The Oskaloosa herald. (Oskaloosa, Mahaska County, Iowa) 1885-1919, 1910-11-24

FEDERAL AGENTS
RAID STOCK FIRM
Burr Brothers Offices in New
York invaded. h
NATIONWIDE FRAUD CHARGE
Post Office Officials Claim Concern
Have Defrauded investors Out Of
Forty to Fifty Millions In
Sale. Of Stocks.
NATIONWIDE FRAUD CHARGE

New York, Nov. 22.-Federal offi.
Gals raided the quarters OF Burr
Bros, a corporation dealing In stocks
and other securities, with offices in
Chicago and other cities. RI
The raid was made on warrants
charging use of the mails to defraud
investors. Post Office officials said
the concern had Sid to investors at
par value between $40,000,00O and
$4,000 900 of stock in various com
panies. most of which had gone out of
existence or become bankrupt.
Officers of the corporation were ar.
rested and it's books and papers
seized. ...
High OFFICIALS on Hand.
The raid was planned by Post ONCE
Inspector Warren W., Dickson. Post
master General Frank H. Hitchcock
and Robert s, Sharpe, chief post Office
inspector, who came from Washing
ton to see that it was carried out sue
cessfully. . ~
The officers arrested we're Sheldon
C.. Burr, president; Frank H. Tobey,
vice-president, and Eugene H. Burr,
secretary and treasurer.
The three officials were arraigned
before Commissioner Shields and held
in $4,000 bail each. Pending the
furnishing of bail the officials Of the
company were placed in the prisoners
Den.
Arrests Planned for Chicago.
Arrests are expected to be made in
Cleveland. Chicago, Los Angeles and
San Francisco, where the corporation
has extensive offices.
Post Office officials had been work.
ing on the case for months. Hun
dreds of complaints had been made
against the corporation by investors
who charged they had been swindled
through false representations con-
corning the profits being realized by
those who put money into the vari-
Gus oil, timber, copper, lead, zinc and
gold ventures.
$685. Gives List Of Concern.
After the raid Postmaster General
Hitchcock gave out an official memo
randum concerning the Burr Bros,
which was organized several years
ago, and in 1907 was incorporated
with a capital of 100000, later in
creased to 100000. The memoran-
dunn says that among other companies
the Burr brothers were selling the
stock of the Buick OIL company, a
concern with $5,000,000 capital 1t
adds:
"They have organized the follow
Ing oil companies: .- "'t
Carolina Consolidated, Coalinga
Aladdin, Kern-Western, New York
Calinga. Coalinga Crude Oil, Peoples
Associated Oil company.
"All the stock in these companies
has been sold except a portion Of
the two first named and the greater
portion of the money has evidently
gone into the hands OF Burr Bros, in
corporated. While all the companies
are still in existence, none save the
first four named is doing any work
at present.
Companies That Quit Business.
THE Burr brothers also organized.
promoted and sold the stock in the
following mining companies:
~, ''Rawhide Tarantula, Montezuma
Mining and Smelling and Golden
Fleece Mining, Milling and Refining
company.
Practically the entire stock in
these companies has been sold to the
public. and at present all these COM
panies have gone out of existence.
"The Burr brothers also organized,
promoted and sold the stock of the
following companies:
."Ellsmere Farm of Michigan, Cali
fornia Eucalyptus Timber company,
the New Amsterdam Securities COM
pany Red Top Mining and Leasing
company, Long Beach, Mexico and
Arizona Mining company; Nevada
Goldtield Mining. Milling and Smelling
company; United Standard Lead and
Zinc, Florence Consolidated Mining
and Leasing company, Round Noun
tain Central Mining, Cobalt Portage
Mine company, British-American
Copper Mines and Smelter company,
Arizona Copper. Gold Mines company;
Searchlight Gamma Gold Mining com
,pany, Holcomb Automatic Engine
company. and Cottonwood Copper COM
pany. -.
"All of these companies are at the
present time out of existence.
"They sold stock in the Happy
Jack Copper Mining and Development
company, Yukon Basin Gold Dredging
company, Toledo, Wabash & st. Louis
railroad, and Chicago-New York Elec-
trio Air Line railroad, in connection
with the Cooperative Construction
compan".
''The latter nared companies are in
existence at rr.sent"
All tie ihave-named companies
were capitalized at from $1CG 900 to
s5,0000O0
Continuous Performances