New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1914-01-27
Several Reported to Have
Been Handed Up by the
Federal Grand Jury.
STEIN TELLS STORY
TO u. S. ATTORNEY
His Son and Lawyer Try in
Vain to Break Up
Conference.
EVIDENCE POURING IN

Coulter Receivers More of Lost
Goods-On Trail of Samuels
& Co. Assets.
Indictments charging conspiracy TO
conceal assets and defraud creditors in
bankruptcy proceedings have been
voted by tho federal grand jury as a
result OF the wholesale inquiry into
fake bankruptcy cases which II. Snow
den Marshall, United States Attorney,
and his staff have been conducting FOR
nearly a fortnight. Most Of those in
dicted are involved in the failure Of
Joseph Stein & Sons, who went into
bankruptcy on January II, and most
Of them, IT is understood arc included
in the list Of eleven arrested last week.
Indictments also are expected against
other persons involved in this failure
while the confessions of some Of the
employees Of the old braid firm of Jo-
seph Samuels & Co, which failed in
July, 1912. arc expected TO furnish the
basis for still further indictments. In
this case the firm had liabilities Of
$4,000 and apparent assets Of only
$4,000. and as in the case Of the fur
riers, Stein & Sons, the grossest fraud
and attempts to use the bankruptcy
courts to cheat creditors are charged.
The Stein case furnished a dramatic
incident during the afternoon, when
the protection OF Judge May7r-was de-
manded FOR Jacob Stein, who Isaac
Levy. counsel for some of the men
under arrest in connection with his
case, told the court was being examined
under improper circumstances.
Asks for Private Conferences
Stein. who has hitherto enjoyed an
excellent reputation i'm the fur trade. at
noon sent word 10 Assistant District
Attorney Raymond n. Sarfaty by
deputy United States marshal asking
for private conference. and few
minutes later he arrived in the United
States Attorneys offices. There Sid
ney Brooks Rosenthal, counsel for the
Fur Merchants Credit Association.
which furnished the first evidence in
the case was waiting with Mr. Sarfaty
Il want a private secret talk with
YOU stein told Mr. Sarfaty But
please do not let any one know that
am here"
Stein was told that whatever he
might say would be used against him
and he was advised to see counsel be-
fore making any confession.
Il do not want to sec any one" said
the old merchant. Il just want to tell
the truth about this miserable bust
ness. But YOU must promise me protcc-
tion. l want TO be on the side Of right
and truth, and III tell all | know and
help you all l can. But you must pro-
/ tect me-
Stein then went on to tell that he
was in fear OF his life at the hands Of
relatives. One Of them. he said. had
recently knocked out several If his
| teeth when he protested against the
way business was being done, and told
4 him he was several kinds Of fool lie
was afraid, nc said. that if this and
other relatives heard of his aiding the
government he would receive further
bodily injuries
Just about this time Phelps Stein. a
son Of the volunteer witness and one
Of the men now out on bail on a charge
of conspiracy IN connection with the
failure, and Simon Rausch. Il lawyer.
entered Sarfaty's office and demanded
that Jacob stein, who had been re-
leased from the Tombs early in the
morning, go with them.
you will have 10 excuse me. gentle
men, said the younger Stein, but my
father is in no condition to talk.
Father. come with me-
Son and Lawyer Hustled Out.
Phelps stein and the lawyer were
I
a United States deputy marshal placed
at the door TO see that there were no
further Interruptions. The elder Stein
and the two lawyers then went into
Mr.. Marshalrs private Office. where
Sarfaty suggested an adjournment be
taken until Stein had had luncheon.
The furrier declined, saying he
wished to have tho matter over with
so until 3 o'clock tho time was occu'
pied with him telling in detail the in.
cidents leading up TO the closing OF
his store. lie was nervous and kept in
sistlng that the knowledge Of his pres
cnce evidenced by the visit OF his sol
and the lawyer had spoiled every
thing"
His story Was practically complete,
when the conference was again inter
ruptcd This time it was ON an ordcl
from Judge Mayer. TO whom Isaac Levy
counsel for Samuel and Henry y
Bonis, also under arrest In connection