The Telegraph-courier. [volume] (Kenosha, Wis.) 1888-1946, 1922-05-11
KenOshans Watch With Interest All New De-
r. yelOpments in the Probe of the Sey-
Ter System Stocks.
BANKER LEADER OF PROBE
E. 7. O'Bren, Cashier of Citizens Bank, Leads Move
ment for Probe Now at Acute Stage
In Milwaukee.

$2,000,000 more fromAthe rest of Wis
consin through the Seyler System, are
up in. the air. Recent Developments
in the investigation which has been
launched into the operations of the
companies, have brought fears to the
Kenoshans and to the other stockhold
ers that their savings, instead of
taking them to their cherished eel
dorado may be lost entirely.
Among those Kenoshans who are
worried over their investment are
several prominent in the professional
and business life of tie city; there
are also some who have put their all,
the savings of years, into the two
companies. Many of these were urg
ed to do this under the guidance of
local men who enthused over the won
derful system of Education, Protec-
ton and Cooperation operated by
William Seyler, had joined in the
movement wholeheartedly in Kenosha.
Mr.. Seyler was affectionately known
to many of them as "Seyler himself"
and their faith in him amounted al
most to reverence.
EGol DOHlCkHlHS has OllppSus
These men and women now fear
that their savings are washed away
and that something has slipped in the
system That has stood in their minds
as the one safe bet in oil dealings.
Twenty two hundred of these invest
ors have come into an organization
known as the Stockholders Protective
committee. Walter H. Bender is al
torney for these stockholders Every
mail is bringing in hundreds of appli-
cations to join the committee
A series of events that read like a
novel of finance, has caused the con-
sternation among the investors, who
Representatives. every strain of So
ciety. Newsboys and school teachers,
lawyers, politicians and business men
alike are worried about their money.
Makes Sensational Charges.
This last notice to strike home to
these persons is a report of directors
of the M. T. C. Oil and Gas Co. and
the Elbukan Oil Co. This report, from
the directors complains Of mis-man4
agement. 1t says that the William
Seyler Co. sold hundreds Of thousands
of dollars of capital stock Of the M.
T. c. and Elbukan, for which it sent
to the offices of these companies the
notes of the William Seyler Co., in
stead of the money.
This report was sent out after a
four days session of the directors and
is signed by all OF the directors of
both companies, excepting only Will
liam Seyler.
A letter from Mr. Seyler reached
shareholders before this report reach
ed them. In it were signs Of trouble
in the company. Attorneys now say
that fight from within is threaten
ing completely to wreck both COM
panies..
This letter, report of which was
carried earlier in these columns, was
the first animation from the com
pany itself that any crisis had arisen.
~, Seyler Also Files Suit.
The situation was all the more COM
plieated this morning when it became
known that William Seyler, through
his attorney, Clifton Williams. has
started suit to enjoin the Seyler De-
rights to Oklahoma oil properties,
valued at St,3S7000 on which $1S0,000
aas already been paid,
The action according to Williams
has beenf brought to protect thousands
of Milwaukee and other investors who
have purchased oil and gas stocks
through the, Seyler System. Summons
in the action has been served on W.
E. Stickel, secretary of the Seyler
Development Company,
Kenosha Banker Led Probe.
Kenosha is interested lin the probe
from another angle. The Seyler Sys-
tenn when it became organized in Ke-
nosha attracted to its ranks many
small and large business men of this
city. For that reason it also attracted
the investigator of the bankers of
the city and E. T. O'Brien, cashier of
the Citizens Bank and one of the Of
ficials of the state bankers associa-
ton for theinvestigation of such pro-
jects, began to look into the affairs
Of the companies closely. 1t was ne
who called the attention of the Wis
consin Railroad Commission to the af-
fairs of the company and asked for an
Investigation which resulted in the
ordering of an audit and more recently
in the crisis which appears to have
arisen in the ranks of the two COM
panies. aos 1e
Prominent bankers throughout the
states have been interested in the in
vestigatioh because they feel that
safeguards should be thrown around
the money of investors.
Stock Dropped Weeks Ago.
Rumors that caused some slight
worry were started Feb 20, when "a
letter went out telling investors that
no diYhlehas would be paid until after
the ahd4t ordered by the commission
was made. The sale of stock was also
stopped
Shortly after that stock in both
companies was to be had way below
par, but most of the stockholders were
not worried, The letter explained that
there was no cause to worry. In much
Of the literature sent out to prospects,
the assurance of safety was seen.
Boosters Give Lectures.
Educational lectures, purporting to