MRS CHADWICK'S CASE.

Otago Witness, Issue 2664, 5 April 1905, Page 49

MRS CHADWICK'S CASE.

NEW YORK, March 28

A new trial Jn the case of Mrs Chadwick was refused. Accused was sentenced to 10 years.

The New York correspondent of the Argus, on January 6, wrote as follows: — Only in the most incredible swindles of Thereee Humbert, in France, can be found a parallel for the extraordinary career of Mrs Leroy S. Chadwick, a woman of 4-2 years, now awaiting trial in the city of Cleveland for forgery and other crimes. It was jq November las£. that the Aso^i^n

publio began to take some interest in Mrs Chadwick, then a guest at one of the most fashionable hotels in New York, because a Boston banker had .3ued her to recover a loan of 192,000d01. For some years she had been prominent in society at Cleveland (Ohio), living in a mansion on Euclid avenue, which is one of the finost residential streets in America. In 1897 (having been known as a rich widow named Mrs C. Li. Hoover), she married there Dr Leroy S. Chadwick, a widower, and a phyeician, of good family. Thereafter she became noted for lavish expenditure, and it was understood that she had inherited a very large fortune. The suit of the apprehensive- Boston banker led to remarkable discloftres. A little bank in Oberlin (Ohio) closed its doors, and it became known that the aged president of it bad advanced to this woman from the bank's funds 240, 000d0l (or four times the capital of th& institution), together with lOO.OOOdoI of his own iKoney, upon the security of mysterious no<es, signed by someone whoee name h© would not make publio. The notes in the eld Oberlin banker's hands bore ihe e-ipnatur© of Andrew Carnegie. She " had told him that she was Mr Carnegie's illegitimate child, "and," said he, "I believed her." It is known now, however, that the old man was led into this folly, and induced to break the laws, by a comfortable bonus in hand, and a promise that he should be employed at a large salary to take charge of Mrs Chadwick's affairs.

But this was only a beginning. Mra Chadwick had deposited t%vo years ago, in the custody of a prominent bank (the Wadepark), of Cleveland, certain small sealed packages, purporting to contain securities worth 15.245,000d0f. Th& bank's chief executive officer, Iri Reynolds, a man of excellent reputation, had accepted her assertion as to th& value of the packages, without examining the contents, had given her a oej^ifieate of receipt in accox-d with her statement, and bearing his signature. By means of this certificate, and her social relations, she had borrowed right and lc'ft. For example, when she applied for one large loan she was accompanied r.nd introduced by the Rev. Dr Eaton, pastor of the John D. Rockefeller's Baptist Church, in Cleveland. That city was the Standard Oil multi-millionaire's home in his early business years, and ho Gtill has the^re a mansion, to which he goes in the summer.

When the authorities opened the packag-es deposited in the Wade Park Bank, the contents were found to be a note for 5,000,000d01. payable in 15 months to this woman, and signed "Andrew Carnegie." Of course, the signatures were forgeries. Mr Carnegie did not know the woman, and bad never heard of her Coming; to New York two years ago, she employed a lawyer to draw up a similar agreement, and took him with her in her carriage to the door of Mr Carnegie's house, saying that she would speedily procure the necessary signature. She entered tho house, remained in it for 20 minutes, and then returned' to the carriag-e, asserting that she had been successful. But she had not seen Mr Carnegie. To his shame, be it said, this lawyer had been a judge. The woman very nearly swindled him out of ISOOdol.

By means of Reynolds's certificate, forged notes (all bearing Mr Carnegie's signature), confidential stories as to her relation to Mr Carneeie, and the various supports of her credit, which her social prominence furnished, she obtained about 3,000, 000d01. From business men and former associates of Mr Carnegie in Pittsburg she procured at least 800.000 dollars.

And who is Mrs Chadwick? A convict, who was released on parole by the late President M'Kinloy when he was Governor of Ohio. The history of her career before she met her present husband is not the least remarkable part of this curious affair. The woman was born of honest and humble parents in Ontario- (Canada), and her name was Betsy Be-gley. At Woodstock, in that province, when she was 17 years old, she was tried foi forgery, and acquitted, because she feigned insanity. There years later, in p Cleveland, she married Dr Springsteen, fiom whom she was soon divorced. After a lapse of four years she appeared in the neighbouring city of Toledo, under the name of Madame Lydia De Vere, as a professional clairvoyant and spiritualist. There she was convicted of forgery, and sent to the penitentiary for nine and a half years. That was in 1890. Having been released on paroie in 1893, she took a residence in Cleveland, as Mrs Hoover, and in 1894(although even then required to report at stated times to the prison authorities) she married' Dr Chadwick, who believed her to be a wealthy widow of good repute.