Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1920-12-15
HAYES LAND MEN
HELD FOR FRAUD
Eighteen indictments r Returned
Against Concern Which Sold Cali
fornia Lands to Many iowans-oid
Not Own Lands Sold on Contracts.
Judge Weaver Among Victims.

Chicago, Dec 15.-Another chapter
in the history of the Daniel Hayes
Co,spany, a real estate promotion
concern, characterized by Judge Lam
dis has spring as "a great con game,
beside which the Consumers Packing
Company looked respectable" was
written yesterday when indictments
naming eighteen members Of the firm
on charges of using the mails to de-
fraud were released.
The indictments returned Oct. rs,
but suppressed for service hs hs-3
sistant District Attorney. Robert A.
Wilson, charge the defendants with
$5.000,000 thru land promotion
schemes. According to the indict-
ment more than 1000 victims were
swindled between Jan. L. 1918, S,6and
Feb. "A. 1920, in connection with the
sale Of IoS,000 acres of California
land.
The following officers and employees
OF the company were named in the
federal indictment:
Daniel Hayes. Jr.. president, treas
urer and director.
John Rogers, Chicago, vice presi-
dent and director.
Oscar c.. Lamp, Oakland, Calf,
vice president and western manager.
Louis f. Courtner, Chicago, sec
retary and treasurer.
Leslie l.. Palmer, Oakland, Calf,
agricultural director for the company
and western trustee and manager
Thomas ]. Seton, Chicago, office
manager.
Clyde L. Peck. financial agent.
Ralph w. West. Chicago, sales
manager.
Charles f. Zimmerman, general
sales manager.
Matthew ]. Bence, Milwaukee, con-
troller.
Everett E. Harrison, Chicago, as
sistant manager of farming district.
Stephen Lalor, Chicago, $50, 900
sales agent
Benjamin H. Brainard, Minneapolis.
sales agent
Charles f. Fries and William II.
Fries, Minneapolis, general sales
agents.
II. NJ. Anderson, Patterson, Calf.
western manager and general sales
agent
g. w. Porter. Chicago and Cali
fornia, general sales agent.
Most OF the victims came from
Iowa, Ohio, and Tennessee. One 10
said to be Silas Weaver, chief Justice
OF the Iowa supreme court. He was
IN chicago while the. grand jury was
In session and. it is believed, told his
story.
A Bankruptcy investigation before
Judge Landis last spring disclosed
that the firm was organized by Daniel
J. Hayes. Jr.. il 1915, to conduct a
land selling ca-llaign involving near
iy 100000 acres IL California. WASH
ingtcn, AMI Idaho. 1t WIS organized
with capitalization of $3.50. 1000.
growing finalls to s2,70O,OOO corpc
ration.
The land. which was owned by the
United States Farm Lands Company
of Sacramento, was sold on contrlct
by the Hayes company to tenants.
The usual system was used for the
agents 10 sell the land on payments,
the tenant to make a trip to Cali
fornia and inspect the land before
finally committing himself to it's pur-
chase. If he were dissatisfied his
was to be returned
Evidence introd duced at the hearing
In the district court disclosed that all
the agents wanted was the investors
money. Instead of holding notes OBJ
tanned from farmers until the investor
had an opportunity to inspect the
land, they often cashed them at local
banks. Later they refused, it was
charged, to return the investors
money when he was dissatisfied.
Charges were also made that thou
sands of acres of land was sold which
did not belong to the Hayes company.
It had once controlled the land, but
lost possession when its contracts
terminated.
Come on" literature distributed by
the firm painted the land selling
scheme in glowing terms.