Extraordinary Fraud in Russia.

Wairarapa Daily Times, Volume X, Issue 3207, 17 May 1889, Page 2

Extraordinary Fraud in Russia.

An ingenious gold-dust fraud has been added to the recent eleotriosugar and gold-mining swindles, and many persons in Austria, and probably in other countries, have fallen victims to it. It seems 'that it is forbidden by Article 612 of the Eussian Criminal Code to buy or sell gold, whether in nuggets or dust, since the Russian Government itself procures it from the Siberian mines and sells it direct to the gold workers, It is also forbidden to export gold from Russia except under a special license. This law has been made the basis of a swindle carried out by a number of persons in a seaport of Northern Bussia.who wrote to well-to-do people in other countries, offering what they called an excellent bargain. Their customers could forward certain sums on receipt of quantities of gold dust, which- the agents of the company would deliver at specified frontier stations, and smuggle over the border as passenger's luggage. The price charged would be half the marked value of the gold, Those who could not travel themselves to tho frontier stations might seud their servants or confidential agents, and the process could be repeated as often as they liked,

It ut surprising to loam that even Vienna aristocrats fell into.tbe trap. One nobleman consented to enter into transactions to the value of 50,000 roubles. He was first shown a small quantity of gold dust, which, after being melted, was declared by an expert to bo pure gold. He then a large quantity at tbe frontier in return for fifteen thousand roubles. The consignment proved to be brass bust, He wrote protest-. ing and threatening exposure, and received in answer a number of letters to the effect'that, as the Bussian law forbade the traffic of gold, he could not take proceedings in Susßia. His correspondents even decision of a Bussian court of law in a similar case, and invited their dupe to' recoup himself by entering into the business as a partner, and inducing other people to buy Russian gold dust,. The case ljaving.been watle public, it turns out that many more persons in Vienna have been victimised'without hope of redress,

Insurance Society Failure. Before Judge Edge at Stonehouse Bankruptcy Court, Aohjlle Perossi, chairman of the Western Counties Insurance Company, which failed with liabilities amounting to many, thousand pounds, came up for examination, but his answers were-so unsatisfactorily as to large sums that tho Judge declared lie could not credit Perossi's: assertions. This was one of the most monstrous frauds he had ever known, and tho Judge could, not oredit that a man would become party to them without receiving substantial benefits, He was convinced that the bankrupt's statements were entirely false, and he would be comitted until he had purged Mb contempt,