The times dispatch. [volume] (Richmond, Va.) 1903-1914, 1910-06-17
Officers of United w ire
less Telegraph Issue
Statement.
MAYER CHARGES
ARE DENOUNCED
Alleged swindle Of s2o,ooo,ooc
Will Be Taken Up by Federal
Grand Jury, and Sensational
Developments Are Predict
ed-Arrested Officers
Are Out on Bond.

New YORK June 1s.-While the Fed
eral grand jury this afternoon was
taking up an investigation into the al
legged s2o,O00,0O0 swindle, charged IN
connection with the arrest of unltea
Wireless Telegraph Company officials
Yesterday. William F. Tompktns. pres
ident of the New York Selling Agency
arrested at Lake Mahopac on the
Joint Indictment with President Chris
topher c. Wilson and Samuel c. Bo-
CART, of the United Wireless Company,
appeared before United states COM
missioner Shields and furnished SlV,ooD
bail for his appearance.
Tompkins was charged. with Colonel
Wilson and vice-President Bogart'
with using the United States mails
for fraudulent purposes, and post
Office inspectors alleged that S20,oO0.-
900 OF wireless stock had been sold to
the public at nctitiously high prices.
and that the stock thus sold came
| from the holdings of Wilson and his
associates.
| Abraham White. former president OF
the American DeForest wireless COM
pany. absorbed by the United wireless
! had conference this afternoon WIN
! the United states district attorney
Office and Inspector Mayer. OF the
Post-ofice Department. who are con-
Quoting the investigation.
Admits Discussion.
| Mr.. White admitted that the trou-
bles OF the United were under discus
sion, and predicted interesting defel'
opments He thought 1T possible Mt
| might be called before the grand jury
At the offices Of the United Wireless:
tonight. a statement was given ou
in comment on the criticisms OF TN
company issued yesterday by 1nspec
tor Mayer, in part as follows.
..The conditions which existed II
the American DeForest Wireless Tele
graph Company before its acquisition
bv the United Company. were no
brought about by the present manage
4 ment OF the United Company.
mo literature Issued under the pres
ent management OF the United Com
pany ever stated that 1t had con
trolling interest in other wireless tele
graph companies, or that 1t mad larg
holdings in the Marconi Company.
At intervals, the market value o
the stock was advanced. but 1t wa
thoroughly justifiable in view Of tn
4 increasing business of the company
a II is not true, as accredited to MI
MAYER that while the inside officer
of the company were privileged to sci
their stock, all the outside purchaser
were required to accept stock certitl
Gates stamped on-transferrable. Th
fact Is that all purchasers OF Unite
Wireless received stock which wa
transferable on the books at any tim,
and large amount of this stock la
been transferred by holders from tim
to time.
Stock for Salaries.
THE stock issued to officers of tn
United for their salaries was base
upon the selling price of the stock a
the time 1t was so issued to them. an
the stock was also issued for cash ad
vanced by the officers, reaching at on
time the amount of $167120 The off
GERS receiving it, in order to recou
themselves for their advances, were thu
privileged to sell, just as other holder
were privileged to sell stock for whic
they paid cash.
The further statement that opera'
ing expenses have been much create
than receipts is also untrue.
"We agree with Mr.. Mayer that tt
real assets of the company consist
land. stations, patents. manufacturir
plant sand real estate but obser,
that either through Ignorance of II
r facts or with the intention to mislea
he omitted very important asst
Q namely, the number of ships equippe
= We deny that any one officer or all Il
q officers put together have cleaned
5. s6,000,o00 and possibly $10,00o,000."