Evening journal., 1919-08-15
MILLIONS in GOODS
STOLENFROM TRAINS
Orga nized Gang Of Thieves,
Centering in New York.
Loot Cats
STOLEN GOODS
HANDLED BY Fences"

WASHINGTON. Aug. i5.-Uncle sam
has had stolen fcom him since he as
sumed control Of the railroads some
thing like s7O.OO0OOO worth of mer-
chandise from freight cars in terminals
and in transit, for which shippers ana
consignees must be reimbursed.
About si5,OO0,OOO worth OF the stolen
freight was taken from cars while they
were in and around New York city. Ac-
cording to officials Of the secret service
Of the Railroad Administration, great
part Of the stealing is done by organ
lied bands OF car thieves whose
Vaccinations are carried on by a sys-
tematic process that would do credit
to a legitimate business Of great mag
nitude.
The stolen goods include everything
from food TO automobiles and machin-
cry The stolen goods are handled by
fences" in the princripal cities. and
articles stolen at one point are almost
invariably shipped TO another point
and sold
or course, 10 conduct this wholesale
thievery IL is necessary TO have a NUM-
ber Of railroad employees in on the deal
According 10 secret service officials.
these employees are found among a low
class Of laborers, a great majority Of
whom are Of foreign birth.
They include station employees. car
knockers" car inspectors and other la
borers In some Instances. which are
rare, carloads OF merchandise are stolen
when The aid Of billing clerks or rain
crews can be obtained 10 divert the
cars
Next 90 the big terminals around New
York, Buffalo furnishes the largest bulk
Of losses from car thieves. During the
wear ended June 30 1918, approximately
s6OO0.0O0 worth OF freight was stolen
about the Buffalo terminals. 4 similar
amount is missing from Chicago's
terminals. and for the same period
Plttsburghs terminal losses amounted
10 s2jO000O.
Losses for the fiscal year ending last
June 30 are being compiled in the head
quarters Of the Secret Service Depart
ment Of .he Railroad Administration.
Offhand estimates nX the loss to the
railroads for the last fiscal year at ap-
proximaiely si0OO0OO0 on all the roads
in The country. The losses for the year
ended June 30 1918. in the United
states totaied S5iOO0.000.
Prior 10 the taking over OF the rail-
roads by the Government the police
and secret service work was handled by
the individual roads. with only occa-
sional cooperation. Shortly after tie
Government assumed control Director
GeDrral McAdoo created the secrel
service department and put ". J. Flynn
now director OF Investigation Of the
Department Of Justice. at its head
Flynn began 10 coordinate the work
When ne left the administration Di-
rector General Hines appointed Bobert
:. Mitchell. who had been head Of th'
Missouri Pacinc's secret service depart
ment. as chief Jones s. Mccarthy Is
Immediately under Mr. Mitchell al
headquarters here.
Mr.. Mccarthy said:
investigations we have conducted
show that as a general rule the biggest
proportion Of stealing from cars is car
ricd on by a low class Of laborers, mos
Of whom are foreigners.
we find that The irainmcn who han
die The freight are % per cent Ameri-
cans and are honest and men Of high
type. From New York 10 New Orleans
and from Atlantic 90 the Mississippi in
every large city there arc fences who
hande the goods stolen by these car
robbers
Goods stolen from Yards about New