The Salt Lake herald-Republican. [volume] (Salt Lake City, Utah) 1909-1918, 1910-06-16
Officers of the United Wire
less Telegraph Company Ar
rested by Postoffice Inspec-
tors for Misuse of the Mails.
SHAREHOLDERS ALL
OVER UNITED STATES
Actual Assets About 100000,
While the Price of the Stock
Has Been Boosted Until Bill
lion Point Was Reached,
STATEMENT OF ATTORNEY

NEW YORK, June I5.-Unitcd
N states pOstoffice inspectors raid
ed the handsome broadway Of
fees of the United Wireless TeIe-
arrest OF Christopher &. Wilson, preSi-
dent Of the company; samuel :. BoEart,
TompkIns, president OF the New York
Selling agency. which Officers of the
wireless company say was formerly
their fiscal agent, but ccnsed Co repre-
sent them.
Chief Inspector Mayer subsequently
gave out n statement In which he
charges that although the company
has been running at n loss, the price
of its shares have been advanced by
manipulation 20 fictitious values. and
that Individual officers Of the com
general public mt profit estimated In
one instance ut between five and ten
million dollars
Wilson was released on $4,000 bail
and Bogart on $4,000 bail for appear
ance on July IL. when a further hear
ing viii be held before federal COM
missioner. Tompkins was arrested at
his farm near Mahopac Falls, n. Y.
ana brought here for arraignment. He
could not find $40 goo bail, and spent
the night IN the Tombs.
The specific instance OF alleged
fraudulent use Of the mails Is given
as the mailing of a letter on March 3.
1919. to Michael O'Brien OF Waterbury,
Conn.
There are $4,000 shareholders OF
the company throughout the country
said Inspector Mayer in his statement.
I ings. in the stock Of the company
/ through false Representations made by
it's officers.
consisting Of land stations, patents.
manufacturing plants and real estate
OF all kinds, appear to be worth at a
conservative estimate 100000 or an
actual worth OF two cents share.
Practically worthless.
Two million shares have been issued
at a par value Of $40, but the stock
has recently been put up to $50 a
his statement. @by taking the last
amount quoted 100000 OF actual as
sets) at $50 share, the stock is
worth really as 100000 is TO Sl,OOO,-
100000. or 0.0004 a shrare."
The inspector says the company was
originally Incorporated as the Anal
gamated wireless securities company
in 1904. In 1906 II took over the as
sets and business Of the defunct Amer
lean De Forest wireless Telegraph
company. which was then running at
q loss. exchanging therefor its own Sc
curities on a ten for one basis.
At this time. says the inspector s
statement. when officers of the De
Forest company were secretly conniv-
ing to abandon it and leave the stock
holders a mass Of worthless securities,
us STUCK n.Al UttA AUINtA " eAAA e-AAIe- 81
value OF $3.50 a share, or $3.50 above
par.
Another item in the statement sent
out to stockholders was patents and
patent rights. S5.520.223. The affairs OF
the company were recently audited by
q firm Of accountants. who place the
book values Of all patents at S20,233.
Cleanup Was Large.
THE officers OF the company have
sold 10 the public thousands OF shares,
claiming all the while that they were
holding their own shares and putting
the money received from the public into
/ the plants Of the company. one OF the
officers is believed TO have cleaned N
/ S5,0O0,0OO and possibly S10.000.0O0 nj
prices ranging from $40 TO $50. The
other officers have profited in proper
ton"