The New York herald., 1922-02-12

Only since the comparatively re,
of bucketshp operations come to lig
difficult for the bucketeers to con-<
tinue this flim-fiam game in a rising
market.
On Tuesday it is possible that some
indictments will be found in six cases
partly presented to the Grand Jury
by Mr.. Simmons. At the same time
beginning will be made in the pres
entation of the other twenty -odd cases
in which complaints of a nature to
warrant immediate action nave been
made. The six cases are before the
Supreme Court Grand Jury. Other
cases will be presented to that body
or heard by the General Sessions
Grand Jury.
| Ench Faces Several Indictments.
| Mr.. Simmons end Benjamin j.
Schneider began the active prepara-
ticn of the cases which will be pre-
sented first. In many instances sew
eral complaints have been made
against the same firm, the character
and strength Of the complaints vary
| ing considerably.
| Mr.. Banton explained that it will
not be the policy of the District At
torney's office to take up complaints
separately but that he will seek three
or four indictments against each firm,
utilizing the complaints which seem
the strongest.
| There arc. in some instances, fifty
or sixty complaints against a single
firm. 1t is on the basis of the num-
ber of complaints against single firms
that the estimate of 100000 victims is
| based. There is, of course, no way of
ascertaining how many people have
been fleeced, and it is realized by Mr.
Banton and Mr.. Simmons that the
greater number of persons keep still
when they are ''stung."
| 1t has been a matter Of surprise to
Mr.. Banton and his assistants that so
many people have come forward. They
take this fact as evidence that the
evil of bucketing was widespread and
highly .successful-from the buck
eteers' point of view.
RcputabIe Brokers silent.
1t being clearly established that
bucketshop operations have been going
on for many months, some surprise is
expressed that the reputable broker
age houses did not take notice OF the
condition and move to stop the prac-
! tice, or at least to curtail its growth.
On this point Mr.. Simmons said:
al cannot understand how these
bucket shops could have been per-
mitted to flourish vixen reputable
brokerage houses must have known of
them. 1t seems impossible that liter
ally hundreds of thousands of people
could be robbed and nothing leak out
about the robbery. ! am convinced
that the list Of fraudulent operators
now in our hands comprises only a
small proportion of the actual number
OF firms which have engaged IN bucket
shop activities in this city. / am con-
vinced that the total number OF firms
must be large and 1 propose to get the
names of all the others possible in
order that the city may be cleared OF
such concerns"
Mr.. Simmons was asked whether he
thought Stock Exchange firms might
be implicated. He replied:
81 do not intend to make any prog
nostications. Tho magnitude of the
general frauds by unscrupulous
brokers has already far exceeded any,
thing we might have expected when
we began our investigation. 1t is
highly probable that the list we have
of firms will be added to and in vir-
tually all of the cases we now lave
before us the evidence is such that
believe II warrants indictments by the
Grand Jury"
Exchange Books Inspected.
Mr.. Simmons said he had begun ex-
animation OF books and records of the
American Cotton Exchange of 81
Broad street. against which COM
plants of bucketing have been laid
with Mr.. Banton. He said TIE ex
animation would be thorough and
searching, but he declined to say any
thing as to what the examination so
far might have disclosed.
or course, the books and records OF
other concerns under investig .tion are
being examined and, in fact. there las
already been received at the District
Attorneys Office a great load of ac-
count books. stock sale slips, records,
customers lists and an amazing coll
lection of glitterins prospectrses and
circulars calculated to lure the un-
wary into parting with their money.
Some OF the tales told to Mr.. Sim
mons have been pitiful. One which
came TO light demonstrated that in
some instances the bucketeers arc
"shoe- string" operators. doing bus-
ness with little or no capital of their
own.
In this particular instance the per-
son neeced was woman, a janitress.
who had about 81 900 saved. A young
man i'm the bank where she kept her
money persudadcd her TO withdraw
her cash and invest it in bonds
through a brokerage" concern OF
which he was ono OF three partners
She found that her $1,000 had never
been spent for bonds, but had gone
almost as soon as she turned It over to
pay salaries and other expenses of the