The Barre daily times. (Barre, Vt.) 1897-1959, 1920-07-28
PONZI PAYING
MUTUAL CLAIMS
Meeting All Obligations as They are
Presented-Will Conclude Bust
ness After Audit.

Boston, July 2s.-payment in full of
matured Claims and the investments OF
those who wanted their money back
was made yesterday by Charles Pom
ri, head of the Securities Exchange
company, who announced yesterday, by
agreement with District Attorney Pei
litter, the suspension Of public par
ticpation in his international ex-
change scheme which he says has net
ted him millions Of dollars within a
few months.
While Ponzi, with an augmented
clerical force in enlarged quarters was
meeting the demands OF several hun
bred creditors, the superior court re.
fused a petition for a temporary in
junction restraining him from drawing
on funds which he has on deposit IN
six local banks. The courts action
came after a statement by counsel for
Ponzi that he stood able and willing
to pay all legitimate demands made
on his principal Offices here, or en-
branch Offices situated in several New
England cities. The suit filed in be-
half of a claimant for $3.50, was sub
sequently withdrawn.
In his statement 10 the court. At
torney Samuel L. Bailen reiterated
Ponzi's announcement that during th2
tendency Of an audit Of the business
all maturing obligations would be pa
as presented, and persons holding I'M
matured notes would be given their
original investment without interest
IL they desired These notes, which
have attracted to Ponzi in recent
months thousands Of persons IN all
stations of life with amounts rang.
ing from $40 to $4,000, call for pay
ment Of an increment Of so per cent
on their investment within 30 days
but almost without exception Ponzi
has paid principal and profit in fuli IN
half that time.
Ponzi, according to statement 10y
him Monday, now has approximately
81. 600 600 of the public's money in the
process Of conversion from American
dollars 20 foreign exchange and back
again through the medium of interna-
tional reply coupons. The end OF ms
business was indicated. however, in
abatement by United States Attorney
GALLAGHER that Ponzi had said it was
improbable that he would seek public
participation after the report Of the
nendine audit. which he asserted would
show his business was legitimate ana
his resources ample. Attorney Bailen
in court Yesterday told Of confer
encs held at Ponzi's home Monday
night attended by Ponzi, his counsel
ATTORNEYS and bank officials Of Man
chester. y. r.. and the manager Of his
brspeb Office there. Accounts Of the
oaice were produced. he said Inspected
carefully ana found 20 show that Pom
ii owed $4,000 to Manchester inves-
tors. II was shown also, counsel
stated. that PonEi had assets IN the
Merchants National bank Of Man
chester. the cashier Of which was pres
.nt. Of $4,000 and the cashier was
given an order to honor any vouchers
for demands on Ponzi signed by him
and endorsed by the branch manager
Demand for payment 81 the POM
oaoe. here yesterday were numerous
br, no, IN proportions 70 amount to
run Those Who wanted their IN
,sstmeui returned without waiting Tor
maturity and the consequent big profit
promised found No difficulty n getting
/. a. SPECTATORS went along The Inc
n rlsirauts Offering prrmiuHas Tor
notes OEutrs e rival arosef' intef-
national exthauCt. Nere busy esflnE
for rrrsans whose inte%'His a's @e5f
turned ausy 81 the Renzi heaaqilar
tiers.