The Washington herald., 1910-11-22

with the prisoners. Il was explained 10
them that all they would have TO do was
70 tel the truth 10 the Federal grand
| jury. and then the march began. The
witnesses, on their arrival al the Fed
eral building. were taken at once before
the grand jury. before which the govern
ment's cases are being presented.
A force OF post-effice inspectors, men
from nearly every department throughout
the country into which Burr Brothers
J literature" has penetrated. took charge
Iof the deserted Offices. They hadn't been
there long when David Buick called up
on the long-distance telephone from Flint.
| Mich. When he was told that ne was
talking 10 a post-ofice inspector and
that the department had taken charge OF
Burr Brothers Office. there was an inter
val OF silence, and then the voice in
quired earnestly what was up. and II il
would affect the Buick oil Company.
Please send me a long telegram tell
ing all about IT," said the voice.
Buick on the Way.
Mr.. Buick was informed that that
wasn't the governments day for sending
kilograms, and was advised 10 come along
and see for himself He said he would
start Rt once.
Hardly had Mr.. Buick ,rung of when
Benjamin Leven, who is interested in
Buick oil. called up from Chicago. Raids
did not bother him bit. lie said:
Tell EN- 10 rent another floor in
| the Flatiron Building and carry on Buick
oil business there. We can do the busi-
ness I'll be on my way to New York as
soon as I can catch a train"
The two Burr brothers and F. H Tobey
were taken before Commissioner Shields
| and held in $l0000 bail each. The prison
ers could not raise the money lust then
and went to the Tombs Cor the night.
They will have a hearing next Monday.
The arrest Of L. Wesley Preston, OF Port
land, Greg, and c. R. Tobey, who Is
somewhere in Michigan, both members
| OF Burr BrCFhers, was ordered
The Burr Brothers case, according 10
| the government officers, involves stock
sales of between S49.0OGO00 and 100000,
| face value, and Chief Inspector Dickson
has been busy for some time gathering
evidence against the company and its pro-
moters relative TO the sale of stock in
more than dozen companies.
Pay Monthly Dividends.
Burr Brothers was Incorporated In Con-
necticut In 1907 It started with capital
',f $4,000, but soon jumped 10 $4,000 A
large part of the companys stock was
sold TO the public and for some time the
company has been paying dividend OF
per cent monthly. More recently. Burr
Brothers have been advertising exten-
sively the Buick oil stock.
The post-office inspectors made report
to Postmaster General Hitchcock, in
which they said:
Burr Brothers have organized the fol-
lowing oil companies: Coaling Consoli-
dated. capitalized at 100000; Coaling's
Aladdin. sl0O0.0OO: Kern-Western, $3.50. .090;
Coaling's Crude Oil. $500 600; Peoples As
soeiated Oil Company. sl.0000G0"
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 Brothers. Incorporated.
/ While all the companies are still in ex-
| istence none save the first four named
is doing any work at the present time.
Promote other Concerns.
The Burr Brothers have also organized.
promoted. and sold stock In the follow
| ing mining companies:
! Rawhide Tarantula with a capital of
81 o00.0o0: Montezuma Mining and smeIt-
| ing with capital of $loO0.0OO; Montezuma
Extension Gold Mining, capital sl,0O0.Ooo
Golden Fleece Mining and Refining Com
pany, capital S500000.
/ Practically the entire stock in the COM
! panies has been sold to the public, and all
these companies have gone out OF exist
enee.
The Burr Brothers have also organized.
promoted. and sold the stock of the fol-
lowing companies:
Elismore Farm. of Michigan: California
Eucalyptus Timber Company, capitalized
at sl.000O00. and the New Amsterdam se-
curities Company. with a capital Of $780,
coo. which was later merged with Burr
Brothers, Inc.
They have also sold large amounts Of
stocks in the Red Top Mining and Leas-
] Continued ON Page Q. cOlumA p