New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1910-09-15
ACCUSED
OF S173,OOO THEFT
Former EmpIoye of Suh-Treas-
uTy in Chicago Placed
Under Arrest.
INDICTMENT SUPPRESSED
Prisoner Watched by Secret
Service Men, and Said to
Have Spent Money
LavishIy.

LdNlSuif.
! Chicago. Sept. f4.-George ". Fitz-
gerald. 4 former asserting teller in the
! Chicago federal ub-treasury. was ar
rested to-day by Deputy United States
marshals. charged with the theft Of
s173. 600 that mysteriously disappeared
from the Chicago sub treasury on Feb
ruary 19. 1907
Fitzgerald vas arrested on a bench
warrant. based on an indictment re-
turned secretly by a federal grand jury
on February l.. 1910. The existence of
| the Indictment was suppresse5 until to-
dav Three days after the Indictment
was secretly returned it was announced
! that the statute of limitations operated
! to stop possible criminal action in the
case
| Coincfdently with this ruse Secret Ser
vice men were detailed to watch Fitzger-
/ aid constantly and make a rigid investi-
CATION of the former teller's financial
/ interests and affairs. The discoveries
made by these operatives resulted in the
order for F7itzgerald's arrest,
/ Marshal Eherstein, chief of special
agents of the Department of Justice, and
Walter Wainwright and J. T. Buckner.
Deputy United States nlarshaIs, arrested
Fitzgera Id at his insurance brokera ge
Offices in I.asalle street. just as the
former treasury teller was starting
for home.
Prisoner Roughly Handled
Fitzgerald was first taken to United
States Marshal Hoy's office where he
was searched. He was then handCuNed
and placed in a cell. Fitzgerald object
ed to the search and was handled some
what roughly by the marshals, After
an hours imprisonment the prisoner was
taken before Judge K. NJ. Lands He
was formally arraigned and his bail was
fixed at $4,000 Being unable to give
bond in this sum he was taken to jail.
The Indictment against Fitzgerald as
read in court specifies four counts. Three
charge ENLIGHTENMENT and the fourth
charges larceny. Under these charges
maximum sentence of ten years in
federal prison, or a fine equal to the sum
embezzled. is the penalty on conviction.
Attaches of the District Attorneys Of
fee declare that since the disappearance
OF the S113. 900 from the Sub-Treasury
Fitzgerald has done the following things:
Organized the Illinois Car Manufacture
ing Company with a $4,000 plant a
Hammond. Ind.
Organized the Illinois Bolt, Nut and
Forging Company. with 4 large plant in
Chicago.
Dealt extensively in stocks and bonds.
Moved from moderate fiat to $40
600 house which he paid for and fur
nished expensf-ely.
Lived in costly style and entertained
friends IavishIy.
Constantly Watched by Detectives.
From the time Of the returning Of
the suppressed indictment on February
IL Fitzgerald was never out of sight of
Secret Service men when awake. and
while he slept operatives were on guard
at his home or hotel Meanwhile all his
financial transactions were checked UP
closely and certain investments traced
TO him.
Edwin W Sims. United States Dis
trict Attorney. refuses 10 say what
prompted his order to-day for Fitzger-
aids arrest. but he declares that he felt
sufficient evidence was IT hand to war
rant such procedure.
The Sub-Treasury loss occurred on
February 20. 1907. The money was all in
81. 600 and $4,000 bills Federal officers
throughout the country were brought
into the hunt for the missing money,
For three years all persons found to
have 5000 and $4,000 bills were sub
iected 10 open or covert scrutiny by
Secret Service agents.
The $4,000 disappeared from Fitz-
geralIs cage in the Sub Treasury.
When questioned regarding the disap-
pearance of the money Fitzgerald said
that he had gone out to luncheon and
that when he returned the money was
gone. He was closely questioned at the
time and was Swallowed for months p
A year after the robbery Fitzgerald
was arrested by a private detective
agency acting for William Boldenweck.
the Sub-Treasurer. The charge was not
pressed. however. and Fitzgerald insti-
tuted damage suits against Boldenweck
and the detective agency.
Mr.. Boldenweck. who is 70 be sue
ceeded by Len Small, Of kankakee. Ill.
a. Assistant Treasurer in charge Of the
Chicago SUb-Treasury, sent his resigna-
ton to President Taft on September :.
Congress some time ago relieved MIR.
Boldenweck of any responsibility in the
loss. which then fell on the government