The Washington herald., 1921-07-27
CREDIT men ISSUE
WARNING AGAINST
BUSINESS CROOKS
Use Names of Well Rated
Merchants to Obtain
Shipments.
BIG ANNUAL LOSS
Houses Should Make Sure Of
Credit Applicants Ante
cedents.
BIG ANNUAL LOSS

A warning against crooks who
have been using the names OF well
rated merchants to obtain mer-
.chandfse was issued last night by
J. II. Tregoe. executive secretary OF
the National Association of Credit
Men, when he sent a message to
the manufacturers, wholesalers ana
bankers who are members of that
Institution.
Mr.. Tregoe announced that the in
vestigation- prosecution department
OF his association has just In
augurated a countrywide campaign
to block the latest move made by
professional commercial swindlers
who have already obtained valuable
goods by trading on the names OF
large concerns. Some Of the mer-
chandise obtained by the trade
crooks has been recovered by the
association.
Warns Against shipping.
Manufacturers, wholesalers and
jobbers are warned by Mr.. Tregoe
against shipping merchandise to
applicants for credit merely upon .
rating without obtaining a credit
report which. In addition to show
ing the antecedents OF the appli-
cants. owuld give their correct ad-
dress. Even though the houses
highly rated are perfectly good.
credit grantors should make sure
that the persons applying for credit
are really connected with the
houses rated and not trading under
the same name at a different ad-
dress. These swindlers amply for
credit and refer to rating books
regarding their ability to nay.
Finding TIE rating TO be satisfac-
tony the seller ships the goods to
the address given by the applicants
who maintain fv-by-night head
quarters. which often are on the
spre street as are located the
quarters ~ the regular merchants
s500.OO0 Losses.
&C. II. West. manager OF the in
vestig gation-prosecution department
| is determined to end the newest
move made by these swindlers.
says Mr.. Tregoe's statement. Fol
lowing an extensive investigation
Mr.. West reports that business has
been mulcted OF at least $500.0oG
through this practice"
Mr.. West in an interview last
| night said:
| 1T Is our hope that after we have
secured the conviction of these COM
mercial crooks that the courts will
impose adequate sentences. Some oi
the professional swindlers against
whom we have secured Indictment.
have received trifiing sentences
| These commercial crooks are really
more dangerous to society than pet
ty thieves. such as pickpockets and
shoplifters. as their loot represents
many thousands of dollars. These
| dishonest men are thoroughly or
| ganized. and have sufficient funds
with which to Rrry on their crook
ed operations, and work under mas
ter minds who furnish the quite,
| for the merchandise obtained. They
use sucker lists containing the
names of firms who are not eau
| tious enough in granting credit
Commercial crime is in a large meas
ure new to the courts and is not
well understood oy prosecutors OF
by judges. At the present time
we have a large number of cases
pending in the courts which have
been delayed due to the conges.
| tion therein.
| Crime Increase.
Lowering morals in society and
business have been reflected in ar
| increase of crime. Commercial
crime has not increased proportion.
ately to social crime, but it has in
creased, as shown in the brief sta.
tistics we offer above. 1t was but
natural to expect some outburst OF
commercial crime when morals gen.
orally had lowered. This does not
impeach the value of the depart.
ment as a preventive of crime. OuI
organization believes the absence OF
such a protective department would
have been reflected in a much larger
increase of commercial crime thar
credit has had to contend with II
the past twelve months.
Our department has handled a
number of cases wherein partie:
dealing exclusively I'm the wholesale
grocery line and operating undel
master minds or under men higher
up have made most fragrant fail
ures involving a sum totaling IL
excess OF 100000. on which thu
department has made a recovery o.
concealed assets in amount exceed
ing $4,000. 1t has sixteen of the
I'D