The New York herald., 1922-05-10
YONKERS GOLD MINE
Big FRAUD, CHARGE
MARREST OF 4 MEN
Warrants Out for More Who
Promoted Scheme in
Nepera Park.
STOCK SALE GIGANTIC
Land Said to Have Been
'Salted to Convince Wary
Investors.
COLLAR BUTTON DUG UP
District Attorney Here Gets
500 Complaints From
shareholders.
COLLAR BUTTON DUG UP

Forty y-seventh street station went to
Yonkers yesterday afternoon and ar
rested four men on an indictment
which charges them, as members OF
the Iridio- Platinum Gold Company OF
so Union square, with selling between
$500. 900 and $1,000,000 worth Of stock
in a fake gold and platinum mine in
the Nepera Park section of Yonkers.
The prisoners salted the mine with
gold and platinum according to the
police and the District Attorney. One
credulous investor said they once dug
up gold collar button to convince
him that the mine was an actual pro-
ducer of the precious metal.
Tho men were seized on bench war
rants issued In General Sessions. and
gave their names as G. Kumashersky OF
179 East Third street; I. Siddiki OF 32i
East Fifteenth street, X. Chezzhento OF
2S4 East Fifteenth street and Joseph 9.
Connors, who said he was physician
and lived in Nepera Park.
Raw Metals Found.
Detective Wilson said that when the
men were arrested he found four ounces
of raw gold and four ounces of raw
platinum. The police also said they In
tended to make two other arrests on
warrants.
Detective Wilson has been investi-
eating the case for more than two
weeks, having been assigned to it after
an Assistant District Attorney. Mr..
O'Neill. had received more than 500
complaints from persons who said they
had been victimized with the gaudily
decorated shares of the mine.
Detective Wilson said that a few
months ago the investors began get
ting SO uneasy that 1t was decided to
give them a real thrill and a real mine.
Title to small tract of land in the
outskirts OF Nepera Park had been OBJ
tained at the very start of the scheme.
II is charged that the schemers "salted"
a mine by burying a small quantity OF
gold and platinum under a thin crust
of earth. smoothing the earth down and
sodding 1t and then marking the place
so they would know where to dig.
one complainant told the District At
torney that they did even better than
that. for him. He said he held back
when he saw the advertisement of the
company. but finally consented to go
to Yonkers and zee the mine produce.
The stage was set and the digging be-
gan, but apparently some one had for
gotten to put new salt into the mine.
for there was nothing on the shovel but
oirt. Another dig was made. and gain
there was nothing but dirt.
r-t-x ~ lc OOf ha
vestor said, and when they dug the
third time up came gold collar but
ton This convinced the investor.
The gold and platinum company which
the District Attorneys office alleges
fleeced the unwary foreigner has had
n branch office IL. the Proctor build
ing in Yontcrs. and the site Of the sup
posed mine has been dotted with little
shacks to represent workings. A huge
sign bearing the name of the company
was erected In South Broadway, Yon.
kcrs, main traffic artery. These
things are said to have made such an
impression on the citizens there that
they have given generously of their
services and time in return for stock.
IL was said that the company go-
practically every sort of service, from
carpenter work down to the printing
OF advertisements and circulars in news
papers and printing offices. in return
for blocks Of stock.
Had sullivan Get Option.
The Yonkers gold mine first came ir.o
public notice in 1921. when r. w. Sui
livan. one of the best known and most
successful real estate men In Yonkers
announced that he had optioned the old
Schwenk farm for a Russian named
Vassily Cherniak, who later bought the
place for cash and announced that he
had discovered gold. The platinum evil
IDENTIFY came as an after thought.
Cheruiak's story as told in November
1921. was that he had come on the gold
while prospecting the Schwenk farm
and had then gone into the cffice of
the Sullivans to have them option II for
him. This cost him only $40
Assay reports appearing to have come
from disinterested assayer In East Fif-
teenth street were published TO show
very high gold values to the ton Of rock
Chernak spoke oc friend. Chevchenko.
whose name is not dlssimilar TO the
name OF one OF the men arrested yester-
day by Detective Wilson.
In November Cherniak was i'll and
unable TO continue his experiments he
said so he was not quite sure whether
he had discovered gold or platinum or
both. But the friend Chevchenko went
away and came back with Russian. a
Col. Sirodkin. who was said then to
have been a chemist and a former artil
lery officer OF the Russian Imperial
Guard and member OF the Russian
Supplv Commission TO the United States.
made confirming tests. found
that Cherniak had discovered valuable
metals and then the money was pro-
cured to buy the land.
Cherniak interviewed at the time.
said that his gratitude to the Sullivans
for helping him option the land was
SO great that he decided TO take them
in, and so a company was formed.
Then. according to the police. the com
pany proceeded to take In several hun (
lred thousand others. but not in quite