Democratic messenger. [volume] (Snow Hill, Md.) 1869-1973, 1910-06-18
ACCUSED OF
HUGE FRAUDS
Postal inspectors Arrest United
Wireless Officers.
STOCK JUCGLIAG ALLEGED
Accused OF Using the Malls to De
fraud-Heid In Heavy BaiI-said tc
Have Made Millions.

frauu-held IN HeaVy eai-oaiu 10
Have Made Millions.
c. G. Wilson. president. and s. S.
Bogart, vice president of the United
taken into custody by United States
Marshal Henkcl at the company's Of
fee. az Broadway. New York city. and
taken before United States Commits
sioncr Shields to answer a charge OF
misuse OF the mails.
The summonses were issued. 1t Is
understood. on information furnished
by Walter l.. Meyer. chief postoiIlce
inspector: Frank a. O'Brien and other
postoffice inspectors.
The United Wireless Telegraph com
pany was incorporated In Maine to
unity wireless interests. II has au-
thorized $i0.O0O.000 in common stock
and si0.OO00.0O0 In per cent pre-
ferred and participating stock.
When they were arraigned before
Commissioner Shields the men gave
their names as Christopher G. Wilson.
president. and Samuel 8. Bogart. vice
president. Using the United States
mails for a furfherance of a scheme to
defraud was the charge lodged against
them.
Assistant United States District At
torney Stevenson requested that Will
son be placed under bond Of $4,000.
but the amount finally settled upon
was $25 10000. A bond for $4,000 was
required of Bogart. Their hearing was
set for July ~.
Chief Postofiice Inspector Meyer in
statement charges the officers OF the
company with gigantic stock ma.
nipulation plan. declaring that the
stock capital Of the company. whose
assets were about 100000. had been
increased by an interchange of securi-
ties and that the price of these shares
had been arbitrarily raised to such
large amounts that the company at
this time had an apparent stock mar
kct value of si.00O.000.00O.
Cleaned Up 100000.
Mr.. Meyer states that one OF the
officers has cleaned up s5.O00.000. He
says there are $4,000 stockholders
throughout the country who have
placed their money with the company
on the representations of its officers
that 1t had a 81 plus of nearly $1,000
900. when as n matter OF fact the COM
pany was falling to make operating
expenses.
Mr.. Meyer further states that the
inside officers of the company were
privileged tu sell their stock. while
outsiders were required to accep;
stock certificates stamped mot trans.
ferable until Feb. IL. 1911" In add.
tion TO arresting Wilson and Bogart.
PostofIice Inspector o'Brien seized the
books and papers of the wireless COM
pany as evidence In the case.
The complainant named in the
charge on which the arrests were
made is Michael c. O'Brien. OF Water
bury. Conn The complaint alleges
that the accused men entered into a
scheme to .defraud o'Brien and others
by representing TO them that the COM
worth s5.520.233; stocks and bonds in
other companies worth to the amount
of $f4.14s.6i0; real estate worth 1884,.
292: cash to the amount of s3i7.i4s.
and surplus over assets of s6,52s,
329. All these representations. the
complaint says. were false and fraud
ulent.
II Is charged also that they repre-
sented TO the complainant that the
value Of the stock had been advancing
for the last three years. whereas II
had not advanced. In the intention 10
defraud O'Brien. It is charged that Mr..
Wilson and Mr. Bogart caused 20 be
placed in the mails March a letter
to O'Brien.
William Tompklns. president OF the
New York Selling Agents. and local
selling agent of the United Wireless
Telegraph company. was arrested In
Mahopac. Putnam county. ". Y. He
will be brought here and araigned be-
fore Commissioner Shields.