The Lucile Dreyfus Mining Scandal
A multi-thousand dollar embezzlement scheme involving forged signatures and fake stock certificates rocks Spokane's financial elite.
The story, cleaned up
A cleaned-up reading of the newspaper page: spelling and layout repaired, one story lifted off a crowded page. It follows the original closely but it is not a transcription. The original page is below; read it if a detail matters.
Spokane—Business and social circles suffered a shock when a personal encounter between Col. William M. Ridpath, the well-known politician and capitalist, and Seymour Birch, a mining operator and financial agent, occurred in the Rookery building. The two men represent opposite factions of shareholders in the Lucile Dreyfus Mining company, and their encounter was the direct result of the alleged discovery of the embezzlement of several thousand dollars by H. J. Kressly. Kressly has been serving as secretary of the company and has been very friendly with Col. Ridpath, who is president of the company. It is said that an overissue of about 500,000 shares of stock was discovered immediately, and admitted by Kressly. His method of operation, it is alleged, was as follows: Some 600 certificates of stock had been properly issued and Kressly had then obtained a duplicate stock book. In any event, the signatures of Col. Ridpath to these certificates are admittedly forged.
“In all about 500,000 shares of stock were issued on these certificates, with spurious signatures, and most of the stock was sold to eastern parties.”
Corporate fraud and the betrayal of trust by company officers are as timeless as the mining booms that built the Inland Northwest. The 'Rookery' fight reflects the high-stakes anger that occurs when financial collapse threatens social standing.
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