OCR Text |
Show CLEVER SCHEMER SWINDLES BANK S. V . Strauss & Co. Fall Vic-tims Vic-tims in the Amount of $256,000. FINANCE ALLEGED LARGE DEALS IN CATTLE PEED Takes Up His 0wi Drafts With Bank's Daily Increasing Checks. CHICAGO. Nov. Samuel N. HofTheimer. a nephew of Nelson Morris, tbo millionaire packer, was arrested here tonight Charged With liavlng swindled S W. Striuss & Co . mcrrt-page mcrrt-page bankers. at.IH La Salle street, out of I3SS.O00. Being unable to furnish bonds nxed at $1S0.. by Justice Cochrane, who Issued the warrants for his arrest. HofTheimer was taken to the Cook county Jail. Carried on for Months. The alleged swindle operated by HofTheimer extends over a period of eighteen months His relations with the Morris family. It Is said, made it possible fr,r HofTheimer to carry out the scheme for such u long period without detection. Two years ato. while the young man was. carrying on a small commission busl-ness busl-ness In buying and Sedllr.g cattle feed. It Is alleged n went to S V. Strau Co. and explained that ne was buying large quantities quanti-ties of cotton-seed ftnd cctton-seed hulls which he disposed of to Nelson Morris Co. Large Sums Needed. In order to carry on the business. It is alleged, al-leged, he explained that a large amount of money Was necessary to take up the drafts which were male dally on htm for the feed and to take uj. the bli:s of ladlnjr madl With the Shipments. He. It . saJd. requested S. W Strauss & Co. to finance the deals, which they agreed to o. Delivered Lists Daily. From that time on. It Is alleged. Hoffhelmer dally delivered lists to Straues & Co. of carloads car-loads of cattle-feed which he said he had I bought from various concerns and sold to Nel- u M. rrl- X. Co .- would ot.uln . te . f .r the amount of his purchases from S. TV Strau ? Co. and at the same time he would deliver to the bankers a draft on Nelson Morris Mor-ris A Co. for Ur.- amount for which he had Informed' them he had sold the feed to the packing company. The draft taken by the bankers was deposited In their bank In tho usual COOTS of their business. Lenrn Sales Fictitious. At th" beginning, according to ihe bankers. Roffhetmer carried on only amall sales: hut the amounts of the transactions Krew so that salea to Nelson Morris & Co.. as reported by HofTheimer. amounted to more than Jl&n.OM) a day. L'nlll the first of this month the supposed sup-posed sales continued, and then It was learned. It Is raid, that all the sales were fictitious.' Instead of taking up the drafts which he had sld were made out against him when he I bought the supposed feed, HofTheimer took up the drafts which he irave to S. W. Strauss Co. against Nelson Morris & Co In that I Way he continued from day to day Increasing his supposed sales SOd taking up the larger ! I drafts, against tin packing company with the larger ch'-ek l- ii lilm t.y the bankers each following day, making a small gain each day I on the use of the bankers' money. Makes Complete Confession. Knowledge of the drafts did not reach tho packing company until November 1, when Nelson Nel-son M 'crls jt Co. accidentally discovered one check while It was In the bank at the. stock-yard. stock-yard. An investigation followed and Hofr-helmer Hofr-helmer Is allege,) m have made a Complete confession to Strpuss of his orieratlons, admitting ad-mitting that for eighteen months ho had been carrying on the Scheme, which had made him n lllng and at the close hud n tt- I him $.'- -Oim, the amount of the check received from the banking concern to take care of Lho day's business. busi-ness. HofTheimer declares he h?.s lost the money In investments. He will be given a hearing before justice Cochrane December " 1 |