The Detroit times., 1910-10-13

NEW YORK, Oct 12.-Lawrencs
Wolf. appointed receiver by Judge
Hand In the Unfsed States district
court. announced that the Interstate
Land & Building Cooperative associa
ton, q 100000 concern at No. 26l
Broadway, had been thrown into in
voluntary bankruptcy. Receiver Wolf
after a preliminary investigation
characterized the case as APPARENT,
another $50 per cent. Miller fraud.
A. NJ. Simon No. 1<1 Broadway
and Henry Goldey, No. Is Nassau-st.
attorneys for Receiver Wolf. were In
conference with representatives Of
the district-attorney's once yesterday
regarding the criminal aspects OF the
case.
Both Receiver Wolf and Messrs
Simon and Goldey declared to q re
porter for The World that there was
every evidence of . fraud that will
cost investors 100000 and possibly
q greater amount Search IL now be
ing made for the books of the com
pany, which disappeared mysteriously
last Friday night. The receiver ID
especially anxious to obtain the books
Of the bonding department.
Receiver sees Big Fraud.
There 10 every apparent evidence
Of another $50 per cent. Miller case.
said Mr.. Wolf. This company. how.
ever. occupied more imposing Offices
and dealt In larger amounts. am
anxious to discover what became OF
the 100000 paid-in capital OF the
company. II Is q question whether
this amount did not largely consist
Of watered stock.
Il never found a place in greater
confusion than when / took posses
sion. The furniture. worth $4,000.
had been removed by a municipal
court order. but have been unable
to discover who took the books.
'''Ihe company evidently did an I'M
mense business with comparatively
poor people. judging from the mass of
papers and documents found In the 10
room suite Of offices.
so far az I can discover. the as
ISOLATION had q balance Of eight
cents in the Williamsburg Trust COM
pany In September. It still kept on
selling its bonds, however"
Archibald Bull, building superinr
tendent of the company, appeared be-
fore the receiver. according TO Attor-
ney Simon. and stated that he bad
seen e. J. Sherry. vice-president and
manager OF the defunct con-
Germ, last Friday.
Bull informed US" said Mr.. Simon.
that Sherry had exhibited roll OF
bills, which he said amounted TO &c.
900, and which he said he was going
10 deposit in the Williamsburg Trust
company. No such deposit has been
made by Sherry, 20 far an we can
learn.
Sent $500, Got No Bonds.
Richard Lee Cobine. who said he
was an agent Of the association at
Pa, also appeared before
the receiver and stated that several
weeks ago he had forwarded $500
10 the association, In return for which
Il was to send to clients In Norris
town certified collateral bonds OF the
arm. Cobine averred that these
bonds were not forthcoming, despite
repeated Inquiries"
Among those Who called at the dis
of1ces was George wagner.
No. gil Union-ave., Union Hill, N. J.
Wagner desired to build o home at
Dumont, N. J. He received . circular
from the Interstate concern In which
Il offered to buy lots for him, build
\ $1,000 house and take . mortgage.
He paid the company 5000 cash. he
declares, and 800 In installments on
lots which were to cost $575, with the
that building was TO
begin AZ soon - he had paid his 5000
cash. Building did not begin, how
ever. and when he came here he was
unable to ind any of the oflcials.
The company had seventy agents
out selling its bonds. These bonds
were sold either on installment or
outright. The usual rate was at TWEEN
ty-five cents q week.
Some "Don'ts" For investors.
One of the associations pamphlets,
headed AN Appeal to Reason or Per
lection Reached at Last" contained
the following ''don'ts" for investors:
Don't take q nyer; remember the
other fellow stays on the ground
while you are away up"
Don't put money In new inven-
tons. They will remain new when
you are very old"
Don't invest In o gold mine; the
gold takes too long coming to the
surface. You can get II quicker at
your bank"
Don't speculate In wall-st. Poker
ls more entertaining and you save the
Don't put your money out for pro-
at or interest without security that IL
under your own and absolute con-
troll"
A letter to q prospective investor
the following:
I'VE make a speciality Of building
small homes around Greater New
York for the homeseeker. assisting
them by financing them somewhat.
The homebuyer must pay Is per cent
cash, own property Of at least % per
cent. of value of building to be erect
ed. We then accept from the client
on completion OF house. as balance OF
payment due, a so per cent. bond and
first mortgage on completed proper
ty, thereby giving us complete secur-
ity for the money advanced.
Wants viger To Pay Rent.
Aid. Herman link called on Assist
ant Corporation Counsel Lawson.
Wednesday morning. to ask him what
can be done toward collecting five
years rent on the city property occu-