The Wisconsin tobacco reporter. (Edgerton, Wis.) 1877-1950, 1922-02-17
B|SCHOFF LID
TILTED BY Lands
Chicago Judge Finds wizards"
Cache; Ties Up Money.
"PoNZI" BLAMES HIS LAWYER
Tries to Shift the Guilt to an
Attorney-Says His Failure Came
as Result Of Alleged
double Cross"

Chicago, Feb. 14.-In addition to
forcing from Raymond J. BischOff and
his associates the remarkable story OF
how he had started out two years ago
with virtually nothing and ended up
with liabilities estimated at $5,OOO,OOO,
Judge Lands succeeded in locating six
safety deposit boxes, which may help
solve the question of what became
of the money. The investigation fol-
lowed appointment of receiver.
That wasn't all. The judge also
Jared from the financial wizard the
admission that he was deserter from
the United States army and, finally, ne
issued restraining orders preventing
Bischoff's relatives, in whose hands he
appears to have placed much of his
business, from disposing of two fiat
buildings. two houses, farm, four
automobiles and the contents Of the
safety-deposit boxes.
RIschoff Shifts Blame.
Bischoff. himself. under questioning
by counsel for the Central Trust COM
pany, receivers, charged that the fail
ure of his personally conducted con-
Germ, the Y. o. Oil company of Denver.
Colo, came as the result Of an alleged
double c.Oss' by Attorney Emil e..
Wetten, who, he says, was retained as
counsel and chief adviser at $500 a
month, but who withdrew from the
company at a critical stage.
Before bringing Mr. Wetten into the
tangled web of the inquiry Bischoff,
under questioning by Judge Lands,
had admitted that half dozen of his
field agents" or solicitors were pres
ent in court. These were ordered
taken into custody and sworn as wit
nesses by the jurist.
The examination, which started out
with an attorney questioning Bischoff,
quickly turned into four-cornered af-
fair, with Judge Lands shooting ques-
tons at the twenty-five-year-Old
plunger; his blind stepfather, f. o.
Davis, and his mother, Mrs. Davis.
had been innocent victims of conf
dence in their sons wonderful money
making schemes, and had not appre-
ciated until now that somebody would
have to pay.
Don't you realize that the sealskin
coat yoC are wearing came from the
pockets of these people out in the
yards district?' the judge demanded of
Mrs. Davis when she pleaded to retain
$4,000 of her own money which, she
said. had gone into one of the apart
ment buildings. Don't you realize
you own was realized by this swim
dle?"
The woman bowed her head and put
a handkerchief to her eyese.
II realize it now she said. 'Im
sorry I'm willing to do everything l
can to help them get it back"
Makes Lawyer Pay Back Fee.
Previously Davis had recovered his
memory sufficiently to recall the exist
ence of a $4,000 emergency fund" in
the safety deposit boxes of the Univer-
sity State bank, and to recall that last
Saturday he had visited the office of
Attorney James J. Kelley, counsel for
BiSchoff, and had turned over to the
latter $4,000 in Liberty bonds at the
direction of his stepsOn. Attorney
Kelley admitted receiving the bonds in
lieu of a retainer fee and agreed re-
luctantly to turn the securities over to
Attorney James j. ROsenthal of coun-
sci for the receiver, after he had been
admOnished by Judge Lands that the
receipt of the retainer" had followed
the filing of the bankruptcy petition in
the forenoon of February IL.
The stepfather, who has been blind
for years. admitted that Bischoff had
used his name to cover up some of the
assets of his money
II thought it was all right" he said
'I had confidence in him."
"Have you still cOnfidence?" asked
Judge Lands. "Do you believe, for in.
stance"-referriHg to statement
Bischoff had just made-"that given
the chance, he would pay IS cents on
the dollar in six months?'
mo" said the blind man. 81 don't
think he could"
81 don't think he could, either
snorted Landis