The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1911-04-06
kANSAN is GUILTY
Former Prominent Leavenworth
Man Convicted of Swindling.
FlOated % Wildcat Mining and
Oil Ventures in 10 Years.
HIS WEALTH is GONE.
Years Ago He Was Closely Iden-
titled With Kansas Politics.
May 90 Back to Leavenworth to
Serve Out Sentence.
HIS WEALTH is GONE.

Los Angeles, Cal, April 81. M.
Graybill, banker and promoter of
wildcat mining schemes, so years old,
has been found guilty of having used
the mails for fraudulent purposes by
jury in the United States district
court. The case was probably the
most important of its nature which
has ever been heard in the local juris-
diction of the federal courts. On ac-
count of GraybilPs age Judge Well
born said he was inclined to Ieniency.
He was to have been sentenced today,
but at his lawyers request sentence
was postponed until Monday.
Precedents lead the officials to be-
lieve that the defendant will be given
at least short term in prison. The
maximum penalty is IS months i'm
pr1sonment and fine of $500. If a
jail sentence is imposed, Graybill will
be taken to his old home cit yto serve
it. the federal penitentiary being at
Leavenworth, where he was well
known in banking circles.
In a decade he is found to have
f1oated at least 81 wildcat companies
here. The evidence showed that he
juggled dummy directors and funds
with surprising cleverness. A. L..
Maxwell, who pleaded guilty to being
an accomplice of the aged banker,
was SO a week steno grapher. He de-
clared that he was an officer in sew
eral companies for some time, before
he knew they were in existence. Gray
bill is said to have reaped several for
tunes through the concerns which he
| has promoted, but lost it in plunges
which he hoped would make him a
| multi-millionaire.
Was Leading Banker.
Leavenworth, Kan, April GAS
| NJ. Graybill was for many years the
leading banker of Leavenworth. Mr..
| Graybill was born in Pennsylvania
and came to Leavenworth while boy
| in 1870, when he obtained a position
as a clerk in the First National bank,
| then largely owned and controlled by
Lucien Scott. Mr.. Graybill worked
| his way up step by step until he reach
| ed the position of cashier of the bank
and was intrusted with it's manage
ment Mr.. Graybill married a sister
of Lucien Scott, an dwhen Mr.. Scott
retired from the banking business Mr.
Graybill became president of the First
| National. He was associated with
| former Gov E. n. Morrill, in contro
of the bank for six years and retired
voluntarily from the banking business
here in 1888. At that time Mr.. Gray
bill had an ample fortune and owned
a fine residence here on South Third
street.
Took Interest in Politics.
The last few years Mr.. Graybin lived
here he took an active interest In pub
tic affairs and wrote several pampnleIs
on municipal government and political
topics. Mr.. Graybill was once chair
man of the Republican county commit
tee and was a delegate from the First
Kansas congressional district to the ma
tional Republican convention held in
Chicago in June, 1888, that nominated
Benjamin Harrison for president the
first time
Mr.. Graybill was offered the appoint
ment of postmaster for Leavenworth by
Ex-Governor Morrill,, who was at that
time congressman for this district, bu;
declined the place. He also refused 8
nomination for mayor of Leavenwortt
when his election to the position would
have been certain. The health of Mrs
Graybill was very poor the last few
years they lived here and they left fol
California in 1890, with a hope that the
change in climate would improve it. II
was understood here that Mr.. Graybil
lost heavily in land speculations after
going to California and in later years
it was learned through advertising mat
ter sent to his former friends here tha;
he was promoting oil companies. Mr.
Graybi1l was a town boomer and liberal
in financial matters while prosperous
| here