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Newspaper Page Text
THE PECULIARITIES OF A DEARBORN STREET "BANK"
WHICH IS TO BE INVESTIGATED BY POSTOFFICE
f A most remaTkable institu
tion has been found thriving in
. Its name is the Dearborn Sav
ings bank not incorporated
and its discoverer is -Chief Post'
joffice Inspector James E. Stuart.
Its purposes are to get money
from unsuspecting people, and
then lend pa'rt-of it back to them
at 5 per cent interest per annum.
The promoters are William
Irvin & Co., bankers (William
Irvin), room 900, 15 South Dear
born street, and John A. Brewer,
Loans, room "901; 115 c South'
Messrs Irvin and "Brewer
.will be given a chance" to explain
the inwardness of their financial
operations and their use of the
mails to the. postoffice authorities,
and, maybe; a federal grand jury.
The clients of Messrs. Irvin
and Brewer are not,' among the
malefactors ' of great wealth
not at all. They are mostly
women in", poor circumstances
whom Messrs. Irvin and Brewer
induced to become contributors
to their "bank" by a house to
house canvass. -
The-attention of the postoffice
authorities- was attracted by a
beautifully engraved, but.-rath.er
peculiar, "Profit- Sharing Loan
Certificate," and- the-complaint
thereon of Mrs. Hilda'M. Kelly.
The certificatarset -forth that it
would have a face yafue of $100
at the end of fivevyears, after the
client of the bank- had .gai4ojiii(a ,
total of $85.80 in small weekly,
Mrs. Kelly began a 'subscrip
tion for one of these certificates.
She paid in all, $19.50. Then she
wanted her money back.
And was told that she could
not do so, and that the certificate
was worthless because "she had
not lived up to her five year con
tract as set forth on the certifi
All of which was true. Mrs.
Kelly went to an attorney. The
attorney' went to Irvin. Irvin
said, "Well, what, in h are
you going to do about it?"
The attorney went to the. post
The interest of the postoffice
centers in the "Loan" part of, the
"profit sharing" certificate. That
reads as follows:
'After 104 payments have been
made on this certificate, as pro
vided by the 'payments and
terms' paragraph, he Dearbdrn
Savings Bank agrees to loan the
owner hereof the full amount
paid in toward maturing-the -certificate,
rpovided one years'- in
stallments on certificate are paid
in advance-of date of loan."
I he pavments and- terms
part provides ,that the subscriber
shall pay the bank 50 cents a
week the first year, 40 ceqts a
week the second year, 30 cents
the third, 25 cents the fourth and
20 cents the fifth. The payment
of the $100 is promised one week
after the final payment is made.
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