Capital journal. (Salem, Or.) 1919-1980, 1921-08-22
.happell
Is Called
Ernbezzler
Elk Bond Salesman of
Salem Now Out on
$1,000 Bail; to BE
Tried September IL.

y. M. CHdppell, formerly ueDOn-
naire bond salesman of the Silver
King Mining company, whose
disappearance from Salem about
October Is, 1920, precipitated a
hasty conference among officials
of the company and stockholders
who claimed they had not receiv-
ed credit for investments made, is
at present under arrest and out
on $1,000 bail, it was learned here
this afternoon.
Chappell is charged with larce-
ny by embezzlement. The COM
plant, issued from the local JUS
tice court, is signed by J..J. Lang
back, president of the Silver King
company who, at the time the
first facts were printed by The
Capital Journal, emphatically de-
MED that Chappell's drop from
sight was necessarily irregular.
Bond Signed by Woman
Chappell's hearing is set for
September IL, at 2 o'clock, in the
Justice court. His bond for bail
was signed by Mrs. B. M. Chap
pell, Of st. Helens, where Chap
pell is said to be residing at the
present time.
Friends Of the affable, impecca-
bly, clad Chappell were loud In
their denunciation OF those who
made known the facts concern
ing his disappearance last Decem-
her and declared that truths
which would clarity the case
would be forthcoming shortly.
Nothing further was heard OF the
matter for several days, however.
when Chappell returned to Salem
md declared that the whole mat
er was a "mistake." Nothing
'urther was heard Of the case un-
| il today.
Investors Complain
Leaving at least four investors
{ the company looking In VAN
-r the delivery Of the stock for
hich they had wholly or partial
paid. ChappelI who operated az
selling agent here between jan
nv. 1920, until about October
| disappeared and efforts OF the
estors to locate him were FOR
eral weeks unavailing.
| The fact that Chappell had Sc
| red several hundred dollars
ON three Salem men, who held
eceipts showing that they had
aid him that amount for stock
lin the company, was reveaieu
when the investors. G. M. Car
Ison. a local garage man; l.. Il
lDurbin. a Southern Pacific fire
imam. and L. ]. Gibbons, proprie-
ltor of the Bligh hotel barber
,lsbon took the matter up with the
officials of the company, which
LAT that time maintained headquar-
tiers in Portland.
No Record DuuWH
They were informed, aecorolns
Ito Gibbons. that the books of the
lcomnany showed no record OF the
sale Of stock to any OF the three
men and we're further advised
THAT Chappell had severed his CON
nection with the company with
Iout notice, and that the company
knew nothing concerning MS
. whereabouts at that time.
Recognizing the sale made o.
cbannell as their agent however
, the company delivered TO Carson
, stock TO the amount OF slzo' rep
rasanting the amount he had pait
to Chappeii,
Mr. LanRbast, president, aht
William 8, Risley, secretary Oh ln'
, eompany, delivered to Durbin an'
: Gfhbons stock fer the respective
nayments Of $500 and slso Whici
| thew had made to ChaPPeii'
Officials Evastve,
Reluctant anu ofaoi'S
answers to questions concerning
the matter put to them by news
paper men, Langbaek and hisiel
admitted that Chappeil had iei
ths ssmpaaF without giviag hetie'
aaa without making a final as
eeuating OF bis work as thsil
agent but insisted that this pre-
eedure was not irregular OF th'
cause for any alarm. At that tfm'
they said they had ne idea hoy
much msaeF ChaPPsii bad collect
ed On the sale Of stock never re
perted to the company, put AF
RisIey. iasxplieabiy optimistic, In
sisted that It must be ridiculous
lily smsii.H
Today It was impossible to teafE
how much money Is Involved II
the alleged embszziement.
chappell IS well known n sa
lam. xhers he bad hundreds OF ae-
E quaintaEeeS.