The Athena press. [volume] (Athena, Umatilla County, Or.) 18??-1942, 1908-07-17
LAND FRAUD AGAIN
Scheme Nipped at Baker City by Ar.
rest of E. G. Cooke a New
York Broker.

Travelling across the continent in a
private car, living on the best things
of the land, and accompanied by a
party of 40 prospective customers as
his guests, Henry E. G. Cooke of New
York, broker, was arrested in Baker
City Saturday afternoon on a charge
of soheming to defraud the United
States government, and will probably
be brought to Portland to have his
preliminary hearing before United
States commissioner, says the Portland
Journal.
Cooke was arrested by deputy mar
shal at the request of United States
District Attorney John McCourt.
Cooke was indicted in New York on
charge of fraud preferred against him
by the government.
When Cooke arrived in Baker City
be was accompanied by many of the
persons whom he had promised for a
consideration to locate.
The arrest of Cooke brought to light
scheme for defrauding the govern
ment of timber lands which had it
been allowed to run would have rivaled
if not surpassed the now notorious
transactions of S. A. d. Puter, Horace
Mckinley and the rest of the land
fraud ring which has recently brought
Oregon into such undesirable promi-
nence before the reading public of the
United States.
Cooke was and is the general mana
ger Of the Oregon Ranching & Timber
syndicate having headquarters in the
st. Paul building, New York City.
He is the owner. or reputed owner of
large ranch in the eastern part of the
state, in the vicinity of Baker City.
The scheme of Cooke was simple.
He advertised in the New York papers
that he had a proposition by which
investors could make twenty for one, "
and he outlined it to those answering
the ad about as follows:
Cooke represented that he was the
agent for the Weyerhauser people who
! desired to secure large Eody of tim
Der in the state of Oregon. He admit.
ted frankly that his scheme was shady,
but contended that the federal author
tiles knew of it and of its operation
but could do nothing to stop it. The
plan was for the prospective applicant
to purchase 10 shares of stock in the
Oregon Ranching g. Timber syndicate,
paying 800 for the block. Upon this
collateral the syndicate would then
loan the applicant $400 with which
the land was to be filed and proved up
and patent secured.
Cooke entered into a written con
tract with the applicants who went
into his scheme. In this it was agreed
that Cooke would locate the applicant
on 1850 acres of Oregon land for the
800 paid for the stock in the syndicate.
Cooke was to locate the land mark the
boundary lines and then notify the ap-
plioant, who in turn was to come to
Oregon, follow the directions of Cooke
and file on the land. 1t is further
agreed that Cooke will buy back the
claim for $4,000 net as soon as patent
had been secured from the govern ment.
AS an extra inducement 1t was
! agreed that the applicants could stay
at the ranch owned by Cooke IN Eastern
Oregon pending the passage of the
patents by the government and The
final closing Of the deal upon payment
of 81 day board.
The operations of Cooke in this state
were brought to the attention Of
United States District Attorney Nc
Court through letter written Ey q
New York man asking Portland
friend for advice regarding the scheme
and given to The Journal. In this
letter the contracts made by Cooke
were set out and his plan as outlined
by himself made plain.
Acting upon this clue District At
torney MoCourt directed the attention
of the New York office to Cookies oper
ations with the result that be was in
dioted some weeks ago, since which
time the officials of the government
have been trying to locate him. HI
was found in Baker City and placed
under arrest at the request Of Mr.. Nc
Court.