The sun. [volume] (New York [N.Y.]) 1916-1920, 1919-06-15
OIL VICTIMS BLAME
COUNTESS FOR LOSS
Olga de Stantichowsky to Be
Questioned When She Re-
turns to City.
ADVISED MANY TO BUY
Newman, Accused Broker, De-
scribes Her as "Reliable''-
Youth Lost 1921.

When the Countess Olga de stantich-
owsky. who Is living at the Biltmore.
returns from an out of town trim. abe
viii be invited to communicate with the
District Attorneys office. There In no
complaint against her, but It Is thought
she may be able to enllghten the county
prosecutor further as to methods that
were employed In persuading the public
10 buy stock of the Rangeburnett OIL
Company.
Several persons have told Assistant
District Attorney Dooling that the Coun
tees, who apparently had great faith
in the future Of Rangeburnett, eener.
ously impaired her optimistic beliefs To
friends and acquaintances. Among
these were residents of Riverside drive
where she formerly lived. and of the
Biltmore.
Also in the circle OF those with whom
she conversed regarding the merits of
tho oil investment were, according to
Mr.. Dooling, serving maids, buffers.
gardeners and Riverside drive police-
man. They bought Rangeburnett. and.
II they sold at the right time, made
money.
When Paul A. Newman. the Range
burnett promoter now under indictment
on charge or forgery in the third de-
gree visited the District ATTORNEYS
Office the first time, he was told or a
woman who said she had bought stock
or the advice of the Countess and that
II had not been delivered. Mr. Newman
said there was evidently a misunder
standing, which he would correct. He
acded that the Countess was reliable
owned vast estates in Russia and had a
great deal Of money at her command.
Mr.. Newman. whose name was Ameri-
csnized from "Neumann," was born In
Russia.
Mr.. Dooling called up the Biltmore
yesterday and was told that the Coun
tess de StRntichowsky had gone out OF
town on Friday without leaving an ad-
dress.
brooklyn Youth Loser,
A Brooklyn youth who says he lost
Si'23l through marginal buying of
Rangeburnett from Paul A. Newman a.
Co. told his story at the District Attor-
ney's office yesterday. He is Joseph
Schwartz. 20 years old, 81 Humboldt
street. He said he answered one of the
first Newman advertisements of Range
burnett in an evening. newspaper and
the next morning n Mr.. Robinson from
the Newman office called on him with a
prediction that the stock. then selling at
% cents a share, would go to $3.50 or
" within a week.
cents whereupon he received SO much
telephone encouragement that he visited
the Office of Newman & Co. There, said
schwartz, he was assured by Otto
spaeth, sales manager. that the price
would go to $40 or SIS. The quotation
Kept Jumping, and when 1t was around
- the Brooklyn plunger wanted to take
MS profit but was advised by Spaeth to
puy more stock instead. which he did
Of fNII
Dooling. that they were drilling five
wells and one was supposed to be
brought in by the LIST or 5th of June
l said, Are you positive? He said, Z
Just spoke to Black Harry ]. Black,
secretary-treasuTer of the Rangeburnett
company and Black said he had got
wires from the field that they were going
to strike OIL in short time Later they
told me they had actually acquired a
paying Oklahoma oil property. 1 think
II was the Eastern OIL Company.
II asked Mr.. Spaeth why they didn't
make public announcement. He said
II was an inside story. / was in the
Newman Office when the market broke
He said it will surely go back and when
1t comes back II will be stronger. A
Sunday didn't pass without my getting
telegram about this Rangeburnett
STOCK They sent me n duplicate of
every advertisement and n market let
ter in which Newman said he had inside
information that II was predicted by the
real authorities of. the concern that 1t
would go TO $40 or SIS.
When IL got TO $3.50 or Sc / said.
Mr.. Spaeth, don't you think II is a good
time TO sell now?' He said, Sell? When
you see rising market there is no rea-
son. 1t is being pretty we'll taken care
OF Come in any day and you can see
what that means. At enc time / prac-
ucally insisted / would like to sell, be-
cause I figured that $4,000 or s5,0 on
an investment Of that kind was pretty
good"
Had Wonderful System.
Schwartz told OF maps on the walls of
the customers room at Newman's and
OF kilograms on the tables They had
wonderful system of inducing the peo-
pie to buy the stock" he said. when
the stock broke I said to Mr.. Spaeth,
Don't you thinks l ought to sell at SO
or 81" He said No; it's Just a shake
out. The shorts are trying to cover up.
Quite few brokers are short of that
stock Mr.. Newman viii carry the stock
back
When the market struck 81 he told
ME to cover my margins. 1 went on
sending checks, thinking the stock would
probably come back and / wouldn't be
wiped out. Last week he sent me a tel
egram asking for $4,000 to cover my
account. He would close me out be-
cause the market had gone down TO Is
cents He did close me out, and &C
cording to what he says, there isn't a
cent coming to me-"
Schwartz said that when he had paid
out total of 1921 for 5000 shares of
kange6urnett on margin he told his