Evening star. [volume] (Washington, D.C.) 1854-1972, 1920-08-03
MILLIONS REMAIN
AFTER ALL CLAIMS
PAID, SAYS PONz|
NotehoIders Line Up Before
Daylight as Run Is
Continued.

i BOSTON. August 3-The line of
anxious noteholders in the $50 per
cent in ninety days" investment
proposition OF Charles PonZi. who
claims to have made millions by for
eign exchange operations. began to
form outside the offices Of his securf-
ties exchange Company long before
daylight today clamoring for the re-
turn of their money.
The first claimant appeared at the
rear entrance in ri alley, formerly
the old "Bell-in- Hand" bar. at am.
He had n note for $1,000. which under
the terms of Ponzfs agreement was
to have returned II profit of $500 If
held for maturity. The investor said
he had decided to pass up the profit
| and take his principal back.
4 This early conner had no chance to
get lonesome. for soon after he had
1 taken his station other notehold ers
/ began to arrive. A score We're on hand
/ by o'clock, and as the usual opening
hour of o'clock approached the line
grew rapidly giving every Indication
OF the biggest crowd of creditors since
Ponzi began paying back money more
| than a week ago.
/ Required Two Days Notice.
| Many of those in line were from
! other New England cities where the
4 securities Exchange Company has
maintained branch Offices. Managers
| OF some of the branches had announced
that forty-eight hours notice was re-
I CURED before money could be with
drawn. explaining that the delay was
necessary in order that funds light be
/ obtained from the head offices in Bos-
ton, and investors. in many instances
preferred to take a day off and come
| TO Boston for their money rather than
wait Most of the early arrivals said
i they were holders of unmatured notes
4 Ponzi in statement again asserted
| that. his business was solvent and that
he was prepared to meet all demands
| He estimated that up to last night he
had paid out about $3.50O.OO since the
| run began. He asserted that he would
have millions left" after meeting all
! obligations and that he was still con-
sidering the offer of New York bank
err whom he did not name, to buy his
business THE banker and his French
partners Ponzi said. will have CON
ference with me today"
Edwin L. Pride. the auditor ap-
pointed by United States Attorney
Daniel J. Gallagher to investigate
Ponzis accounts, said it would require
several more days to complete work
on the books. Mr.. Pride announced
that he had found no indication of
criminality as far as his investigation
had gone.
| Attorney General Allen issued a
! SSS oos' III "hlSh IiC Sdid
| that Ponzi could very easily furnish
the means for determining without
delay the truth of his statements
about his business, but that at a re-
cent conference at the statehouse
he declined to give the information.
Mr.. Allen said he was trying to ar,
range another interview with Ponzi.
Buy Coupon in Any Amount.
MIR PonZi in his statement in this
office" Mr.. Allen said, did not claim
that coupons had been purchased from
the post Office in such small guam
titles as could be bought over the
counter, but he claimed he had agents
in Europe in a position to buy those
coupons in any amount desired from
officials connected with foreign gov
ernments through arrangements or
agreements which have been made
by his representatives with the Off
Gals. AS result of this, he claims,
his agents are in position to obtain
the reply coupons from countries
where the value of the currency has
deprecated in sufficient quantities to
meet all amounts that. have been de-
posted with him and that his agents
in other. countries wHere the exchange
rate is substantially. normal redeem
coupons through officials of those gov
ernments which have agreements with
his representatives.