Evening public ledger. [volume] (Philadelphia [Pa.]) 1914-1942, 1920-08-07
new YORK Agency
PLANNED BY PONl'
Negotiations Under Way With
Commonwealth. Trading
and Securities Co,

New York. Aug. 1.-THE experisr..
OF Charles Ponzi, Boston's, get .rios
quick exponent, have not only insnira,
New York investment operators 10 inl
tate his methods, but caused some !.
endeavor to induce Ponzi to unite ui,v
them on n scale involving hundreds !,
millions of dollars.
Those chiefly interested so far a,.
Robert ]. Johns, first vice president.
Earl Wayne Hopping, vice president
and John +. Caswell, of the Bolivia,
Wool Co.. II Broadway. secretsr,
A representative of the company mi|
he was not at liberty to disclose M.
name Of the president 1t was Learned
later that the presidency is being leh
open.
In the dispatch from Boston the nam.
of Joseph Il. Herman, Of the Common.
wealth Trading and Securities Co., wa,
included. At the Offices 1t was said Mr.
Herman had returned from Boston, bnt
was too busy to be interviewed.
1.-THE plans are only tentative" soId|
spokesman for Mr.. Herman.
The conference with Ponzi will r..
suit either in the establishment of n
branch of the Securities Exchanso|
Co., Ponzis concern, in this CITY
or the turning over Of Ponzi's New
York business to the Commonwealth
Trading and Securities Co. 1t sl,s|
was stated that this company dos,
not contemplate paying more tbm|
s per cent annually on the capit,l
stock. and It was intimated that Popd
now plans to cut down his dvidend,
possibly to s per cent.
At the Offices of Montgomery. Ne.
Donald & Co., Inc, Investment securi. 1.
ties brokers in the Fitzgerald Bull. /.
ing. 1882 Broadway. A. II. Montgomery
admitted yesterday that his concern hal
been operating along lines similar ID
Ponzi's. But he denied vigorously pub.
lished statements that his company wa,
letting the general public in, as Ponzl
did; ~
of small investors" he said. 'If wa
were as we'll established as was Popr
when it became necessary TO take nm
his notes the small investor could rpt
as panicky over unexpected publicity AZ
he liked and we would be able to meet
his demand. no matter how sudden 4
came. We have all the money we want
Only few hours ago one man put 10
S500,000 with us and we will have
enough to make big profit for all Of
us and quickly.
"a Millionaire in Sixty Days" might
be the title Of the prospectus il Mont.
gomery, Mcdonald & Co. Inc. started
advertising their plans as the head Of
the concern outlined them YESTERDAY,
| The company sent out 400 circular,
offering 30 per cent return to investors
within sixty days.
You see. it takes us about sixty
days to complete our turnover" he
said. 1--WE sent out these circulars
inclosing return postal cards. We did
not want investments OF less than
$500. and to our surprise we got sew.
eral like this in today's mail"
He tossed postal card across the
desk. The name of a Baltimore in.
vestor was filled in at the indicated
space and request for an oppor.
tunity to put in $25 900 was made.
Boston, Aug. 7.-Attorney General
Allen. who is conducting an investiga.
ton Of the business methods Of Charles
Ponzi, communicated through an assist.
ant yesterday with former Secretary ol
State Robert Lansing.
Assistant Attorney General Edwin
II. Abbot. Jr., went to Mr.. Lansing''
home in Watertown. n. Y, and con.
ferred for several hours with the former
cabinet officer. The attorney genera
refused tonight to discuss the report
on the conference given him by Mr.
| Abbot