The sun. [volume] (New York [N.Y.]) 1833-1916, 1910-11-13
BANANA CLERGYMAN IN JAIL
yup TthF\ ~ ram an SEfI-
rP>Ori sRIF PROSPECTS.
IN, Harana Dinch sa'h To Ra,~ Taken
IN sso,,.OSO In Return far ss"cI
y.,,dIr,i Partly ~ the ne, Claude ~.
s.,,rancr fraud. SAYS Go, rrnment.

severance fraud. SAYS Go,rrnneot.
Iiycu have no. alr-adv put your spare
rou.v nro III Progr.so Ia mana Company.
snancrt pv The International FInanc~
ro,rn,nv, both Of the Tribune Binding.
WI, ,r.. too late 10 get u IN now. for prac-
ps,Iv the whole sh.bang has becu
r,nch.d II - nobody's fault hut your
b oxn you hav" lost this chance to put
yo,r money shsro At w'll STAY for good.
Tor THy ~UN rold On February - last Of
the great opportunity offered
Franz q waIrou- tho president Of the
,roc.!u made "Trip To Honduras Recently
n Loo, over the property. and ~ post
ron.d acton bv the Post Offios anthor,-
re H. returned Ia town yesterday
uorr.uc registered at rhe Aston House
and ven, from the hotel 60 his offics in the
Tribune Building po.i once Inspectors
Kncari and Reddv had Notified Deputy
Police Commissioner Flynn. and the latter
scot Detectives Millmore. Armstrong and
Rear down town About 10 O'Clock tho
Inspector. and detectives entered the
otHcp- nt IN. Two companies. which ad-
,oln. and arrested Wltrnus. u. W. Sim
ron- M brother. ,n-law and the secr--
nrv-trea-urer OF the banana company.
and n l.. Harvey. the companys vice.
rresldcnr While everybody was getting
his coat on n walked William T.. saunders.
the impressive secretary and treasurer
OF tns International Finance Company.
tn attend the little reunion. He did not
r-cognz. the strangers and bade them
all an ELUSIVE how do We do. lie was
added TO the collection Of exhibits
Tn. four prisoners were taken over to
the Federal building TO be- arrai gned
Inspector Rsddv remaining behind to
.Iperlntend the seizure Of the company's
books and literature. While h. was on
THIS job the Rev. Claude VI. Severance.
a director Of the banana company and
one of TIA stock selling agents and most
fluent letter writer's. called at the Offices.
81 n. too joinsd the group OF prisoners.
United States Commissioner Shields held
Wa;rou- IN $4,000 bail. which was too
arge for him. and he went 20 the Tomps:
simmons in 8, 500. which he couldn't
furnish the Rev. Mr.. Severance IN - OOO.
uhich he couldn't furnish. wherefor. h.
'olned Watrous and simmons in the
Tombs. and Saunders in g. 500. which his
rife gave. The inspectors wer,. having
considerable trouble trying to find Sever
ance in Brooklyn and PASSPORT. T.. l.. when
ne walked in upon Reddy.
Warnous went to Honduras In January.
ls1s. and visited z, NJ Stuart. who had &C
ouIred what is said 20 he n paying banana
Plantation there. He got the lay II the
and. organized the banana company.
Incorporated IL in Arizona and Texas
and got his mother TO mort ga &c her home
and household effects in Denver TO give
him some cash to start with He arranged
with the International Finance Com pany.
which had moved up from Wall Street to
the Tribune Building because Of the had
reputation which Wall Street has for
slck edness. to sell the stock OF his new
venture at 80 cents on the dollar nj a COM
mission Of 20 cents on each share. turning
over 20 the banana company 10 cents on a
snare The finance company's officers
are l.. Harvey. president. and William
b. Saunders. secretary J. A Brieriy also
has some connection with IT,
This done. Watrous opened Offices in
chattanooga, Tenn. and from Ca,ha
Honduras. wrote glowing letters By
February. 1900. he wrote that h. had ac-
CURED some fine land and had begun clear
ing II He had in fact applied for certain
and announcements for himself and
associates az individuals. n -deno,rnce-
mani" fnr 1 81
quarter Of which must b" cleared before
title can be claimed. He returned to the
nit~d States. sold si2 OOO worth OF stock
IN J. J. Foltz Of Tacoma by his letters,
md sent for simmons. his bro, her in
'aw and his mother and sister to come TO
chattanooga He opened bank &C
count IN Boston and displayed letters
from a banker named Short OF Kansas
Nv and II p. Ferry 81 Riverhead. l.. |.
Nnor' later said that watrous had merely
"r"n-d bank account with him. and Ferry
composed To have bought stock through
Severance.
hroy' September ~ an. Wairous mar
ed Miss Alice f.rnald ~ Rovbury.
Was IN New York. and after getrin what
money the company had collected at
ha''hn"Oga returned With his bride to
Vera This time his letters said that th.
.fi..ia plants were seven feet high and
y" mad lgSi p'it more men To work He
"''h 'td more land ready for planting.
Prom t"Iha he and Mrs Watrous went
y" i"sgcl&llpa. the capital. by way OF
f'r'' barrln-. Guatemala city. San JOS.
Ahi Afnap,la. living a. well ~ tine country
s7"rf"' Half way on the mule train
~ 'r"'n trnapila To the capital Mrs.
N"'f"!- ~Hs taken ~. and this kept him
''"t tf-NIng ~ the capital until Novem-
h"f %. lF19 There h" called on Philip
h'.'r. -" tneri"tn Minister. and
''.''''i l'''rr- ON Ferry. Short and the
"''''.pnhl Finance Company. started
f'.' counts. and GOV lawyer to apply
.' occasions He spent the. next five
'..'.- ara sj,pgr OF more IN money
nv ~ D." R"' "a COu"c-.'ru tor 1000 acre.
ana n"'u"hiI" Wr.ring letters 10 this
1'"' - th'' showing "u she plantation /
~ t'-.'S ~" 'rrI"c 50 stock TO - cents
'' 'I1" Tor taking up tn" denOunce- /
-.- "1u.'"j an De".uiher - and the /
'''' - pih"r~ by default Congress
. . 4