The Telegraph-courier. [volume] (Kenosha, Wis.) 1888-1946, 1922-04-13
KenOshans Watch Investi-
CATION of Seyler System
Operations.
MAKING new AUDIT
Wisconsin Railroad Commission
Demands New Audit Before
Issuing Additional Permit.

Keen interest is being shown in Ke-
nosha today in reports emanating from
Milwaukee to the effect that an inves-
tigation is being staged into the opera
tions Of the Seyler System, brokerage
concern, which had dealt in oil stocks
and public utilities securities in and
about Coffeyville, Kansas. Stock in the
concerns in which the company was
interested was sold throughout the
state and there are said to be scores of
Kenosha small investors who are Gag
erly awaiting the outcome of the probe.
Representatives of the company in
Kenosha declared today that nothing
definite could be stated regarding the
affairs of the company until report
had been received from a special audit
at the direction of the Wisconsin state
railroad commission.
Report Almost Completed.
"It is true that an investigation is
being carried on" declared one of the
Kenosha men who has been interested
in the operations of the Seyler System
in Kenosha, when he was approached
regarding the situation this morning.
"The company had sold all of the stock
authorized under the original permit
issued by the state railroad commits
sion. 1t applied for a permit to issue
additional stock and before this could
be issued, the commission has asked
for special audit of the affairs of the
company"
1t was declared that the persons MAX
ing this audit had made a survey of
the physical properties operated by the
company and would have the complete
report ready for the commission within
4 short time. 1t was admitted that the
operations of the company had been
watched by the bankers association Of
the state for several months and that
the investigation had come about large
~ as a result of this.
Stock Sales Halted.
The Kenosha representative of the
company admitted that all sales of
stock had been halted but declared that
this was due to the fact that the en-
tire issue of stock authorized by the
original permit had been sold and that
the agents of the company were forced
to wait until additional stock was au-
thorized.
During the past few months holders
of the stock have been paid dividends
Of 19o month and foes of the concern
declare that the income from the prop
critics of the company would not war
rant such a dividend. Local investors
in the company admitted that there
would be reason for saying that the
stock had been misrepresented unless
the audit of the affairs of the company
showed that this dividend was war
rGntcd. Many of the investors de-
clared that they were confident that
the investigation would only strengthen
the claims of the company.
Many Kenoshans Hold Stock.
The company has found both large
and small investors for its offerings.
It is declared that in Milwaukee many
of the leading business men of that
city have taken an interest in its stocks
and if the audit shows any reason for
investigation the company has despite
this interested many shrewd business
men there.
In Kenosha the company had organ
feed class Of business men and small
investors who had fallen in with the
investment sugs, 4stions made by rep
resentatives of the company. 1t was
declared that no investors in Kenosha
held more than $1,000 worth of the
securities offered by the company and
that most of them were for very much
smaller amounts, averaging below $500.