms They say that before they investi.
gated the mining concern the last hearo
Of Prince was when he was engaged in
business with Horace A. Blackburn, Jr
now serving three years term in Dame
mora; that Labaree was the moving
spirit in the New York Cotton Bureau
a fraudulent concern with which Black
riur was also associated,
10 selling their stock the inspectors
rao1rt that the men promised dividends
OF from Is to 20 per cent. and encouraged
sl.es by paying dividends from money
r,iiGsi / from the sale of stock On theft
.trltlre was printed a photograph OF
"a main building of the Mexican National
.liroad, which purported to be the gen.
- ficss of the Mutual Trust Company
Il texieo g -,t.- ,..r
The men have long been under investi.
alton aud would have been arrested
,,oner,. but the District Attorney. in New
ORR did not want to take action, the
clport says, until an inspector had visited
ls,ico and authenticated some OF the
.hidgs: which were disclosed by oorre-
spondence.
The report informs the Department
that Prince and Labaree when arraigned
bsfore United States Commissioner
we're released on bond and that the Fed
eraI Grand Jury has returned indictments
against both Of them and also against
George w. Emanuel and Sach Samuels,
who Is associated with Spyer in Mexico
The inspectors believe that Emanuel. who
euded tham in New York. has reached