AMAZING BANK FRAUD

Taranaki Daily News, 14 October 1929, Page 11

AMAZING BANK FRAUD

WALL STREET VICTIMISED. SWINDLER AS A HERO. New York, Sept. 18. In a fork made by the upper reaches of the Colorado and the Rio Grande, high up in the foothills of the Rockies, lies the little mining town of Telluride. Its population is now only about a thousand. But, in the roaring days of the gold fever, quarter of a century ago, Telluride was a thriving, populous city. The mines in its vicinity produced £11,000,000 in gold ores alone; "A young man named Charles Waggoner arrived in Telluride from Nebraska. He got a job in the Bank of Telluride. Soon the townspeople began to call him “Buck.” Those were busy days in Telluride. The camp boomed,, new mines opened, eastern capitalists poured thousands of dollars into the town to develop claims. “Buck” met and knew them all- ■ Soon he headed the bank and, as years rolled on, his influence increased and ;he formed an institution with deposits that .ran to £350,000 at its peak. The country, around was rich in stockraising, as well as mining. Many of the stock-raisers, cattle men and miners, were aided by “Buck” in weathering financial storms. He had a reputation of having loaned more money to men in distress than any country banker in the State of Colorado. A DESPERATE PLAN. The tide turned for Telluride. Mining slackened off. .'’ ’Optimism faded with the depression. The .pastern capitalists withdrew their mondy, ' “Buck’s” bank suffered in the depression, and the burden fell on its depositors, many of whom faced the loss of their life’s. savings, “Buck” decided that something must be done to save them. -He thoiigfij out; a pian, and put it into execution. ; “I had been dealing with the big New York banks for niaiiy years,” said “Buck,” in telling the story.' “They all knew me. I decided they could more .easily bear the: loss than my poor depositors. I sent coded telegrams, asking for credit for the Bank of: Telluride, totalling half a million dollars. I went to New'York and collected 490,000 dollars (nearly £100,000) in certified drafts. I returned and paid off a big loan to another bank. They “returned the collateral security.” Kfud’-v .■>■■■ “Buck’s” depositors" were now saved. There was nothing more to be done. He disappeared. Twd or third days elapsed before Wall Street' a'wo'ke to the fact that it had been the victim of an amazing, almost unbelievable, swindle; Warrants were taken out, and a week later “Buck” was arrested at a Wyoming tourist resort. “I AM GLAD: IT IS OVER.” “I am glad it is. over,” “Buck” said, as ho told the. whole story. None, knew of his scheme; he had no accomplices. _ I expect to go to gaol for thfe rest of my life. The bottom had fallen out of things in Telluride and-I felt, that nothing but a desperate move was necessary and the only way out.” ■' \ ' Waggoner is a Spare, unprepossessing bespectacled, slightly l ' bald man of 54—just a small-town business 'man.. His confession amazed law officers by its; clearness. When he faces his trial, qhe‘can expect the miners and cattle punchers bf ’ Colorado' to be on hand with funds to-see him’through. No need for anyone to; make 1 him a hero. He is one already—Telluride’s, own.