San Antonio light. [volume] (San Antonio, Tex.) 1911-1993, 1925-09-14

I
S265. 600. 900 annually. ,x..
Losses by actual burglary and tAei'
are estimated at 5000, OOO,OOO.
Annual losses of insurance com,
nonics through fraudulent clalms-ahd
nf the nublic through fraudulent IN
Sursnce schcmes-cre placed by In
surance men at over SZUO,ouV'oVo'
REALTY FRAUDS.
Losses to employers and business
concerns caused through endorsement
nv trusted employees are esrmated o!
W;lTam r. Joyce. chairman OF the
National Surety Company, at slZo,-
OOO. 600 annually. This company
states .o1o
"Real estate frauds through the sac
~ worthless land or the sale or build
ing of ill-constructed houses, haoe
been estimated at, at least slVo''
600. 900. -,
.Foreers and alterers of bank
checks and other valuable paper, are
estimated TO reap an annual harvest
of 500. 100000. -,
"Tbese various estimates have been
collated from published statements OF
stock exchange authorities, district at
torneys. crsdit and mercantile asSo-
ciotions. the police and other pubhc,
officers. In addition, the yearly cost OF
preventing. prosecuting and punlshlns
crime in the United States is eStlmat
ed AFT 81 LOCO. O00. 900. New York CITY
snends SIS annually per each lnnaol-
tant in its anti-crime activities.
"This vast annual fraud loss mas
Jo-.oIo,,;,o constantly since the
World war. and shOwns no signs o.
diminutiou. What are its causes!
sFirst is the very great increase 10
the volume of modern American Dusl,
ness. The estimated worth OF inc
limited States-now 800 billion dol'
lars-has almost doubled during inc
last ten years. In producing this vast
increase in wealth. corporations anu
gross annual business turn-oyers nave
expanded greatly. Correspondence, op,,
nortunities for theft have mulupned
and methods Of protection against dis
honesty have not kept pace.
"Second is the undoubted change
durinr the last generation in the
worlds ideas regarding religion, NOR
ais and other spiritual conceptions.
Beliefs regarding d future reward fol
honesty. the practical profit IN belns
Guided by conscience. etc, are nor
what they used 10 be. The world IS go
ing through a stage of intellectual
transition. A generation ago, peopir
were honest through emotion. A gener
alton ahead from now people may d.
honest through intelligence. The pres
emit generation-unfOrtunately for us
honesty-is in between the two per
iods.
"Minor causes for the crime wave
are IN salaries too close to the starv'
alton line: (2) envy and resentment
by the poor. due TO luxury and osten-
tation Of the rich: 90 widespread dis
respect for law and property rights.
due partly TO the World war; "A de-
sire for comforts, luxuries and DISH
nations beyond earning capacities; 10
doctrines Of anarchy. bolsheyism and
misinterpretation Of book knowledge.
Considering all these very real and
very practical crime causes, 1t IS NOT
surprising that losses Of insurance ana
surety companies from enbezzlement,
burglary. and forgery are growing
greater every year and are indeed, ten
times what they were ten years ago.
prohibition. although causing, Just
now. much incidental crime, is not, in
itself. an important factor in the pres
ent general great increase in crime.
"a feature which you should under
stand regarding the alarming increase
OF crime in this country during the
last ten years is that the increase has
been in financial crime, not in crimes
of violence; and that the police arc
not in a position to prevent many fl
nancisl crimes, embezzlement, forgery,
STOCK swindling, insurance funds, cred
il frauds. etc.
'aThe police can only. trace and ar
rest embezzlers, forgers and swindlers
after the crime has been committed
and. since the perpetrators Of tAes'
crimes plan their escape while plan
ming their crime. tracing and srrestinf
them is exceedir o. difficult.
Insurance companies are strongly
advocating an increase in the police
forces of all large cities in order Il
/ check burglary and boldupS; but in
| crossing Tolice forces will not affeci
embezzlement. forgery and various
other inside financial frauds snt
swindles.
The only way TO stop the presen
| spread Of embeZzlement, forgery anl
other inside" financial crimes, is sc
we're. sure and immediate punishment
''Tbe reason for this appallin:
spread Of financial crime today is tia
for many years in this country pun
ishment Of criminals has been neithe
severe, nor sure. nor immediate.
Americans have been trying TO re
form and educate criminals and q
get them jobs and 10 start them slOni
the paths Of virtue and religion, an
we have not realized what these Grim
inals and their imitatOrs and pupil
have been. and are still doing TO ban
accounts and businesscs-ycs. and Z
children.
. FAGINS ACTIVE.
! "Six years ago i clever crook forme
conspiracy 10 tempt 30 or 40 boy
Z TO steal millions Of dollars Of invest
D ment bonds from their employers. II
D was arrested and after being out o
c bail for nearly q year, he appealed I
n a higher court. He remained out 0
bail until three months ago when bi
= conviction vas finally confirmed an
e he was sentenced. What was hi
: sentence? Two years in prison.
When criminals can conspire, wit
practical imDunity 10 corrupt h
youth Of our country wholesale,
: seems that the moral and econOm
structure Of our nation is not yer
= far from being endangered. The be-
proof Of this is that the crooks schem
!, is today being widely initiated.
Insurance companies are very vi
y orously advocating the teaching
Lnnnstr In all nmhlir echnnIs in n