New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1909-05-11
BRITISH GOLD AS LURE
CH4NCERY AGENTS HELD.
They Troiled lost Her" for
Fortunes OTerSeG.

York. Commissioner Bingham, Detectives Nc
Conville. Nelson and Rsfts arrested and locked up
at headquarters yesterday John Phillips, 'mer-
chant" living at No Is West 18th street. United
States representative of the Chancery Funds Re
covery Association. Of London. England and
Charles Arnold Whitney. of No. 7S4 East 151st
street, local secretary.
The two men charged with violating Section
40 of the Penal Laws in doing business in the city
and state of New York without being registered
with the County Clerk of the city Of New York as
a firm with the Secretary of State at Albany as
4 corporation.
Philips was arrested at his home Whitney
AIKEN into custody at the New York office.
At 1890 o'clock this morning Whitney was re-
LEASED in 500 bail, furnished by Michael Posner'
brother of his attorney. Louis Posner. The men
will be arragned in the Tombs court this morning.
Consul General Bennett had written TO General
Bingham follows
I beg to draw your attention to the engraved
-. - ~ T,horcar,i EtInds Association Of No
% Fifth avenue, New York City, together with a
Consulate General concerning dormant funds in
Chancery. You will notice that the Postmaster
General (of Great Britain has sent out caution
against people relying upon the statements OF per.
sons styling themselves unclaimed money agents
or who profess 10 act IN Pehaf OF me ,qnI , OF
Chancerv. as the Supreme Court of Great Britain
haH mo Ss az eeiTel recently at this of
flee concerning the dormant funds in Chancery
heads me Of TO he bsnce &Raf und RacoTr& Assoc
ton might be desirable to the public's interest
The circular which the Consul General referred
in the foregoing letter as having been Issued
from his office reads in part:
Dormant funds and unclaimed estates in the
Court of Chancery
His majesty's Postmaster General has recently
issued the following notice as to the unclaimed
"The lists Of next TO KIN and heirs to unclaimed
moneys estates. etc, issued by various persons
not official publications and often contain
lie cautioned against relying on the statements
OF persons styling themselves unclaimed money
a home and abroad and processing TO he
able recover money IN the Court OF Chancery
behalf of the Court OF Chancery.
The Supreme Court of Judicature has no such
The dormant funds for which riEhtful claim
@ n'!a are e+Tii,r and ere in tbrty-T our th"Isa1d
separate accounts. One-twentieth Of the whole OF
pounds each. while one-haIf OF the whole does not
exceed one hundred pounds EACH
With this official statement Of true conditions IN
chancery. the consul general also sent the Police
Depa rtment letter purporting to have been writ
ten by the secretary OF the Chancery Funds Re
covery Association, and addressed 70 J. Mucaster.
No. So Montague street. Brooklyn.
Nj Mulcaster was reminded that he was a Brit
ish subject and that the associations blue book"
cost 81 woald give him the Of those having
claims chancery funds. There many lost
heirs such fortunes in this country, and FOR
the association would tell him whether he was one
of them
The circular inclosed In this letter according to
the police. declared that IN the Court Of Chancery
f1Oo,OO0O0O CS50O, 0OO) lying dormant Of
which stupendous estimates apportIoned SI40-
900 as rghtfulIy belonging to persons now Iv-
ing in the United States. Furthermore the moneys
in chaucery We're always recoverable The claims
never lapsed.
with this material in hand. Commissioner Bing-
ham wrote to Secretary Koenig inquirnE whether
the Chancery Funds Recovery Association had
registered at Albany a corporation On May >
the Commissioner received word that 1t had
Search OF the County Clerks office likewise failed
to reveal registry Of the Chancery Funds Recovery
Association since last November. when they began
doing business here.
When the detectives called yesterday at the hand
somey furnished offices of the Chancery Funds
Recovery Association the office boy said that the
secretary was really too busy to see them.
Detective McConviHe pushed his in and met
the indignant Charles Arnold Whitney. He said
the Chancery Funds Recovery Association had vio-
lated statutes that the office Of the association
was conducting important business for London
barristers and that Mr.. Phillips, London barris-
ter himself. their representative In the United
States. while he (Whitney) was merely the secre-
tary.
Better come along with to Headquarters
now" said McConvie. It's the easiest way anu
the best" Whitney went.
From the offices of the ChanCery Funds concern
the police took between eight hundred and one
thousand packets, which they said contained dock
eted correspondence with persons in all parts of
the United States. They said they expected to go
back the morrow and get the rest Of the bun
dies. about thousand In number.
Louis s Posner counsel for the prisoners. was
seen last night his home, No. 1873 East 18th street
The whole matter is a surprise to mel have
lust heard Of it" he said While in the past I /
have acted a legal capacity for Mr.. Whitney !
only. and then in several minor matters, from /!
what ! know of Mr.. Whitney and have heard of !
Mr.. Phillips feel assured that they are men Of
high character and conducting a strictly le- /
climate business. I feel that a very brief |
hearing in will demonstrate that they are /
guilty If guilty all. of nothing more than the !
of msdemeanor. and that unwit-
tingly."
Early this morning Phillips bailed out by /
Michael Posner The failure to register the Chan /
Gerry Funds Recoy-ry association purely |
oversight" he said The association has been in |
business in London for the last thirty and is
an eminently reputable concern doing an absolutely
legitimate business since opened offices here /
In New York we really have been doing only work |
10 establishing the association in this
country.
The difference of 100 eO0oOO between our repre-
sentaton of the total dormant funds subject To [
claim tho Consul Generals representation Is /
accounted for by the fact that in sending out his
figures the Consul General has referred merely to
those dormant moneys already claimed and deter
mined TO be non-subject TO rightful claim