Los Angeles herald., 1910-09-15
Federal MarshaIs Take George
Fitzgerald Into Custody on
Indictment in Chicago
EMPLOY RUSE FOR CAPTURE
Authorities Discover That Sus-
pected Clerk Suddenly Con-
ducts Gigantic Operations
Associated Pressl

CHICAGO, Sept. 14.--George w. F1tz-
gerald, a former asserting teller in the
Chicago subtreasury, was arrested
today by federal marshals, charged
with the mysterious theft OF $4,000
from the subtreasu1y February 10, 1907.
Fitzgerald was arrested on a bench
warrant on an indictment returned
secretly by a federal grand jury Feb
ruary IL, 1910. Three days after the
indictment was returned and sup
pressed, on February 20 it was an
nounced the statute of limitations had
operated to stop possible criminal
action in the peculiar case.
Coincident with this ruse by the au-
thorities secret service men were de-
tailed to watch Fitzgerald constantly
and make q rigid investigation of the
former tellers financial interests and
affairs. Discoveries made by these
secret service men resulted In the order
for Fitzgerald's arrest.
HANDoUFFED AND IMPRISONED
Marshal Eberstein, chief of special
agents of the department of justice,
and Walter Wainwright and ]. L.
Buckner arrested Fitzgerald at his in
surance brokerage office on La Sale
street. just as the former subtreasury
teller was leaving for his home. Fitz-.
gerald was first taken to United States
Marshal Hoy's office in the federal
building, where he was searched, hand
cuffed and placed IN CELL Fitzgerald
objected to being searched and for
few moments was handled somewhat
roughly by the deputy marshals.
After an hours imprisonment Fitz-
gerald was taken before Judge Kene-
saw M. Landis. He was formally ar
raigned and his bail fixed at S50,0O0.
He was taken to the county Jail, un-
able to give bail.
The indictment against Fitzgerald.
read in court, specifies four counts.
Three charge embezzlement and the
fourth larceny. Under these cases
maximum of three years In the FEDERAL
prison, or q fine equal to the money
embezzled may be imposed under the
federal statutes.
Attaches of the district attorneys
office declare that since the strange
disappearance of the $173,000 from the
subtreasury, Fitzgerald had done the
following things:
ACCUSED MANS PROSPERITY
Organized the Illinois Car Manufac-
turing company with a $4,000 plant at
Hammond, Ind.
Organized the Illinois Bolt, Nut and
Forging company with a large plant
in Chicago.
Dealt extensively in stocks and
bonds.
Moved from a modest flat to $10,-
600 residence in Rogers Park suburb
Paid for this new home and fur
nished it extensively and lived in ex-
pensive style, entertaining friends law
ishly.
After the returning OF the suppressed
indictment February II it was locked
up in a vault in the office of the
United States district court clerk to
await such time as the federal lawyers
felt they had sufficient evidence to
warrant the arrest of Fitzgerald. The
fact that secret service men searched
Fitzgerald's offices and residence inn
mediately following his arrest leads
to the belief that he did something to-
day which hastened his arrest.
The subtreasury robbery occurred
February 10, 1907. The money was all
in $1,000 and $4,000 bills and for three
years persons throughout the country
found to have $1,000 and $4,000 bills
were subject to open or covert scrutiny
by secret service agents.
The $173000 disappeared from Fitz-
gerald's cage. Fitzgerald said he had
gone out to lunch and that when he
returned the money was gone. He was
closely questioned at the time, and was
shadowed for months. year after
the robbery occurred Fitzgerald was
arrested by n private detective agency
acting for William BoldenWeck, the
subtreasurer. The charge was not
pressed, however, and Fitzgerald pro-
ceeded to institute damage suits
against Boldenweck and the detective
agency for alleged false arrest.
From that time until his indictment
last February Fitzgerald was not mo-
Tested. When asked how he accumu-
lated certain sums of money, he ex-
planned thta he had made the money
in speculation. and showed records of
certain deals in which he engaged.
Mr. Blodenweck, who was succeeded
by Len Small as assistant trea
sent his resignation to President Taft
September 8. None of the government
officials would say whether todays &C.
tion was in any way affected by Mr..
Boldenweck's retirement
The robbery of the Chicago sub
treasury stands as one of the largest
thefts in the history of the treasury
department. The archives of the de-
partment record a mysterious embez-
element of 100000 from the New Or
leans subtreasury during the Civil War.
The vaults in the department at Wash
ington were rifed OF $4,000 In 1872 by
a trusted employe, who was caught and
convicted. few years later the re-
ceiving vaults of the same institution
were robbed of a package of bills by
clerk He also was tried and con-
yicted. In October, 1907, the subtreas-