Evening star. [volume] (Washington, D.C.) 1854-1972, 1911-10-25
Robert R. Stein Accused of U.s.
inu Mails to Oefraud.
PLACED BEHIND THE BARS
Post Office Inspectors to Determine
Where He Shall He Tried.
HELD TO AWAIT DECISION
Prisoner Is Wanted for Similar Of
lenses in Wisconsin and
New Jersey.

AT the first precinct police station Rob
ert r. Stein Is held to await the conclu-
sion of an investigation by the post office
inspectors. who are expected to determine
In which of three jurisdictions Stein shall
answer to accusations against him.
The specific charge against Stein is
conspiracy In using the mails to defraud.
He is under indictment already in Mil
waukee, Wis; similar offense is alleged
against him in Newark, n. j.. and United
States Attorney Wilson Of the District of
Columbia is investigating STEMS opera
lions in the National Capital. He will
be arraigned. probably. late today be
Expert Scheme Alleged.
In the arrest OF Stein last night the
post office inspectors alice they have
cleared up one Of the most successful
schemes of recent years by which the
public was defrauded of money. Stein
had been fugitive from justice since
May last. they say. when he and his
brother Ernest were indicted by grand
jury in Milwaukee, Wis: and even
though he faced arrest on the Charge of
using the mails to defraud Stein r i
declared. did not desist in carving out
MS project. He fell into the hands Of
the authorities last evening when he was
In the act of receiving his mail.
robert r. Stein came to Washington
June Is 1910, and entered into business
as the American Estimating COMPANY.
with suite OF offices in the Ouray
building. The business of the company,
at least ostensibly. was to invests gate the
validity Of patents.
Method Explained.
AT about the same time there was
launched in Milwaukee, Wis, a company
known as the Sheboygan Machine Com
pany, which, according to the authorities
advertised widely through the northwest
that 1t was in the business OF buying pat
ents of any and all kinds. When a patent
was submitted to the milwaukee, company
the inventor wouln receive g letter advIs-
ing him that his idea seemed to be of
value. but that 1t would be necessary TO
nave the validity of the patent proved be-
fore proposition Of purchase could be
made. and the American Estimating Com
pany of Washington, 1t is said, was suS-
gested as being we'll qualified to under
take this task. The American Estimating
Company required 1.-The usua. fee o. So
for making the search to determine the
question of validity. Thus the inventor
might learn that his idea was a good one,
after the desire of the Sheooygan Ma
chine Company to purchase the invention
seemed to wane.
When the post Office inspectors entered
upon an investigation they found, IT is
said. me Sheboygan Machine Company
was business name for Ernest Stem;
that the American Estimating Company
was Robert r. Stein, and that the two
Stems were brothers
One Arrested, the Other Disappears.
Ernest Stein was arrested as soon as
the indictment was returned by the Mil
waukee grand jury. charging him with
Stein left Washington about that time,
the inspectors claim, leaving behind him
his completely equipped Offices and staff
of stenographers.
The inspectors say they next located
Robert Stein in Newark. n. j.. busily en-
gagged in floating a ne-hundred- and-twen-
ty-five-thOusand-dolla company to pro-
mote the sale Of various amusement de-
vices for which he claimed to own pat
ents. As side line, it is said, he adj
verttsed for the purchase OF patents, and
prospective sellers We're referred to
undertake the necessary investigation to
prove the validity of patents submitted
Tor sale.
Homer a. Bell called at local bank
building last night TO receive his mail
from one OF the elevator boys, as was
his custom, and was arrested by Post
ONCE Inspectors Hal r. Mosby and James
h. Robertson, who identified him as Rob-
ert X. Stein.