Daily Kennebec journal., 1910-10-15
Motive Of Raid on Boston
Co., Say Officers.
Claim Concern Is Solvent and
Welcome Probe.
Mr.. Plass Had Resigned as Pres-l
dent by Request.

Boston. Oct. 14.-'The government
prosecuting authorities continued in.
vestigations today of the business o.
the Redeemable Investment Co..
whose books were taken and local
manager arrested yesterday on .
warrant charging the use of the mail:
in a scheme to defraud. Assistant
District Attorney Garland said toda.
that strong efforts were being made
to locate Rev. Norman Plass, the al
legged organizer of the company. be-
fore he reaches British Columbia. to
which country he is said to be jour
neying on business.
Mrs. Plass, the wife of the minister
stated today that her husband left
early in the week to look after GER
tain timber interests in or near Van
couver. Mrs. Plass also said today
that Mr.. Plass resigned two weeks ago
as president of the Redeemable In
vestment Co. The government Off
cials had no information of that kind
today. but stated that when they ar
rived at the offices yesterday they
found the name of Mr.. Plass on the
door as president. 1t was reported
today that Mr.. Plass resigned at the
request of the directors of the COM
pany. The government authorities ad-
mitted today that one of the COM
panies advertised as being wholly or
in part controlled by the RedeemabIe
Investment Co., was the Norman
Plass Lumber Co. of British Columbia.
The charge upon which the war
rant against Manager Brooks was
based, was made by William b. An
gell of this city. the claim being, ac-
cording to the government officials,
that the resources of the company
did not come up to the specifications
of the circulars upon which the in
vestments have been made. The COM
pany, the government officials say.
claimed to have $250,O00 deposited in
a national bank here. as a guarantee
fund, but it is alleged that the amount
is much less than that sum.
The offices of the company were open
today, but the attendants were very reti-
cent regarding yesterdays episode, al
though John P. Feeney, the attorney for
the company, stoutly maintained that
the government had made a mistake and
that complete investigation would
prove it,
In statement issued later in the day
Attorney Feeney said that the Redeem
able Investment Co. was absolutely SOL
vent, that the stockholders were all sat
isfied Those who were not could get
their money back and per cent inter-
est.
In regard to Mr.. Plass and his connec-
ton with the company, Mr.. Feeney said
that the minister was taken into the COM
pany and that he did not organize 1t. Ac-
cording to Mr. Feeney the directors
found that Mr.. Plass was not the man
they wanted and that his ideas were too
visionary for his associates and his resig-
nation was forced The complaint. said
Mr. Feeney, was made by a discharged
employe, acting wholly from spite. -
In defending Mr.. Brooks of, the charge
made against him in st. Louis, Mr.. Fee
ney said he was convicted there through
the influence of Senator Burton. Soon
after the supreme court confirmed the
verdict" said Mr.. Fooney, "Mr. Brooks
came on to Washington, saw Attorney
General Moody at 10 A. NJ. one day. ac-
companied Solicitor General Hoyt to the
White House and at P. M. he was par
doned by President Roosevelt.
Worcester. Mass, Oct. 14.-Three dis
charged employees were responsible for
the raid on the offices Of the Redeemable
Investment Co. in Boston yesterday, ac-
cording to John A. Pharoah of this city,
who is vice president of the corpora
tion. Mr.. Pharoah said he welcomed a
complete investigation of the company s
affairs, as he felt certain nothing detri-
mental would be found. He was in Bos-
ton at the time of the raid. Mr.. Pha-
roah said:
+ The officers came to the home OF our
company and seized everything they
thought would be necessary in an inves-
tigation. We were glad to have them
take these things
''The whole trouble was started by
three men. formerly employees of our
company, who were discharged. They
were engaged to sell stock on a salary
and commission basis. AS soon as they
were discharged the people to whom they
sold stock demanded their money back
with interest, under the rule of the COM
pany. and they got it.
'Mr. Plass resigned as president of the
company last week. He has other bust.
ness in the West that demands his pres.
ence. The office of president has not
vet been filled.