The New York herald., 1922-07-07
FULLER CASE GOING
BEFORE GRAND JURY
Banton's Aid Schneider Calls
Brokers to Tell About Deal
ings With Bankrupts.
DER STILL AT LIBERTY
Vaudeville & Co.'s Books to Be
Produced To-day - Trailing
Other Bucketeers.

The first definite indication that
transactions of z. M. Fuller & Co., de-
funct stock brokers. was given yester-
day when Benjamin F. Schneider. AS
sistant District Attorney, announced he
would ask for indictments next week.
Elnore ID. DER, Benjamin F. Shrimp
ton and Adam Recklein, who are under
indictment in connection with the S4.-
500. GOO failure of E. D. Dier & Co., have
not been apprehended. The fact that
Harry ]. Lawrence, Jr., partner of DER.
surrendered Wednesday led the District
Attorney to expect the others would put
In an appearance in court soon.
While the Dier case Is pending Mr..
Schreiber, who Is In charge OF all bucket
shop Investigations. is going ahead with
the Fuller and other cases. He has is
sued subpoenas and served them upon a
half dozen stock brokers who did bust.
ness with the Fuller concern, which
failed on June 81 for about S5.000.000.
The subpoenas command these bro
kers. members of the Curb and Consoli-
dated Stock Exchanges. to produce al
books. records. confirmation slips and
papers which might give the district at
torneys greater knowledge of the actual
operations of Fuller and his partner
Frank MCGEE.
Hampered by stipulations.
District Attorney Banton is hampese1
through the stipulation of the bankrupss
when they went into the hands of the
receiver, that their books should be
withheld from examination by the Dis
trict Attorney. Nevertheless, Mr.. Ban.
tAv, al hot 1,< II n
subpoena the records within a short
time and thus take the matter into tile
courts.
The subpoenas sent out by Mr.. Schrel-
ber in an effort to circumvent the posi-.
ton Of the bankrupts by obtaining In.
formation of their transactions from
outside sources are returnable tomorrow
morning. Mr.. Schreiber hopes to learn
from these records that the Fuller cor,-
pany was guilty of larceny In the buck
eting Of stock transactions
Ite also sent out subpoenas for the
books Of the firm Of II. l.. Vaudeville
e. Co.. ~ Broadway, which went into
bankruptcy April IL. with liabilities of
s2,5OO.000 and assets of only $500. These
books must be presented before him to-
day. Mr.. Schreiber pointed out that In
this case thousands of persons. most of
them from out Of town. lost their lite
savings.
Next Monday Mr.. Banton expects te
have a conference with Philip r. Davis.
a Chicago lawyer. who Is supposed to
represent approximately ZOO creditors
of various defunct brokerage concerns
of this city which have offices in Chi
cago.
Mr.. Davis has declared he has been
promised full cooperation OF Robert e.
Grove. States Attorney OF Chicago. and
desires to have him and Mr.. Banton
bring simultaneous action against
bucket shop operators who have connee-
tions In both cities.
Getting After the Bucketeers.
Mr. Banton said he had already con-
ferred with a half dozen District At
torneys from various places and with
two Attorneys-General. and found that
they could work in complete accord in
the prosecution of buckle teers.
II shall be glad to cooperate with
Mr.. Grove in the same way" he said.
If Mr.. Davis wishes to make any
complaints OF a criminal character I
am glad to have him call upon me. II,
however, his cases are matters for
the civil courts then can do nothing {"
The District Attorney explained that
while he sympathized with persons who
lost through the negligence Of brokers
he could not help them to collect their
funds. His Job. he emphasized. is to
prosecute crime and that alone. The
only manner in which he could be Of
actual aid to brokers' customers, he
said. was in cutting down illegal opera
tions by speedy prosecution.
A number Of the New York houses
which have gone to the wall since the
first Of the year have large dealings
in Chicago. Among these are E. NJ.
Fuller & Co., 8. S. Ruskay & Co..
Kardos & Burke. r. II. MacMasters &
Co., and Howell & Wales. In the
Ruskay case. also. the District At
torney Is restrained from examining
the concerns books through a ruling
OF Judge Knox in the United States