Jasper County Democrat, Volume 18, Number 18, Rensselaer, Jasper County, 5 June 1915 — PURTELLE TO FACE LANDIS. [ARTICLE]

PURTELLE TO FACE LANDIS.

The “Kid-Gloved” Interurban Promotor’s Fancy Tricks Up in U. S. Federal Cojurt. Eugene Purtelle, the famous “kidgloved” booster and his interurban promoting methods are promised an airing in the Chicago federal court before Judge K. M. Landis in an injunction suit and his friends in this locality are looking forward to it. The bill for an injunction filed by Dr. Frederick C. Gillen of Milwaukee, and on the strength of which Judge Landis issued a temporary restraining order, enumerates a fist of fancy tricks of financial juggling from incorporating the same company in two states, to kiting checks between banks. Although not in Lake county, it appears that Purtelle was operating in Indiana as late as last February, the suit involving his Richmond-Hamilton company.

The bill, which was filed, seeks to restrain officials of the Union bank of Chicago, and others from disposing of SB,OOO worth of notes alleged to belong to the complainant and now held by the bank through fraudulent means, it is charged. Dr. Gillen charges that high handed schemes were employed. Besides the Union /bank, the bill names as defendants its president, Charles E. Schlytern; Gustave E. Claussen, a former director and consulting engineer; Eugene Purtelle, a promotor; W. A. Miller, a broker, and attorney E. Leslie Cole. The property in question consists of collateral stock valued at $4,200 and notes valued at $3,800. The dispute grows out of an effort to finance the construction of an interurban line between Richmond, Ind., and Hamilton, 0., in July, 1914. The company was formed in Indiana under the name of the Ricbmond-Hamilton Traction Co., with a capital of SIO,OOO. The road was to be twenty-two miles long and contract for its consi ruction was given to Engineer Claussen, who started work on the lipe.

In February, 1915, the same individuals, according to the bill, incorporated the same company in Ohio, with the same capital. I)r. Gillen alleges that on Feb. 25 he was induced by attorney Cole and pronrotor Purtelle to make advances of money in furtherance of the railroad promotion enterprise, and that three notes for various amounts which he had given previously were discounted at the u n ion bank and canceled. It is alleged further that Purtelle executed a quit claim deed to real estate in Park Ridge and delivered it to Dr. Gillen for the purpose of raising a loan. Subsequently Dr. Gillen found that another deed to the property had heen given by Cole to Bernard L. Drake, a clerk in his law office. He also avers it was impossi-

hie to get a loan on the property. Under duress, it is alleged, Dr. Gillen delivered 3,000 shares of stock m the Toopah-Yictor Mining Company and, thirty shares in the Nugent sanitarium of Milwaukee. It is then alleged that Claussen and Purtelle made false representations a> to the railroad enterprise, diverting the money raised to their own use. Some of the stock, it is charged, was hypothecated with W. A. Millet for S?SO. \ When credit failed them, according to the bill. Purtelle and Claussen resorted to a "check kiting - ’ scheme between the Union bank and the First National bank of Tipton. Ind.-sp-I.ake County Times.