The sun. [volume] (New York [N.Y.]) 1833-1916, 1916-03-20
'DUPED' FOR $SS,00O,
SAYS DR.PARKHURST
Little Likelihood Of Ever
Realizing Anything From
Candy Venture.
BOOKS LOST: MONEY GONE

S6uts 'ut 'Vst8hNuby Nv 49,
Charles H.. Parkhurst. pastor OF the
Madison Square Baptist Church. turned
20 Charles A. Tipping. referee In n
fuptcy. He sighed.
1T was ss3,s0O.' he said. in addition
90 the none I had invested in the stock.
tt have to confess, sir, that I was a
dupe."
In those words the minister pro.
nounced his own financial requiem so FAR
rs the great candy venture was con-
cerned. a venture that was to put 'ali
ehe other great candy manufacturing en-
~terprises Of the country out of business.
according to the fiattering prophecies {:
that was TO maxi anything from a mod
ct 20 per cent. profit annually all the
way up to 200 or 400 per cent. that
was TO reform the candy making bust
ness and prove beyond all pe~radventure
Ire absolute reliability Of the Golden
Rule as a business axiom-more than
SS3, 900 loser and his faith In general
human nature shattered.
Just how much DR.. Parkhurst and sew
eesi hundred other men and women who
arc not ordinarily active in financial af-
airs will ever get out of the assets OF
nc American Candy Company is prob
lematicai. 1t looks now, according to
the referee in bankruptcy. the trustee
in bankruptcy. James Gray his attor-
ney. Henry II. Schultz. and a few more
vho have gone into the thing that II
will he very little--a few cents on the
dollar. perhaps not that much, As 1t
stands.
To begin with. there is only $4,000
from the sale Of all visible assets and
against this come first the expenses OF
winding up the affairs OF the company.
Secs and commissions. Then comes a
SOS, 900 mortgage with interest. After
that may come. II the contention is up
held. $4,000 in gold notes supposed to
be secured by ~ chattel mortgage. and
then, either participating or Just behind
H.. merchandise claims that mount TO
$4,000 now and maybe more. and still
behind all This AZ "A matter ot form
something like $4,000" in stock OF the
compan sold To the hundreds OF inNes-
tors. men and women. who got some OF
the most alluring literature on the candy
BUSINESS ever put forth.
what me Of the Money!
Trouble now centres around the $780,
wv III n".u "otes wv -. ~,
mas *so'A"" i"'e'cst' "~p''" ..
Kinds as we'll a. officials are trying TO
nno OUT ~hat "e'a"'e VI !" 80.
Tney auIni' the! are '""t'o","" y: %
Snost niIncui' prop,e'" ".a
BOOKS nave 'ah'SuNu' 'e''"'H :.
gone ana 30 iar 'here II "o.n."e .
tfao'ct verbal tes''non. .n"' ~
into the business eAcep' tne u'S" y,
certain inau'si'ive lndiN'hua.s. Inv!
may cah upon the i's'r'ot H''''"e' ~
heip them our. ~ -.
AROUND ISL" rioEu ~ Tra"N''n a "
candy business III ''reeh"l," ',"".
ne was once a Prdct.ea. eanu! I'll.
Win Original IDEAS ana eAper,en'e. :.
ESTABLISHMENT '"ns's'eu VI W. 10Y
WIN a rev ket'nes anu Inc "ppui,
tenafces. me "ru's y, ~ annm.
colnc'den WIN WA, !" wv" ~ ~,
Brown ana H. Lewis Jaws aIounu tna'
lime II those TWO eeh'!e'ne" ar IL .
moters OF an active eh'rst.le type WI
ualned ~Kh""Ieuke VI "u" a 10
u'asnettS H'an''''S anu 'ia"'"e
u hrm aoou' '"H ~ y, q.
nro"" w 80 30 :, Wal,
street In an au,op'osrapnH "us''''u,u
wears ago Mr.. brown described himself
as an "expouent Of mcdern ideas" This
n accented aa true.
About this time so pr. Parkhurst
maid "A litt,. yisi, to the Greenwich candy
factory and the upshot of this was the
birth in the business world Of the candy
manufac,urip company Of 'Frankiin's,
Inr 4 New Jersey corporation with
enpi,al of several million dollars. de-
siened IN IN .nufacture "A new brand OF
candy which should sweep the market.
Ahn,, tina, time also Or. parkhurst ap.
n, AIRED AZ a director Of IN. same and TN.
siluring literature. later admitted 10
hnvs be.n from the pen Of MIR. Davis
heran IN circulate through the mails. I,
Awelt upon the profit in the making OF
s~erts. the ability of the manufacturer,
ehe high class of those Interested.
The stock wen, fas,-so fast. it SUB.
senuentiv developed. tina, United states
Dostsl authorities investigated. which
resuIted in the indictment OF Messrs
Brown Davis and franklin by "A Fed
er.I GRAND Jury in luis. 1919. MIR
Frankiin turned up AS a msmb-r OF the
Arm nj \ 4 Brown A Co, and this
Arm WAS IN. selling agon, ri the stock
~ ErankNn's Inc
Thee p,omOters %NcuuIttrd,
the three men came 10 'r'a' q !e"'
later ana afttr a proionse" "r"ea' W..
acquitted ih'H rsta"''Sn'u we" mo i.
tnere was a cahoy c~o'npanE IN ~