Pine Bluff daily graphic., 1920-08-01
SURFACE MERELY
 SCRATCHED N PROBE 0F P0NzTS METHODS
District Attorney to Continue His Investigations, He
 Says
'GET-R!CH-QUICK WILL
 NOT BREAK SILENCE
Accused Has Paid Every Claim Since His Operations Were Stopped by the Authorities--Ruu is
 Over, He Says

Boston, July 31. The examination by federal auditors of the books of Charles Ponzi, maker of millions through international postage cx- change, has but "scratched the sur face,' according to Edwin l.. Pride, the auditor in charge. The examina- tlon, it is explained. will not be com pleted before the end of next week.
 Ponzi reiterated tonight that he had no apprehension as to the out come of the audit.
 'I shall not make public my meth ods of doing business,' he added "At least, for the present, l shall con- tlnue to maintain my secret. Some time 1 may tell how did business, but it would be manifestly unfair to persons who have been associated with me to divulge the methods at present."
 United States Attorney Gallagher said he hoped to establish beyond question whether Ponzi had made the millions of profits which he has claimed or has been paying returns off fifty per cent to one set of in vestors with money obtained from others. Also the inquiry will be di- rected to learn whether it was by in ternational reply coupons exchanged exclusively or in some other form, were gained.
 Ponzi having paid without question or delay every claim made against him to date without income from the public since he shut off investments by agreement with the authorities last Monday, the public has appar- ently taken for granted his ability to make good his promises, interest in official quarters and Wall street, to- day turned to consideration of his methods. Ponzi proffered all the help of his office force and himself in the federal audit and the state in quiry to be started Monday so far as the investments relation to deter mination of his assets and his lia- bilities. But he said he was not ready yet, and might never be. to reveal the business secret which have brought him wealth.
 Run Is Over.
 After period of uncertainty, mark ed by a four-day run, Ponzi point ed to q group of less than 50 persons who sought payment this morning of his notes, and said the run was over.
 Payments became very normal yes terday, he said. As soon as audits have been completed and payments made he said he planned to resume acceptance of investments, unless meantime he sold his business.
 Ponzi has had 50,000 accounts ac- tive at one time, Miss Lucy Meli, his manager, said today. These have rep resented investments ranging from $10 to $40,000, she said, with the av- craze $1,000 and $5,0O0.
 The accounts which the federal in- vestigators have been given for their audit, consist of individual cards with names and with addresses, the amount and date of the investment, and the date of maturity. Against bilitics, bank books and statement of deposits, will stand for his assets Miss Meli said.
 No ledgers were employed, no day books; money came in too fast for any accounts of that kind, according to Miss Meli. At times the money was dumped into baskets before be- ing conveyed to the banks.
 In return, customers received notes for the amount of the investment plus 50 per cent payable in 90 days, but in almost every case they have been notified by mail that their notes would be paid off in full at the end of 45 days.