The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1921-08-25
FRENCH AS MOSES
Financial Wizard, Now in Jail,
Worked on High Scale.
Planned to Lead Country Ont
of Financial Wilderness.
HE BLAMES BIG FINANCIERS
Says They Are the Cause of His
Present Troubles.
Said to Have Floated $3O,OOO,-
900 in Fake Paper.
HE BLAMES BIG FINANCIERS

Chicago, Aug. 25.-Charies w.
French, known to his associates as a
financial wizard" and declared by
federal officials to be the greatest
swindler of the century" sat in his cell
here today and proclaimed his own
''unquestioned integrity" Meantime.
according to United States Assistant
Attorney John w. Clinnin, the web of
evidence that involves French and a
score of others of his henchmen in
questionable financial schemes, may
reach the huge total of $4,000, 900, is
being woven tighter.
French painted himself as a finan-
cial Moses who sought to lead ailing
concerns out of the wilderness of the
business depression. He insisted all of
his transactions were legal and blamed
his troubles on a group of powerful
financiers." who resented his success
in the flotation of huge business prof.
ects.
Confessions from two more of
French's alleged associates, according
to Clinnin, detail methods by which
more than thirty business firms were
enticed into floating $3O,O0o.0o0 in
fake securities. The confessions were
made by Elmer L. Gerber Cleveland,
and Charles Strobel of Akron, Ohio.
Most of the firms involved were said
to be Ohio concerns.
Collected s15,OOo,O 900.
dLDeT anu StIODels Clnnln as
serted, admitted they had collected
in the last three months more than
100000 in unsecured industrial
paper for French.
Altho refusing to make known the
names of the firms, federal officials
revealed that automobile concerns
lumber companies and dealers in rub
Der goods and chemicals. were the
chief victims
Both Gerber and Strobel asserted
| they had known French for years and
tSa6 they h had asw no hin, idea ev he was a.
nancial wizard" Gerber said.
French came to us with an ides
| which he said would save the country
from a terrible financial collapse .
Strobel said. Many firms needed
more credit. Cleveland banks refused
| too glad to agree to our terms"
A Spectacular Deal
Details. of one of French's mos
spectacular deals also were revealed
| today. 1t involved the moving of the
factory of the American Rubber com
pany to Centralia, Ills, if the city
would pay a $4,000 bonus. It is de.
clared that the amount was realized
and paid to French by Centralia bust
ness men who desired to have the fac
tory located in their town.
Discovery of further bogus securitie:
| used by French and his associates ir
| their operations was expected today
at Milwaukee. Alva W. Harshman, who
was French's agent there, according
to his own confession, already has un'
covered more than 100000 in Sc
curities of doubtful value. Harshmar
has promised to turn over other pa
| pers that the government expects will
| be productive of additional important
| evidence.
Government agents declared today
that at the time of his arrest, French
was actively selling stock in many
concerns, among which were the De
velopment Securities company, the
Commercial Securities Guaranty com
pany, the Pacific Bank of Missouri
and the Pacific Trust company of Mis-
souri,, all of Kansas City. A large
number of concerns having headquar-
, tiers at Victoria, B. c.. likewise were
on French's stock selling list, it was
| declared.