The Detroit times., 1912-03-05
SHEPHERD ADVISES SHARK
VICTIMS TO PAY NOTHING
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interest greater than seven per cent
can be collected only TO the extent OF
the principal, under the old statutes
OF the state
My advice TO all victims OF loan
companies. other than the Detroit OF
the Provident, is not to pay anything
at present and II sued. to see me
They are not bound at present TO pay
the interest, and II is quite possible
and even probable that after de.
cis,on by the supreme court they will
not have TO pay anything on the prln.
cip6L"
Mr.. Shepherd added that he was
convinced that II the Copley law
Were declared constitutional, the loan
sharks would lose upwards of $780,
000 In Detroit, because they would
be unable TO collect any OF the loans
outstanding.
Two additional warrants were is
sued. Tuesday morning, by Police
Justice Jeffries, at the request of As.
sistGnt Prosecutor Harry keidan.
They are as follows:
Ida Allen, No. 1919 Grand River
ave. VS.. David Hooser, of the House
hold Loan Co. No. 800 Bamlet build
ing
John c. MISSIONER, No 392 Toledo
ave, VS.. Lewis Betlon, OF the Michi.
gan Credit Co. Whitney opera house
building.
Both defendants, like the others.
are charged With violating the laws
regulating the loaning OF money. Ida
Allen says she was charged $72 for
loan of $50, while Mr. Westover
represents that he was to pay $54 for
loan of s34.
More victims called at Prosecutor
Shepherds Office. Tuesday morning,
but there was one who made the pros.
ecutor happy. This was Mrs. Charles
Wyman, an old lady, living at No. 500
Elizabeth-st. west She reported chat
she had gone to the Office of the Globe
Loan Co.. per instructions from the
prosecutor, Monday, and rendered ~
cents in principal on loan OF SIS,
which she negotiated, last September
She was to pay $111.60 for the SIS, al
the rate Of 31240 for nine months.
The prosecutor learned that she nad
paid $74.40 on the loan, and he ad.
vised her to offer the company 81
cents 10 make up the amount She
borrowed.
The company accepted the settle
ment," said the old lady, gleefully, TO
the prosecutor, land my husband was
so we'll pleased that he couldn't sleep
last night. The company gave me a
receipt I'm full for the 60 cents and
tore up the papers in the case, al
though they claimed owed them
$3.50
Mrs Wyman said she was obliged
to make the loan because OF her hns-
band being Ill.
You are, indeed, well named, Mr..
Shepherd-you are surely shepherd
TO the public flock" said Mrs. Wyman n.
in expressing her thanks TO the pros
ecutor. You will have our prayers
for your future welfare, and I assure
you that II we can ever do you a
favor, We shall be only too glad 10 do
1t, II II is within our power"
Mrs. Samuel Maelitz, No. 223 Al
fred-st, complained that she was
charged sS.95; in four monthly pay
ments on loan of $25 from the Amer
lean Loan Co. She also said that her
husband was sick and unabfe 10 work,
and that the company was threaten
ing to take her furniture, on which IL
has mortgage. The prosecutor gave
her the same advice he had impaired
TO others: Go home and pour scaid.
ing water on the first collector who
comes around"
Relief for employees in the clutches
of loan sharks, and the means to
avoid falling into their hands in the
future are the two important features
Of plan to be put into effect by the
Michigan State Telephone Co., which
has headquarters in Chicago.
II has been rule heretofore among
many large corporations to discharge
employees who allowed their wages 10
be garnisheed. Now, in the Bell tele-
phone organization this Is all past.
Any employe who has assigned his
salary as security for loan az illegal
interest Is asked to report the full de.
tails OF the transaction TO his superior
In the exchange or department. IL
the debt was incurred for a WORTHY
purpose, as, for instance, to meet The
expenses of sickness or death in Inc
family, the case will be referred IN a
bureau connected with the legal de.
partment OF the company, which will
settle with the loan shark. on behalf
OF the employe, who will then be ex-
pected to repay the amount adyarced
In easy installments.
Settlement with the money-lendcr
will be made strictly on the basis OF
the legal rate OF interest. II this Is
not accepted. the company will npht
the case on behalf OF the empIoye
Through the highest courts, If neces-
sary.
To avoid the -necossity future
dealing with professional money-lend.
ers. the officers of the company will
establish a fund ont OF which loo ms
will be made to employees who need
money or for legitimate and worthy
purposes in the same manner as they
are made by the loan sharks except
that no commissions will be exacted.