The Mankato free press. [volume] (Mankato, Blue Earth County, Minn.) 1879-1924, 1921-08-26
sum GROWS DAILY
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Operations swindIe Band
Reaches Fifty Millions
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WORK FEDERAL AGENTS
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Thirty-Two Concerns Victim
/. ~ led; Disclosures In
T / Confessions -
CAssociated Press Dispatch. I


Chicago. August 25-Federal Off,
Gals announced that the opera
tons of Charles w. French and John
w. Worthington, under arrest in con-
nection with many swindling schemes
and mail robberies will probably In
volve fifty million dollars. The number
of concerns either 'victimized or work
ing with the alleged band of swindlers
was today placed at thirty two.
These announcements followed a
day filled with astonishing disclosures,
exposures and confessions that showed
the operations of the group of swind-
lers to have more qualifications than
even the federal officers seemed to
anticipate.
Yesterdays Seizures
Seizure of $9.050,0 900 In securities,
discovery of the hiding place of So.
100000 more in signed promissory
notes and the raiding of bank de-
post vault wherein valuable papers
We're found, marked the fruits of the
days work by federal officials.
Some OF the firms with which the
alleged swindling band was connected
are genuine. some ara not. Some OF
the securities seized are valuable, 9th
ers are worthless. Federal officials
stated it might be weeks before tbs
securities could be. checked up.
Davis Awaits Arrest
q. w. Davis, Cleveland man.
ufacturer. today awaited arrest waicil
was expected. with Che recovery of
100000 in bonds, said to be in Mill
Waukee where federal officers yester-
Gay took Alva Harshman where he hss
turned states evidence. Harshmal
was FrencfYs secretary.
With arrival Of this .evidence in
Chicago, John ". Clinnin, assistant
district attorney today announced
to make statement which, it has been
promised, will startle the country.
There were indications today tliat
other important arrests might be
made soon in connection with the case.
Scheme To Buy Claim of Banks.
A scheme for buying q chain OF
banks throughout ! the country
without the investment Of any money
TO handle the alleged spurious notes
and securities. Is said to- have been
uncovered.
With voluntary appearance at the
federal building today of H. L. Thorn
burg, whom Clinnin characterizes as
the dummy" president of small
Wisconsin bank purchased by French
and his friends early this year, the
assistant district attorney revealed
the trail which led from John w.
Worthington, under indictment as
the master mind" Of mail robberies
totaling s6,000,000. to French and his
associates.
When Worthington's office was
raided several weeks ago his books
The latter was indicted, questioned
and then released.
Dictagraphs In Rooms.
He returned to loop hotel, where
he maintained palatial suite. Mean
time dictagraphs had been placed
throughout the suite telephone wires
tapped, arrangements made to scan
the contents OF French's waste paper
basket and two department Of justice
agents installed in an adjoining room.
From the information gained de-
pertinent Of justice agents were on
hand each time deal was attempted
and the persons Involved warned In
advance.
While that end Of the inyestiga.
ton proceeded the examination Of
Worthington's books revealed that
purchase of the Wisconsin bank. On
its face. the deal was apparently
legitimate. 49,.
owen T. Evans. { former national
bank examiner, indicted with Worth.
ington in the mail robbery case, was
questioned in the belief that his
knowledge as 9 bank examiner might
have been utilized by the band for
Clinnin, made complete statement,
but was unable to explain all the de-
tails OF the Wisconsin deal. He
suggested calling in Alva Harshman
of Milwaukee. Worthington's secre.
tary also under Indictment. Harsh
man turned states evidence.
Sixty one shares OF the bank stock
"a controlling interest had been
purchased with certificates Of deposit
obtained from an Ohio man. The
home of the bank cashier was also
purchased. $2,009, one third Of the
price, being paid down and a one
year note, due next January. given
for the remainder. Thornburg was
installed by French as president.
under Harshman's direction.
The bank stock was then hypo.
thecated with Madison, Wis, bank.
AS a result of the $4,000 paid the
cashier on his home was the only
money actually involved in the deal.
ut was plain case OF 'kiting,.s
Colonel Clinnin explained today.
"Harshman tells me that French, then
sent bundle of the banks notes to
him. with instructions to put them
in the vaults and draw out the banks
reserves and undivided profits. Harsh
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