New-York tribune., 1909-06-25
TAKE NINE PROMOTER
CANADIAN ARRESTED BY
L. S. DEPUTY M4RSHALS.
UvilIiam S. Mitchell Charged Nth
S5Cindhng Dominion Senators and
ReIatice of the King.

At the request Of the Canadian authorities
William S. Mitchell. promoter, living at River
side Drive and 9th street was arrested yester-
day by United States deputy marshals. accom-
panied by Sylvester F CosgrOve, private de
tective retained by the Canadian authorities.
and Joseph Z. Rogers, of Ottawa, Inspector of
Criminal Investigations. The accusation against
Mitchell, made by the Canadia4I government
and various influential Canadian citizens is the
obtaining of money under false pretences.
Mitchell was arraigned before Commissioner
Alexander, who committed him to the Tombs,
pending examination to-day.
According to the charges made against him.
Mitchell swindled many Canadians, including
Sir Augustus Fitz George. son OF the late Duke
Of Cambridge. who was a greatuncle Of King
Edward. in a mining transaction. The COM
plaint alleges that he represented to a syndi-
cate. in which were several Canadian Senators
and others high in public life that he had OBJ
tanned option on a mine in the Nipissing
district for $130OO0, whereas he really gave
only S90.000 for the option.
Mitchell is said to he we'll connected, having
an uncle who IS a Senator. Alexander c. Ross.
also member of Parliament, alleges in an
affidavit. which was filed yesterday part of
the application for extraditon. that in January
1907. William S. Mitchell. W. c. Strahan,
Member of Parliament from Montreal Senator
William Mitchell and he wanted TO get an option
a mine in the Nipissing territory. The
prisoner deputed TO go 10 Quebec 70 see
William Stone Thomas, owner of the claim, to
arrange terms. Ross at that time was made
secretary of the syndicate Four days later
the affidavit continues, Mitchell reported that
Thomas willing to sell for $4,000 cash
and $4,000 stock of the company 10 be Sornned
to operate the mine
These terms were agreed to- and new members
taken into the syndicate, among them Sir Au-
gustus FitZ George. A company known as the
Airgiod Cobalt Mining Company. Limited was
formed, and payments amounting TO $4,000
were made to Thomas. it is alleged.
About October !, 1907. the affidavit continues.
Charles B Ross, son Of Alexander c Ross and
his private secretary. noticed that a check for
$4,000. drawn to the order OF Thomas. had been
indorsed by him 10 Mitchell. the prisoner In
vestigaton. the complainants maintain showed
that Mitchell had agreement with Thomas
that the actual price OF the property should be
100000. but that the syndicate should pay $780,
600 Mitchell receiving the extra $4,000 Mitchell,
according TO Cosgrove. the detective here en-
gagged by the Canadian authorities and thu
syndicate members. acknowledged this. but said
ne had been acting for himself in the transaction
ard wasn't watching the syndicates interests
sedulously.
The syndcate paid ths remaining s4ooCd 10
Thounas gave him the 10000 Of stock and took
title To the property. Also It vas said that
Mitchell restored a good share Of the money he
received. went TO Europe and then came TO this
city 10 live with his father a contractor
But the syndicate members more particularly
Ross, were determined not 10 let the case drop,
and brought the case 70 the attention Of the
Canadian government. II is said that this case
formed part of a government crusade against
dubious mining transactions. a general in
vestigation Of the case was made by the author
tties Mitchell was watched. and IL was decided
to arrest him. Then ii was discovered. Cos
grove says, that there was defect in the
Canadian laws which would render It impossible
to subpoena witnesses from various provinces TO
Ottawa TO testify in this case So the laws were
amended TO make this possible. and the arrest
eventually made
Mitchell at one time II vas said was a mem
her of the Consolidated Exchange here Prior
10 that he was in the brokerage business in
Boston. Charles E Littefeld is his lawyer
Charles Fox represented the Canadian govern
nent