The New York herald., 1921-04-26
MADE $4,000 IN
OLD BAILEY CELL
Berkovitz, Brought Back From
England, Has Gold to Cover
Bad Check.
TOOK FLIER ON EXCHANGE
Prisoner, Accused Of Grand
Larceny Here, Fled
Owing $4,000.

Leopold Berlsovitz, an exporter who
used to live In the Hotel Ashton,
Madison avenue and Ninety-sixth
street, returned to the United States
under arrest yesterday on board the
steamship Celtic, charged with grand
larceny In the theft of $4,000 from
the American Foreign Exchange
Bank Of Al Broadway in the first part
of 1921.
He brought with him, according to
the story he told Detectives Thomas
Enright and Frank Dischley. $3S,000
in gold which he had made dealing in
foodstuffs and foreign exchange while
locked up in the Old Bailey Prison in
London awaiting extradition to the
United States.
States only six months when he got into
trouble because OF an alleged bad check
For some time prior to the time the
check for $4,000 came back marked
mo funds" he had been putting through
checks ranging from $1,000 to $4,000.
all of which went through the American
Foreign Exchange Bank and were
honored, funds being ready TO cover
them. Berkovitz was dealing in for
eign exchange In somewhat the same
way that Ponzi did in Boston, although
he had fewer people with him.
SO far as the police have been able to
learn. Berkovitz had no confederates and
no victims excepting the bank. As soon
as the big check came back to the bank
=. fnA nn1 nntaNfiNal
Enright and Dischley began investigat-
ing. They found Berkovitz had checked
out or his hotel and gone to Boston. In
Boston they found that ten hours before
Berkovitz had gone to New Brunswick,
and at New Brunswick they found he
had taken passage on n steamship bound
for Liverpool. The detectives wirelessed
the ship from New Brunswick, and when
she reached Liverpool detectives from
Scotland Yard arrested Berkovitz and
took him to a London prison.
Mrs. Berkovitx. who had accompanied
her husband. also was taken TO the jail.
although no charge was placed against
her. She was searched. however. and ac-
cording to the English detectives $4,000
In money was found sewed in her cor
sets This was taken charge OF By the
pol,ce. and her husband was locked up.
II was then, according TO the exporters
story, he conceived the idea OF turning
TO good account the time he would be
forced to spend In jail waiting for Amer
lean detectives to come.
Berkovitx. therefore. got In touch
with his New York broker through his
wife and, with Mrs. Berkovitz acting as
his English broker and so-between. he
tegan trading In foodstuffs and foreign
exchange in an entirely legitimate way.
ne told the detectives. Hrs wife made
daily visits TO the prison, receiving his
Instructions and cabling and telegraph
inf. them TO Berkovitz's American and
Britlrh business connections. In this
wsy, Berkovitz said. he made s3s.o00
and brought 1t back to this country with
him In cash.
Berkovitz told the police he was will
ing and able to make restitution to the
amount OF the check passed on the
American bank and he also would pay
All the expenses or tho detectives who
searched for him. Hts extraaition pa
pers were the first signed by President
Harding and Secretary Hughes. He was
taken 10 tho East Sixty-seventh street
station last night and booked on a
charge OF grand larceny.