The New York herald., 1922-09-15
DANZIG eco. CLERK
is GONE AS 100000
SHORTAGE IS FOUND
Thefts May Total $200,000,
With Many Valuable Sc
curities Stolen.
$4,000 CASH Is IN LIST
Man Suspected Can't Be
Found at Washington
Heights Home.
GRAND JURY TO GET CASE
GRAND JURY TO GET CASE
Insurance Policy Covers En-.
ployce Trusted by Broker
age Firm Is Years.

Fifty thousand dollars in cash and
securities of an easily negotiable char
acter worth perhaps twice and per-
haps three times that amount have
been stolen from the New York Stock
Exchange house Of Danzig & Co., 100
Broadway and 200 Fifth avenue, and
complaint has been lodged with Dis
trict Attorney Banton against Henry
p. Gage. for fifteen years an employee
of the firm.
1t is authentically stated that the
defalcation, as 1t appears to be. will
reach total of s100. 900. and. with ac-
countants still at work on the books,
It is privately admitted that the sum
may reach s130.O0O. When, after he
had been talking with benjamin.
Schneider, Assistant District Attorney.
last night. Jerome j. Danzig. head Of
the firm. was asked whether the short
age might not reach 100000. he an
swered:
"You have all the facts. Don't add
anything to them, because you might
go wrong. Just stick to what you
have: that's good enough-or bal
enough"
Recalled From Vacation.
| Mr.. Danzig, who Is a member OF the
governing committee OF the New York
Stock Exchange, mad been hastily sum
moned from hrs summer place In the
Catskills when the shortage was dis
covered He appeared at the District
Attorneys office with his attorney, Leo
| Oppenheimer OF so Wall street. When
he had told his story he asked that the
matter be presented TO the Grand jury.
Mr.. Schneider said later that he would
take the case to the Grand Jury on
Monday
According to the information received
at the District Attorneys office Gage.
the missing clerk or manager. as the
| city directory designates him, lives at
621 West 171st street. The telephone
book however gives his address as II
Post avenue. Telephone operators last
night asserted tnat the telephone num-
bcr for the 171st street address was the
same as that for II Post avenue, 1925
wadsworth. No answer could be OBJ
tained to repeated calls.
4
With the firm for fifteen years. He was
at work on Tuesday. He did not APP
pear on Wednesday morning and then
accountants were put to work on his
| books. That there was a shortage OF
magnitude they discovered quickly.
BY the time Mr.. Danzig arrived at his
| office yesterday the shortage had
mounted and 1t was clear that there was
discrepancy of s5o,oO0 in the firms
cash and that some Of the missing Sc
curities were gilt edged. easily salable
and worth at least $50. 900 more. In fact
the total value of the securities changed
go rapidly as the accountants worked
that II was impossible to determine what
the final shortage would be.
Covered ny Blanket Bond.
Gage was not bonded individually. as
! far as could be learned, but the National
| Surety Company had issued blanket
bond covering the firm of Danzig & Co.
against theft to any amount up to
| 100000. The brokerage firm can col
lect on this bond. Mr.. Danzig was en-
phatic in declaring that the shortage
would In no way embarrass the firm.
The surety company Is cooperating with
the District Attorneys office.
Oppenheimer, the lawyer. gave out on
behalf OF his client a statement read
| ing
Jerome J. Danzg when interviewed
stated that Henry r. Gage had been an
| old. trusted employee. having been the
head OF their clerical force. since its in
ception. for approximately fifteen years.
and that while their Investigations have
not been entirely completed present In
dications would seem to show that the
amount OF the defalcation Is not greatly
In excess OF the amount Of the bond
given for the fidelity OF this employee
by the National Surety Company"
+ The firm Is listed as having been ad-
mtted to the New York Stock Exchange
in June OF 1908. The members besides
Mr.. Danzig. are given as J. Ainslie Bear,
Edwin f. Bernheimer and Fred A. Mack
The firm has been known in the finan-
cial district as conservative, doing q
large business.
Gage had lived with his wife at the
West t71st street address for two
months. Ii was said there last night
that he had left on Tuesday. and his
wife left yesterday morning. taking their
belongings.