New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1911-06-07
CHICAGO ARSON trust?
Alleged Member Commits Suicide
When Detained by Police.
POLICE TELL OF CONFESSION
Wholesale Clothing Firms Said to
Have Plotted to Defraud In
surance Companies.
7 Bs Telegraph 20 The Tribune.

lb' AViCslipu 10 ! IT" 4ElOun~
Chicago, June 6.-Leopold Dreyfus. fifty
years old. president Of the wholesale cloth
ing firm Of l. Dreyfus & Co. shot and
killed himself to-day in his homes in South
Michigan avenue. after making sensa-
tional confession which revealed the exist
ence OF an alleged arson trust in Chicago.
Dreyfus admitted having employed mem
bers Of this trust" TO set fire 70 his estab-
lishment in South Market street on Satur-
day afternoon, ana put the police on the
trail Of its members
Following his death to-day the police
began a systematic effort 10 break UP the
gang OF professional incendiaries. score
Of detectives were put 20 work under the
direction OF Fire Attorney Michael F. Sui
Ivan. TO whom Dreyfus had confessed.
The confession in substance. the police
say. was that TWO men approached Dreyfus
and his brother about week ago and OIL
fered 70 burn their establishment for $500
DrAyfus is declared to have agreed 10 pay
5000 and 10 have paid down $500 The value
OF the property was $1,000.
At the time of his death Dreyfus vas
technically in the custody Of the police. He
had been kept in Inspector Wheeler's Of
ice At Inc f1ilIAStH street. ridNl'H N''N'' '
n. m. and when he vas allowed 10 leave It
after signing his confession it was only to
60 10 his own home as A prisoner HIS
brother Lazard. who. IL is said. also signed
confession. accompanied him. James
WCulfe Of the fire attorneys office. guard
ed the two men.
When Dreyfus reached his home in the
Estella fats his wife and two children were
sleeping The prisoner did not disturb
them. He went 10 his own room. Lazard
/ Dreyfus went 10 another room. and third
adjoining that OF the two brothers was oc-
cupied by the detective. The merchant
| Ioked and laughed with the detective on
] the way home. When they reached the
| house he said to his guardian:
'TU tell my wife that you are a friend
She knows nothing OF the trouble am in
and | want 70 keep It from her until l have
2 chance to explain things fully
| Soon a shot rang out :. VI HIT.
roomer rushed into Dreyfus's room ana
/ found him dead. with a bullet IN his risn'
temple.
| While Leopold Dreyfus is said 10 have
| been in n way the victim Of the so-called
arson trust" the police later gained in
| fOfmHitNU WHICH lilrg Nfl l-n'' Nt''''' ~
! believe that he was working in sort OF
| partnership with the incendiaries. Lalard
| Dreyfus and Max Cohen. bookkeeper OF the
concern. gave this information, the police
say. The two were closeted with Fire
| kitorney sullivan for some time They
said that they were led 10 believe thaf
! Leopold Dreyfus had been on good terms
with some OF the lncendisres. They said
that they believed he had assisted the
frebugs by giving them information CON
! corning the business Of other houses IN
the same line and had even aided them IN
| shaking down" insurance companies
which had insured concerns for wnicn
they planned 70 arrange fires.
According 70 the fire attorney. Lazara
Drevfus. who. they say. AZ times was IN
tears. also admitted that his brother had
cen helping other firms 70 collect Increased
Insurance by issuing false bills OF sale.
Whenever a clothing firm would be
burned out. according 70 this inform alton
Leopold Dreyfus would send a bill Tor
goods which he claimed 70 have sold 10 me
frm suffering the loss. This Dill "oulG
n. cent 70 the insurance company ana user
a. basis for collecting insurance. Inc
other firm would then split the pronts Nlth
IRE vf,Is. ATTORNEY Sullivan said Inc
operations are said 70 have netted lars"
profits.