Show l Huge Stock Swindle E O A L Exposed posed Shares Sold Forged Forged- v Brokers Investors 1 Man Under Arrest Spurious Certificates Valued Val Vat at Found in Chicago CLEVERLY F FAKED AKED A K ED Trading in in Fox Temporary Tempo Issue Halted Halte CHICAGO Dec 27 United Press Prill PrillA PressA A A stock swindle windle in which thousands thousands ands of forged share shire certificates of Fox Film and other large corpora corpora- corporations corporations corpora corpora- tion hays hay been ben sold old to brokers broker and investors w. w was was- revealed d today after worth of the fake cates cate were discovered In Chicago Stock exchange officials and brokerage ge firms firms' In Chicago N New NewYork NewYork w York arid and oui other large Jarge cities were reported to have b been en notified of ot the scheme nationwide s and a a. check u to determine the tho 21 authenticity then of all of-all all stocks stock In circulation Chicago brok brokers rs' rs admitted that tho the swindle might have exten extended d dover over the nation Stocks of or at le least t i two corpo corporations In addition to Fox Film were said AId to have been coun coun- Arthur Wood Wood president of tho Chicago stock exchange admitted that spurious stocks stock of ot three firms had bad been discovered ered but he be bere refused refused re re- re fused to rev reveal al' al altheir their identity Neither would he ho divulge tho the amount 0 of mo money ey represented in nit all of ot the counterfeit stocks found in circulation Details ot of the plot were said Enid to have hL been revealed with the the- arrest arrO o of Louis LI of Chicago who a- a f sold worth warth of ihs tha counterfeit co lt to 8 Co a a. broker brokerage o firm film sev several ra days ago o. o FORGED SHARES FOUND Forged certificates representing 2900 shores shares of ot Fox Film A and valued val val- at have been recovered reco in Chicago it was waS learned today Chicago stock exchange officials pointed out that the tho forged stocks reflect in no way way way-on on Fox Film Otto OUo K Koegle gle general counsel for Fox ox Issued the following following- statement to today today to to- day ny Tho The not concerned In Inthe inthe the tho matter We We- Weare are sorry but It is is ii none ot of our affairs affair Purchasers of t the thc stocks must protect themselves In la such matters by being sure o othe oC of the authenticity o of shares before buying The forged certificates tes were said sahi to be of such clever workmanship that even experienced brokers would be unable to detect them then without careful scrutiny TradIng in temporary Fox certificates certificates was stopped on several stock The ChU ChIi cage cago stock exchange and tho the Association Asso Asso- of Stock Exchanges adv advised Cd their members members' to send in all aU o otheir ot their stock certificates for tot Uon tion The Tho temporary Fox Fox Film Film A shares were issued last Jut spring when the tho Continued on pas page 5 F Forged Shares Sold Brokers Investors 1 Man Under Arrest Continued from pa page C i 1 corporation underwent tion An Issue of at shares was authorized Brokers in Chicago regarded it as po possible that bucket to deal dealIn dealIn dealin shops shops' had been organized o In tho counterfeit Celt shares at prices s a n. p point or 01 two wo wounder under tho the prevailing prevail prevail- ing lag market level lovel Tho The stocks stock sold by s Lils In Chicago Chi cago were said to have havo reached a aNew aNew aNew New York transfer agency before be Core they were ero dl discovered vered to to It was that maintained an account at a downtown bank and ho was as arrested an when ho appeared appeared ap ap- ap to cash a check to fo for 1000 NEW YORK YORI Dec 27 1 AP AP-A AP A warning that forged temporary certificates for Fox Fox- Film class las A stock had been discovered in Chicago has hIlS been cn issued by the tho Better Business bureaus an organization of at mer mer- chants Since Sinco the permanent certificates have been listed on tho the New Nowr N York stock sto-ck exchange the temporary ones no negotiable tho the statement state state- ment saM said but financial houses were cautioned against receiving th them em The Tho bureau and the Bankers Trust company arc are conducting an investigation to determine whether t the tho o forgery was widespread went was painful and then po IS- IS sible eible Tho The newspapers commenting on OIl tho the physicians' physicians report take the view w that there thero is little chance for forthe or the marshals recovery recover But all holdout hold holdout out what slim hope there Is uniting unit unit- ing In tim tim- wish tho-wish vIsh Ish that that hope hope- will not riot be bo In vain aln |