Collapse of the Kreuger Bubble

Manawatu Times, Volume LV, Issue 6837, 19 April 1932, Page 7

Collapse of the Kreuger Bubble

“COOL SWINDLEE AND GAMBLES’ BONDS DESCRIBED AS GROSS FORGERIES United Press Association. —By Electric Telegraph. —Copyright. STOCKHOLM, April 17. In connection with the arrest of three directors of the Kreuger-Toll Company on charges of falsification, one newspaper declares that Kreuger was a cool swindler and gambler. He began his frauds in 1916, when, he falsely announced that a big issue of new shares had been over-subscribed. A member of the ex-pert committee which is investigating the frauds, says that the last ..trace of Kreuger’s romantic halo has disappeared. A Rome message says it is semi-offi-cially announced that Kreuger bonds are gross and brazen forgeries. The Government refused to have any business relations with Kreuger.

More Amazing .Revelations Expected INVESTIGATORS DUMBFOUNDED. (Times Cable). LONDON, April 17. The Stockholm correspondent of The Times says: “The whole fabric of the once mighty Kreuger-Toll concern is irreparably torn. It is worthless and rotten. It is certain that when the directors are placed o,ni trial more amazing revelations will he made. Apparently there is scarcely a genuine entry in the Kreugcr accounts. The investigators are more and more dumbfounded as they examine the foreign transactions.”

Twenty-eight Millions Sterling STAGGERING TOTAL OF FRAUDS. STOCKHOLM, April 17. Kreugcr’s frauds are now estimated to involve twenty-eight million sterling.