Ponzi's Scheme (40 page)

266

“Are you sure?”: Kenny, p. 198.

269

spent the morning in Lexington: “Ponzi's Talk Leaves Club Still Puzzled,”
New York Times,
August 11, 1920, p. 15.

269

a summer thunderstorm: “Relief from Heat Today,”
Boston Post,
August 10, 1920, p. 1.

269

overdrawn his account by $441,778:
Cunningham v. Commissioner of Banks,
144 N.E. 447; Annual Report of the Massachusetts Commissioner of Banks, 1920, p. vii.

270

a “battle royal”: “Ponzi Tells Kiwanis Club How He Got His Millions,”
Boston Evening Globe,
August 10, 1920, p. 1; “Nobody Loses by Ponzi's Transactions, He Says,”
Boston Daily Globe,
August 11, 1920, p. 8; Herbert L. Baldwin, “Canadian ‘Ponsi' Served Jail Term,”
Boston Post,
August 11, 1920, p. 1.

270

“He has a good job”: “Ponzi Tells Kiwanis Club How He Got His Millions,”
Boston Evening Globe,
August 10, 1920, p. 1.

271

write a sentence on a piece of paper: “Nobody Loses by Ponzi's Transactions, He Says,”
Boston Daily Globe,
August 11, 1920, p. 8.

271

Hundreds of letters arrived: “Ponzi Tells Kiwanis Club How He Got His Millions,”
Boston Evening Globe,
August 10, 1920, p. 1.

271

Ponzi note holders turned up: Herbert L. Baldwin, “Canadian ‘Ponsi' Served Jail Term,”
Boston Post,
August 11, 1920, p. 1.

271

Herb Baldwin's copyrighted story: Ibid.

272

An hour after midnight: “Arrest in Ponzi Case May Be Made Today,”
Boston Post,
August 12, 1920, p. 1; Curt Norris, “Ponzi,”
Yankee,
November 1975, p. 115.

272

“I'm not the man”: “Crisis Looms for Ponzi,”
Boston Herald,
August 13, 1920, p. 1.

272

“We think this is the truth”: Curt Norris, “Ponzi,”
Yankee,
November 1975, p. 115.

272

He met reporters again: “Crisis Looms for Ponzi,”
Boston Herald,
August 12, 1920, p. 1.

273

They found Ponzi seated: “Arrests Near in Ponzi Case; Audit Almost Completed,”
Boston Daily Globe,
August 12, 1920, p. 1; “Arrest in Ponzi Case May Be Made Today,”
Boston Post,
August 12, 1920, p. 1; “Ponzi Confesses Record in Prisons; Pleads for a Chance,”
New York Times,
August 12, 1920, p. 1; “Bank Commissioner Takes Possession of Hanover Trust,”
Boston Evening Globe,
August 11, 1920, p. 1; “Crisis Looms for Ponzi,”
Boston Herald,
August 12, 1920, p. 1; “Confessed to Forgery to Protect His Friend,”
Boston American,
August 11, 1920, p. 1; “Sleuths to View Ponzi,”
Boston Traveler,
August 11, 1920, p. 1.

273

“The statement that I am about to make”: A stenographer was present when Ponzi made his statement, which was then shared with all the newspapers. Several printed it verbatim or nearly so, including: “Arrest in Ponzi Case May Be Made Today,”
Boston Post,
August 12, 1920, p. 1, and “Took Blame to Shield Employer, Says Ponzi,”
Boston Daily Globe,
August 12, 1920, p. 1.

274

He paused and turned to McIsaac: “Arrest in Ponzi Case May Be Made Today,”
Boston Post,
August 12, 1920, p. 1.

275

he'd acted to save Zarossi: “Crisis Loom for Ponzi,”
Boston Herald,
August 12, 1920, p. 1.

276

When he had finished his statement: “Arrest in Ponzi Case May Be Made Today,”
Boston Post,
August 12, 1920, p.1.

276

prison record would lead to his deportation: “Ponzi Confesses Record in Prisons; Pleads for a Chance,”
New York Times,
August 12, 1920, p. 1.

276

His eyes filled with tears: Ibid.

276

“I want to keep all this news”: “Arrests Near in Ponzi Case; Audit Almost Completed,”
Boston Daily Globe,
August 12, 1920, p. 1.

276

“My nerves can't last forever”: “Arrest in Ponzi Case May Be Made Today,”
Boston Post,
August 12, 1920, p. 1.

276

at one forty-five in the afternoon: “Arrests Near in Ponzi Case; Audit Almost Completed,”
Boston Daily Globe,
August 12, 1920, p. 1; “Arrest in Ponzi Case May Be Made Today,”
Boston Post,
” August 12, 1920, p. 1; “Ponzi Confesses Record in Prisons; Pleads for a Chance,”
New York Times,
August 12, 1920, p. 1; “Bank Commissioner Takes Possession of Hanover Trust,”
Boston Evening Globe,
August 11, 1920, p. 1; “Crisis Looms for Ponzi,”
Boston Herald,
August 12, 1920, p. 1; “Confessed to Forgery to Protect His Friend,”
Boston American,
August 11, 1920, p. 1; “Sleuths to View Ponzi,”
Boston Traveler,
August 11, 1920, p. 1.

277

Chmielinski treated Hanover Trust: Annual Report of the Massachusetts Commissioner of Banks, 1921, pp. ix–xv.

277

Hundreds of people raced: “Crowd Gathered at Bank in Record Time,”
Boston Evening Globe,
August 11, 1920, p. 1; “Arrests Near in Ponzi Case; Audit Almost Completed,”
Boston Daily Globe,
August 12, 1920, p. 1.

277

“I learn with regret”: “Arrest in Ponzi Case May Be Made Today,”
Boston Post,
August 12, 1920, p. 1.

277

no more than $800,000 in liabilities: “Confessed to Forgery to Protect His Friend,”
Boston American,
August 11, 1920, p. 1.

277

Ponzi left Barristers' Hall at about five o'clock: “Accuses Allen of Closing Bank to Tie Up $1,500,000,”
Boston Traveler,
August 12, 1920, p. 7.

277

the sound of a woman weeping: “Ponzi Draws Pistol,”
Boston Herald,
August 12, 1920, p. 3.

278

A few minutes before midnight: “Accuses Allen of Closing Bank to Tie Up $1,500,000,”
Boston Traveler,
August 12, 1920, p. 7.

278

he still had fervent believers: “Ponzi Confesses Record in Prisons; Pleads for a Chance,”
New York Times,
August 12, 1920, p. 1.

278

marveling at “the grip”: “Things Look Black for Charles Ponzi,”
Boston Traveler,
August 12, 1920, editorial page.

278

“Get away from here!”: “Arrest in Ponzi Case May Be Made Today,”
Boston Post,
August 12, 1920, p. 1.

278

he learned the truth: “Ponzi Arrested; Affairs ‘Hopeless'; Bank Involved,”
Boston Herald,
August 13, 1920, p. 1.

279

Thomas W. Lawson: “Supposed Ponzi Tried to Get Lawson's Aid,”
Boston Evening Globe,
August 12, 1920, p. 1.

279

front page of that morning's
Post:
“Arrest in Ponzi Case May Be Made Today,”
Boston Post,
August 12, 1920, p. 1.

280

made Ponzi cringe: “Ponzi Under Arrest,”
Boston Evening Globe,
August 12, 1920, p. 1.

280

“I am not going to flee”: “Ponzi Arrested,”
Boston American,
August 12, 1920, p. 1.

280

pulled down the window shades: “Ponzi Under Arrest,”
Boston Evening Globe,
August 12, 1920, p. 1. Additional narrative details about this day come from Harold Wheeler, “Ponzi Arrested: Admits Now He Cannot Pay—$3,000,000 Short,”
Boston Post,
August 13, 1920, p. 1; “Ponzi Under Arrest,”
Boston Evening Globe,
August 12, 1920, p. 1; “Ponzi Freed on $35,000 Bail on Federal and State Charges,”
Boston Daily Globe,
August 13, 1920, p. 1; “Ponzi Arrested; Liabilities Put at $7,000,000,”
New York Times,
August 13, 1920, p. 1; “Ponzi Arrested,”
Boston American,
August 12, 1920, p. 1; “Ponzi Arrested; Affairs ‘Hopeless'; Bank Involved,”
Boston Herald,
August 13, 1920, p. 1.

281

“But you have agreed”: Ponzi, p. 172.

281

“No man is ever licked”: Ibid.

281

as if for a wedding: Kenny, p. 200.

282

“Mr. Ponzi wishes to surrender.”: “Ponzi Arrested,”
Boston American,
August 12, 1920, p. 1.

282

“hopelessly insolvent”: “Ponzi Arrested; Liabilities Put at $7,000,000,”
New York Times,
August 13, 1920, p. 1.

282

“Wife and I were going to buy”: “Ponzi Lodged in Cambridge Jail,”
Boston Post,
August 14, 1920, p. 1.

282

“You bet he's all right”: “Little Italy Still Believes in Ponzi,”
Boston Daily Globe,
August 13, 1920, p. 9.

282

“Give you 50 percent”: Ibid.

282

“Don't you think”: “Ponzi Arrested; Affairs ‘Hopeless'; Bank Involved,”
Boston Herald,
August 13, 1920, p. 1.

282

he promenaded through Post Office Square: Details of this scene come from a remarkable photograph originally printed on the front page of the
Boston Herald
and now held in the print collection of the Boston Public Library.

283

police inspectors flashed their badges: “Ponzi Arrested; Affairs ‘Hopeless'; Bank Involved,”
Boston Herald,
August 13, 1920, p. 1.

283

“I am going to stay home”: “Ponzi Pursued,”
Boston Post,
August 13, p. 9.

283

“I love him more than ever”: “Mrs. Ponzi Loyal,”
Boston Post,
August 13, 1920, p. 13; “Ponzis Happy at Day's End,”
Boston Herald,
August 13, 1920, p. 14; “Mrs. Ponzi Still Has Faith in Husband,”
Boston American,
August 13, 1920, p. 2.

284

Ritchie began work: “Viewing the Ruins,”
Boston Post,
August 14, 1920, p. 4.

284

half-biblical, half-puritanical editorial: “By the Sweat of Thy Brow,”
Boston Sunday Post,
editorial page, August 15, 1920, p. 39.

284

the lead news story: Harold Wheeler, “Ponzi Arrested: Admits Now He Cannot Pay—$3,000,000 Short,”
Boston Post,
August 13, 1920, p. 1.

285

bail bondsman Morris Rudnick: “Ponzi Lodged in Cambridge Jail,”
Boston Post,
August 14, 1920, p. 1.

285

At about four o'clock that afternoon: Ibid.

285

He looked up at a calendar: Ibid. Additional details of Ponzi's surrender and jailing come from “Ponzi Spends Night in Jail; Surrendered by Bondsman,”
Boston Herald,
August 14, 1920, p. 1, and “Ponzi Wearing His Smile Even in East Cambridge Jail,”
Boston Evening Globe,
August 14, 1920, p. 1.

286

For two hours they talked: “Testimony of State Officer,”
Boston Globe,
November 28, 1922, p. 1. Similar accounts of the meeting between the lawyers and the Ponzis in the East Cambridge Jail come from coverage of Ponzi's 1922 state trial, including: “Thinks Ponzi Honest Man,”
Boston Post,
November 28, 1922, p. 1; “Coakley on Stand,”
Boston Globe,
November 28, 1922; and “Ponzi Evidence Ends,”
Boston Transcript,
November 28, 1922.

287

“I think Mr. Coakley is right”: “Thinks Ponzi Honest Man,”
Boston Post,
November 28, 1922, p. 1.

287

“What difference does it make”: “Testimony of State Officer,”
Boston Globe,
November 28, 1922, p. 1.

287

“I might as well be dead”: Ibid.

288

When they filed: “State Still After Ponzi,”
Boston Post,
December 1, 1920, p. 1; “Ponzi Sentenced to 5 Years in Jail,”
New York Times,
December 1, 1920, p. 9; “Ponzi Gets Five Years,”
Boston Globe,
December 1, 1920, p. 1; “To Serve Term in Plymouth,”
Boston Evening Globe,
November 30, 1920, p. 1.

288

Coakley dug deep into his rhetorical tool kit: The account of Coakley's argument and the court appearance is taken from several sources, largely because of small differences between the accounts in different newspapers. Among the best are: “State Still After Ponzi,”
Boston Post,
December 1, 1920, p. 1; “Ponzi Sentenced to 5 Years in Jail,”
New York Times,
December 1, 1920, p. 9; and “Ponzi Gets Five Years,”
Boston Globe,
December 1, 1920, p. 1.