The New York herald., 1922-06-29
!. FULLER HAS STRING
I ON BOOKS TO KEEP
) THEM FROM BANT0N
I, Brokerage Accounts Go to
Receiver With All
Reservations.
!. LET COUNTY MAY ACT
Y, chreiber, Prosecutors Aid,
Thinks He Can Upset Con
stitutional Right
FIRMS CLERKS DESERT
Only One Major Employee
Willing to Help Clear Up
$4,O0O,O00 Failure.
LET COUNTY MAY ACT
FIRMS CLERKS DESERT

The failure of E. NJ Fuller & Co.,
, members of the Consolidated Stock
Exchange will prove to be comparable
with tho failure of E. D. DER & Co.,
l9ith the difference that whereas GRIM
4 al action is probable In the case of
I er, it would be difficult to prosecute
( l customers complaints against Full
( r owing to the foresight Of the
Her attorneys.
rhis was the gist Of the informa-
IN obtainable yesterday In connec-
N with the latest large failure in
.e financia! district. It was recalled.
however. that in this case the authori-
ties of the Consolidated Stock Ex-
change knew the character of the men
who formed the firm of E. NJ. Fuller
& Co. years ago, as THE New York
HERALD pointed out in It's series Of ar
ticles on the Consolidated.
That Fuller and Frank MCGEE, his
partner, had for years been schemers
and promoters was well known to in
vestigating agencies and also to the
officials Of the Consolidated Exchange.
1t appears probable from information
obtained from most reliable sources that
tho liabilities Of Z. NJ. Fuller & Co..
will range between s4,000.o00 and s5,-
100000. The assets may run as high
VAS s1,o00.000. but this latter figure is a
I ;uess based on hope. The strong boxes
n I the firm. 1t was learned. were full Of
x ecurities, but the character or these
holdings. whether they are cats and
dogs or really high class paper. has not
been ascertained.
Employees Fail to Help Receiver.
The firm had seven branch houses, in
Newark Philadefphfa, Pittsburgh. Un-
iontown. Pa, Cleveland. Boston and
Chicago. Early yerterday the attorneys
for the receiver. Carl J. Austrian and
Francis L. Kohlman. communicated
with local attorneys in each of the
cities mentioned. so that proceedings for
ancillary receiverships will be begun at
once.
{ Samuel Strasburger. the receiver.
Irned the books over to a firm of ac-
ountants, Leslie. Banks & Co., and took
4 possession of the offices at SO Broad
street. where there was great confusion.
The employees Of Fuller. holding respon-
sibe positions. refused with one excep-
lion TO work for the receiver. preferring
10 st positions elsewhere.
II is In connection with the books that
ie really important phases of the case
I eveloped. The stipulation briefly re-
\ rred to when the failure was first an
punced. was about as far reaching as
4 possibly could be. and probably will
event successful criminal prosecutions,
though Benjamin +. Schreiber. Assist
nt District Attorney, believes way
iay be found to prove criminal charges,
/. such are brought. without the books.
Make Binding Stipulation.
Just before the petition In bankruptcy
was filed the books of the company
were obtained by James l.. Moore, at
torney for Fuller and his partner. Then
when Strasburger demanded the books
they were turned over to him under a
stipulation which reads:
These books are being turned over
you solely for the purpose of the
VII administration of the bankrupt
4 tate and to enable you to check up
e assets and liabilities of the bank
ipt firm. They are to be held In trust
you for the bankrupt and to be
turned to US upon the completion OF
} ,ur inspection. II Is understood that
>. one shall have access to these books
Il the receiver, his attorneys and ac-
4 untants.
" we are reserving moreover all the
4 Institutional rights OF the bankrupts,
NJ. Fuller & Co.. and the individual
opartners thereof In regard to any
e of the books In any criminal pro-
eding and we reserve the right to OBJ
ect to the use Of these books and
ccords as evidence against the firm
Of K. NJ. Fuller & Co.. and any MEM
Der thereof. on the ground that the said
arm and the individual copartners
thereof cannot be compelled to give evil
dence against themselves.
THE members of the firm of u. M.
Fuller & Co.. claim the right to i'm
munity in the event that these books
und records or any part thereof are used
or attempted to ne used as evidence
against them.
! 1T Is also further understood that
The books and records will not be used
tefore any grand or petit Jury, either
ttate or Federal, In any prosecution of
criminal nature against the 6m OF
4 NJ. Fuller & Co., or any member
siereof.
I'm case any subpoena or other proc
Us is used for the purpose Of obtain
z the books and records In the re-
g iver's custody the receiver agrees to
immediately notify the bankrupt firm
u d the individual members thereof and
Y turn the books TO the bankrupt and
DOT to part with the possession of the
dime until the bankrupts have had an
opportunity to raise the question of the
institutional privilege to refuse to fur
a; sh evidence against themselves In the
D me manner as IL the said books and
Il cords had remained In the possession
the bankrupts."
lit will be seen from this that were the
istrict Attorney even to attempt to get
Il Fuller books the receiver would be
y igated, under what amounts to
y ntract. to return the books forth
Continued on Page Three.